“• In October 2013, Banco do Brasil launched the Ourocard card based on Visa’s payWave contactless payment technology. Visa is also looking to deploy contactless technology on a large scale for the upcoming 2016 Olympic Games. These initiatives are anticipated to fuel demand for contactless cards over the forecast period (2015–2019).
• Prepaid travel cards provide another major opportunity for prepaid card issuers, primarily because of the Brazilian government’s decision to tax credit card transactions outside the country from 2011. The Imposto sobre Operações Financeiras (IOF) levies a 6.38% fee on all foreign transactions made with Brazilian credit cards. From December 28, 2013, the Brazilian government extended the IOF to debit cards and travelers’ checks. These initiatives are anticipated to generate demand for prepaid travel cards over the forecast period.
• Mobile penetration in Brazil increased from 100.6% in 2010 to 133.5% in 2014, and is anticipated to increase further to 153.1% in 2019. Despite this, m-payments have been relatively slow to take off. However, this is set to change over the forecast period, as the government approved a bill in October 2013 giving the BCB authority to regulate m-payments. This is expected to encourage m-payments and reduce the use of cash, especially among the unbanked and rural populations. A growing young population, favorable economic conditions and government support to encourage m-payment initiatives should lead to growth in the m-payments market.”
