According to the data presented in the Deregulation Concept developed by the Ministry of Economic Development and Trade of Ukraine in 2015, Ukraine loses up to $ 30 billion investments annually because of unfavorable conditions of the regulatory environment. Efficient reforms of the deregulation system will allow to get rid of 25 years plume of a post-Soviet country and create favorable conditions for the development of small and medium business and thus, strengthen the middle class and create new workplaces.
To perform the reform, an independent non-governmental organization BRDO (Better Regulation Delivery Office) has been created by the initiative of the Ministry of Economic Development and Trade of Ukraine.
According to the plan of the Ministry of Economic Development and Trade, the following strategic objectives of the reform should be implemented:
➤ Reducing the number of regulations, inspections, reasons for contacts between business and government
➤ Strengthening the barriers for the creation of new excessive and economically unjustified rules.
➤ Creation of the effective functioning of the regulatory environment.
Government bodies responsible for the reform, the Ministry of Economic Development and Trade.
Reform expert – Oksana Kuziakiv, executive director of the Institute for Economic Research and Policy Consulting, coordinator of the analytical component of the USAID Leadership in Economic Governance (LEV) Program, director of the Center for Contemporary Society Studies.
➤ Moratorium on planned inspections by the majority of state supervision bodies.
➤ Liberalization of the currency regulation in the service industry.
➤ Ratification of the Agreement on simplification of WTO trade procedures.
➤ Launch of a systematic review of the regulatory field in four ministries: the Ministry of Agrarian Policy and Food, the Ministry for Regional Development, Building and Housing, the Ministry of Infrastructure, the Ministry of Energy and Coal Industry. Creation of the relevant working groups.
Measures to be taken:
➤ Reducing the number of areas not covered by the Law ”On the Supervisory (Control) Bodies”.
➤ Simplification of tax administration.
➤ Abolition of the Regulations that hamper business activity.
➤ Reducing the number of the State Supervisory (Control) Bodies.
➤ Introduction of an integrated public database of checks.
➤ Providing people and business with e-services.
➤ Accomplishment of the reform of public control system over the safety and quality of food.
➤ Ensuring effective protection of private property rights.
➤ Harmonization of the Legislative Acts of Ukraine on Protection of National and Foreign Investors and Lenders Rights with the EU provisions.
➤ Establishment of the mechanisms for stimulating the investment activity.
Key laws adopted under the reform:
➤ The Law of Ukraine ”On the Principles of the State Regulatory Policy in the Sphere of Economic Activity”.
Laws to be adopted:
➤ The package of Draft Laws ”On Deregulation”, consisting of 39 projects.
➤ The Draft Laws ”On Simplification of Administration of Taxes and Fees, Abolition of Excessive Licensing Procedures and Regulations, Decentralization of the state services”.
➤ The Law ”On State Supervision and Control”.
➤ The Amendments to the Law ”On Foreign Economic Activities” and to the Existing Laws relating to the business activity deregulation.
➤ Simplification of the tax management and accounting.
➤ The Draft Law ”On Industrial Parks”.
➤ The Draft Law ”On Amendments to Certain Legislative Acts of Ukraine (regarding the removal of administrative barriers for exports of services)”.
➤ The Draft Law of Ukraine ”On Amendments to the Law of Ukraine On Licensing of Economic Activity (regarding the improvement of the licensing system and liquidation of internal conflicts of law)”.
➤ The Draft Law of Ukraine “On Amendments to the Law of Ukraine On Licensing of Economic Activities (regarding reducing the list of economic activities subjected to licensing)”.
➤ The Draft Resolution of the Cabinet of Ministers ”On Approval of the List of Goods, Export and Import of which are subjected to licensing and quotas for 2017”.
➤ The Draft Law on Amendments to Some Laws of Ukraine ”On Increasing the Efficiency of Bankruptcy Procedures”.
➤ The Draft Law on Amendments to the Law of Ukraine ”On Basic Principles of State Supervision (Control) in the Sphere of Economic Activity for Liberalization of the Public Supervision System”.