The State Property Fund presented a roadmap for the implementation of the Land Bank

The State Property Fund presented a roadmap for the implementation of the Land Bank to the members of the Interdepartmental Working Group, which includes representatives of the Ministry of Justice, the Ministry of Agrarian Policy and Food, relevant Committees of the Verkhovna Rada, the StateGeoCadastre, and Prozorro.Sale.

"The main goal of the Land Bank is to deshadow income from the use of state agricultural land. With the adoption of Ukrainian Law No. 3272, the Cabinet of Ministers received new powers to withdraw agricultural land from state enterprises and transfer it to one or several operators for sublease via open auctions in the Prozorro.Sale system. To make this initiative successful, it is necessary to make certain changes to the legislation and address a number of issues to establish clear and transparent rules for operation in the market," said the acting head of the Fund, Oleksandr Fedoryshyn.

The Interdepartmental Working Group is tasked with formulating proposals to address a range of issues, including:

  • Ensuring the correspondence of land plots' purposes according to their cadastral number to their actual condition.
  • Determining the time of land transfer to minimize losses during the cultivation season.
  • Regulating crop yield issues.
  • Preserving land for specialized farms.
  • Distinguishing buildings, forest belts, water bodies, and preparing land management documentation.
  • Interacting with law enforcement agencies regarding the lifting of existing arrests on land assets and more.

The Fund plans to conduct the consolidation of state land in several stages. In the first stage, agricultural land of state enterprises currently undergoing bankruptcy or liquidation processes may be transferred to the Land Bank. In the second stage – lands of state enterprises without any encumbrances or restrictions. In the third and fourth stages – lands of state enterprises with problems requiring an individual approach.

"The first two groups of land assets, with the consolidated position of all interested state authorities, can be transferred to the Land Bank within 2-3 months. At the same time, we are developing and planning to submit to the Government the Land Bank Draft Regulations," announced Oleksandr Fedoryshyn.

The Fund believes that the Land Bank will become one of the strategic assets that will remain in state ownership, and eventually, it will be transferred to the Ukrainian Sovereign Fund.