Ukraine to limit suspicious card-to-card payments: Memorandum with the IMF
Ukraine will create a legislative mechanism to limit card-to-card payments under certain conditions. This is reported by RBC-Ukraine with reference to the Memorandum with the IMF.
As noted in the Memorandum, in December 2023, a draft law was submitted to the parliament that would tighten regulatory requirements for payment services market participants.
"We will strive to adopt the law by the end of May 2024," the document says.
In addition, the NBU intends to:
- prepare a concept note for a methodology for assessing supervisory risks by the end of August 2024 and implement this methodology by the end of December 2024;
- to prepare a concept note on regulatory requirements for personal-to-person (p2p) and other similar electronic paymentsby the end of July 2024 in order to detect and limit abnormal behavior.
"We will introduce the regulation by the end of October 2024," the Memorandum says.
Background.
In February, Danylo Hetmantsev, chairman of the Verkhovna Rada's Financial Committee, said that the committee had considered the NBU's report on shadow financial transactions.
According to him, the NBU proposes to establish restrictions on financial transactions using the details of electronic payment instruments, limits on transaction amounts, their number, etc., as well as limits on cash transfers through self-service terminals for the period of martial law.
Afterwards, First Deputy Governor of the NBU Kateryna Rozhkova acknowledged the relevance of shadow payments, as "a significant part of business continues to use various mechanisms of evasion, tax reduction, etc."
Rozhkova said that the decision will be made in a way that will not restrict "normal business, normal people" but will reduce the opportunities for manipulation and circumvention of the law.
According to Rozhkova, restrictions on the disposal of funds for individuals "is an extremely sensitive topic. Therefore, the NBU will not announce anything until it has made a final decision.
Author: Oleksandr Bilous
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