30 January 2015

Bosnian arms exporter accuses ministers over Ukraine deal

Associated Press: 30. January 2015




SARAJEVO, Bosnia-Herzegovina (AP) — A Bosnian arms exporter has made a criminal complaint against the country's current and former ministers of trade for blocking a 5 million-euro deal with Ukraine because of objections from Russia.
The manager of UNIS-Group, Suad Osmanagic, said Friday that politicians have harmed the entire industry, which will cause financial losses and layoffs. He made a complaint of abuse of office.

Russia has warned Bosnia not to deliver arms to Ukraine but Osmanagic claims the deal is legal, Ukraine is on no international list of countries to which arms exportation is banned and all other Bosnian institutions required to clear the deal have done so. He accused the ministers of succumbing to Russian pressure.

unis_group_members

UNIS GROUP d.o.o. factories members are as following:
1. BINAS d.d. Bugojno (cartridge 40mm, fuses, hand grenade, gun percussion and electric primers, anti-tank mines)
2. BNT-TMiH d.d. Novi Travnik (guns and howitzers, mortars, recoilless guns, rocket launchers, machine guns)
3. UNIS GINEX d.d. Goražde (all kinds of percussion primers for small arms ammunition, primers, duplex and blasting caps, delay elements, electric primers, intended for fuses, electric squibs, igniters, proportions different types of initiating explosives and chemicals)
4. IGMAN d.d. Konjic (small arms ammunition cat. 5.56 – 7.9 mm, ammunition of cal. 12.7mm, hunting & sporting ammunition, metal links for ammunition)
5. PRETIS d.d. – Vogošća (mortar ammunition, artillery ammunition, tank and anti-tank ammunition, rockets, infantry weapon ammunition, air bombs)
6. PRETIS d.o.o. – Vogošća (production and overhaul of machines and tools)
7. TRZ d.d. Hadžići (protective equipment, overhaul and modernization of weapons and equipment)
8. PS VITEZIT d.o.o. Vitez (explosives, detonating fuse, powders, propellants, base bleed unit)
9. ZRAK d.d. Sarajevo (fire control systems, observation and sighting devices for tanks and armored vehicles, mortars sighting device, howitzers sighting devices, antiaircraft guns sighting devices: 30 mm, 40 mm, hand rocket launcher sighting devices 128mm, 262mm, compasses, observation-measuring, passive (night) devices, hand binoculars, snipers optical sight).

UNIS-Group was to have exported 300 tons of ammunition to the Ukrainian Interior Ministry.

France pledges tanks, armored vehicles to NATO force

Associated Press: 30. January 2015





PARIS (AP) — France is pledging tanks and armored vehicles to bolster NATO forces in Poland, where leaders are increasingly uneasy about Russia.
In a joint statement Friday after a meeting between French President Francois Hollande and Polish Prime Minister Eva Kopacz, the two governments also called for a cease-fire in eastern Ukraine, where fighting has intensified between pro-Russia separatists and government troops.

AMX-56 «Leclerc».waiting for departure.

NATO has no permanent presence in Eastern Europe but since last April members have been cycling forces and military equipment through the region in response to Russia's actions in Ukraine.

The French military equipment is expected to remain in Poland for two months.

NATO units set for Baltics, Poland, Romania, Bulgaria

Associated Press & RFE/RL: 30. January 2015
By LORNE COOK



NATO Secretary General Jens Stoltenberg talks to the media about the Ukraine crisis at NATO headquarter in Brussels on Jan. 26, 2015.



BRUSSELS (AP) — NATO said Friday it will deploy units in six eastern European nations to help coordinate a spearhead force set up in response to Russia's actions in Ukraine.
NATO Secretary General Jens Stoltenberg said the units in Estonia, Latvia, Lithuania, Poland, Bulgaria and Romania will be the first of their kind there.
Defense ministers from the 28-nation military alliance will discuss the full force, which can react quickly to any hotspots in Europe, when they meet on Feb. 5.

Stoltenberg said countries responsible for providing the several thousand troops should be known next week.
The forward units will comprise a few dozen troops only. They will plan and organize military exercises, and provide command and control for any reinforcements the force might require.
"They're going to plan, they're going to organize exercises, to provide ... some key command elements for reinforcements," Stoltenberg said.

