Ukraine launches largest currency liberalization package since full-scale invasion

Ukraine launches largest currency liberalization package since full-scale invasion

Photo: Getty Images

A major package of currency liberalization measures will take effect in Ukraine on August 11, introducing a series of relaxations for individuals, businesses and the financial sector.

The package is the largest of its kind since the beginning of Russia’s full-scale invasion. According to the National Bank of Ukraine (NBU), the changes are primarily aimed at expanding opportunities for individuals, including Ukrainians living abroad.

The impact of the measures has already been incorporated into the NBU’s latest macroeconomic forecast. NBU Governor Andriy Pyshnyi said international reserves are expected to rise to $70 billion in 2026, meaning the liberalization package should not create additional risks for the foreign exchange market.

What will change for Ukrainians

The largest number of changes concerns transactions involving individuals’ own funds.

The monthly limit for purchasing foreign currency without cash will be quadrupled, from UAH 50,000 to UAH 200,000.

Within the same limit, Ukrainians will also be able to purchase non-cash banking metals and securities issued by foreign companies.

The daily cash withdrawal limit from foreign-currency accounts will double from UAH 100,000 to UAH 200,000. The new limit will apply both to withdrawals in Ukraine and abroad.

The monthly limit for payments abroad from hryvnia accounts will also increase from UAH 100,000 to UAH 200,000. The funds can be used to pay for goods, services and housing rentals. In addition to card payments, direct account-to-account transfers, including SWIFT transfers, will be permitted.

The rules for foreign-currency accounts will also be expanded. In addition to regular card payments, account-to-account transfers of up to UAH 200,000 per month will be allowed.

Meanwhile, the existing monthly limit of UAH 500,000 for accommodation payments abroad with a foreign-currency card will also cover housing rentals and account-to-account payments.

Pyshnyi said the overall aim is to gradually remove restrictions where macroeconomic conditions allow it and give Ukrainians greater freedom to manage their own funds.

What will change for businesses

The new package also introduces additional opportunities for legal entities.

Businesses will receive an additional limit covering direct charitable contributions to Ukrainian Armed Forces and National Guard units.

Companies will also be allowed to transfer their “investment” and “additional” currency limits, or parts of them, to other legal entities within the same business group.

The NBU expects these measures to support capital inflows while strengthening Ukraine’s defense capabilities.

Changes for the financial sector

The financial sector will also receive several regulatory relaxations.

The Motor (Transport) Insurance Bureau of Ukraine will be allowed to purchase foreign currency to meet obligations under international Green Card motor insurance agreements.

For banks, the NBU will gradually allow part of the reserves formed against active operations, which are currently excluded, to be taken into account when calculating their foreign exchange position.

Banks will also be allowed to return funds raised from non-residents as capital instruments if the NBU has refused to include those funds in the bank’s capital.

The NBU said the full details of the new measures are available in its official regulations and explanatory materials.

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