The Ukrainian Cabinet has approved a new administrative regulation which introduces UAH 8,500 (€749) fines for retailers who use a cash register and refuse to allow a client to pay through POS (point of sales) terminals. What is more, flagrant violation of this law will lead to an increased fine of up to UAH 17,000 (€1,497). The estimated cost of a POS terminal is UAH 3,000-5,000 (€264-440).
The law is a reflection of the Cabinet’s intention to reduce the volume of cash floating around the Ukrainian economy. It is estimated that around $200bn (€146bn) is moving out of the country's banking system. Earlier this year, the government banned cash transactions worth more than UAH 150,000 (€13,200).
However, the new regulation will not apply to detached stall traders, open-air markets, and towns with a population under 10,000.