Ukraine central bank adopts extra ForEx easing

The National Bank of Ukraine (NBU) announced on July 28 more steps towards ForEx liberalization, according to its press release. In particular, the regulator extended the period for export proceeds returns to 120 days from 90 days. Also the NBU eased procedures for foreign currency purchases for imports.

Alexander Paraschiy: The 90-day period for export proceeds returns and obligatory foreign currency sale requirement were the main inconveniences for exporters. So the NBU gradually easing these limits will improve business confidence. Now the NBU will have to see what will happen in September on the ForEx market in light of the potential change in trends in external accounts when gas imports are resumed. In this context, we expect the regulator will most likely abstain from additional ForEx liberalization moves in autumn as it tries to evaluate new tendencies.