EU leaders give Kyiv until May to prove it wants to look West

Ukraine’s relationship with the IMF is potentially complicated by Yanukovich’s pledge to keep down gas prices for domestic customers as the IMF has insisted Ukraine should reduce the amount it spends on subsidising prices to cut its budget deficit.

In the past, Ukraine’s quarrels with Moscow over gas prices have led to supply disruptions to the European Union, which depends on Russia for roughly a quarter of its gas.

All parties are seeking to increase their options.

Russia has been busy building pipelines to bypass Ukraine and pushing Kiev to cede control of its pipeline network.

The European Union has been exploring ways to diversify its suppliers by piping Azeri gas to Europe, whileUkraine, which signed a deal with Royal Dutch Shell last month, is seeking to develop its shale reserves.

via EU leaders give Kyiv until May to prove it wants to look West.

Advertisements

Leave a Reply, Disagree, Change the Subject, just COMMENT here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s