The National Bank of Ukraine (NBU) plans to narrow the use of cash by reducing the upper limit of cash payments between individuals by three times, to UAH 50,000, the regulator said on its website.

Draft NBU resolution on amending NBU resolution No. 210 of June 6, 2013 has been posted on the central bank's website.

The NBU said that the decision to cut the limit for cash payments is linked to the necessity of providing stable inflow of cash to the banking system and developing the cashless segment.

The regulator said that cashless payments can be settled without any restrictions and banks are obliged to settle cashless payments under the demands of clients in full.

Proposals to the draft resolution can be submitted until August 25, 2015.

According to resolution No. 210 the limits for cash payments are set at UAH 10,000 between companies during one working day, UAH 150,000 between individuals and companies during one working days for goods (labor, services) and UAH 150,000 between individuals under the sale and purchase agreements that are to be endorsed by notaries.