Zelensky signs new version of law on financial leasing

President of Ukraine Volodymyr Zelensky has signed a new edition of the law "On Financial Leasing", which defines the general principles of financial leasing in Ukraine in accordance with international law.

This law will protect the rights of lessees, lessors, create a competitive environment in this area and harmonize Ukrainian legislation with the law of the European Union, the presidential press service said on Tuesday.

According to the document, state regulation and supervision of the financial leasing market is carried out by the National Bank of Ukraine.

The law also defines the characteristics of financial leasing and its objects. In particular, this may be property that is not prohibited by law for free circulation on the market and is not prohibited for leasing. Land plots and other natural objects, as well as objects specified in Part 2 of Article 3 of the Law of Ukraine "On Lease of State and Communal Property" cannot be objects of financial leasing.

The press service notes that financial leasing is one of the factors in increasing the competitiveness of domestic enterprises, improving the quality of their services, increasing production efficiency, as a result, strengthening positions in the domestic market and increasing the chances of entering the international market. In developed countries, almost a third of investments in fixed assets are carried out through leasing, while in Ukraine this figure has fluctuated within 3-4% in recent years.

The signed law will improve the financial leasing instrument, expand the opportunities for enterprises to upgrade production facilities, purchase transport, equipment, machinery, and real estate. All this will contribute to an increase in the production of the gross product, and, consequently, an increase in tax receipts to the state budget.

Law "On Financial Leasing" No. 1201-IX, which the Verkhovna Rada adopted on February 4, 2021, will enter into force three months after its publication and will apply to relations arising after the date of its entry into force.

Source: www.en.interfax.com.ua