NATO forces conducted some 200 military exercises in 2014 and Stoltenberg, speaking at his regular monthly press conference, vowed that this would continue as the Alliance adapts to the increased presence of Russian war planes in European skies. NATO intercepted more than 400 Russian aircraft last year.

On Thursday, British fighter jets scrambled to intercept Russian bombers which did not make contact with British air traffic control.
Stoltenberg also warned that Russia has continued to build up its military, as European NATO allies cut budgets again last year. The alliance has been on a drive to spend more efficiently and to pool and share resources but even this, he said, would not be sustainable.
"It is not possible to get more out of less indefinitely. That is the reason why we have to stop the cuts and gradually start to increase defense spending as our economies grow," he said.
"Despite the economic crisis, despite the financial problems they are facing, Russia now is still giving priority to defense spending."

NATO chief Jens Stoltenberg has said the alliance must prepare for further challenges after a "black year" of Russian intervention in Ukraine and terror attacks on Europe's streets.
Stoltenberg, who unveiled NATO's 2014 annual report in Brussels, said he would soon reveal details of which countries would take part in a so-called "spearhead" quick reaction force, which the alliance's leaders agreed on at a summit in September.

He said the force would help cope with a "fundamentally changed" security environment but urged the 28 member states to keep their commitments to boost defense spending to the equivalent of 2 percent of annual economic output within 10 years.
"2014 was not a good year for European security. In fact it was a black year," said Stoltenberg.
He said Russia's interference in Ukraine was a key problem for European security.

29 January 2015

Lukashenko issues tough warning to Moscow

Associated Press: 29. January 2015


Belarusian President Alexander Lukashenko speaks during a news conference in Minsk, Belarus, Thursday, Jan. 29, 2015. Photo: Sergei Grits, AP / AP POOL
Belarusian President Alexander Lukashenko speaks during a news conference in Minsk, Belarus, Thursday, Jan. 29, 2015.



MINSK, Belarus (AP) — New cracks emerged Thursday in a Russia-led economic alliance, with the president of Belarus warning that his nation may opt out of it.
Alexander Lukashenko also sternly warned Moscow Thursday that his nation of 10 million will never be part of the "Russian world," a term coined by the Kremlin that reflects its hopes to pull ex-Soviet nations closer into its orbit.
"Those who think that the Belarusian land is part as what they call the Russian world, almost part of Russia, forget about it!" Lukashenko said. "Belarus is a modern and independent state."

Lukashenko, who has been at the helm since 1994, has relied on Russia's economic subsidies and political support but bristled at Moscow's attempts to expand its control over Belarusian assets.
He was dubbed "Europe's last dictator" in the West for his relentless crackdown on the opposition and free media, but Belarus' relations with the United States and the European Union have warmed recently as Minsk played host to crucial Ukrainian peace talks.
Lukashenko said he wants to normalize ties with Western nations and issued a clear warning to Moscow that it shouldn't expect Belarus to follow suit in defying the West.

In another signal of growing frictions between the two allies, Lukashenko, who plans to seek another term in elections this year, said he warned Moscow that he wouldn't step down.
"As for sending me into retirement, I harshly told them in the Kremlin that they won't succeed in bending me," he said.

Last month, he accused Moscow of damaging Belarus' economic interests with moves to restrict exports to Russia, which he said violated the rules of the Eurasian Economic Union, a grouping that comprises Russia, Belarus, Kazakhstan, Armenia and Kyrgyzstan.
On Thursday, Lukashenko warned that if the agreements on forming the alliance aren't observed, "we reserve the right to leave the union."
Belarus, sandwiched between Russia and European Union members Poland and Lithuania, has profited handsomely from Moscow's ban on imports of EU food in retaliation to Western sanctions against Russia by boosting imports of food from the EU nations and reselling the food to Russia.

The Russian authorities have retaliated by restricting imports of Belarus' own milk and meat and banning transit of Belarusian food bound for Kazakhstan through its territory on suspicion that much of it ended up in Russia.

28 January 2015

EU to extend sanctions on Russia to end-2015

Reuters28. January 2015
by Jan Strupczewski



A protester holds a banner reading "Foreign currency mortgages - SOS" during a rally against the banks and the growth of the dollar in central Moscow on December 28, 2014.


The European Union will extend asset freezes and travel bans imposed on dozens of Russians and Ukrainians after Moscow's annexation of Crimea to the end of this year, according to a draft statement seen by Reuters on Wednesday.

