Consessions may be simplified in Ukraine

Ukrainian parliament supported amendments to the law on Concessions (#4674), which will make concessions more operable in Ukraine. As of now it is much simpler to work on contracts of rent. Few consession projects that have been started so far did not succeed. Public-private partnership projects in the country are stalled by inefficient consession law. The new law if adopted will make consessions more attractive to investors. However, it is unlikely that consessions will start working in Ukraine any time soon, at least not for a couple of years. It is likely that the parliament will get re-elected in Autumn 2010 and the law on consessions will have to be considered by the new parliament, which will bring significant delay in making that mechanism work.