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SDDS
Special Data
Dissemination Standard

 Date of last update: 02/21/2005

ANALYTICAL ACCOUNTS OF THE BANKING SECTOR

Category Provider's Data

Contact Person

 Ericsom Semerene Costa

Organization

 Banco Central do Brasil, Departamento Econômico, Divisão Monetária e Bancária
SBS Qd.3, Ed. Sede, Bl. B, 10º andar
Brasília (DF) - Brasil
CEP 70.074-900

Phone Number

 55 61 3414-1031

Fax Number

 55 61 3414-1031

E-mail

 dimob.depec@bcb.gov.br
 

Description
The Data: Coverage, Periodicity, and Timeliness

Coverage characteristics

 Data are disseminated in millions of national currency units (current values, not seasonally adjusted).

The analytical balance sheet of the Banking Sector is published in a monthly bulletin and consolidates the accounts of all banking institutions (Central Bank of Brazil, deposit money banks, and other banking institutions).

The following data are published: net foreign assets; domestic credit broken down into claims on federal, state and municipal governments, on nonfinancial public enterprises, on private sector, and on nonbank financial institutions; liquid liabilities, money market instruments, liabilities of Central Bank - securities, restricted deposits, long-term foreign liabilities, liabilities to non-bank financial institutions, capital accounts, and other items (net).

Data on the money supply (M1, M2, M3 and M4), covering the entire National Financial System (SFN) are published in Portuguese in the monthly Central Bank Bulletin and in the monthly Press Releases.

Periodicity

 Monthly

Timeliness

 Analytical accounts of banking sector are produced and published, with preliminary information, 4 weeks after the end of the reference month and, with final information, 8 weeks after the reference month, available in the Central Bank Bulletin and on Central Bank's website.
http://www.bcb.gov.br

For the months of March, June, September and December, preliminary data will be released 6 weeks after the end of the reference month.
Access by the Public

Advance dissemination of release calendar

 An advance release calendar that gives one quarter ahead notice of the precise release dates is published on the website of the Central Bank of Brazil (http://www.bcb.gov.br/sddsi/calendar_i.htm), and on the IMF’s Data Dissemination Standards Bulletin Board (http://dsbb.imf.org). A calendar for the entire following year is published on each December issue of the Central Bank Press Release and on Central Bank's website:
http://www.bcb.gov.br

Simultaneous release to all interested parties

 Data published in Portuguese in the Press Release (money supply) and in the Central Bank 's Bulletin (banking survey), are made available to all interested parties at the same time on the Central Bank's website on the Internet (http://www.bcb.gov.br). These documents are also available to all at the Central Bank's library.
Integrity

Dissemination of terms and conditions under which official statistics are produced, including those relating to confidentiality of individual responses

 The Central Bank of Brazil compiles and publishes monetary and financial statistics pursuant to the legislation in force, specifically the Law establishing the Central Bank (Law Nr. 4595 of Dec. 31st, 1964) and the National Monetary Council resolutions, governing the generation and release of data and information, in particular with regard to the confidentiality of data.

The Central Bank guarantees the confidentiality of the data relating to individuals and intitutions, in observance of the established in Article 38 of the Law Nr. 4595.

The Law Nr. 4595, the National Monetary Council resolutions, and other rules issued by the Central Bank of Brazil, as well as other legislation, can be found in Portuguese on the Central Bank's Internet page:
http://www.bcb.gov.br/mPag.asp?cod=106&Perfil=1&codP=0

These laws are available to the public in Portuguese at the Internet page of the Presidency of the Republic, under search of decrees and laws
http://www.planalto.gov.br.

Identification of internal government access to data before release

  

Identification of ministerial commentary on the occasion of statistical releases

 The data are released without ministerial comment. The only comments in the document released are those of the Central Bank.

Provision of information about revision and advance notice of major changes in methodology

 Preliminary data are subject to continual revision, reflecting the growing coverage of institutions in the banking system. The data are final when cover the entire financial system. Significant conceptual and methodological changes are described in special notes in the monthly Central Bank Bulletin in which such changes are introduced. Less important changes or methodological details are presented in footnotes to the relevant tables. Changes that compromise temporal comparisons of published data are indicated in all publications in which the affected series appear.
Quality

Dissemination of documentation on methodology and sources used in preparing statistics

 Methodological comments are presented as explanatory notes in the monthly Bulletin. Technical notes describing the methodology used to compile data are published in several editions of the monthly Bulletin. Information on the comparability of statistical series is also published in explanatory notes in the monthly Bulletin.

