Ukraine: National Bank continues to liberalise capital controls

29/07/2016

Simplified Export/Import Transactions

The timeframe for export and import transactions is increased from 90 days to 120 days. Thus, where payment by a Ukrainian party is made in advance for goods/services to be imported to Ukraine, the delivery of those goods/services to Ukraine must take place within 120 calendar days after the date of payment. Where delivery of goods/services from Ukraine (export) has been made, the payment to a Ukrainian party must occur within 120 calendar days after the delivery date.

Simplified Pre-payments for Imports

A requirement for mandatory use of a documentary letter of credit to make any advance payments for import of goods/services under a foreign commercial contract now applies to those foreign commercial contracts the total value of which exceeds USD 1 million or the equivalent in other currency (as compared to the USD 500,000 threshold applied before).

Regulation No. 361 became effective on 29 July 2016.

Legislation: Regulation of the National Bank of Ukraine “On Introducing the Amendments to Certain Regulations of the National Bank of Ukraine” No. 361 dated 28 July 2016.