Currency regulation
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Currency regulation in the Republic of Belarus is carried out by the Banking Code of the Republic of Belarus of 25 October 2000, the Law of the Republic of Belarus of 22 July 2003 On Currency Regulation and Currency Control, resolution #1 of the Board of the National Bank of the Republic of Belarus of 17 January On Approval the Instruction about the order of Currency Transactions and other legal Acts of the National bank and bodies of State Administration of the Republic of Belarus. The routine of currency transactions is more liberal for non-residents than for residents. Any settlements between the residents both in the Belarusian rubles and foreign currency shall be effected practically without any restrictions. For settlement of accounts in the Belarusian rubles, non-residents are permitted to use any currency which official exchange rate to the Belarusian ruble was fixed by the National Bank. Any dealings in securities in the Belarusian rubles and foreign currency between non-residents shall be made in the territory of Belarus without any restrictions, save as otherwise is provided for by the Belarusian legislative acts. Import of any foreign currency, securities and payment documents in foreign currencies by any natural persons to Belarus shall be unrestricted, subject to compliance with all requirements of the customs legislation. Contribution of any foreign currency and securities to the authorized capital of a resident juridical person shall be made by a non-resident without any additional permission issued by the National Bank. According to a general rule, all on-going currency transactions shall be carried out in accordance with established procedure without any restrictions. The rules of currency transactions related to flow of capital have been simplified for natural persons and legal entities. No restrictions exist as to the amount of purchase of any cash currency by any one natural person in any one exchange station per day, and as to the amount of transaction in the off-exchange money-market. When carrying out currency transactions between a resident party to currency transactions and non-resident party to currency transactions, Belarusian rubles may be used if settle¬ments are effected: - In Belarusian rubles in cash within the limits and in circumstances stipulated in legislative acts of the Republic of Belarus; - From account (to account) of non-resident - party to currency transactions opened in Belarusian rubles with the bank; - In settlements with non-resident being an entity of a foreign state with which the Republic of Belarus has concluded effective international agreements on use of national currencies for settlements - from account (to account) of non-resident opened with non-resident bank of this foreign state, the party to currency transactions of which this non-resident is; - On the basis of a license issued by the National Bank of the Republic of Belarus. Unless otherwise specified by international agreements of the Republic of Belarus, monetary obligations under currency transactions between residents and non-residents may be denominated and fulfilled in foreign currency, the official rate of Belarusian ruble to which is established by the National Bank. The national currency shall be accepted without restriction, including in settlement of claims and obligations denominated in foreign currency. Non-residents shall be allowed to open accounts in both foreign currency and Belarusian rubles with the authorized Belarusian banks. A non-resident (except for non-resident banks) shall be allowed to open the following bank accounts in foreign currency: - Current (settlement) account; - Card-accounts; - Deposit account; - Other accounts stipulated by law of the Republic of Belarus. Non-resident (except for non-resident banks) shall be allowed to open the following bank accounts in Belarusian rubles: - T-type current (settlement) account; - S-type-accounts; - Deposit account; - Other accounts stipulated by law of the Republic of Belarus. Non-resident party to currency transactions shall carry out all types of transactions (including currency exchange transactions, currency purchase and sale transactions according to the procedure established by the National Bank) with T-type current (settlement) account without restrictions. Non-resident parties to currency transactions (except for nonresident banks) shall carry out transactions with T-type current (settlement) accounts and S-type accounts on a non-cash basis, except for the cases stipulated by law of the Republic of Belarus. Payment and withdrawal of Belarusian rubles in cash to or from S-type account by the non-resident - party to currency transactions is prohibited. Current currency transactions between residents and nonresidents shall be carried out without restrictions. Current currency operations include: - Settlement per exports and/or imports of goods, work, services, proprietary information, results of intellectual activity, including exclusive rights thereto if the time between the date of receipt of funds (payments) and the date of dispatch (receipt) of goods, completion of work, provision of services, delivery of proprietary information or results of intellectual activity, including exclusive rights thereto does not exceed 180 days, including settlements involving securities which function as payment documents, if the security maturity ensures receipt (payment) of funds within the period not exceeding 180 days from (before) the date of dispatch (receipt) of goods, completion of work, provision of services, delivery of proprietary information or results of intellectual activity, including exclusive rights thereto; - Receipt and provision of loans (borrowings) for a term not exceeding 180 days; - Transfer and receipt of interest, dividends and other income on deposits, investments, loans and borrowings; - Transactions of non-trade nature. The parties to currency transactions (except for banks) shall carry out currency transactions involving the movement of capital: - On the basis of permits of the National Bank of the Republic of Belarus; - Without permits of the National Bank of the Republic of Belarus; - According to the registration procedure; - According to the notice-filing procedure. Respective lists of currency transactions are specified in the applicable legislative acts. Resident legal entities and individual entrepreneurs shall effect the mandatory sale of foreign currency in amount equal to 30% of the foreign currency revenue at the internal currency market of the Republic of Belarus in the procedure determined by the National Bank of the Republic of Belarus. Mandatory sale of foreign currency shall not be performed in some cases. Currency regulation in the Republic of Belarus also determinates the order of the: - Purchase of foreign currency by resident legal entities on the domestic foreign exchange market; - Purchase of foreign currency by non-resident legal entities on the domestic foreign exchange market; - Use of foreign-currency cash by resident legal entities; - Settlements between legal entities and individuals in foreign currency. The system of currency regulation and control in the Republic of Belarus comprises the Council of Ministers of the Republic of Belarus and the National Bank, the State Control Committee (SCC), the State Customs Committee. Currency control agents are customs offices, banks, ministries, other republican bodies of state governance, and other bodies subordinate to the government of the Republic of Belarus, the Council of Ministers of the Republic of Belarus, regional executive committees and the Minsk Municipal Executive Committee unless otherwise is specified by the President of the Republic of Belarus. Note: The National Bank of Belarus imposed a ban on foreign currency purchase at an over-the-counter market for advance payments for imported goods and services. These restrictions are provided by regulation of the National Bank’s management #165 of November 11, 2008. According to the document, banks must refuse currency transaction to a resident subject in case it applies a bank for purchasing foreign currency at the over-the-counter market for advance payments for imported goods and services. Imported good and service may be paid only after they have been received and the necessary documents have been introduced. However, the National Bank can permit buying foreign currency for advance payment for import at the over-the-counter market if the Council of Ministers gives a petition. |