The National Bank of Ukraine simplifies the procedure for foreign exchange transactions by banks and other financial institutions. To this end, the NBU Board has amended the Instruction On the Procedure for Organizing and Performing Foreign Exchange Transactions in Ukraine.

First, the NBU simplifies the paperwork for foreign exchange transactions by banks and other financial institutions.

Previously, banks had to prepare two paper copies of a receipt for such transaction – one for a client, and one for a bank to keep record. Onwards, banks will be able to issue receipts for foreign exchange transactions not only in paper form, but also electronically. Banks will also have an option of keeping record of the transactions in electronic format. With the consent of a client, a bank may skip issuing a paper-based receipt to the client.

Other financial institutions conducting foreign exchange transactions, in their turn, are currently obliged to issue two paper copies of the receipt and two paper slips printed at payment transaction registers (PTR). Onwards, a single PTR-printed document issued to a client will be sufficient for a foreign exchange transaction. Accordingly, the institutions will not issue a receipt to the client to confirm a foreign exchange transaction.

If the amount of foreign exchange transaction is under UAH 150,000, neither banks nor financial institutions will ask a client to sign a receipt or a PTR-printed slip.

Second, banks and financial institutions will be allowed to conduct foreign exchange transactions using payment devices. Once the institutions modify the payment device software, individuals will be able both to sell and buy foreign currency cash using the payment devises.

Third, banks and financial institutions will be able to draw reports on foreign exchange transactions as e-documents, due to the progress in electronic document flow and to promote the paperless technologies.

The aforementioned amendments were approved by NBU Board Resolution No. 63 On Amendments to Certain Regulatory Documents of the National Bank of Ukraine dated 7 June 2018. The amendments shall take effect from 1 July 2018.

Financial institutions shall have a six-month transition period to meet the new requirements, concerning the usage of PTR in foreign exchange transactions with the use of payment devices and the preparation of PTR payment documents and receipts, including the ATM slips. In H2 2018, they will continue to adhere to the procedures currently in effect for the foreign exchange transactions. The new rules will apply starting from 1 January 2019.