Partnership with the Government

Memorandum with the Cabinet of Ministers of Ukraine

MEMORANDUM

of partnership and cooperation between the Cabinet of Ministers of Ukraine

and

the Ukrainian League of Industrialists and Entrepreneurs

Kyiv                                                                                                                           April 4, 2014

The Cabinet of Ministers of Ukraine, represented by Ukrainian Prime Minister Arseniy Petrovych Yatseniuk, on the one hand, and the Ukrainian League of Industrialists and Entrepreneurs (hereinafter referred to as the ULIE), represented by ULIE President Anatoliy Kyrylovych Kinakh, on the other hand, realizing the need for comprehensive development of entrepreneurship, improvement of investment climate in the state, establishing relevant partnership between the government and businesses, consider it necessary to conclude this Memorandum of Partnership and Cooperation.

1. THE SUBJECT OF THE MEMORANDUM

1.1. The subject of the Memorandum is the establishment of coherent cooperation between the Sides.

1.2. The Sides agreed to consider cooperation as a tool for the implementation of consistent national policy for the development of domestic economy aimed at the improvement and facilitation of business environment, raising its competitiveness, versatile support for business initiative.

1.3. The Sides shall ensure cooperation for encouraging industrialists and entrepreneurs to draft laws, regulations and proposals on the issues of forming and implementation of the state economic policy, including the following:

- the creation of a deep and comprehensive free trade area between Ukraine and the EU;

- the adapting of domestic economy to the conditions of work with the EU;

- the streamlining of Ukrainian legislation with the legislation of the European Union;

- the development of effective state support for high technology spheres of economy that make value-added products, in particular aerospace, machine building, aircraft industry, shipbuilding and information technology;

- the matching of interests of the World Trade Organization (WTO) and Ukraine in setting customs tariffs for further cooperation with WTO as a precondition for Ukraine's integration in the EU community;

- the rendering of effective financial support, implementation of favorable credit, taxation and customs policy in the sphere of innovations;

- the creation of tools for boosting the introduction of innovations at industrial enterprises;

- the elaboration of an action plan aimed at the removal of the economy out of the shadows through the improvement of the taxation system;

- the elaboration of measures for the development of small- and medium-sized businesses;

- the creation of favorable conditions for further development of the domestic market;

- the elaboration and promotion of the program for import substitution and production localization;

- the development of public and private partnership;

- the development of an information-oriented society in Ukraine;

- the drawing of investment for the revival and development of the basic means of production;

- the elaboration of effective measures to increase the volume of financing of the real sector of economy by financial institutions;

- the protection of enterprises and organizations of all forms of ownership from illegal seizures;

- reforming of the authorization system in the sphere of economy and optimization of the licensing system;

- the improvement of the work on the facilitation of investment climate in the state as a priority for the enhancement of business security;

- the forming of the comprehensive state protectionist policy;

- the protection of domestic producers' interests on foreign markets by taking precautions against violations of anti-dumping, subsidy and special investigations on Ukrainian products as well as while holding them, in particular via the ULIE's assistance in obtaining necessary information from Ukrainian producers;

- the implementation of effective energy saving policy;

- the planning of joint international events and the ULIE's involvement in relevant government delegations.

1.4. The Sides find it necessary to cooperate with the aim of carrying out joint tasks.

2. THE PURPOSE OF THE MEMORANDUM

With the aim of practical realization of the Memorandum the Sides agreed to:

- involve ULIE representatives in the work on draft regulations and laws on the issues which are a part of the subject of the Memorandum;

- involve the ULIE in the expertise of draft laws and regulations on socio-economic and entrepreneurship issues according to the established procedure;

- establish cooperation during the implementation of programs and measures aimed at entrepreneurship development;

- involve ULIE representatives in the work of public boards under executive government agencies;

- provide information on the activities of the ULIE and executive agencies aimed at the support and development of entrepreneurship.

3. RIGHTS AND OBLIGARIONS OF THE SIDES

3.1. According to the present Memorandum, during joint activities the Sides have the right to form working groups if necessary for finding solutions aimed at the improvement of the business climate.

3.2. The Sides are obliged to carry out the provisions of this Memorandum and its appendices.

4. THE FINAL PROVISIONS

4.1. Any amendments to this Agreement shall have effect if they are added in written and signed by the authorized representatives of the Sides.

4.2. This Agreement is made in two copies, each of three pages, and both of them shall have equal legal effect.

4.3. The Agreement shall take effect from the moment of signing.