Business · Companies · 2 hrs ago
Brazil prepares to expand use of electronic invoices for business credit
Brazilian businesses are preparing to use electronic trade receivables, a digital version of credit documents tied to sales made on payment terms.
At least 233 business locations have registered as issuers, up from about 20 roughly a month earlier, but participation is still a small share of potential users.
The system is being tested on a limited scale through three registrars: Cerc, B3 and Núclea.
Full operation is due to begin in January, initially on a voluntary basis.
Mandatory use will be phased in from July, starting with large companies and later including smaller ones.
Banks will then be able to discount these receivables for businesses only when they have been digitally recorded.
A major practical challenge is ensuring payments reach the current owner of a receivable after it is transferred.
A central bank dynamic-payment slip is expected in February and could update the creditor automatically, helping make wider adoption easier.
Brazil is preparing to expand use of electronic trade-credit notes, which represent receivables from sales on credit.
At least 233 business locations are registered to issue the notes, up from about 20 roughly a month earlier.
The system is operating on a small scale in a controlled setting, and full operation is due to begin in January on a voluntary basis.
Mandatory use is planned in stages from July next year, starting with large companies.
Market participants say operational obstacles, including how payments reach the correct creditor, are slowing wider adoption.
- Who
- Brazilian businesses, financial institutions and the registries preparing to use and manage electronic trade-credit notes.
- What
- Brazil is preparing to expand use of electronic notes representing receivables from credit sales.
- When
- Full operation is due to begin in January; mandatory use is planned to start in July next year.
- Where
- Brazil.
- Why
- The system is intended to support credit based on receivables and encourage advances against invoices.
This story does not have two clearly opposing sides.
The system is being used in a small set of operations in a controlled environment across three authorized registries.
Full operation is due to begin, still on a voluntary basis.
The Central Bank is expected to start operating the dynamic payment slip, which is in testing.
Mandatory use is due to begin in stages, first for large companies and then smaller businesses.
- Registered issuers
- At least 233 business locations
- Earlier issuer count
- About 20, roughly a month before the report
- Authorized registries
- Cerc, B3 and Núclea
- Annual note issuance
- R$10 trillion to R$13 trillion under the current paper-based model
What people are saying
Companies are no longer waiting or uninformed about the issue; they have started to act
The number of companies that have advanced to the contracting and technology integration phase is higher, but many have not yet made the definitive switch
These three factors—migration of existing contracts, the dynamic payment slip and restrictions on the debtor—are still limiting factors for broader company adoption