Odesa Finance & Tax Committee
Economists compare the adoption of the new Law “On Currency and Currency Transactions” with Ukrainian exit from the currency concentration camp and the NBU called the innovation “visa-free” for capital. Active preparation for its implementation has been begun in Ukraine, since the beginning of 2019. National Bank has developed a new system of currency regulation, which replaced the preliminary base of 56 legal acts. For a clear understanding of innovations, on the EBA Odesa Finance & Tax Committee, Yevhen Kosheluik and Anatoliy Hutsul shared with changes that are expected in a business. Namely:
- the freedom for independent decision re when and how to conduct foreign exchange transactions without limits, is it necessary to get permission from the regulator;
- an opportunity to increase currency liberalization: at the same time a number of painful restrictions will be repealed by enforcement of the Law;
- key to financial stability: the NBU will remove other existing restrictions gradually and carefully, under favorable macro-financial conditions;
- the ability of the NBU to prevent and overcome financial crises, regardless of their nature and create conditions for sustainable economic growth for many years;
- transparent currency regulation as a step to improve the investment climate;
- confirmation of Ukraine’s ability to be part of Europe.
In turn, Kateryna Morozova, EBA Odesa Regional Manager, noted that the business had been waiting for this reform for more than 25 years and the EBA took an active part in the expert discussion of currency regulation improvment. We hope that the National Bank seek to remove all restrictions and move to free movement of capital in order to create the basis for facilitating business, inflow of foreign capital and sustainable economic growth.