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Ukraine’s National Bank agrees with Visa and Mastercard: commissions will decrease

Source : 112 Ukraine

The memorandum is open for accession by any other payment system organizations and other market participants
13:25, 18 May 2021

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The National Bank of Ukraine has signed a memorandum with the international payment systems Visa and Mastercard. According to the Memorandum, the signatories will work on competition in the payment market of Ukraine, the press service of the NBU reports.

The memorandum is open for accession by any other payment organizations of payment systems and other market participants.

"Given the strategic importance of further development of the non-cash economy and, in particular, the spread of non-cash payments for Ukraine, an approach was agreed to gradually reduce the marginal rate of domestic interbank commissions (interchanging). We consider the compromise reached to be balanced. This decision will help reduce the cost of non-cash transactions and protect the interests of Ukrainian payment card users, and also develop competition and expand opportunities for the emergence of new non-cash payment instruments on the payment market," Deputy Governor of the National Bank Oleksiy Shaban said.  

Therefore, Visa and Mastercard addressed the Antimonopoly Committee of Ukraine for permission to take concerted action.

After obtaining such permission, they will begin a gradual reduction of the marginal rates of the interchange commission, in particular, the commission should be:

  • from 01.07.2021 - not more than 1.20%;
  • from 01.07.2022 - not more than 1.00%;
  • from 01.07.2023 - not more than 0.90%.

The NBU believes that this allows the financial industry to ensure further growth of non-cash payments, reducing the share of the shadow economy and increasing revenues to the state budget as a result of the digitalization of payments.

Related: In Specialized Anti-Corruption Prosecutor's Office completed investigation into theft of Oschadbank’s $20 million

As it was previously reported, Oschadbank, PrivatBank and Raiffeisen Bank Aval agree to reduce the commission for acquiring and interchanging.

Related: Ukraine's Oschadbank and Visa create ring for non-contact payment

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