Facebook’s bid to process payments in Brazil via Whatsapp has received a boost after the Brazilian regulator lifted the suspension it implemented a few days ago. However, Brazilian citizens are still not able to access the Whatsapp payment feature due to a ban by the country’s central bank.
Last month, Whatsapp announced that it would be enabling payments on its platform for Brazilian users by partnering with local payments company Cielo. Facebook CEO Mark Zuckerberg had said that transferring money would be as simple as sharing a picture.
Brazil is Facebook’s second-largest market after India. WhatsApp would have access to hundreds of millions of users and over 10 million small businesses if the regulator did not ban the payment feature.
A week later after the payment feature had been launched, the Brazilian regulators suspended the payments. All WhatsApp payments were frozen by the central bank of Brazil as a high risky transactions.
However, just a few days after the ban was announced, the regulator lifted the ban. The Brazilian regulator claims that after reviewing additional information from Facebook and Cielo, it determined that the two weren’t a threat to competition in the Brazilian payments industry.