Monday 25 February 2013
Putin warns Obama
Last Saturday the US media went wild saying things about Russia like,
"Russian nuclear bombers intercepted near Guam" - NBC News
"Air Force confirms Russian jets circled US territory of Guam" - Fox News
"Sending a Message': Russian Bear Bombers Caught Circling Guam Before Obama Delivered the State of the Union" - The Blaze
It happened right before Obama delivered his State of the Union address they said. The funny thing was that it happened last Tuesday but was not reported until Saturday. Yes, the Blaze is right. There was a message. NBC and others would have been on time with the news if they had listened closer to Putin rather than kissing Obama's behind and following Soros' orders. Last Thursday, Putin sent Obama a Valentine:
"Any kind of direct or implicit interference with Russia's home affairs, all sorts of pressure being exerted on our country and our allies - is absolutely unacceptable."
No, he never mentioned the US but implied it as he has done in other speeches like "bomb and missile democracy" and we all know who is spreading that across the world lately.
With McFaul paying off protesters in Moscow and spreading hate; as well as Soros backing Obama and Sharp while pushing Clinton to extremes; the US looks more like terrorists than the terrorists they started fighting. The meeting in Moscow was about counter-terrorism. Can anyone blame Putin for defending Russia?
Once Medvedev facetiously said, "we have no missile shield" when he was asked why he was strengthening Russia's missile shield. "Obama has no missiles pointed at us so we obviously have no missile shield". Obama did not lie. He pulled out the old missiles in Poland and told Medvedev that he was removing them. Then the clown from out of town put in new missiles in Poland aimed at Russia. So, Medvedev had a class in Chicago politics 101. Medvedev learned quickly and improved the missile shield.
While he was Prime Minister, Vladimir Putin watched Soros and crew like a hawk and reminded Medvedev to beware of Georgia. It was the US who backed Georgia and lied to the American people stating that Russia started the war. Even Pat Buchanan, former US presidential candidate who left the Republican Party, admitted the US was up to no good and was blaming Russia.
President Vladimir Putin like a good Cossack under the Tsar, defends Russia with his life. The Whites who lost to the Reds are proud in Heaven knowing that Putin now protects the land they fought to defend against the Communists. Their death was not in vain. The Tsar and his family that was murdered by the Reds can see also their country rescued and now guarded by men truly loyal to Russia. The answer to a martyr's prayer.
Putin signs anti-tobacco law
Russian President Vladimir Putin signed a federal law "On the protection of public health from exposure to environmental tobacco smoke and the effects of tobacco use," the press service of the Kremlin said on Monday, Feb. 25th. The federal law was passed by the State Duma on February 12th and approved by the Federation Council on February 20th.
The law provides for the protection of public health from exposure to environmental tobacco smoke and the consequences of tobacco use. Tobacco smoking will thus be prohibited in a variety of public locations, premises and facilities. Additionally, there are restrictions on tobacco advertising and sponsorship
Ukraine Ex-PM Tymoshenko Declared Fit For Prison Return
KIEV, Ukraine -- The health ministry in Ukraine has issued a statement saying former prime minister Yulia Tymoshenko is fit enough to leave a civilian hospital and return to prison.
She spent nine months undergoing back treatment.
Ukraine's health ministry announced on Friday that a medical commission "has concluded that the patient Y. Tymoshenko no longer needs further treatment or rehabilitation in hospital," apparently paving the way to return the opposition politician to a prison cell.
Yulia Tymoshenko was receiving treatment from Ukrainian and German doctors after leaving a Kharkiv prison in May last year with acute back pain stemming from a herniated disc.
The former prime minister, a key figure in Ukraine's "Orange Revolution" of 2004, was convicted of abuse of power in 2011 and sentenced to seven years in prison.
The court ruled that she had signed gas deals with Russia that disadvantaged Ukraine for personal gain; her legal team dismissed the charges as a government-backed attempt to sideline the political opposition.
Tymoshenko faces separate charges of fraud and tax evasion.
She was the main political rival to President Viktor Yanukovych for years.
Her imprisonment prompted criticism from the European Union, which is seeking a new political association and free trade deal with Ukraine.
An EU-Ukraine summit is set to take place next week debating the issue, with European leaders hinting at some of the sticking points ahead of time on Friday.
"Ukraine needs to implement some key reforms before the agreement can be signed, opening up a new era in our relations," EU President Herman Van Rompuy and European Commission President Jose Manuel Barroso wrote in a joint editorial given to the German dpa news agency for publication.
"We are confident that in the coming summit … the Ukrainian leaders will show their determination to achieve these goals in time," the European duo said, adding that "the key is in Ukraine's hand."
Yanukovych Acknowledges Prisoner Problem
KIEV, Ukraine -- President Viktor Yanukovych, ahead of a key summit between Ukraine and the European Union, said he shares the EU’s concerns about political prisoners in Ukraine and understands the problem must be solved quickly.
Yanukovych traveled to the Polish city of Wisla for a meeting with Polish President Bronislaw Komorowski and Slovak President Ivan Gasparovic ahead of the summit in Brussels.
The meeting was the last attempt by European leaders before the summit on February 25 to persuade Yanukovych to release former Prime Minister Yulia Tymoshenko and former Interior Minister Yuriy Lutsenko.
The failure to do so may postpone indefinitely an agreement on political association and free trade between Ukraine and the EU, which Kiev hopes to sign at a summit in November.
"Touching the thorny question of Tymoshenko and Lutsenko I would like to once again to confirm: we are well aware that this issue should be addressed in the legal realm," Yanukovych said after the meeting.
The EU has repeatedly expressed serious concerns about the imprisonment of Tymoshenko and Lutsenko, Yanukovych’s political opponents, calling the cases examples of selective justice.
The failure to solve the problem of political prisoners has led to a de-facto boycott of Yanukovych in Europe with his traveling over the past year mostly limited to Asia and the Middle East.
Yanukovych’s remarks may be an early indication that he may have finally got the message.
"Sharing these concerns and anxiety that our friends have, we understand that finding solutions and compromises is one of the issues that must be solved soon," Yanukovych said.
Komorowski, along with other European leaders, has already tried to persuade – and received assurances from Yanukovych a year ago – that the problem will be solved.
However, Tymoshenko, who was convicted to seven years in prison for pushing through a controversial 10-year gas supply contract with Russia in 2009, currently faces even greater pressure.
Prosecutors said earlier this year they will seek life in prison for Tymoshenko for allegedly ordering and paying for the murder of a prominent politician and businessman in 1996.
Tymoshenko, who owned a natural gas trading company in 1996, said the charges are politically motivated.
She denied having any connection to the murder of Yevhen Shcherban.
Tymoshenko and Lutsenko remain to be the key obstacles on the way of Ukraine’s closer cooperation with the EU, including the singing of the political association and free trade agreement.
Ukraine's Government Introduces European Integration Priority Steps
KIEV, Ukraine -- The Ukrainian government released its newly approved plan of 2013 priority measures regarding the European integration of the country.
The document provisions for the preparation of the Association Agreement signing and lists specifics of the development of Ukraine - EU cooperation in the areas of foreign affairs and security, justice, trade, and energy.
The first issue on the agenda for Ukraine is to intensify cooperation with member states and relevant institutions in order to facilitate the signing of the Association Agreement with the EU.
Currently, the Eastern European country ended the association talks with the Union, the parties finalized the text of the agreement, which is being translated into the 22 official languages of the EU (excluding English, the language of the original document) and into Ukrainian.
The nearest opportunity to further association would be the February 25, 2013, Ukraine - EU summit.
The next milestone meeting is scheduled for November 2013, when the Eastern Partnership summit will take place in Vilnius, Lithuania.
Earlier, EU Commissioner for Enlargement and European Neighbourhood Policy, Štefan Füle, along with the foreign ministers of 13 EU countries (Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Finland, Ireland, Latvia, Lithuania, Malta, Romania, and Slovakia) stated their readiness to facilitate the signing of the Association Agreement between Ukraine and the EU no later than November 2013.
Additionally, the Ukrainian government further envisions its participation in European peacekeeping and security initiatives, including fighting piracy, states the plan of European integration priority measures for 2013.
The Eastern European country aims to join the EU tactical battle groups and continue cooperation with European defense institutions.
Cooperation in the field of justice will include guaranteeing compliance with the decisions of the European Court of Human Rights, cooperation with Europol and Eurojust, reforming public prosecution and defense, and conducting informal consultations with the EU regarding the reforms of the Ukrainian system of justice.
