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Ukraine: Nation in conflict readies for pioneering state aid law

 |  October 26, 2014

As Ukraine continues political turmoil with Russia, the nation is readying to adopt a groundbreaking state aid regulatory system by 2017.

The Law of Ukraine on State Aid was adopted last July and, according to reports, the legislation is unlike anything else that has existed for the nation before. The bill introduces a new regulatory system, to be headed by the Anti-Monopoly Committee of Ukraine, to scrutinize state aid in the context of its competitive effects on markets.

Reports also say the new law will require new state aid to be notified to authorities. But experts note certain elements of the framework that are missing, including guidance as to what constitutes state aid, methods to recover illegal state aid and additional procedures for notifying state aid to competition authorities. These matters, reports say, will be taken on by lawmakers in the months and years heading up to 2017.

Earlier this year the European Commission considered an agreement with Ukraine in the form of state aid, a move that earned criticism and claims that the EU was looking to earn loyalty from Ukraine over Russia.

Full content: Kyiv Post

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