Legal and Regulatory Framework of the Payment and E-Money Services in the BRICS Countries

• Author: A. Shamraev
• Position: MGIMO University (Moscow, Russia)
• Pages: 60-81

BRICS LAW JOURNAL Volume VI (2019) Issue 2

LEGaL anD REGuLaToRY FRaMEwoRK oF THE PaYMEnT

anD E-MonEY SERVICES In THE BRICS CounTRIES

ANDREY SHAMRAEV,

MGIMO University (Moscow, Russia)

DOI: 10.21684/2412-2343-2019-6-2-60-81

This article focuses research on a comparative analysis of the legal and regulator y

framework of the payment and e-money services in the BRICS countries. These services

are the most receptive to innovation and considerably contribute to nancial inclusion.

The central banks of the BRICS countries play key roles in their national payment systems,

and they each have dierent statutory authorities on regulation and supervision or

oversight of payment services providers, payment schemes and payment systems.

Nevertheless, there are a number of features common to all the BRICS countries and

the research emphasizes and describes these features as well as distinguishes national

particularities.

Keywords: payment services regulation; e-money regulation; branchless banking

regulation; payment oversight; central banks; BRICS legal framework.

Recommended citation: Andrey Shamraev, Legal and Regulatory Framework of the

Payment and E-Money Services in the BRICS Countries, 6(2) BRICS Law Journal 60–81

(2019).

Table of Contents

1. Basic Economic and Legal Framework of the BRICS Payment Markets

2. Regulation of Payment Services

3. Regulation of Payment Services Provided Through Banking

Correspondents or Agents

4. Regulation of E-Money Services

ANDREY SHAMRAEV 61

1. Basic Economic and Legal Framework of the BRICS

Payment Markets

All ve BRICS countries belong to the ac tively developing payment markets.

The statistics of the Bank of International Settlements (BIS)1 demonstrates the data

displayed in Table 1 below. As can be seen from the gures, Brazil, Russia, India and

China have non-bank payment services providers including e-money issuers (except

Russia). The South African payment market is totally bank-led.

Table 1: Statistics on Payments and Financial Market Infrastructures in the

CPMI Countries

2017 Brazil Russia India China South

Africa

Total number of institutions

oering payment services/

instruments

1,163 4,822 1,739 4,797 34

Banks 153 562 1,693 4,550 34

Number of e-money

issuers 93 60

Non-banks oering payment

services/instruments 1,010 4,260 46 247

Non-banks oering storage

of value 1,004 46

Number of e-money

issuers 46

Non-banks relying on storage

of value oered by others 6 4,260

Total volume of cashless

payments (millions) 31,071 25,794 15,942 133,919 4,492

Credit transfers 10,495 1,817 6,035 9,666 797,76

Electronic means nap 1,645 nap nap nap

Card and e-money payments 14,485 22,397 8,257 122,473 2,848

E-money payments 49.99 1,721 3,459 nap nap

Fast payments nap 10,389 nap 8,464 nap

Total value of cashless payments

(billions) 47,870 741,545 286,052 3,626 30,110

Credit transfers 37,516 693,061 188,228 2,780 27,244

1 Statistics on payments and nancial market infrastructures in the CPMI countries, Bank for International

Settlements (May 12, 2019), available at http://stats.bis/org/statx/toc/CPMI.html.