Ukraine also plans to facilitate public support of European integration.
Trade related issues include implementation of the 2012-2014 strategic framework for customs cooperation, which provides for safer trade and countering fraud.
Moreover, Ukraine wants to explore the possibility of joining the Europe-wide electricity transmission system ENTSO-E, as well as the European satellite navigation system EGNOS, and solicit the introduction of common airspace.
Ukraine Joins NATO's Counter-Piracy Operation
KIEV, Ukraine -- NATO welcomed Ukraine’s decision on Friday to join its counter-piracy operation Ocean Shield, while Secretary General Anders Fogh Rasmussen said Ukraine’s NATO membership was on track, but warned there was concern about Ukraine's use of "selective justice."
“NATO and Ukraine are key security partners. For many years, Ukraine has been making substantial and very welcome contributions to all major NATO-led operations, including our engagement in Afghanistan,” said Rasmussen, who chaired a meeting of defense ministers in the NATO-Ukraine Commission.
The secretary general and Ukrainian Defense Minister Pavlo Lebedev signed an exchange of letters confirming Ukraine’s intent to contribute a frigate and helicopter to NATO’s operation Ocean Shield, which fights piracy off the coast of Somalia.
Ukraine will contribute the frigate Hetman Sahaydachniy, the flagship of the Ukrainian Navy.
“The exchange of letters serves to confirm Ukraine's offer and NATO's readiness to proceed to the last stage of technical certification, which is necessary to make sure that the Ukrainian contribution is capable of operating effectively with NATO vessels,” the NATO press service said in a statement on its website.
NATO said it provides significant support to Ukraine’s ongoing reforms of the defense and security sectors.
The ministers agreed on a set of priorities to guide cooperation over the next five years, including in training and exercises.
On the issue of Ukraine’s future membership, Rasmussen said NATO's decision that Georgia and Ukraine will eventually join the alliance "still stands."
“We fully respect the non-alignment policy, the non-bloc policy or whatever you might call it. That's for Ukraine to decide,” he said, adding, however, that there was "serious concern" about Ukraine's use of "selective justice."
NATO is committed to supporting Ukraine’s reform efforts, Rasmussen said.
“In particular, the determined implementation of reforms to reinforce democracy and the rule of law would benefit the people of Ukraine and the entire Euro-Atlantic community.”
President Says Ukraine May Lease Its Gas Transit Pipeline In An Apparent Offer To Russia
KIEV, Ukraine -- Ukrainian President Viktor Yanukovych signalled Friday that his country may lease its natural gas transit system to countries including Russia, in a move that is seen as reaching out to Moscow rather than the West.
Speaking in a televised question-and-answer session, Yanukovych said that renting out the pipeline which carries Russian gas to Europe would provide funds to maintain the sprawling gas transit and storage system and ensure that Ukraine receives proceeds for pumping the gas.
"If the gas transit system brings money, Ukraine will have an opportunity to modernize this system and maintain it in a safe condition," Yanukovych said.
Disputes between Kiev and Moscow on gas prices and transit fees have caused disruptions in supplies several times in the past decade, leaving millions of Europeans with no heating in the dead of winter.
Ukraine, whose economy is in recession amid falling global demand for its main export, steel, has been lobbying Russia for a discount for its natural gas and Moscow has indicated that it may agree to a lower price in exchange for acquiring control over Ukrainian gas pipelines.
However, relinquishing some or all control over Ukraine's gas transit system will likely encounter fierce criticism from pro-Western opposition parties which see the pipelines as a symbol of Ukraine's independence.
Yanukovych also pledged not to raise household gas prices - a highly unpopular move which is a key condition to unlocking International Monetary Fund aid.
The statement indicated that Kiev is betting on stronger ties with Russia rather than fulfilling IMF austerity demands.
'DWTS' Karina Smirnoff - From Ukraine to the Valley
LOS ANGELES, USA -- Super hot Ukrainian dancer Karina Smirnoff just turned her "Dancing With the Stars" winnings into a brand new mansion ... in the San Fernando Valley -- which beats living under Soviet rule. Barely.
The season 13 champ -- who was born during Ukraine's U.S.S.R. days -- just dropped $1.35 million on a 6,350-square-foot crib in Woodland Hills, CA.
According to docs, Karina took out a loan for $600,000 -- meaning she laid down some serious up-front cash.
The 5-bedroom, 5-bath pad is rockin' two-story vaulted ceilings, travertine floors, giant hanging chandeliers, huge spa-style tub and steam shower.
Take that, Communism!
Ukrainian Parliament Votes For EU Integration
KIEV, Ukraine -- Majority of Ukrainian MPs adopted a declaration of Ukraine's European aspirations and signing of the Association Agreement (AA) between Ukraine and the European Union.
The declaration is an integral part of the upcoming EU-Ukraine summit, which is to take place on Monday, February 25, in Brussels.
The adopted declaration affirms Ukraine's ambition to proceed with European integration.
According to the document, the Verkhovna Rada, Ukrainian Parliament, will ensure implementation of recommendations of the EU Council and the European Parliament.
In the document the Verkhovna Rada calls for the European Union and its Member States to ensure the prompt signing of the Association Agreement between Ukraine and the EU as soon as Ukraine demonstrates decisive actions and tangible progress in the areas identified in the conclusions of the EU Council, reported UNIAN.
Notably, the December 10, 2012, conclusions of the EU Council on Foreign Relations included the recommendations on the electoral, judicial and constitutional reforms in Ukraine.
In addition, Ukrainian Parliament requests the EU to ensure full and compulsory implementation of the agreement between Ukraine and the EU countries on a simplified procedure for issuing visas to Ukrainian citizens giving them the right to move freely within the EU.
The document also includes the request to provide adequate expertise and financial support to Ukraine in preparation for the implementation of the Association Agreement, especially while adapting the country's economy and the regulatory environment to operate in a deep and comprehensive free trade area with the EU.
Furthermore, Ukrainian Parliament called for the EU to look into the possibility of preliminary application of certain provisions of the AA regarding the creation of the free and comprehensive free trade area before the ratification process is completed by all EU Member States.
Importantly, the document was supported by 315 out of 349 MPs who were present at the Friday, February 22, parliamentary session.
About half of the votes - 150 - have been cast by the opposition parties of Batkivshchyna (83 votes), UDAR (34 votes) and Svoboda (33 votes).
The remainder of the 315 votes belonged to the ruling Party of Regions - 149, and MPs who didn't belong to any party - 16.
EU-Ukraine Summit
BRUSSELS, Belgium -- The 16th EU-Ukraine Summit will take place in Brussels on 25 February. Herman Van Rompuy, President of the European Council, and José Manuel Barroso, President of the European Commission, will represent the EU.
Energy Commissioner Günther Oettinger and Commissioner for Enlargement and Neighbourhood Policy Stefan Füle will also attend.
Ukraine will be represented by President Viktor Yanukovych.
Summit Agenda
The main focus of discussions at this summit is expected to be Ukraine’s reform agenda, linked to the possible signature of the EU-Ukraine Association Agreement, which will also provide for the establishment of a Deep and Comprehensive Free Trade Area.
Leaders will discuss the following themes:
Political association, as envisaged in the initialled EU-Ukraine Association Agreement, and in particular the concrete aspects as set out in the Council conclusions adopted at the Foreign Affairs Council of 10 December 2012.
Economic integration, notably trade questions and the establishment of the Deep and Comprehensive Free Trade Area, the macro-economic situation in Ukraine and possibilities for EU macro-financial and financial assistance, energy issues as well as public finance management and administration reforms.
Mobility, including the latest developments regarding the implementation of the Action Plan on Visa Liberalisation and the ratification of the amending Visa Facilitation Agreement.
Regional and international issues in the context of Ukraine’s OSCE Chairmanship as well as the preparation of the Eastern Partnership Summit in Vilnius in November, relations with neighbouring countries.
EU-Ukraine Relations
The European Union and Ukraine share common borders, extensive economic and trade relations, and a common cultural, linguistic and historic heritage.
EU-Ukraine cooperation is built on a shared commitment to the rule of law, human rights, democratic principles and fundamental freedoms.
EU-Ukraine relations are based on the Partnership and Co-operation Agreement (PCA) which entered into force in 1998.
The partnership aims to promote political dialogue, trade and investment as well as economic, social and cultural cooperation.
On 30 March 2012, an ambitious Association Agreement (AA), including provisions establishing a Deep and Comprehensive Free Trade Area (DCFTA), was initialed.
