Yanukovych names Poroshenko Economy Minister

President Viktor Yanukovych signed a decree on Friday appointing Petro Poroshenko Ukraine’s Minister for Economic Development and Trade. Poroshenko said, via Facebook, his initiatives in the position would include: a transparent and simplified public procurement system, open database of statistics, financial plans and disclosure of financial statements for state-owned enterprises, and a range of activities to protect local businesses and businessmen. Poroshenko has headed the Council of the National Bank of Ukraine since 2007. He made Forbes’ list of billionaires for the first time this year, with a USD 1.0 bln net worth. His business assets include the Roshen confectionary and the Fifth TV Channel. Poroshenko succeeds Andriy Klyuev, who was dismissed from the position in mid-February.

Brad Wells: Negotiations with Poroshenko have taken at least more than a month (he was first announced as a candidate for the post in mid-February), with likely sticking points being the actual scope of his powers and reform initiatives. We are cautiously optimistic about the appointment of Poroshenko, an investor-friendly and market-oriented politician, but question the prospects for his planned reforms. With a parliamentary election coming in October, Yanukovych & the government have actively avoided rocking the boat, shunning unpopular and controversial reforms, and instead focusing on a wave of increases in social spending and benefits.