|
 The Cabinet's decision follows the Ukrainian parliament's refusal
earlier Thursday to pass a bill allowing the release of jailed
former Prime Minister Yulia Tymoshenko, a key EU condition for
signing the deal at a summit next week.
Kiev's turnaround would mark a major victory for the Kremlin, which
has worked aggressively to derail the EU deal by offering Kiev loans
and price discounts, but also by imposing painful restrictions on
some of Ukraine's exports.
About 1,000 protesters rallied against the decision in a central
Kiev square Thursday night, waving Ukrainian and EU flags.
EU Enlargement Commissioner Stefan Fuele canceled a planned visit to
Kiev on Friday after the Cabinet's decision.
"Ukraine government suddenly bows deeply to the Kremlin. Politics of
brutal pressure evidently works," Swedish Foreign Minister Carl
Bildt, a key advocate of the signing of the treaty, wrote on
Twitter.
Energy Minister Yuri Boiko told reporters Thursday that Ukraine
cannot afford to lose economic ties with Moscow and that the EU has
refused to offer compensation for the loss in trade with Russia.
Boiko also expressed hope that improving trade with Russia would
make Ukraine less dependent on IMF bailouts, which it has long
sought to get.
"We have not received a clear signal from our European partners that
these losses, which we have been receiving over the past four
months, would be compensated," Boiko was quoted as saying by the
Interfax news agency. "The country cannot afford it; that is why
this (government) resolution came into being."
Kremlin spokesman Dmitry Peskov was careful not to comment on Kiev's
decision, saying it was Ukraine's internal affair, but he added that
Russia welcomes Ukraine's intention to expand trade and economic
cooperation.
But the Kremlin-connected head of the foreign affairs committee in
the Russian parliament's lower house, Alexei Pushkov, sounded openly
triumphant on Twitter: "The EU has overdone putting pressure on
Ukraine: an agreement of dubious benefit for Ukraine was also
contingent on political conditions. That was a major error."
EU foreign policy chief Catherine Ashton called the decision a
disappointment, arguing the deal would have helped Ukraine reverse a
decline in foreign investment and helped it in its talks with the
IMF.
"We believe that the future for Ukraine lies in a strong
relationship with the EU and we stand firm in our commitment to the
people of Ukraine who would have been the main beneficiaries of the
agreement though the enhanced freedom and prosperity the agreement
would have brought about," she added in a statement.
Some observers remained optimistic, saying Thursday's developments
did not mean Kiev's complete surrender to Moscow, but was
maneuvering by Viktor Yanukovych, who hopes to convince the EU to
sign the agreement even without his rival Tymoshenko's release.
[to top of second column] |
Theoretically, Yunukovych still had a week before the summit next
Thursday to either pardon Tymoshenko or to get his parliament to
pass a law on her release. Yanukovych's office said he still plans
to attend the summit in Vilnius, Lithuania.
Parliamentary debates of that bill were set to continue Friday,
pointing to the possibility that Yanukovych is trying to force more
concessions out of the EU.
"My initial read is that this is just again bluff by Yanukovych ...
hoping the Europeans come running and cave in to his demands," said
Tim Ash, chief emerging-markets economist at Standard Bank in
London. "He is taking a big risk here now of a public backlash, and
he could be waving goodbye to re-election chances in 2015."
German Foreign Minister Guido Westerwelle left the door open for
Kiev to make progress toward the EU deal.
"Our offer of a real partnership stands. But this requires there to
be a willingness in Kiev to go down a European path of development,"
Westerwelle said in a statement. "The ball is in Ukraine's court. It
is her sovereign right to freely decide her path."
U.S. State Department spokeswoman Jen Psaki said that if the
reported decision is final, then "we're disappointed."
"We believe there was ample time to resolve all remaining obstacles"
to signing, she said.
Opposition leaders meanwhile, slammed the surprise Cabinet decision.
"This is not just treason, this gives grounds to impeach the
president," said Tymoshenko ally Arseniy Yatsenyuk.
Opposition leaders called on Ukrainians to show up for a major
demonstration in Kiev on Sunday to press Yanukovych to turn back
toward the EU. [Associated
Press; MARIA DANILOVA]
Vladimir Isachenkov in
Moscow, Frank Jordans in Berlin and Raf Casert in Brussels
contributed to this report.
Copyright 2013 The Associated
Press. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
|
