Ukraine plans to reform state defense conglomerate

Ukrainian President Petro Poroshenko has instructed to organize a meeting of the National Security and Defense Council (NSDC) to discuss the reform of the country’s state defense conglomerate Ukroboronprom, the presidential press service said on Monday.

The meeting could take place as soon as March 6, said a statement on the presidential website.

According to the statement, the planned reform of the Ukroboronprom is aimed at enhancing the conglomerate’s transparency and expanding governmental, parliamentary and public control over the defense sector activities.

Poroshenko instructed Oleksandr Turchynov, head of the NSDC, to hold necessary consultations with Ukraine’s foreign partners over the issue.

Ukroboronprom, established in 2010, includes some 130 enterprises from various sectors of Ukraine’s defense industry. Since 2014, the conglomerate has supplied the Ukrainian armed forces with more than 25,000 units of new and modernized weapons and military equipment.

Some local experts believe that the announced reform of the Ukroboronprom could be related to a recent corruption scandal in the conglomerate.

Last month, local media outlet “” issued an investigation claiming that Ukroboronprom enterprises purchased components for producing goods at highly inflated prices. The press service of the conglomerate said that journalists did not indicate their sources and used the manipulative approach in their investigation.