Dissemination of component detail, reconcilliations with related data, and statistical frameworks that support statistical cross-checks and provide assurance of reasonableness

 The monthly Bulletin contains disaggregated monthly data on assets and liabilities of the Monetary Authority, deposit money banks and other banking institutions. Deposit money banks comprise commercial banks, multipurpose banks with a commercial portfolio, state savings banks (up to November, 1998), the Federal Savings Bank and Banco do Brasil. Other banking institutions comprise investment banks, the National Bank for Economic and Social Development, state development banks, finance and investment companies, housing credit companies, savings and loans associations, mortgage companies and financial investment funds.

The disseminated series consign the monthly data of the prior seven months published in the Central Bank Bulletin. The monthly Central Bank Bulletin is also published on its website (http://www.bcb.gov.br/?BULLETINCR) as well as the disaggregated series for the deposit money banks and other banking institutions.

Analytical accounts historical series of the banking sector may be found in the Banco Central's Time Series system of the internet.

At the Central Bank Information System (SISBACEN), the balance sheets and other documents of the financial institutions are presented individually and systematically on a monthly basis as of June, 1988.

Notes

 A flexibility option is being taken for the timeliness of the data on the analytical accounts of the banking sector.

As of February 2005, when they were first released, the banking survey series have been covering financial investment funds, with inclusion backing December 1998.

Summary page on observance and transition plan
 

Dissemination Formats
Hardcopy
X X News release Central Bank Press Release is published in Portuguese and in English and is available by request, free of charge.
    Weekly bulletin  
  X Monthly bulletin The Central Bank Bulletins are available in Portuguese and in English at the Central Bank's library.For a paid subscription:

DEMAP/DISUP/SUIMP
SIG - Quadra 8 – Lote 2025
70610-400 Brasilia (DF) - Brasil

Telephone number: 55 61 3344-1554
Fax number:          55 61 3344-2982
e-mail: demap.disup@bcb.gov.br

The cost is R$ 19.05 per issue.
    Quarterly bulletin  
    Other  
Electronic media
X   On-line country bulletin board or database  
X   Internet address

The Central Bank Press Release (on the monetary aggregates) and the Central Bank Bulletin (on the banking survey) are available at the Central Bank's website on the Internet:
http://www.bcb.gov.br

These documents are also available at the Banco Central's libraries.
    Diskette  
    CD ROM  
    Other  

 

Summary Methodology
Analytical framework, concepts, definitions, and classifications (including reference to applicable guidelines)
Consolidated Data on the Banking Sector The analytical accounts of the banking sector result from consolidating the analytical accounts of the monetary system (Monetary Authority plus deposit money banks) and other banking institutions. The data are rearranged and presented in two groups, one representing assets and the other liabilities.

Assets include net foreign assets and domestic credit, subdivided into claims on: central government (net), state and local governments, nonfinancial public enterprises, private sector e nonbank financial institutions.

Liabilities are subdivided into liquid liabilities, money market instruments, liabilities of Central Bank - securities, restricted deposits, long-term foreign liabilities, liabilities to nonbank financial institutions, capital accounts, and other items (net).

  • Net foreign assets - represent net foreign assets of the banking survey, resulting from the sum of net foreign assets in the consolidated balance sheet of the monetary system, plus foreign assets and minus the foreign liabilities of other banking institutions, taking into account only foreign assets and short-term foreign liabilities.

  • Claims on central government (net) – represent National Treasury securities in the portfolio of the banking survey, plus credit granted to the nonfinancial federal public sector by deposit money banks and other banking institutions and minus deposits of the federal government with the banking survey.

  • Claims on state and local governments - represented by state and municipal securities in the portfolio of the banking survey institutions, plus credit and financing in commitment operations with securities, granted to nonfinancial public sector of these governments levels.

  • Claims on nonfinancial public enterprises - represent operations referring to the purchase of nonfinancial public enterprises stocks plus credit granted to these enterprises, both made by deposit money banks and other banking institutions.

  • Claims on private sector – represent the debtor position of the private sector vis-à-vis the banking survey, resulting from the balances of loans to the nonfinancial private sector held by the deposit money banks and other banking institutions, plus loans, financing, and investments made by purchase of securities such as debentures and stocks.

  • Claims on nonbank financial institutions - correspond to securities that were accepted from nonbank financial institutions for the negotiation of debts by Central Bank, as well as credits consequent upon resale agreements.

