Leadership Reshuffle Across State-Owned Companies
Dmytro Natalukha, head of Ukraine's State Property Fund (SPFU), has announced a sweeping renewal of management at state-owned enterprises following a comprehensive audit. During his first four-plus months in office, roughly 40 new executive positions were advertised, and about 20 new directors were appointed. The changes affect both CEOs and supervisory board members. Natalukha noted that some companies had gone years without forming supervisory boards, which hindered effective oversight.
Audit Findings Reveal Deep-Rooted Problems
The audit uncovered that 70–80% of state enterprises are non-viable and likely should be shut down.
“We calculated: illiquid state enterprises whose operations should probably be terminated – about 70-80%,”Natalukha commented. These figures underscore an urgent need to restructure how state assets are managed.
Inventory checks also revealed instances where private individuals were using state enterprise facilities without formal agreements.
“On the ground, we’re finding extra capacity being used not by the enterprise but by some private individuals, sometimes even without formal contracts,”the SPFU head said. This raises serious concerns about the efficiency of state resource utilization.
Natalukha emphasized that personnel changes were one of the first priorities after analyzing the condition of state assets. The key metric for evaluating new managers will be their ability to meet financial targets. The SPFU team conducts regular on-site inspections and detailed asset inventories to assess performance. Some managers are kept in place if their enterprises show positive results.
Through these efforts, the SPFU is actively working to revamp the management structures of state-owned enterprises, aiming to boost both efficiency and liquidity.
This leadership overhaul at Ukrainian state enterprises reflects broader public-sector reform trends, where transparency and managerial accountability are increasingly prioritized. Given the high proportion of non-viable companies, these personnel changes may be a first step toward more rational use of state resources and improved economic outcomes. The success of new managers will be judged by their financial plan execution, potentially leading to more effective asset management in the future.
As the overhaul of leadership at state-owned enterprises unfolds, the findings from recent audits highlight a pressing issue within Ukraine's economic landscape. Notably, a staggering majority of assets managed by the State Property Fund are classified as non-liquid, raising questions about the viability of existing enterprises. This situation necessitates a thorough examination of asset management practices to ensure that state resources are utilized effectively.