September 18, 2014

17/09/2014 Ukraine: Daily Highlights -While visiting North America, President Poroshenko attempts to get both financial and military support to Ukraine

Президент Порошенко выступил в парламенте Канады.

17.09.2014 Daily Highlights from “Digests & Analytics Ukraine” News Agency

While visiting North America, President Poroshenko attempts to get both financial and military support for Ukraine. Understanding that conflict with Russia will inevitably widen and EU member states will get involved, is coming Europe. Numerous cease-fire breaches by Donbass militants are being evidenced by OSCE.

Ukraine

  • Temporary investigative commission of Verkhovna Rada have recently reported that budget financing and funds collected by the state on voluntary basis had been ineffectively used for army and security agencies needs.
  • Prime Minister Yatsenyuk said that legislation on a special status for Donbass doesn’t mean legalization of DPR and LPR, as well as urged power ministries to be fully prepared for the Donbass conflict escalation.
  • National Bank devaluated Ukraian hryvnya vs the US dollar: 13.08 UAH/USD (-10 cop), 16.94 UAH/EUR (-16 cop), 3.38 UAH/10 RUB (+4 cop). Quotes reached 14.1-14.4 UAH/USD during the trading session but finally went down to 13.9-14.25 UAH/USD by the end of the trading session.

War in Ukraine

  • Cease-fire in Donbass in ongoing with Russian special forces attacking Donets’k international airport. Shelling of Schastye town, where the major thermal power station of Luhans’k region is located, led to destruction of power transformers and power cut off for several districts. Shelling of residential areas of Donets’k and other cities are ongoing. Civilians are being killed and wounded every single day.
  • Russian security services continued searches in the building of the Crimean Tatars Medzhlis and in houses of Crimean Tatars.
  • OSCE monitoring mission sees evidence of increase in the numbers of people returning to Ukraine through check-points on the Ukrainian-Russian border, as well as numerous Donbass cease-fire breaches by terrorists.

International

  • Arrest of one of the leading Russian businessman Evtushenkov, an owner of such companies as “AFK Systema” and “Bashneft”, accused of fraud, has led to a sharp decline of Russian stock indexes. Russian ruble has strengthened a bit due to the Centrobank interventions with sales of dollars, but market players are skeptical about the volume of the intervention as well as its effectiveness even in the short term.
  • President Poroshenko made a splash at Canadian Parliament. 200 millions of Canadian dollars of credit and a start of free trade agreement preparations have been agreed on during negotiations with Canadian Government.
  • A bill on arms supply to Ukraine has been submitted to the US Senate and will be voted just after the speech of President Poroshenko.
  • Russian Foreign Affairs Ministry expressed satisfaction with Ukraine adopting the legislation on special status of Donbass and stressed that any attempts to cancel or amend it will lead to an escalation of confrontation.
  • EBRD has recently worsened a forecast for Ukrainian economy decline from -7% to -9% due to the active combat operations.   

Trends

  • Active public opinion shaping via publicizing of sociological reports is  being widely used during campaign for the early parliamentary elections, both by the presidential party, as well as by outsiders.

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