1. UNION INTERNATIONALE DES AVOCATS INTERNATIONAL ASSOCIATION OF LAWYERS 58 th CONGRESS FLORENCE – ITALY 2014

2. FOREIGN INVESTMENT IS MY COUNTRY ATTRACTIVE FOR FOREIGN INVESTMENT? LIBERALISATION OF EXCHANGE CONTROLS BRAZIL EDUARDO LORENZETTI MARQUES

3. HISTORICAL BACKGROUND  Brazil, as most Latin American countries, was subject to strict exchange control: red tape, bureaucracy, previous authorization by public authorities, amount limits, restrictions, etc;  Exchange rate was controlled by the state, generating the official rate and the black market. EDUARDO LORENZETTI MARQUES - CAMPEDELLI E MARQUES | São Paulo - BRASIL

4. TODAY  A line of change, that started in the late 60s, lead to the free exchange market in 1999: very little intervention by the monetary authorities, the exchange rate is free (no black market and any Brazilian resident can have free access to exchange market. EDUARDO LORENZETTI MARQUES - CAMPEDELLI E MARQUES | São Paulo - BRASIL

5. TODAY  Thus, bringing foreign currency into the exchange Brazilian market and taking Brazilian currency (Real) out of Brazil by means of the exchange Brazilian market is free, without limits or restrictions, as far as the operation be legal. EDUARDO LORENZETTI MARQUES - CAMPEDELLI E MARQUES | São Paulo - BRASIL

6. IMPORTANT PRACTICAL ASPECTS  The legality of the operation has always to be shown;  The ‘authority’ who will evaluate the legality of the operation is the financial institution where the operation will take place;  The strictness of this legality control will depend on the kind of operation, parties and amount involved as well as vary from financial institution. EDUARDO LORENZETTI MARQUES - CAMPEDELLI E MARQUES | São Paulo - BRASIL

7. PRACTICE  According to our practice we could classify the easiness of the exchange operation as follow: Very Easy  Inflow of investments in general; Easy  Payment of imports;  Payment of dividends abroad;  Payment of loans abroad. More strict control (some red tape / tax impact);  Payment of services;  Payment of Royalties;  Payments of rent. EDUARDO LORENZETTI MARQUES - CAMPEDELLI E MARQUES | São Paulo - BRASIL

8. THANK YOU ALL!