FOREIGN CURRENCY REPATRIATION TO BE CANCELLED

Russian companies that sell goods, services, works, IP or provide loans to foreign companies are generally obliged to secure that foreign companies pay or return the loans in foreign currency to Russian bank accounts (so called “foreign currency repatriation”).

Russian parliament considers a draft law that this obligation shall be cancelled. Russian contractors will be allowed to receive payments from foreign customers in foreign currency to their accounts in foreign banks.

The new regulation shall not apply to export of raw material.