Resolution of the Board of the National Bank of the Republic of Belarus

(Unofficial translation)

 

Resolution of the Board of the National Bank of the Republic of Belarus

No.129 of September 13, 2006

[Amended as of August 1, 2016]

 

On the Procedure of Compulsory Sale of Foreign Currency in Internal Currency Market

 

On the basis of Articles 26, 33 and 277 of the Bank Code of the Republic of Belarus, the Edict of the President of the Republic of Belarus No. 240 of May 12, 2009 “On Some Issues in the Sphere of Currency Regulation”, the Board of the National Bank of the Republic of Belarus has decided:

1. To approve the Instruction on the Procedure of Compulsory Sale of Foreign Currency in Internal Currency Market (hereinafter referred to as the Instruction) (enclosed).

2. To determine the list of the foreign currencies which are subject to compulsory sale in the internal currency market of the Republic of Belarus, according to the Appendix to this Resolution.

3. [Excluded]

4. To declare as became invalid the Resolution of the Board of the National Bank of the Republic of Belarus No.29.11 of December 30, 1999 "On Approval of the Procedure of Compulsory Sale of Amounts in Foreign Currency by Authorized Banks”.

5. This Resolution enters into force from September 21, 2006.

 

Chairman of the Board                                                                                                                                                                                                                                                                                                                                                         P.P.Prokopovich

 

AGREED

Deputy Prime Minister

of the Republic of Belarus

A.V.Kobyakov

September 13, 2006

AGREED

Deputy Chairman

of the Committee of State Control

of the Republic of Belarus

A.V.Ageev

September 13, 2006

 

Appendix

to Resolution of the Board

of the National Bank

of the Republic of Belarus

No.129 of September 13, 2006

 

THE LIST

of the Foreign Currencies Which Are Subject to Compulsory Sale in Internal Currency Market of the Republic of Belarus

1. Australian Dollar

2. Danish Krone

3. US Dollar

4. Euro

5. Iceland Krona

6. Yen

7. Canadian Dollar

8. Norwegian Krone

9. Russian Ruble

10. Pound Sterling

11. Swedish Krona

12. Swiss Franc

13. Forint

14. New Israeli Shekel

15. New Zeeland Dollar

16. Zloty

17. Turkish Lira

18. Czech Koruna

19. Lithuanian Lita

20. Latvian Lat

21. Tenge

22. Chinese Yuan

 

APPROVED

Resolution of the Board

of the National Bank

of the Republic of Belarus

No.129 of September 13, 2006

 

INSTRUCTIONS

on the Procedure of Compulsory Sale of Foreign Currency in Internal Currency Market

 

CHAPTER 1

GENERAL PROVISIONS

 

1. These Instructions determine the amount of the compulsory sale of foreign currency in the internal currency market and the uniform procedure of compulsory sale of foreign currency in the internal currency market by the legal persons (except for banks, non-bank credit and financing organizations, insurance organizations, residents of free economic zones of the Republic of Belarus) and the individual entrepreneurs, being the residents of the Republic of Belarus (hereinafter referred to as the legal persons and/or individual entrepreneurs).

2. The terms "export" and "residents" applied in these Instructions are used in the meaning specified in Article 1 of the Law of the Republic of Belarus of July 22, 2003 “On Currency Regulation and Currency Control” (National Register of Legal Acts of the Republic of Belarus, 2003, No.85, 2/978).

The term “proceeds in foreign currency” is used in these Instructions in the meaning specified by the Decree of the President of the Republic of Belarus No.452 of July 17, 2006 “On compulsory sale of foreign currency”.

With reference to these Instructions, terms and their definitions are used in following meanings:

banks - banks and non-bank credit and financial organizations, being those in accordance with the legislation of the Republic of Belarus, their branches, and the National Bank of the Republic of Belarus (hereinafter referred to as the National Bank), including its structural divisions;

non-resident banks - banks and non-bank credit and financial organizations created in accordance with the legislation of a foreign state, with a place of location outside the Republic of Belarus;

foreign currency - money amounts in foreign currency included in the list of the foreign currencies which are subject to compulsory sale in the internal currency market of the Republic of Belarus, according to the appendix to the Resolution of the Board of the National Bank of the Republic of Belarus No.129 of September 13, 2006.