The AA is intended to provide a new legal framework for EU-Ukraine relations.
It is a concrete way to sustain positive dynamics in our relations, focusing on support to core reforms, on economic and political governance and cooperation across a range of sectors.
The AA with Ukraine will also be the first of a new generation of Association Agreements with Eastern Partnership countries.
The AA could be signed in the Eastern Partnership Summit in Vilnius in November 2013, if determined action is taken and tangible progress made by Ukraine in three areas: the compliance of the 2012 parliamentary elections with international standards and follow-up actions, progress in addressing the issue of selective justice and preventing its recurrence, implementation of reforms defined in the jointly agreed Association Agenda.
EU assistance
The European Union and its member states continue to be the largest donor to Ukraine: since 1991, assistance provided by the EU alone has amounted to over € 3 billion ($3.95 billion).
The European neighbourhood policy instrument allocates € 470 million ($619 million) to Ukraine for the years 2011 to 2013.
This goes to support action in three priority areas: good governance and the rule of law; facilitating the entry into force of the Association Agreement, and sustainable development, including energy and environment.
This amount includes funding under the Eastern Partnership for the comprehensive institution building programme (€ 43.37 million = $57.16 million)).
The latter is designed to improve the administrative capacity of partner countries and their compatibility with EU institutions, for instance through twinning programmes, professional training and secondment of personnel.
Trade relations
The EU accounted for 29% of Ukraine’s external trade in 2011, being its second commercial partner (after Russia).
The EU-Ukraine trade relationship is dynamic: in the last ten years, bilateral trade grew by more than 160%, well above the average growth of EU trade with the rest of the world.
Investment flows from the EU to Ukraine have also shown remarkable growth, passing from € 14 billion ($19 billion) in 2008 to almost € 24 billion ($32 billion) in 2011.
In 2012, total trade between Ukraine and the EU was in excess of € 38 billion ($50 billion), including almost € 24 billion ($32 billion) of European exports to Ukraine and € 14.5 billion ($19.1 billion) of Ukrainian exports to Europe.
Food and drinks, raw material and machinery and vehicles represent the most significant Ukrainian exports to the EU market, while European exports to Ukraine consist mostly of machinery and vehicles, chemicals and other manufactured goods.The existing challenges in terms of competitiveness in the Ukrainian economy are reflected in the structural trade deficit it experiences with the EU, which has ranged over the past few years between € 5 billion ($6.6 billion) and € 10 billion ($13.2 billion).
Nonetheless, Ukraine has taken the right steps to address these challenges.
With the EU’s support, Ukraine joined the World Trade Organization in May 2008 and immediately launched negotiations for a Deep and Comprehensive Free Trade Area (DCFTA).
Closer economic integration through the DCFTA will be a powerful stimulant to the country's economic growth.
As a core element of the Association Agreement, it will create business opportunities in Ukraine and will promote real economic modernisation and integration with the EU.
Higher standards, better service to citizens and, above all, Ukraine’s readiness to compete effectively in international markets should be the result of this process.
Energy
Ukraine has an important strategic position in energy transit to the EU, both for gas and oil.
The major objectives for energy cooperation with Ukraine include: improved security for energy supplies and the development of sustainable and competitive energy markets in Ukraine.
An economically viable, sustainable, competitive and transparent energy market in Ukraine, conducive to foreign direct investments, would contribute to both objectives.
The EU is therefore promoting reforms of the Ukrainian gas market in accordance with EU rules and standards and the integration of Ukraine into the EU's internal energy market.
In this spirit, Ukraine also joined the Energy Community in February 2011, providing benefits in terms of needed investment into the energy sector, efficiency and supply diversification and thus security of supply.
It will bring additional facilitations, for instance simplified lists of supporting documents will be required for certain categories of Ukrainian citizens; more persons will be eligible for multiple-entry long-term visas; obtaining multiple-entry visas will be facilitated and more categories of persons will be able to benefit from visa fee waivers.
An Action Plan on Visa Liberalisation (VLAP), setting out the conditions to be met before the possible establishment of a visa-free travel regime for Ukrainian citizens, is currently being implemented.
Eastern Partnership: Multilateral Cooperation
Ukraine is a member of the EU's Eastern Partnership, its specific multilateral framework for the EU's Eastern neighbours.
It is based on a community of values and the principles of democracy, respect for human rights, fundamental freedoms and the rule of law.
In September 2011, the Eastern Partnership Summit in Warsaw put forward several concrete ideas for enhancing existing relationships, notably by strengthening the role of civil society.
The Vilnius Summit in November 2013 will be another opportunity to demonstrate the EU’s commitment to the Eastern neighbourhood.
Security and Defence
The EU and Ukraine collaborate on a number of foreign and security policy issues, including crisis management.
An example is Ukraine’s contribution to the Atalanta counter-piracy operation.
The EU and Ukraine also conduct regular dialogue on issues such as terrorism, non-proliferation and arms export control.
Energy Commissioner Günther Oettinger and Commissioner for Enlargement and Neighbourhood Policy Stefan Füle will also attend.
Ukraine will be represented by President Viktor Yanukovych.
Summit Agenda
The main focus of discussions at this summit is expected to be Ukraine’s reform agenda, linked to the possible signature of the EU-Ukraine Association Agreement, which will also provide for the establishment of a Deep and Comprehensive Free Trade Area.
Leaders will discuss the following themes:
Political association, as envisaged in the initialled EU-Ukraine Association Agreement, and in particular the concrete aspects as set out in the Council conclusions adopted at the Foreign Affairs Council of 10 December 2012.
Economic integration, notably trade questions and the establishment of the Deep and Comprehensive Free Trade Area, the macro-economic situation in Ukraine and possibilities for EU macro-financial and financial assistance, energy issues as well as public finance management and administration reforms.
Mobility, including the latest developments regarding the implementation of the Action Plan on Visa Liberalisation and the ratification of the amending Visa Facilitation Agreement.
Regional and international issues in the context of Ukraine’s OSCE Chairmanship as well as the preparation of the Eastern Partnership Summit in Vilnius in November, relations with neighbouring countries.
EU-Ukraine Relations
The European Union and Ukraine share common borders, extensive economic and trade relations, and a common cultural, linguistic and historic heritage.
EU-Ukraine cooperation is built on a shared commitment to the rule of law, human rights, democratic principles and fundamental freedoms.
EU-Ukraine relations are based on the Partnership and Co-operation Agreement (PCA) which entered into force in 1998.
The partnership aims to promote political dialogue, trade and investment as well as economic, social and cultural cooperation.
On 30 March 2012, an ambitious Association Agreement (AA), including provisions establishing a Deep and Comprehensive Free Trade Area (DCFTA), was initialed.
The AA is intended to provide a new legal framework for EU-Ukraine relations.
It is a concrete way to sustain positive dynamics in our relations, focusing on support to core reforms, on economic and political governance and cooperation across a range of sectors.
The AA with Ukraine will also be the first of a new generation of Association Agreements with Eastern Partnership countries.
The AA could be signed in the Eastern Partnership Summit in Vilnius in November 2013, if determined action is taken and tangible progress made by Ukraine in three areas: the compliance of the 2012 parliamentary elections with international standards and follow-up actions, progress in addressing the issue of selective justice and preventing its recurrence, implementation of reforms defined in the jointly agreed Association Agenda.
EU assistance
The European Union and its member states continue to be the largest donor to Ukraine: since 1991, assistance provided by the EU alone has amounted to over € 3 billion ($3.95 billion).
The European neighbourhood policy instrument allocates € 470 million ($619 million) to Ukraine for the years 2011 to 2013.
This goes to support action in three priority areas: good governance and the rule of law; facilitating the entry into force of the Association Agreement, and sustainable development, including energy and environment.
This amount includes funding under the Eastern Partnership for the comprehensive institution building programme (€ 43.37 million = $57.16 million)).
The latter is designed to improve the administrative capacity of partner countries and their compatibility with EU institutions, for instance through twinning programmes, professional training and secondment of personnel.
Trade relations
The EU accounted for 29% of Ukraine’s external trade in 2011, being its second commercial partner (after Russia).
The EU-Ukraine trade relationship is dynamic: in the last ten years, bilateral trade grew by more than 160%, well above the average growth of EU trade with the rest of the world.
Investment flows from the EU to Ukraine have also shown remarkable growth, passing from € 14 billion ($19 billion) in 2008 to almost € 24 billion ($32 billion) in 2011.
