The Bolivian Central Bank recognizes the use of e-Wallets

October 3, 2024

On September 26 of this year, the Board of Directors of the Bolivian Central Bank (BCB) decided to modify the Regulation on Payment Services, Electronic Payment Instruments, Clearing, and Settlement (the "RPS") through Board Resolution 111/2024. In this regard, it is evident that the RSP now recognizes the use of electronic wallets in Bolivia.

Specifically, Board Resolution 111/2024 (the "Resolution 111") decided to modify Article 11 of the RPS to authorize Financial Intermediary Entities, Payment Service Entities (PSEs), and Clearing and Settlement Chambers (SCs) to provide the service of "Digital Wallet Management."

This seems to indicate that these institutions will offer e-Wallet services developed for themselves (e.g., digital wallets developed by and for a specific bank). Therefore, we understand that the BCB does not recognize or authorize the use of electronic wallets that come from and/or are managed by other entities (e.g., PayPal).

Furthermore, Resolution 111 seems aimed at deregulating the limits on fees and commissions that could be charged in relation to the use of Electronic Payment Instruments (e.g., electronic cards). In fact, Resolution 111 modified Article 8 of the RPS by removing references to "charges" and "commissions," such that the BCB can now set limits only regarding "rates".

Finally, it is important to emphasize that Resolution 111 reinforces the need for interconnection and interoperability of services concerning the processing of payment orders. Indeed, Article 47 of the RPS now includes a clause that requires PSEs, Securities Deposit Entities, and SCs to notify the BCB in advance of any operational changes that may affect this interconnection.