Ukraine’s new prime minister: will Yuliia Svyrydenko reboot the cabinet?

Politics
18 July 2025, 18:00

This political summer in Ukraine broke with tradition: instead of the usual seasonal lull, July began amid a wave of personnel upheaval sparked by a Cabinet reshuffle. While there were no plans to overhaul the entire government, Prime Minister Denys Shmyhal was indeed on his way out. Having held the position for over five years, Shmyhal was Ukraine’s longest-serving prime minister, with talks of his replacement emerging every summer for the past four years.

Interestingly, the idea of replacing Shmyhal with First Deputy Prime Minister and Economy Minister Yuliia Svyrydenko had already been raised last year, only for President Zelenskyy to veto the move at the time.

That “prediction” has now come true. The news cycle continues to swirl around Svyrydenko — Ukraine’s new prime minister — who remains the focus of intense attention. Yet, she has not (at least not yet) achieved the kind of fervent popularity once enjoyed by Ukraine’s other female prime minister, Yulia Tymoshenko.

Story behind the government reshuffle

Pro-government MPs have offered vague and unconvincing reasons for replacing the head of government and reshuffling the Cabinet, suggesting the move was more about creating the appearance of action than a genuine reset. Among the explanations floated are a loss of parliamentary support for the government and economic setbacks.

Political analysts see Denys Shmyhal’s dismissal as an attempt to deflect mounting public frustration away from the president. As the war drags on and each fresh wave of Russian missile attacks on Ukrainian towns and villages deepening public discontent, the reshuffle appears aimed at shoring up confidence in the government.

On July 17, the Verkhovna Rada approved Yuliia Svyrydenko as the new prime minister. Reportedly, her was the only candidacy considered for the post.

Independent ‘Yermak’s figure’

Ukraine’s new prime minister, Yuliia Svyrydenko, is widely viewed as a technocrat trusted by Western partners and respected within the business community. Experts suggest her appointment signals to the IMF, the EU, and the U.S. that Ukraine is ready to embark on a new wave of economic reforms. Analysts also predict that under Svyrydenko’s leadership, the Cabinet will gain fresh momentum in key areas such as digitalisation, deregulation, and the expansion of public-private partnerships.

President Volodymyr Zelensky has said that Svyrydenko is expected to “significantly update the work of the Cabinet.”

However, many political experts agree that this reshuffle is unlikely to bring about major policy changes—largely because real power continues to reside with the Office of the President. Svyrydenko is widely seen as loyal to its head, Andriy Yermak.

Volodymyr Fesenko, head of the Penta Centre for Applied Political Studies, notes that Svyrydenko, who once served as Yermak’s deputy in the Presidential Office, is indeed considered part of his inner circle.

At the same time, Oleksiy Haran, professor of political science at the National University of Kyiv-Mohyla Academy and research director at the Ilko Kucheriv Democratic Initiatives Foundation, cautions against overlooking the fact that Svyrydenko is a young and energetic politician who could bring what’s often described as “fresh blood” and new approaches to problem-solving. Still, he stresses that the key issues remain the balance of power between the President’s Office and the Cabinet of Ministers, as well as Svyrydenko’s loyalty to Andriy Yermak.

Regarding the Cabinet itself, political analyst Ihor Reiterovych, who holds a PhD in political science, sees the transformation as a limited reshuffle unlikely to trigger sweeping changes within the ministries.

“From a professional standpoint, we shouldn’t expect any major shifts. This is more about a power struggle among factions close to the president. And if things go as planned, we’ll end up with a Cabinet fully controlled by just one group,” Reiterovych says, adding with scepticism: “That won’t guarantee real change, since no one is going to overhaul the entire government structure right now. And from a cost-saving perspective, it’s a highly questionable move.”

Minerals deal’s role

Yuliia Svyrydenko has established herself as a skilled crisis manager and a strong advocate for transparency. She positions herself as an independent decision-maker and is widely regarded as someone outside the entrenched political establishment.

This partly explains the U.S. interest in her appointment as head of government. A crucial factor is her involvement in signing the critical minerals agreement. In April 2025, Svyrydenko, on behalf of Ukraine, signed a deal with U.S. Treasury Secretary Scott Bessent to create the U.S.-Ukraine Reconstruction Investment Fund. The agreement had been in the works for a long time, with negotiations at one point nearly collapsing following a public dispute between the two presidents in the Oval Office.

