HomeAnalyticsDaily Highlights: 28/10/2014

Daily Highlights: 28/10/2014

Central Elections Committee have practically finished the electronic counting of the early parliamentary elections votes. Coalition talks are in full swing. Militants LC and DNR with Russian support building up military strength. DPR and LPR militants are building up military strength with Russian support. Doors to NATO are open for Ukraine but the country hasn’t yet submitted an admission request.


●      Electronic counting of votes is practically over for the early parliamentary elections. The leaders of the party list race are practically the same: “The Popular Front”, “Poroshenko Block” and “Samopomich”. Around 70 deputies of the last parliament composition, who’ve voted for dictatorship legislation of the ex-president Yanukovych, engaged in corruption, as well as the son of the current President are among those who have passed to the Parliament through majority voting districts.
Two parties, which obtained the largest percentages of votes, are having coalition talks and discuss re-distribution of the Government seats and chirs of Parliament committees. “Samopomich” doesn’t participate so far.
●      120 criminal proceedings have been opened on the basis of the voters bribery evidence.
●      Official exchange rate is unchanged: 12.95 UAH/USD, 16.42 UAH/EUR (+3cop), 3.08 UAH/10 RUB (-1cop). However, interbank market quotes have strongly increased, despite the currency sale auctions announced by the National Bank amounting to 300 mln. USD. The IMF generally positively assessed administrative measures undertaken by the NBU in order to stabilize the exchange rate but is looking forward cancellation of restrictions, which have already led to re-emergence of the black currency market. The next part of the stabilization credit, which was planned for December, will be provided only in the beginning of 2015. The decision itself will be taken during the management board meeting of the Fund in December.
●      Losses of the largest banks due to the military conflict in the Donbas could reach 60 billion USD.

War in Ukraine

●      Donetsk and Luhans’k terrorists “republics” are getting ready to conduct their own “elections”, which are supported by the Russian president Putin but are breaching the Minsk protocol. The International community and President Porohenko have already warned that results of such illegal “elections” will never be recognized.
●      Situation in the combat area remains tense. Terrorists conduct shelling and reconnaissance in force in different areas of the conflict zone. One more assault on Donetsk International Airports has been repelled.
●      Numbers of Russian troops are growing in Ukraine. They’re actually directing all key activities of terrorists. Russian army supplys military equipment  and ammunition, as well as sets up anti-aircraft missile and digital intelligence units.
●      Another Russian “humanitarian convoy”, not agreed on neither with Ukraine, nor with international charitable organizations, moves toward Ukrainian border.
●      Terrorists consume natural gas and other resources for free as Ukrainian Government is not yet ready to cut these territories off from the supply infrastructure.


●      Canada, along with the US and other Western countries, will strongly react to the aggressive policy of Russia in Ukraine and is ready for new sanctions.
●      Russian companies and banks are trying to appeal the EU sanctions in various courts. “Gazprom-neft” and “VTB bank” filed another set of appeals.
●      According to the new head of NATO Stoltenberg, Ukraine will become a member of the Alliance as soon as it is ready for that. The decision on the possibility of accession was adopted back in 2008 during the summit in Bucharest but no admission declaration has been received from Ukraine yet.
●      One of the US senators stated during a press conference that the US will provide Ukraine with defensive weapons in the nearest weeks.
●      France will make a final decision on transfer of Mistral helicopter carriers to Russia in November.


●      New parliamentary coalition talks demonstrate Poroshenko’s desire to take over the power and security part of the Government.


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