“Businesses understand the importance of adopting the bill to ensure a higher level of cybersecurity, counter disinformation, and prevent threats to national security,” the EBA’s press service told NV Business on Nov. 7.

“At the same time, the business community proposes considering several important points to ensure that the new legislation does not have a negative impact on companies, but instead facilitates a faster and smoother transition to alternative software solutions.”

Association experts propose developing a clear list of enemy software products and categories of electronic resources that fall under the law. This could include creating a list of criteria to determine which resources are subject to the ban. Additionally, it is important to clarify some general terms that require more precise definitions to avoid misunderstandings, abuse, or excessive restrictions.

According to the association’s experts, transitioning to domestic software will require significant resources. Therefore, the business community considers it necessary to provide state support (financial aid, tax incentives, or subsidies for new software licenses) to companies that will implement this transition. An important step in this support is establishing a transition period of 12-24 months to minimize the impact of the software change on the operational activities of companies and reduce risks to the economy.

At the same time, the business community believes it is necessary to promote the development of Ukrainian IT products. This will not only reduce dependence on foreign software but also stimulate the development of the national IT industry. The introduction of grant programs and investment incentives for Ukrainian developers, as well as expanding cooperation between the state and IT companies, will contribute to this development, EBA experts argue.

“The transition to domestic products also requires significant resources from software integrators,” the EBA stated.

“According to information from member companies of the association, there has been a shortage of such specialists in the market, and this shortage has only increased in recent years. A possible solution in this situation would be to introduce economic incentives for critical specialists in this field.”

Additionally, the association noted that an alternative Bill No. 11492-1 has been registered in the Verkhovna Rada of Ukraine, to which the business community has similar comments. To ensure that the measures introduced by these bills are more effective and have minimal negative consequences for the economy, the association proposes refining bill No. 11492 or No. 11492-1, taking into account the business community’s proposals.

Media previously reported that on Sept. 20, 2024, the European Business Association opposed the bill on increasing the military tax and additional taxation of bank income, which was adopted in the first reading by the legislature. The EBA recommended making tax and customs reform a key priority for filling the state budget, according to the association’s statement.

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