June 20, 2015

06/18/2015 Ukraine: Daily Highlights - Gen. Grytsak appointed as acting head of the SSU

Head of the Antiterrorist Center Grytsak appointed as acting head of the SSU, former head Nalyvaichenko has been dismissed
Gen. Grytsak appointed as acting head of the SSU

06.18.2015 Daily Highlights by the Digests & Analytics Ukraine News Agency

Topics from Media and Social Networks

  • Head of the Antiterrorist Center Grytsak appointed as acting head of the SSU, former head Nalyvaichenko has been dismissed.
  • The volunteer battalion "Tornado" base surrounded by National Guard.
  • Belgium, Austria and France arrested Russian assets due to the "Yukos" case.

Key Events in Ukraine

  • The Verkhovna Rada has dismissed the head of the Security Services of Ukraine Nalyvaichenko, almost all factions including members of his former party voted for the resignation. President Poroshenko held meetings with all factions the night before, urging MPs to vote for the resignation. There are reports in the media about bribery of deputies and secret agreements . Discharge from position passed without final report from Nalyvaichenko and without clear explanation of the reasons for the dismissal.
    At a meeting with the SSU top officials President Poroshenko introduced Head of Anti-Terrorist Center Gen. Grytsak as acting head and reminded that the Verkhovna Rada will need to approve his appointment.
  • The deputies ratified the memorandum on getting of macro-financial assistance (loan) from the European Union for the amount of €1,8 Bln.
    Also according to the request of the IMF a law changing the procedure of transferring the profits of the NBU in the budget was passed. Common reserves of the bank must be filled first and the remainings will be transferred to the state budget.
  • A law enforcing the deprivation Yanukovych of the rank of President adopted by the Parliament on the February, 4 came into effect.
  • The IMF representative reminded the Ukrainian government about the need to fulfill their obligations. Changing the tax regime to common one for the agricultural sector must be adopted until September, as well as abolition of tax benefits for agricultural manufacturers. As a result the budget should receive an additional 30 billion UAH.
  • "Naftogaz" has announced a competition for the position of Chairman of the Board of  "Ukrnafta" - company in which 50% + 1 share own by state. Term of contest would not exceed 50 days. Distribution of the dividends of "Ukrnafta" is blocked now by minority shareholder owned by oligarch Kolomoisky.
  • The Cabinet ordered "Naftogaz" to change the management of "Ukrgasdobycha" immediately because its financial and economic activity report shows multimillion debts.
  • Heat distribution companies owe more than 22 billion UAH to "Naftogaz", the largest debtor is "Kyivenergo", owing 3.2 billion UAH.
  • State Statistics Committee reported that for five months in 2015 consumer prices of food and essential commodities have increased by 41%. For the year, real wages of Ukrainians decreased by more than a quarter. Food prices are the lowest in Europe but at the same time wages are characterised by significantly lower rates than in neighbor countries. Consequently, living standards are low.
  • The Interior Ministry announced the arrest of three suspects in the murder of anti-Ukrainian journalist Busina. According to the minister Avakov detained men served in special units that took part in the fighting.
  • The head of Lugansk military-civilian administration Moskal requested the prosecution of policemen from the special forces battalions "Chernihiv" and "Tornado". Interior Minister Arsen Avakov signed the order to disband the "Tornado" unit, five soldiers were arrested. According to the volunteers reports, soldiers surrounded by the National Guard had barricaded themselves on the base. Interior Ministry spokesman said that the storming of the "Tornado" bases will not happen.
  • National Bank slightly risen the official rate of hryvnia: 21.33 UAH/USD (-0.32 UAH), 24.32 UAH/EUR (-0,10 UAH), 4.00 UAH/RUR 10 (-0.02 UAH).

Ukraine at War

  • Incessant militants attacks on the Marinka have continued with tanks, artillery and MLRS. Observers noted the similarity of the situation with the winter events in the Donetsk airport. Shirokino was shelled with mortars and artillery. The towns of Peski and Avdeevka have been under constant shelling. At night the attack intensified, insurgents shelled residential areas adjacent to the airport in Donetsk to make impression of retaliatory fire of the Ukrainian army. There are numerous casualties amongst the civilians, . Observers say that the mortar attacks were carried out from the territory controlled by the rebels.
    According to official data three Ukrainian soldiers were killed and 14 wounded during the last day.
  • The General Staff announced the start of the sixth wave of mobilisation from 19 June to 17 August to increase the level of combat readiness of the army and planned rotation of military personnel mobilised as part of the third wave.

Ukraine and the World


  • The Latvian Foreign Minister said that Russia's nuclear threat and escalation of aggression in the Donbass are pushing the country to increase the number of NATO troops and equipment. Poland announced their willingness to accommodate additional NATO troops on its territory.
  • According to the UN, Ukraine is ranked ninth in the world in the number of internally displaced persons - 1.3 million people moved out of the Donbas to the non-occupied territory, more than 800 thousand became refugees moving to neighbouring countries.
  • The US Senate passed the defense budget, which allocates $300 million for Ukraine to  purchase of radar and anti-tank systems.                                                                        The new US financial year begins on October 1.
  • France, following Belgium, arrested Russian state assets in the case of "Yukos", including an account of the French subsidiary of the bank "VTB" and news agencies "Russia Today" and TASS. Moscow considers the judgment unlawful and such that could be appealed and eliminates the possibility of any payments.
  • Russia threatens retaliatory arrests of Belgian property.
  • The West plans to introduce new sanctions against Russia in the case of escalation of the conflict in the Donbass, in particular, Russian banks will be switched of from the electronic payment system SWIFT and energy export will restricted.
  • The IMF said that on June 30 Greece could default, but hopes that the funds for the next payment to creditors will be found. According to many MEPs, the Greek default could lead to the collapse of the Eurozone. The United States called for an immediate solution to the problem of Greek debt.

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