Tuesday, December 17, 2013

Russian bailout wins Ukraine economic respite but deepens political rift



(Reuters) Ukraine's President Viktor Yanukovich has secured a $15 billion bailout from Russia, offering respite for an economy heading ever closer to default but also drawing accusations he has sold his country out to its former Soviet master.

By grasping the lifeline thrown by Russian leader Vladimir Putin, Yanukovich reignited demands for his resignation by opponents at home already enraged by his decision to walk away from a trade and political deal with the European Union.

Tens of thousands of protesters gathered in Kiev after Yanukovich accepted Putin's offer on Tuesday to buy Ukrainian bonds and cut the price of Russian gas exports, a deal which keeps Kiev firmly in Moscow's orbit.

"We want to go towards Europe, not Russia, that's our choice," said Yulia, a student protester, after news of the agreement struck when the two presidents met in the Kremlin.


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