With confiscation. What is the land market is preparing Zelensky

С конфискацией. Какой рынок земли готовит Зеленский

Zelensky met with farmers

The authorities intend 1 October 2020 to allow the free purchase and sale of selhoznaloga in Ukraine.

The Ministry of economic development published a draft law on land market in Ukraine. Land reform was listed as one of the main points of the electoral program of President Vladimir Zelensky, and then his party the servant of the people.

Free sale of selhoznaloga, which was banned in 2002, planned to open October 1, 2020. Of the major political forces against reform party Opposition acts as a platform For life. Корреспондент.net tells details.


The essence of the bill on the land market

The land market in Ukraine shut down introduced in 2002 moratorium. By that time much of the land was in mutual ownership, and the owners of the units lost the ability to freely dispose of their property.

Initially, this measure was introduced as a temporary MPs spoke about “creeping foreign domination” and promised to lift the ban after the development of the legislation regulating all aspects of the purchase and sale of land. But the moratorium every year extended, so it has been in 18 years.

In the election program Zelensky promised land reform, which, according to the estimates of his team, will give an additional 2-3% of GDP growth per year. At the moment Ukrainian GDP grows by three percent.

On the website of the Ministry of economic development, trade and agriculture on Friday, September 20, was published the text of the bill on the land market.

Its main provisions:

  • A ban on the sale of agricultural land of all forms of ownership will be removed from 1 October 2020.
  • To buy land in Ukraine will be able to: nationals of Ukraine, territorial communities, the state, legal entities of Ukraine and foreign citizens and persons without citizenship (in the case of acquisition by inheritance and with commitment to the alienation of land during the year).
  • The minimum price of land will be set on land sales. It should not be below the normative monetary evaluation.
  • There will be a restriction on the total area of land that can be owned by citizen and legal entity and related entities.
  • The pre-emptive right to purchase land will be the one who rents.
  • The state Registrar will be obliged to make information on the cost of the rights, including rights of use, in Register of rights.
  • Ensures the right of citizens to purchase the land plots for maintaining a peasant (farmer) economy belonging to them by right of permanent use and right of lifetime inheritable possession.
  • It is possible to buy by installments up to five years at a price equal to a standard monetary assessment of such land.

In the explanatory note to the document States that the restrictions do not allow the acquisition of the property more than 15 percent of agricultural land area and 0.5 percent of agricultural land in Ukraine.

In this case the bill as a separate item says that the right to purchase land will not be citizens, legal entities and States that fall under the law On sanctions.

Such sanctions are imposed by decision of the President on the proposal of the national security Council and approved by the resolution of the Verkhovna Rada. The sanctions may be subject of a foreign state, an indefinite circle of persons of certain activities and certain legal and natural persons.

“The project of the law does not require additional funding from the state and local budgets, as well as other additional costs”, – stated in the explanatory Memorandum.

Before October 1, the government must develop and submit to Parliament a bill on the land market of agricultural purpose till January 1, 2021 information about the land should be filled with the state land cadastre.


The Russians confiscated

On the eve of the publication of the text of the bill in the framework of land reform, the President met with farmers, to dispel their prejudices

“First and foremost: the land belongs to the Ukrainians. In the model that we propose with the government to buy or sell land can only Ukrainian citizens and Ukrainian companies. Horror stories about the Chinese, about the Arabs or about the aliens, who will take out our land, cars, this is nonsense,” said Zelensky.

He says that citizens should appear full, and not a hybrid right on the ground.

“And this is the right to own, use and right to dispose of their land. Otherwise, “begins scoop” when our citizens allegedly received their apartments, but could not legally sell them. The result is a gray schemes and machinations. The same thing is happening with the land,” – said the President.

According to Zelensky, after the moratorium came a massive shadow market “is a million hectares of land and tens of billions of hryvnia.”

“Wins is not a small farmer is a simple villager, a local “land of princes”, he said.

To in plus was ordinary Ukrainians, it is necessary to conduct a “broad and public discussion of a model of a land market in Ukraine, because this issue is very sensitive,” said Zelensky.

Later, the Minister of economic development, trade and agriculture Tymofiy mylovanov said the details of creating a transparent market. According to Milovanov, today the land market exists “for those who have the access, money, certain schemes”.

On his page in Facebook on 19 September, he wrote about necessity of creation of uniform rules for all.

“A small farmer or the owner has the right to receive the same resources, such as financial conditions, for the same money to buy and compete with big business – gray, white, whatever. Market transparency is the best defense against shadow schemes,” he wrote.

Today the black market offers the opportunity to those who can afford to hire lawyers or buy deputies or officials to make the shadow scheme in their favor.

From the start of the land market have to win the one who is willing to work on the ground, not who has the best connection or the best lawyers, he said.

At a briefing in Kyiv on 20 September Milovanov said that after the lifting of the ban, the Russians would not be able to buy them, and if any land will be purchased, it is confiscated.

“Where sanctions, where there is an aggressor, of course, is confiscation,” said the Minister, answering the question of what measures were being taken to prevent purchase of land by Russians.

It should be noted that land reform is welcome, even criticism of the new authorities. So, an investment banker Sergey Fursa wrote on his page in Facebook that the current situation is beneficial only to a few oligarchs who use the rhetoric about the protection of their native land solely to protect their own interests.

“The introduction of the market will make all citizens of Ukraine richer, depriving some of them of windfall. And then we are another step closer to Europe and democracy, because the richer a society is, the more freedom it requires”, – he wrote.

Fursa added that land reform is important for economic development of Ukraine.

“It’s important for owners of units who were deprived of their property rights. This is important for the country’s economy, which is deprived of an efficient market. This is important for the hryvnia,” – wrote the expert.


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