The Federation of Employers of Ukraine (FEU) has stated the negative consequences of currency restrictions introduced by the National Bank of Ukraine (NBU) by its decree No. 591 of Sept. 22, FEU deputy head Dmytro Oliynyk has said at a press conference in Kyiv.
Instead of the expected growth of foreign exchange revenues to the country on current non-commercial operations, they contribute to a catastrophic decline in production by Ukrainian enterprises due to the termination of international contracts, as well as the growth of shadow schemes on the currency market.
“This ruling created all the conditions for the return of the 1990s: the “black market” is thriving with only one difference – in the premises of official banking institutions. For the first years of independence there is every indication that the non-cash currency market is also becoming “black” because some banks use the existing situation for illicit gain,” he said.
The expert also noted that the provisions of the resolution make the members of the federation to curtail investment activities, and there is a lack of foreign currency the National Bank expected to come to the country as export contracts are not fulfilled.
