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2015, Ukraine’s parliament changed the legislation at the demand of the IMF in February 2016 to improve for the future the process for selecting the SAPO head. This suggests that not all observers, as alleged in the statement by Zelenskiy’s office, were happy with the selection process by, which Kholodnytsky was appointed.”
“Based on the political patterns demonstrated by Zelenskiy and Yermak, they are seeking to appoint a loyal SAPO head, for, which a nominating committee under their control is essential. (In this sense, Poroshenko demonstrated a higher standard in governance in allowing the selection of Kholodnytsky, who was not under his control. Or at least not initially.),” Paraschiy added. “At the same time, both the EU delegation and US embassy in Ukraine have issued statements that they will closely monitor the selection process and won’t tolerate a SAPO head nominee that doesn’t meet the position’s high criteria. Needless to say, the selection of SAPO head is likely to become the key factor that will determine the future of Ukraine’s financial support from the IMF and the EU this year.”
2.8 ​Politics - misc
China’s Skyrizon company has notified Ukraine’s Justice Ministry that it intends to start international arbitration against Ukraine over access to the Motor Sich aircraft engine factory​, reports UNIAN. Noting that it bought 56% of Motor Sich shares in 2016, Skyrizon is demanding $3.5bn in damages for being unable to enter the factory complex for the last four years. Skyrizon argues that moves by Ukraine’s State Security office and Anti-Monopoly Committee violate the China-Ukraine investment protection treaty adopted by both countries in 1992.
Former Finance Minister Oleksandr Danilyuk has been elected chairman of the supervisory board of the National Depository of Ukraine. ​The State Securities and Stock Market Commission licenses that the Depository to carry out clearing and settlement of securities in Ukraine.
Several Ukrainian politicians, including President’s Office Head Andriy Yermak, have called for the resignation of Vitold Fokin from the Trilateral Contact Group ​to resolve the war in Donbas after his latest reckless statement. The 87-year-old former Donbas factory manager, who served as the first prime minister of Ukraine, told a Sept. 29 parliamentary committee meeting that he didn’t see the war in Donbas as being between Russia and Ukraine, undermining the foundation of the Ukrainian government’s narrative, as well as the fundamental reality of the situation.
Anders Aslund a Swedish economist and a Senior Fellow at the Atlantic Council, has quit as independent board member of​ ​Ukrzaliznytsia (Ukrainian Railway) complaining he was not paid and his advice ignored. Ukrzaliznytsia is the nation’s largest employer – 250,000 people – and the transportation workhorse that moves most of the Ukraine’s grain and metals to the Black Sea ports. Despite this key economic role, Aslund writes: “The government [does not] give Ukrzaliznytsia reasonable regulatory or financial conditions to modernize and become efficient (unjustified land tax, tariffs set far under cost level, insistence on massive overstaffing, etc.). These circumstances leave the company in a precarious financial situation.”
15​ UKRAINE Country Report​ October 2020 ​ ​www.intellinews.com