Currency Legislation Research Articles

Procedure for the movement of currency values across the customs border of Ukraine in wartime

The article analyzes the procedure for conducting currency transactions, including the cross-border movement of currency values, as this is subject to currency regulation. It highlights the key principles of currency regulation enshrined in the Law of Ukraine No. 2473-VIII. The following principles are considered: freedom of currency transactions, risk orientation, transparency and efficiency. Particular attention is paid to the role of the customs border as an important component of the financial security of the state, which ensures control over the movement of currency values. The author analyzes Ukrainian legislation, in particular the Customs Code, which defines currency values as national and foreign currencies, payment documents, securities and precious metals. The article outlines two approaches to their definition - dualistic and exclusively unconditional, and emphasizes that the Ukrainian legislator uses the first approach. An important place is given to the issue of declaring currency values, the rules of which are regulated by the National Bank of Ukraine: for amounts up to EUR 10,000, no declaration is required, while exceeding this limit obliges citizens to confirm the legality of the origin of funds. The authors examine the movement of currency values in the context of martial law: they highlight changes in the functioning of the banking system and customs authorities aimed at strengthening control and ensuring stability. The article also examines how the NBU’s regulations restrict cross-border currency transactions, allowing them only for critical imports. According to the authors, such measures are necessary to prevent illegal capital outflows and maintain economic security. The authors emphasize the existence of administrative and criminal liability for violations of currency legislation, such as failure to declare or illegal currency transactions. They note that the established sanctions are aimed at preventing financial crimes and enhancing the transparency of international transactions. In conclusion, it is emphasized that effective currency regulation, adapted to the challenges of martial law, is an important tool for financial stability and economic security of the state.

Accounting of foreign economic activities: impact on current aspects of currency operations supervision and financial monitoring during the period of martial state in Ukraine

Introduction. Accounting for foreign economic activity was and remains a relevant area of accounting support for business entities, which is associated with an increased risk of errors in connection with changes in regulatory documents on such activities, different conditions for carrying out activities due to the variability of the terms of foreign economic contracts, the need to take into account different exchange rates and the correct submission and presentation of information in financial statements. It is important for business entities to comply with the requirements of legislation, to organize proper internal control/internal audit to prevent errors in reflected transactions in the conditions of foreign economic activity. The purpose of the paper is to highlight the features of accounting for foreign economic activity, taking into account the latest changes and the impact on currency supervision and financial monitoring. Results. Subjects of foreign economic activity must also comply with the rules of currency exchange, import and export licensing, as well as customs procedures. Starting from 2019, currency supervision replaced currency control, a risk-oriented approach was introduced. Correct accounting is affected by the control of settlement deadlines, i.e. the time between the customs declaration and the payment. The experience of regulating foreign economic activity in Ukraine was the mandatory sale of proceeds by exporters under foreign economic contracts, which was canceled in 2019 by the NBU Resolution of February 6, 2019, №. 3. During the martial law, it was not restored. Funds, before entering the current account, may first be credited to a distribution account in the bank, which is in transit, and the operations of crediting to the distribution account and transferring to the current account may take place both during the same day and on different days. Based on the set of criteria for risky operations of foreign economic activity and taking into account internal documents, the bank can make a decision to break up the operation and violate the deadlines even if formal criteria are observed in export-import operations. Conclusion. Under the conditions of extraordinary events, there is a need to establish new currency regulation and control measures. Currency supervision is based on a risk-oriented approach and certain indicators of violations of currency legislation should be taken into account when implementing internal control measures.

The classification of risks facing society in connection with the creation and spread of virtual assets: institutional and scientific approaches

The article suggests that the emergence and proliferation of virtual assets has led to an increase in a number of negative events (risks) that society, States and investors might face. However, despite significant developments in identifying these risks, there is still no generalized classification of them. Given this, the purpose of the article is to analyze and classify the risks faced by society, States and investors in connection with the emergence and proliferation of virtual assets.
 The author proposes to classify the risks into six groups based on the study: economic, investment, criminological, technological, subjective, and environmental risks. Within each of the proposed classification groups, the author identifies the relevant risks. For example, the economic risks include the following: the possibility of affecting the foundations of financial stability and security of the state, inflation (possible impact on the monetary policy of the state due to unjustified and uncontrolled increase in the money supply), the possibility of creating pyramid schemes, the possibility of circumventing currency legislation (in particular, currency restrictions on the withdrawal of currency abroad).
 As to the subjective risks, the author identifies the following: the possibility of unfair behavior of entities providing services in the field of turnover of such assets, the possibility of losing a crypto wallet password and/or a secret personal PIN code by its owner, the possibility of an erroneous transaction during a transfer from one crypto wallet to another, the possibility of carrying out settlement operations and entering into smart contracts by persons under the appropriate age or with limited legal capacity, and the inability of some non-professional users to use virtual assets.
 It is emphasized that a comprehensive study of the risks that may arise in connection with the emergence and proliferation of virtual assets will form the basis for further development of legal support for their operation and implementation in all spheres of public life.

