22 March 2020

France allocates 900 thousand euro to support the corporate governance reform of the state defence conglomerate and its forensic audit.

Ukroboronprom’s Director General Aivaras Abromavicius announced this during the press briefing with Ambassador of France in Ukraine Etienne de Poncins. These funds will be used to pay for the leading international consultants whose level corresponds to Big 4. The system of UoP’s corporate governance will be diagnosed, the necessary documents will be developed to implement corporate governance according to the international standards in all member companies, and the forensic audit will be conducted.

‘Our final goal is to create powerful, politically independent sectoral holdings on the basis of Ukroboronprom’s member companies with a transparent system of governance’, said Abromavicius. He informed that the defence conglomerate had already finished the triage evaluation of the member companies. In other words, the role of all assets for Ukraine’s defence, the current problems, their export and intellectual potential has been defined.

Since 2017 NAKO advocated for evaluation of UoP’s corporate governance and development of recommendations as for the optimal model of corporate governance for the conglomerate and its member companies. Terms of reference which were developed with NAKO’s help became the part of one of 3 lots of the international audit which was initiated by the previous government but de-facto didn’t start until the recent  change of the government.