Policy Progress: National Bank of Ukraine Continues Relaxing Currency Regulation

The Chamber welcomes the adoption of Resolution of the Board of the National Bank of Ukraine #30 dated April 4, 2017 "On Amending Resolution of the National Bank of Ukraine of December 13, 2016 #410“ which came into force on April 5, 2017.

This NBU Resolution eases the requirement for mandatory sale of proceeds in foreign currency in Ukraine from 65% to 50% for legal entities. First of all, this move aims at further promotion of export of Ukrainian enterprises in need of imports for production, which subsequently sold abroad. This will reduce exchange risks as well as expedite foreign trade for such companies.

Also NBU continues to significantly alleviate restrictions on the sale of foreign currency to the population: this step will allow buying foreign currency up to 150 000 UAH, which previously was 12 000 UAH equivalent for one person per day.

The Chamber is continuously advocating  for the currency market liberalization raising this issue at the high-profile meetings with the representatives of the National Bank of Ukraine and the Ministry of Finance of Ukraine. While this positive step in the right direction is welcome, the Chamber will continue taking every single effort for achieving the full liberalization of the currency market and ease of the administrative restrictions as well as ensuring their effective implementation.