Khoroshkovky

There are a number of speculations regarding the implications of the appointment for the current cabinet of ministers and the economy. Khoroshkovky effectively replaces a close ally of Azarov, the current prime minister. As such, the move could potentially be a beginning of a government reshuffle preparing the grounds for an eventual Azarov’s resignation. It could be very convenient to use the prime minister as a scapegoat for Ukraine’s deteriorating economic situation, especially ahead of the October parliamentary elections and in light of falling popularity of the ruling Party of Regions (PR). In terms of structural reforms, the State Tax and the State Customs authorities could be brought under the Ministry of Finance to unify the public finances in the country. The concentration of all country’s financial streams may prove to be beneficial for the government ahead of the parliamentary elections, but detrimental in the long run as a potential source of power abuse and corruption.

However, only time will tell how realistic these speculations are. Nevertheless, the appointment of Khoroshkovky does not represent any essential change, but rather a shift within the ruling elite.