Ukrainian Opinion: Did the Euromaidan protests change Ukraine for the better?
Ukraine Today correspondent Sam Kearley asks people a question: Did the Euromaidan protests change Ukraine for the better? Check out our website: http://uatoday.tv Facebook: ...
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Ukrainian Opinion: Did the Euromaidan protests change Ukraine for the better? - Video
Ukraine vs Ukrainier
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Ukraine vs Ukrainier - Video
Ukraine Advances, Putin Stays Silent | BREAKING NEWS
Ukraine Advances, Putin Stays Silent For more Latest and Breaking News Headlines SUBSCRIBE to As Ukraine laid plans for a siege of pro-Russia separatists #39; remaining bastions Monday, Russian...
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Ukraine Advances, Putin Stays Silent | BREAKING NEWS - Video
Ukrainian factories for decades have been a key supplier to the Kremlin's war machine, providing jet engines, uranium fuel and electronics for Russia's nuclear arsenal.
That interdependence, created when both were partners in the Soviet Union's Cold War-era arms race, now confronts an independent Ukraine with a strategic conundrum: How to keep legions of local defense industry workers employed when their output can end up in the hands of separatists waging war often with weapons supplied by Russia against the government in Kiev.
More than 70% of Ukraine's military exports have gone to Russia in each of the last few years, according to one recent analysis, and it is almost certain that Ukraine is now on the receiving end of some of the deadly materiel.
Tanks and armored vehicles have rolled out by the hundreds each year from the Malyshev factory in suburban Kharkiv, Ukraine's second-largest city. Gun sights and optics from the Dzerzhinsky machine-building plant have given Russian soldiers a better eye on potential enemies.
The Kremlin's postwar military-industrial complex has been so inextricably bundled over the years with components from factories in Ukraine's rust belt region here that defense forces from the two nations have remained entwined throughout the 23 years since the breakup of the Soviet Union.
All of that has suddenly changed in recent months, as Russian troops have rolled into eastern Ukraine, annexing the Crimean peninsula and supporting Russian-speaking separatists in their bid for control over the rest of the region, a conflict that so far has left more than 4,300 people dead.
Suddenly, towns in the Kharkiv region, known around the world for its factories producing armored vehicles and tanks, are face to face with the irony of being threatened with armaments of their own making thundering across the Russian border. Half the region's industrial output was sold to Russia before the outbreak of fighting in April.
"We are at war, and we can't provide the Russian army with technology that can be used against us," said Igor Rainin, Kharkiv's first deputy governor.
In March, shortly after Russian President Vladimir Putin annexed Crimea, the Ukrainian government-run agency that controls arms production, UkrOboronProm, announced a freeze on military exports to Moscow.
Already, it has halted deliveries from the Malyshev tank factory and the Dzerzhinsky machine-building plant in Kharkiv, local officials said. Rainin said local trade with Russia was down by about 40% this year. Ukrainian officials estimate that the cutoff of defense contracts with Moscow could mean the loss of at least $1.5 billion a year, slashing government revenue at a time when the nation's economy is already on its knees.
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Ukraine's freeze on military exports to Russia carries risks
Ukraine will install a business ombudsman by years end to flag corruption as the nation struggles to emerge from a recession and lure investors, the European Bank for Reconstruction and Developments chief said.
The person will be selected by a mix of government and non-government party officials, the EBRD, international institutions and business associations, and will present annual reports to the parliament, EBRD President Suma Chakrabarti said yesterday in a phone interview from Kiev.
The appointee will be someone who will also transparently deal with complaints about corruption, interference, said Chakrabarti at the end of a one-day visit with Ukrainian President Petro Poroshenko and Prime Minister Arseniy Yatsenyuk in the capital.
Ukraine is mired in its worst contraction since 2009 and a depth of corruption that surpasses Russia and is tied with Nigeria, according to Transparency Internationals corruption perception index. The former Soviet republic is rocked by a conflict against pro-Russian separatists that has killed more than 4,300 people and chased away investors. Foreign direct investments fell to $606 million in the third quarter, less than half the level of the same period a year before.
Ukraines dollar-denominated bonds due 2017 fell, pushing the yield up by 20 basis points to 18.32 percent as of 11:35 a.m. in Kiev, data compiled by Bloomberg show. The hryvnia, which lost 45.4 percent against the dollar since the beginning of the year, was unchanged at 15.1 to the U.S currency.
The EBRD will spend 1.5 million euros ($1.87 million) a year on the ombudsman position, according to a statement on Poroshenkos website.
The countrys economic recovery should be anchored by investments by 2016, the World Bank said last month.
The EBRD board will decide on providing a loan to Ukraine on Dec. 10 to upgrade its natural-gas transportation system, Chakrabarti said. The London-based lender will provide 200 million euros and the European Investment Bank will provide another 200 million euros, he said.
If that goes through, then I am hopeful we will also arrange what is called an import trade facility in the first quarter of next year for gas supplies, working with west European traders, the World Bank, and ourselves together in trying to arrange a revolving supply contract, he said. That will make sure there arent any shortages in the future.
The EBRD plans to invest about 1 billion euros in Ukraine this year and at least 1 billion euros in 2015, Chakrabarti said. The lender invested between 500 million euros and 600 million euros before corruption was an obstacle, he said.
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Ukraine to Pick Business Ombudsman by Year-End, EBRD Says