CurrencyRestrictions

Monday, May 12

The NBU has eased currency restrictions to encourage foreign investment. The National Bank has launched a “stimulating currency liberalization” aimed at attracting foreign capital to Ukraine. Its essence is to create a mechanism that will encourage foreign inve...

Friday, April 4

Last year, foreign investment in Ukraine decreased by 25%, despite the government’s expectation of a 20% increase. Ukraine’s inflow of foreign direct investment (FDI) in 2024 reached $3.33B, which is 25% ($1.16B) lower than 2023’s figure, as noted by Danylo Hetmantsev, the head of the Verkhovna Rada Co...

Monday, December 23

The National Bank continues easing currency restrictions: What has changed? Changes that ease currency restrictions in three areas came into force on December 21. This easing will support domestic producers and improve the conditions for doing business in Ukraine. At the same...

Thursday, November 21

The NBU lifts some currency restrictions to support foreign trade and international technical assistance programs. On November 20, the National Bank made changes to currency restrictions. “On the one hand, the NBU eased several restrictions to support international cooperation in foreign trade and internatio...

Tuesday, September 10

The National Bank eased currency restrictions for businesses starting September 10. Beginning on September 10, Ukrainian businesses will be able to: Purchase and transfer foreign currency to cover carbon dioxide emissions. State-owned enterprises can buy currency and transfer it to ...

Wednesday, August 14

The volume of foreign exchange earnings by exporters increased by 16%, but up to $8B still must be returned to Ukraine. According to the NBU, the amount of export earnings received in Ukraine for January-June 2024 exceeded the result for the same period in 2023 by 15.9%, or $3.3B, while the amount of unreturned foreign...

Tuesday, July 30

After currency liberalization in May, companies’ demand for currency increased to $322M. Forbes has calculated that the additional demand for currency following the introduction of a large currency liberalization program in May amounted to $322.6M. During the liberalization’s introd...

Wednesday, July 3

The NBU’s currency restrictions threaten defaults in the corporate sector and an increase in the cost of loans to the state. Oleksandr Vodoviz, the top manager of the Metinvest group, noted: “The largest easing package was introduced in May 2024: businesses were allowed to take foreign currency abroad to pay loans and...

Friday, May 24

Ukrainian businesses cite the risks of discontinuing currency liberalization measures. As stated by analysts, the continuation of currency liberalization is absolutely necessary. Expanding the established limits and conditions for paying dividends and interest on existing debts remains ...

Wednesday, May 15

What does the NBU think about the new easing of currency restrictions and the return of currency extortion? NBU Chairman Andriy Pyshnyi said: “Our decisions are fully in line with our declared strategy of easing currency restrictions, transitioning to greater exchange rate flexibility and returning to...

Friday, April 26

The NBU is considering lifting restrictions on currency withdrawals to service old debts. The head of the NBU, Andriy Pyshnyi, said: “Currently, we see the presence of sufficient prerequisites for continuing the process of currency liberalization following the strategy approved as pa...

Monday, April 1

Currency restrictions effectively stabilize the Ukrainian economy, but they hold back investment. The director of the NBU’s monetary policy department, Volodymyr Lepushynskyi, stated: “Currency restrictions are effective for stabilizing the economy, but they are burdensome for it and hold ba...

Thursday, February 15

During the war, the exodus of foreign exchange from Ukraine increased by 100%. The NBU plans to gradually abolish currency restrictions, but at the same time, asks businesses to return foreign exchange revenues on time and in full and avoid fictitious import schemes, said NBU Ch...

Wednesday, January 24

Experts have recognized the “harm” of currency restrictions in Ukraine for economic recovery. Currency restrictions made sense at the beginning of the war in order to maintain economic stability, but now these restrictions only hold back the development of the economy and the attraction of pot...

Friday, December 22

Bankers name the obstacles to attracting foreign investment to Ukraine. The top manager of Ukrsibbank, Dmytro Tsapenko, said: “A new restraining factor that appeared after the war began is currency restrictions, for example, restrictions on the payment of dividends ...

Thursday, December 14

Ukraine strives to solve its financing problems, but there are risks. Kyiv plans to cover its budget deficit primarily through more than $40B in external financing next year. At the same time, more than two-thirds of this amount has not yet been confirmed. Therefore, Uk...

Monday, December 4

In November, the NBU reduced interventions by 27% and canceled all restrictions on the sale of cash currency. The net sale of dollars by the National Bank in November, the second month after the transition from a fixed exchange rate regime to managed flexibility, decreased from $3.34B in October to $2.45B in ...

Monday, September 18

The NBU has eased currency restrictions to improve the FX market’s operation. As National Bank reported, starting from 16 September 2023, when calculating the amount of cash foreign currency that can be sold in the FX market, a bank or a nonbank financial institution will take ...

Wednesday, August 30

Ukraine has eased currency restrictions to strengthen the national currency. As of August 29, banks are now allowed to sell non-cash foreign currency without confirming the grounds or obligations for such a transaction, the NBU reported. The National Bank specified that this a...

Monday, August 14

The National Bank is easing currency restrictions in Ukraine. The NBU introduced additional measures to prevent unproductive outflow of capital from Ukraine and ensure the foreign exchange market’s stability. Thus, from August 12, 2023, the NBU will introd...

Friday, July 28

The National Bank cuts the key policy rate to 22%. The Board of the National Bank of Ukraine has cut the key policy rate from 25% to 22%, effective 28 July, 2023. Rapid disinflation and sustained stability in FX market conditions has enabled the centr...

Friday, July 21

The NBU might allow a flexible exchange rate for the dollar even before the end of the war. According to the Deputy Chairman of the National Bank, Serhii Nikolaychuk, last week the strategy of softening currency restrictions, a transition to a flexible exchange rate, and a return to inflatio...

Wednesday, July 19

The National Bank says that currency restrictions are losing their effectiveness and restraining economic activity. According to Volodymyr Lepushynskyi, director of the Department of Monetary Policy of the NBU, the disadvantages of this mechanism has begun to exceed the advantages. He added that fixing the exchange...

Friday, June 16

Ukraine has eased currency restrictions to allow businesses to pay foreign loans. In particular, the National Bank allowed resident borrowers to transfer funds abroad to repay certain categories of external credits and loans. The NBU also determined that residents can carry out sim...

Thursday, May 25

The NBU will discuss easing currency restrictions with the IMF. On May 23, the IMF mission began preparations for the first review of the EFF program with Ukraine. The National Bank said that during negotiations special attention will be paid to the gradual easing...