Will there be special economic zones in Transcarpathia?

18 February 2014 09:23  9060916 061724
Will there be special economic zones in Transcarpathia?

Ukraine will return to special economic zones in border areas

In Transcarpathia and in the south of Ukraine, they may establish special economic zones (SEZs) of the industrial type. This was announced during a briefing by the first deputy of the Acting Minister of Economic Development and Trade of Ukraine Anatoliy Maksyuta. This decision, he said, will attract to Ukraine big investors who are interested in reducing logistics time, reduction of production cost due to specific regimes in the area.

Experts note that the SEZs as an economic tool can ensure the use of advanced technologies in the region, step up the economy due to the influx of foreign capital, receipts of foreign currency assets, which in turn will lead to an increase in foreign exchange reserves of the country.

However, to ensure their activities, the SEZs must have market infrastructure.  

Government analysts specify that the introduction of the SEZs should be based on export-oriented model. In addition, the creation of zones should be provided in those areas where there are long-term investment projects. However, a prerequisite of forming a special economic zone is proximity to the border, on account of which investors will be able to import raw materials or goods and export them easier. "We, therefore, will obtain jobs and payments to the budget", - Maksyuta said.


SEZs can be an effective tool for improving the business climate, economic development and competitiveness of the country. To this end, a favorable legal framework has been established in Ukraine that defines the guarantees of activity for foreign investors. 

Source - Information newsletter of the CMU

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