As part of further relaxations of anti-recessionary FX restrictions, the National Bank of Ukraine has allowed banks to provide loans in domestic currency against the collateral of FX holdings held in customers’ accounts.
Previously, banks were prohibited from extending loans in domestic currency to the customers (including under the opened credit lines and through rollover of previously extended loans), if the property rights for the foreign currency held in the accounts with the banks were pledged as collateral for such loans.
The NBU has decided to allow banks to provide loans to the customers in such cases. The NBU Board believes that this move will help boost lending.
The aforementioned FX liberalization measure is set out in NBU Board Resolution No. 82 of 29 August 2017 On Amendments to NBU BoardResolution No. 410 of 13 December 2016 and come into force from 30 August 2017.
No comments:
Post a Comment