  • Liquid liabilities - represent money and quasi-money taken by the banking survey as a whole, resulting from the balances of these items held by the monetary system, plus savings, time and other deposits of other banking institutions, minus other banking institutions availabilities.

  • Money market instruments - include financial investment fund quotas, financial funding through bills of exchange, real estate and mortgage notes, as well as liabilities consequent upon repurchase operations with state, municipal governments, nonfinancial public companies and private sector.

  • Liabilities of Central Bank - securities – represent the securities issued by the Central Bank with the market, excluding the securities purchased by deposit money banks and by other banking institutions. Pursuant Complementary Law Nº 101, dated 5.4.2000 (Fiscal Responsibility Law) issuing of public securities by Central Bank as of May, 2002 has been prohibited.
    Note: Negative values in this series are consequent upon different methods of evaluating securities. While the Central Bank security liabilities are evaluated by cost, the porfolio of these securities in the financial institutions and funds may be evaluated by cost or market, depending on the intention to hold such securities.

  • Restricted deposits - represent other deposit balances and credit balances in required reserves, with deposit money banks and other banking institutions, plus deposits in foreign currencies with the Central Bank.

  • Long-term foreign liabilities - include long-term foreign liabilities of the Central Bank, loans and on-lending held in the deposit money banks and other banking institutions, the majority with maturities greater than one year.

  • Liabilities to nonbank financial institutions - represent demand deposits of nonbank financial institutions as well as liabilities consequent upon repurchase agreements.

  • Capital accounts – represent the banking survey's own resources, broken down into net worth, profit/loss accounts, reserves and provisions.

  • Other items (net) – represent the net position of other asset and liability accounts not considered in the above asset and liability items.

Money Supply

Included in Monetary Aggregates - Money Supply are: M1, M2, M3 and M4. Internationally accepted concepts and definitions rooted in economic theory are used. In the broad sense, the holders of the Money Supply are composed of the nonfinancial sector of the economy and financial institutions that do not issue instruments considered as currency. It should be pointed out that there are certain peculiarities in the coverage, measurement, and accounting conventions of each of the variables making up the individual aggregates, which are discussed below. From the point of view of the structuring of its components, the aggregates are defined by their issuer systems:

  • M1 comprises instant liquidity liabilities. It consists of currency held by the public (PMPP) and demand deposits (DD). PMPP equals the difference between the currency issued by the Central Bank of Brazil and the "cash" assets of the banking system. DD are deposits lodged with deposit money banks which can be drawn on by checks or electronic means. Making up the group of deposit money banks are the commercial banks, multipurpose banks, and savings banks. This segment does not include credit cooperatives, owing to the insignificance of their deposits and the difficulty of obtaining comprehensive daily data, and even monthly adjusted balance sheets. The deposits of the public sector are included in demand deposits, except for funds of the National Treasury, on deposit at Banco do Brasil;

  • M2 comprises, in addition to M1, investment deposits and high liquidity issues carried out primarily on the internal market by depositary institutions - those that are multipliers of credit;

  • M3 includes M2 plus internal funding operations carried out through fixed income funds and the net position of securities registered in the Special System of Clearance and Custody (Selic), as a result of financing in repo operations and

  • M4 takes in M3 and high liquidity public securities.

It should be noted that, among federal securities, only those registered at Selic are considered in the money supply. Despite the high liquidity of National Treasury funding instruments, it was understood that recognition of such issues as quasi-money in the money supply concepts must be as restricted as possible, given that this institution is not a component of the national financial system (SFN). In its turn, Banco Central security operations are already concentrated in Selic. In the analytical accounts of the banking sector, data related to monetary liability (liquid liabilities plus money market instruments) result from compilation of accounting data, according to the methodology proposed by IMF for calculating the broad monetary aggregate.
Scope of the data (coverage of, e.g., institutional units, transactions and stock, commodities, industries, and geographic areas)
Adjusted Consolidated Banking Survey Data

The data refer to the universe covered, as they come from the accounting records of the Central Bank of Brazil and consolidated data on deposit money banks and other banking institutions, obtained from the Financial System Accounting Plan (COSIF).

Money Supply

The data refer to the universe covered, as they come from the accounting records of the Central Bank of Brazil and consolidated data on financial institutions (banking and nonbank), obtained from COSIF and from daily nonaccounting reports.

As of the reference date of March 2004, the consolidated balance sheets of financial investment funds come from the Securities and Exchange Commission (CVM).

Comments

The generation and publication of data on the monetary aggregates takes place in two separate stages. The first involves estimates that are replaced in the second stage by final population data. The alternative of generating estimated data was adopted because of the amount of time required to produce final data, which makes timely decision-making impossible.

