**Ukraine to Ban Withdrawal of Foreign Issuer Securities**
The National Securities and Stock Market Commission in Ukraine has announced a ban on withdrawing foreign issuer securities from the country. The ban, which takes effect on January 1, aims to protect Ukraine’s economy and restrict capital from leaving the country.
**Restrictions Implemented Amid Invasion**
Following Russia’s full-scale invasion of Ukraine, the government implemented strict currency restrictions to protect the economy. Despite these measures, some investors have been using securities schemes to circumvent the restrictions. This has led to a significant portion of funds being transferred abroad.
**Exceptions Made**
The commission has made two exceptions to the ban: for “corporate actions of the issuer” and for “reconciliation of the number of securities in the Central Depository accounts with data from international depository institutions.”
**Commission’s Decision**
A member of the securities commission, Irakliy Baramiya, stated that the decision was a compromise after months of negotiations with the International Monetary Fund (IMF) and Ukraine’s National Bank. The aim is to “harmonize national currency legislation” and align with IMF requirements.
**Economic Uncertainty**
Ukraine continues to face economic uncertainty due to Russia’s invasion. Russia’s recent economic woes have weakened its ruble, further complicating the situation.