The Ukrainian country profile provides a detailed analysis of the country's corruption situation, but does also dig into Ukraine’s challenges and the effects of these on its business climate throughout its chapters devoted to Business and Corruption and the country's Regulatory Environment in the General Information section. Companies should be aware that Ukraine is currently experiencing civil and social unrest that may pose an obstacle to doing business. Ukraine has in recent years attempted to mitigate corruption through the following initiatives:
- In April 2011, a new anti-corruption law was adopted, introducing a broad list of officials who can be held liable for corruption offences as well as stipulating the limits of gifts which may be given to such persons.
- National and local authorities in Ukraine have developed nearly 200 one-stop shops intended to cut the number of standard company registration procedures.
- InvestUkraine, a non-profit investment promotion agency, was established in August 2005 with the support of the government, intended to function as a parastatal one-stop shop for investors. The agency hosts networking conferences and events and has developed a wide range of partnerships with international donors and organisations as well as domestic organisations working with anti-corruption.
However, the government still faces challenges in curbing this phenomenon, including:
- On a more general level, entering the Ukrainian market will almost always require local agents or consultants who can facilitate making the necessary connections or market entry, and some of these third parties might use monetary or other inducements as a method of operation.
- Dispute settlement is reportedly weak, unfair and biased, and companies have little faith in the judiciary's ability to work with vague laws and regulations that leave ample room for subjective interpretation and corruption to occur.
- Several sources point out that Ukrainian laws and regulations are generally vague, giving public officials considerable room for interpretation and providing them with plenty opportunities for corruption.
- In 2011, Groupe of States Against Corruption (GRECO) noted Ukraine's failure to establish legislative support for the fight against corruption and nonconformity with European anti-corruption standards. Ukraine became the first participant of the European Anti-corruption Initiative, where the experts downgraded the degree of fulfilment of several GRECO recommendations.
An extensive description of the levels of corruption within Ukraine’s institutions and sectors are outlined in the profile's Corruption Levels. To counter these challenges the government has established effective mechanisms to investigate corruption. Nevertheless, the country still struggles with official corruption and impunity. For a more detailed analysis of the Ukrainian government and civil society achievements in the fight against corruption visit the Public Anti-Corruption Initiatives and Private Anti-Corruption Initiatives chapters.