Currency calculations during the war

Introduction. The introduction explores the impact of war on foreign economic activity and currency transactions in Ukraine. It examines how the war influences the Ukrainian economy, emphasizing the importance for businesses to be aware of changes in currency transactions during times of war. The purpose of the paper is to analyze restrictions on currency transactions during the state of war in Ukraine and potential penalty sanctions for violations of currency legislation. Results. Currency transactions in Ukraine during the war impact a significant sector of the economy and the lives of the country's citizens. To ensure financial stability, the National Bank of Ukraine and the government have implemented a series of measures, creating challenges for businesses and the population. These measures include changes in the currency exchange rate, restrictions on the issuance of foreign currency, and limitations on cross-border transfers, and others/ Conclusions. During the period of martial law, currency transactions have faced significant challenges and changes. The National Bank of Ukraine and the government have implemented and continue to implement a series of measures to ensure stability in the currency market and mitigate the negative impact of the war on Ukraine's financial system. To minimize the adverse effects, restrictions on cash withdrawals, issuance of funds in foreign currency, cross-border currency transfers, and more have been introduced. Equally important, all economic ties with the aggressor country have been halted. Over the years of war, it has become clear that control over currency transactions plays a crucial role in ensuring economic stability. In turn, businesses need to monitor all these changes implemented by the country's leadership to continue developing successfully and contribute to the growth of our country's economy.

Currency Regulation as a Tool to Secure the State Sovereignty of the Russian Federation in the context of Global Challenges

The paper is devoted to the study of the transformation of the currency regulation of the Russian Federation in the context of countering international financial sanctions imposed on Russia by the United States and other unfriendly states and international organizations. Based on the results of the study, the paper identifies the main tasks of currency regulation at the present stage of historical development. It is proved that the provisions of federal laws No. 281-FZ dated 130 December 2006 «On Special Economic Measures and Coercive Measures», No. 390-FZ dated 28 December 2010 «On Security» and No. 127-FZ dated 6 April 2018 «On Measures of influence (Counteraction) the unfriendly actions of the United States of America and other foreign states», on the basis of which currency restrictions are established, can be attributed to currency legislation within their relevant parts. It is noted that to date, subordinate regulatory legal acts (primarily of the President of the Russian Federation) have begun to play a leading role in the legal regulation of currency relations. It is concluded that it is necessary to find a balance between public and private interests in the process of regulating currency relations. The author substantiates the necessity of adopting a new basic law consolidating the foundations of currency regulation and currency control.

DIGITAL DEVELOPMENT OF COMPLEMENTARY CURRENCY MARKETS: LEGISLATIVE ASPECTS

The purpose of the research. The legal aspect requires a clear understanding, and can be considered one of the determining factors of the success in realizing complementary currency (CC) projects, because many of them have a lot questions in the legislative framework. In this regard, the author finds it expedient to find out to what extent some countries are more sympathetic to such currency initiatives than others. To this end, the author confines himself to a relatively representative sample of five countries-France, Great Britain, Canada, Italy and Russia-in terms of the degree of liberality to the CC. The main measure for selecting countries were the degree of popularity of the CC-projects in the countries and the availability of the necessary information. In the context of the current paradigm of digitalization of financial markets in each country, the author assessed the achieved level of «digitization» of the projects under study. Results. As a result of the conducted research, the author comes to the conclusion that there are no separate laws concerning CC projects in the system of legislations of different countries. It is possible to determine the position of a country in this area only by examining the sub-items of currency legislation, securities laws, as well as laws related to banking activities. At the same time, in countries that are liberal to CC projects, there are separate communities that support such initiatives and contribute to their emergence and development, while regulating their appeal.