A draft statement, prepared for an extraordinary meeting of EU foreign ministers on Thursday and seen by Reuters, said sanctions imposed from March last year on people undermining Ukraine's sovereignty would be extended until December 2015.
According to a draft statement by the EU, the asset freezes and travel bans imposed on dozens of Russians, Russian entities, and pro-Russian separatists in Ukraine following Moscow's annexation of Ukraine's Crimean Peninsula will be extended until the end of 2015.
In the document, which was leaked ahead of an extraordinary meeting of EU foreign ministers on January 29, the EU says that "in view of the worsening situation [in eastern Ukraine], the [EU] council agrees" to extend the sanctions until December. 

The document also calls on EU officials to present a proposal on "additional listings" to the list of sanctions within one week.
It adds that the extension and any new listings to the sanctions list are designed to ensure "a swift and comprehensive implementation of the Minsk agreements, which were signed by Ukrainian, Russian, and separatist officials in September and aimed at ending hostilities and leading to the withdrawal of heavy weaponry from the line of contact."

An earlier version of the draft document had said sanctions would be extended until September.


BBC: 28. January 2015
US warns of more sanctions on Russia

A view over the shelled district of Mariupol, through a broken window on Jan. 26.

US Treasury Secretary Jacob Lew has said sanctions against Russia could be extended because of the escalation of violence in east Ukraine.
Thirty civilians were killed in an attack on the south-east Ukrainian city of Mariupol on Saturday.
Secretary Jacob Lew was speaking on a visit to Kiev, after European Union leaders said they would consider "further restrictive measures" on Russia's government.
Russian separatists have pushed back Ukrainian forces in several areas in the past week.
But the number of casualties has steadily mounted.

Shelling by Ukrainian forces killed 16 civilians in the rebel-held region of Luhansk and four in Donetsk, according to officials quoted by Russian state news agency Tass on Wednesday. More than 100 others were reportedly wounded.
Ukrainian officials said the separatists had targeted 55 towns and villages in the past 24 hours. There were no details of civilian casualties but they said three soldiers had been killed.

A main focus of rebel attacks is the town of Debaltseve, a road and rail hub near Donetsk, which separatist leader Eduard Basurin has described as a "wedge" between rebel-held areas.
Mr Lew said Washington's first choice was a diplomatic resolution to lessen sanctions, but "we are prepared to do more if necessary".

His remarks came hours after President Barack Obama spoke on the phone to German Chancellor Angela Merkel and issued a statement saying the two leaders were concerned about "Russia's materiel support for the separatists".

They "agreed on the need to hold Russia accountable for its actions".'Foreign legion'

Russia denies involvement in eastern Ukraine, saying if any Russians are fighting there they are doing in a voluntary capacity.

EU foreign ministers will hold a special meeting in Brussels on Thursday to consider how to respond to the current escalation, including the killing of 30 civilians in the south-east Ukrainian city of Mariupol on Saturday.
"We note evidence of continued and growing support given to the separatists by Russia, which underlines Russia's responsibility," EU leaders said.

US Treasury Secretary Jacob Lew signed a loan guarantee deal with Ukrainian Finance Minister Natalia Yaresko

The ministers could ask the European Commission to draw up further sanctions, which would then go before EU leaders, most likely at a summit scheduled for 12 February.
However, Greece's new government said on Tuesday that the statement issued by EU leaders did not have its approval.
Prime Minister Alexis Tsipras and Foreign Minister Nikos Kotzias are known to be opposed to sanctions on Russia and could prevent the EU's 28 member states from reaching a unified position on further measures.

The US treasury secretary was in Kiev to sign a $2bn (£1.3bn; €1.75bn) loan agreement, which is conditional on the government making fiscal reforms and tackling corruption.
IMF officials are also in Kiev to discuss extending last year's $17bn bail-out package. The government is estimated to need a further $15bn in funding.

More than 5,000 people have been killed in fighting since the rebels seized swathes of the Donetsk and Luhansk regions last April, according to UN estimates. More than a million people have been displaced.

