Ukraine's Central Bank Demands Removal of Ukrposhta CEO Ihor Smilianskyi

Ihor Smilianskyi Declared Professionally Unfit

According to Главком: The National Bank of Ukraine (NBU) has officially deemed Ihor Smilianskyi, the CEO of state-owned postal operator Ukrposhta, as failing to meet professional suitability standards. As a result, the regulator is demanding that the company's leadership be removed within five working days and a replacement appointed within two months. Smilianskyi has announced his intention to challenge this decision in both Ukrainian and international courts, accusing NBU officials of abusing their authority to settle personal scores.

Smilianskyi emphasized that Ukrposhta holds over 2 billion hryvnias in equity and operates profitably. He stated:

“Now, just days before the law takes effect, with Ukrposhta having more than 2 billion hryvnias in equity and turning a profit, the NBU has chosen a more drastic path-firing Smilianskyi.”

The CEO also stressed that the authority to appoint or dismiss a company head rests with the shareholder and the supervisory board, not the central bank.

Fallout and Reactions

The NBU argued that Smilianskyi failed to demonstrate sufficient knowledge of Ukrainian legislation and the regulator’s own regulatory framework. In response, Smilianskyi said:

“I have decided to pursue both those who executed this decision and those who ordered it-in Ukrainian and international courts-for deliberately damaging my reputation.”

Despite the turmoil, Ukrposhta continues to operate normally. Smilianskyi also stated that the situation will be brought to the attention of the European Bank for Reconstruction and Development (EBRD) and the International Monetary Fund (IMF). The regulator’s move could jeopardize the planned creation of a financial inclusion bank, raising concerns among international partners.

This conflict underscores the growing tension between the central bank and the leadership of a major state enterprise, with potential long-term consequences for Ukrposhta and its projects. Smilianskyi’s removal and the ensuing legal battle may draw heightened scrutiny from both domestic and international investors, potentially impacting funding and the rollout of new initiatives. How the situation unfolds-and what steps any new management takes to ensure stability and partner confidence-will be critical going forward.

The ongoing conflict between the National Bank of Ukraine and Ukrposhta's leadership highlights a broader struggle within the country's financial landscape. For further insights into the escalating tensions, including Smilianskyi's rebuttal against the central bank's governor, you can read more about the postal chief's allegations of a personal vendetta.