Olga Magaletska took part in the Re: Open Zakarpattia Forum

On November 8, 2020, Olga Magaletska, the Head of the Office of the National Investment Council took part in the forum Re: Open Zakarpattia, in a panel discussion "How to repeat the investment miracle of the early 2000’s in Transcarpathia or create a new one."

Participants of the panel discussed the state of region’s investment attractiveness, opportunities for attracting investments in the region and the experience of attracting investments in the early 2000’s, when such world companies as Jabil, Yazaki, Flex and others came to Transcarpathia.

Olga Magaletska told the conference participants about legislative initiatives currently being developed to improve the investment climate, in particular about the bill No. 3760 "On state support of investment projects with significant investments." She stressed that this bill aims to increase the competitiveness of our country on the global market by providing of number of incentives to investors and encourage potential investors to invest in Ukraine.

"The Office of the National Investment Council developed this bill together with the Ministry of Economic Development, Trade and Agriculture of Ukraine. This bill had been voted in the first reading by the Parliament of Ukraine on July 21, 2020 and it is prepared for the second reading at the Parliament. We expect it to be voted by the end of November 2020. This bill is developed on the basis of the best practices of the EU countries, as well as our neighboring countries, with which Ukraine competes for the investor",- said Olga Magaletska.

The Head of the Office said that according to the bill No. 3760 Ukraine will provide a number of incentives for large investment projects, in particular: tax incentives (exemption from the income tax, from customs duties and VAT when importing new equipment into Ukraine); also the simplified provision of land necessary for investment project is proposed; as well as the construction&reconstruction of related infrastructure at the expense of the state. The Bill provides consolidation of investor guarantees through the conclusion of a direct agreement with the Government of Ukraine for 15 years. The total amount of state support will not exceed 30% of the amount of investment in the project.

"State support will be provided to Ukrainian and foreign investors. The project implementation period should not exceed 5 years. Thus, the bill aims to encourage potential investors to invest their money in Ukraine, "- said Olga Magaletska.

The Head of the Office also said the after the adoption of the Law "On State Support of Investment Projects with Significant Investments", it is planned to develop legislative initiatives to stimulate projects that provide smaller amount of investment, but would be implemented in certain priority sectors of the economy. She also noted that the Office of the National Investment Council is involved in the development of legislative proposals to improve the legal regime of industrial parks.

"This is the minimum of legislative initiatives that will give impetus and an opportunity to rehabilitate the regions by attracting investors. Transcarpathia has every chance to repeat the economic miracle of the early 2000’s and even surpass it. To do this, the region has all the opportunities: a favorable geographical position, educated population, the necessary experience, natural resources. The Transcarpathian region is the only one in Ukraine that borders four countries at once: Romania, Hungary, Slovakia and Poland. This is an excellent opportunity to attract investment in both the industrial sector of the region and the tourism sector, "- summed up Olga Magaletska.

© 2020 Office of the National Investment Council of Ukraine