The National Commission noted that this decision is in compliance with the IMF memorandum.
The National Securities Commission (NSCSM) has decided to ban the withdrawal of securities of foreign issuers from Ukraine from January 1 until the end of martial law.
This was reported by the press service of the NSCSM.
The National Commission noted that this decision is in compliance with the IMF memorandum. The decision has been agreed with the NBU.
Transactions with foreign securities are prohibited, except in the following cases:
- Execution of corporate transactions of the issuer
- Bringing the number of securities in the accounts of the Central Depository into line with the data of international depository institutions
The scheme consists of the investor buying US government bonds in Ukraine for hryvnia, and then giving his broker an order to transfer them to a securities account in a depository abroad. When the bonds matured, the investor received payment in US dollars to a bank account abroad.
“Over the course of eight months, the Commission held numerous meetings as part of the negotiation process with the IMF and the NBU to find a satisfactory solution for the capital markets. We put in a lot of effort and today's decision was a compromise, since the agenda included the issue of a complete ban on the admission and trading of securities of foreign issuers on the territory of Ukraine,” said Irakli Baramia, a member of the NCSSM.
We remind you that Ukraine received $1.1 billion from the IMF. This is the sixth tranche under the general program under the Extended Fund Facility (EFF).