Fiserv technology is facilitating the Pix payments service in Brazil, with more to come
Brazil has a large, diversified economy – the world's ninth largest economy by GPD – with a workforce of nearly 100 million people and a strong domestic consumer economy. In 2020, Brazil's Central Bank launched Pix, an ambitious project to change how the country pays and moves money.
Pix proved to be a transformative event in the economic life of the country.
Fiserv innovation and expertise has been central to Pix, and Jorge Valdivia, General Manager of Brazil, Fiserv, joined us to discuss the results of the initiative and how it is helping Brazil become a payments model for other economies around the world.
What is Pix, and why is it important in Latin America?
Valdivia: Pix is a digital, instant payment system created by the Central Bank of Brazil, the entity that regulates banking in the country. Pix enables funds transfers between accounts in a few seconds, on any day and at any time. Using a QR code or Pix alias, individuals, businesses and government entities can send and receive payments with ease.
After the service was launched in 2020, it quickly got the attention of Brazilian consumers and businesses alike. It’s free for consumers, and the cost to businesses is modest. And as an instant solution that’s available 24/7, accommodates all payment types in real time and has the security features of authentication and encryption built-in, Pix provided funds transfer capabilities that Brazil had never seen before.
The Central Bank launched the service as a way to foster greater competition in the Brazilian banking industry. It has also spurred economic activity.