Russia may declare 1990 reunification illegal

The Local DE (Germany): 28. January 2015



A boy waves  to soldiers with German flag on the Berlin Wall in front of the Brandenburg Gate on November 10th, 1989

More than 25 years after the Berlin Wall's fall, Russian lawmakers are mulling a proposal to condemn West Germany's 1990 "annexation" of East Germany as Moscow's answer to Western denunciation of its seizure of Crimea. 

Sergei Naryshkin, speaker of Russian parliament's lower house, on Wednesday ordered legislators to consider an appeal from a Communist Party deputy to denounce the reunification of Germany as an illegal land grab of East Germany by its western neighbour.
The collapse of Socialist rule in East Germany - officially known as the German Democratic Republic (GDR) - heralded the end of the Cold War, and was met with jubilation in the West.
But the Communist lawmaker sponsoring the proposal argued the absorption of the GDR - a Soviet Union satellite since the end of WWII - into a unified Germany in October 1990 was illegal.
"Unlike Crimea, a referendum was not conducted in the German Democratic Republic," Nikolai Ivanov was quoted saying before the Russian parliament's lower house, the State Duma.

The desire by some to revise Moscow's position on one of the late twentieth century's most momentous events is born of anger over international condemnation of Russia's own seizure of Ukraine's Crimean peninsula in March - and an apparent yearning to match it.
"We understand that Western hypocrisy knows no limits," Ivanov told AFP, singling out German Chancellor Angela Merkel for particular criticism over her tough stance on the Ukraine crisis.

Russian President Vladimir Putin, himself a KGB officer in East Germany when the Berlin Wall fell, spearheaded the annexation of Crimea against a backdrop of patriotic fervour last year.


Ivanov said he could not predict the future of his initiative -- which will be examined by parliament's foreign affairs committee -- but stated he was sure he had the "moral support" of fellow lawmakers.
But the notion that West Germany had illegally annexed its eastern neighbour was met with scorn by one key figure from that period.

Former Soviet leader Mikhail Gorbachev -- who is praised in the West for his decision not to use force to quell uprisings in Eastern Europe, and to let the Berlin Wall crumble -- called the contention "nonsense."

Speaking to the Interfax news agency, Gorbachev said: "What annexation? One cannot even talk about it."
"What referendum could one talk about when one hundred thousand-strong demonstrations were taking place in both countries -- both in East and West Germany - with one slogan only: 'We are one people!'"

EU foreign ministers to expand Russia blacklist

EU Observer: 28. January 2015
By ANDREW RETTMAN


Kiev is pressing ahead with plans to sue Russia for war crimes at the International Criminal Court


EU foreign ministers are keen to quickly add names to the Russia blacklist, according to draft conclusions of Thursday's (29 January) emergency meeting seen by EUobserver.

The text, circulated by the EU foreign service (EEAS) to capitals on Wednesday, says: “In view of the worsening situation, the [EU] Council agrees to extend the restrictive measures targeting persons and entities for threatening or undermining Ukraine's sovereignty and territorial integrity”.
“It calls on the EEAS and the [European] Commission to present a proposal for decision within a week on additional listings”.

It also calls on them to undertake “further preparatory work … on further restrictive measures” in a threat of new economic sanctions.

The ministers plan to blame Russia for the rocket attack on the Ukrainian city of Mariupol last weekend, which killed 30 people - an accusation Russia denies.
“The Council strongly condemns the indiscriminate shelling of the residential areas in Mariupol … The Council notes evidence of continued and growing support given to the separatists by Russia, which underlines Russia's responsibility”, the draft text notes.

It says any softening of the EU position depends on Russian compliance with the Minsk protocol - a September 2014 peace accord.
It notes that compliance requires “withdrawal of illegal and foreign armed groups, military equipment, fighters and mercenaries, securing the Ukrainian-Russian border with permanent monitoring by the OSCE [a Vienna-based watchdog], as well as early local elections in parts of the Donetsk and Luhansk regions [in east Ukraine]”.

The FMs also take Russia to task for its war propaganda.
“Public statements distorting the reality on the ground, inciting to hatred and further violence, as well as publicly humiliating prisoners in violation of the international law will not lead to the badly needed de-escalation”, they plan to say.

Following calls by more than a dozen EU countries for the EU to take steps to counter the propaganda campaign, the conclusions add: “The Council tasks the high representative [EU foreign relations chief Federica Mogherini] to step up efforts to further improve strategic communication in response to the Russian misinformation activities”.
“Such efforts should include correcting misinformation when it appears, proactive communication of EU policies, and support for the further development of independent and democratic media throughout the Eastern Partnership [post-Soviet] region”.

