Presentation of the research “The analysis of expenditures of the defence sector in Ukraine: 2006-2016” in the National News Agency of Ukraine – Ukrinform
The presentation of the research “The analysis of expenditures of the defence sector in Ukraine: 2006-2016”, which was held by the PhD in Economics, co-founder of the International Center for Security and Defence Strategies Yuriy Husyev (the Deputy Minister of Defence of Ukraine 2015-2016) on the request of the Financial and Economic Analysis Office in the Verkhovna Rada of Ukraine took place on October 20, 2017 in the National News Agency of Ukraine – Ukrinform. The research can be downloaded by the link: https://feao.org.ua/news/defense-sector-expenditures/?lang=en
Organizer of the event – The Ministry of Information Policy of Ukraine. Participants in the discussion of the research were: Dmitry Zolotukhin, the Deputy Minister of information policy of Ukraine; аdmiral Igor Kabanenko – the Deputy Minister of Defence of Ukraine (2014), the co-founder of the International Center for Security and Defence Strategies; Archil Tsintsadze – the advisor to the Prime Minister of Ukraine and the Minister of defence of Ukraine on issues concerning defence reform; Olena Tregub – the Head of the Secretariat of the Independent Defence Anti-Corruption Committee; David Arakhamia – the co-chairman of the Council of Volunteers of the Ministry of Defence of Ukraine.
Participants discussed the following important issues of the defence sector: control over the use of funds (their constant monitoring and control of the public sector), measures of increasing the military support, defence budget detaling and world experience in defence sector budgeting.
During the discussion, it has been identified the problems, which exists in the defence sector. They include: the excessive secrecy of public procurement (the definition of the state secret notion is often incomprehensible in legislation, which often leads to subjective and biased management decisions and, as a result, to corruption); “the covert expenditures” for the purchase of military equipment and weapons (such purchases is usually carried out without tendering, thereby creating corruption risks); the disbalanced normative base of the number of military personnel (their staffing is not clearly defined) and units of the military equipment.
In the above-mentioned research, conducted by Yuriy Husyev on the request of the FEAO, you will find out about the effectiveness of planning and using of the expenditures from the state budget for defence in the process of reforming the Armed Forces of Ukraine and conducting the antiterrorist operation in the East of Ukraine. It provides the financing of the Armed Forces of Ukraine before 2006 and in 2006-2016 in details and the financing of the Ministry of Defence of Ukraine in the context of separate budget programs (programs that are funded continuously and programs, funded within one or two years).
The results of research are the basis for the development of recommendations for improving the efficiency of public authorities in the process of budget planning and using of funds for the defence of the state.