The President of Kyrgyzstan signed the law on settlements in the national currency — som. This legal act is aimed at increasing the use of Kyrgyz som in payments for goods, works and services in the country, as well as at creating a more effective infrastructure for non-cash payments.
The law introduces obligations for all individuals and legal entities, including individual entrepreneurs, to make settlements exclusively in the national currency. Thus, transactions on purchase and sale of real estate and motor vehicles, which are subject to mandatory state registration, can now be conducted only in soms. Advertising of goods and services with indication of prices in foreign currency is also prohibited.
To ensure non-cash settlements in the national currency, new requirements for state and municipal institutions, trade and service enterprises and individual entrepreneurs are envisaged. They must ensure the installation of equipment for accepting payments through bank cards, electronic money and QR codes of the national standard.
A key element is the implementation of an intersystem integration mechanism that will allow various payment systems to operate together.
The law also introduces restrictions on banking charges in real estate transactions, prohibiting banks from charging fees other than those provided for by law.
Furthermore, the new law regulates liability for violation of its provisions. Legal entities and entrepreneurs who refuse to implement the required payment technologies will face financial sanctions.
The law will come into effect 12 months after its official publication. The Cabinet of Ministers and the National Bank have been tasked with bringing their regulations into line with the new legislation.