In 2012, total trade between Ukraine and the EU was in excess of € 38 billion ($50 billion), including almost € 24 billion ($32 billion) of European exports to Ukraine and € 14.5 billion ($19.1 billion) of Ukrainian exports to Europe.
Food and drinks, raw material and machinery and vehicles represent the most significant Ukrainian exports to the EU market, while European exports to Ukraine consist mostly of machinery and vehicles, chemicals and other manufactured goods.The existing challenges in terms of competitiveness in the Ukrainian economy are reflected in the structural trade deficit it experiences with the EU, which has ranged over the past few years between € 5 billion ($6.6 billion) and € 10 billion ($13.2 billion).
Nonetheless, Ukraine has taken the right steps to address these challenges.
With the EU’s support, Ukraine joined the World Trade Organization in May 2008 and immediately launched negotiations for a Deep and Comprehensive Free Trade Area (DCFTA).
Closer economic integration through the DCFTA will be a powerful stimulant to the country's economic growth.
As a core element of the Association Agreement, it will create business opportunities in Ukraine and will promote real economic modernisation and integration with the EU.
Higher standards, better service to citizens and, above all, Ukraine’s readiness to compete effectively in international markets should be the result of this process.
Energy
Ukraine has an important strategic position in energy transit to the EU, both for gas and oil.
The major objectives for energy cooperation with Ukraine include: improved security for energy supplies and the development of sustainable and competitive energy markets in Ukraine.
An economically viable, sustainable, competitive and transparent energy market in Ukraine, conducive to foreign direct investments, would contribute to both objectives.
The EU is therefore promoting reforms of the Ukrainian gas market in accordance with EU rules and standards and the integration of Ukraine into the EU's internal energy market.
In this spirit, Ukraine also joined the Energy Community in February 2011, providing benefits in terms of needed investment into the energy sector, efficiency and supply diversification and thus security of supply.
The EU is also a key partner of Ukraine in the modernisation of its gas transit infrastructure.
During the EU-Ukraine Summit in December 2005, the two parties signed a Memorandum of Understanding (MoU) in the field of energy.
Since then, the EU and Ukraine sign Progress Reports every year on energy cooperation.
The 7th progress report will be signed on the occasion of this summit.
Nuclear Safety
The Euratom and Ukraine signed agreements in July 1999 on cooperation in the fields of nuclear safety and controlled thermonuclear fusion.
The Euratom-Ukraine Agreement for cooperation on the peaceful uses of nuclear energy entered into force on 1 September 2006.
Since the Chernobyl accident, the EU has been working continuously with Ukraine to improve nuclear safety and to deal with legacy of the disaster.
So far the EU has committed €580 million ($764 million) to Chernobyl-related projects, mainly for nuclear safety, but also to improve the living conditions of the local population and to reinforce research programmes.
In addition, the bilateral contributions from EU member states to the Chernobyl projects amount to €452 million ($596 million).
Mobility
Justice and home affairs, especially mobility issues, have been key topics at previous EU-Ukraine summits and matters such as migration and asylum policies, border management, visas, the fight against international crime and terrorism, money laundering and human trafficking are regularly discussed.
An amended Visa Facilitation agreement with Ukraine was signed in July 2012 and will enter into force once the ratification process has been completed.
During the EU-Ukraine Summit in December 2005, the two parties signed a Memorandum of Understanding (MoU) in the field of energy.
Since then, the EU and Ukraine sign Progress Reports every year on energy cooperation.
The 7th progress report will be signed on the occasion of this summit.
Nuclear Safety
The Euratom and Ukraine signed agreements in July 1999 on cooperation in the fields of nuclear safety and controlled thermonuclear fusion.
The Euratom-Ukraine Agreement for cooperation on the peaceful uses of nuclear energy entered into force on 1 September 2006.
Since the Chernobyl accident, the EU has been working continuously with Ukraine to improve nuclear safety and to deal with legacy of the disaster.
So far the EU has committed €580 million ($764 million) to Chernobyl-related projects, mainly for nuclear safety, but also to improve the living conditions of the local population and to reinforce research programmes.
In addition, the bilateral contributions from EU member states to the Chernobyl projects amount to €452 million ($596 million).
Mobility
Justice and home affairs, especially mobility issues, have been key topics at previous EU-Ukraine summits and matters such as migration and asylum policies, border management, visas, the fight against international crime and terrorism, money laundering and human trafficking are regularly discussed.
An amended Visa Facilitation agreement with Ukraine was signed in July 2012 and will enter into force once the ratification process has been completed.
It will bring additional facilitations, for instance simplified lists of supporting documents will be required for certain categories of Ukrainian citizens; more persons will be eligible for multiple-entry long-term visas; obtaining multiple-entry visas will be facilitated and more categories of persons will be able to benefit from visa fee waivers.
An Action Plan on Visa Liberalisation (VLAP), setting out the conditions to be met before the possible establishment of a visa-free travel regime for Ukrainian citizens, is currently being implemented.
Eastern Partnership: Multilateral Cooperation
Ukraine is a member of the EU's Eastern Partnership, its specific multilateral framework for the EU's Eastern neighbours.
It is based on a community of values and the principles of democracy, respect for human rights, fundamental freedoms and the rule of law.
In September 2011, the Eastern Partnership Summit in Warsaw put forward several concrete ideas for enhancing existing relationships, notably by strengthening the role of civil society.
The Vilnius Summit in November 2013 will be another opportunity to demonstrate the EU’s commitment to the Eastern neighbourhood.
Security and Defence
The EU and Ukraine collaborate on a number of foreign and security policy issues, including crisis management.
An example is Ukraine’s contribution to the Atalanta counter-piracy operation.
The EU and Ukraine also conduct regular dialogue on issues such as terrorism, non-proliferation and arms export control.
Thanks to the commitment made at the Eastern Partnership summit in Warsaw in 2011, Ukraine plays an important role in the EU’s reflection on how to foster cooperation with third countries in the area of Common Foreign and Security Policy/Common Security and Defence Policy.
It is in the EU's interest to enhance the CFSP/CSDP cooperation with Ukraine.
The intensification of our dialogue and cooperation is also foreseen in the Association Agreement.
Ukraine plays a key role in the settlement of the Transnistrian conflict in the Republic of Moldova, notably with the Chairmanship in Office of the OCSE this year.
The EU and Ukraine have regular discussions on this subject, since both are members of the so called 5+2 settlement negotiation format.
Science and Technology
In the EU's 2013 research work programme, Ukrainian entities are targeted, as part of the Eastern Partnership, for funding of up to €3 million ($3.95 million) for societal challenges, supporting policy dialogue and developing cooperation on innovation.
In addition, they are encouraged to participate in the research topic: ‘reinforcing cooperation with European Neighbourhood Policy countries: bridging the gap between research and innovation’ which aims to support the development of a common knowledge and innovation space between the EU and its eastern and southern neighbours.
This activity (budget €9.5 million = $12.5 million) will focus on bridging the gap between research and innovation by better aligning research objectives to socio-economic needs and improving performance in using knowledge resulting from research.
It is in the EU's interest to enhance the CFSP/CSDP cooperation with Ukraine.
The intensification of our dialogue and cooperation is also foreseen in the Association Agreement.
Ukraine plays a key role in the settlement of the Transnistrian conflict in the Republic of Moldova, notably with the Chairmanship in Office of the OCSE this year.
The EU and Ukraine have regular discussions on this subject, since both are members of the so called 5+2 settlement negotiation format.
Science and Technology
In the EU's 2013 research work programme, Ukrainian entities are targeted, as part of the Eastern Partnership, for funding of up to €3 million ($3.95 million) for societal challenges, supporting policy dialogue and developing cooperation on innovation.
In addition, they are encouraged to participate in the research topic: ‘reinforcing cooperation with European Neighbourhood Policy countries: bridging the gap between research and innovation’ which aims to support the development of a common knowledge and innovation space between the EU and its eastern and southern neighbours.
This activity (budget €9.5 million = $12.5 million) will focus on bridging the gap between research and innovation by better aligning research objectives to socio-economic needs and improving performance in using knowledge resulting from research.
Sunday 17 February 2013
Russia won't cut off its nose to spite feeble America
The United States is unable to solve the problem of Afghanistan alone, Russian Foreign Minister Sergei Lavrov said on Sunday in an interview .
