Legislative news digest: LEGAL HOTLINE 13.09.2018

NBU raised its discount rate to 18%

Since September 07, the NBU has set a discount rate at 18% per annum in order to return inflation to the target range in 2019 and achieve the medium-term objective of 5% in 2020.

The increase of the discount rate was approved by the decision of the NBU Board No. 593-pш “On the Discount Rate” dated September 06, 2018.
In case of implementation of inflationary risks, the National Bank may resort to raising the discount rate to the level necessary to ensure that inflation is reduced to the set objectives.

The next meeting of the NBU Board on monetary policy issues will take place on October 25, 2018.

The Verkhovna Rada approved the President’s proposals for the Law on the ‘Single Window”

Corresponding Law “On Amendments to the Customs Code of Ukraine and Some Other Legislative Acts of Ukraine Regarding the Introduction of a Mechanism of “Single Window” and Optimization of Implementing Control Procedures for the Movement of Goods Across the Customs Border of Ukraine” (project No. 7010) was adopted at a session of the Verkhovna Rada on September 06, taking into account the amendments of the President of Ukraine.

The Law improves the conditions for conducting foreign economic activity, reduces the time for export-import operations and improves investment attractiveness of Ukraine.

In particular, for the interaction between declarants and customs authorities, it is proposed to use the single state information web portal “Single Window for International Trade” that will help reduce the time spent on registration of goods due to the unified presentation of a uniform set of information.

In addition, the draft provides for the abolition of unjustified barriers for the export of Ukrainian goods, as well as will ensure the decrease in the number of controlling authorities at the border.

At the moment , the Law is being prepared for signature by the President of Ukraine.

Terms of co-financing projects with European partners are secured

On September 04, the Verkhovna Rada of Ukraine adopted the European integration Law “On Amendments to Certain Legislative Acts of Ukraine on Transboundary Cooperation” (draft No. 6085).

The document establishes terms for co-financing projects and objects with European partners. The terms of state support for transborder cooperation projects are envisaged. The procedure of formation and operation of European associations of territorial cooperation is being administered.
The association of Euro-regional cooperation carries out its activity on the basis of the estimate, which is approved for each subsequent year by the appropriate management body of the association. Sources of financing of the association can be:

• donations or subsidies from state and local budgets, state trust funds;
• one-time or periodic contributions, deductions from founders and members;
• funds and other property received in accordance with international technical and charitable aid programs;
• proceeds generated by the main activity of the Association of Euro-regional cooperation;
• passive income;
• other income that does not contradict the legislation.

Taxation of the association is carried out in accordance with the provisions of the Tax Code of Ukraine regarding the taxation of non-profit institutions and organizations.
At the moment , the Law is being prepared for signature by the President of Ukraine.

The Parliament has abolished state regulation of sugar prices

The Verkhovna Rada of Ukraine passed in the second reading and in the whole law No. 4532, which abolishes quotas and regulation of sugar prices, produced from sugar beet in Ukraine.

In particular, the Law abolishes the quota for the supply of sugar to the Ukrainian market and the minimum value of the price of such sugar.
Previously, the Government abolished state regulation of food prices.

The issuance Procedure of document forms for corn houses has been changed

Order of the Cabinet of Ministers of Ukraine No. 677 dated August 29, 2018 has introduced amendments to the Procedure for the issue of document forms for corn houses, their transfer and sale to grain warehouses and the standard grain storage contract.

In accordance with the adopted document, the mandatory use of seals for legal entities and individuals of enterprises was canceled. This, in turn, will make it possible to simplify the conditions of doing business by business entities in the field of grain storage.