Tuesday, April 13, 2010

The credits in foreign currency are back

The parliament of Ukraine has voted on lifting the restrictions on loans in foreign currency (link in Russian). In addition, the MPs simplified the procedures that are required for foreign investments in Ukraine.
It seems that nothing has been learnt from the crisis and more strict regulations of financial markets is not what on the table. To the contrary, the ruling coalition hopes to attract more foreign capital inflows. While it is good to overcome lack of financing of the current government deficit, it will create the situation similar to the one that led to the collapse of the economy in 2008.

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