Bureaucracy remains one of the biggest challenges for the military-industrial complex.

This was stated by Vladyslav Belbas, CEO of Ukrainian Armor LLC, during an online conversation with media “Economichna Pravda” with the support of Oschadbank.

“For example, today we are faced with the fact that the declared simplified military supply does not work at all. “Ukrainian Armor is currently in the process of putting 120-mm artillery mines into service, and we see that the volume of tests under the simplified procedure is greater than it was during state tests under the regular procedure before the full-scale invasion. And this bureaucracy, delays, and an incomprehensible race within the system is the main problem,” he emphasized.

According to him, the lack of clear financial mechanisms for the industry also restrains the development of the defense industry. He believes that opening up the export of military products may allow the defense industry to raise additional funds.

“Opening of the export is a political issue. There are no regulatory restrictions on exports now. It is restrained by the refusal to grant individual licenses for each specific transaction. And I believe that this should be changed, at least in those industries where there is a real overcapacity,” he said.

At the same time, Belbas noted that firstly it is important to understand why the country does not buy the surplus of products that companies have – because of a lack of need or because of a lack of funds.

“Of course, we need to understand whether we are not buying this surplus because we do not have the funds to do so. Then we need to look for financing options. By the way, direct external financing of domestic production, which is being actively discussed now, could be a good way out in this situation. But if we do not buy products because we have met the need and there is no need for it, then we can safely allow the export,” says the director of Ukrainian Armor.