Ukraine’s parliament advances two key SEPA membership bills
Ukraine’s Verkhovna Rada, the country’s parliament, advanced two bills needed to align Ukrainian financial rules with European standards and apply for membership in the Single Euro Payments Area (SEPA). The measures are also linked to international financial assistance and are expected to reduce the cost of international euro transfers.
Key points
- Bill No. 14327 on SEPA membership was adopted as a basis with 249 votes in favor.
- Bill No. 15503, amending the Civil Code to meet SEPA criteria, was adopted as a basis with 258 votes.
- Both bills were sent to the parliamentary committee for further work under Article 116 of the Verkhovna Rada’s rules.
- The third bill in the package, No. 15501 on amendments to administrative-offence and criminal codes, remains under committee review.
- Ukraine’s Ministry of Finance estimates annual savings of €70–100 million after joining SEPA.
- The EU’s Ukraine Facility provides Ukraine with €50 billion for 2024–2027.
Why it matters
The legislation is required to bring Ukraine’s financial-monitoring and transparency rules into line with European standards and the European Payments Council’s criteria for SEPA membership. It also forms part of Ukraine’s preparations for an official application and is linked to conditions for international financial assistance. Membership could make euro transfers faster and cheaper under common rules, while the registry provisions strengthen financial transparency and oversight.
What happened
On November 10, the Verkhovna Rada adopted Bill No. 14327 on Ukraine’s accession to SEPA as a basis with 249 votes and Bill No. 15503, which amends the Civil Code to meet European and SEPA requirements, with 258 votes. Both documents were sent to the relevant parliamentary committee for further work. Bill No. 14327 provides for a Ministry of Finance-administered registry of accounts, electronic wallets and individual bank safes, as well as a registry of trust beneficiaries. It also expands the scope of financial monitoring and strengthens responsibility for submitting inaccurate information about business owners. The registry will not contain information about account balances, money movements or the contents of safes. Bill No. 15503 protects the non-property rights of legal entities affected by the dissemination of inaccurate information about possible financial-monitoring violations and establishes a right of reply. The package is intended to address the European Commission’s concerns and create conditions for Ukraine to submit an official SEPA application.
How Ukrainian sources describe it
Ukrainian reporting focuses on the parliamentary votes, the financial-monitoring and ownership-transparency provisions, the need for additional committee work, and the link between the legislation and the release of international financial assistance. Official and diplomatic reactions also emphasize that the changes should benefit the public and small businesses rather than serve only as a condition for receiving EU funding.
Where reporting differs
The legislative status of Bill No. 15503 is described inconsistently: most reports say it was adopted as a basis, while one report says it was adopted in second reading and in whole. Sources also differ on when law-enforcement agencies receive direct access to the account registry: some reports identify an initial group of agencies, while another describes special access powers taking effect six months before EU accession.
Background
SEPA is a euro payment area covering 41 countries, including EU member states, candidate countries and partners. During the preliminary review of Ukraine’s application, the European Commission identified inconsistencies between Ukrainian legislation and European requirements. The two advanced bills form part of a three-document package, with the third concerning amendments to the Code of Ukraine on Administrative Offences and the Criminal Code still under review. After the required legislation is adopted, connecting Ukrainian banks to the euro area is expected to take about one and a half years.