"They can not solve the problems associated with the spread of terrorism, weapons of mass destruction, drug trafficking and organized crime," he said. "The United States is physically unable to solve any problem at all, but it still remains the largest and most powerful military, economic and financial power," the minister said.
Lavrov also said that if the international forces left Afghanistan, the situation would deteriorate sharply, and the threat of terrorism would spread to Central Asia and the North Caucasus.
The diplomat noted that the problem of drug trafficking coming from Afghanistan has strengthened recently. He also said that according to the Russian Foreign Ministry, there are American citizens participating in the drug trafficking business. "I have seen evidence saying that Americans illegally participate in the process, secretly from their command" said the minister.
In turn, Russia will not interfere in the situation around Afghanistan not to repeat the experience of the 1980s. "We shouldn't cut off our nose to spite America. We should follow our pragmatic interests here," said Lavrov.
As for the situation in the Middle East, Lavrov said that Russia maintains contact with Syria, both with the Assad government and with the Syrian opposition. Referring to the situation in Libya, the minister said that Russia was trying to influence the situation through the UN Security Council.
In general, the Russian Foreign Ministry is willing to cooperate with all countries of the region in the framework of peace. As an example, Lavrov referred to Iraq, whose government "wants to develop economic cooperation and create conditions for Russian oil, energy, and other companies to work in the country."
Twenty years of Communist Party: Progress or decay?
The upcoming anniversary Congress of the Communist Party of the Russian Federation will hardly go down in history of the national party building. The adoption of an updated version of the Charter of the Communist Party and the vote of the new chairman of the Central Committee of the Communist Party can hardly attract much attention of the general public.
There will be no intrigue in the upcoming congress either for party members or observers. The Communist Party will strengthen the hierarchy, and "the dear and and irreplaceable" Gennady Zyuganov will retain his post.
The event per se, according to tradition, will be a very pompous one. As the leader of Russian Communists promised, hundreds of various parties and movements of the left front will attend the congress. The guests will listen to the political report of the Central Committee, which will also be published in advance (nearly a million copies). Noteworthy, the Internet portal of the Communist Party has been upgraded especially for the congress: the website now has an English page. Apparently, the party is going to sum up the results of its activities in two decades.
A lot has been achieved indeed. No mater what some may say, the Communist Party objectively remains a serious political force that has its own voters. The party can successfully win over the "protest electorate" as well.
"The Communist Party, on the one hand, has successfully used the rational and legitimate aspects of the communist ideology of the Soviet time. On the other hand, it has been successful in cooperating with adequate groups of the electorate, relying on the support of the older generation, - political analyst Nikolai Mironov told Pravda.Ru. - It guaranteed strong position for the party in the political spectrum, and even made it a serious opponent to the government in the 1990s."
Indeed, many remember the so-called "red parliaments" and "red zones" around Moscow.
However, in the new millennium, the state of affairs started to change not for the benefit of the ideological heir of the Communist Party of the Soviet Union.
"During the 2000s, the values of the Communist Party began to erode, making way for other type of values. Actually, the party had to make a tough choice: either to move in the direction statist patriotism and conservatism or in the direction of social democracy, which implied the choice of social groups - said Nikolay Mironov. - The ambition to combine both of these things, as Zyuganov wrote in 1996 in his book "Russia, My Motherland. The Ideology of State Patriotism," turned out to be impossible to Communists in practice."
However, the choice of one of the above-mentioned directions did not take place. The party has not mastered the patriotic themes, leaving the corresponding ideological field free. It did not become a social democratic party either, the expert believes.
"The strategy was to keep the electorate that the party has had since the 1990s, and preserve the status quo in the political system. In other words, the party had to survive without any transformations - said Mironov. - A disadvantage of the party is the lack of party policy in their inner upgrade. Communists began to attract businesses, providing them an opportunity to run for representative bodies. We could observe this process at the autumn elections, and the party was already discussing the validity of such practices back then."
Indeed, the autumn elections saw an outflow of the electorate, which generally did not affect the abilities of the Communist Party, which voters consider as an alternative, to stay afloat.
"By voting for the Communist Party, people mostly vote "against," rather than "for." They vote against the things that they do not like in their region or in the state on the whole. Similarly, people vote for other opposition parties, although to a lesser extent, The format of the "parliamentary party" works for the opposition. Since they have a chance to overcome the barrier, then it makes sense for them. Tactically it is advantageous, but in terms of strategy - it's not very promising," says Nikolay Mironov.
Speaking about the problems of the Communist Party, the political scientist named "the erosion of the content program and the difference of ideology and practice." More importantly, it is the lack of "the story of success" - the implementation of ideas, requirements and stagnation in management. "If the party is unable to resolve these issues, it risks to lose the position that it has now, not to mention the opportunity to gain stronger positions in the political system," he concluded.
Thus, the Communist Party remains the main opposition political party in the country, consistently providing its representation in the law-making process. All of it speaks of the success of the 20-year project. However, the two decades may well be described as "degradation," especially if we compare the current situation with that from the mid 1990s.
"Since that time, the Communist Party has evolved into an organization that is almost devoid of political influence at the federal level, although it used to be the largest in size in the parliament, - the director of the Institute of Globalization and Social Movements, Boris Kagarlitsky, told Pravda.Ru. - If we look back at the mid-1990s, we can see that the Communist Party had its governors in Russian regions. In 1995, the Communist Party was the largest faction in the Duma, and the electoral results of the party were approximately twice, and in some regions, approximately three times as large, as they are now. We can see that the number of those voting for the Communist Party has been declining steadily."
Another important aspect is the aging of the party. "After the party was rebuilt in 1993, the lack of young people was seen as a major problem, and the task was to correct the situation and rejuvenate the party - said Kagarlitsky. - But many, if not most of the young people, who had been joining the Communist Party during that time, left the party afterwards". Thus, at least on the federal level, the Communist Party remains the party of older people, who only became older during the past 20 years.
According to the sociologist, on the regional level, where the rejuvenation of staff occurred, one can see a strange disparity between individual young functionaries, who advanced to higher positions, and the mass of ordinary not-very-young members with virtually no middle-aged individuals. Thus, in general, we can speak of the degradation of the Communist Party as a political structure, even judging by the criteria of success that the party sets for itself.
But, of course, one can not explain all the problems of the Communist Party with mistakes made its administration. The party has come across objective and unfavorable changes in the political system.
"During the 1990s, Russian rulers were incapable of establishing a functioning political party to implement their policies. The 2000s saw the appearance of United Russia, which is largely perceived by the population as some sort of a successor to the Communist Party. United Russia was able to win over a large part of those, who previously supported Communists," says Boris Kagarlitsky.
Strangely enough, tougher competition provided additional preferences to Communists. "The Communist Party has become a monopoly "in the market of opposition services. The party has lost much of its influence on the one hand, and on the other hand got very well integrated into the system that has developed during the 2000s," said the expert.
Boris Kagarlitsky noted that to date, the party leadership was absolutely satisfied with its position in the country and with the state of affairs in the country as a whole: "The role of the monopolist in the field of opposition in the absence of any liability or any requirements of political activities of the party - this is a convenient and comfortable position, which, I think, the party wants to maintain and support.
"Another question is that the development of the political struggle and the appearance of various new opposition forces, including the left ones, complicates everything. At this point, the Communist Party as the party of the status quo, as the party that guarantees the preservation of the current order, is under attack, just like United Russia is," concluded Boris Kagarlitsky.
Russian missile brigades to be armed with Iskander systems by 2020
On Thursday, Feb.14, the Chief of the General Staff, Colonel-General Valery Gerasimov said that all missile brigades of the Russian Federation would be armed with Iskander missile complexes by 2020.
"By 2020, we will switch all missile brigades to Iskander," said Gerasimov at a news conference in Moscow.
Noteworthy, the head of Russia's defense export corporation Rosoboronexport has recently denied the information about Russia's shipment of Iskander tactical missile complexes to Syria. In July last year, Russia allocated more than 24 billion rubles to modernize the production of Iskander-M missile complexes.
Meteor attack in Russia injures 1,200, causes billion rubles of damage
The Russian Academy of Sciences, which investigates the unexpected "meteor attack" in the Urals, has shared preliminary results with the general public.
"According to our estimates, the body was a few meters large, it weighed about ten tons, and its power was a few kilotons. The celestial body entered the atmosphere at the speed of 15-20 kilometers per second, collapsed at an altitude of 30-50 kilometers, and the movement of fragments at high speed caused powerful glow and a strong shock wave. The bulk of the material of the falling body evaporated, the remaining pieces slowed down and could fall to the ground as meteorites," ITAR-TASS quoted the press service of the RAS.
