Polish investors still face political risk in Ukraine

 Polish  investments in Ukraine  still  face  political  risks  despite the sharp improvement in bilateral  relations  since  the  December 2004 Ukrainian regime change, Poland's Deputy Economy Minister Jacek Piechota told reporters Wednesday
at the Krynica Economic Forum.
     "The  different  approaches  to  economic  reform in Ukraine are of vital interest  to  us,"  Piechota  said, speaking at the Economic Forum attended  by  heads of governments and states and leading business people in Central and Eastern Europe.
     As  an  example  of  an  internal  Ukrainian  controversy  that has affected  Poland,  Piechota pointed to the tax and investment privileges that were  enjoyed  by  Polish  investors  in Ukraine's special economic zones until they were abolished earlier this year.
     "This  is  being  mended  now,  but there was unnecessary tension," Piechota said.
     The  recent  meeting in Gdansk between the two nations' presidents, Poland's  Aleksander  Kwasniewski  and  Ukraine's Viktor Yushchenko, has "added considerable momentum" to negotiations on the issue.
     Piechota reiterated the Polish government's commitment to promoting the interests  of  the  country's  investors  in  Poland's south-western neighbor.