The National Bank of Ukraine by Resolution No. 154 of November 28, 2023 “On Amendments to Resolution of the Board of the National Bank of Ukraine No. 39 of March 6, 2022” (hereinafter – Resolution No. 154) has restored access to data from separate registers and lists of participants in non-bank financial services markets, which was limited in March 2022 due to the introduction of martial law in Ukraine.
This is information from the State Register of Financial Institutions, the Register of Collection Companies, the State Register of Insurance and Reinsurance Brokers, the list of non-bank financial groups, the Comprehensive Information System of the National Bank of Ukraine, etc.
The format of remote inspections is also being introduced. This format will make it possible to avoid abuses by institutions under the supervision of the National Bank. In particular, changes of location to a settlement included in the List of territories where hostilities are (were) being waged or temporarily occupied by the Russian Federation, approved by Order of the Ministry of Reintegration of Temporarily Occupied Territories of Ukraine No. 309 of December 22, 2022, which makes inspection impossible according to the location of such institution.
According to Resolution No. 154, full access to information about non-bank institutions will be restored within five working days from the date of its entry into force.
Non-bank financial institutions, collection companies and legal entities that are not financial institutions, but have the right to provide separate financial services, are obliged to post information about their ownership structure on their own website on the Internet within 10 working days from the date of entry into force of the Resolution.
The President of Ukraine has signed the Law of Ukraine “On the State Budget of Ukraine for 2024”.
According to Art. 8 of the Law, the minimum salary in 2024 is established at the level:
- in the monthly amount: from January 1 – UAH 7,100, from April 1 – UAH 8,000;
- hourly: from January 1 – UAH 42.6, from April 1 – UAH 48.
The amount of the minimum salary at the level of UAH 1,600 is also determined, which is used as an estimate for calculating payments based on court decisions.
According to Art. 7 of the Law, from January 1, 2024, the subsistence minimum for persons per month is UAH 2,920.
Subsistence minimum for the main social and demographic groups of the population:
- children under 6 years of age – UAH 2,563;
- children aged 6 to 18 years – UAH 3,196;
- able-bodied persons – UAH 3,028;
- persons who have lost their ability to work – UAH 2,361;
- able-bodied persons, which is used to determine the basic salary of a judge, – UAH 2,102;
- able-bodied persons, which is used to determine the salaries of employees of other state bodies whose salaries are regulated by special laws, as well as employees of tax and customs authorities, – UAH 2,102;
- able-bodied persons, which is used to determine the official salary of the prosecutor of the district prosecutor's office, – UAH 1,600.
Also:
- budget revenues have increased by UAH 22 billion and they amount to UAH 1.768 trillion;
- expenditures have remained almost the same at UAH 3.35 trillion;
- state budget deficit has been reduced by UAH 22 billion and now amounts to UAH 1.57 trillion;
- external borrowings have been reduced by 103.5 billion (from $42.9 billion to $41), in order to agree with the IMF). Closed due to an increase in internal borrowings by UAH 81.4 billion;
- forecast for real GDP has been reduced to 4.6% (in the first reading it was 5%)
- inflation forecast of 9.7% (in the first reading it was 10.8%);
- assumptions regarding UAH exchange rate – an average of UAH 40.7 per dollar for the year (it was UAH 41.4 per dollar)
The National Bank of Ukraine by Resolution No. 155 of November 30, 2023 “On Amendments to Resolution of the Board of the National Bank of Ukraine No. 18 of February 24, 2022” continues to ease currency restrictions, taking into account the needs of maintaining macro-financial stability, protecting international reserves, and ensuring priority defense, economy and citizens’ needs, as well as offers of financial market entities that provide the specified priority needs.
Thus, as of December 1, 2023:
- all restrictions for banks and non-bank financial institutions on the volume of their possible sale of cash foreign currency to the population have been abolished. According to the NBU, this will help minimize the difference between cash and non-cash exchange rates and, as a result, stabilize exchange rate expectations and increase the stability of the foreign exchange market;
- the Export Credit Agency (ECA) is allowed to transfer funds abroad for reimbursement/compensation of costs under insurance and reinsurance contracts concluded with foreign insurance (reinsurance) companies, as well as to pay the costs of the ECA related to the implementation of such operations. This was done to ensure the possibility of insuring risks during the armed aggression of the Russian Federation against Ukraine in order to guarantee the safety of shipping, promote the stability of sea transportation, and ensure the sustainable export of Ukrainian products through the ports of Ukraine. The changes also provide for the possibility of using the ECA letter of credit form of payments. The corresponding transactions will be carried out in order to implement the requirements of Resolution of the Cabinet of Ministers of Ukraine No. 1140 of November 2, 2023 “On the Allocation of Funds from the Reserve Fund of the State Budget to Guarantee the Safety of Shipping and Promote the Stability of Maritime Transportation”;
- the list of services for which cross-border transfers are allowed to be paid for by citizens has been expanded, including participants in hostilities who, as a result of Russia's armed aggression against Ukraine, need treatment or recovery of health outside of Ukraine. Associated additional services related to the process of treatment/rehabilitation in medical institutions of foreign countries, which are an integral part of it, have been added to the corresponding list;
- the payment of services necessary to create proper conditions for studying abroad is allowed. In particular: payment for accommodation, obtaining a visa for the period of study, transfers from the dormitory to the study offices, food, insurance, medical services in case of emergency medical assistance.
The National Bank of Ukraine has introduced the procedure for supervising compliance by providers of all financial services (banks and non-bank financial institutions), providers of limited payment services and collection companies with the requirements of the legislation of Ukraine on the protection of consumer rights, including on the payment market, in accordance with the Laws of Ukraine “On Financial Services and Financial Companies”, “On Insurance”, ‘On Credit Unions”, which will come into effect on January 1, 2024.
The changes clarify and supplement the purpose, sources of information, types and forms of documents drawn up by the National Bank during on-site supervision of compliance by supervised entities with the legislation of Ukraine on the protection of the rights of consumers of financial/payment services.
The supervision procedure, taking into account the mentioned changes, is defined in the Regulation on the implementation by the National Bank of Ukraine of supervision over compliance by the objects of supervision with the legislation of Ukraine on the protection of the rights of consumers of financial services and limited payment services, requirements for interaction with consumers in the settlement of overdue debts, approved by Resolution of the Board of the National Bank No. 198 of September 2, 2022 (as amended by Resolution of the Board of the National Bank of Ukraine No. 118 of September 28, 2023), with changes introduced by Resolution of the National Bank Board No. 152 of November 27, 2023.
Resolution of the Board of the National Bank of Ukraine “On Approval of Amendments to the Regulation on Supervision by the National Bank of Ukraine of Compliance by the Supervision Objects of the Law of Ukraine on the Protection of the Rights of Consumers of Financial Services and Limited Payment Services, Requirements for Interaction with Consumers in the Settlement of Overdue Debt” No. 152 of November 27, 2023 enters into force on January 1, 2024.
