Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil

This paper explores the extent to which formal, regulated financial institutions such as banks have been able to partner with "correspondents"- commercial entities whose primary objective and business is other than the provision of financ...

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Main Authors: Kumar, Anjali, Nair, Ajai, Parsons, Adam, Urdapilleta, Eduardo
Format: Publication
Language:English
en_US
Published: Washington, DC: World Bank 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2006/06/6838533/expanding-bank-outreach-through-retail-partnership-correspondent-banking-brazil
http://hdl.handle.net/10986/7038
id okr-10986-7038
recordtype oai_dc
spelling okr-10986-70382021-04-23T14:02:27Z Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil Kumar, Anjali Nair, Ajai Parsons, Adam Urdapilleta, Eduardo ACCOUNT MAINTENANCE ACCOUNTING ACCOUNTING FRAMEWORK BANK BRANCHES BANKING LEGISLATION BANKING SECTOR BANKING SERVICES BANKING SYSTEM BRANCH BANKING BUSINESS ESTABLISHMENT CAPITALIZATION COLLECTION COLLECTION SERVICES COMMERCIAL ENTITIES COMPANY COOPERATIVES COPYRIGHT CORRESPONDENT BANKS CREDIT ANALYSIS CREDIT CARDS CREDIT RISK CREDIT UNIONS DATA PROTECTION DEPOSITS DOI ELECTRICITY ELECTRONIC BANKING FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL SERVICES FINANCIAL TRANSACTIONS FIXED COSTS FRANCHISE FRANCHISES INSURANCE INTERNET USE LABOR COSTS LEGISLATION LEGISLATIVE FRAMEWORK LIABILITY LICENSES LIMITED LIQUIDITY LOTTERY MICROFINANCE MUNICIPALITIES MUNICIPALITY NATIONAL BANK NETWORKS PARTNERSHIP PAYMENTS PERSONS POSTAL SERVICES PRIVATE BANKS PRIVATE CONTRACTS PUBLIC PUBLIC CONTRACTS PUBLIC UTILITIES RETURN ON INVESTMENT RISK MANAGEMENT RISK SHARING SAVINGS SAVINGS ACCOUNTS SAVINGS BANKS SERVICE DELIVERY SMALL BUSINESSES SMART CARDS SUBSIDIARY TAX TELEPHONE SERVICES UNION This paper explores the extent to which formal, regulated financial institutions such as banks have been able to partner with "correspondents"- commercial entities whose primary objective and business is other than the provision of financial services. The paper illustrates the case of Brazil, where banks recently have developed extensive networks of such correspondents. Such arrangements result in lower costs and shared risks for participating financial institutions, making these arrangements an attractive vehicle for outreach to the underserved. Correspondent banking requires an enabling environment to emerge, and poses some regulatory challenges and some increase in risk. While there are reasons why this model was particularly successful in Brazil, it may be replicable elsewhere if appropriate regulatory adjustments are undertaken. 2012-06-04T19:23:17Z 2012-06-04T19:23:17Z 2006 http://documents.worldbank.org/curated/en/2006/06/6838533/expanding-bank-outreach-through-retail-partnership-correspondent-banking-brazil 978-0-8213-6702-5 http://hdl.handle.net/10986/7038 English en_US World Bank Working Paper No. 85 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC: World Bank Publications & Research :: Publication Publications & Research :: Publication Latin America & Caribbean Brazil
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACCOUNT MAINTENANCE
ACCOUNTING
ACCOUNTING FRAMEWORK
BANK BRANCHES
BANKING LEGISLATION
BANKING SECTOR
BANKING SERVICES
BANKING SYSTEM
BRANCH BANKING
BUSINESS ESTABLISHMENT
CAPITALIZATION
COLLECTION
COLLECTION SERVICES
COMMERCIAL ENTITIES
COMPANY
COOPERATIVES
COPYRIGHT
CORRESPONDENT BANKS
CREDIT ANALYSIS
CREDIT CARDS
CREDIT RISK
CREDIT UNIONS
DATA PROTECTION
DEPOSITS
DOI
ELECTRICITY
ELECTRONIC BANKING
