Brazil's Central Bank urged to secure financial autonomy as IMF praises Pix system

The International Monetary Fund released its Financial System Stability Assessment (FSSA) for Brazil, noting that the national financial system remains resilient but faces persistent challenges. The report praised the instant‑payment system Pix, stating that it “consolidou‑se como um importante instrumento de inclusão financeira, ampliação da concorrência e digitalização do mercado bancário brasileiro.” However, the IMF warned that the Central Bank (BC) lacks sufficient financial and budgetary autonomy and is hindered by staff shortages, legal constraints, and institutional weaknesses. Recommendations include granting the BC full financial and budgetary independence, separating its operational and supervisory functions, formalising Pix supervision, strengthening cyber‑risk governance and updating the legal framework for financial institution resolution. The assessment was prepared with the World Bank after missions to Brazil between December 2025 and March 2026, following the previous review in 2018, and coincides with Senate debate on a constitutional amendment to give the BC autonomy.