Corruption risks while limiting the circulation of medicatesduring a Martial law: How one law can destroy the health of millions of Ukrainians

18.11.2022
Corruption risks while limiting the circulation of medicatesduring a Martial law: How one law can destroy the health of millions of Ukrainians
On May 22, 2022, the Verkhovna Rada of Ukraine accepted the Law of Ukraine «On corrections to the Law of Ukraine «on Medical Drugs» concerning limitation of circulation of medicines, production of which is located on the territory of the russian federation or republic of belarus, and also on export of medical drugs from Ukraine» (the Law). Its goal is to limit the circulation of medicines in Ukraine, the production of which is at least partially located in the Russian Federation or Belarus, so that the world will also refuse these supplies. At the same time, despite the proper goal, the Law contained unclear reasons for limiting the circulation of medicines. As a result, under the slogan of fighting medicates that produced in russia can now ban European medicates, which provide more than half of the Ukrainian market of health-critical medicates. National Agency on Corruption Prevention (NACP) analyzed these changes to the Law and prepared an individual examination «Corruption risks during limitation of medicate circulation in the conditions of martial law», where has identified a number of corruption risks that can lead to catastrophic consequences if the situation does not change. What corruption risks did NACP detect?
  • Lobbying interests of certain firms because of the conflict of interests among members of the Commission of the Ministry of Health of Ukraine (MOH).
  • An unreasonable approach to the choice of pharmaceutical companies to stop the circulation of their medicines.
  • Manipulation of criteria to stop the registration of medicate certificate and remove pharmaceutical companies from the market.
  • Falsification of data on readiness to meet the needs of the country in medicine.
  • Absence of a defined procedure for renewal of registration certificate of a medical device as a possibility of corruption abuses.
  • The closure of the procedure of stopping the circulation of medicates.
Non-transparency of involvement of professional associations, institutions and organizations in membership of the Commission. Let's consider the situation on the example of a corrupt formal who can use these risks for profit. Formal A receives money for lobbying the Pharma Company B. Involves the Ministry of Health, which determines who to annul the registration of medicate certificate, representative of a company as a member of an association (to increase the influence of decision-making in favor of this firm). In addition, the Pharma Company can simply offer a Formal A list of medicines, licenses for which should be annulled. Without clear criteria and open procedures, through which certain companies can get rid of licenses, it can be done with almost all producers in favor of Ukrainian pharmaceutical businesses. What consequences do Ukrainians expect if these risks are not eliminated? Exit of foreign pharmaceutical manufacturers from the market segment of Ukraine will have a number of negative consequences. In particular:
  • patients may not get essential medicines: in addition to corruption and economic risks, the corresponding changes to the legal acts can cause difficulties of access of ukrainians to treatment, as well as the complete absence of essential medicines;
  • loss of budget funds when purchasing medicines: lack of competition during public procurement will lead to price distortions and, accordingly, to unjustified budget spendings;
  • the quality of medicines can deteriorate: an amount of medicates have a few analogues, so the exit of European pharmacological companies from the market will lead to a lack of competition;
  • incomes to the budget of Ukraine will decrease: large multinational companies will reduce resources in Ukraine;
  • people lose their jobs: international pharmaceutical giant companies have large teams in Ukraine, restrictions in the circulation of medicines will affect the staff, most of whom will lose their jobs during the war;
  • medicates will become more expensive: lack of competitors will inevitably lead to uncontrolled growth of paint prices in retail outlets;
Learn more via the link: https://nazk.gov.ua/wp-content/uploads/2022/11/Doslidzhennya_likarski_zasoby_final.pdf
[pdf-embedder url="https://nazk.gov.ua/wp-content/uploads/2022/11/Doslidzhennya_likarski_zasoby_final.pdf" title="Дослідження_лікарські_засоби_фінал"]
Corruption risks while limiting the circulation of medicatesduring a Martial law: How one law can destroy the health of millions of Ukrainians
Corruption risks while limiting the circulation of medicatesduring a Martial law: How one law can destroy the health of millions of Ukrainians

Latest News

15.10.2025
18:30
Head of the NACP at the OGP: Ukraine demonstrates that even in times of war, it is possible to implement innovative accountability mechanisms to strengthen integrity
15:18
Transfer of Ministry of Defense of Ukraine developments to verified companies for serial production: government approves resolution taking into account all NACP recommendations
12:15
NACP at the Donbas Media Forum: transparency of reconstruction and the role of investigative journalism in the regions
14.10.2025
18:15
Road salt with a markup of UAH 2 million: law enforcement officials notify a Kyiv city state administration officer of suspicion based on NACP materials
16:15
Changes to the procedure for full audit: what now counts as “false” and “inaccurate” information, new grounds for suspension and termination of audit, protection of declarants’ rights
11:30
Ukraine improves mechanisms for preventing conflicts of interest and financial control instruments - OECD assessment results
11:28
Subject of lobbying: what a lobbyist can influence and what exceptions are provided
13.10.2025
15:30
NACP presents the strategy for the development of integrity in education for 2026–2030
09.10.2025
20:30
The NACP presented Ukraine’s progress in the field of corruption prevention to the PACE Monitoring Committee
18:23
The Open Government Awards recognized NACP for developing a comprehensive system for implementing the Anti-Corruption Strategy and Information system for monitoring the implementation of the state anti-corruption policy
12:55
Anti-corruption expertise: NACP provided recommendations to eliminate corruption risks in the fields of defense, regional development, construction and law enforcement
08.10.2025
15:38
Transparency Register: the most popular lobbying areas are economic development, regulatory, legal, financial, tax, and customs policies
06.10.2025
17:24
Lifestyle Monitoring: Results for the Third Quarter of 2025
03.10.2025
16:01
OECD monitoring team noted Ukraine’s progress in the field of anti-corruption policy – report details
15:30
Results of control over the completeness of declaration filing: violations of financial control requirements totaling over UAH 180 million were identified
02.10.2025
17:45
MPs as sole proprietors: NACP revealed numerous violations in declarations amounting to tens of millions of hryvnias
17:30
Lifestyle monitoring: nearly UAH 3 million may be recovered to the state from an official of the Strategic Investigations Department in Odesa region
17:15
Who cannot be a lobbyist in Ukraine: restrictions of the Law “On Lobbying”
15:00
Victor Pavlushchyk: Political neutrality of the NACP is the key to the trust of citizens and international partners
30.09.2025
18:30
Hromadske, in cooperation with NACP and EUACI, released a documentary film about anti-corruption in Ukraine
Чат-бот Telegram
contact center
Чат-бот Telegram
Contacts
+38 (044) 200-06-94 info@nazk.gov.ua
працює з 9:00 до 18:00
Технічна підтримка
support@nazk.gov.ua