To prevent foreign investors from abusing their rights in relation to Russian strategic companies, the prior-clearance rules have changed to qualify transactions for a stake in this type of company. The change was made to protect strategic companies from undisclosed foreign interference and has resulted in a more transparent foreign investment environment in Russia.
Partly due to the Covid-19 pandemic, Russia’s legislative process has slowed down, says CMS Moscow Partner Anton Bankovskiy. “However,” he says, “the ‘regulatory guillotine,’ – the ongoing process of amending or eliminating the many laws remaining from the country’s Soviet past – has picked up pace.” In addition, he says, “the State Duma recently passed new laws introducing the ‘regulatory sandbox’ framework, which enables companies and entrepreneurs to implement innovative technologies, unrestricted by the current legal limits related to those technologies.”
For our Checking In feature, we reach out to partners and heads of practice across CEE to learn how specific practice areas are faring in their jurisdictions. This time around we asked firm Energy experts: What, in your view, is the most effective scheme currently in place in your jurisdiction to attract investments in renewable energy? If you had to pick one, what additional step from the regulators do you believe would have the most positive impact?