Transparency International Ukraine urges the Verkhovna Rada of Ukraine to promptly adopt a new, fair competitive process for appointing members to the Accounting Chamber. Following this, we recommend electing the remaining members along with the chairman without delay.
Despite warnings from both the public and international partners, the Verkhovna Rada proceeded to vote on December 21 to designate four new members to the Accounting Chamber.
The selection procedure was weak, with nearly all candidates unable to adequately demonstrate compliance with the level and requirements of the position during interviews. Therefore, this competition can be considered purely formal, lacking in its primary objective of selecting professional and ethical candidates.
The selection was closely monitored by Ukraine’s international partners. G7 ambassadors cautioned against rushing to new appointments. They insisted on adopting new Accounting Chamber legislation that clearly outline the methodology and criteria for member selection. They also warned that the appointment of officials before the adoption of the law on reform will undermine trust to the Accounting Chamber as an institution responsible for overseeing international aid.
The need to strengthen the independence of the Accounting Chamber was also emphasized by European Commission in its report. They also pointed out that new legislation must be adopted as soon as possible.
A transparent, independent, and competitive selection to the Accounting Chamber with verification of the competence and integrity of candidates is included in the list of priority reforms from the USA.
“Yesterday, the Verkhovna Rada designated individuals to oversee the efficiency of budget expenditures and international aid, chosen through an ineffective and purely formal process. Such actions not only fail to diminish the array of challenges the country faces but also cast doubt on the intention to reform the top audit institution,” remarked TI Ukraine’s Executive Director Andrii Borovyk.
Now the contest continues for another 7 positions of Accounting Chamber members which will become vacant in March 2024. Hence, updating the Accounting Chamber legislation, approving a new selection procedure, and restarting the competition is necessary by that time. We further implore the Chair of the Verkhovna Rada to refrain from nominating a candidate for the Accounting Chamber Chairman’s appointment and to await the selection under the new procedure.
There’s no time to waste in implementing this reform and ensuring the effectiveness of the Accounting Chamber. Otherwise, there will be no effective audit of public funds in Ukraine for the next six years.
For reference:
The Accounting Chamber oversees the reception and utilization of state budget funds. The AC is also expected to be a key audit body for the use of international aid funds. The AC comprises 13 members who serve a term of six years upon election.
Such actions not only fail to diminish the array of challenges the country faces but also cast doubt on the intention to reform the top audit institution
Andrii Borovyk
