Kuchma says new politicians should assume power in Ukraine

News / 13 November 2009 | 17:49

Former Ukrainian President Leonid Kuchma (1994-2004) has thanked Ukrainians who called on him to participate in the upcoming presidential elections.

However, Kuchma said in a statement posted on his website that “new politicians should currently be at the helm of the state”. ”It’s necessary to look and move forward, refrain from disputes and squabbles, and start a new productive stage of the economic and social development of the country,” he said.

Kuchma said that among registered presidential candidates “there are worthy ones who could create an effective government team and use it to solve current large-scale and urgent tasks.” He expressed confidence that the Ukrainian people will manage to elect a “consistent and responsible politician” for the post of Ukraine’s president.

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Russia urges EU to help prevent gas interruptions via Ukraine

News / 13 November 2009 | 16:11

(RIA Novosti) – Russia has called on the European Union to take measures, including financial, to prevent problems arising in Russian natural gas transit via Ukraine to Europe, Moscow’s EU envoy said on Friday.

“We are unhappy to report that the [January 17 presidential] election campaign is interfering in this issue in Ukraine… and that energy issues, energy supplies to Ukraine itself as well as transit now feature on the election agenda,” Vladimir Chizhov told a Moscow-Brussels video linkup.

“Under these circumstances, we urge the European Union to take an active role in a range of preventive measures, including financial support, to ensure the uninterrupted transit of hydrocarbons via Ukraine,” he said.

Chizhov said the issue would be discussed at an EU-Russia summit to be held in Stockholm on November 18.

Ukraine earlier reported 25 billion cubic meters of gas in its storage facilities, which it says would be enough for the uninterrupted gas transit to Europe this winter.

“I assume this time Ukraine is better prepared for the coming winter,” Chizhov said.

Ukrainian Prime Minister Yulia Tymoshenko pledged on Wednesday that Kiev would honor its commitments to supply Russian gas to Europe.

“We are taking extraordinary efforts to pay for natural gas, including for November, on time, without delay and in full,” Tymoshenko said, adding that this was the result of effective cooperation between the IMF and Ukraine.

Her deputy, Hryhoriy Nemyrya, warned on Tuesday that Ukraine may face difficulties in paying for Russian natural gas in January if a “pause” in contacts with the IMF persists.

A bitter gas pricing and debt dispute between Moscow and Kiev at the start of the year led to a brief cutoff in supplies to Ukraine and transits to Europe, leaving millions of Europeans without gas in January. Ukraine transits around 80% of Russian gas bound for Europe.

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President to veto the law banning growth of prices for medicines

News / 13 November 2009 | 14:32

President Viktor Yushchenko will veto the law imposing moratorium on rising prices and tariffs for medical supplies, he said during his today’s meeting with representatives of the pharmaceutical industry at Borshchahivskiy Chemical-Pharmaceutical Plant.

“Guided by social and economic motives of national production, I decided to veto this bill”, he said. Yushchenko stressed that the law would actually destroy domestic producers and the prospect for this unique science-intensive industry to enter the European and world markets.

Yushchenko urged representatives of the industry to help explaining to the public that the law would not only affect the interests of domestic producers, but also lead to lack of medicines for ordinary citizens.

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Yanukovych asks not to politicize Black Sea fleet issue

News / 13 November 2009 | 12:48

Ukrainian presidential candidate and former prime minister Viktor Yanukovych said the issue of Russia’s Black Sea Fleet, based in Ukraine’s Crimea, should not be politicized.

“Taking into consideration our international obligations, earlier undertaken by Ukraine, we must not politicize the issue and appear like an unreliable or unpredictable partner,” Yanukovych said on Thursday.

Russia’s Black Sea Fleet uses a range of naval facilities in Ukraine’s Crimea, including a base in Sevastopol, as part of a 1997 lease agreement valid until 2017.

Yanukovych said the position of the Ukrainian authorities on the issue is the result of a negative attitude toward Russia.

“The current “orange” authorities have been demonstrating openly their enmity to Russia, which is our strategic ally… and have been searching for conflicts,” Yanukovych said.

“[Foreign] policy has to be balanced and mutually beneficial,” he added.

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NBU forbids changing currency rates during one day, giving over UAH 80,000 to one client

News / 13 November 2009 | 11:05

The National Bank of Ukraine has forbidden to the financial institutions changing foreign currency purchase and sale rates during one operations (working) day, and conducting currency sale transactions via a cash office with one client for a sum exceeding an equivalent of UAH 80,000 (1 USD – 7.99 UAH).

This resolution was registered at the justice ministry, and takes effect on November 20, 2009. The paper reads that a board chairman of the bank only may set a single rate of the currency purchase and sale for the hryvnia before the operations day starts. The central bank also assumed the right to setting limit margins on the cash forex market transactions. It is forbidden to take a commission for the purchase and sale of foreign currency.

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Russian Black Sea Fleet destabilizing relations -Yushchenko

News / 12 November 2009 | 17:43

Ukrainian President Viktor Yushchenko believes Russia’s Black Sea Fleet stationed on the Crimean Peninsula is leading to instability between the two countries’ relations.

Russia’s Black Sea Fleet uses a range of naval facilities in Ukraine’s Crimea, including the base in Sevastopol, as part of a 1997 lease agreement valid until 2017. However, Yushchenko believes the Russian fleet should leave Ukraine before May 28, 2017.

“The existence of Russia’s Black Sea Fleet [in Crimea] has seriously destabilized Ukrainian-Russian relations,” Yushchenko said, according to RIA Novosti.

Yushchenko said the country’s Constitution forbids the deployment of military bases in Ukraine.

