Ukraine Allows Early Repayment For Cross-Border Loans

As a part of the ongoing liberalisation of the currency control, the National Bank of Ukraine (the "NBU") adopted Resolution No. 61 dated 10 July 2017 (effective from 11 July 2017) which lifted the following restrictions imposed by the NBU as stabilisation measures in November 2013:

1. Early repayment

Ukrainian companies (as borrowers under cross border loan/finance agreements) may prepay the relevant cross-border loans, provided that such prepayment is made to a foreign lender that is:

• a foreign bank; or
• a subsidiary of an international financial institution (the "IFI"). To benefit from this exception, the IFI may be either a shareholder/participant of such Ukrainian borrower and/or a foreign lender.