06/12/2015 Ukraine: Daily Highlights - IMF will continue lending to Ukraine even in the case of failure of the debt restructuring

IMF chief Christine Lagarde

06.12.2015 Daily Highlights by the Digests & Analytics Ukraine News Agency

Topics from Media and Social Networks

• IMF will continue lending to Ukraine even in the case of failure of the debt restructuring.
• Demobilization of servicemen called on service in July 2014 has been announced.
• SSU detained half a ton of heroin in Ilyichevsk.

Key Events in Ukraine

• Presidential decree on demobilization of soldiers who served in the special period starting from July 2014 was announced.
• The government insists on its own terms of restructuring the external debt in negotiations with the Club of creditors, otherwise it is ready to introduce a moratorium on payments. Lenders categorically refuse to write off 40% debt.
• "Naftogaz" management said that the existing tender procedure for the election of the head of "Ukrnafta" is unacceptable as the company is not fully public.
• The head of the SSU Nalyvaichenko announced the dismissal of the staff of the  Anti-corruption branch, however, the department explained that officials were not dismissed but only barred. Their positions will be advertised.
  According to Nalyvaichenko riot in Kharkov could be organized by Russian secret services to create the terrible "picture" for the Russian media.
• National Bank made changes to the procedure of reserves formation by commercial banks.
• The official hryvnia exchange rate does not change: 21.06 UAH/USD (0.03 UAH), 23.63 UAH/EUR (+0.01 UAH), 3.86 UAH/RUR 10.

Kyiv Life

• The State Service for Emergency Situations reported that a fire at the oil storage facility near Kyiv extinguished. Two persons from the BRSM (owning company) management were detained. The owners of the enterprise insist on the version of the terrorist attack as the cause of the fire and offered 1 million UAH for the capture of intruders.
  The pollution level in the air of the capital in some areas exceeded allowable rate several times due to the burning peatlands as a result of the heat.

Ukraine at War

• For the past day as a result of shelling and attacks by militants 10 Ukrainian military were wounded. Fights with great intensity were on the outskirts of Donetsk and Gorlivka and in the Krymske. Observers have reported that militants and Russian military move armor and artillery units to front line and about massive use of heavy artillery and MLRS systems.
• Militants do not allow OSCE observers to monitor of the occupied territories, however, the mission’s UAVs captured increasing concentration of military equipment near the front line.
  Subversive groups undermined the railway track near Popasna, fuel supply to Vuglegirsk TPP interrupted.
• DPR militants have damaged pipeline near Donetsk which was supplying gas to Mariupol and Berdyansk. Smelters and other plants in Mariupol were stopped. The authorities promise to restore gas supply in two days.
• Mariupol court released volunteer fighters of the "Ravlyk" which are accused of kidnapping by the Interior Ministry on the bail of People's Deputies. Activists say that their detention was the revenge by corrupt police officers.

Ukraine and the World

• IMF chief Mrs.Lagarde said that Ukraine will be able to receive the next tranche of EFF program, even if it will be unable to service its debt and negotiations with creditors to restructure debt will ended unsuccessfully..
• President Poroshenko discussed with U.S. Vice President Biden possible steps of the West in case of escalation of the conflict in the Donbass by phone.
• Russian fighter went to intercept a US military plane in international airspace over the Black Sea. The US Department of State reported that the Pentagon is preparing an adequate response to the provocation.

The Trends

• Head of Ukrainian Human Rights Union Parinova stated that promulgated draft of the conclusions of the Venice Commission on the lustration law shows the failure of the government efforts to bring the law to the European standards and the violation of the principle of individual guilt presentation, which will allow the ECHR to make decisions in favor of the dismissed officials.