You're reading: NBU working on amendments to Tax Code

The National Bank of Ukraine (NBU) jointly with the Income and Tax Ministry are working on amendments to the Tax Code, the approval of which will simplify trade in distressed assets, the deputy director of the department for regulatory and methodological support for banking regulation and supervision at the National Bank of Ukraine (NBU), Oksana Prysiazhenko, has said.

“The ministry has recently held a meeting regarding changes to the
third section of the Tax Code. We hope that banks will no longer face
such issues [agreements on the cession of claims and factoring] and will
be able to more effectively sell bad loans,” she said at a panel
discussion.

According to her, the elimination of existing barriers to trade in
distressed assets will allow to reduce burden on the banks’ capital,
expand their opportunities for lending and improve the overall
efficiency of financial institutions.

“Today there are prospects regarding the banks’ lending to economic
projects of the real sector of the economy. But this will be done
gradually. This requires time, certain support from the government,” she
said.

The deputy director of the general department for monetary and credit
policy at the NBU, Oleksandr Arseniuk, in turn, noted that a long-term
stability of the hryvnia formed fundamental prerequisites for the
reduction of interest rates on loans.