Magisters Insight Home Magister & Partners Homepage
Magisters Insight: Focus on Ukraine

· December 2007 Newsletter

· After the Elections: The Triumph of Centrism · The Ukrainian Economic Paradox · Ukraine’s New "Orange" Majority Shapes an Economic Blueprint · Spotlight on the Ukraine 3000 International Charitable Foundation · Magister & Partners: A Word from Oleg Riabokon · Changing the Face of Ukraine: How Mergers and Acquisitions Are Driving the Country's Economic Transformation · Magister & Partners Expands Global Reach · Interview with Leonid Kozhara, Member of Parliament, Party of Regions · Interview with Borys Tarasyuk, Member of Parliament, Our Ukraine Bloc · Magister & Partners: Who We Are

Interview with Borys Tarasyuk, Member of Parliament, Our Ukraine Bloc

· printer-friendly version
Borys Tarasyuk
Borys Tarasyuk,
Our Ukraine Bloc

Borys Tarasyuk is a Member of Verkhovna Rada (Parliament) of Ukraine from the Our Ukraine Bloc. He has twice (1998-2000 and 2005-2006) served as Ukraine's foreign minister. He is also the head of the People's Movement of Ukraine (Narodnyi Rukh Ukrainy) party, which is part of the Our Ukraine-People's Self-Defense bloc.

 

Q: What are your party's or bloc's priorities for economic reform after the elections? What key issues are at the top of your reform agenda - e.g. tax reform, deregulation, et al.

A: The main strategic goal of our bloc is bringing the taxation system into order. We must adopt a new tax code which will allow us to introduce civilized game rules for regulating the tax system. It should be modeled in such a way that on the one hand it ensures fairness and meets the needs of national and local budgets, while on the other hand does not become an unbearable burden which impedes economic development.

We will ensure transparent methods of registration of land titles, the right to freely transfer and sell land, and preserve its use for future generations.

At the same time, People's Movement of Ukraine [a party that is part of the Our Ukraine-People’s Self-Defense bloc] will advocate incentives for small businesses. We are convinced that retaining a simplified system of taxation for small business will abet the formation of the middle class, which is the backbone of democracy in European countries.

Q: What is your stance on Ukraine's integration into Euro-Atlantic and global structures such as NATO, the WTO, and others?

A: European and Euro-Atlantic integration, which will establish Ukraine as a country that belongs to Europe, are the cornerstones of Ukraine's national security. The principle of collective defense is one of the key points in the security architecture in Europe and the world. For the Our Ukraine - People's Self-Defense bloc, the issue of NATO membership is one of the main pillars of our foreign policy strategy.

For us, integration with NATO means, first and foremost, adopting European political and socio-economic standards, norms and principles of democracy. For us, membership is a matter of values, and not just related to security of the country, or of our economic or political development.

We realize the task of Euro-Atlantic integration must become the daily focus of officials at all levels of the administration system, and not just of a subset of enthusiasts. We should begin a systematic, gradual and well-planned process of making appropriate legislative changes that would abet Ukraine's Euro-Atlantic integration.

I am convinced that an EU membership for Ukraine, which is supported by the majority of Ukrainian citizens and citizens of EU countries, is not possible without a NATO membership. This is an axiom, and this is the direction in which we need to go.

As far as WTO is concerned, this issue should have been resolved long ago. WTO membership will bring additional $ 25 billion to the state budget within 5 years. That is why the necessity of a WTO membership should not be questioned.

Q: Please comment on key challenges for judicial/constitutional reform in Ukraine.

A: The amendment of the country's Constitution in December 2004 had led to several grave political crises, the latest of which became the reason for early parliamentary elections.

The transformation of the constitutional system was introduced without much thought, under pressure of the circumstances, and with a backdrop of possible civil conflict.

Time has shown that the 2004 amendments to the Ukrainian constitution caused an imbalance in the state system. The branches of power became engaged in attempts to claim additional powers. As a result, we found ourselves in a skewed situation without a reliable system of checks and balances.

It is, therefore, necessary to create mechanisms which will allow for the effective functioning of governmental bodies and will block the usurpation of power which we witnessed in January 2007, when the veto on the Law on the Cabinet of Ministers was overturned.

Another priority is the improvement of the judiciary system. The new parliament will respond to the urgency of passing laws which will help reform the judiciary. It is possible that we will have to revamp the procedure of formation of the Constitutional Court. Some Justices are openly sabotaging its work, which leads to urgent cases gathering dust in the Court's drawers.

Q: What are the prospects for continued economic growth in Ukraine?

A: For the seven years since President Victor Yushchenko launched reforms as then-Prime Minister, Ukraine has shown macroeconomic indicators that are among the best in Europe and the world. At the same time, however, monthly earnings of our doctors, teachers, and artists do not exceed $140-160. How can rapid economic growth co-exist with social standards that are the lowest among the CIS countries? Economic growth means something only if it is working for the people, when every citizen can feel its positive effects.

The prospects of further economic growth in Ukraine will depend largely on strengthening the country’s energy security. This can be achieved via increasing natural gas extraction, introduction of energy-saving technologies in industry, agriculture, and the utilities sectors, use of alternative energy sources, and implementation of high-tech and innovative technologies.

Q: How will your bloc set policies to encourage and increase foreign direct investment into the country?

A: Until recently, the European Union was the biggest investor into the Ukrainian economy. More than 74% of the overall volume of investment came to Ukraine from the EU countries. However, recently, under the Regions-led government, the investment climate has worsened. Uncertainty, constant domestic political fights worsened Ukraine's international image and its attractiveness for investors. So, our main goal will be to renew a positive image of Ukraine as a predictable state where the rule of law is ensured.

Q: How do you propose to address the east-west divide that exists and is exhibited in voting patterns in Ukraine?

A: It is advisable to avoid political speculations over the topic of Ukraine's East-West divide and not to draw any artificial boundaries along the Dnieper River. Instead, it is necessary to unite the Ukrainian people around those issues that will result in internal stability.

I believe that political elites will in the future refrain from politicizing topics that divide the country. The East-West divide did not emerge organically, it is a phenomenon that was developed in the backrooms by political technologists, and these backrooms are not always located in Ukraine.

Our country will be able to fulfill its goals both in domestic and foreign policy if the main political players begin to build a consensus regarding the direction in which Ukraine is heading both internally and internationally. I believe we will be able to reach such a consensus in the very near future.

 

· printer-friendly version