Ukrainian Parliament Adopted in First Reading a Law on Insolvent Banks
OREANDA-NEWS. The Verkhovna Rada of Ukraine adopted in first reading a law that would regulate the withdrawal of insolvent banks from the market and would not allow their former owners to be returned. Such a decision at an extraordinary meeting on March 30 was supported by 267 parliamentarians with the required minimum of 226. The adoption of this law is the main condition for obtaining a new program of the International Monetary Fund.
As it is stated in the explanatory note, the bill provides for the establishment of a balance between the private interests of bank owners and public interests. If the decision to withdraw the bank from the market is canceled, situation that existed before the decision was made should not be resumed.
The document should pass a second reading. Media note that if it comes into force, Ukrainian businessman Igor Kolomoisky will not be able to own Privatbank.