The authorities obliged exporters to sell 90% of the repatriated currency on the Russian market

The Russian government has approved the procedure and volumes of the mandatory sale of foreign currency earnings by exporters subject to decree President Vladimir Putin on October 11. Starting from October 16, within 60 days from the date of receipt of funds, they are required to credit to their accounts in Russian banks at least 80% of all foreign currency received in accordance with the terms of their export contracts.

Within two weeks, exporters are required to sell on the domestic market at least 90% of the foreign exchange earnings credited to their bank accounts (but not less than 50% of the funds received in accordance with each export contract, within no more than 30 days from the date of receipt ), said in the Russian government office.

On October 11, Russian President Vladimir Putin signed decree on the introduction of the mandatory sale of foreign currency earnings in relation to 43 groups of companies that belong to the fuel and energy complex, ferrous and non-ferrous metallurgy, chemical and forestry industries, and grain farming. The measure was introduced for a period of six months. An obligation is also being introduced for individual companies to submit plans and schedules for the purchase and sale of foreign currency on the domestic market to the Central Bank and Rosfinmonitoring. Authorized representatives of Rosfinmonitoring will be introduced into individual companies, who will check compliance with currency regulation rules. Head of the Central Bank of Russia Elvira Nabiullina emphasizedthat the mandatory sale of foreign currency earnings by exporters will be of a targeted and temporary nature; it is not planned to apply this measure on a permanent and universal basis.

Read more about the consequences of introducing the mandatory sale of foreign currency earnings in the Kommersant article. “We meet the currency commissioners.”

Alexander Kislov