Noting the cost of the war, the text says the conflict has displaced 1.5 million people in Ukraine, 600,000 of whom are “in dire need of assistance”.
It also “looks forward” to Ukraine “taking legal steps enabling the International Criminal Court [in The Hague] to examine the alleged crimes against humanity committed on the territory of Ukraine in 2014-2015”.

The ministers' conclusions and any new sanctions must be adopted by unanimity.
In the past, Austria, the Czech Republic, Cyprus, Hungary, France, Luxembourg, and Slovakia, as well as the centre-left SPD party in the German coalition, had voiced reservations on going further.
Most of them fell in line with pro-sanction states at the last FMs’ meeting earlier this month.
All of them also subscribed to an EU leaders’ statement on Tuesday blaming Russia for the Mariupol attack.

Greek veto?

But Greece has emerged as a wild card.

The new far-left/rightist coalition in Athens on Tuesday abjured the EU's Mariupol statement, while Greek daily Kathemerini, citing government sources, reported on Wednesday that Greece might “veto” new sanctions.
One EU diplomat called the Greek abjuration "just unbelievable".
The contact added that if Athens waters down the FMs' text "there's absolutely no point in having weak conclusions".

A second EU diplomat noted that Athens’ main EU battle is getting Germany to write off some of its debt. They said the Russia veto could be a bargaining chip in debt talks: “They are playing a tough bargaining game. Let’s see who blinks first".

The new Greek PM, Alexis Tsipras, showed support for Russia before coming to power.
On a visit to Moscow last May he criticised EU sanctions as a “shot in the foot”, backed the Crimea “referendum” on independence, and said the pro-EU government in Kiev contains “neo-Nazis”.
Meanwhile, his new foreign minister, Nikos Kotzias, in 2013 met with Aleksandr Dugin, a Russian academic who advocates mass killing of Ukrainians and expansion of Russian borders.

Kotzias (l) with Dugin (c) in Greece in April 2013 

His deputy FM, Nikoloas Chountis, in his time as MEP voted against every Russia-critical resolution since the conflict began.

Irony

A third diplomatic source noted the “irony” of Tsipras’ recantation of the EU statement on Mariupol.
“The city contains the largest Greek minority population in Ukraine and even hosts a Greek consulate”, he said.

“So I wonder: What will he have to say if Russian forces expand their offensive in this direction?”.

Under new Belarus law, 'Little Green Men' would mean war

Radio Free Europe/Radio Liberty28. January 2015
By Robert Coalson and Rikard Jozwiak






MINSK -- Belarus has adopted legislation under which the appearance of armed foreign forces on the country's soil will be considered an act of aggression regardless of whether they are regular troops.
The amendments to the law on the state of war appear to be President Alyaksandr Lukashenko's latest warning to Russia not to have designs on Belarus.

Russia alarmed even its closest partners when it sent forces in unmarked uniforms to Crimea to establish control over the Ukrainian region before illegally annexing it last March. The troops became known as "Little Green Men."
Russia denies sending troops into eastern Ukraine, where a conflict has killed more than 5,000 people, despite what Kyiv and NATO say is irrefutable proof it has done so.

Belarussian President Alexander Lukashenko addresses the Parliament.

The amendments would also apply to incursions from the West into Belarus, which borders three NATO nations.
The amendments stipulate that the "sending by a foreign country or countries or on behalf of a foreign country or countries of armed groups, irregular armed forces, mercenary groups or regular armed forces, who use arms against Republic of Belarus" will lead to an announcement of a state of war.


They come into force on February 1.

Worried about Moscow, Belarus's Lukashenko drifts toward Brussels

Radio Free Europe/Radio Liberty28. January 2015
By Robert Coalson and Rikard Jozwiak

Belarusian President Alyaksandr Lukashenka
Belarusian President Alyaksandr Lukashenko.


Alyaksandr Lukashenko isn't known for waxing poetically about the Belarusian language. But that's exactly what he did at a youth gathering in Minsk earlier this month.
“Culture is what makes a Belarusian person Belarusian,” Lukashenko said. “It is not only literature, music, and architecture, but also our language, which we must know; our history, which we must remember; and our values, which we must respect.”

