Zelenskiy dismantles anti-corruption independence in power consolidation push

UKRAINE - In Brief 23 Jul 2025 by Dmytro Boyarchuk

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President Volodymyr Zelenskiy has behaved poorly in recent weeks. The President’s Office (through the Cabinet) derailed the reboot of the Economic Security Bureau of Ukraine (ESBU) by rejecting an independent candidate selected by a commission that included international experts. The ESBU reboot was considered a key reform aimed at tackling large-scale tax evasion and eliminating law enforcement pressure on businesses. The President’s Office apparently opposes appointing an independent figure who could disrupt the “business as usual” approach and threaten the schemes it allegedly protects. Moreover, many observers suggest that Zelenskiy’s control over the ESBU keeps businesses on a short leash—an extremely useful tool for exerting influence, particularly ahead of potential elections. Additionally, the authorities have openly refused to overhaul the State Customs Service—one of the most rent-seeking institutions and a key player in large-scale tax evasion schemes. Initially, the President’s Office agreed to the reform, and new legislation was adopted, providing for an independent selection commission with international experts holding decisive votes. But then the “dance” began: President Zelenskiy appointed the Head of the State Post Office Ukrposhta, Igor Smilyanskiy, to oversee the process. Later, the Cabinet pushed the IMF to extend the reform deadlines. In political circles, it is widely believed that the President’s Office does not want to lose control over the customs cash flows and will never fully accept the overhaul being pushed by international financial institutions. The final blow came with the lightning-fast removal of independence from the National Anti-Co...