New privatization bill to protect investors under English law
Ukraine's privatization bill approved by the government this week and sent to the National Reforms Council under the auspice of the Ukrainian president to eventually submit it to parliament would allow investors to be protected under English law, Ukrainian Prime Minister Volodymyr Groysman has said.
Ukraine has introduced the requirements allowing the country to use English law in the privatization process, he said at a press conference in London on Thursday.
"This will mean that we would provide for transparency, competition and protection of investment injected in Ukraine," he said.
The prime minister pointed out the importance of resuming and introducing the public process of attracting investment into the public sector, including via the sale of assets.
Groysman said that this year the Ukrainian economy shows growth of near 2%. He said, referring to the latest study of the European Business Association (EBA) that optimism of investors has returned to the level recorded six years ago.
The EBA Investment Attractiveness Index for H1 2017 grew from 2.85 to 3.15 points out of 5 possible points. This is the best indicator since the middle of 2011, when it was 3.39 and then it plunged to 2.56.
According to the latest index, only 13% of businessmen believe that investment climate in Ukraine is attractive, while 54% are not satisfied with the current investment climate, while six months ago the ratio was 9% to 67%.
Some 38% of CEOs think Ukraine's market will be profitable for new investors in H2 2017, and this is twice more than those who think Ukraine will not be a profitable destination for new investors next six months.
Around 20% of respondents believe that no considerable changes are seen, 19% - no success in fighting corruption and 15% - slow pace of reforms, in particular, judicial and land reforms.