Nonrepatriation Of Foreign Currency

***FLASH REPORT***

The National Bank of Romania, Ministry of Finance and Ministry of Commerce have recently issued Instructions to be followed for the remittance into Romania of foreign currency received from the export of goods and services. These Instructions could seriously impact all entities involved in the export of goods and services and all banks.

In early 1994 the Government issued Ordinance no 18/1994, which imposes penalties for nonrepatriation of foreign currency by exporters of goods or services. The declared aim of this Ordinance was the "consolidation of the financial discipline and of the foreign currency regime". Instructions were issued in March 1994 and the Ordinance was approved by Parliament in February 1995 (Law 12).