High-quality legislative support of investments is one of the key business challenges of the nearest future – Valentyn Zagariya
To actually attract investments, the country needs to adopt brand new laws and regulations expressly covering the issues of the preferential tax treatment of foreign investments, foreign investment companies, imports of goods by foreign investment companies, repatriation of dividends, and guarantees of protection of foreign investors and their capital.
This was emphasized by Valentyn Zagariya, Managing Partner at Spenser & Kauffmann, Attorneys at Law, in his speech at a panel discussion of the IV Forum of Legal Counsels that was held in Kyiv.
“Undoubtedly, high-quality legislative support of investments is one of the key business challenges of the nearest future,” he said. V. Zagariya also stressed that any business would be interested in the stable legislation enabling to plan long-term investments. “The negative political and macroeconomic factors existing today do not improve the investment climate in the country,” he believes. – From this standpoint, the active law-making activities of our parliament are quite understandable and justified. At the same time, such activities are irregular and selective in their nature. And this legislative turbulence is evidently not enough to overcome the existing negative perceptions.”
An overview of foreign investments and international holding structures was delivered at the forum by Nickolas Likhachov, Counsel at Spenser & Kauffmann, Attorneys at Law. He particularly focused on Resolution No. 342 of the NBU Board “On Resolving the Situation in the Monetary and Foreign Exchange Markets of Ukraine,” dated June 7, 2016, which lifted a restriction on the purchase and transfer of foreign currency to repatriate abroad dividends on corporate rights/shares for the years 2014 and 2015. He also considered possible options of restructuring the holding companies for dividend repatriation purposes and suggested a model of the optimal holding structure to repatriate dividends.
By way of a reminder, Spenser & Kauffmann Law Firm acted as a partner of the IV Forum of Legal Counsels, which was organized by the Yurydychna Praktyka Publishing House.