On December 1, the National Bank revised currency restrictions for households and businesses, according to the regulator’s website.
First, all restrictions on banks and other financial institutions on the sale of foreign currency in cash to households have been lifted.
The NBU believes that this will help minimize the difference between cash and non-cash exchange rates, stabilize exchange rate expectations, and increase the stability of the foreign exchange market.
Second, the NBU allowed the Export Credit Agency (ECA) to transfer money abroad to reimburse or compensate for expenses under insurance and reinsurance contracts concluded with foreign companies, as well as to pay the ECA’s expenses related to such transactions.
This was done to insure the war risks of exports through Ukrainian ports.
Third, the NBU has expanded the list of services for which cross-border transfers are allowed to be made by individuals.
It includes services related to the process of treatment or rehabilitation in foreign medical institutions, as well as some services for students studying in foreign universities (payment for accommodation, obtaining a visa for the period of study, transfers from the dormitory to academic offices, food, insurance, medical services).
“The changes are quite significant. We are grateful to our international partners and the well-coordinated work of the Ukrainian team for making this gradual movement towards market normalcy possible,” commented NBU Governor Andriy Pyshnyi.
