The NBU has postponed the reintroduction of certain fees for depository services by another four months, until 23 April 2023. Specifically, this applies to:
- fees for depository services of depository institutions
- fees for the servicing of Eurobond transactions that benefit the NBU’s depositors when it acts as a depository institution.
To fortify Ukraine’s financial frontlines, the NBU has been urging depository institutions to minimize or waive the relevant fees for their clients for the period that the NBU Depository’s fees remain suspended.
However, pursuant to NBU Board Resolution No. 173 dated 6 August 2022, the fees for the rest of the NBU’s depository services, including those related to the accounting and circulation of NBU certificates of deposit, will be reinstated from 23 December 2022.
As previously reported, at the outbreak of the full-scale war, the NBU canceled the fees for all depository services, effective 24 February 2022. This step eased the burden on the financial system and facilitated the operation of the domestic debt market. In particular, thanks to the absence of fees for depository services, over 120,000 Ukrainians, including businesspeople, have been able to purchase government securities and support the country’s financial frontline without incurring additional costs.
The NBU estimates that the extended suspension of the service fees will support Ukraine’s public finances, in part by preserving favorable conditions for the government to raise financing in the domestic debt market and by reducing the transaction costs of public debt management.
On the other hand, it would be impractical to further delay the reimposition of fees for other services, as most NBU clients are banks that have successfully met the challenges of war and that do not need more relief in terms of fees for transactions with the NBU.
The changes noted above were approved by NBU Board Resolution No. 246 On Amendments to NBU Board Resolution No. 173 dated 6 August 2022 dated 22 December 2022, which is effective from 23 December 2022.