China and Brazil Strengthen Financial Cooperation with Strategic Agreements

China and Brazil have taken a significant step towards deepening their financial cooperation by signing two key agreements on May 13, 2025. The Memorandum of Understanding on Financial Strategic Cooperation between the People's Bank of China and the Central Bank of Brazil aims to improve the investment environment in financial markets, enhance technical exchanges, and promote the interconnection and interoperability of financial market infrastructure. The two countries also renewed a bilateral currency swap agreement worth 190 billion yuan / 157 billion Brazilian reais for a five-year term, facilitating trade and investment between them. Furthermore, the two central banks signed a Memorandum of Understanding on Financial Intelligence Exchange and Cooperation on Anti-Money Laundering and Anti-Terrorist Financing to combat transnational financial crimes.

Key Takeaways:

The People's Bank of China and the Central Bank of Brazil signed a Memorandum of Understanding on Financial Strategic Cooperation to promote comprehensive cooperation between the two central banks.
The agreement aims to improve the investment environment, strengthen technical exchanges, and promote the interconnection and interoperability of financial market infrastructure.
The two countries renewed a bilateral currency swap agreement worth 190 billion yuan / 157 billion Brazilian reais for a five-year term, facilitating trade and investment between them.
The People's Bank of China and the Central Bank of Brazil also signed a Memorandum of Understanding on Financial Intelligence Exchange and Cooperation on Anti-Money Laundering and Anti-Terrorist Financing.
The agreements will provide more efficient and secure financial service guarantees for enterprises in both countries, provide financial support for the docking of China-Brazil development strategies, and further consolidate and deepen the China-Pakistan comprehensive strategic partnership.

Statistics:

The renewal scale of China-Brazil bilateral local currency swap is RMB 190 billion/Brazil Real 157 billion.
The agreement is valid for five years and can be extended with the consent of both parties.
The two countries signed a Memorandum of Understanding on Financial Strategic Cooperation and a Memorandum of Understanding on Financial Intelligence Exchange and Cooperation on Anti-Money Laundering and Anti-Terrorist Financing.

Sources:

"The People's Bank of China issued the following news release: May 13, 2025, under the joint witness of Chinese President Xi Jinping and Brazilian President Lula, People's Bank of China Governor Pan Gongsheng and Central Bank of Brazil Governor Gallipolo signed the 'Memorandum of Understanding on Financial Strategic Cooperation between the People's Bank of China and the Central Bank of Brazil' and the 'RMB/Real Bilateral Currency Swap Agreement between the People's Bank of China and the Central Bank of Brazil'."