The unexpected defense of the national identity -- and particularly the Belarusian language -- was one of many indications in recent months that the authoritarian Belarusian president has grown uncomfortable with his country’s current geopolitical position in the shadow of neighboring Russia.
“No matter who comes to the Belarusian land, I will fight,” Lukashenko said in an interview with Russia’s independent Dozhd television last May. “Even if it is [Russian President Vladimir] Putin.”


The crisis in neighboring Ukraine, during which Lukashenko has consistently defended Ukraine’s sovereignty and territorial integrity while playing an active mediating role to regulate the violence, seems to be offering an opportunity for Belarus to improve its relations with the West.
"Given the increasing issues that President Lukashenko has with the Kremlin, this is an extra incentive for him to try and engage with the European Union,” says Hrant Kostanyan of the Center for European Policy Studies in Brussels.

Maja Kocijancic, a spokeswoman for European Union foreign policy chief Frederica Mogherini, tells RFE/RL that the bloc is “appreciative” of Lukashenka’s positions on Ukraine.
Belarus has not joined Russia in implementing countersanctions against EU countries, despite being a member of the Moscow-led Eurasian Economic Union.
An EU official, who asked not to be identified, cautioned that it is “too early” to talk about progress in relations with Minsk, although “positive steps” have been noted.
“Minsk has woken up to the fact that the world is a nuanced place where you cannot rely on one partner,” the official said.

In more than 20 years at the helm in Minsk, Lukashenka has made an art of weaving between Moscow and the West, accepting generous handouts and political security from his patrons in Russia, while resisting Moscow’s efforts to undermine Belarusian sovereignty or even to fold the small country into the Russian Federation.
But this time, Lukashenka’s defiant stance may be taking deeper roots. 

Last week, state media in Belarus announced a new policy of “de-Russification” of the country’s schools, a policy seemingly aimed at reviving the Belarusian language. According to a 2009 poll, 53.2 percent of Belarusians consider Belarusian their native language, down from 73.6 percent in 1999.
On January 26, the government announced its largest-ever peacetime exercises of military reserves, involving some 15,000 people. 
And on February 1, a new military doctrine will take effect that specifically states the “sending of armed groups, irregular armed forces, mercenary groups, or regular armed forces who use arms against the Republic of Belarus by a foreign country or countries or on behalf of a foreign country or countries” will trigger a declaration of war.

Belarus cultural festival.

Convergence over Ukraine

In December, amid a broad government shakeup seemingly prompted by the tottering economy, Lukashenka named Alyaksandr Kosinets as his chief of staff, considered the second most-powerful position in the country.
Kostinets, a former provincial official from Vitsebsk, is a Soviet-style statist like Lukashenka himself. But he is also a Belarusian patriot who tamped down displays of Russian nationalism in his region. He also erected a monument to Grand Lithuanian Duke Alhierd in Vitsebsk last year over the protests of local ethnic Russians and Cossacks.
At the same time, Minsk has been – at a glacial pace – reforming and modernizing its economy. Hrant Kostanyan notes that more than 55 percent of Belarusians are now employed in the private sector, a dramatic increase that has steadily built up over the last decade. The growing private sector is inevitably interested in better trade relations with the EU, compared to state-owned giants with long-standing ties to the Russian economy.
The convergence of views between Minsk and the EU over Ukraine seems to be offering an opportunity to improve relations. The EU noted Lukashenko’s release of several activists that the bloc considered to be political prisoners and responded late last year by trimming the list of Belarusian officials and entities that are targeted by EU sanctions.

The National Library of Belarus (Minsk) an architectural diamond, is lit at night in stunning fashion by 4646 color-changing RGB/LED fixtures.

Minsk has also reached out to its Baltic neighbors and to Poland, taking advantage of the common ground it has with them concerning Ukraine. Latvia currently holds the rotating EU Presidency and Latvian Foreign Minister Edgars Rinkevics noted earlier this month that there are “new openings” in relations with Belarus.
The bloc held two rounds of talks with Minsk on visa facilitation in 2014 and a third round is expected this spring. Sources in the EU say a deal on visa facilitation could be initialed at the summit of the EU’s Eastern Partnership program in Riga in May.

