IMF demands full launch of e-asset declaration in Ukraine, report says

Ron van Rooden, the chief of the IMF mission to Ukraine, sent on Aug. 16 a letter to Ukraine’s top officials demanding the full launch of an electronic system of asset and income declaration of state officials, the eurointegration.com.ua news site reported on Aug. 18, citing anonymous sources. “Without certification, the system is considered as non-working and does not correspond to commitments under the IMF-supported program,” said the letter, as reported by the site.

Recall, Ukraine’s National Corruption Prevention Agency launched on Aug. 15 a system of electronic asset declaration, but another state body refused to grant it a security certificate. The system’s lack of certification means that state officials who provide false or incomplete information can’t be prosecuted based on what they’ve submitted.

Following a critical letter from the EU Delegation to Ukraine, the president called a meeting of key officials on Aug. 17  at which it was decided the system will be certified, as reported by Nataliya Korchak, the head of the corruption prevention agency. She confirmed the next day the system will be fully functional as of Sept. 1, after which state officials – both elected and appointed – will submit their information and will be held fully responsible for its completeness.

Alexander Paraschiy: These reports suggest that the IMF will wait until the system’s complete launch before scheduling a board meeting to decide on releasing the third tranche of its loan program with Ukraine. That means Ukraine can get a positive decision from the IMF no earlier than mid-September. It’s not clear also whether other outstanding issues with the IMF exist that may postpone its decision even further.