- I. GENERAL PROVISIONS
- II. PROCEDURE OF IMPLEMENTATION OF THE INVESTMENT ACTIVITY
- III. GOVERNMENTAL REGULATION OF THE INVESTMENT ACTIVITY
- Article 11. Goals of the Governmental Regulation of the Investment Activity
- Article 12. Forms of the Governmental Regulation of the Investment Activity
- Article 13. Procedure of Making Decisions
- on the Governmental Investments at the Level of the Republic
- Article 14. Procedure of Placement of the Government Contractual Order
- for Performance of Work in the Sphere of Capital Construction
- Article 15. The State Expert Examination of Investments
- Article 16. Regulation of Investment Activity by the Supreme Council of the Crimean ASSR and by the Local Councils of People's Deputies
- Article 17. Price Formation in the Course of the Investment Activity
- IV. GUARANTEES OF RIGHTS OF SUBJECTS OF THE INVESTMENT ACTIVITY
- AND PROTECTION OF INVESTMENTS
LAW OF UKRAINE
On Investment Activity
(the Official Journal of the Verkhovna Rada (OJVR), 1991, No. 47, Article 646).
(the Law is enacted in accordance with the Resolution of the Verkhovna Rada No. 1561-XII (1561-12) dated September 18, 1991, OJVR, 1991, No. 47, Article 647).
(With changes in and amendments to the Law, which were introduced in accordance with the following Laws:
No. 1955-XII (1955-12) dated December 10, 1991, OJVR, 1992, No. 10, Article 138
No. 185/98-VR dated March 09, 1998, OJVR, 1998, No. 33, Article 226
No. 697-XIV (697-14) dated May 21, 1999, OJVR, 1999, No. 31, Article 248
No. 2899-III (2899-14) dated December 20, 2001, OJVR, 2002, No. 15, Article 100).
(Official interpretation of the Law see in the Resolution of the Constitutional Court of Ukraine No. 1-rp/2002 (v001p710-02) dated January 29, 2002).
(In addition, see the Decree of the Constitutional Court of Ukraine No. 3-up/2002 (va03u710-02) dated March 03, 2002).
(With changes in and amendments to the Law, which were introduced in accordance with the following Laws:
No. 40-IV (40-15) dated July 04, 2002, OJVR, 2002, No. 36, Article 266 – these changes were excluded in accordance with the exclusion of Point 3 of Section VII of this Law on the basis of the Law No. 2505-IV (2505-15) dated March 25, 2005,
No. 380-IV (380-15) dated December 26, 2002, OJVR, 2003, No. 10-11, Article 86
No. 762-IV (762-15) dated May 15, 2003, OJVR, 2003, No. 30, Article 247
No. 1294-IV (1294-15) dated November 20, 2003, OJVR, 2004, No. 13, Article 181
No. 1344-IV (1344-15) dated November 27, 2003, OJVR, 2004, No. 17-18, Article 250
No. 1407-IV (1407-15) dated February 03, 2004, OJVR, 2004, No. 16, Article 238
No. 2285-IV (2285-15) dated December 23, 2004, OJVR, 2005, No. 7-8, Article 162
No. 2505-IV (2505-15) dated March 25, 2005, OJVR, 2005, No. 17, No. 18-19, Article 267
No. 3201-IV (3201-15) dated December 15, 2005, OJVR, 2006, No. 13, Article 110
No. 3370-IV (3370-15) dated January 19, 2006, OJVR, 2006, No. 22, Article 184)
The present Law shall determine general legal, economic, and social conditions of investment activity within the territory of Ukraine.
The goal of the Law is to ensure equal protection of the rights, interests, and property of subjects of investment activity regardless of their patterns of ownership, as well as to ensure an efficient investing of the national economy of Ukraine, development of the international economic cooperation and integration.
Investments shall be any and all kinds of material and intellectual values, which are made to objects of business activity and other kinds of activity, and result of which is connected with creation of profits (incomes), or any other social effect is achieved.
The following values may be considered material and intellectual values:
financial resources, specific (purpose-oriented) banking deposits, shares, stocks, and other securities;
movable and immovable property (buildings, structures, equipment, and other material values);
rights to the intellectual property; (the Indent 4 of the Paragraph 2 of Article 1 — in accordance with the changes made under the Law No. 1407-IV (1407-15) dated February 03, 2004).
a package of technical, technological, commercial, and other knowledge in the form of technical documents, skills, and production experience, which are required for organisation of one or another kind of production and which are not patented (know-how);
right of enjoyment of land, water, natural resources, buildings, structures, equipment, as well as other rights of property;
other values.
