Ukraine's Economic Security Bureau: A Stealthy Weapon Against the Shadow Economy

Ukraine's Economic Security Bureau (ESBU), led by Oleksandr Tsyvinskyi, seeks resources to combat a vast shadow economy, crucial for EU membership. Despite war pressures, funding remains unchanged in the 2026 budget. Levelling the business field could boost economic growth and reduce reliance on foreign aid.

Ukraine's Economic Security Bureau is calling for more resources to effectively tackle an untaxed shadow economy that could be worth up to $24 billion. As Ukraine heavily relies on tax revenues to support its war effort against Moscow and rebuilds its economy for EU membership, strengthening this bureau is crucial.

Oleksandr Tsyvinskyi, the agency's director, highlighted the challenges faced by the understaffed and underfunded agency. 'For many countries, paying taxes is about welfare; for us, it's survival,' he remarked, emphasizing the critical role of tax collection in Ukraine's future.

The 2026 budget draft shows no significant change for the ESBU's funding, despite increased allocations for other agencies. Tsyvinskyi promises a crackdown on tax evasion and insists that a successful ESBU means a thriving business environment and reduced foreign borrowing.