Russian presidential decree enshrines reduced forex export revenue sale limit with option to vary deadlines

MOSCOW. May 24 (Interfax) - The reduction of the statutory limit for forex export revenue sales from 80% to 50%, which went into effect on Tuesday following a decision by a sub-commission of the government's foreign investment commission, has now been enshrined by the presidential executive order, No. 79, the underlying document for the capital controls imposed in Russia in response to sanctions.

Russian President Vladimir Putin signed a decree to amend this order on May 23, the day the decision was reached at government level. The document was posted on the website for legal documents on May 24.

The clause stipulating that exporters must sell foreign exchange received from foreign trade contracts with effect from February 24 has now been amended to reflect a 50% share of those receipts instead of 80%.

These amendments formalize the Central Bank's right to alter the deadline for fulfilling the requirement. The decree originally stated that export revenue must be sold within three days. In April, the Central Bank allowed first non-commodity exporters and then commodity exporters to sell forex within 60 days instead of three, so the regulator has in effect already exercised this right.