Good News! Today the bill № 5090 “On making amendments to the Budget Code of Ukraine on the settlement of budgetary relations during the implementation of agreements that regulate public-private partnership, including concession agreements” was adopted in the first reading.
The goal of the bill is to ensure the practicality of the usage of the Laws of Ukraine “On Public-Private Partnership” and “On the concession”. It is aimed at preventing possible misunderstandings and ambiguity regarding financial issues. The bill also streamlines the process of providing state support for the implementation of PPP.
The issue of long-term liabilities is critical for many prospective PPP projects. As of today, the state cannot accept long-term liabilities because of the principle of three-year budget planning.
Bill № 5090 proposes an effective mechanism for financing long-term liabilities involved in PPP projects (concessions). This is expected to create an influx of investment, financing the modernization of infrastructure as well as the creation of new facilities that will provide socially significant services.
You can learn more about it on the official website of the Verkhovna Rada of Ukraine:
http://w1.c1.rada.gov.ua/pls/zweb2/webproc4_2?id=&pf3516=5090&skl=10