3. Legal persons and individual entrepreneurs shall effectuate compulsory sale of foreign currency in the internal currency market (hereinafter referred to as compulsory sale) in the amount of 20 percent of the sum of proceeds in foreign currency.

4. Compulsory sale shall be effectuated through the banks at the tenders of the open joint-stock company “Belarusian Currency and Stock Exchange” (hereinafter referred to as the exchange).

If the amount of the foreign currency, which is subject to compulsory sale, is less than a lot established at the exchange trading, such sale shall be effectuated to the banks servicing the account to which the proceeds in foreign currency has been credited at the rate established by the bank.

5. Legal persons and individual entrepreneurs shall submit to the bank the necessary documents, in accordance with these Instructions, within the time specified by the bank for work with clients.

6. Copies of the documents justifying omission of compulsory sale:

shall be kept in the bank during the period established by the legislation;

can be submitted to the bank in the electronic form or on the media for computer.

The procedure of submission and keeping of such documents shall be established by the bank independently.

7. The amount of fee levied by the bank for effectuation of compulsory sale by the legal persons and individual entrepreneurs shall not exceed 0,2 per cent from the amount of transaction, including the exchange fee. The remuneration is not levied in the instance when the compulsory sale of foreign currency in the sum less than a lot is effectuated to the bank.

8. The procedure of effectuation of foreign currency conversion transactions in the internal currency market shall be established by the bank legislation.

9. The questions of the procedure of compulsory sale, not regulated by these Instructions, shall be resolved in accordance with the legislation of the Republic of Belarus.

10. [Excluded]

CHAPTER 2

PROCEDURE OF COMPULSORY SALE

 

11. For accounting of foreign currency amounts of legal persons and individual entrepreneurs at effectuation of the operations related to compulsory sale, and other operations provided by the legislation, the following special accounts shall be opened for the legal person and the individual entrepreneur in the bank:

the special transit currency account (hereinafter referred to as the transit account);

the special account for accumulation of foreign currency amounts for repayment of debts in foreign currency (hereinafter referred to as the special account for accumulation).

12. The transit account shall be opened on the separate personal account of the balance account, on which the foreign currency account of the legal person (or its separate structural division) or the individual entrepreneur is opened, and only for the accounts on which, in accordance with the account regime, receiving of proceeds in foreign currency is possible. The foreign currency amounts, received on the account of the legal person (its separate structural division) or the individual entrepreneur, shall be placed on the transit account, except for the case specified in clause 23 of these Instructions. This account shall be opened by the bank without submission of any documents by the legal person (or its separate structural division) or the individual entrepreneur.

The special account for accumulation shall be opened in accordance with the bank legislation for the purposes of accumulation of the foreign currency, allocated for the purposes specified in sub-clause 24.4 of clause 24 of these Instructions.

Closing of the transit account and the special account for accumulation shall be effectuated by the bank simultaneously with closing of the foreign currency account, for which these accounts have been opened.

13. After reception of foreign currency on the transit account, the bank shall, not later than at the next working day, submit the statement of the transit account to the legal person (or its separate structural division) or the individual entrepreneur in accordance with the procedure, established in the contract between the bank and the legal person or the individual entrepreneur.

14. For effectuation of compulsory sale, the legal person or the individual entrepreneur shall submit to the bank, within 7 working days since the day of reception of proceeds in foreign currency to the account, the following documents:

the register of distribution of foreign currency, drawn up in accordance with the form presented in the Appendix to these Instructions (hereinafter referred to as the register of distribution);

the payment instruction in the form of the payment order (hereinafter referred to as the payment order) for the amount of the foreign currency which is subject to sale at the exchange on account of compulsory sale;

the payment order for the amount of foreign currency which is less than a lot established at the exchange tender, for sale to the bank on account of compulsory sale (in the case specified in the second part of clause 4 of these Instructions);

the payment order for transfer of foreign currency from the transit account to the account of the legal person or the individual entrepreneur, for which the transit account is opened, for the amount remaining after compulsory sale.

