NEW CHALLENGES FOR FOREIGN INVESTMENT IN UKRAINE

Problems of Interconnections of Legislative Acts In the System of the Legal Support to the Economy

Abstract

The article deals with current challenges foreign investors are likely to face when investing in Ukraine. The article undertakes periodization of the development of foreign investment treatment in Ukraine through the review of amendments into the foreign investment legislation and changes in its application. The author raises the most actual issues of foreign investing in Ukraine, such as instability of investment legislation, inadequacy of the protection of investors’ rights (due to the corrupted judicial system; prevalence of «raiding» practices; the risk of forcible takeovers («re-privatisation») without, clear standard of compensation; erroneous legislative norms). The article seeks to propose the ways of minimizing such investment risks through the gradual harmonization of the Ukrainian investment laws with acquis communautaire of the European Community, referring disputes involving protection of investment rights for resolution to international fora (the European Court of Human Rights, the International Centre-for Settlement .of Investment Disputes of the World Bank). The author draws conclusions with respect to subsequent trends of development of foreign investment law in Ukraine.