Ukraine central bank removes restriction on foreign currency purchases
8 August 2019
The National Bank of Ukraine (NBU) decided to allow
Ukraine-based companies to purchase foreign currency at the expense of
UAH-denominated credit funds starting from Aug. 8, its press service reported
on Aug. 7. This easing should foster more effective liquidity management as the
companies will be able to purchase the foreign currency at their convenience,
the NBU said.
The NBU also said it is continuing its currency liberalization policy
in line with the improvement of the macroeconomic situation in the country.
Since the beginning of the year, it cancelled more than 30 currency
restrictions, the bank added.
Evgeniya Akhtyrko: This
decision demonstrates the NBU’s confidence in the strong position of Ukraine’s
ForEx, as well as its ability to handle excessive market fluctuations in case
they emerge.
Now, those Ukrainian companies with foreign
currency needs will be more responsive to exchange rate fluctuations. Using
effective currency management, they will be able to improve their
profitability.
