Weekly news digest

(Feb. 24- March 2)

This weekly news digest presents conclusions on the situation in the Eastern Ukraine and on
the Crimean Peninsula, covers Ukraine`s economy and analyses international and Ukrainian
statements of the week as well as trends of international support to Ukraine.
During the week, the situation in the area of ATO remained tense. The intensity and the
number of shelling were of decreasing tendency (70 attacks on the positions of ATO forces), but
resulted in 4 Ukrainian soldiers killed and 24 injured.
The situation in the ATO area continues to be influenced by the execution, on behalf of both
parties, of separate points of the new Minsk agreements. Among the positive trends, the following
can be singled out: 1) signing of the documents by both parties regarding the control of the
withdrawal of heavy weaponry; 2) the beginning of actual withdrawal of heavy weaponry (100-mm
guns) by both parties under the control of the OSCE; 3) coordination of the demarcation line by the
parties of the conflict.
The negative points include: 1) the terrorists statements ( the statement by a DPR
representative Pushylin that the city of Mariupol is a part of their territory); 2) information on
partial withdrawal of heavy armaments by the gunmen for its further redeployment and military
build-up along with the possibility of quickly returning these armaments; 3) lack of classification of
military equipment and subsequent deployment of military weapons, that makes it impossible for
the OSCE to monitor their withdrawal (statement of M. Botsurkiv).
Taking into account frequent violations of the truce in Donbas by so-called DPR and LPR,
the significant deterioration in the financial situation of the country, Russian arbitrariness on
Ukrainian citizens, Ukraine warns that we are ready to return heavy machinery to the previous
frontiers anytime in case Minsk agreement is violated.

In particular, Petro Poroshenko pointed out that even if the truce in Donbas is long-lasting
and followed by political settlement and peace, the military threat from Russia, unfortunately, will
remain in place, demanding constant efforts as well as strengthening of Ukraine's defense
capability. The President also emphasized the importance of consolidating efforts in order to deploy
peacekeeping forces in Donbas. He also said that Ukraine wants the peacekeeping contingent to be
formed as the EU mission. At the same time, Pavlo Klimkin warned that pro-Russian rebels and
terrorists should not have any representatives in local authorities in Donbas. He added that the
Russian Federation poses military threat not only to Ukraine, but to Europe as well.
With cautious restrain, the world leaders observe the execution of the Minsk protocol and
continue to discuss possible scenarios on the European continent if the 13-point accord is not
implemented. Federica Mogherini states that the threats, which Europe is facing, should be fought
with the help of the most efficient international tools because military force, though sometimes is
required, is not always useful. Frank-Walter Steinmeier does not expect a quick resolution of the
conflict in Donbas. He believes that a search for political decision might probably take years. At the
same time, the statement by James R. Clapper, the Director of National Intelligence of USA, caused
great concern in the international community. According to him, Vladimir Putin does not
intend to seize the entire territory of Ukraine, but only to capture territories
needed to create a land corridor to the annexed Crimean peninsula. It is, of
course, two regions in the eastern Ukraine, a land bridge to Crimea" and a sea
port, for instance, Mariupol. In his turn, G. Schetyna said that the conflict in
Ukraine cannot be resolved at the local or regional level; its scale resembles
Yugoslavia in 1990th. He thinks that only big players, like the US, the EU and
Russia, "may determine the future of Ukraine and ensure her safety".
The European and the world leaders are ready to impose tougher
sanctions in case of escalation of the conflict in Donbas. Such position was
expressed in the statements of Foreign Affaires Offices of France,Great Britain,

