Starting from 10 September 2019, non-residents in Ukraine no longer face special restrictions in the repatriation of investments or other income.<\/p>\n
With the approval of Resolution No. 113, the National Bank of Ukraine cancelled all limits previously applicable to the transfer of funds, including from UAH and FX accounts of non-residents in Ukraine.<\/p>\n
CMS believes this resolution will significantly improve and simplify how business is done in Ukraine for both non-residents and their Ukrainian counterparties and will boost international commercial cooperation.<\/p>\n
According to the Resolution, the following limits will no longer apply for foreign fund transfers by non-residents:<\/p>\n
The EUR 5 million limit on repatriation of investments;<\/p>\n
The EUR 2 million limit on any business transactions by non-resident legal entities not specifically exempted; and<\/p>\n
The EUR 50,000 limit applicable to some specific transactions by non-resident individuals.<\/p>\n
The Resolution also introduces an additional option for non-resident legal entities to use bank accounts opened in Ukraine. Specifically, the income of non-residents for property that does not qualify as a foreign investment can now be placed in their Ukrainian bank accounts, which will make it easier to receive income or make further reinvestments in Ukraine.<\/p>\n
For more information on this Resolution and how these changes might affect your investments, contact your regular CMS source or local CMS experts: Ihor Olekhov, Kateryna Chechulina, Artem Barabash.<\/p>\n
Authors<\/u><\/em><\/strong>:<\/em><\/strong><\/p>\n Ihor Olekhov, Partner, ihor.olekhov@cms-cmno.com<\/a><\/em><\/p>\n Kateryna Chechulina, Counsel, <\/em>kateryna.chechulina@cms-cmno.com<\/em><\/a><\/p>\n