In order to prevent negative trends on Ukrainian foreign currency exchange market, the National Bank of Ukraine (the "NBU") was granted the rights (i) to introduce the mandatory sale of foreign currency proceeds; and (ii) to change the time-limits for payments under export and import transactions for a period of up to six months. The rights were granted by Law No. 5480-VI "On Amendments to Certain Legislative Acts of Ukraine on Expansion of Instruments to Influence the Monetary Markets", dated 6 November 2012 (effective as of 16 November 2012).
On 16 November 2012 the NBU adopted several regulations, inter alia, Regulation No. 475 "On Change of Terms of Payments under Export and Import Transactions and Introduction of the Mandatory Sale of Foreign Currency Proceeds" and No. 479 "On Establishment of the Amount of Mandatory Sale of Foreign Currency Proceeds" (the "Regulations").
Effective as of 19 November 2012 the Regulations establish the following rules, which will remain in effect for six months:
- 50% of the proceeds in Russian Ruble and in the currency of 1st group of the Classifier of Foreign Currencies and Banking Metals (e.g., US Dollars, Euro, British Pound, Swedish Krona, Swiss Franc, Japanese Yen etc.) shall be subject to mandatory sale on the interbank currency exchange market.
Ukrainian banks are required to sell 50 percent of such proceeds received by their clients without client's instructions not later than the next business day after receipt of the foreign currency.
- The time-limit for payments in foreign currency under export and import transactions is reduced from 180 to 90 calendar days.
Therefore, (i) payments for goods and services exported by Ukrainian residents must now be made by their foreign counterparties within 90 calendar days form the date of customs clearance of goods or execution of transfer certificate for acceptance of services; and (ii) goods and services for which Ukrainian residents made an advance payment must be imported and customs cleared (for goods) or performed (for services) by the foreign counterparty within 90 calendar days from the date the advance payment is made.