PM Shmyhal: Ukroboronprom should be brought to a global level

21.08.20
PM Shmyhal: Ukroboronprom should be brought to a global level

As part of the reform, the debts of State Concern “Ukroboronprom” should be cleared and the concern needs to be brought to a global level.

"The debts of enterprises need to be cleared. The enterprises should be given proper management and brought to a global level. The task is not difficult technically but requires strong political will. The defense industry is always a level of government cooperation and governance, such a model is accepted all over the world," Prime Minister of Ukraine Denys Shmyhal said in an interview with Ukrinform.

According to him, the state has not recently had a full understanding of what is happening with the concern and there has been no control. The incumbent authorities want to bring the defense enterprises to the level of world standards as there is a global demand for Ukrainian products. "The matter is that we should be able to satisfy it qualitatively and in time. In addition, domestic production and defense orders must also change qualitatively," the Prime Minister stressed.

PM Shmyhal: Ukroboronprom should be brought to a global level

It is necessary, he added, to transform the concern according to a sectoral principle and properly organize the management of its enterprises. "Strategic innovative enterprises have no orders, income, and salaries, serving some private corrupt interests. Is it possible elsewhere?" he stressed.

Earlier, Vice Prime Minister - Minister of Strategic Industries of Ukraine Oleh Urusky explained that Ukroboronprom would be divided into six independent clusters – vertically integrated corporations that will develop separate areas of research, development, production, and sale of defense products.

According to Urusky, the Ukroboronprom will get new management in the near future.

Lithuanian Aivaras Abromavičius received Ukrainian citizenship in 2014 and was appointed as the Minister of Economic Development and Trade. In June 2019, he became a member of the Supervisory Board of Ukroboronprom. In September 2019, Abromavičius occupied the position of the Director General of the State Concern “Ukroboronprom”.

The State Concern "Ukroboronprom" unites more than 100 state enterprises in 5 major defense industry sectors, particularly in armament and military equipment development and manufacture, scientific research and export-import operations.

"Ukroboronprom" has more than 10 design bureaus, engaged in development, design and research, enabling State Concern to implement new solutions and innovations.