The flight of the meteorite in the sky over the Chelyabinsk region was accompanied with three explosions of varying power, the chairman of the regional branch of the Russian Geographical Society, Sergey Zakharov said. "From what I saw, the balls of fire were flying from the south-east to north-west. There were three explosions that were preceded with a bright flash of light, with a temperature of approximately 2,500 degrees Centigrade. The first explosion was the strongest," the scientist said.
In the video below you can see clips of the fall, explosions and destruction (the video of the crater at 3:00 is fake - it is actually the footage of a gas crater in Turkmenistan).
According to most recent information from the Interior Ministry, as many as 1,200 people suffered from the meteor attack. The local authorities have evaluated the damage at one billion rubles.
A report from the Russian Geographical Society said it was a bolide explosion, rather than a meteor shower. "A bolide is a large celestial body, actually a large meteor, that exploded when entering the lower, denser layers of the atmosphere, and showered the ground with debris, - said Zakharov. - A meteor shower is practically safe - it is a flow of crushed rocks falling from space. Repeat: we had a fireball, or a bolide explosion."
"A Bright white flash of light was so intense that it fully illuminated the huge yard of the apartment building where I live, - the scientist shared his personal impressions. - Its brightness was increasing incrementally - the flash lasted for about five seconds in total. Everything was happening in absolute silence. The sound that is, the shock wave, came six minutes later. Immediately after the explosion dogs started whining, flocks of pigeons flew up into the sky, car alarms went on. Nobody could understand what had happened ....."
According to experts, the explosion occurred at the height of about 60-70 km. The estimated power of the blast is 1 - 10 kilotons. "But according to measurements from the other side of the city, the height could be 30 km. In this case, the power of the explosion was from 0.1 to 1 kiloton. The epicenter of the explosion was to the south of Chelyabinsk," said the scientist.
Meanwhile, Interior Ministry officials said that two fragments of the meteorite were found in the Chebarkul district of the Chelyabinsk region. Another one was found in Zlatoust.
EMERCOM officials are careful in their comments about the recovered fragments of the space body. "The fragments range from 5 mm to 1 cm. We do not have any precise information yet," officials told Interfax.
The Russian president is concerned about the situation with the fall of the meteorite, ITAR-TASS said. He held a meeting with the head of the Russian Emergencies Ministry, in which Minister Vladimir Puchkov requested Moscow specialists should be sent to the Chelyabinsk region.
The fall of the meteorite in the Chelyabinsk region affected, according to latest reports, up to 600 local residents. Dozens were hospitalized. "As many as 571 people have asked for help, 34 were hospitalized," officials said. Two victims remain in a serious condition. Meanwhile, according to the governor of the Chelyabinsk region, 725 people sought medical treatment, including 159 children.
Many people are still shocked about what happened. An employee of one of the branches of The Post of Russia was hospitalized with a heart attack. The blast frightened many children, who were at school at the time of the incident.
More than 100,000 square meters of windows have been smashed in the Chelyabinsk region as a result of the explosion. A total of almost 3,000 apartment buildings have been damaged. To repair the shattered windows, the local authorities want to resort to the help of a local glass factory. However, the number of workers at the plant is not enough to help people quickly, so the authorities seek the assistance of volunteers.
Windows were shatters in 34 medical institutions, 361 child care centers, schools and kindergartens.
As of 8:00 p.m. local time, February 16, the number of victims increased to 985 people. Forty-three people were hospitalized. Two remain in a critical condition. No casualties have been reported.
Ukraine Legend Andriy Shevchenko Could Come Out Of Retirement To Play In Indonesia
JAKARTA, Indonesia -- Former Ukraine international striker Andriy Shevchenko is set to come out of retirement to play in the Indonesian Soccer League.
The 36-year-old former AC Milan and Chelsea player, who retired after the conclusion of Euro 2012 last summer, has been offered the chance to join ISL side Mitra Kukar, and will reportedly be paid $100,000 per game.
"Obviously we're interested in Shevchenko, but we have to continue to discuss this question, particularly the financial aspects," Mitra Kukar manager Roni Fauzan told the Indonesian press.
"Andrey has made clear that he is not against joining Mitra Kukar, but at the moment we don't know how much he'll be able to play."
"We'd like to invite Andrey for 10 games, but he apparently is happy to play no more than five times," Fauzan added.
Aside from Shevchenko's lack of match preparedness - since retiring he has hardly played, having instead devoted his time to politics and golf - another problem could be the Indonesian league's transfer window.
"If we do sign Sheva he'll only be able to play in the second half [of the championship] as the period for registering new players is closed," Fauzan said.
"But to start with we have to discuss the budget for transfers with members of the club's board."
It has been reported that Shevchenko caught the eye when he appeared in a friendly for an AC Milan legends team against an ISL League All-Star side over the weekend.
The 111-times-capped Ukraine international had a distinguished playing career, scoring a total of 175 goals for AC Milan in two separate spells, making him the second-highest goalscorer in the club's history.
He was less successful at Stamford Bridge, where he managed just 22 goals in 77 appearances after moving to London for a fee of £30.8 million ($48 million).
Having returned to his native Ukraine to play for Dynamo Kiev, Shevchenko retired from all football following his national team's elimination from Euro 2012 at the hands of England last summer.
Ex-Ukraine PM Fraud Trial Delayed
KIEV, Ukraine -- A Ukrainian court today delayed the tax evasion and embezzlement trial of former prime minister Yulia Tymoshenko after she refused to attend the hearings, citing poor health.
Tymoshenko, the main political opponent of President Viktor Yanukovich, was sentenced to seven years in prison in October 2011 in a separate abuse-of-office trial but has been treated in a state-run hospital since last May for back trouble.
Her case has soured Ukraine's diplomatic ties with other states, with many in the West viewing it as an example of selective justice and urging her release.
"The hearings are delayed until March 5," Interfax news agency quoted Judge Kostyantyn Sadovsky as telling the court in the city of Kharkiv.
Tymoshenko's second trial, based on charges that date back to the 1990s when she ran a large gas trading business, has been repeatedly delayed since last April due to her refusal to attend.
Her initial conviction was related to a 2009 gas supply deal with Russia which she brokered as prime minister.
Yanukovich's government says the contract saddled Ukraine with exorbitantly priced fuel and is a drag on the economy.
In the second case, she has been charged with dodging taxes and plotting to embezzle state funds.
Later this week, another Ukrainian court is due to start pre-trial hearings in a third case against Tymoshenko for allegedly ordering a contract killing of a local businessman and parliament deputy in 1996.
Tymoshenko (52), one of the leaders of the 2004 Orange revolution protests that derailed Yanukovich's first bid for presidency, has dismissed all charges against her as a vendetta by the president.
Tymoshenko has served twice as prime minister since the Orange protests and ran against Yanukovich in the 2010 presidential election, losing in a close run-off.
After her initial conviction, the European Union shelved planned landmark deals with Ukraine on political association and free trade.
Brussels has said it could sign the agreements this year if Ukraine addresses the issue of selective justice along with other concerns.
The IMF, leaving Ukraine with a promise
The IMF, leaving Ukraine with a promise it would return to talks on a $15 billion loan, warned Kiev it faced a second year of near-zero growth and was vulnerable to further shocks due to its high current account deficit.
Rounding off a two-week visit to the former Soviet republic, the IMF mission said it would return in March to continue talks with the government on a new stand-by agreement to replace that which lapsed in December.
Kiev has been in negotiation with the delegation since Jan. 29 on a new deal to help it service foreign debt repayments set to peak at about $9 billion this year.
Money owed by Ukraine to the IMF itself accounts for about two-thirds of that sum.
Before the IMF mission left the Ukrainian capital for home its chief, Christopher Jarvis, issued a stark warning that Ukraine faced "serious challenges" in the year ahead.
"In the absence of corrective policies our forecast for 2013 is growth of 0-1 percent and a high current account deficit that leaves Ukraine vulnerable to shocks," he said in a statement.
"With better policies Ukraine can achieve better outcomes ... We expect the mission to return to Kiev in March to continue the discussions," he said.
Harking back to a deal-breaker in the past - the Kiev government's refusal to raise gas prices in the home - Jarvis said:
"Large subsidies on gas and heating for households continue to undermine Ukraine's budget and its balance of payments."
Ukraine has, to date, signed seven loan deals with the Fund.
