Volodymyr Lytvyn, Chairman of the Verkhovna Rada of Ukraine, is convinced that land capitalization should be the main purpose of land market introduction. The Chairman of the Verkhovna Rada made the foregoing statement in the interview to the Izvestia v Ukraine newspaper. According to V. Lytvyn, "land in Ukraine is considerably undervalued in comparison with the European countries."
"Discussing the land market in Ukraine, the civil right for the private land should be considered. There is a unanimous approach: an actual sale of land is not discussed, as it shall be preceded by land capitalization through the long-term land lease right", the Chairman of the Verkhovna Rada explained.
The Head of the Ukrainian Parliament reminded that in the states with the land market, land sale turnover totals 1-3% annually. "Land capitalization should be increased", declared V. Lytvyn. He mentioned that according to the expert reports, at least ten years is required to match the land prices in Ukraine with the European ones. "There will be no ‘outlaw market´, as it is claimed", V. Lytvyn stressed. He informed that if the Parliament adopts the respective bill, the agricultural land market will be closed for the foreigners.
The Head of the Parliament declared that the Parliament will not be able to adopt the bill on agricultural land market by the end of the session. He explained that the Parliament scrutinized the bill on land market during the current session, having rejected it. Under the Law on the Standing Orders of the Verkhovna Rada of Ukraine, if the bill was scrutinized and rejected, a similar bill shall be scrutinized during the next session. V. Lytvyn informed that no bills on land market have been registered in the Verkhovna Rada of Ukraine so far.