NBU simplifies the procedure for taking out foreign loans

The National Bank of Ukraine (NBU) simplified
regulations regarding the taking out of foreign loans by domestic entities, following
its policy of ForEx liberalization, the regulator reported on July 25. The
collection of information on the registration, cancellation, and amendment of
agreements regarding external loans by Ukrainian entities will be submitted to
the regulator via special NBU software.

The NBU is cancelling the documents revision procedure
needed for external loans registration or amendment. The procedure could be
applied when the signs of a “risky financial operation” appear. The new
procedures will be enacted on August 20.

Evgeniya Akhtyrko: Along with
the recent simplification of dividend repatriation
and easing restrictions on ForEx operations,
deregulation in the registration of external loans is another step under the
NBU’s policy of ForEx liberalization. Automating the procedure of loan
registration will simplify loan administration by both borrowers and the
central bank. The cancellation of document revision with an eye on “risky
financial operations” contributes to the improvement of the business climate in
the country.