National Bank of Ukraine considering faster forex revenue return for certain industries, goods

MOSCOW. Nov 3 (Interfax) - The National Bank of Ukraine is considering a faster forex export revenue return for certain industries and goods, which would require government proposals, the regulator told Ukrainian media on Thursday.

"Currently, shorter deadlines for settlements in export transactions for certain goods and industries are being considered in order to minimize the risks of non-return of forex earnings. However, this decision requires government recommendations for the National Bank of Ukraine, consistent with the forex law," the regulator said.

Forex revenue, which has not been returned since the beginning of the crisis, nears $8 billion, "which significantly affects the payment balance," it said.

This is both the grain exports revenue and the non-retuned forex revenue in general, the regulator said.

The forex law allows the National Bank to set deadlines for settlements in export transactions for all actors, but the bank has no right to make exceptions and specific deadlines for particular goods or economic sectors, it said.

"Inter alia, the National Bank of Ukraine can [set] shorter [different from the general] deadlines for settlements in exports of particular goods only at the proposal of the government," the regulator said.

The government has the ability and is empowered to set priorities based on an analysis of proposals from relevant ministries, in particular, the production cycle, the specifics of logistics for individual goods or economic sectors and the specifics of foreign economic activity by certain categories of business under martial law, it said.

Seeking to contain "black exports," the National Bank has tightened the discipline of banks in forex supervision of such transactions and intensified communication with the State Tax Service and the State Customs Service, the regulator said.

As reported earlier, the Parliament Committee on Economic Development asked the Ukrainian government and the National Bank not to shorten the deadlines for forex revenue return from 180 to 90 days amid rumors of such plans.