ВАЛЮТАЛЫҚ ҚАТЫНАСТАРДЫ РЕТТЕУ МЕН ЫРЫҚТАНДЫРУДЫҢ ХАЛЫҚАРАЛЫҚ ҚҰҚЫҚТЫҚ ТӘЖІРИБЕСІ

Abstract. The proposed article analyzes the features and current state of the legislative development of instruments of currency regulation and currency control in international practice. The author managed to conduct a comprehensive study of this topic and to a certain extent reveal it. It was considered whether the monetary policy has a significant impact on improving the economy and economic security of the state. Also in the scientific article, as an example, one's own subjective views are given, the author's position is justified. The relevance of the scientific article is emphasized by the fact that currently many countries are trying to lift restrictions on foreign exchange transactions and the movement of capital funds in order to create an economy attractive to foreign investors and resistant to external influences. Thus, the process of liberalization consists in lifting restrictions on the implementation of currency transactions between currency residents and non-residents in the international arena. In this regard, the author has legislatively analyzed and considered in detail the issue of the formation and development of the principles of capital movement liberalization at the international legal level. As a result of the study, it was found that since the adoption by individual states or integration associations of legislation in the field of currency regulation and currency control, currency restrictions began to weaken (in particular, the obligation to reserve currency and issue transaction passports during cross-border transactions was excluded). Currently, developed countries are systematically continuing the liberalization of currency legislation. At the same time, within the framework of liberalization, there is an increase in state attention to the property and income of foreign currency residents abroad in order to "educate" the economy. At the same time, the idea was formulated that the interests of society and the state from the point of view of national security and welfare should be taken into account when liberalizing. On the example of integration associations, the advanced foreign practice of currency and financial regulation is revealed. In addition, the features of the regulatory legal acts of the Republic of Kazakhstan in this area were considered, the author expressed his opinion on the need for further improvement of legislation to create a financial system resistant to external influences and international pressure. Keywords: monetary and financial relations, liberalization, currency regulation, international documents, obligations, principle, capital movement, regulation of relations.

ВАЛЮТНОЕ РЕГУЛИРОВАНИЕ В РОССИЙСКОЙ ФЕДЕРАЦИИ

The article defines the essence, directions and instruments of currency regulation in the Russian Federation. The evolution of currency legislation in the period from 2014 to 2022 is considered. Since the topic of currency regulation was updated with the introduction of anti-Russian sanctions, which complicated the activities of domestic companies that closely cooperated with foreign counterparties, special attention in the article is devoted to the consideration of government measures to change currency regulation under sanctions pressure.

Principles of currency control in Ukraine

The article is devoted to the study of a complex system analysis of the current state of currency control in Ukraine. The current national financial and currency legislation, secondary legal acts and international experience in the formation of the currency system are considered. It is noted that the experience of recent years has shown that in Ukraine there is an insufficiency of state resources for financing the main tasks of the state, and significant losses of financial resources have been revealed due to violations of financial discipline. Underestimation of the role of financial control in Ukraine led to abuses and violations in the field of financial relations. Therefore, it was the complex economic processes and consequences of the global financial crisis that showed the need to improve the financial and currency policy, as well as a radical change in the paradigm of the organization of the currency control system in Ukraine. It was emphasized that the currency policy is a component of the general economic, namely, the monetary and credit policy of the state, aimed at strengthening the currency and financial position of the country, maintaining its solvency and creditworthiness at a high level, ensuring the inflow of currency from abroad through foreign economic turnover, countering flight capital abroad, attraction of foreign capital. In conditions of large-scale capital flight abroad, lack of sufficient foreign investments in the national economy, martial law - effective currency regulation can change all these negative trends for the better.The activity of any body of state power and local self-government and the state is based on the principles of legality, which are enshrined in the Constitution of Ukraine. Given that financial activity is one of the types of state activity, and currency control is an integral part of such activity, it can be argued that these principles are inherent in both financial activity and currency control.The implementation of the principles of currency control is a necessary condition for ensuring law and order and legality in the process of carrying out financial activities.

Reforming the state authorities that carry out currency control

The article is devoted to the study of the system of state authorities that carry out currency control. Considered as valid national financial, tax, currency legislation, subordinate legal acts and international experience of currency system formation and currency regulation. It is noted that the transformational processes taking place in Ukraine indicate the need to introduce more efficient and effective public administration, in particular by reforming the administrative system, by carrying out large-scale reforms, which causes a significant change in the content of financial relations in the state, improvement of legal regulation and control. In the conditions of increasing influence of internal and external challenges in the financial and economic environment of the state, the importance of the state finance management system is increasing as a fundamental component for the development of other spheres of state policy implementation. The importance of improving the efficiency of the public finance management system is due to the need for constant development, updating and responding to the changing external and internal environment.It was emphasized that the financial and economic crisis revealed significant shortcomings in the financial system, which led to a rethinking of the role of the budget system in regulating economic processes and the need for further improvement of the state finance management system.All bodies of state power and local self-government, implementing state policy, direct their activities to protect national interests and guarantee safety to every person and society from external and internal threats in all spheres of the state's life.A well-organized system of public finances should ensure the fulfillment of strategic, national and political goals, the effective use of resources by the government to perform the prescribed functions, the distribution of resources between different levels and spheres of activity to fulfill the tasks; reducing the difference in income received by different social groups and regions, in accordance with the goal of state policy.

