In the reform of the leasing industry, promoted by the Ministry of Finance and the Central Bank removed a major obstacle. The court of the Eurasian economic Union (EEU) confirmed the possibility of prudential regulation of the leasing industry from the Bank of Russia. The former criticism to reform on the part of the Eurasian economic Commission stalled it for a year and a half. However, when considering hovering of the bill in the state Duma of market participants and authorities are still waiting for a battle over the throttling configuration.The court of the Eurasian economic Union published 15 Jul Advisory opinion on the statement of Russia for clarification of certain provisions of the EEC Treaty concerning the regulation of leasing activities. A large panel of the court of the EEU came to the conclusion that leasing services are related to financial services, the introduction of a country—member of the Union of prudential regulation of leasing activities in conformity with the contract, and establishing the specifics of taxation direct taxes are a competence of the member States of the EEU.Reform the leasing industry was initiated, the Central Bank jointly with the Ministry of Finance in 2016. The amendments in sectoral law was submitted to the Duma in late 2018 and adopted in the first reading a year and a half ago. In particular, they regulate leasing activities by the Central Bank, the establishment of capital requirements for leasing companies, preparation of their audited accounts, the establishment of industry self-regulatory organizations, etc. In the past year the work on the bill was blocked supranational regulatory body of the EAEU, the Eurasian economic Commission. In the Commission’s view, the proposed bill “is not just determines the order of application of measures of state support in the leasing industry, and in fact proposes to introduce new measures for the admission to the market” (see “Kommersant-Leasing” as of December 3, 2019) or, for example, leasing is a non-financial service, said the Advisor to the first Deputy Chairman of the Central Bank Sergey Moiseev.The Russian side in the person of the Ministry of justice requested the court of the Eurasian economic Union about explanation of the provisions of the EEC Treaty for the preparation of legal regulation of leasing activity in Russia. In particular, the Ministry noted that the need for prudential measures with respect to leasing activity is explained, including the purpose of protecting the rights of natural persons and individual entrepreneurs at conclusion of contracts of leasing, and also referred to the experience of Armenia and Belarus, where regulation of leasing activities within the competence of Central banks. As a result, the panel of the court, in fact, recognized the financial leasing service and confirmed Russia’s ability to prudential regulation of leasing activity.”The decision of the court of the EEU will allow us to continue adopted��th bill,” satisfied with the Bank of Russia. The Finance Ministry said it is planning to prepare a draft law for the second reading in the autumn session. The Russian side has the opportunity “to revisit the need to implement Supervisory functions in the industry, and also determine the latitude of the controlling authority and the Agency which will implement them,” points out the Deputy head of the Ministry Ilya Hummocks. But at the same time stresses that regulate the industry needs the Ministry of economy, not the Central Bank (see Kommersant dated 13 may).In connection with the decision of the court expect the resumption of reforms and the leasing companies. However, not everyone is happy with the resolution of the issue. The consequences can be “the introduction of prudential supervision by the Central Bank, market restrictions and higher rates for consumers,” said the head of regulation, compliance and authorization GC “Alfa-Leasing” Rima Ivashchuk. “In that regulation there are benefits to consumers of leasing services, as regulation will allow to detect and deter fraudulent activity pseudoliberal associations and to bona fide market players”— do not agree in “the Europlan”.Ilya Usov