On October 12, Ukraine signed a Common Aviation Area Agreement (CAAA) with the European Union. Since Ukraine was the 13th largest extra-EU market in 2019, with 9.8 million passengers, the European Commission highlighted this agreement as a significant “milestone”.
According to the Prime Minister Denys Shmyhal:
“It is a free visa regime in the aviation domain for both Ukrainian and European air carriers. The Governments will no longer provide permission for one route or another
.as airlines will be able to negotiate the possibility and number of flights directly with the airport”.
The CAAA foresees mutual opening of markets for passenger, freight and postal transportation between Ukraine and the European Union. Therefore, EU carriers would be able to fly to Ukraine without the necessity to apply for permission. The officials expect it will have a positive effect on trade, tourism, aviation and commerce overall.
At a first stage, Ukraine will implement legislation to guarantee “freedom of traffic rights”. It will relieve current travel restrictions from EU carriers and support flights between Ukraine and any EU state. The second stage will allow inbound flights by EU carriers within Ukraine.
For further information on how you or your business can prepare for the new standards or to discuss your potential actions, please contact our Kyiv Tax and Legal Department at kyiv@eurofast.eu. Remember, Eurofast is here to support your every step. Get in touch with our consultants to obtain a personal plan, support and guidance today.
Alex Maistrenko
Tax & Legal Associate
Eurofast Kyiv
kyiv@eurofast.eu