Ukraine’s central bank tightens requirements for long-term foreign currency deposits.

By bne IntelliNews June 25, 2013

The National Bank has tightened the reserve requirements for long-term foreign currency deposits of legal entities and individuals from 3% to 5%, and for short-term foreign currency deposits from 9% to 10%. The reserve requirements for foreign currency deposits of individuals on demand and on current accounts increased from 10% to 15%. The reserve ratio of foreign currency assets (other than Russian rubles) by non-resident banks and financial institutions of non-residents was raised from 3% to 5%. The foreign currency deposit ratio for legal entities on demand and current accounts remained unchanged at 10%.

The measures aim to de-dollarize the economy and create preferential conditions for the banks to attract funds in national currency.

Related Articles

Evolution Equity Partners closes $125mn cybersecurity-focused fund

Evolution Equity Partners announced on 17 July the final closing of a new fund with total capital commitments of $125mn to make investments in cybersecurity and next generation enterprise software ... more

Ukraine injects another €760mn into nationalised PrivatBank

The Ukrainian authorities have issued domestic government bonds in the amount of UAH22.5bn (€759mn) in exchange for the bank’s shares as part of the additional capitalisation of nationalised ... more

Ryanair cancels entry to Ukrainian market over 'failure to honour commitments'

Irish low-cost airline Ryanair has cancelled its planned entry into Ukraine following Kyiv airport's "failure to honour a growth agreement" reached earlier with the country's infrastructure ... more