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Ukraine to slash government costs and redirect funds into weapons, Zelenskyy says

Ukraine to slash government costs and redirect funds into weapons, Zelenskyy says Photo: Ukrainian President Volodymyr Zelenskyy (Vitalii Nosach, RBC-Ukraine)
Author: Bohdan Babaiev

Ukraine is preparing a major transformation of its executive branch. The plan includes cutting costs for maintaining the government apparatus, deregulating, and directing more resources toward national defense, Ukrainian President Volodymyr Zelenskyy said.

On July 13, Zelenskyy held a meeting with Ukraine's Prime Minister Denys Shmyhal. They discussed further strategic steps during the session.

"We must implement all planned decisions to support and protect entrepreneurship in our country, as well as scale up domestic weapons production programs," the president said.

Zelenskyy explained that it is important to audit all agreements with partners. This includes defense packages, investment decisions, and arrangements supporting Ukraine’s energy and social stability.

"We are also preparing a substantial governance transformation. This will allow us to reduce the cost of maintaining the government bureaucracy, ensure significant deregulation, and direct the maximum available resources toward the defense of Ukraine and its people. We are currently defining the future configuration of the executive branch," he added.

Yesterday, Zelenskyy met with Ukraine's Minister of Defense Rustem Umerov. Notably, he announced upcoming reshuffles in the Defense Ministry afterward.

This statement comes amid rumors that Umerov might replace Ukraine's Ambassador to the US, Oksana Markarova, who is leaving her post.

In recent days, discussions have intensified over who will succeed her.

President Zelenskyy recently hinted that the current Minister of Defense, Rustem Umerov, could lead the Ukrainian embassy in Washington.

He added that if this decision is made, Ukraine will face major personnel changes in the Cabinet of Ministers.

Earlier, sources speaking to RBC-Ukraine named other candidates. Besides Umerov, potential nominees for the ambassador role include Prime Minister Denys Shmyhal, Deputy Prime Minister Olha Stefanishyna, and Energy Minister Herman Halushchenko.

According to an informed source cited by RBC-Ukraine, appointing Umerov as ambassador to the US could trigger a rapid government reshuffle.