CEE Legal Matters
In-depth coverage of the news and newsmakers that shape Europe's emerging markets
With effect from 21 December 2024, the National Bank of Ukraine (“NBU”) introduced new exemptions from the moratorium on foreign currency cross-border transfers. Notably, these changes broaden the scope of existing exemption for Ukrainian corporate issuers permitting to make payments in connection with Eurobond-related obligations, described in our earlier legal alert.
On 13 December 2024, the new "Regulation (EU) 2023/988 of the European Parliament and of the Council of 10 May 2023 on General Product Safety" ("GPSR") came into force.
On 21 December 2024, a new package of foreign currency (“FX”) easings came into effect. It is aimed at supporting domestic producers and improving the business environment in Ukraine. The amendments, introduced by Resolution No. 155 of the National Bank of Ukraine (the “NBU”) dated 20 December 2024 (“Resolution No. 155”), include the following measures:
The Law of Ukraine on Tax Increases №4015-ІХ, adopted by the parliament and awaiting presidential signature, came into effect on November 30, 2024. Below are the key changes to the taxation system.
Popescu & Asociatii Partner Loredana Popescu and Avellum Partner Maksym Maksymenko look at the current status of agribusiness in their countries – both traditional powerhouses in the sector – highlighting how they are managing to show resilience despite tough years.
A leniency procedure has been in place in Ukraine for over two decades. However, until recently, there was no public record of its successful application by the Antimonopoly Committee of Ukraine (AMC).
During EU-Ukraine Investment Conference on 13-14 November in Warsaw the European Commission has announced a call for private investment projects in Ukraine that have cost at least EUR 50 m, of which the project initiator provides at least 10% in the own contributions.
Sayenko Kharenko has advised the EBRD on a EUR 55 million financing package to support the city of Kyiv.
Redcliffe Partners, working with Clifford Chance and George Yiangou, has advised the European Bank for Reconstruction and Development and the International Finance Corporation on the USD 435 million financing for the merger of Lifecell Group and the Datagroup-Volia Group (reported on by CEE Legal Matters on September 17, 2024). CMS, working with Chrysostomides, advised the borrowers.
Sayenko Kharenko has advised PJSC Ukrnafta on its acquisition of a 51% stake in Alliance Holding, which owns a network of 118 Shell-branded gas stations across Ukraine.
On 22 November 2024, the Cabinet of Ministers of Ukraine published Resolution No. 1332 dated 22 November 2024 ‘Some Issues of Reservation of Persons Liable for Military Service during Martial Law’ (the ‘Resolution’), which updates the reservation procedure and clarifies certain criteria of criticality.
On November 7, 2024, M&A experts from Austria, Bosnia & Herzegovina, Croatia, Greece, Hungary, Moldova, Romania, and Ukraine participated in a virtual round table moderated by CEE Legal Matters Managing Editor Radu Cotarcea to discuss the FDI screening regimes in their country and key developments in the area on the horizon.
Sayenko Kharenko, working with Hogan Lovells, has advised the International Finance Corporation on two risk-sharing facilities for Raiffeisen Bank Ukraine totaling approximately USD 210 million equivalent, one of which IFC cooperated on with the US International Development Finance Corporation. Redcliffe Partners and Mayer Brown reportedly advised the DFC.
Starting from 20 November 2024, the National Bank of Ukraine (“NBU”) enacted amendments to the existing currency control restrictions under the moratorium on foreign currency cross-border transfers (“Moratorium”). These amendments aim to facilitate international trade cooperation and technical assistance projects while simultaneously strengthening compliance measures for certain exemptions.
On 25 October 2024, new rules for the registration of inventions and utility models in Ukraine ("Rules") came into force. Pursuant to Order of the Ministry of Economy of Ukraine No. 23301 dated 9 September 2024, the Rules set out the requirements for the drafting, filing and examining of an invention and utility model applications.
Vasil Kisil & Partners Partner Volodymyr Igonin reports ongoing reforms in Ukraine amid the challenges of war, highlighting ambitious governance reforms, particularly in the state-owned enterprise sector, and a drive to attract investment through privatization and risk-protection measures. Despite obstacles, Igonin notes that both local and foreign businesses are investing in Ukraine, reflecting a cautious optimism for the country's economic future.
KPD Consulting has advised VD Group on its acquisition of the LvivTech.City project from UFuture Holding.
Avellum has advised the Ukraine-Moldova American Enterprise Fund on launching its USD 50 million direct investment program.
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