August 11, 2014

4-10.08.2014 Weekly Highlights by “Digests & Analytics Ukraine” News Agency

August 04-10, 2014 Ukraine:Weekly Highlights
War in Ukraine
  • Russia continue to concentrate invasive military units on Ukrainian border, continuously shelling Ukrainian military strongholds and cities from its territory, supply LPR and DPR terrorists with armored vehicles, artillery, ammunition and mercenaries through parts of the border not covered by Ukrainian border guards.
  • Ukrainian army, contain terrorists forces near big cities, advance to their territories, recently cut the supply between Donetsk and Luhansk, successfully combat near the border and liberated Popasna and Miusinsk. Terrorists are trying to build massive strongholds in big sites and use civilians as a shield.
  • Soldiers of the 72nd paratroopers brigade succeeded to escape from encirclement near Krasnopartysansk. Part of the unit have been forced to enter Russian territory, court arrested 5 officers but all militaries have been afterwards reeled and came back to Ukraine.
  • Terrorists are systematically destroying the infrastructure in Donetsk, Luhansk and Gorlivka, shelling residential areas with artillery, mine throwers and multiple rocket launchers «Grad», lots of killed and injured have been reported among civilians. Luhansk is at the edge of humanitarian catastrophe.
  • International experts, engaged in investigation of the MH17 flight catastrophe, have been forced to terminate the  mission due to continuous shillings by terrorists, part of them have already left Ukraine. Identification of the bodies have just started. Ukrainian armed forces doesn’t conduct any battle operations in 20 km zone around the crash site. Head of the Security Services of Ukraine Nalyvaychenko made public the evidence, affirming that Russia had been preparing a provocation with annihilation of the Aeroflot airplane, aimed to acquit the open invasion to Ukraine but DPR terrorists made a mistake with the target.
  • DPR terrorists shut down Ukrainian jet fighter MIG-29 and medical helicopter, with SA class missile «Byk».
  • Security Services of Ukraine massively captures subversive terrorists groups in the areas liberated from terrorists as well as on Ukrainian mainland.

Economics
  • Kyivenergo almost completely cut off hot water supply in Kyiv, claiming that such measures are needed to save gas for the winter season.
  • Fx rate of local currency Ukrainian Hryvnya (UAH) devaluated by 5% during the week: 12.6 UAH / 1$, 16.85 UAH / 1€. This is the strongest decline since April 2014, when absolute minimum was reached - 12.96 UAH / 1$, 18 UAH / 1€.
  • Ukrainian Government elaborated the list of Russian enterprises and persons for further introduction of sanctions. The list should be approved by Verkhovna Rada on August 12th.
  • Ukrainian Government increased capitalization of NJSC "Naftogaz" by three folds up to 96 bln. UAH via issue of state bonds and maintaining the State ownership.
  • Ukrainian Government developed the package of tax laws as a basis for the 2015 budget. The package includes decrease of number of taxes from 22 to 9, inclusion of the luxury tax into the excise tax, ecological tax and target electricity fee, strong redistribution of tax collections in favor of    local budgets (property tax, single tax and major part of the personal income tax), creation of a single body of financial investigations instead of tax police and other investigative units in the economy field, unification of tax and managerial accounting, as well as sharp decline of the salary tax for enterprises with introduction of progressive scale of incomes taxation.
  • Currency reserves of the National Bank of Ukraine declined by 6% during last month due to management of the sovereign debt, inflation slightly slowed down.
Politics
  • President Poroshenko accepted the resignation of the National Security and Defense Council Parybiy.
  • Pechersky Court in Kyiv issued the order to arrest Russian citizens Zyuganov, Tymchenko, Zhirinovsky, Shojgu and Malofeev for accusation of financing and supporting of terrorists.
  • President Poroshenko approved increase of the age threshold for military service up to 60 years for general population and up to 65 for high ranked officers.
  • Russia tried to invade Ukraine at the pretext of peacekeeping mission but this try was blocked by the efforts of the international community. UN Security Council twice declined Russian resolution on unilateral humanitarian aid to eastern Ukraine.
  • Russia implemented sanctions against food, raw materials and selected agricultural goods from US, EU, Norway and Australia, as all as is considering to introduce the no-fly zone for their airlines.
  • NATO Secretary General confirmed complete termination of cooperation with Russia, as well as introduction of extra measures to reinforce collective defense of alliance members.
  • Tents, barricades and the scene have been removed from Maidan Nezalezhnosti in Kyiv, despite the protests fro Maidan activists, car traffic zone have been established on Khreshatyk.

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