Land moratorium: threats and prospects

Abstract

Currently, there are a number of negative consequences of the moratorium that need to be addressed immediately, amendments to existing legislation because the moratorium hinders rural development and agriculture, prevents the redistribution of land resources to more efficient owners and producers, reduces rent and owners' incomes, and limits access to credit resources. Under such conditions, there is no land market, farmers and small landowners have no incentive to invest. As a result, a significant part of land plots is leased by large companies, which have a significant impact on the social structure of the village. Land productivity is far from Ukraine's potential, as long-term investments are needed to improve it. Foreign investors, companies with the necessary knowledge and equipment, are reluctant to invest in Ukraine due to imperfect legal guarantees. A favorable legal climate is needed to improve the agricultural sector. In turn, lifting the moratorium could lead to economic growth. But it should be remembered that lifting the moratorium on land is largely not an economic but a political decision, as there is a risk of mass purchase of Ukrainian lands by foreigners, resulting in the complete loss of ownership and control of their territory. Thus, analyzing the current legislation of Ukraine, scientific publications of famous scientists, economists, politicians, lawyers, given their positive and negative statements about the moratorium on the sale of agricultural land, we can conclude that there are both threats and prospects for a land moratorium.