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Verkhovna Rada adapts relief laws on foreign-currency credits
The MPs approved three new regulations set to help Ukrainians with debt restructuring on foreign-currency credits.
Tuesday, 13 April 2021, 20:40

The #4475 regulation project won support of 273 MPs offering updates to the “Consumer Credits” law. The amendments will enable debt restructuring on foreign-currency credits, debt service and penalty relief, and foreign-currency credits’ re-denomination in hryvnas, correspondent Bukvy was reported.

“Borrowings in foreign currency are to be re-converted in Ukrainian hryvnas applying the “average” exchange rate representative of two values – the exchange rate at the time when a credit was secured, and another one at the time of debt restructuring request”, states the law.

The policy will also introduce debt and penalties relief.

Debt restructuring is to be implemented within 60 days upon written request of a borrower assuming his debt liabilities meet the procedure criteria. The latter concerns specs of mortgaged residential property and debtors’ records of payment.

Verkhovna Rada also adopted in principal the bill #4399 “On Amending the Tax Code of Ukraine” that regulates restructuring foreign currency credit liabilities and updates insolvency procedures for individuals. To ease debt liabilities, it will make exempt borrowers from personal income tax payment on larger debts.

The last of three adopted debt relief policies was regulation#4398 “On amending Certain Legislative Acts of Ukraine on Restructuring Foreign Currency Credit Liabilities and Adaptation of the Procedures for Insolvency of Individuals”. It got the support of 269 Ukrainian MPs.

Tags: foreign-currency credit, Ukrainian, Verkhovna Rada