The period of arrest imposed in accordance with the legislation on foreign currency being on the transit account, and also the period of suspension of operation on accounts of the client, including the day of imposition and the day of lifting of the arrest, the day of suspension of operations and the day of cancellation of suspension of operations are not included in the time limits established for compulsory sale of foreign currency.

15. The register of distribution shall be drawn up by the legal persons or individual entrepreneurs only for the foreign currency received as proceeds, and shall be submitted to the bank in the context of separate receipts of proceeds in foreign currency. Submission of the register of distribution for the part of separate receipt of proceeds in foreign currency by the legal persons or individual entrepreneurs shall not be permitted.

The bank shall have the right to establish additional essential elements of the register of distribution independently.

16. The register of distribution shall be submitted to the bank both in writing and in the electronic form, using the means of telecommunication, and in the form of the electronic document in accordance with the legislation of the Republic of Belarus on the electronic documents. Transfer of the register of distribution to the bank can be effectuated by any means of communication, including information systems and networks, in accordance with the legislation of the Republic of Belarus.

The register of distribution shall be drawn up in two copies, one of which is kept in the bank, and the other is kept by the legal person or the individual entrepreneur.

17. If the proceeds in a foreign currency were received on the account of the legal person or the individual entrepreneur, opened in non-resident bank, the legal person or the individual entrepreneur shall be obliged to transfer the part of foreign currency, which is subject to compulsory sale, on their foreign currency account in the bank, except for the case provided by the second part of this clause. At reception of this foreign currency on the transit account in the bank, the legal person or the individual entrepreneur shall be obliged to submit the documents specified in clause 14 of these Instructions to the bank. The total period of staying of the part of proceeds in foreign currency, which is subject to compulsory sale, on the accounts in the non-resident bank and in the bank, cannot exceed 7 working days since the date of reception of proceeds in a foreign currency on the account in the non-resident bank.

If the amount of foreign currency, necessary for effectuation of compulsory sale, is available on the current (settlement) bank account (hereinafter – current (settlement) account) of the legal person or the individual entrepreneur, opened in the bank, the legal person or the individual entrepreneur shall have the right to effectuate the sale of foreign currency at the exchange in accordance with the general procedure in the amount, which are subject to compulsory sale, without transferring it from the account, opened in the non-resident bank, to the account in the bank.

18. After receiving of the register of distribution and appropriate payment orders from the legal person or the individual entrepreneur, the bank shall accumulate the foreign currency, required for sale at the exchange, on the account for accounting means in the settlements for transactions with foreign currency, and carry out its sale not later than at the second working day after submission of the register of distribution and an appropriate payment order by the legal person or the individual entrepreneur having the regard to the following requirements:

the bank accepts payment orders of legal persons and individual entrepreneurs for the sum of foreign currency to be sold at the exchange tenders for account of the compulsory sale and forms from them one or several bids for the sale of foreign currency;

if after fulfilling the bids for sale of foreign currency in the course of exchange tenders any part of them has not been fulfilled, the bank has the right to file a bid for sale of foreign currency within the period of closing exchange tenders;

settlements of the bank with legal persons and individual entrepreneurs on a respective foreign currency according to results of exchange trading shall be made at a average weighted rate calculated on transactions effectuated when the compulsory sale of foreign currency was carried out, including within the period of closing exchange tenders.

In case if the foreign currency other than US dollars, Euro, Russian rubles has not been sold at the exchange tenders, the bank, subject to the agreement with the legal person or the individual entrepreneur, may carry out its conversion at the rate of the bank in another foreign currency (US dollar, Euro, Russian ruble). Sale of foreign currency at the exchange by the bank in that instance shall be effectuated not later than on the fourth working day after the day of submission by the legal person or the individual entrepreneur of the register of distribution and an appropriate payment order.

The Belarusian Rubles, obtained from the compulsory sale, shall be placed on the current (settlement) account of the legal person or the individual entrepreneur (or the account of the separate structural division of the legal person), which have effectuated the compulsory sale, not later than at the next working day after the trading.

