Journal of Legal, Ethical and Regulatory Issues (Print ISSN: 1544-0036; Online ISSN: 1544-0044)

Abstract

Legal and Organizational Framework for Financial Leasing in Ukraine and Cyprus: A Comparative Analysis

Author(s): Serhii O. Koroied, Heorhii H. Kharchenko, Tetiana B. Pozhodzhuk, Antonina I. Sabovchyk, Yevhen O. Butyrin

Description: The article is devoted to the study of the organizational and legal foundations of financial leasing in Ukraine and Cyprus. Methodology: During research general scientific and special methods were used. Thus, the analysis and synthesis method as well as the logical method were used to formulate a holistic view on the financial leasing institution in Ukraine and Cyprus in general, as well as the credit aspects of financial leasing. The logical-semantic method was used to establish the meaning of the term “financial leasing”. The comparative method was used when analyzing international and national legislation of Ukraine and Cyprus, as well as scientific categories, definitions and approaches. The system-structural method was applied to determine the elements of financial leasing, as well as its functions and tasks. The studied materials are the legislation of Ukraine and Cyprus as well as the scientific works of Ukrainian and foreign scientists on this issue. The results of the study made it possible to study the advantages and disadvantages of financial leasing in general, to examine the pace of growth of financial leasing in Ukraine, to consider the legislation that currently regulates this issue in Ukraine, and to express an opinion on its strength and weaknesses, to analyze the provisions of the Draft Law of Ukraine on Financial Leasing, to identify its pros and cons, to establish the peculiarities of the regulation of financial leasing in Cyprus, to compare the provisions of the Draft Law of Ukraine “On Financial Leasing” and provisions of the Cyprus Leasing Law for emulation positive experience. Practical implications: According to the results of the research, proposals were made to amend and to adjust the Draft Law of Ukraine “On Financial Leasing” so that it conforms to European requirements and practice. Value/originality: As the legislation of Ukraine regulating financial leasing in Ukraine is currently antiquated and should be updated, the Draft Law On financial leasing, which should become the normative legal act that will help to create a proper competitive environment in the market of financial services and harmonize the relevant legislation of Ukraine with the legislation of European Union, was analyzed. Based on a comparative analysis of the Ukrainian Draft Law with Cyprus Leasing Law, recommendations were made to amend the former in order to bring it into line with European standards.