The National Bank of Ukraine continues to ease currency restrictions

On 9 July 2024, the National Bank of Ukraine (NBU) loosened currency restrictions imposed during the state of martial law in order to increase Ukraine’s investment climate, attract private foreign capital, and maintain the local economy. Entering into force on 11 July 2024, the most crucial amendments for business include permitting the following activities:

• Reimbursing non-residents for expenses incurred due to their participation in providing an external loan where a foreign export credit agency or a foreign state acts as the guarantor, surety, or insurer, or where an international financial organisation (IFO) is the guarantor or surety.

• Residents who are guarantors (sureties) can fulfil the obligation of another resident acting as a borrower where the obligation is secured by a guarantee/suretyship to a non-resident acting as a lender under an external loan, provided that this situation arose within the scope of permitted transactions.

• Contractual insurance payments can be made in favour of foreign companies where a foreign state is a shareholder in order to cover military risks on the territory of Ukraine.

• Residents can buy foreign currency to replenish their bank account in order to fulfil a loan agreement before an IFO in terms of keeping a certain amount in this account, as provided for in the relevant agreement. 

• Residents can pay dividends to a non-resident without restrictions in the amount of a monthly limit of EUR1 million for cases related to paying interest income (bond payment) on foreign debt securities issued by a non-resident affiliate and admitted to trading on a foreign organised market/foreign stock exchange. Such payments are possible, subject to the conditions set out in NBU Resolution No.18, clause 46-1.

• Paying fees for actions related to protecting intellectual property rights, including payment for services provided by patent offices in other countries and patent attorney services abroad.

• Non-residents can make UAH transfers to bank accounts of residents of Ukraine under rent and lease agreements, as well as in favour of charitable organisations.