Currency control and settlement deadlines
Foreign trade deals are subject to settlement deadlines: export proceeds or import goods must arrive within the set period. A violation leads to a penalty, so the deadlines must be planned already at the contract stage.
What currency supervision is
Currency supervision is state control that foreign trade settlements are completed on time. The legal basis is the Law “On Currency and Currency Operations” No. 2473-VIII of 21.06.2018 and NBU regulations. The control is carried out directly by the bank through which the payment goes.
Settlement deadlines
| Operation | Deadline |
|---|---|
| Export/import of goods | 180 calendar days |
| Certain agricultural products | 120 calendar days |
| Insignificant amount | Not subject to penalty |
The deadlines are set by the NBU and may be adjusted, so the current value should be checked with the bank for a specific operation.
How the deadlines are counted
On export the count starts from the date of shipment of the goods, on import with prepayment — from the date of payment. It is important to correctly determine the starting point so as not to miss the deadline. The contract and customs declaration fix these dates.
Penalty for missing deadlines
For a delay a penalty is charged — 0.3% of the amount of unreceived funds (or undelivered goods) for each day of delay. The total penalty is limited to the amount of the incomplete operation. This is one of the most common causes of fines for beginners in foreign trade.
The bank’s role in currency supervision
The bank puts the operation on currency control, tracks the deadlines and requires documents: the contract, invoice, customs declaration and payment orders. So it is important that all documents match each other and the text of the contract.
Removing the operation from control
When the proceeds have arrived (or the goods are imported), the bank removes the operation from currency control. This requires supporting documents — a customs declaration on import or bank receipt of funds on export. Timely closing is the task of accounting and the foreign-trade specialist.
Exceptions and the insignificant amount
A small incomplete amount of an operation may not be subject to a penalty — there is a threshold below which control does not apply. Certain operations and force majeure circumstances can also pause the counting of the deadlines. The specific conditions are clarified at the bank.
How to account for deadlines in the contract
To avoid a penalty, the payment and delivery deadlines in the contract are aligned with the settlement deadlines. This is part of contract checking, and the general regulation rules are in foreign trade regulation.
Frequently asked questions
Help with currency deadlines
Trans-Hope helps account for currency deadlines in the contract and synchronize them with the delivery and payment schedule. The deal scheme is handled at foreign trade consulting. Send the contract terms — we will check the deadlines.
