Ukrainian law

Legal news in Ukraine: amendments to the Constitution, Constitutional Court’s conclusion on the renaming of the region, Law on land moratorium has enterded into force, the law on a new system of currency regulation is in force

10.02.2019 / 14:32
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  Legal news in Ukraine: amendments to the Constitution, Constitutional Court’s conclusion on the renaming of the region, Law on land moratorium has enterded into force, the law on a new system of currency regulation is in force

Parliament approved amendments to the Constitution about Ukraine's course in the European Union and NATO

The Verkhovna Rada adopted the Law of Ukraine «On Amendments to the Constitution of Ukraine (Regarding the Strategic Course of the State for Acquiring Full-fledged Membership of Ukraine in the European Union and the North Atlantic Treaty Organization)».

The legislative act introduced amendments to the preamble and articles 85, 102, 116 of the Fundamental Law of Ukraine.

The fifth preambular paragraph after the words «civil consent on the land of Ukraine» is supplemented with the words «and confirming the European identity of the Ukrainian people and the irreversibility of the European and Euro-Atlantic course of Ukraine».

Paragraph 5 of part one of Article 85 of the Constitution of Ukraine is set out in the following wording:

«determination of the principles of internal and foreign policy, realization of the strategic course of the state on acquiring full-fledged membership of Ukraine in the European Union and in the North Atlantic Treaty Organization».

Article 102 is supplemented with the third part of the following content:

«The President of Ukraine is the guarantor of the implementation of the state's strategic course in gaining Ukraine's full membership in the European Union and the North Atlantic Treaty Organization».

Article 116 is supplemented with paragraph 11 of the following content:

«Provides for the implementation of the state’s strategic course for gaining full-fledged membership of Ukraine in the European Union and the North Atlantic Treaty Organization».

The law excludes from the Constitution of Ukraine the paragraph 14 of Section XV Transitional Provisions, which provides for the use of existing military bases on the territory of Ukraine for the temporary stay of foreign military formations under lease terms in accordance with international treaties.

The Constitutional Court issued a conclusion on a bill on the renaming of the Kirovograd region

The Constitutional Court of Ukraine issued a conclusion in the case of renaming the Kirovograd region to the Kropyvnytsky region.

The court considered the compliance of the draft law No. 8380 on amending article 133 of the Constitution of Ukraine (regarding the renaming of Kirovograd region) to the requirements of Articles 157 and 158 of the Constitution of Ukraine.

It was suggested to replace the word «Kirovogradska» with the word «Kropivnitska» in the second part of Article 133.

The Constitutional Court of Ukraine has decided that the bill complies with the requirements of the Constitution’ articles 157 and 158.

In addition, the Verkhovna Rada has included in the agenda a draft law No. 9310-1 on amendments to the Constitution’s Article 133 regarding the renaming of the Dnipropetrovsk region.

 The bill will be sent to the Constitutional Court of Ukraine in order to obtain a conclusion on its constitutionality.

The Law on Land Moratorium has come into force

The Law of Ukraine «On Amendments to Section X «Transitional Provisions» of the Land Code of Ukraine on the extension of the prohibition on the alienation of agricultural land» entered into force on February 7, 2019.

The law extends the land moratorium until January 1, 2020.

In addition, the document stipulates that the Cabinet of Ministers of Ukraine should, by March 1, 2019, develop and submit to the Verkhovna Rada of Ukraine a draft Law on the circulation of agricultural land.

It should be noted that a moratorium on the sale of agricultural land has been in force since 2002.

At the same time, the European Court of Human Rights ruled that a land moratorium in Ukraine violates human rights. «An absolute ban on the sale or purchase of agricultural land in Ukraine is a violation of human rights», - states the ECtHR

In view of the decision of the ECHR, Grand Chamber of the Supreme Court will express its position on the land moratorium.

The law on a new system of currency regulation is in force

The Law of Ukraine of June 21, 2018, No. 2473-VIII "On Currency and Foreign Exchange Transactions» is valid from February 7, 2019.

Along with the law, a new system of currency regulation has begun to operate.

The following major changes will take place:

the deadline for calculating export-import contracts is increased from 180 to 365 days;

currency control over export-import operations is canceled up to 150 thousand UAH;

Individual licenses for currency transactions are canceled and an e-limit system is introduced (for a business legal entity no more than 2 million euros per calendar year);

the procedure for registering residents with foreign loans in the NBU is canceled;

the special sanctions for violating payment terms (individual licensing and suspension of foreign economic activity) are canceled;

quarterly declaration of currency values, revenues and property located outside Ukraine is canceled;

residents can freely use accounts with foreign financial institutions and carry out foreign exchange transactions through them (except for transactions from Ukraine to such accounts);

it is possible to conduct operations on accounts in Ukrainian financial institutions of legal entities which are non-residents.

In addition, the National Bank has extended its list of currency relaxations for business.

In particular, the National Bank provided an opportunity for the population to conduct operations on the online purchase of foreign currency and bank metals in the amount of up to 150 thousand UAH, not in operating, but in a calendar day. This means that online purchases of currency through online banking and mobile applications are available to citizens in the 24/7 mode.

The National Bank specified that the transfer of foreign currency by legal entities for placement on deposit accounts (within the limit of 2 million euros per year) is possible only at the expense of its own, and not the purchased foreign currency.

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