Preventive Debt Restructuring: Implementation Of The EU Standards Into Ukrainian Legislation

On September 19, 2024, the Verkhovna Rada of Ukraine adopted the draft law on amendments to the Code of Ukraine on Bankruptcy Procedures and other legislative acts of Ukraine regarding the implementation of Directive 2019/1023 of the European Parliament and the Council of the European Union and the introduction of preventive restructuring procedures (reg. No. 10143) in the second reading and as a whole as a law.

Novelties of the Law No. 10143:

• economically reasonable for the debtor;
• relatively low costs;
• wide range of debt restructuring options for debtors, in particular, installment plans, partial debt forgiveness, securing additional financing, reprofiling or reorganization of the debtor company;