ECB Explores Instant Payment Link With Brazil’s Pix

The European Central Bank (ECB) is considering linking its TARGET Instant Payment Settlement (TIPS) platform with Brazil's Pix system, according to Reuters. This potential interconnection follows unnamed sources claiming that the two central banks are exploring the idea, though the Central Bank of Brazil has not yet responded to the report.

If the systems were to be linked, it would represent the first cross-border expansion of Pix, which is currently the dominant payment method in Brazil. Technical teams from both central banks are evaluating the feasibility of the connection, with the possibility of launching a pilot project in 2028, as reported by Reuters. In August, Brazil's central bank expressed increased confidence in linking Pix with other instant payment systems, citing potential benefits such as reduced costs, faster transactions, wider access, and improved transparency in cross-border payments.

The PYMNTS Intelligence report "Digital Developments: Charting Digital Payment Growth in Latin America" highlights Pix's remarkable growth, with the system becoming one of Brazil's most favored payment methods and contributing to the rapid integration of digital finance across all demographic groups. Another PYMNTS Intelligence report, "The Real-Time Payments World Map," notes that Pix has reached 70% of Brazil's population, totaling over 150 million users, and processes more transactions than Visa and Mastercard combined.

Brazil's central bank has also expanded Pix to Argentina, enabling Brazilians residing in the country to conduct payments and transfers across borders.