Ukraine PM defends deal with Kremlin
Print Edition
Ukraine’s prime minister yesterday defended a deal with the Kremlin that the opposition decried as a sellout to Russia, saying that Kiev had avoided bankruptcy and social collapse thanks to the “historic” bailout.
Prime Minister Mykola Azarov said the agreement clinched between President Viktor Yanukovych and his Russian counterpart Vladimir Putin on Tuesday was the only way to rescue the economy after five consecutive quarters of negative growth.
A proposed Association Agreement with the European Union — whose shelving by the government sparked a month of mass protests in Kiev — would only have dragged the country further into the mire, he said.
“What would have awaited Ukraine (without the deal)? The answer is clear — bankruptcy and social collapse,” Azarov said.
“This would have been the New Year’s present for the people of Ukraine,” he added with characteristic irony, describing the Moscow accord as a “historic event.”
Putin on Tuesday agreed to buy US$15 billion of Ukraine’s debt in eurobonds and slash its gas bill by a third, a move economists said would stave off the risk of a Ukrainian default for now.
The opposition fears there must be hidden strings attached to the package, and vowed to push for early elections and the shelved deal with the EU.
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