The National Bank of Ukraine continues implementing the consistent policy aimed at dedollarization of the economic relations. The appropriate measures combine both the market and administrative incentives. The latter ones are aimed, inter alia, at ensuring the enacted into law status of hryvnia as the only legal tender of Ukraine.

Liudmyla Chepinoha, the Deputy Director of the Monetary Policy Methodology Department, has noted that such steps of the National Bank are conducive to strengthening of the confidence in hryvnia, improvement of the base of banks resources and decrease of the dollarization indicator.

In order to nail down the favourable trends mentioned above the National Bank of Ukraine has assumed additional measures to solidify the status of hryvnia as a means of payment between individuals on the territory of Ukraine.

Thus, Resolution of the National Bank of Ukraine Board No. 365 dated September 16, 2013, “On Procedure of Transfer of the Funds in Foreign Currency into Current Accounts of Natural Persons within Ukraine” has prescribed that transfer of the funds in foreign currency within Ukraine into the current account of the natural person (both resident and non-resident) shall be done through a transfer of the funds in foreign currency from another personal account or by means of a cash payment by the holder of the account. The cash payment in foreign currency into the current account of the non-resident individual shall be realized on the basis of the documents confirming the legality of origin of the funds.

Any possibility of entering other inflows in foreign currency within Ukraine permitted by the laws of Ukraine to the current account of individual (resident or non-resident) shall be excluded.

The requirement above does not apply to the following transactions:

entering of the interest accrued on the balance of the personal current or deposit account;

with the treasury bills of Ukraine and domestic sovereign bonds;

on purchase-sale, exchange (conversion) of the foreign currency in the cases envisaged by the laws of Ukraine and enactments of the National Bank of Ukraine;

with the currency received as a result of inheritance;

according to the deeds of gift;

on return of the funds (transferred erroneously or paid in excess)

“In such a way the norms mentioned do not circumscribe in a measure individuals’ rights to dispose of their own funds in foreign currency” – Liudmyla Chepinoha has said.

In addition, she has emphasized that the citizens may, as before:

make cash payments to the foreign exchange account of any other natural person on the basis of the letter of attorney of the person issued as established by law;

transfer within Ukraine own funds in foreign currency to the address of any other individual, however these funds will be entered to the account of addressee in the national currency equivalent.

Liudmyla Chepinoha has also noted that the procedure of entering to the current accounts of individuals the foreign currency that arrives from abroad has remained unchanged.

The Resolution has been registered by the Ministry of Justice and comes into effect from the date of publication.