NBU COUNCIL SEEKING CANCELLATION OF RESTRICTIONS ON EARLY WITHDRAWAL OF DEPOSITS FOR DEPOSIT ACCOUNTS OPENED AFTER MAY 1

he Council of the National Bank of Ukraine wants the restrictions on early withdrawal of bank deposits to be cancelled for deposit accounts that are opened from May 1, 2009.

The NBU Council's head Petro Poroshenko announced this to journalists.

"We are insistently recommending cancellation of all the restrictions on the [deposit accounts] that will be opened from May 1, 2009," Poroshenko said.

According to him, the NBU Council believes that such a measure would facilitate restoration of depositors' confidence in the banking system.

The National Bank of Ukraine's resolution No. 319 that came into force on October 13, 2008, imposed restrictions on early withdrawal of bank deposits.

The resolution No. 413 that the National Bank of Ukraine adopted on December 4, 2008, cancelled the restrictions that the bank's resolution No. 319 imposed on early withdrawal of bank deposits, but it required commercial banks to ensure "positive growth dynamics" of the deposits with them in order to avoid early withdrawal of deposits.