Since 2014, it has been argued that Ukraine is actually fighting two enemies: Russia and corruption. The horrifically destructive Russian invasion is an existential threat to Ukrainian statehood, but corruption is both undermining effective resistance to the war and derailing Ukraine’s ambitions for closer ties with Europe. Eradicating corruption is now literally a matter of life and death.
Undermining international confidence in Ukraine’s government is one of Russia’s main goals in the hope that it can delay or reduce Western material and political aid. The narrative that Ukraine is a basket case, unreformable and utterly corrupt, has long been a Kremlin propaganda narrative. In his pre-invasion speech, Putin said that despite the efforts of Ukrainian anti-corruption authorities, “corruption is in full bloom and is still in full bloom, more than ever.”
The high-profile corruption scandal that erupted last week, the first since Russia’s full-blown invasion, was no ordinary affair. Leaked official documents have revealed a hugely inflated $350 million food supply contract signed by the Ministry of Defence. In another office, the Deputy Minister of Infrastructure, Vasil Lozinski, was accused of draining money from the winter aid budget.
All eyes in Ukraine and abroad are now on the reaction of President Volodymyr Zelenskyi’s team and law enforcement agencies. The resignation of Deputy Defense Minister Vyacheslav Shapovalov was a good start and unprecedented, given that it is unlikely that he was personally involved in the corruption deal. The mid-level employee in charge of the contract was fired. Defense Minister Alexii Reznikov speaks at a parliamentary hearing. The National Anti-Corruption Bureau (NABU) launched an investigation into the case before it became public. If the charges are confirmed, the case will be sent to the Supreme Anti-Corruption Court (SAC).
Reznikov’s subsequent public reaction was less encouraging. Investigative journalist Yuri Nikolov, who exposed the corruption deal, says he contacted both the president’s office and the defense ministry in early January but did not receive a response. After the information became public, Reznikov wrote a post on Facebook in which he spoke of “technical errors” and argued that the leak undermined unity at home and the trust of international partners. Some in the media community worry that the security service may be investigating whether the leak amounts to treason.
Ukraine’s Deputy Defense Minister Vyacheslav Shapovalov resigned on January 24. Photo: AP
Zelensky reassured Ukrainians that this case would be investigated to send a clear signal to everyone. But Ukraine and its partners should watch for actions, not declarations. The country must demonstrate that it can prevent misuse of funds if it is to sustain its war effort. Any sense that Ukraine is returning to the bad old days of widespread corruption will jeopardize the delivery of both economic and military aid.
The good news is that even in times of war, Ukrainian independent media and civil society are working to expose corruption. We can be sure that they will follow the progress of the investigation and court decisions.
As part of the anti-corruption reforms launched after the Revolution of Dignity in 2014, Ukraine established new independent agencies such as NABU and HACC, led by professionals appointed independently of the executive branch. Since then, the Ukrainian pro-reform coalition has worked hard to protect these agencies from undue influence. Loopholes in the health ministry’s system were removed and the digital procurement system ProZorro was created, allowing anti-corruption groups to see all contracts. Most importantly, Ukraine stopped buying Russian gas through private intermediaries, long a major source of high-level corruption.
The Achilles heel of anti-corruption efforts has always been and remains the unreformed judiciary. The creation of an anti-corruption court improved the situation: in 2022 it handed down 33 convictions and transferred more than 1.22 billion Ukrainian hryvnias (£27 million) in recovered funds and confiscated assets to support the armed forces.
But the war also puts new constraints on anti-corruption crusaders. Martial law has restricted access to public information and the government has temporarily suspended public procurement tenders. Secrecy has increased in all parts of government, undermining efforts at transparency. With around 50% of the budget going to defense and security, the risk of misappropriation of funds increases.
So far, Ukrainians trust Zelensky to lead the fight against Russia, but also support external conditionality and oversight of aid and recovery funds. A poll conducted in November showed that 55 percent of Ukrainians believe that reconstruction projects should be overseen by external funding organizations. A whistleblower protection system should also be established to help detect and prevent corruption schemes. Officials accustomed to the old ways must be replaced with new civil servants who will be impersonal and strict in following the rules and sincerely committed to the public good.
Ukraine’s battle with corruption is far from over. However, just as many underestimated the country’s ability to resist Russian invasion, many today miscalculate the strength of its own anti-corruption movement and the scale of change over the past eight years. War-hardened citizens resisting invasion, donating to the armed forces and rebuilding their communities have zero tolerance for corruption. They simply cannot afford public resources to be wasted on enriching immoral officials. They will cheer government officials who fight him.
Add Comment