The National Bank of Ukraine has eased a number of currency restrictions. The new currency liberalization package is formed in such a way as to provide business with incentives and opportunities without creating a large additional demand on the currency market of Ukraine. About it reported the press service of the NBU, write Dengi.ua .
It is noted that almost all changes come into force from August 6, 2025. The exception is the permission to return erroneously transferred funds from abroad in foreign currency, which will take effect from August 7, 2025.
- Businesses will be able to repatriate dividends for 2023.
The NBU will allow businesses to transfer dividends for 2023 abroad within the total limit, which continues to be EUR 1 million equivalent per month. Consequently, businesses will have the opportunity to partially repatriate dividends for the period of activity that began on January 1, 2023 (and not on January 1, 2024, as it is now).
According to the regulator's estimates, this will not generate significant additional demand for foreign currency, given the existence of the overall limit, and at the same time will contribute to increasing foreign investors' confidence in Ukraine and attracting new foreign investments. In addition, foreign currency liquidity repatriated in the form of dividends will be available for businesses to use abroad for other purposes.
- Opportunities for hedging currency risks are expanding
The NBU continues to implement measures under the Concept Note on defining approaches, conditions and terms for resuming the functioning of the currency derivatives market, prepared within the framework of the program with the IMF.
Customers will be able to sell foreign currency for hryvnias with banks on "forward" terms without delivery of the underlying asset (currently, such transactions can be carried out only with delivery of the underlying asset).
Resident clients (legal entities and PEs) will be able to buy foreign currency from banks on a forward basis with delivery of the underlying asset to hedge the risk of changes in the foreign currency exchange rate on import operations. The bank will be able to conduct such operations only within the volume of foreign currency that it will buy on "forward" terms from other customers (both with delivery of the underlying asset and without delivery), so these changes will not exert pressure on the foreign exchange market.
- Changes are being made to foreign currency transfers abroad to increase confidence in Ukrainian entities
The NBU will allow legal entities and individuals to return erroneously transferred funds in foreign currency credited to clients' accounts. The application for the return of funds must be submitted within three business days from the date of receipt of a notice of erroneous transfer of funds to the bank from a non-resident bank.
Resident shipping agents will be able to transfer funds abroad to refund unused foreign currency funds received from non-resident shipowners or other fiduciaries.
- Steps are being taken to support the domestic jewelry industry
The NBU continues to create conditions for transparent activities of domestic jewelry industry enterprises, taking into account, in particular, the increasing demand for the products of this industry. To this end, the NBU will allow legal entities and FLPs engaged in economic activities in the field of jewelry sales to buy bank metals for non-cash hryvnias for compliance with a number of conditions.
In particular, it is stipulated that:
- the volume of purchase of bank metals in hryvnia equivalent for one calendar month shall not exceed 1/12 of the aggregate annual volume of jewelry sold by the company in retail trade for 2021;
- the basis for the purchase of bank metals is the existence of an agreement on their transfer to the jewelry manufacturer, as well as documents confirming the fact of transfer of purchased bank metals in previous periods.
As explained by the regulator, such changes should support domestic production of jewelry and contribute to the detenization of this market. And the pressure on the foreign exchange market will be limited, given that the purchase of bank metals through official channels will reduce the volume of the gray market.
- Approaches to regulation of external loans will be unified
The changes concern loans provided by the pool of foreign lenders, which includes the International Financial Organization (IFO). Enterprises will be allowed to service and repay such loans not only in favor of the IFO, but also in favor of other members of the loan pool, if they are first-class foreign banks with a rating not lower than "A".
In addition, it is envisaged to authorize the transfer of funds from Ukraine to satisfy recourse claims of foreign guarantors, sureties and insurers who have already paid the resident borrower's obligations under such loans.
- The NBU continues to implement stimulating currency liberalization
The list of transactions that resident legal entities may perform in excess of the established restrictions within the investment limit is expanded. Repatriation of dividends will be added to them.
Incentives will also be provided to businesses supporting the Armed Forces of Ukraine. The NBU will allow resident legal entities to make a number of cross-border transfers in excess of the established limits within the amount equivalent to the amount of funds transferred by them from August 7, 2025 in national or foreign currency to the special account of the NBU to collect funds to support the Armed Forces of Ukraine.
It is assumed that such transfers may be made solely out of a business's own currency for such purposes:
- carrying out settlements by a resident for the import of goods, the delivery of which was made before February 23, 2021;
- return to a non-resident of the prepayment received by the resident on his current account in a bank in Ukraine until February 23, 2022 under a contract concluded with a non-resident for the sale of goods (for transactions for which the delivery of goods from Ukraine has not taken place or has partially taken place);
- fulfillment of obligations under the loan received until June 20, 2023 from a non-resident under the credit agreement concluded between them;
- financing by a resident of expenses for maintenance of its branches, representative offices and other separate subdivisions without establishing a legal entity abroad;
- repatriation of dividends in favor of a non-resident on corporate rights or shares.
In addition, conditions are created for conversion of the debt of a resident-borrower on a foreign loan into a non-resident's contribution to the authorized capital of this resident.
