Ukraine central bank cancels compulsory sale of FCY receipts by exporters

The National Bank of Ukraine (NBU) decided to cancel its regulation on the compulsory sale of 30% of foreign
currency (FCY) receipts by exporters starting June
20, its press service reported on June 18. “This one more easing on the
ForEx will not have negative consequences for macrofinancial stability,”
the central bank said in its statement.

The NBU noted that Ukraine’s exporters currently sell
around 90% of their FCY receipts on the ForEx. Since the beginning of the year,
the regulator has canceled more than 30 ForEx restrictions in adherence to its
road map on ForEx liberalization.

Evgeniya Akhtyrko: This is the
latest positive move by the NBU in its ForEx liberalization campaign. Removing
the compulsory sale of FCY receipts will give Ukrainian exporters complete
flexibility in their cash management. At the same time, the deregulating action
reflects the NBU’s increasing confidence in the country’s macroeconomic
stability.

This measure also should add some points to the
country’s Doing Business rankings.