NBU Updates Provisions on Procedure for Granting Special Permits for FX transactions upon CMU Application

On 20 April 2024, the revised provisions regulating the procedure for granting special permits for FX transactions by the National Bank of Ukraine upon an application from the Government of Ukraine will come into effect.
The amendments were made to harmonize the NBU regulations with Law of Ukraine No.
3624-IX On Amending Certain Laws of Ukraine Concerning Certain Issues Related to the Activities of the Deposit Guarantee Fund, National Bank of Ukraine, and the National Securities and Stock Market Commission, which entered into force on 19 April 2024.
In addition, the NBU assumed the relevant obligations under the provisions of the Memorandum of Economic and Financial Policies with the IMF.
Previously, the applications of the Cabinet of Ministers of Ukraine were the key grounds for the NBU to make a separate decision on granting a special permit to execute an FX transaction.
Starting from tomorrow, the NBU will also largely rely on its own analysis of the possible implications of such decisions.
The NBU will, in particular, take into account the compliance of special permits for FX transactions with its:
goals of ensuring macroeconomic, financial, and external stability Strategy for Easing FX Restrictions, Transitioning to Greater Flexibility of the Exchange Rate, and Returning to Inflation Targeting. Said changes were introduced by NBU Board Resolution No.
46 On Amendments to NBU Board Resolution No.
18 dated 24 February 2022 dated 19 April 2024, which takes effect on 20 April 2024.