New law has to be adopted to effectively attract investments and ensure the protection of the investors’ rights, – Valentyn Zagariya

Cancellation of compulsory state registration of foreign investments would ease the official procedure foreign investors have to undergo to inject foreign capital in our country. Generally speaking, the adoption of this bill reflects a certain trend to amend the Ukrainian laws in favor of the investors’ interests as observed in Ukraine over the last year.

Such an opinion was expressed by Valentyn Zagariya, the Managing Partner at Spenser and Kauffmann, Attorneys at Law, in his comment for Yuridicheskaya Praktika as to recently adopted Law of Ukraine on Amendments to Certain Laws of Ukraine on Cancellation of Compulsory State Registration of Foreign Investments’.

‘However, active law making activity as a whole and particularly this initiative of the Parliament is of inconsistent and selective nature although it seems to be aimed at improving the investment climate in the country, – V. Zagariya said. – That is clearly not good enough to overcome the existing negative political and macroeconomic factors we have at this point’.

‘Therefore, to effectively attract investments and ensure the protection of the investors’ rights in our country it is necessary to adopt new law that would provide for clear rules as to preferential tax treatment of foreign investments, foreign investment companies, imports of goods by foreign investment companies, dividend repatriation, guarantees of foreign investors and foreign capital protection. If this inconsistent approach persists, the above-mentioned single, selective changes will have no significant effect’, – he sums up what has been said.