But the last one, which was also for $15 billion, was suspended in early 2011 part way through when President Viktor Yanukovich's government refused to make ordinary Ukrainians pay more of the real cost of the gas it buys from Russia.
Ukrainians officials gave no indication of what concessions the Kiev government might now - after a first round of talks - be ready to make to come to terms with the Washington-based Fund, one of its biggest foreign lenders.
NOT THERE YET
Ukrainian officials said the sides had given themselves more time for negotiations.
"The (IMF) mission will carry out technical work in Washington and prepare the next round of talks," Vitaly Lukyanenko, a spokesman for prime minister Mykola Azarov, said.
"The mission is studying Ukraine's fiscal, exchange rate, monetary and energy policies," he said.
Asked whether a memorandum on a new loan deal had been drafted, Lukyanenko said:
"We are not at that stage yet."
Separately, Economy Minister Ihor Prasolov told reporters he expected another "technical" IMF mission to visit Kiev soon, followed by a third mission which would be ready to finalise the loan talks.
"The (third) mission will arrive, maybe in the second half of March, in late March, and we, on both sides, will be more prepared to move towards drafting a memorandum and we will prepare for its signing," Prasolov said.
Though the IMF is clearly continuing to press for an adjustment to utility prices under any new agreement, the government well knows that such a step will significantly deepen its unpopularity at home.
Ukraine's budget deficit doubled last year to $6.7 billion or 3.8 percent of gross domestic product as the government of Prime Minister Mykola Azarov boosted spending in the run-up to the October parliamentary election.
The Fund has also argued the Ukrainian hryvnia, pegged at about 8 per dollar since early 2010, is overvalued and called for Kiev to allow greater exchange rate flexibility.
Five Killed As Plane Crash-Lands In Eastern Ukraine
DONETSK, Ukraine -- At least five people were killed when a plane carrying football fans attempted an emergency landing and caught fire in the eastern Ukrainian city of Donetsk.
The Antonov AN-24 plane was on an internal charter flight from the Black Sea resort of Odessa, with more than 40 people on board.
It overshot the runway at Donetsk airport.
Most of those on board escaped as the plane caught fire.
Twelve people were injured.
The cause of accident was not immediately clear.
However, one report said the airport was shrouded in thick fog at the time.
The twin-engine turboprop was carrying supporters travelling to a Champions League football match in the city, between Shakhtar Donetsk and Germany's Borussia Dortmund.
A minute's silence was held before the game which ended in a 2-2 draw.
'Tin can'
The Ukrainian emergency situations ministry said the plane had overshot the runway as it made the emergency landing at Donetsk's Serhiy Prokofiev International Airport.
The plane then caught fire and broke up.
A number of politicians and businessmen from the Odessa region were on board.
A local police source told the AFP news agency that the aircraft came to rest about 700m (2,300ft) from the runway.
"We collided with the ground, then the plane opened up like a tin can," one passenger told Ukraine's Kanal 5 TV.
"Thanks to the crack that formed in the fuselage, we were able to get out of the plane before it caught fire."
The survivors were later ferried by bus to the airport.
Reports in Ukrainian media said the aircraft was operated by Pivdenni Avialinii (South Airlines), which is based in Odessa.
Search For Missing Madeleine McCann 'Switches To Russia And Ukraine'
LONDON, England -- A charity searching for lost children in Moscow and Kiev said it had been asked by a source close to the McCanns to investigate.
The hunt for Madeleine McCann is switching to Russia and Ukraine at the request of her family, it was claimed yesterday.
A charity searching for lost children in Moscow and Kiev said it had been asked by a source close to the McCanns to investigate.
Posters have been produced in Russian and yesterday the country’s largest news website, Life News, ran a story on her disappearance.
A charity worker said:
“A close friend of Madeleine McCann’s family contacted us and asked us to look for her in Russia and Ukraine.”
A source in Moscow added:
"As I understand it, the family has more hopes for Ukraine but I don't know any details."
"We are ready to post information on our websites and social network groups plus we are ready to distribute the posters in the Russian language."
"Missing children is our job."
Madeleine was nearly four when she vanished during a holiday in Portugal in 2007.
It is not known if the hunt in the ex-USSR is based on any specific information.
Ukraine's Tymoshenko Faces Turbulent Murder Trial
BUDAPEST, Hungary -— Jailed former Ukrainian Prime Minister Yulia Tymoshenko is facing a trial on murder charges. Proceedings continued Thursday after she was fined for refusing to appear at the Kiev court while riot police pushed protesters out of the courtroom.
The trial resumed after police dressed in full riot gear stormed the courtroom and pushed out deputies of her party.
The legislators are furious at what they view as a political trial against the opposition leader, who already is serving a seven-year prison term on charges of abuse of power.
Unmoved by the protests, the judge at Kiev's Pechera District Court fined Tymoshenko the equivalent of $2,000 for refusing to attend the hearing into the killing of a Ukrainian parliamentarian more than 16 years ago.
Public prosecutor Ihor Pushkar defended the punishment.
He said Tymoshenko "released a statement in the afternoon saying she wished to be brought to court."
But, the prosecutor added, "This was clearly an attempt to delay the trial and manipulate public opinion.”
Yet her lawyer, Serhiy Vlasenko, told reporters that his client wanted to face the court.
The lawyer explained that “Yulia Tymoshenko stated both verbally and in written form that she demands to be present at the hearing."
But, he said, authorities "are afraid of Tymoshenko appearing in public. They are afraid she will discredit their witnesses.”
Last month, Ukraine's prosecutor-general said Tymoshenko was a suspect in the murder of Yevhen Shcherban at an airport in eastern Ukraine in 1996.
There is controversy, however, over a key witness asked to testify in the trial.
Journalists said they were unable to hear his name and that the man acknowledged his information came from other sources.
This is not the only trial faced by Tymoshenko, who has been treated for serious back pain in a prison hospital.
On Tuesday, separate tax evasion proceedings against her were postponed again after she did not appear in court.
Tymoshenko claims the charges are politically motivated and an attempt by the president and government to stifle the opposition, a view shared by the European Union, the United States and human rights groups.
This week, her former acting defense minister, Valery Ivashchenko, was reportedly granted political asylum in Denmark amid concerns he could be jailed again on controversial charges of financial wrongdoing.
Last year, Tymoshenko's husband, Oleksander Tymoshenko, received political asylum in the Czech Republic.
The European Union has already warned Ukraine that the imprisonment of Tymoshenko and the perceived lack of reforms threaten deals on more trade and closer political ties.
Ukraine's leadership has strongly denied wrongdoing in Tymoshenko's case, saying courts are independent.
Sudan Wants To Buy Five Antonovs From Ukraine - Minister
KHARTOUM, Sudan -- Sudan is in talks with Ukraine to buy five Antonov planes, its transport minister said on Wednesday, seeking to work around U.S. trade sanctions that have devastated its air fleet.
Sudan Airways, one of Africa's oldest airlines and which used to fly across the continent and as far away as London and Frankfurt, is a shadow of its former self.
Largely shut off from the airline industry due to a U.S. trade embargo, Sudan Airways is down to less than 10 Airbus, Boeing and Fokker aircraft - most of them were bought second-hand, some more than 15 years ago.
To end the daily struggle to find a maintenance firm willing to ignore the embargo and sell Airbus and Boeing spare parts for a hefty premium, Sudan Airways wants to use Ukrainian-made Antonovs in the future.
The government signed with a preliminary deal with Ukraine to buy five Antonov planes choosing An-158 and An-148 models, transport minister Ahmed Babiker Nahar said after visiting Kiev last week.
Sudan hopes to finance the planes with a loan from Antonov, he said.
Kiev-based Antonov confirmed talks with Sudan.
"A contract about delivering planes has not been signed yet. Talks are going on," a spokeswoman said, adding that the question of financing the deal was still being discussed.
While Airbus and Boeing refuse to deal with Sudan to avoid upsetting U.S. authorities due to their large U.S. business, Antonov has been long delivering planes to Sudan.
The Sudanese army and the government's fleet operation have Antonovs, several of which have been involved in recent crashes.
A military Antonov An-12 crashed near the capital Khartoum in October, killing 13 people.
A government minister and 31 other people died when an Antonov An-26 went down in bad weather in mountains in South Kordofan state in August.
"The new models have a very high standard and their safety is very good," Nahar said.
He said the deal, which would be probably finalised during the visit of an Ukrainian delegation in March, would involve a maintenance arrangement with an Antonov workshop in Khartoum.