BUSINESS AUDITS IN UKRAINE DURING WARTIME AND QUARANTINE RESTRICTIONS

Abstract. The article reveals the specifics of conducting business tax audits by controlling bodies. Tax audit is a form of control carried out by authorized control bodies and institutions of state power to ensure compliance by natural and/or legal entities – taxpayers – with tax legislation. The Tax Code of Ukraine (TCU) distinguishes between three types of inspections: cameral audits, factual audits, documentary audits. It is emphasized that starting from March 18, 2020, there is a ban on conducting tax audits in Ukraine – both during quarantine and during martial law – but with a number of exceptions. With the beginning of the war, a number of changes were made to the Tax Code of Ukraine and some legislative acts of Ukraine regarding the administration of certain taxes during the period of martial law. There are a lot of innovations, in particular, regarding the conduct of tax audits, which require thorough study and analysis. The changes that were made during the first five months of martial law to the Tax Code of Ukraine by separate legislative acts were analyzed. The first «wartime» law extended the quarantine moratorium on tax audits under martial law conditions, and the next four laws made corresponding changes to the TCU, introducing some exceptions to the moratorium on certain types of tax audits. Thus, during the period of martial law on the territory of Ukraine, tax audits are not getting started, and the audits that have started are being stopped. The exceptions are cameral and factual audits, as well as documentary unscheduled audits, which are carried out at the request of the taxpayer and/or for reasons, and/ or documentary unscheduled audits of taxpayers, for which tax information was obtained, which indicates that the taxpayer has violated currency legislation in terms of compliance with deadlines for receipt of goods for import operations and/or foreign exchange earnings for export operations. Keywords: tax control, tax audits, cameral audits, factual audits, documentary audits, martial law, quarantine restrictions.

ОСОБЛИВОСТІ ЗВІЛЬНЕННЯ ВІД ФІНАНСОВО-ПРАВОВОЇ ВІДПОВІДАЛЬНОСТІ ЗА ПОРУШЕННЯ ПОДАТКОВОГО ЗАКОНОДАВСТВА ПІД ЧАС КАРАНТИНУ

The article is devoted to the analysis of the moratorium on the application of fines for violation of tax legislation committed during coronavirus lockdown. It is established that non-use of fines indicates the non-application of the financial liability itself. It is proved that exemption from the application of penalties for violation of tax legislation committed during coronavirus lockdown is a special basis for exemption from financial liability. It is emphasized that the provisions of paragraph 52-1 of Section 10 of Section XX of the Tax Code of Ukraine do not allow to draw a clear conclusion on the dismissal of taxpayers from the use of late-payment interest for violation of other Ukrainian legislation, which is controlled by the tax authorities (except Tax Code of Ukraine). The author considered contradictory jurisprudence on this issue on the example of currency legislation and proved that the exemption from the late-payment interest does not contradict the Law of Ukraine “On Currency and Currency Transactions”, but is a special rule that has been consolidated in the Tax Code of Ukraine, based on the universality of the concept of “late-payment interest”, used in tax legislation. The analysis of the concept of a continuous tax offense and the peculiarities of determining the moment of its commission has made it possible to conclude that the moratorium on the application of fines for violation of tax legislation actually extends for taxpayers the time limits to fulfill their tax obligation at any time before the end of coronavirus lockdown. It is established that the legal regime of coronavirus lockdown partially coincides in time with the legal regime of martial law, and therefore the issues related to the ratio of moratorium (stopping) of fines for the period of coronavirus lockdown and martial law must be considered in their systemic interconnection. In this case, the moratorium on the use of penalties for violations committed during coronavirus lockdown does not work in the case of inspections that are allowed at the time of martial law. The possible risks of practical use of force majeure as a circumstance for exemption from financial liability are indicated. Criteria for differentiation of mechanisms of exemption from financial liability for tax offenses committed during coronavirus lockdown and martial law are proposed.