EU officials, however, stress that they are not changing their position on “political prisoners” in Belarus and that remains an obstacle to deeper normalization. Amnesty International has recognized seven remaining political prisoners in Belarus.
Analyst Kostanyan says that Belarus has indicated to the EU that Lukashenko would like to attend the Riga summit personally. Belarus – together with Azerbaijan – has been something of a black sheep in the Eastern Partnership program, and Minsk has been represented by lower-level officials at all its summits since it began in 2009.

EU spokesperson Kocijancic does not rule out an appearance by Lukashenka at Riga, but adds it is “premature” to discuss who will attend the event. Analysts say it is more likely that Belarus would be represented by Prime Minister Andrey Kabyakau -- which would still be an upgrade since Minsk was represented by its foreign minister in Vilnius in 2013.
Russia, however, continues to have enormous leverage over Belarus’s economy -- particularly the energy and electricity sectors. In addition, the EU continues to press Lukashenka for political openness, while Russia is not concerned by Belarus’s authoritarian system. That issue will come to the fore again as Belarus holds another presidential election in November.

-------------------------------------------------------------------------
Robert Coalson reported and wrote from Prague. Rikard Jozwiak reported from Brussels. RFE/RL's Belarus Service also contributed to this report

Obama, Merkel want Russia held accountable for violence in Ukraine

Reuters28. January 2015



Russian President Vladimir Putin speaks during a meeting at the Kremlin in Moscow, on Dec. 24, 2014.


U.S. President Barack Obama and German Chancellor Angela Merkel expressed their concern about Russia's role in rising violence in eastern Ukraine in a phone call late on Tuesday and agreed on the need for funds to stabilise the Ukrainian economy.

The White House said both leaders were worried about "Russia's materiel support for the separatists" and its failure to uphold a ceasefire agreement signed last September in Minsk.
It added in a statement that they "agreed on the need to hold Russia accountable for its actions".

Washington is ready to ramp up sanctions on Russia over Ukraine if necessary, U.S. Treasury Secretary Jack Lew said at the signature of a $2 billion loan guarantee agreement for Kiev on Wednesday. Obama and Merkel spoke of the need for a "robust package of financial support" to help stabilise Ukraine.
European Union foreign ministers are likely to ask the bloc's executive Commission to prepare new sanctions against Russia at a meeting on Thursday, though a final decision will be taken by EU leaders at a summit on Feb. 12.

Ukraine cannot just blame Russia for its military setbacks

Reuters28. January 2015
by Mark Galeotti of New York University


A Ukrainian volunteer battalion trains near Mariupol.
A Ukrainian volunteer battalion trains near Mariupol.


What’s left of Donetsk airport has fallen to the rebels of the self-proclaimed Donetsk People’s Republic, and, as of writing, they are now launching an attack on Mariupol. At this stage, it is hard to know whether the rebels will be successful, but Kyiv is in trouble. The standard response is to blame Moscow, the influx of modern heavy weapons and actual Russian troops. Would that it was so simple. The sad truth of the matter is that until Ukraine begins to come to terms with its own failings, it is hard to see how it can win – or even stem – the rebel advance.

Of course, Moscow has armed the rebels – a secessionist movement it essentially fomented in the first place – and not only facilitated and encouraged the flow of volunteers (and “volunteers”) to join their forces, but also sent advisors, specialists and, when it seemed necessary, combat troops. At present, Kyiv claims there are 9,000 there. Other intelligence sources I have spoken to put the figure at 4,000-6,000. Either way, that is a brigade to a brigade and a half. Okay, these are relatively elite troops, paratroopers and marines, but a brigade in a country of over 40mn souls ought not to be a decisive war-winning asset.

Likewise, the materiel provided by Russia, even if sometimes more advanced than that available to the government forces, is not enough to explain the rebel victories.
Instead, if Kyiv is to defeat this hybrid invasion-insurrection, then it also has to appreciate its own manifest and often decisive limitations. So what's going wrong with the Ukrainian war effort? Regardless of the undoubted determination of some individual units, such as the ‘cyborgs’ who defended Donetsk airport for so long, the answer appears to be pretty much everything, so far.

Strategic failings

First and most fundamentally, there is no meaningful strategy, the essential game plan that ought to drive every aspect of the war. Is it to win the war on the battlefield by encircling and besieging Donetsk? To hold the line and wait until economic and political pressures on Russia force Moscow into abandoning its local agents? A broad rollback of the rebel front line? At times, any or all of them, but rarely with any coherence or conviction, leaving those within the General Staff at least meant to be planning the war effort floundering. This has led to inconclusive and often piecemeal military operations, which often look more like street brawls (which frankly favours the rebels) than full-scale war.