In the specific case of M1, estimates are calculated on a daily basis. Data on the amount of currency issued are taken from the Central Bank daily balance sheet. The data on the other variables that go into the formula are estimated based on a sample made up of those financial institutions that represent at least 90 percent of the monetary aggregate in question. The estimated data are replaced only in the end-of-month positions, which are considered final, based on the aggregation of data taken from the monthly adjusted balance sheets of the financial institutions making up the total population.

In the other monetary aggregates (M2, M3 and M4), accounting data drawn from the Financial Institution Accounting Plan (Cosif) are adopted as the main data source. The other sources are government data on the federal, state and municipal securities debt on the market, as consolidated by the Banco Central Economic Department, and repo operation positions based on the Special System of Clearance and Custody (Selic), broken down into sectors by the Banco Central Department of Open Market Operations.
Accounting conventions (e.g. time of recording, valuation methods)
Consolidated Data on the Banking Sector Revenue and expenditure are recorded on an accrual basis, with monthly periodicity.

Foreign assets and liabilities are converted at the exchange rates in effect on the date of the balance sheet and those with variable interest rates are adjusted according to the indices agreed on by contract or pursuant to legal and regulatory provisions. Investments in gold are adjusted to reflect market value. The country’s international reserves are deposited with the Central Bank of Brazil pursuant to Law 4595 of 12/31/64.

Portfolio federal securities classified as held up to maturity are evaluated by the updated purchasing cost. Other securities are evaluated according to its market value.

Money Supply

The original data used in calculating the extended money supply are registered on an accrual basis.
Nature of the basic data (e.g., administrative records, surveys censuses, combinations of these)
Consolidated Data on the Banking System Sector Data are originated from three sources of internal information at the Central Bank of Brazil and from financial investment fund balance sheets, which are provided by the Securities and Exchange Commission as of the reference month of March, 2004. In relation to internal sources, the first group includes the Central Bank balance sheets. The second is generated by the Balance of Payments Division of the Department of Economics (DEPEC/DIBAP), which is consolidated data on the foreign assets and liabilities of the public sector, including accounts of the National Treasury and the Central Bank of Brazil related to the function of monetary authority. The third comes from COSIF, which is linked to a database containing the balance sheets and adjusted balance sheets of all financial institutions, stored in the SISBACEN.

In addition, extra accounting reports are used to break down repo operations into sectors, which are provided by Department of Open Market Operations (Demab).

Money Supply

The information sources for compilation of the money supply, broken down by monetary aggregate component, are:

  1. M1: extra-accounting information updated daily by financial institutions and accounting information originating in Banco Central do Brasil Balance Sheets and the Analytical Balance Sheets of the banking system institutions that create currency;
  2. M2: Aside from the origins of M1, accounting data originating in the Analytical Balance Sheet of the financial institutions that are members of the Brazilian System of Savings and Loans (Multiple Banks, Real Estate Credit Companies, Savings and Loan Associations, Banco do Brasil, Banco do Nordeste do Brasil and Banco da Amazônia) and investment funds are also included;
  3. M3: Aside from the origins of M2, accounting information extracted from the balance sheets of Investment Funds and reports issued by the Department of Open Market Operations (Demab) are included; and
  4. M4: Aside from the origins of M3, administrative records of the federal, state and municipal securities debt, as consolidated by the Banco Central do Brasil are included.
Compilation practices (e.g., weighting schemes, imputation methods, balancing/cross-checking techniques)
Consolidated Data on the Banking Sector

The calculation procedures consist of classifying and regrouping the headings of the analytical accounts of the monetary system (monetary authority and deposit money banks) and other banking institutions.

Money Supply

The calculations of each Money Supply concept are now presented individually.

M1 Concept

  1. Calculation Formula
    2. M1 = PMPP + DV

    in which:
    M1 = Money Supply;
    PMPP = Currency Held by the Public = Currency Issued (PME) less Banking System reserves;
    and DV = Demand Deposits in the Banking System(*).

    (*) Demand deposits include:

    • Private Sector Deposits;
    • Federal, State and Municipal Government Deposits;
    • Federal, State and Municipal Enterprise Deposits;
    • Deposits of financial institutions not subject to compulsory reserves;
    • Deposits of persons domiciled abroad;
    • Traveler checks;
    • Marked checks;
    • Salary checks;
    • Credit balances in loan and financing accounts; and
    • Liabilities for the rendering payment service.
  2. Operational procedures
Daily Estimate – The PMPP variable considers two components: PME and financial institution cash. The data representative of the first component are extracted daily from Bacen accounting. The second component is estimated on the basis of the aggregation of the data of the financial institutions included in the representative sampling. The sample data are estimated for the population, considering the relative participation of the sample in the universe of financial institutions. In the same way, the variable “Demand Deposits in the Banking System” is estimated for the population.