Political analyst Volodymyr Fesenko notes that Svyrydenko not only navigated the negotiations successfully but also developed what he calls a “constructive and effective” relationship with Bessent—whom he regards as a key figure within the Trump administration.

“I believe this is the decisive factor behind her push for the prime minister role. She will be one of the main points of contact with the Trump administration on economic issues,” Fesenko says with conviction.

At the same time, there was a striking coincidence: just before the government reshuffle, Keith Kellogg—a representative of Donald Trump—visited Ukraine. Many Ukrainians had hoped he was bringing air defence systems, but it increasingly seems that Kellogg’s mission was to help shape or reorganise the country’s leadership. This visit may also be part of early preparations for the upcoming elections.

So, whether we like it or not, Yuliia Svyrydenko clearly appears to be the State Department’s choice. And whether she is a protégé of Yermak or a product of political fast-tracking matters little—the key fact is that she enjoys U.S. backing.

Climbing the political ladder

Before her appointment as head of Ukraine’s government, Chernihiv native Yuliia Svyrydenko served as Minister of the Economy and First Deputy Prime Minister from November 4, 2021. Prior to that, starting in December 2020, she worked in the Presidential Office as deputy to its chief, Andriy Yermak.

Svyrydenko began her political career in 2015 at the Chernihiv Regional State Administration, initially as an adviser to the governor, before becoming head of the Department of Economic Development. In 2018, she was appointed acting governor of the region. In 2019, she joined Prime Minister Oleksiy Honcharuk’s government as deputy to Tymofiy Mylovanov, the Minister of Economic Development. A year later, Svyrydenko returned to the Presidential Office as deputy to Andriy Yermak, and in November 2021, she was appointed Minister of the Economy and First Deputy Prime Minister.

Today, her signature on a memorandum of understanding with the United States—outlining plans for the joint extraction of Ukrainian mineral resources—is already regarded as a major achievement. This agreement has significantly raised her profile on the international stage.

Old faces, new challenges

The government has presented the Cabinet reshuffle not as just another wartime rotation but as a clear signal that Ukraine is gearing up for a new phase of reform and a renewed drive for stability amid ongoing war, economic pressure, and rising public fatigue. This message carries particular weight during a protracted conflict, where every policy decision takes on strategic significance.

New Prime Minister Yuliia Svyrydenko has outlined three key priorities set by President Volodymyr Zelenskyy for her and the revamped Cabinet: strengthening Ukraine’s economic capacity, expanding support programmes for Ukrainian citizens, and scaling up domestic weapons production.

The reshuffled Cabinet faces a range of tough challenges—from stabilising the state budget to tackling inflation and securing funding for the defence sector. Yet, according to recent analytical reports, the government has already approved budget amendments that include record-high allocations for security and defence, with spending set to increase by more than 400 billion hryvnias. The bulk of these funds will be directed to the Defence Ministry, the Interior Ministry, intelligence agencies, and a reserve fund for unforeseen expenses. Meanwhile, the demand is growing for increased international investment, the expansion of public-private partnerships, and the ongoing digitalisation of the economy.

Scepticism meets cautious hope

Weakened by years of war, Ukrainian society greets the recent Cabinet reshuffle with mixed emotions. On one hand, there is a strong demand for renewal and fresh ideas; on the other, scepticism lingers. Many remain doubtful that real change is possible, given that key decisions will still be made within the Presidential Office—a familiar pattern for the public.

Sociologists have also been preparing for the Cabinet overhaul. Recent surveys reveal that most Ukrainians expect more than just personnel changes. They want tangible results—ranging from price stabilisation and stronger social protections to more effective support for the military.

At the same time, political analyst Ihor Reiterovych notes that the appointment of a new prime minister carries a strong “PR element,” partly designed to reassure the domestic audience.

“Citizens are being sold this narrative as a form of change, an impulse, a set of conclusions. But in reality, there won’t be any new ideas. The government will be exactly the same as when former commander-in-chief Valeriy Zaluzhny was replaced by the current Armed Forces commander, Oleksandr Syrskyi,” Reiterovych argues.

The true test for Prime Minister Yulia Svyrydenko and the renewed government, then, is to demonstrate that the leadership change on Hrushevskoho Street and the ministerial reshuffle signal the start of genuine reforms — not just a reshuffle for the sake of reshuffling.

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