02/10/2014 Ukraine: Daily Highlights - hina will not join the sanctions of the West against Russia

02/10/2014 Daily Highlights from “Digests & Analytics Ukraine” News Agency

China is taking Russian markets from Europe and the US. Donetsk International Airport is a «die hard» for DPR terrorists.

Ukraine

• Inhabitants of 30 km borderline zone will be able to use visa free regimen with Romania, as announced in the document, recently signed by Prime Ministers of Ukraine and Romania.
• National Bank maintained exchange rate of hryvnya unchanged: 12.95 UAH/USD, 16.32 UAH/EUR (+ 2 cop), 3.27 UAH/10 RUB (-2 cop).
• International tourism in Ukraine is almost nonexistent due to combat operations in the east and Russian annexation of Crimea.
• Project of building border fortifications have been recently transferred from the Ministry of Regional Development to the State Border Control Agency. As per experts opinion, this could lead to the project delay and budget plundering within the agency, managed by the brother of former speaker of the Parliament - Lytvyn. Internal Affairs Minister Avakov insists that the Wall should appear on the state border, but in the meantime more than 200 km are under Russian or Russian-backed terrorists control.

Kyiv

• As per experts opinion from the «Open Society» fund, first 100 days of mayor Klitchko haven't significantly changed the way of working within the city administration and the key problem appears to be the recruitment and promotion policy, preventing to resolve the real problems of the city.

War in Ukraine

• Defenders of Donetsk International Airport expelled two massive tank attacks of the militants, supported by shelling with multiple rocket launchers «Uragan» and «Grad». The runaway track of the airport remained undamaged.
• Several civilians have been killed, including Swiss citizen - associate of the International Red Cross, as the result of the militants mine throwers shelling of Donetsk. Ukrainian Foreign Ministry claimed the event as the act of terrorism. As assessed by those who remains in Donetsk, almost half of the the city population have already left. Militants also shelled Schastye city in Luhans’k region. Local authorities want local inhabitants that schooling in the territories controlled by terrorists is very dangerous.
• As mentioned by the Parliament Speaker TUrchynov, the legislation on special status of Donbass and amnesty, could be cancelled by the Parliament, as Russian army breaches the truce.
• As per opinion of the military expert, leader of the «Information Resistance» group Tymchuk, Ukraine should possess professional army of 150 thousands and mobilization reserve of at least 500 thousands, in order to be able to defend itself from the Russian threat.

International

• Chinese Ambassador to Germany officially confirmed, that China will not join the sanctions of the West against Russia and is fully ready to substitute European and US companies on Russian market.
• The Advisor to the Department of Satte, in charge of the Europe, accused Russia of breaching the Minsk memorandum and continuation of arms supply to DOnbass terrorists. She’ve stressed, that the US should help Ukraine to defend itself and believes that there is no military solution to the conflict, as Russian army is much more numerous. Russian threat appears to be of the same significance to Europe as the Islamists one.
• Poland have restarted the reserve supplies of gas to Ukraine. Gazprom denied all accusations of supply decrease to Slovakia.
• Russian gas transit through Ukrainian territory have declined by more than one third vs August 2013.
• Russian intends to switch energy related transactions into rubles, in particular, President Putin announced test supplies of oil to China under such scheme.
• The Department of State is convinced that all cases of mass burials on Donbass territories should be led by Ukraine, jointly with the international experts.

Trends

• The Eu and the US should determine their position in terms of Ukraine support or that could loose Russian markets forever, as Chinese substitution is inevitable.