National Bank of Ukraine plans to limit card-to-card transfers,- chief banker

Source: “Ekonomichna Pravda”

Ukraine’s National Bank may soon introduce restrictions on card-to-card transfers , according to its Governor Andriy Pyshnyy.

“We’re currently finalizing the decision, and we plan to discuss it at the board meeting next week,” said  Pyshnyy in his interview for Economichna Pravda on Tuesday.

The move drew a strong public reaction after it was announced in July this year as it was seen to become a headache for Ukrainian volunteers helping the army.  Ukraine’s chief banker said that ‘discussions’ with volunteers helped ease the tension.

“We’ve held several meetings with volunteers, gathered their feedback, and demonstrated how the planned decision’s design would allow banks to accommodate volunteers’ needs. We answered their questions, and the intensity of the debate has eased. This suggests we are moving towards a decision that the National Bank is ready to communicate effectively,” Pyshnyy explained.

He also argued the move is needed to address the issue of illegal cash schemes which use what he called ‘drop [mules].

“It’s a fact that ‘drops'[mules] are a significant issue for the state budget. I believe these are substantial sums that could be redirected to the budget if we persist and succeed in addressing this issue,” Pyshnyy added.

The initial plan assumed that the National Bank of Ukraine would set limits on card-to-card transfers, with a cap of 100,000 hryvnias and 30 monthly outgoing payments.