The bank’s fee for effectuation of compulsory sale in the Belarusian Rubles can be levied by reduction of the amount of the Belarusian Rubles, placed on the current (settlement) account of the legal person or the individual entrepreneur.

The bank’s fee for effectuation of compulsory sale can also be levied in the Belarusian Rubles (or in foreign currency, subject to the consent of the legal person or the individual entrepreneur) by charging-off from the accounts of the legal person or the individual entrepreneur.

19. At reception of proceeds by the legal person or the individual entrepreneur in foreign currency and availability of the account in foreign currency, which is different from currency of reception, the bank can effectuate its placing on this account with conversion to other foreign currency, subject to the consent of the legal person or the individual entrepreneur.

20. At reception of proceeds in foreign currency at the account of the structural separate division of the legal person, these proceeds or part thereof, which is subject to compulsory sale, shall be transferred to the transit account, opened for the account of the legal person, for which this structural separate division is the part of, for effectuation of compulsory sale by this legal person.

The structural separate division of the legal person shall have the right to effectuate compulsory sale by itself on behalf of the legal person in accordance with established procedure, if this right is granted to it by the legal person.

21. For transferring the foreign currency, not being the proceeds in foreign currency, the legal person or the individual entrepreneur shall submit to the bank the payment order for transfer of foreign currency from the transit account to the account, for which the transit account is opened, or to the other account in the cases specified by the legislation of the Republic of Belarus. For such transfer, the record “Not subject to compulsory sale” shall be made in the payment order for the transfer by the legal person or the individual entrepreneur.

22. In case of emerging of necessity of closing the transit account and/or the account for accumulation as a result of turning of the legal person or the individual entrepreneur for service to other bank, the amounts in foreign currency on the specified accounts, if any, shall be transferred by the bank to the accounts for accounting the settlements in other transactions, which are opened in other bank. The legal person or the individual entrepreneur, carrying out transfer of such foreign currency, shall submit to the bank the payment order for the transfer with the note “Compulsory sale was not effectuated”.

23. If the bank can reliably determine, the foreign currency, received on the account of the legal person or the individual entrepreneur, can not be considered as the proceeds in foreign currency, such foreign currency can be placed by the bank to the appropriate accounts of the legal person or the individual entrepreneur without placing to the transit account, if it is provided by the contract between the bank and the legal person or the individual entrepreneur.

CHAPTER 3

CASES OF OMISSION OF COMPULSORY SALE

 

24. Compulsory sale of foreign currency shall not be effectuated:

24.1. for the proceeds in foreign currency, received by the organizations of electric communication and mail and allocated by these organizations, within 30 days since the date of reception on the account, for payment of invoices for services of international communication;

24.2. for the proceeds in foreign currency, received by the legal persons and the individual entrepreneurs, carrying out activity in the sphere of aviation, forwarding activity, carriage of cargo and passengers by automobile transport, inland waterway transport, sea transport, and allocated by them, within 30 days from the day of receipt on the account, for payment of expenses for transportation, insurance and forwarding of passengers and cargo, and for payment of taxes and dues in foreign currency, related to transportation of passengers and cargo;

24.3. for the proceeds in foreign currency which is subject to transferring and transferred, within 30 days since the date of reception on the account, in accordance with contracts of commission or commission body with non-residents in the course of effectuation, by the legal persons and individual entrepreneurs, of intermediary activity, which is directly connected with transactions, from which the proceeds in foreign currency are obtained;

24.4. for the proceeds in foreign currency transferred to the special account, within 7 working days since the date of its reception on the account, with the purposes of accumulation of the money amounts for allocation for repayment of debts in foreign currency on:

the credits, loans (including interests for using), borrowings, provided under the decision of the President of the Republic of Belarus, the Government of the Republic of Belarus or against the guarantee of the Government of the Republic of Belarus;

the credits, loans (including interests for using), provided by the non-residents or banks of the Republic of Belarus and used on purchase of the objects of leasing or property, attributed to the fixed assets, participating in entrepreneurial activities, used for own production;

leasing;

24.5. for the proceeds in foreign currency transferred within 7 working days since the date of reception on the account to the bank or non-bank credit and financial organization (factor) on the ground of contract of financing under cession of monetary demand (factoring);

24.51. for the proceeds in foreign currency, received by the legal persons and the individual entrepreneurs from realization of the property taken as state incomes, and also of the property at the expense of  which the non-fulfilled tax obligation is being collected;

24.52. [excluded]

24.6. in other cases, under the decision of the President of the Republic of Belarus providing, for the legal persons and individual entrepreneurs, full or partial relief from compulsory sale of foreign currency amounts received on their accounts.

