NBU toughens requirements to nonbank FX offices

The National Bank of Ukraine (NBU) has toughened requirements to nonbank currency exchange offices.

According to NBU resolutions Nos. 962, 983 and 990 of January 29, 2015, non-bank financial institutions (NBFIs) are obliged to provide information on the structure of their owners and owners with large stakes.

Requirements to the lowest capital net worth of NBFIs that are involved in currency exchange are toughened. Their capital is to be at least UAH 20 million, if the number of their structural divisions does not exceed 100. Each additional increase of the divisions by 50 requires the increase in capital by UAH 5 million. Additionally, requirements to have documents that set the advance money in cash foreign currency and hryvnias and the largest ending stocks in cash desks and FX offices in cash foreign currency are introduced, as well as the availability of documents confirming ownership rights to premises where the divisions, FX offices of NBFIs are located or rights to lease the premises for the period of at least one year. It is required to have a cash register in cash desks of NBFIs, their divisions and FX offices. NBFIs are to post information on exchange rates online.

The new form of reports is introduced: a certificate on cash turnover during a day and ending stocks. NBFIs are to have guard officers, video surveillance systems, and working places of tellers are to be barred.

The list of information that is to be placed in the cash desk for clients is expanded: the document with a last name of the employee who is permitted to carry out FX transactions, information on the location of the cash desk of NBFIs, their divisions and the copy of the general license for currency exchange transactions.

Resolutions No. 962 and 990 took effect on December 31, 2015. The transition period until July 1, 2016 is set for the requirements to capital net worth and protection of premises for NBFIs which received general licenses before the new resolutions took effect.

Resolution No. 983 took effect on January 1, 2016, apart from the requirements to have cash registers that will take effect in six months after the approval of the register of cash registers by the State Fiscal Service of Ukraine, as well as the requirement to have documents confirming ownership right to premises that will take effect from July 1, 2016.