While Crimea represented just 3.7% of Ukraine’s GDP and was a net budget drain, the de facto loss of the territory – famed for its tourism – jolted Ukrainians. It also created a legislative and operational headache for banking that, in the end, seems to have sorted itself out far more quickly than the political situation ever could.
Once Russia had announced its annexation of Crimea – a move that was not recognised by the international community – the Central Bank of Russia (CBR) announced that Ukrainian banks would need to start following its rules. It stated that Ukraine’s hryvnya would be legal tender until 2016, after which Crimea would become a ruble-only area. On April 18, however, Crimea’s acting leader, Sergei Aksionov, told reporters that Crimea would switch completely to a ruble-based economy in two to three weeks.