Ukraine's legal framework for public-private cooperation projects has been simplified by adopting Ukraine's Law “On Concessions” in 2019, which was developed in accordance with international best practices.
According to the new procedure, public authorities, state institutions and investors themselves can initiate concessions. In order to launch a franchise tender, prospective investors must submit a franchise proposal that includes a memorandum of understanding and a feasibility study prepared in accordance with the methodology of analyzing the effectiveness of the public-private partnership for the authority managing a particular asset.
The legislation governing privatization in Ukraine was significantly updated in 2018 in order to revitalize this long-awaited process, in particular, through foreign direct investment. In addition, Parliament canceled a list of more than 1,000 assets banned from privatization.
Some of the advantages of the new regulation for investors:
- Transparency in terms of availability of information on all assets available for privatization and procedures that include open bidding through an online platform and the participation of independent experts;
- An option to enter into a sales agreement under English law.
All assets available for privatization are included in the online catalog and are divided into two groups:
- Small (worth less than 250 million UAH) that can be purchased through an online platform ProZorro.Sales provides the highest level of transparency in privatization procedures;
- Large (worth more than 250 million UAH) is being sold with the help of independent professional advisors preparing the asset for privatization and looking for potential investors for auction.
All necessary information about privatization can be found on the website State Property Fund of Ukraine .