16:56 27.04.2016

NBU selects target model for currency regulation

2 min read
NBU selects target model for currency regulation

The National Bank of Ukraine (NBU) has selected a target model for currency regulation in the country. A working group will continue working on the road map to switch to this model. Soon the central bank seeks to begin preparations for changing legislation.

The regulator said on its website that Deputy NBU Governor Oleh Churiy gave the information at a meeting of NBU Governor Valeriya Gontareva with heads of top 40 largest banks.

"A working group that is tackling the draft document on liberalization of currency regulation since August 2015 in the NBU has finished an analysis of the legislative base. The target model has been selected. It meets the currency regulation model in the European Union. Now the road map to switch to this target model is being drafted both by the working group and international experts. Soon preparations for changing legislation would start," he said.

Gontareva said that currency liberalization is impossible without so-called de-offshorization.

She said that it is impossible to liberalize transactions on the current account of balance of payment without effective control over transfer pricing and without jeopardizing stability of the currency market.

Gontareva said that free capital movement could be secured only when opportunities for capital flying to low-tax jurisdictions are removed.

"An interagency group with the participation of the presidential administration, NBU, Finance Ministry and State Fiscal Service is working on the concept of so-called de-offshorization," she said.

AD
AD
AD
AD
AD