25. Compulsory sale of foreign currency shall not be effectuated by the banks, non-bank credit and financial organizations, the insurance organizations, residents of free economic zones of the Republic of Belarus.

CHAPTER 4

FEATURES OF THE PROCEDURE OF OMISSION

OF COMPULSORY SALE

 

26. In cases of omission of compulsory sale in accordance with sub-clauses 24.1-24.3 of clause 24 of these Instructions, the legal person or the individual entrepreneur shall submit to the bank:

not later than within 7 working days since the date of reception of proceeds in foreign currency on its account, the register of distribution and, in case specified in sub-clause 24.3 of clause 24 of these Instructions, the documents justifying omission of compulsory sale within 30 days (the contract or other documents confirming effectuation of appropriate civil legal transaction);

not later than within 30 days since the date of reception of foreign currency on its transit account, the register of distribution and, subject to partial use of foreign currency for the purposes specified for the appropriate case, the payment order for sale of part of unused remains of proceeds in foreign currency on account of compulsory sale and the payment order for transfer of foreign currency amounts from the transit account to the account of the legal person or the individual entrepreneur, for which the transit account is opened, for the amount remained after compulsory sale;

not later than within 30 days since the date of reception of proceeds in foreign currency to the account of the legal person or the individual entrepreneur, the payment order(s) for transfer of the foreign currency which is not subject to compulsory sale from the transit account for the appropriate purpose or to the current (settlement) account of the legal person or the individual entrepreneur, with the simultaneous presentation of the payment order(s) for transfer of foreign currency from the current (settlement) account for the appropriate purpose.

27. At using the right to the omission of compulsory sale by the legal person or the individual entrepreneur in the cases specified in sub-clauses 24.4-24.6 of clause 24 of these Instructions, not later than within 7 working days since the date of reception of proceeds in foreign currency to the account of the legal person or the individual entrepreneur, the following documents shall be submitted simultaneously to the bank:

the register of distribution;

the payment order(s) for transfer of the foreign currency which is not subject to compulsory sale from the transit account for the appropriate purpose or to the appropriate account of the legal person or the individual entrepreneur with the simultaneous presentation of the payment order(s) for transfer of foreign currency from the current (settlement) account for the appropriate purpose or to the special account for accumulation when the compulsory sale is not carried out in accordance with sub-clause 24.4 of clause 24 of these Instructions;

the documents justifying omission of compulsory sale (the contract or other documents confirming effectuation of appropriate civil law transaction), with the exception of the cases established by sub-clauses 24.51 – 24.6 of clause 24 of these Instructions.

When the compulsory sale is not performed in the cases specified in part one of this clause, the legal person or individual entrepreneur is entitled to send such proceeds in foreign currency to the appropriate account or the special account for accumulation with subsequent presentation, not later than 7 working days from the date of receipt of the foreign currency to the account, of the following documents:

the register of distribution;

the payment order(s) for transfer of the foreign currency which is not subject to compulsory sale from the transit account for the appropriate purpose or to the appropriate account of the legal person or the individual entrepreneur with the simultaneous presentation of the payment order(s) for transfer of foreign currency from the current (settlement) account for the appropriate purpose or to the special account for accumulation when the compulsory sale is not carried out in accordance with sub-clause 24.4 of clause 24 of these Instructions;

the register of distribution and, when the foreign currency has not been fully used for the purposes determined by the cases specified in sub-clauses 24.4–24.6 of clause 24 of these Instructions, the payment order(s) for sale of the part of the not-used remaining part of the proceeds in foreign currency as compulsory sale and the payment order for transfer of the funds in foreign currency from the transit account to the account of the legal person or individual entrepreneur, for which the special account has been opened, for the sum remaining after the compulsory sale;

the documents justifying omission of compulsory sale (the contract or other documents confirming effectuation of appropriate civil law transaction), with the exception of the cases established by sub-clauses 24.51 – 24.6 of clause 24 of these Instructions.

