Thursday, April 14, 2016

The Toxic Coddling of Petro Poroshenko


For the few people out there who think that the resignation of Ukraine Prime Minister Arseniy Yatsenyuk will stop the ongoing slide in Ukraine toward political crisis, let’s clear something up: It won’t. In fact, the most likely outcome is that the country will continue on its trajectory toward chaos. The man at the center of Kiev’s problems, President Petro Poroshenko, still refuses to combat the endemic corruption that infuriates Ukrainians and strangles their economy. And thanks to the West, which continues to back him, Poroshenko is more deeply entrenched in power than ever before.

It’s not that Yatsenyuk wasn’t a problem: The fluent English speaker, who was favored by Washington and the International Monetary Fund, has faced plenty of scandals and accusations of being in league with Ukraine’s old oligarchical class. His attempts to implement IMF-mandated reforms have done little except hurt his approval ratings.

But Yatsenyuk’s poor performance as prime minister is not what triggered this crisis. It began back in February, with the resignations of two respected high-profile reformers: Economy Minister Aivaras Abromavicius and Deputy Prosecutor-General Vitaliy Kasko, who said they could no longer stand by as reform efforts continued to be systematically blocked by figures in Poroshenko’s inner circle. “The deeper our reforms, and the deeper our progress, the more pressure we had to endure,” Abromavicius wrote, in a scathing resignation letter. “Lawlessness, not the law, rules here,” Kasko added for good measure.

The resignations came as bombshells, and things spiraled from there: Serhi Leshchenko, a respected anti-corruption crusader and member of parliament, revealed in a March 16 interview that on several occasions Poroshenko had pressured him to avoid criticizing Viktor Shokin, Ukraine’s reviled prosecutor-general, because Shokin was “part of the family.” 

Then, in late March, Poroshenko’s party used a new law to expel two members of parliament who had publicly accused the president’s allies of corruption. And although the president finally fired Shokin, the disgraced prosecutor’s last act in office was to get rid of David Sakvarelidze, another deputy prosecutor who said that Shokin had personally stymied his efforts to root out corruption.

These, along with other revelations of corruption and intimidation, paint a sobering picture: When it comes to Kiev’s inability to battle the endemic corruption crippling the country, Poroshenko and his inner circle are part of the problem.
The desire to change one person blinded politicians,” Yatsenyuk said in his resignation speech on Sunday. He’s a crook – but on this, at least, he’s right.

Poroshenko — a billionaire with a decades-long track record of being neither reliably pro-Russian, nor pro-Western, but pro-his own money – has lost whatever little credibility he may have once had as a reformer. Perhaps if Yatsenyuk was being replaced by an independent outsider, the new prime minister could have revived the moribund reforms process. American-born Minister of Finance Natalie Jaresko, who is highly regarded by U.S. and international entities for her work in restructuring Ukraine’s debt and other measures was at one point said to be a leading contender for the role. 
Now, however, all signs indicate that Volodymyr Groysman, speaker of the parliament, will become the new premier. Unlike Yatsenyuk, whose People’s Front party is independent from Poroshenko’s, Groysman is widely seen as little more than the president’s protégé. The net result is not a restructuring but a consolidation of power, with Poroshenko placing a loyalist in the prime minister’s seat.
The legacy of the Poroshenko-Yatsenyuk government is a sordid record of resisting reforms in ways big and small. As U.S. Assistant Secretary of State Victoria Nuland stated in her March 15 Senate testimony, they leave behind the very real risk that Ukraine will begin “sliding backwards once again into corruption, into lawlessness, into vassal statehood.” It’s hard to imagine a Poroshenko-Groysman (read: Poroshenko-Poroshenko) government would do any better. The only chance at meaningful change for Ukraine now has to come from the outside.

Up until now, the West has resisted pressuring Kiev. Poroshenko’s March 31 trip to Washington is a case in point. At the time, Ukraine’s president was having a horrible week: It began with an uproar over Shokin’s sacking of Sakvarelidze. It ended with protesters burning tires on the streets of Kiev, after the Panama Papers leak revealed that Poroshenko was busy setting up offshore accounts the same day Ukrainian soldiers were dying in a heated battle with Russian-backed separatists.

In between those two disasters, Poroshenko had lunch at the White House, where he was handed $335 million and the promise of $1 billion more in the near future.

Poroshenko’s power lunch is the latest iteration of what is by now a predictable pattern. Every few months, new corruption allegations rock the government; Western diplomats fly in to issue rebukes and pleas for Ukraine’s leaders to think of their people; Kiev promises to do better; the West relents. In the meantime, reforms stagnate, the grip of the oligarchs tightens, and the Ukrainian people grow even more disillusioned.


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