Ukraine: 1.2 million hectares of farmland under emphyteutic lease
17 September 2019
In the run-up to the launch of a full-fledged land market in Ukraine, planned for late 2019, the authorities reported that up to 1.2 million hectares from the total of 28 million hectares of farmland under moratorium are already under emphyteutic lease.
An emphyteutic lease agreement, which can be long-term or even unlimited, gives much more flexibility to leaseholder than a regular one. Such agreement enables a land-leaser (agricultural enterprise) to use farmland as economic asset, e.g. sell the right of land use or take credit against farmland plot. The moratorium on farmland sales in Ukraine has been in effect since 2001.