From 30 May 2011 Ukrainian banks will be permitted to enter into currency swap transactions with certain local counterparties (namely Ukrainian banks and the National Bank of Ukraine (NBU)) together with foreign financial institutions.

Previously, Ukrainian banks were only allowed to enter into currency swap transactions with the NBU.

Ukrainian banks will be allowed to carry out currency swap transactions in local currency and/or currencies of the 1st classification group (i.e. USD, EUR, GBP, AUD, DKK, ISK, CAD, NOK, SEK, CHF, JPY) and for a period of up to 365 calendar days. RUB swaps are not allowed at this time.

A "currency swap" is defined by Ukrainian law as a currency transaction for purchase (sale, exchange) of foreign currency with its further repurchase (resale, re-exchange) on a certain date in the future. The terms of such transaction (rates, amounts, valuation dates, etc.) must be fixed on the execution date of a swap contract.