Brazil central bank official defends domestic pay system amid U.S. payment concerns

RIO DE JANEIRO, April 6 (Xinhua) -- A senior official at Brazil's central bank on Monday defended the country's instant payment system Pix, saying that recent criticism comes from sectors linked to the U.S. payments industry, whose interests could be threatened by Brazil's expansion of low-cost, real-time transfer systems.

Paulo Picchetti, director of international affairs and corporate risk management at the Central Bank of Brazil, said the rapid growth of Pix may challenge traditional payment models dominated by foreign players.

"Those who criticize Pix have interests that are not those of the Brazilian population," Picchetti said after attending an event in Rio de Janeiro.

He said the domestic instant payment platform helps reduce costs, increase competition and expand access to financial services, adding that such changes may challenge more traditional business models.

Pichetti also emphasized that Pix has contributed to financial inclusion by bringing millions of people who previously lacked access to traditional banking services into the financial system and has supported the modernization of the payments system.

Launched in 2020, Pix allows instant transfers 24 hours a day, seven days a week, and has transformed Brazil's payments market. ■