Ukrainian lawmaker Yaroslav Zhelezniak’s newsletter covers events from April 8-14, 2024, focusing on business, economics, and international financial programs. The Parliament adopted a draft law on the Bureau of Economic Security, but it does not meet international requirements. The text for the first reading was criticized for lacking provisions requested by key business associations and for not complying with IMF and G7 requirements. Lawmakers are expected to submit amendments for the second reading to ensure alignment with international agreements.
The IMF predicts Ukraine’s GDP will grow by 3.2% in 2024 and by up to 6.5% in 2025 despite the ongoing invasion. Lawmakers Zhelezniak and Radina plan to submit amendments to comply with requirements from G7 and the IMF for the Bureau of Economic Security. The draft law will undergo revisions, and amendments need to be included to address key provisions such as the selection process for the Director of the BEB, transparency in recruitment procedures, and alignment with labor legislation. The process may be slowed down if all necessary requirements are not met in the text.
The Infrastructure Committee aims to unblock the draft law on railway transport by rejecting previous versions and submitting a new revised draft. The Verkhovna Rada also adopted a draft law on mobilization, with a focus on rejecting numerous amendments and passing only selected ones prepared by the Committee on National Security, Defense, and Intelligence. President Zelensky signed the mobilization bill, highlighting the difficulties in gathering enough votes for important decisions within the Presidential faction.
The appointment of a new acting director to the Bureau of Economic Security raises concerns as all previous managers had a law-enforcement background. The new acting manager, Serhii Perkhun, is related to a former deputy head of the BEB known for pressuring businesses through investigations. Business associations have called for President Zelensky to extend the moratorium on searches by law enforcement bodies that target businesses. On the legal front, a court ruling lifted the seizure of Lifecell shares owned by sanctioned oligarch Mikhail Fridman, clearing the way for a French acquisition.
The Ukrainian parliament faces challenges as it struggles to gather enough votes for important decisions, showcasing a sense of frustration among members. The crisis within the coalition faction reflects a broader trend of the government’s inability to push through key legislation. Lawmakers are encouraged to submit amendments to ensure that the draft law on the Bureau of Economic Security aligns with international requirements and business expectations. The economy’s growth projections amidst the ongoing invasion highlight the resilience of Ukraine’s economic prospects despite the challenging circumstances.
