Updated at 23:19,25-10-2016

National Bank Tightens Terms for Hard Currency Purchase for Legal Entities

27-10-2011, 14:47
National Bank Tightens Terms for Hard Currency Purchase for Legal Entities

National Bank of Belarus passed a resolution № 448 on October 17, thus authorizing a business entity to open only one special account to keep the purchased foreign currency in a bank.

This measure is introduced "to improve banks' monitoring functions for foreign currency purchase on the domestic market, as well as its future use," said the National Bank.

The new document amends the Instruction № 112 on the commission of fx transactions with legal entities and individual entrepreneurs, adopted on June 28, 2005.

"This measure aims to improve "transparency" of fx purchase operations in the domestic market, including limiting the opportunity for unscrupulous customers to buy and use foreign currency in accounts opened in different banks by one and the same contract," noted in the central bank.

"Foreign currency, bought by a business entity, will be accumulated in one bank, controlling purchases and use of foreign currency," added there.

It's also going to tighten control over the documentary to buy foreign currency for repayment of loans received from non-residents. "For this purpose, the list of documents, submitted by customers to the bank for purchase of foreign currency, will be expanded," informed the National Bank.

The new regulation came into force immediately after publication.

First deputy chairman of the National Bank Nikolai Luzgin promised on October 10 to introduce "no restrictions on buying foreign currency." He made such a statement, when commenting on the presidential decree № 449 of October 6, according to which individuals could buy foreign currency in banks only with identity documents.

Meanwhile the Belarusian ruble keeps on depreciating. Thus, the dollar rose by Br30 to Br8.540, euro - Br100 to Br11.960 and the Russian ruble - by Br4 to Br282 after trading on the Belarusian Currency and Stock Exchange on October 27.