National Bank of Ukraine Proposes to Converge the Requirements for Assigning Cash Ratings to Safes Used by Banks and Non-bank Financial Institutions

OREANDA-NEWS. The National Bank of Ukraine proposes to level the regulatory playing field in the currency exchange market.  The regulator has developed a  draft resolution of the NBU Board On Amendments to Some Regulations of the National Bank of Ukraine  to this effect.  The draft resolution proposes to converge the requirements for assigning cash ratings to safes used by banks and non-bank financial institutions.

“Our goal is to develop a transparent and effectively regulated legitamate market. Therefore, on the one hand, we we increase capital requirements, enhance reporting and ownership structure transparency requirements. On the other hand, we  maintain ongoing dialogue with market participants to remove excessive restrictions and red tape hurdles. The proposed changes to the cash ratings for safes is yet another example of effective dialogue with the market,” said NBU Deputy Governor Kateryna Rozhkova.

Additionally, this document is intended to increase the maximum amount of cash/or other valuables that banks and non-bank financial institutions are allowed to store in safes or vaults with a respective resistance grade. Banks and non-bank financial institutions were previously allowed to store cash in an amount not exceeding the equivalent of 1,000 minimum wages in safes with resistance grade II.  Once this resolution is passed, the maximum permitted amount will be increased up to 2,000 minimum wages.