Tymoshenko congratulates russia's leaders

Published in Inform issue #70

Ukraine’s Prime Minister Yulia Tymoshenko congratulated Dmitry Medvedev on his inauguration as President of the Russian Federation. In a government telegram the premier expressed an assurance that Mr Medvedev would ensure succession of power and the irreversibility of the country’s course, supported by real achievements in serving the interests of the Russian people.

Ms Tymoshenko also sent a telegram to Vladimir Putin, Russia’s new Prime Minister. She said that she believed his appointment as Head of Government will promote the economic potential of Russia and improve the well-being of its citizens.
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Inflation begins to slow Inflation Begins to Slow Inflation begins to slow

Published in Inform issue #70

Ukraine’s inflation rate rose 3.1 percent last month, and although this was lower than the 3.8 percent rise in March, it was nevertheless seized upon by the government’s critics.

During April the annual inflation rate breached the 30 percent barrier on the back of an almost 50 percent hike in food prices. Ukraine is not alone. Food commodities around the world have soared in recent months, causing civil unrest in a number of countries.

Addressing a government meeting, Prime Minister Yulia Tymoshenko acknowledged the seriousness of the issue and took a crumb of comfort from statistics revealing a slowdown in the trend.
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Tymoshenko proposes to establish responsibility of energy supply companies

Published in UNIAN

Prime Minister of Ukraine Yulia Tymoshenko commissioned the relative ministries and departments to draft bills on establishing responsibility for owners of energy supplying systems as well as on providing consumers with gas–meters within a week.

According to the government’s press-office, Yulia Tymoshenko commissioned this initiative on Tuesday at a meeting with heads of local administrations and heads of gas supplying organizations.

According to Yulia Tymoshenko, owners who supply exclusively energy carriers should provide all consumers with gas-meters.

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Privatisation tug-of-war

Published in Inform issue #69
See the full issue here.

President Viktor Yushchenko has taken the extraordinary decision to step up security at the State Property Fund (SPF). It comes in the wake of his long-running dispute with the government over the dismissal of the SPF head and his refusal to back the government’s privatisation plans.

The dispute arose on 6 February when the Cabinet of Ministers fired Valentyna Semeniuk, the Head of the SPF, charged with officiating the government’s privatisation programme. The sacked Ms Semeniuk, whose department has been dogged by allegations of corruption and cronyism, failed persistently to ratify the government’s plans, but was reinstated by a presidential decree a day later.

The government’s privatisation plan is laid out in the 2008 State Budget and aimed at generating budget receipts of $1.7 billion. Top of the list of companies to be sold is the Odessa Portside (chemical) Plant and UkrTelecom, the state’s fixed-line telephony company. Six regional energy companies are also slated for sale. Experts believe the privatisations will net considerably more than the conservative figure contained within the budget.

Ms Semeniuk objected to the privatisations on the grounds of their “monopolistic position.” Perplexed by this decision, Millennium Capital analyst, Bogdan Kochubey opined, “Odessa Portside Plant is not even the largest nitrogen fertilizer producer in the country, let alone a monopolist. The fact that the plant sits on the Togliatti-Odessa ammonia pipeline is not a reason to declare it a monopolist.”

The reason for Ms Semeniuk’s reluctance to press ahead with the government’s policies – and backing by the president – is seen widely as a ploy to deprive the government of funds for its popular bank deposits repayment programme.

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