December 19, 2015

12/18/2015 Ukraine: Daily Highlights - Ukraine will get a visa-free regime with the EU in 2016

Ukraine will get a visa-free regime with the EU in 2016
Ukraine will get a visa-free regime with the EU in 2016

12.18.2015 Daily Highlights by the Digests & Analytics Ukraine Agency

Topics from Media and Social Networks

  • Ukraine will get a visa-free regime with the EU in 2016
  • A moratorium on the repayment of  "Yanukovych debt" to Russia was introduced
  • A report on war crimes of the Russian military and mercenaries in the Donbass was published

Key Events in Ukraine

  • President Poroshenko vetoed the law  on the restructuring of foreign currency loans at the rate of UAH 5.05 per USD, passed by the Parliament on July 2, 2015.
  • A working group on the draft budget and the Tax Code started its work at the Verkhovna Rada. Prime Minister Yatseniuk expects that the Parliament and the Government will finalize the draft budget by 24 December and it will be adopted before the beginning of the next year.
  • The National Bank of Ukraine reported that the gross external debt of Ukraine in the third quarter of the year increased by half a billion dollars and amounted $ 127.5 billion.
  • The National Bank decreased the hryvnia exchange rate before the weekend: 23.55 ₴/$ (+0.06 UAH), 25.51 ₴/€ (+0.05 UAH), 3,30 ₴/10 ₽ (-0.03 UAH).

Ukraine at War

  • Intensification of the militant attacks is observed in the combat zone, as a result, two soldiers were injured near Gorlovka, two more tripped a wire on the frontline on the  Mariupol route.
  • Intelligence reports that the DPR militants adjusted the manufacture of portable "Grad-P", making it difficult for the OSCE observer mission to identify the shellings .
  • Deputy of the Polish Sejm Hosevska published a report on the war crimes of Russian troops and mercenaries in the eastern Ukraine.

Ukraine and the World

  • The European Commission published a report on the implementation by Ukraine of the Action Plan on visa liberalization. It was decided to recommend to cancel the visas, without waiting for the country to finally fulfill all the requirements for the fight against corruption, based on the promises of the authorities to complete this work in the first quarter of 2016.
  • Prime Minister Yatsenyuk announced that Ukraine from 20 December 2015 is imposing a moratorium on the repayment to Russia of $3 billion of the "Yanukovych debt". A spokesman for the Russian President Peskov considders it a de facto recognition of Ukraine's default.
  • The European Union decided to prolong the sectoral sanctions against Russia until mid-2016. The official announcement on it will be published on 20 December.
  • The IMF is alarmed by the reaction of the Verkhovna Rada to the draft Tax reform and the state budget. First Deputy Managing Director of the IMF's Lipton said that the approval of the budget, which deviates from the agreed parameters, will result in termination of funding.
  • Leader of the Crimean Tatars Dzhemilev met with Turkish President Erdogan and discussed the possibility of introducing a free trade zone with Ukraine. He said that early next year a visit to Ukraine of the Prime Minister of Turkey is being prepared, and then - a visit to Ankara of President Poroshenko.
  • The US Congress supported the lifting of the embargo on oil exports. President Obama signed the bill. Thus, the restrictions on oil exports, which were in force for 40 years after the oil crisis of the 70s of the last century, were lifted . The US leadership believes that in the conditions of oil glut, it will give additional degree of freedom to the American mining companies.
  • The UN Security Council voted for a resolution on the peace process in Syria, which foresees the creation of the transitional government with the participation of the opposition, adoption of a new constitution and general elections within 18 months under the supervision of the UN. President Obama said that current Syrian President Assad should leave his post.
  • NATO agreed to provide military assistance to Turkey in securing airspace and deliver to the country additional early detection systems and AWACS reconnaissance systems .

The Trends

  • President Poroshenko is against early elections to the Verkhovna Rada and changes in the coalition. At the same time, he admits the possibility of replacement of some ministers. However, the debates around the draft Tax Code and the budget may lead to the parliamentary crisis and increased tension in the society.
  • A visa-free regime will apply to holders of biometric passports, but the EU border guards  may require from the Ukrainian citizens to confirm their financial state and show a return ticket, as well as ask questions about the place of residence. The decision on admission to the EU will be made by the border service officer, which already was experiened by the citizens of Moldova, for whom visa-free regime with the European Union is in effect since 2014.

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