Ukraine’s Decentralisation Reforms and the Path to Reconstruction, Recovery and European Integration

Abstract

The twin concepts of territorial cohesion and competitiveness have underpinned European integration and are fundamental to the development of robust democracies. They speak to the importance of reducing territorial inequalities and ensuring that all places deliver good livelihoods and well-being. Governments can strengthen subnational capacities to help deliver on these objectives through administrative, fiscal and political decentralisation and regional development. Driven by a strong, community-oriented social foundation, Ukraine has pursued this path. Since 2014, it has embarked on ambitious decentralisation, anti-corruption and regional development reforms, and progress has been made in a number of areas, such as service delivery, municipal finance and decision-making. Russia's full-scale invasion that began in February 2022 has disrupted the reforms and led to massive destruction, especially in Ukraine's eastern regions. Here I argue that the continuation of these reforms is critical for democracy, reconstruction, recovery and eventual European integration and that the future of the global order rests not just upon the success of countries but also on their constituent regions and communities. The international community has a central role to play in supporting such a place-based approach to territorial development.