You're reading: Ukraine central bank toughens control over transactions to accept cash for future transfer

The National Bank of Ukraine (NBU) has toughened control over transactions of non-bank financial institutions and commercial agents of banks that accept cash in hryvnias for transfer.

According to resolution No. 116 of the NBU Board dated Nov. 17, amending resolution No. 42 dated Feb. 12, 2013 posted on the central bank’s website, non-bank financial institutions and commercial agents of bank now are obliged to open a separate account or accounts at any bank and send hryvnia cash to this account/accounts accepted from clients for transfer.

“The requirement would allow providing for transparency of these transactions and avoiding risks of using cash in scams,” the NBU said.

The National Bank also said that the provisions of this document are consistent with the provisions of Directive (EU) 2015/2366 regarding the storage of funds received from users of payment services in separate accounts in banks.

In turn, in order to ensure that transactions recorded by commercial agents of banks in Ukraine are recorded in accounting, regarding the acceptance of funds for their subsequent transfer, the NBU made the necessary changes to the chart of accounts of Ukrainian banks and instructions on the application of the chart of accounts of Ukrainian banks.

Corresponding changes were fixed by NBU Board resolution No. 117 amending some regulatory acts of the NBU dated Nov. 17.

Resolutions Nos. 116 and 117 entered into force on Nov. 22.