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EBA Meeting with the Acting Director of the Bureau of Economic Security

28/ 04/ 2023
  The European Business Association held a meeting with Eduard Fedorov, Acting Director of the Bureau of Economic Security (BES).  During the meeting, the business community learned about the essential changes that will take place in the future work of the Bureau of Economic Security of Ukraine, as trust in the Bureau still requires improvement. It was informed that the Bureau has identified 5 key areas (such as tax, customs, financial, etc.) for which risk criteria profiles are currently being developed. The plan is to implement an automated approach for identifying risks, which will help to eliminate manual requests from state officials who may be using their influence to pressure businesses. Additionally, the plan is to gain access to all databases and personal data systems in Ukraine. So that it will be possible to remotely analyze all potential risks without physically visiting the business.  Among the internal issues that the Bureau of Economic Security faces are personnel and material-technical base questions which directly affect the efficiency of the structures work and the creation of economic security in the country. Currently, the agency is staffed at only 20%, with only 8 out of 24 territorial units open, and 800 people have been hired (including 435 from the central office, of which 190 are analysts and detectives). The BES representatives also reported that they plan to actively cooperate with other countries and automate the exchange of information with foreign government agencies. Currently, such cooperation with foreign agencies occurs only upon the request of the BES. As Eduard Fedorov noted, the BESs goal currently is to become an effective analytical body for identifying economic crimes. Therefore, we very much hope that the Bureau will succeed in this, in particular, by demonstrating results in the fight against the shadow economy, absolute intolerance of corruption, and a reasonable personnel policy that provides for the removal of old personnel from the tax police. Furthermore, it is crucial to have an ongoing dialogue with businesses not for formality but to improve performance.

The European Business Association held a meeting with Eduard Fedorov, Acting Director of the Bureau of Economic Security (BES). 

During the meeting, the business community learned about the essential changes that will take place in the future work of the Bureau of Economic Security of Ukraine, as trust in the Bureau still requires improvement. It was informed that the Bureau has identified 5 key areas (such as tax, customs, financial, etc.) for which risk criteria profiles are currently being developed. The plan is to implement an automated approach for identifying risks, which will help to eliminate manual requests from state officials who may be using their influence to pressure businesses. Additionally, the plan is to gain access to all databases and personal data systems in Ukraine. So that it will be possible to remotely analyze all potential risks without physically visiting the business. 

Among the internal issues that the Bureau of Economic Security faces are personnel and material-technical base questions which directly affect the efficiency of the structure’s work and the creation of economic security in the country. Currently, the agency is staffed at only 20%, with only 8 out of 24 territorial units open, and 800 people have been hired (including 435 from the central office, of which 190 are analysts and detectives).

The BES representatives also reported that they plan to actively cooperate with other countries and automate the exchange of information with foreign government agencies. Currently, such cooperation with foreign agencies occurs only upon the request of the BES.

As Eduard Fedorov noted, the BES’s goal currently is to become an effective analytical body for identifying economic crimes. Therefore, we very much hope that the Bureau will succeed in this, in particular, by demonstrating results in the fight against the shadow economy, absolute intolerance of corruption, and a reasonable personnel policy that provides for the removal of old personnel from the tax police. Furthermore, it is crucial to have an ongoing dialogue with businesses not for formality but to improve performance.

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