Germany and the USA. In particular, D. Tusk said that the EU has prepared new
sanctions against Russia and has to be ready to impose them if the situation in
Donbas does not improve. D.Cameron suggested to cut off Russia from SWIFT
banking system.
Ukraine urges the international community to exert maximum pressure
on Kremlin in order to free the Hero of Ukraine, Nadia Savchenko, who is now
on the brink of life and death. P. Poroshenko said that Savchenko is a symbol of
indestructibility of Ukrainian spirit and heroism today, a symbol of how to
protect and love their country. Europe and the USA call on Kremlin to release
Ukrainian pilot immediately.
Ukraine has been shocked by the murder of a leading Russian opposition politician B.
Nemtsov, who certainly was an uncomfortable political figure for Kremlin. The President of
Ukraine described Mr. Nemtsov as a bridge between Russia and Ukraine, a person who was
bulding the relations between the two countries the Ukrainians would like to have'. At the same
time, Poroshenko added that, in a private conversation, Russian opposition politician promised to
provide solid evidence of Russian involvement in the conflict in Donbas, which has most likely
caused his elimination. The Foreign Affaires Office of Ukraine released a statement which stated
that Nemtsov's murder is a poor attempt to scare those who oppose Kremlins policy in Ukraine and
stand for democratic Russia.
Ukraine is shocked by the illegal actions of Russia - the arrest and the detainment of two
Ukrainian citizens deputy Goncharenko and Durytska. The Speaker of Parliament Hroisman said
that MP of Ukraine Goncharenko is under diplomatic immunity and his imprisonment is a clear
violation of the international law.
Moreover, the vice-president of PACE Ariev emphasized that such behavior of Russian
authorities gives additional reasons for tougher sanctions to be imposed against Russian delegation.

The world leader and the heads of international organizations condemned the murder of B.
Nemstov and said that they expect prompt and transparent investigation to be launched by Russia's
authorities. D. Grybauskait stated that the murder proves that Russia returns to the practice of
terror.
The implementation of reforms continues: 1) a judicial reform (a law "On the right for a fair
court", which has a number of progressive adoptions on selection, assessment and punishment of
judges); 2) anti-corruption reforms (a series of arrests for the activities connected with corruption
were made; liquidation of illegal plans on avoiding the customs clearance; delivery of the messages
on suspicion; a law t "On the amendments to the Budget Code of Ukraine on public investment
projects" was introduced, aimed to fight corruption and theft of state funds; the Anti-corruption
Council was created and National anti-corruption

bureau was manned); 3) a reform of

decentralization (laws on "civil-military administration" and "On the Principles of Regional

Policy"); 4) democratic reforms (an already withdrawn law On the punishment for deliberate
actions to undermine the authority of the state and government).
Economy of Ukraine was characterized by the following tendencies: 1) a long-term
complication of macro-economic situation (hryvnia devaluation, an outflow of deposits and a crisis
of bank system, inflation up to 60% on some products, worsening balance of payments index, a
significant rise of gas and heat prices for population); 2) increasing pressure of Russia on Ukraine in
the energy sector (statements about the possible overlap of gas arrangements to implement the
"winter" package); 3) positive dynamics of the international financial support provided to Ukraine
(the parliament adopted laws for IMF credits; $3,5 billion credit from EBRD and EIB is expected as
much as the support from USA, Germany and Japan).
A positive tendency of international support to Ukraine is observed. The help is still
provided by the USA ( G. Pyatts statement about US military support and evidence of Russian
involvement in the crisis; the bill in the US Congress about providing Ukraine with $1 billion
military support), Canada (stated the possibility of sending military advisers), France (signed a

contract to supply French UAVs and Electronic Warfare equipment to Ukraine), UK (sent military
experts), UAE (signed agreements about cooperation in aircraft), Japan (1 billion Japanese yen
credit for medical equipment for Ukrainian hospitals), Poland (supplied military personnel), Belarus
(plans to increase energy supplies), Slovakia (increase of reverse of gas).
The materials used for the weekly news digest include the official websites of the President, the
National Security and Defence Council, the Ministry of the Foreign Affairs of Ukraine and the
Government, Ukrainian Internet newspaper Ukrainska Pravda (Ukrainian Truth), Dmytro
Tymchuks blog Informatsiinyi sprotyv (Informational Resistance), Ukrainian news agency
UNIAN, Ukrainian news program TSN, weekly political magazine Korespondent ( Journalist),
weekly political, economical and the arts magazine Ukrainskyi Tyzhden (Ukrainian week),
etc.