ВАЛЮТНА ЛІБЕРАЛІЗАЦІЯ ЯК НЕОБХІДНА ПЕРЕДУМОВА ІНТЕГРАЦІЇ УКРАЇНИ У МІЖНАРОДНИЙ ЕКОНОМІЧНИЙ ПРОСТІР

The article examines the introduction of currency liberalization by the National Bank of Ukraine and its impact on the economic development of Ukraine. Liberalization of the currency regulation mechanism is an urgent direction of economic reform, as it contributes to Ukraine's integration into the global financial space. The introduction by the National Bank of Ukraine of gradual liberalization of currency regulation should promote the inflow of foreign capital from economically developed countries of the world. The article aims to study the peculiarities of the application of the regime of liberalization of currency regulation and to determine its impact on the economic development of the country. Analysis of the activity of the National Bank of Ukraine on the foreign exchange market in recent years showed that the NBU significantly changed the system of currency regulation by liberalizing the currency policy. Successful liberalization of currency regulation can ensure financial openness of the country under the conditions of weighted macroeconomic regulation it is noted. The updating of the system of currency legislation made it possible to provide more than 30 currency relaxations. The impact of currency liberalization on the most important macroeconomic indicators – money supply, monetary base, GDP was studied. Dynamics of exchange rate fluctuations, price level, currency interventions were analyzed. It was noted that currency interventions are associated with changes in the demand for currency in different periods. The purchase and sale of currency by the National Bank of Ukraine allows regulating the amount of money in circulation, which directly affects the level of inflation in the state. It has been established that the liberalization of currency regulation should be balanced and controlled by the state, because during the aggravation of crisis phenomena, the implementation of liberalization will only worsen the state of the real sector of the domestic economy. For Ukraine, taking into account the specifics of economic development, the liberalization of currency policy is an objectively determined process. However, liberalization may contain significant threats and risks. Therefore, it is important to develop an effective mechanism for the implementation of the liberalization process, taking into account the peculiarities of the domestic economy.

ВАЛЮТА ҚОНУНЧИЛИГИНИ ЭРКИНЛАШТИРИШ: ЎЗБЕКИСТОН ТАЖРИБАСИ

The article was devoted to the actual issues liberalization of currency legislation of the Republic of Uzbekistan. Negative impact of currency restrictions on foreign economic activities of business entities was examined. The author made analysis of stages of liberalization of currency legislation in Uzbekistan and suggests that there is still grounds for further reform in this sphere.The author indicates the current restrictions in the field of currency regulation and developed recommendationsfor further improving the currency legislation of the Republic of Uzbekistan

Дисконтування дебіторської заборгованості у системі фінансового менеджменту підприємства

Abstract. Introduction. The transformation of the financial management of the enterprise takes place not only under the influence of scientific research and progressive experience, as well as changes in current tax, currency and investment legislation. The change in financial management was influenced by the Order of the Ministry of Finance of Ukraine dated September 16, 2019 № 379, which approved the need to determine the present value of long-term receivables. Purpose. The purpose of the article is to summarize the provisions of current legislation on discounting receivables and to develop of directions ofreforming the financial management of the enterprise in terms of the introduction of mandatory discounting of receivables. Results. The study of discounting receivables in the financial management system of the enterprise involves understanding the discounting of receivables as a process of reducing future cash flows to present value in the context of managing the formation, distribution and use of financial resources and optimize cash flow. The structural and logical scheme of discounting of receivables in the system of financial management of the enterprise is offered. The approaches to determining the discount rate of receivables on the basis of generalization of recommendations of the State Fiscal Service of Ukraine and the Ministry of Finance of Ukraine are generalized. Recommendation letters and news reports of state financial institutions offer a choice of discount rate that provides legitimate company to vary the size of losses from cost reduction and vary the size of the tax difference in determining tax liabilities in calculating income tax in 2019-2020 is given.. Conclusions. Discounting of receivables in the financial management system of the enterprise is proposed to be considered as a holistic system, which is based on the principles of financial management and is designed to organize the interaction of objects and subjects of discounting receivables. Discounting of receivables in the financial management system of the enterprise is proposed to be considered as a set of eight stages.