Investments to the reproduction of the fixed capital stock and to the increase of material and production inventories shall be made in the form of capital investments.
1. Investment activity shall be combination of practical actions of citizens, legal entities, and the State in the sphere of implementation of investments.
2. The investment activity shall be implemented on the following basis:
investments that are made by citizens, non-governmental enterprises, business associations, unions, and companies, as well as by public and religious organisations, and other legal entities that were established on the basis of collective property;
governmental investments that are made by the bodies of the state power and governance of Ukraine, the Crimean ASSR (the Crimean Autonomous Soviet Socialist Republic), local Councils of People's Deputies at the expense of budget resources, off-budget funds, borrowed funds, as well as investments that are made by governmental enterprises and institutions at the expense of their own and borrowed funds;
foreign investments that are made by foreign citizens, legal entities, and states;
joint investments that are made by citizens and legal entities of Ukraine and foreign states (the Indent 5 of the Paragraph 2 of Article 2 — in accordance with the changes made under the Law No. 1955-12 dated December 10, 1991).
1. Innovation activity, as one of the forms of the investment activity, shall be made with the purpose of implementation of scientific and technical achievements in the production and social spheres, and shall include the following kinds of activity:
production and distribution of the principally new kinds of techniques and production processes;
progressive inter-industry structural changes;
implementation of the long-term scientific and technical programs with prolonged payback periods;
funding of fundamental researches that are aimed at achievement of quality changes in the state of production resources;
development and implementation of new, resource-saving technologies, that are designed in order to improve social state and environment.
Objects of the investment activity may be any kinds of property, including any fixed capital stock and circulating assets in any branches and spheres of the national economy, as well as securities, special cash contributions, scientific and technical products, intellectual values, other proprietary objects, and rights of property.
It shall be prohibited to make investments in the objects, creation and utilization of which is not in line with the requirements of the sanitary, hygienic, radiation, ecological, architectural, and other norms, which are established by the laws of Ukraine, as well as creation and utilization of which shall infringe the rights and interests of citizens, legal entities, and the State (provided that such rights are protected by the laws).
Objects of the investment activity may not be the objects of home construction activity, which are funded on the basis of utilization of the non-governmental resources, which were raised from natural persons and legal entities (including the resources, which were raised for the purposes of management only). Investing and funding of such objects may be only made: through the special funds, which were established for funding of construction activity; funds, which are engaged in real estate transactions; joint investment institutions; non-governmental pension funds, which were established and act in accordance with the laws; as well as with the help of the resources raised in the course of issue of the interest-free (purpose-oriented) obligations, in accordance with which one unit of such real estate objects shall be the basic commodities (the Paragraph 3 was added to Article 4 in accordance with the Law No. 3201-IV (3201-15) dated December 15, 2005).
1. Citizens and legal entities of Ukraine and foreign states, as well as the states themselves may be subjects of the investment activity (both investors, and participants) (the Paragraph 1 of Article 5 — in accordance with the changes made under the Law No. 1955-12 dated December 10, 1991).
2. Investors shall be subjects of the investment activity, which make decisions on investments of their own, borrowed, and raised material and intellectual values to the investment objects.
The investors may act as contributors, creditors, purchasers, as well as perform duties of any other participants of the investment activity.
3. Citizens and legal entities of Ukraine, foreign states, which ensure implementation of investments as contractors, or on the basis of orders of investors may be participants of the investment activity.
The relations that shall occur in the course of investment activity within the territory of Ukraine shall be regulated by the present Law, as well as by the other legislative acts of Ukraine.
The investment activity of the subjects of Ukraine beyond the Ukrainian territory shall be regulated by the laws of the foreign states, within the territories of which such investment activity is performed, by the relevant international treaties of Ukraine, as well as by the special laws of Ukraine (the Paragraph 2 of Article 6 — in accordance with the changes made under the Law No. 1955-12 dated December 10, 1991).
The special laws of Ukraine shall determine specific regimes of the investment activities within the territory of Ukraine, which are made by the subjects of the investment activity, which were established and operate beyond the territory of Ukraine, as well as special regimes of the investment activities of such foreign and Ukrainian subjects within the territories of the Ukrainian free economic zones.
