For the first time in 25 years, Ukraine has fundamentally revised its foreign exchange and currency control rules ("FX Rules"). A new liberal model of the FX Rules should facilitate free movement of capital and improve the investment climate in Ukraine.
On 7 February 2019, the Law of Ukraine "On Currency and Currency Transactions" and new currency control rules came into effect, making the long-awaited move towards liberalization of foreign exchange controls.
The FX Rules will affect:
- сross-border payments under trade and other commercial contracts
- foreign investments in Ukraine
- cross-border loans of foreign lenders to Ukrainian borrowers
- foreign currency purchase and exchange
- investments of Ukrainian individuals
- repatriation of dividends and return on foreign investments
To learn more about the key provisions of the newly introduced regulations and main currency control relaxations, please refer to our summary of the FX Rules.