The National Bank of Ukraine (the “NBU”) has increased the annual e-limit for certain cross-border foreign currency payments by Ukrainian individuals from EURO 100,000 to 200,000.
The system of “e-limits” for cross-border payments was introduced by the NBU in January 2019. It permits individuals to make certain payments abroad (or into accounts opened by non-residents in Ukraine) only if these payments, in aggregate, do not exceed at any relevant time the then applicable, annual e-limit.
The e-limit of EURO 200,000 will apply to payments in connection with the following transactions:
- investing abroad;
- making deposits in the individual’s own account opened abroad;
- transferring foreign currency under life insurance agreements; and
- providing loans to non-residents of Ukraine.
In addition, the NBU allowed individuals to use e-passports and foreign e-passports for KYC purposes when making the payments.
The new e-limit becomes effective on 5 February 2021. The NBU praised this measure as a further step towards full liberalisation of cross-border payments.
For further information, please contact Oleg Mazur, Partner