1. All subjects of the investment activity (regardless of their patterns of ownership and kinds of economic activity) shall have equal rights to implementation of the investment activity provided that otherwise shall not be established by the Ukrainian legislative acts.
Placement of investments to any objects with the exception of those ones, investments to which are prohibited or restricted on the basis of the present Law or other legislative acts of Ukraine, shall be considered the integral right of investor and shall be protected in accordance with the laws.
2. Any investor shall (at his/its own discretion) determine the goals, spheres, kinds, and volumes of investments and engage any participants of the investment activity with the purpose of achievement of such goals on the contractual basis, particularly through organisation of competitions and tenders.
3. In accordance with the relevant decision of investor, rights to own, utilize, and possess the investments, as well as the results of implementation of such investments may be transferred to other citizens and legal entities in accordance with the procedure established by the laws. Participants of such transactions shall regulate their mutual relations in accordance with the contracts to be concluded by them.
4. Investors shall have the right to raise financial resources in the form of credits, loans, as well as the right to issue securities in accordance with the procedure established by the laws.
Investors shall have the right to use their property in order to secure their obligations. Only the property, which is in the ownership of a debtor, or belongs to it in accordance with the right of comprehensive management (provided that otherwise shall not be established by the laws of Ukraine) shall be pledged as security. In the case of infringement of the security obligations, the pledged property may be sold and disposed of in accordance with the Ukrainian legislation in force.
5. Any investor shall have the right to own, utilize, and dispose of the investment objects and results of the investments made (including the right to reinvest resources and make commercial transactions within the territory of Ukraine) in accordance with the Ukrainian legislation in force.
The State shall establish and provide guaranties for the investments of the state-owned enterprises, which act as investors beyond the territory of Ukraine and in respect of obligations of which a mortgage credit was opened.
(the Indent 3 of the Paragraph 5 of Article 7 was excluded on the basis of the Law No. 1955-12 dated December 10, 1991).
6. Any investor shall have the right to purchase and acquire the property it requires from citizens and legal entities both directly, and through any intermediaries for the prices and in accordance with the conditions, which shall be determined in accordance with the arrangements of the parties (provided that otherwise shall not be established by the Ukrainian legislation in force), with no restrictions concerning volumes of such property and its assortment.
1. In the cases, which are stipulated by the Ukrainian legislation in force and in accordance with the procedure established by the laws of Ukraine, any investor shall be liable to:
provide the relevant fiscal authorities with its declarations and statements concerning volumes of its investments and sources of the relevant financial resources;
receive necessary license or approval for capital development from the relevant governmental authorities and special services;
receive a positive comprehensive opinion of the governmental expert authority, which shall confirm the observance of the current norms (in the sphere of sanitary and ecological safety of population, environment protection, labour protection, power-saving, fire safety, strength, reliability, and necessary service life of buildings and structures, as well as architectural requirements) in their investment programs and construction projects (the Indent 4 of the Paragraph 1 of Article 8 — in accordance with the changes made under the Law No. 185/98-VR dated March 09, 1998).
2. Subjects of the investment activity shall be liable to:
observe the state norms and standards, procedure of establishment of which shall be determined by the Ukrainian legislation in force;
comply with the requirements of the governmental authorities and official persons, which shall be formulated and presented within the limits of competency of such governmental authorities and official persons;
submit their accounting and statistical reports in accordance with the procedure established by the laws;
abstain from unfair competition as well as observe the requirements of the laws that regulate protection of economic competition (the Indent 5 of the Paragraph 2 of Article 8 — in accordance with the changes made under the Law No. 1294-IV (1294-15) dated November 20, 2003).
(The Indent 6 of the Paragraph 2 of Article 8 was excluded on the basis of the Law No. 1955-12 dated December 10, 1991).
I. GENERAL PROVISIONS
Article 1. Investments
Article 2. Investment Activity
Article 3. Innovation Activity
Article 4. Objects of the Investment Activity
Article 5. Subjects of the Investment Activity
Article 6. Laws on the Investment Activity
II. PROCEDURE OF IMPLEMENTATION OF THE INVESTMENT ACTIVITY
Article 7. Rights of the Subjects of the Investment Activity
Article 8. Obligations of Subjects of the Investment Activity