Is time running out for the people of Kyiv – the clock ticking not for the political future but for the economy?
Financial experts have warned Ukraine is on the brink of default with some saying currency reserves are enough for only two months. Russia has provided the first three billion dollar tranche of a loan. With the political stand off the rest has been frozen.
Mykhaylo Pohrebinsky a political analyst and advisor to President Viktor Yanukovych pointed out: “It is necessary to form a government that won’t irritate Europeans and Americans. At the same time this has to be a government that can go to Russia and get money – that second tranche from Russia.”
It is not the immediate which concerns some analysts but building an economy which will grow after implementing reforms. To do that, they argue there is only one way to go.
“Definitely for the market and for the Ukrainian economy overall it would be much better if we got the IMF’s support because IMF help will mean the government, the authorities will make some reform which will put the Ukrainian economy on a sustainable footing.Russian support will mean that we get the money and spend them to repay the gas imported from Russia,” opined Olena Bilan, Chief Economist to Dragon Capital – Ukraine’s leading investment bank.
There has been a decline in the value of exports and the public purse is paying out to a growing number of pensions. Many fear for the economic legacy.
“If it is a loan on good condition then if doesn’t matter from where but the loan has to be given back and this is disastrous for us for our children, grandchildren and great grandchildren,” said one man questioned in Kyiv.
- 1Hero’s welcome for Ukraine pilot Nadiya Savchenko after Russia prisoner swap
- 2G7 leaders visit Japanese holy shrine ahead of summit
- 3Germany: #Cutesolidarity response to Kinder chocolate controversy
- 4Germany’s carrot and stick approach to refugee integration
- 5French nuclear workers vote to join strike against labour laws
- 1The nuclear waste site at the heart of Canada’s wildfires
- 2Turkey warns EU migrant deal could collapse if visa-waiver isn’t speeded up
- 3Eurozone ministers agree “breakthrough” deal with Greece
- 4More fuel frustration as French pickets refuse to back down
- 5Ukrainian pilot Savchenko back in Kyiv after 2 years in Russian jail
- 1EgyptAir crash: airline says Flight MS804 wreckage found
- 2The nuclear waste site at the heart of Canada’s wildfires
- 3Venezuela economy fractured with shortages of essentials across the country
- 4Crimean Tatars look for Eurovision boost on day of national tragedy
- 5Emergency response: inside Ecuador’s disaster zones
Latest world news
G7 leaders visit Japanese holy shrine ahead of summit
Migrant rescue from capsized boat is caught on camera
Paris attacks survivor slams Eagles of Death Metal frontman for Muslim conspiracy comments
Iraqi units advance on ISIL-held Fallujah
Germany’s carrot and stick approach to refugee integration
Wires > News
- 10:25 CET Egypt investigator says French specialist vessel to join black box…
- 10:04 CET New Philippine president to face early test over food security
- 09:57 CET Nigerian civil rights leader confirms attack at Chevron oil…
- 09:48 CET On eve of Greece visit, Putin says problems with EU can be solved
- 09:37 CET EU states approve plans to coordinate key mobile spectrum
- 09:35 CET South Korea’s Park facing last chance to push through reforms…
- 09:00 CET French strikers seek to tighten grip on energy supplies
- 08:48 CET Italian marine Girone can head home – India’s top court