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Tanner looks to become Chile's largest fintech; Argentina holds key rate

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Tanner looks to become Chile's largest fintech; Argentina holds key rate

* Tanner Servicios Financieros SA will continue investing between $5 million and $10 million in technology per year with hopes of becoming the largest financial technology firm in Chile, CEO Antonio Turner said in an interview with Diario Financiero.

* Argentina's central bank maintained its benchmark policy rate at 40%, saying that "increased instability in emerging markets" has made it necessary to keep interest rates higher for "the near future." The central bank also pointed to higher-than expected domestic inflation, with core inflation hitting a 22.4% annual pace in April.

MEXICO AND CENTRAL AMERICA

* Mexico's central bank has proposed regulations aimed at bringing consumer safeguards on unrecognized debit card payments in line with those already in place for credit card transactions, El Economista reported. Under the change, banks will have to return funds to card holders within two working days of a complaint about a fraudulent or otherwise erroneous payment.

* Banco Santander (México) SA Institución de Banca Múltiple said it repurchased 4.76 million Mexican pesos of its shares, representing 0.01% of its total outstanding shares, under a program that allows the bank to buy back up to 12.80 billion pesos of shares.

BRAZIL

* Brazil's central bank thought about lowering its benchmark interest rate at last week's policy meeting before eventually deciding to hold the rate at 6.50%, Reuters reported, citing the minutes of that meeting. The bank's decision came amid widespread expectations of a 25-basis-point rate cut.

* Brazilian President Michel Temer said he will not run for re-election later this year and instead threw his support behind former Finance Minister Henrique Meirelles as the ruling MDB party's presidential candidate, Reuters reported.

* Stock exchange operator B3 SA – Brasil, Bolsa, Balcão expects the first registrations for the issuance of LIG real estate certificates to take place in the third quarter, Reuters reported, citing the company's director of commodities, products and new business Fábio José de Almeida Zenaro. Banco Inter SA plans to be among the first issuers of LIGs.

* Around 1,000 Brazilians applied for compensation on an electronic platform within a few hours of its May 22 launch as part of an agreement with banks to compensate savers who suffered losses due to government economic plans in the 1980s and 1990s, Diário Comércio Indústria & Serviços reported. Banco do Brasil SA and Banco Bradesco SA are evaluating the possibility of paying compensation claims in cash, the publication reported separately.

* Financial technology firm Nubank reached 4 million credit card customers this month, but profits are not a short-term priority for the company as this could cause it to miss key business opportunities, founder David Vélez told Reuters.

* Demand for credit from Brazilian companies increased 5.7% year over year in April, according to credit research firm Serasa Experian. The increase was driven by improving economic growth and lower interest rates, the firm said. Murilo Portugal, the president of Brazilian banking association Febraban, said he expects the current cycle of credit expansion in Brazil to continue, Reuters reported.

ANDEAN

* Venezuelan President Nicolas Maduro ordered two senior U.S. diplomats to leave the country in retaliation for a fresh wave of sanctions over Venezuela's recent elections, which were widely criticized for not meeting democratic standards, Reuters reported.

* Bancolombia SA has allocated $100 million for digital innovation and transformation initiatives in 2018 and will invest between 60% and 70% of that amount within Colombia, La Republica reported, citing Gabriel Di Lelle, the group's vice president of innovation and digital transformation.

* The Inter-American Development Bank said it will not grant new loans to Venezuela until the crisis-laden country clears its debt arrears with the bank, Reuters reported.

SOUTHERN CONE

* S&P Global Ratings revised its outlook on Visión Banco SAECA to positive from stable. The revision reflects a possible upgrade in the next 12 months if the bank enhances its capital and earnings profile through a capital injection, with a risk-adjusted capital ratio consistently above 5%.

* Fitch Ratings revised its outlook on Banco de la Nación Argentina - Sucursal Uruguay's long-term foreign and local currency issuer default ratings to stable from positive. The change was driven by a similar action on the bank's parent company.

* Paraguay's central bank maintained its monetary policy interest rate at 5.25%, saying that inflation in the country has remained controlled at levels close to its annual target of 4.0%. The central bank also expects "greater dynamism" in Paraguay's economic activity.

* Argentine bankers say demand for credit from small and medium-sized enterprises has remained stable despite some concerns over the impact of the central bank's recent benchmark rate hikes, Clarín reported. According to central bank data, loans to SMEs increased 26% year over year in March in real terms.

* The number of complaints filed against Chilean financial institutions increased 20% year over year in the second half 2017, with complaints against banks rising 11%, Diario Financiero reported, citing data from consumer service agency Sernac.

PAN LATIN AMERICA

* Colombian health insurer Coomeva SA is considering entering the Chilean market and plans to make a decision on the matter by around mid-year, Diario Financiero reported.

IN OTHER PARTS OF THE WORLD

* Asia-Pacific: China's Anbang to exit securities unit; Mitsui Sumitomo to buy BoCommLife stake

* Middle East & Africa: Emirates NBD snaps up DenizBank; Nigeria holds rates; Misr to list 2 units

* Europe: Barclays said to mull merger with StanChart; Julius Bär AUM breach CHF400B

Helen Popper contributed to this article.

This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings, a separately managed division of S&P Global. Descriptions in this news article were not prepared by S&P Global Ratings.

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