President Volodymyr Zelensky has signed a law amending the Bankruptcy Procedures Code of Ukraine, aligning Ukrainian legislation more closely with European standards. This was reported by Member of Parliament Yaroslav Zheleznyak.
The law introduces a mechanism for preventive restructuring, enabling businesses facing financial difficulties to avoid bankruptcy.
The procedure includes a comprehensive set of management, financial, legal, and technical measures to prevent the insolvency of an enterprise.
The process lasts no longer than 6 months and is significantly less expensive than pre-trial rehabilitation or bankruptcy.
The adoption of this law was one of the requirements of the Ukraine Facility Plan and brings Ukrainian legislation closer to EU standards through the implementation of the Directive of the European Parliament and Council of the European Union 2019/1023.