FINANCIAL INSTITUTION
FINANCIAL INSTITUTIONS
FINANCIAL SERVICES
FINANCIAL TRANSACTIONS
FIXED COSTS
FRANCHISE
FRANCHISES
INSURANCE
INTERNET USE
LABOR COSTS
LEGISLATION
LEGISLATIVE FRAMEWORK
LIABILITY
LICENSES
LIMITED
LIQUIDITY
LOTTERY
MICROFINANCE
MUNICIPALITIES
MUNICIPALITY
NATIONAL BANK
NETWORKS
PARTNERSHIP
PAYMENTS
PERSONS
POSTAL SERVICES
PRIVATE BANKS
PRIVATE CONTRACTS
PUBLIC
PUBLIC CONTRACTS
PUBLIC UTILITIES
RETURN ON INVESTMENT
RISK MANAGEMENT
RISK SHARING
SAVINGS
SAVINGS ACCOUNTS
SAVINGS BANKS
SERVICE DELIVERY
SMALL BUSINESSES
SMART CARDS
SUBSIDIARY
TAX
TELEPHONE SERVICES
UNION
spellingShingle ACCOUNT MAINTENANCE
ACCOUNTING
ACCOUNTING FRAMEWORK
BANK BRANCHES
BANKING LEGISLATION
BANKING SECTOR
BANKING SERVICES
BANKING SYSTEM
BRANCH BANKING
BUSINESS ESTABLISHMENT
CAPITALIZATION
COLLECTION
COLLECTION SERVICES
COMMERCIAL ENTITIES
COMPANY
COOPERATIVES
COPYRIGHT
CORRESPONDENT BANKS
CREDIT ANALYSIS
CREDIT CARDS
CREDIT RISK
CREDIT UNIONS
DATA PROTECTION
DEPOSITS
DOI
ELECTRICITY
ELECTRONIC BANKING
FINANCIAL INSTITUTION
FINANCIAL INSTITUTIONS
FINANCIAL SERVICES
FINANCIAL TRANSACTIONS
FIXED COSTS
FRANCHISE
FRANCHISES
INSURANCE
INTERNET USE
LABOR COSTS
LEGISLATION
LEGISLATIVE FRAMEWORK
LIABILITY
LICENSES
LIMITED
LIQUIDITY
LOTTERY
MICROFINANCE
MUNICIPALITIES
MUNICIPALITY
NATIONAL BANK
NETWORKS
PARTNERSHIP
PAYMENTS
PERSONS
POSTAL SERVICES
PRIVATE BANKS
PRIVATE CONTRACTS
PUBLIC
PUBLIC CONTRACTS
PUBLIC UTILITIES
RETURN ON INVESTMENT
RISK MANAGEMENT
RISK SHARING
SAVINGS
SAVINGS ACCOUNTS
SAVINGS BANKS
SERVICE DELIVERY
SMALL BUSINESSES
SMART CARDS
SUBSIDIARY
TAX
TELEPHONE SERVICES
UNION
Kumar, Anjali
Nair, Ajai
Parsons, Adam
Urdapilleta, Eduardo
Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil
geographic_facet Latin America & Caribbean
Brazil
relation World Bank Working Paper No. 85
description This paper explores the extent to which formal, regulated financial institutions such as banks have been able to partner with "correspondents"- commercial entities whose primary objective and business is other than the provision of financial services. The paper illustrates the case of Brazil, where banks recently have developed extensive networks of such correspondents. Such arrangements result in lower costs and shared risks for participating financial institutions, making these arrangements an attractive vehicle for outreach to the underserved. Correspondent banking requires an enabling environment to emerge, and poses some regulatory challenges and some increase in risk. While there are reasons why this model was particularly successful in Brazil, it may be replicable elsewhere if appropriate regulatory adjustments are undertaken.
format Publications & Research :: Publication
author Kumar, Anjali
Nair, Ajai
Parsons, Adam
Urdapilleta, Eduardo
author_facet Kumar, Anjali
Nair, Ajai
Parsons, Adam
Urdapilleta, Eduardo
author_sort Kumar, Anjali
title Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil
title_short Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil
title_full Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil
title_fullStr Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil
title_full_unstemmed Expanding Bank Outreach through Retail Partnerships : Correspondent Banking in Brazil
title_sort expanding bank outreach through retail partnerships : correspondent banking in brazil
publisher Washington, DC: World Bank
publishDate 2012
url http://documents.worldbank.org/curated/en/2006/06/6838533/expanding-bank-outreach-through-retail-partnership-correspondent-banking-brazil
http://hdl.handle.net/10986/7038
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