Putin extended for a year the decree on measures to ensure financial stability.

Russian President Vladimir Putin has extended the effect of special economic measures to ensure financial stability in the field of foreign exchange regulation until December 31, 2023. The relevant decree published on the official portal of legal information.

The Decree “On additional temporary measures to ensure financial stability in the field of currency regulation” was issued on March 18. He endowed the Central Bank, in particular, with the right to issue permits for operations for payment by residents of a share, contribution, share in the property of a non-resident legal entity. It is prohibited to carry out transactions without the approval of the Central Bank until December 31.

Residents are also prohibited from making contributions to non-residents as part of the implementation of a simple partnership agreement with investment in the form of capital investments (joint activity agreement).

The measures are being implemented in connection with the sanctions imposed by the EU, the United States and a number of other countries against Russia for a special military operation. In particular, Western states have banned any transactions with Russian government agencies and the Central Bank. Restrictive measures are extended to the Russian public debt. In the US, the EU and other countries, they explained that in this way they seek to cut off Russia from the possibility of receiving funds abroad. About $300 billion of international reserves of the Central Bank (about half) were also frozen due to sanctions.

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