On the Legal Attributes of Digital Currency

Digital currency has been widely used ever since the concept of Bitcoin was formulated. It uses blockchains as its underlying technical support and is characterized by decentralization, programmability, and security verification based on the principles of cryptology. Generally speaking, theories on the legal attributes of digital currency regard it either as non- monetary property or as currency. The former theory can be subdivided into theories on digital currency as commodity, as securities or as data. All of these subdivisions present insurmountable theoretical difficulties and practical obstacles. If we return to the substantive nature of currency as a generally accepted accounting symbol, it can be seen that currency issuance by the state or a private bank is simply a means of building currency credit rather than a necessary condition. Unlike traditional currency, digital currency relies on blockchain technology to complete the construction of decentralized currency credit. This has resulted in a new theory of currency based on the theory of digital currency. On the one hand, it offers a jurisprudential foundation for the construction of the quasi-currency attributes of digital currency; on the other, it provides a theoretical basis for the gradual improvement of digital currency legislation. We can first determine the legal attributes of digital currency as a quasi-currency and then confirm its legal position when the time is ripe. We need to confirm the legal status of digital currency as a quasi-currency through legislation, and use this as a logical starting point for the construction of a series of legal systems for digital currency as a quasi-currency. Digital currency can easily be used as a tool for crime or for evading financial controls; therefore, we need to determine a regulatory body and formulate regulatory rules.

Non-compliance by residents and non-residents with the regulations of currency legislation: administrative-legal aspect issues

Non-compliance by residents and non-residents with the regulations of currency legislation: administrative-legal aspect issues

Directions For Improving Customs Administration In The Sphere Of Exchange Control

The article analyzes the current state and problems of the performance by the customs authorities of the function of the currency control body in the Russian Federation. Preventive measures to prevent dubious foreign exchange transactions at early stages are generalized, including: measures to modernize information and software tools of customs authorities (a consolidated electronic dossier has been introduced on a participant in foreign economic activity, an information resource has been created to assess the level of risk of a participant in foreign economic activity, centralization of regional databases of foreign exchange control); measures to suppress illegal capital withdrawal schemes abroad (counteracting transactions on the import of goods with an overstatement of their prices and non-fulfillment of counter obligations, export transactions with an understatement of the value of goods and transfer of funds abroad in the amount of the real value of exported goods under additional contracts or in cash). The main attention is paid to the development of customs technology for assessing foreign economic activity participants by the level of risk of violation of currency legislation, as well as improving interdepartmental and international cooperation in the field of currency control. Based on the analysis of the current state and problems of currency control in the Russian Federation, the tasks of customs administration in the field of counteracting dubious currency transactions, the mechanisms for implementing such counteraction, as well as the main directions of improving customs administration in the field of currency control in the near future are determined.

The impact of currency liberalization on the economy of Ukraine

Examining the transformation of financial relations in Ukraine, in the previous article the authors analyzed the impact of foreign capital on the economic development of this country's economy and found that its concentration in certain economic activities contributed to consolidating its raw material orientation. The authors conclude that due to the distorted model of Ukraine's economic development, successful practices of developed countries to attract foreign investment and reform the financial sector are ineffective in this country's economy. Continuing the study of the transformations of financial relations in Ukraine, which are taking place under the influence of the approximation of domestic legislation to European standards, the authors could not leave aside the question of impact of the liberalization of currency legislation on the economy. Given that currency liberalization significantly affects the behavior of foreign investors, the authors conducted an in-depth analysis of legislative changes in the financial sector, and described the main results of their implementation. The positive and negative consequences of currency liberalization in Ukraine for business entities and the economy in general are analyzed. Particular attention is paid to the risks associated with the liberalization of operations related to the movement of capital and the behavior of non-residents in the financial market of Ukraine. It is concluded that Ukraine's economy with its distorted development model belongs to the financially and institutionally weak ones, hence is not presently ready to liberalize its monetary relations, which could only deepen the deformations and reduce resilience to macroeconomic imbalances.

ХАРАКТЕРИСТИКА СУБ’ЄКТІВ, ОБ’ЄКТІВ ТА ПРЕДМЕТУ ВАЛЮТНОГО НАГЛЯДУ

The article explores the issue of elements of currency supervision, such as entity of currency supervision, its subjects and objects. The new risk-oriented currency supervision was introduced in Ukraine on February 7, 2019. So the author provides a description of the entities of currency supervision, their powers, objects of currency supervision, such as currency transactions and the subjects of currency supervision, such as currency values based on new legislation changes. In the article author also describs the system of state bodies in Ukraine, which have the powers in the field of currency supervision, their classification and their powers in the field of the currency supervision. The author also highlights the key differences between the entities of currency supervision based on new currency legislation introduced in Ukraine on February 7, 2019 and the currency legislation which has been operating in Ukraine since 1993.