Control of foreign investments
It is about changes in the Act on the control of certain investments and the Act on subsidies for interest rates on bank loans granted entrepreneurs affected by Covid-19 and with a simplified procedure for approval of the system in connection with Covid-19 speech. The amendment predicts that the control of foreign investment, so far regulated as a temporary action, provided until July 24, 2025, will become an indefinite solution.
Competence in the field of control granted by the Act President of the Office of Competition and Consumer Protectionare to be – in accordance with the amendment – transferred to the minister competent for the economy, i.e. currently to the Minister of Development and Technology.
Mrit, which designed the novel, reminded in the justification that the control of some foreign investment was introduced in the 2015 Act. Investments in the strategic sectors of the Polish economy were covered by the strategic sectors made by entities from the European Union and third countries.
As the Ministry of Development pointed out, during the Covid-19 pandemic, when there was a rapid deterioration of the economic situation, there was an urgent need to strengthen the protection of domestic companies against acquisitions by investors from outside the EU, EEA or OECD.
Another extension of protection – this time indefinitely
The relevant regulations were included in the Act of 19 June 2020 on subsidies for interest rates on bank loans granted to entrepreneurs affected by the effects affected by entrepreneurs Covid-19 and with a simplified procedure for approval of the system in connection with the occurrence Covid-19. The introduced provisions were to apply initially for 24 months from the date of entry into force, but due to the outbreak of war in Ukraine, the deadline was extended to 60 months – on July 24 this year.
“After this date, there will be a loss of power of investment control regulations coming from abroad. However, the observed instability of the international situation and revealed permanent global threats, require maintenance of investment control for an indefinite period” – noted the Ministry of Development in assessing the effects of regulation.
What companies will be protected?
Pursuant to the applicable regulations, the protection will be covered by public companies, as well as entrepreneurs with property disclosed in a uniform list of facilities, installations, equipment and services included in the critical infrastructuresoftware manufacturers used in this infrastructure, as well as food processing companies.
Protection includes entities whose income from sales and services has exceeded in Poland, in any of the two financial years preceding the application, the equivalent of EUR 10 million.
“From your point of view, the investment control project will have a positive impact on entrepreneurs and the economy, as it will ensure security through the elimination of investments that can threaten the safety, order and public health” – the OSR was erected. (PAP)
