Oligarchs have captured the Ukrainian state. However, they are more a symptom than the cause of the country’s crisis. That is why successful de-oligarchisation would not bring real progress, but only give rise to a new generation of oligarchs. What is needed instead is a political culture of transparency and accountability.
The oligarchic system, which inseparably involves informal ties and corruption between the the top tiers of government and oligarchs, did not disappear after the Revolution of Dignity. It merely evolved slightly to adapt to the new political situation. A closer look at the relationships between the government and big business shows that all post-Maidan statements of Ukraine’s top officials about ‘deoligarchisation’ are pure wishful thinking. The long-established main oligarchic groups started more or less close co-operation with the government elite, which needed their support and was at the same time too weak or lacked the political will to really undermine the oligarchs’ positions.
іМоRе # 51. An ambiguous start to the year: anti-reforms prevented the manifestation of a decent result
The index for monitoring of reforms (iMoRe) remains low. Assessment of reforms progress for December 19, 2016 – January 8, 2017 is only +0.8 points out of a possible +5.0 points. Progress was observed in public administration reform, public finances and the business environment. Even though these areas have benefitted from a number of progressive legislative actions, the index value is low due to several anti-reforms.
The first and foremost priority of the National Bank of Ukraine (NBU) is to keep inflation low. This is stated in the law, and in the principles of the monetary policy for 2017-2020 proposed by the NBU Board, and recently approved by the NBU Council. The goal for 2017 is set at 8+-2%. Will the public accept this goal?
Progress in reforming the banking sector and road infrastructure has positively influenced iMoRe – the index for monitoring of reforms. For December 5 – December 18 iMoRe reached a score of +1.0 out of a possible +5 points. Experts noted the progress in the reforms of the monetary sphere, public administration, public finance and energy sector.
Corruption and lack of clear-cut rules of the game turned the Ukrainian politics into a tool for monetization and protection of business interests. Will the Law on the Public Funding of Political Parties be able to mend the situation? Can Ukraine afford such an instrument?
On Monday, 20th of December, 2016, the nationalization of PrivatBank was announced. The representatives of the government and the central bank explained the decision with the bad quality of the credit portfolio, large number of loans to affiliated companies and undercapitalization of the bank. The bank’s former management presented their view of the events, pointing to the unjust actions by the NBU that were selectively aimed at the largest Ukrainian bank. Full text is available in Ukrainian.
How much will those who are paid the minimum wage actually earn? What will the influence of the tariff grade be? This VoxCheck is dedicated to the myths about the minimum wage in Ukraine. Full text is available in Ukrainian and Russian.
Within the last two years, the president signed the Association Agreement with the EU, considerably increased funding of the military and almost introducing a visa-free regime. However, other changes promised by Poroshenko have just been started.
Do Ukrainian judges live exclusively on their salary? Is it possible to uncover a probably corrupt judge by only analysing their income declaration? Full text is available in Ukrainian and Russian.