Definitive Positions – The data on the variables included in the formula are taken directly from accounts previously established in the monthly adjusted balance sheet of the Central Bank of Brazil and the standardized monthly adjusted balance sheets of the financial institutions, taking into consideration the universe of financial institutions, and are aggregated for the purposes of the formula.


M2 Concept

  1. Calculation Formula
    2. M2 = M1 + DER + DP + TED + DI

    in which:
    M2 = Money Supply;
    DER = Special Interest-Bearing Deposits;
    DP = Savings Deposits(*);
    TED = Securities issued by depositary institutions. Include Automatically Reinvested Deposits, Time Deposits, Bills of Exchange, Real Estate Bonds and Mortgage Bonds. It also includes securities held by fixed income funds, financial investment funds, short-term financial investment funds, short-term fixed income funds, commodities funds. Securities held by financial institutions are not included. And
    DI = Investment Deposits

    (*) Savings Deposits include: Nonearmarked Savings; Retirement Savings; Savings of Financial System Institutions; Programmed Savings; Savings – Multiple Values; Earmarked Savings and Special Savings.

  2. Operational Procedures
Estimate – M2 estimates are calculated on the basis of M1 estimates, plus the aggregations of each component of the calculation formula extracted from the accounting data originating in the Accounting Plan of Financial Institutions (Cosif).
Definitive Data – are calculated on the basis of the definitive M1 positions, plus the aggregations of specific accounts representative of each one of the components of the calculation formula. The data are extracted from the standardized balance sheets of financial institutions, investment funds and member institutions of the Brazilian System of Savings and Loans remitted monthly to Bacen (Cosif).

M3 Concept

  1. Calculation Formula
    2. M3 = M2 + fixed income fund quotas (*) + Repo Operations registered at Selic

    in which:
    M3 = Money Supply;
    Fixed income fund quotas = Adjusted Net Worth, excluding National Financial System Investments in Investment Fund quotas and Securities Issued by financial institutions, which are included in Investment Fund portfolios;
    Repo Operations registered at Selic = net position of securities registered in the Special System of Clearance and Custody (Selic), as a consequence of financing in repo operations.

    (*) Considering fixed income funds as those supervised by Brazil's Securities and Exchange Comission and which, therefore, are obligated to remit accounting statements based on Cosif. Currently, they correspond to the Investment Funds (FIF), from which resources belonging to the central government are excluded in the calculation of the monetary aggregates. The variable income funds and pension funds are not considered as issuers of liquidity and multipliers of credit and are therefore classified among nondepositary agents.

  2. Operational Procedures
Estimate – M3 estimates are calculated on the basis of M2 estimates, plus aggregations of each component of the calculation formula extracted from the accounting data originating in the Accounting Plan of Financial Institutions (Cosif).

Definitive Data – are calculated on the basis of the definitive M2 positions, plus the aggregations of specific accounts representative of each one of the components of the calculation formula. The data are extracted from the standardized balance sheets of financial institutions, investment funds and member institutions of the Brazilian System of Savings and Loans remitted monthly to Bacen (Cosif) with regard to investment funds, the balance sheets are released by the Securities and Exchange Comission (CVM).

M4 Concept

  1. Calculation Formula
    2. M4 = M3 + TF + TEM

    in which:
    M4 = Money Supply;
    TF = Federal Securities (encompasses Banco Central do Brasil and National Treasury Securities held by the public);
    TEM = State and municipal securities held by the public.

  2. Operational Procedures
Estimate – calculated on the basis of M3 estimates, plus the aggregations of each component of the calculation formula extracted from the accounting data originating in the Accounting Plan of Financial Institutions (Cosif) and from the survey of public securities carried out by the Open Market Department (Demab).

Definitive Data – are calculated on the basis of the definitive M3 positions, plus the aggregations of specific accounts representative of each one of the components of the calculation formula. The data are extracted from the standardized balance sheets of National Financial System member institutions and surveys carried out by the Open Market Department (Demab).
Other aspects (e.g., seasonal adjustment, disclosure avoidance, base years, reference years, transformations from fiscal to calendar years)