Ukrainian President Volodymyr Zelensky has initiated the first large-scale reshuffle of his government since Russia invaded Ukraine in February 2022. The restructuring brings significant personnel changes to the Cabinet of Ministers, with new stakeholders now in charge of key policy areas, including foreign affairs, justice, strategic industries, the reintegration of temporarily occupied territories, as well as agriculture and the environment. In office since March 2020, Ukrainian Prime Minister Denys Shmyhal remains in his position.

While President Zelensky argued the reshuffle was necessary to “bring new energy” to Ukraine’s government, some observers are of the opinion that the restructuring, widely expected both domestically and internationally for months, is aimed at creating a more loyal and manageable team within the government.

Several of the newly appointed government officials, including Foreign Minister Andriy Sybiha, Deputy PM Oleksiy Kuleba, Agriculture Minister Vitaliy Koval and Deputy PM – Minister of Justice Olha Stefanishyna, are believed to be closely associated with Andriy Yermak, the Head of the Presidential Office and widely seen as the second most influential public figure in Ukraine (after President Zelensky). As a result, the Government’s dependence on the Presidential Office and Yermak may increase.

As for policy implications, Aretera does not expect considerable changes in Ukrainian state policies. With changes at the leadership of several key ministries, international businesses are advised to strengthen their relationship with the Shmyhal Government.