NBU simplified the conditions for banks to purchase eurobonds
Published: | 05.09.2017 | news
On August 8, 2017 in order to improve the licensing regime of foreign exchange operations the National Bank of Ukraine adopted the Resolution # 77 “On the amendments in the Instruction on the procedure for issuing individual licenses for investing abroad.” By this decision, the NBU has simplified the conditions of purchase of debt securities (Eurobonds) by the banks issued abroad to finance the credit granted by non-residents. We remind that earlier carrying out such operations assumed the receipt of the individual license by the bank. Since the date the amendments came into force, that is on the 10th of August, the acquisition of Eurobonds is possible within the framework of a general license to conduct foreign exchange transactions in the area of raising and placement of foreign currency on the international markets. It is expected that innovation will enhance the effectiveness of liquidity management of the banks and will not lead to negative consequences for the currency market.