Yushchenko has led calls for Russia to prepare to withdraw its fleet from Ukraine’s territory when the agreement expires in 2017, although Russia hopes to extend the lease.

A Russian-Ukrainian subcommittee on the Black Sea Fleet at the level of deputy foreign ministers holds regular meetings to discuss the implementation of the 1997 agreement.

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We have more of the political flu than real A/H1N1 of seasonal flu – President

News / 12 November 2009 | 16:28

“We have more of the political flu than real A/H1N1 of seasonal flu”, said President Viktor Yushchenko during a live telephone press conference at the office of Komsomolskaya Pravda Ukraine answering questions about the epidemic situation in the country, press office of the president reported. 

The President pointed to a number of errors in Government’s healthcare policy in preventing and fighting flu outbreak in Ukraine. Particularly, he said the vaccination against seasonal influenza has not been conducted. “The Government is not prepared for vaccination, although the society has been discussing it from April”, said Victor Yushchenko.

He added that due to the fact that the World Health Organization predicts a second wave of flu epidemic in Ukraine, the Government and particularly the Ministry of Health should draw conclusions out of the poor organization of fighting the first wave of the epidemic.

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President to veto money printing to gain additional funds for fighting flu epidemics

News / 12 November 2009 | 14:50

President Viktor Yushchenko will veto the law on National Bank issuing 1 billion UAH to fight the epidemic of influenza because the law foresees money printing, said the President during a live phone press conference at the office of Komsomolskaya Pravda Ukraine newspaper, according to the press office.

President Yushchenko explained that the decision to veto this law does not mean he will provide recommendations on where to get the additional funds for the fight against flu epidemics because the source of money should be the budget, rather than the National Bank printing it.

In particular Yushchenko said that 2009 State Budget today lacks thirty percent of revenues. According to him, the Prime Minister can not afford financing even urgent issues. Therefore, the President stressed, according to the Prime Minister the only way to finance the flu fighting campaign is to print additional money.

However, Yushchenko stressed, such a step would inevitably lead to the devaluation of the Hryvnya. “When it comes to emissions, the Prime Minister has the right to initiate the law, the Parliament can approve it, but I will always veto it”, said Victor Yushchenko.

According to the President, the Parliament can overcome the veto but then the truth should be told that the issue of money is happening. “Taking chances of the money issue means declaring beginning of national currency devaluation”, stressed the President. “I will not be the author of such a policy. I will resist it as long as I can”, he added.

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The State Tax Administration is inspecting the pharmaceutical market

News / 12 November 2009 | 13:01

The tax authorities are taking all the required actions to prevent abuses on the pharmaceutical market. For this purpose from October 30th, 868 working groups have carried out 5099 check-ups of pharmacies for the availability of drugs and medical purpose goods; and 4805 check-ups for the compliance with the cash transactions rules.

Authorities of the State Tax Administration have detected the following violations: illegal turnover of medical products, absence of the mandatory drugs and medical purpose goods during the quarantine period, lack of medical product mix, and exceeding the marginal retail price for medical goods.

Particularly, in the Kyiv region, a working facility for the production of the pharmaceutical goods, which was functioning without respective licenses or permits, has been detected.

As a result of these check-ups 4,4 million hryvnas (UAH) of penalties have been imposed.

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Putin threatens to cut supplies if Ukraine taps gas

News / 12 November 2009 | 11:10

(RIA Novosti) – Moscow will cut supplies if Kiev taps natural gas, the Russian prime minister said on Wednesday, pledging that gas deliveries will be uninterrupted if transiting countries honor their commitments.

“If they do not pay for gas consumed in Ukraine, they will not get it. If they don’t get it, then gas is likely to be tapped from the pipeline. As soon as tapping is reported, we will cut supplies,” Vladimir Putin said after talks in Moscow with Austrian Chancellor Werner Faymann.

Speaking about Ukraine’s ability to pay for Russian gas, Putin reiterated, referring to the International Monetary Fund, that Kiev did have financial capacities.

“The problem is…there is a presidential campaign, and as you know the prime minister and the president are in different election camps. They have their own political interests,” Putin said.

He urged efforts to make sure that commitments are honored, including the transit of natural gas to Europe, without interfering in Ukrainian political processes.

Ukraine’s President Viktor Yushchenko and Prime Minister Yulia Tymoshenko are rivals in a presidential election slated for January 17, 2010.

Putin said diversifying energy routes could discipline energy partners and transiting countries.

“We believe our energy supplies to major partners in Europe should be diversified. This will enhance stability and security. This will also discipline our partners in [energy] transit,” the Russian premier said.

Russia is building the Nord Stream gas pipeline to pump gas under the Baltic Sea to Europe to reduce dependence on transiting countries. Ukraine transits around 80% of Russian gas bound for Europe.

Tymoshenko pledged on Wednesday Kiev would honor its commitments to supply Russian gas to Europe.

“We are taking extraordinary efforts to pay for natural gas, including for November, on time, without delay and in full,” Tymoshenko said at a meeting with G8 ambassadors, adding that this was the result of an effective cooperation between the IMF and Ukraine.

She voiced the clear position of the Ukrainian government that it would be necessary to continue cooperation with the IMF and that “it will be extremely difficult to attain political stability in Ukraine and overcome the economic crisis without the fourth tranche from the IMF.”

Last November, the IMF approved a $16.4 billion loan for Ukraine and issued the first tranche of $4.5 billion. It lent the ex-Soviet nation $2.8 billion and $3.3 billion in two tranches later. The fourth tranche of $3.8 billion is expected later in 2009.

“We can guarantee that… Ukraine will not in any circumstances break its commitments on [gas] transit to the European Union,” the Ukrainian premier said.

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