The Cabinet changed the order of state participation in the capitalization of the Bank, declared insolvent

Кабмин изменил порядок участия государства в капитализации банка, признанного неплатежеспособным

The building of the Cabinet of Ministers of Ukraine, archival photo

The Cabinet of Ministers of Ukraine introduced changes to its resolution of 19 November 2016 on state participation in the development of the market of the Bank, declared insolvent. This is stated in the government decree of 16 December, published on the website of the CMU.

“In subparagraph 1 of paragraph 6, the words and figure “and the authorized person of Fund of guaranteeing deposits of individuals are secured the reduction of the size of the share capital of an insolvent Bank up to 1 hryvnia” shall be deleted; in the second paragraph of paragraph 8, the words “regarding the additional placement of the shares of the insolvent Bank” to exclude”, – the document says.

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Thus, according to the new wording of the decree, the state will be able to participate in the removal of insolvent Bank from the market provided that the Bank meets the following criteria: share in total Bank assets is 2% or more of total assets of banks of Ukraine and/or volume of deposits (deposits) of physical persons and legal entities the Bank is 2% or more of total amount of deposits (deposits) of physical persons and legal entities in banks of Ukraine; the state’s share in the Charter capital of the Bank amounts to over 75%.

Earlier, the national Bank of Ukraine has extended the existing temporary restrictions on monetary and currency markets in connection with risks to price and financial stability.

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