28. If the foreign currency, being on the transit account, is different from currency, in which the special account for accumulation is opened, the legal person or the individual entrepreneur can submit to the bank the payment order for transfer from the transit account to the special account for accumulation with conversion.

29. If the foreign currency, being on the special account for accumulation, is different from currency, which is necessary for transferring for the purpose of accumulation of these amounts, the legal person or the individual entrepreneur can submit to the bank the payment order for transfer from the special account for accumulation with conversion.

30. If the foreign currency, being on the transit account, is different from currency, which is necessary for transferring for the appropriate purpose, the legal person or the individual entrepreneur can submit to the bank (depending on necessity):

the payment order for transfer from the transit account to the appropriate account of the legal person or the individual entrepreneur and the payment order for transfer with conversion from the account of the legal person or the individual entrepreneur for the appropriate purpose;

the payment order for transfer with conversion from the transit account to the appropriate account of the legal person or the individual entrepreneur and the payment order for transfer from the account of the legal person or the individual entrepreneur for the appropriate purpose;

the payment order for transfer with conversion from the transit account for the appropriate purpose.

31. If the foreign currency directed by the legal person or individual entrepreneur for a corresponding purpose under the procedure provided by clauses 26 and 27 of these Instructions has been returned to its account, it must be sold as the compulsory sale under the procedure established by these Instructions within 7 working days from the day of return to the account, with the exception of the instance provided by part two of this clause.

If the foreign currency directed for the purposes provided by sub-clauses 24.1–24.3 of clause 24 of these Instructions has been returned to the account of the legal person or individual entrepreneur within 30 days from the day of receipt to the account, it may be repeatedly directed for the mentioned purposes till the expiry of the indicated period.

 

 

Appendix

to the Instruction

on the Procedure of Compulsory Sale of Foreign Currency

in the Internal Currency Market

 

 

0401710037

THE REGISTER

of distribution of foreign currency _______ No____

 (date)

received ________________________________ on the account No. ____________________

(name of the legal person or the individual entrepreneur)

 

 

Table 1

Calculation of the amount, which is subject to sale, for actual reception

 

Date of reception of foreign currency

Amount of foreign currency received, which is subject to distribution

Availability of grounds for omission of compulsory sale (clause or sub-clauses of the Instruction on the Procedure of Compulsory Sale of Foreign Currency in the Internal Currency Market), date and number of the document justifying the omission of compulsory sale

Amount of foreign currency which is not subject to distribution for effectuation of compulsory sale on the grounds of case(s) justifying the omission of compulsory sale

Amount of sale on account of compulsory sale

(column 2 – column. 4) х 20 %

1

2

3

4

5

 

 

 

 

 

 

 

Table 2

 

Calculation of the amount, which is subject to sale, for receptions relieved earlier from compulsory sale, or in case of omission of compulsory sale

 

Date of distribution of foreign currency, or date of reception of undistributed foreign currency

Amount of foreign currency, relieved from effectuation of compulsory sale, or amount of undistributed foreign currency

Availability of grounds for omission of compulsory sale (clause or sub-clauses of the Instruction on the Procedure of Compulsory Sale of Foreign Currency in the Internal Currency Market), date and number of the document justifying the omission of compulsory sale

Amount of foreign currency, used on the grounds of case(s) justifying the omission of compulsory sale

Amount of sale on account of compulsory sale

(column 2 – column. 4) х 20 %

1

2

3

4

5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

IN TOTAL subject to sale on account of compulsory sale

(column 5 of Table 1 + column 5 of Table 2)

 

 

 

 

 

_____________

 

______________________________________________________

(Signature)

 

(The initials and surname of the authorized person of the legal person or the individual entrepreneur)

 

* unofficial translation *