Ukraine

September 2005 | Risk Summary

As BMI went to print, President Yushchenko's decision to sack the entire cabinet marked a sharp deterioration in an already souring political climate. In the days running up to the announcement, there had been mounting controversy over allegations of corruption. Moreover, divisions have been apparent between Yushchenko and Prime Minister Yulia Tymoshenko over issues ranging from hryvnia liberalisation and fuel price controls, to re-privatisation. Sacking the cabinet may create new difficulties for Yushchenko. Tymoshenko is a popular figure, and was a powerful ally in the election crisis last year. There is speculation that she has presidential ambitions of her own,

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