The minister gave no details on the value of the deal, saying only that part of it would be probably be funded by a loan.
Sudan struggles with a budget crisis after losing most oil production, the biggest source for state income, to South Sudan when it became independent in 2011.
Russian President Putin Assassination Plotter Osmayev On Trial In Ukraine Went To Wycliffe College in Stroud, Gloucestershire
If it came up in the pages of a John Le Carre novel, it might be dismissed as being a twist too far – but a former pupil of one of the region's top public schools is on trial for allegedly plotting to blow up the Russian president.
Adam Osmayev, 32, who is accused of being involved in a bizarre plot to kill Vladimir Putin, attended the sixth form of Wycliffe College in Stonehouse, near Stroud, for a couple of years more than a decade ago, his guardian at the time, Robert Workman, confirmed yesterday.
Britain's top public schools were fertile recruiting grounds for MI5 and MI6 during the Cold War.
But even in the most fevered imagination of a fiction writer, it is unlikely any schoolboy plot to kill the Soviet president would have seen the light of day in print.
But truth, as they say, is stranger than fiction and Osmayev is currently appearing in court in Odessa, in southern Ukraine.
The allegation he faces is that he planned to detonate a homemade bomb next to Putin's motorcade as it was driven through Moscow.
Lawyers for Chechen-born Osmayev have however claimed Russian and Ukrainian security services have fabricated the prosecution.
Mr Osmayev has managed to avoid extradition to Russia, but is nevertheless facing the grim prospect of a 15-year prison sentence if found guilty by the Ukranian court.
Retired Mr Workman acted as guardian to 130 Wycliffe students during a 13-year period.
He and his wife's role for the fee-paying public day and boarding school was to provide a home for students unable to return to their families during half-terms and holidays.
"I am amazed he is still alive, to be honest," Mr Workman said.
"We hadn't heard of him for ages. It's extraordinary to think of him facing such charges."
Mr Workman said he clearly remembered his wife asking the teenage Osmayev at the dinner table what he wanted to do when he was grown up.
"He said: 'I want to be president'," recalled Mr Workman.
"My wife thought he perhaps meant president of a company in industry. But he said 'no, president of Chechnya'."
Mr Workman added that on another occasion, Osmayev hired a limousine when his family visited him in the UK.
"He drove it from Heathrow to Stroud and it bottomed-out on a bridge," said Mr Workman, who lives near Stroud.
Other notable Old Wycliffians include BBC newsreader Charlie Stayt and Gloucestershire cricketer Alex Gidman.
Adam Osmayev, 32, who is accused of being involved in a bizarre plot to kill Vladimir Putin, attended the sixth form of Wycliffe College in Stonehouse, near Stroud, for a couple of years more than a decade ago, his guardian at the time, Robert Workman, confirmed yesterday.
Britain's top public schools were fertile recruiting grounds for MI5 and MI6 during the Cold War.
But even in the most fevered imagination of a fiction writer, it is unlikely any schoolboy plot to kill the Soviet president would have seen the light of day in print.
But truth, as they say, is stranger than fiction and Osmayev is currently appearing in court in Odessa, in southern Ukraine.
The allegation he faces is that he planned to detonate a homemade bomb next to Putin's motorcade as it was driven through Moscow.
Lawyers for Chechen-born Osmayev have however claimed Russian and Ukrainian security services have fabricated the prosecution.
Mr Osmayev has managed to avoid extradition to Russia, but is nevertheless facing the grim prospect of a 15-year prison sentence if found guilty by the Ukranian court.
Retired Mr Workman acted as guardian to 130 Wycliffe students during a 13-year period.
He and his wife's role for the fee-paying public day and boarding school was to provide a home for students unable to return to their families during half-terms and holidays.
"I am amazed he is still alive, to be honest," Mr Workman said.
"We hadn't heard of him for ages. It's extraordinary to think of him facing such charges."
Mr Workman said he clearly remembered his wife asking the teenage Osmayev at the dinner table what he wanted to do when he was grown up.
"He said: 'I want to be president'," recalled Mr Workman.
"My wife thought he perhaps meant president of a company in industry. But he said 'no, president of Chechnya'."
Mr Workman added that on another occasion, Osmayev hired a limousine when his family visited him in the UK.
"He drove it from Heathrow to Stroud and it bottomed-out on a bridge," said Mr Workman, who lives near Stroud.
Other notable Old Wycliffians include BBC newsreader Charlie Stayt and Gloucestershire cricketer Alex Gidman.
Saturday 9 February 2013
Russia And Ukraine Adopt Poker Faces As Questions Loom Over $7Bn Gas Bill
KIEV, Ukraine -- With billions of dollars of natural gas at stake, Ukraine and Russia seem to once again be putting brotherly Slavic love aside in favour of poker-faced brinkmanship.
It’s been two weeks since the FT revealed that Russia’s Gazprom had slapped Ukraine with a whopping $7bn bill for natural gas not supplied in 2012.
Strangely, Gazprom has not said much on the matter since then.
It could yet challenge Ukraine through arbitration, yet Ukrainian officials appear unphased by the prospect.
They claim to have a strong legal case and more leverage than ever in the past, and are already taking about further cutting Russian gas imports – buying, instead, large volumes of less expensive gas from other European suppliers.
Supposedly, Gazprom’s view is that Kiev should pay the massive bill: it’s an automatic penalty for violating a “take or pay” clause from a 2009 supply contract that Kiev has long sought to renegotiate, citing discriminatory prices and other “unfair” conditions.
Officials in Kiev are sticking to their original line, insisting their country has met all obligations having paid more than $10bn for gas actually imported last year from Gazprom.
“We do not consider it appropriate to pay the $7bn bill, because we have no reasons for that.
We complied with the required terms of the contract,” Eduard Stavytsky, energy minister, told journalists on Thursday.
Having just two weeks ago inked an unconventional onshore gas exploration deal with Royal Dutch Shell worth a potential $10bn, Ukrainian officials say they are now swiftly moving to ink production sharing agreements with Chevron of the US, which hopes to explore potentially large shale gas reserves in western Ukraine.
An offshore exploration deal with a consortium led by ExxonMobile of the US is also expected to be signed this year.
Should commercially viable hydrocarbons be unearthed by these landmark projects, they could in the long-term break longstanding dependency of Ukraine’s energy intensive economy on Russian fuel imports.
Another card Kiev is pulling out is the possibility, as early as the first quarter of this year, of further reducing its purchases of Russian gas by beginning large scale imports of less expensive blue fuel from Europe.
Few in Kiev expect a repeat of the Russia-Ukraine 2006 or 2009 gas price disputes that disrupted EU supplies.
Ukrainian officials say they are not giving up hope that Gazprom, faced with the long-term risk of losing one of its largest foreign customers, will agree this year to lower prices from current high levels that they say are discriminatory.
If not, however, they say they are ready to begin using alternatives.
Late last year, Ukrainian officials said preliminary agreements had been reached covering 5bcm to 8bcm of imports from other suppliers in 2013.
On Thursday, Stavytsky said technicalities were currently being worked out with Hungary and Slovakia, adding that imports could commence in the first quarter of this year.
“There are some technical issues with Slovakia, which we are dealing with, and virtually all issues with Hungary have already been settled,” he said.
Yet even if Hungary and Slovakia sanction reverse gas flows allowing EU gas to flow backwards into Ukraine’s vast pipeline transit system, some sources say that EU companies will not be inclined to offend Gazprom by becoming an alternative supplier to Ukraine.
In doing so they could violate contracts with Gazprom that restrict them from reselling gas to other customers.
Time will tell if Ukraine’s talk is a bluff designed to gain leverage in price negotiations, or yet another paradigm shift in the complicated Russia-Ukraine energy equation.
In a February 8 note to investors, Kiev-based investment bank Concorde Capital put it this way:
As experience tells us, importing gas from the West does not look like a bargain alternative for Ukraine.
Imported gas from Germany was just 1% ($5 per thousand cubic meters) cheaper than what was offered by Gazprom in November.
Based on this, we estimate the December and January imports of European gas would have been less beneficial for [state-gas company] Naftogaz compared to the Russian alternative, as average spot prices in Europe were $9 per thousand cubic meters higher for these two months than in November.
However, the European prices might seasonally decline in the spring, which would make the Western alternative more attractive.
The key question is capacity to export gas from the West – so far we do not see any basis for Ukraine importing up to 5 bcm from the EU.
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