It is hard to tell how far this is a failing of political leadership, military leadership or operational command. All three have often seemed questionable. Consider the shelling which often hits civilian targets rather than military ones. Is this because the artillery crews lack the skills or the targeting data? Because they are not being told where to aim? Or because Kyiv actually wants to punish the civilian population? I'd rather not believe the last, and honestly see no evidence to suggest it is the case. But at the very least it hands Moscow and the rebels a propaganda win, hardens popular hatred of the government, and does nothing to bring the conflict any closer to an end. This is shoddy war fighting at best, counter-productive malice at worst.

The morale of government forces is often brittle. Some units – again, let's note the ‘cyborgs’ – demonstrated true grit. However, in the main units tend to have good morale when things are going well, but are prone to sudden collapses when things go badly. To an extent, of course, this represents not just that a fair proportion of the government forces are essentially deputized militias with relatively minimal combat training, but also that even the regular army is heavily made up of conscripts and the product of years of under-spending and corruption, which has also infected the officer corps.

Besides which, winning wars also depends on intelligence: knowing the enemy’s plans and capabilities while masking your own. For all that, the director of the Security Service of Ukraine, Valentyn Nalyvaichenko, claims his service is cleansed of Russian agents and sympathizers, Moscow still appears to have a commanding intelligence advantage. This is in part because of their commanding lead in electronic and satellite capabilities, but also suggests they continue to penetrate government ranks.

Unwilling or unable

Ultimately, Russia’s involvement has been relatively minimal, not even to the scale of the Georgian war when its was fighting a country with a population of something like a ninth Ukraine’s. Of course, it could increase this substantially, but also at much greater economic and political cost.

Instead, it is Kyiv that needs to take this war seriously. A country of more than 40mn seems unable or unwilling to field more than some 50,000 troops. By way of comparison Spain, a country of comparable size, not at war and protected by Nato, has an army of 75,000. Likewise, John Schindler has noted that in 1991, when fighting Serbian rebels, Croatia – a country with a tenth of Ukraine’s population – fielded 150,000.

But it is more than just a question of the size of the military. Kyiv needs to spend less time on its propaganda war – the only people who still don’t see Russia’s hand in the rebellion will never be convinced – and more time on its real one.

This means a clear strategy so the generals can then be held accountable for developing a battle plan to achieve it. If that means bringing in military experts from abroad, so be it. A renewed and serious counter-intelligence drive. Above all, a government that does not just talk about “total war”, but one that will fight it.

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Mark Galeotti is Professor of Global Affairs at the Center for Global Affairs, New York University. He writes the blog In Moscow’s Shadows.


S&P ratings agency cut Russia’s rating to junk level - What the credit downgrade to 'junk' means for Russia?

Associated Press: 28. January 2015
By NATALIYA VASILYEVA



A man uses a mobile phone outside a display of a currency exchange office in St.Petersburg, Russia, Tuesday, Jan. 27, 2015.


Russia has seen its credit grade cut to "junk" status for the first time in over a decade, a big blow for a country that wants to be a world economic power.
The downgrade by Standard & Poor's reflects the country's growing economic problems, such as the collapse in the value of its oil exports and the impact of Western sanctions. But it is also rare for a country with such low debt levels.

The Russian government announced Tuesday an anti-crisis plan that aims to fix the budget and achieve a surplus by 2017.
Here's a look at why the downgrade happened and what it means.

WHY THE DOWNGRADE?

Standard & Poor's on Monday cut Russia's rating to BB+, a non-investment grade the country last held in 2004, when it was still recovering from a painful financial collapse in the 1990s.

Russian President Vladimir Putin speaks during a cabinet meeting at the Novo-Ogaryovo residence outside of Moscow.

The downgrade puts it at the same level as Turkey, Indonesia and Barbados.
The agency cited the slide in the ruble, which has fallen some 50 percent in recent months, and lower revenue from oil exports. It noted Russia's financial system is weakening, and that the central bank will increasingly have trouble supporting it.
Russia's economy is expected to contract by 4 to 5 percent this year for the first time since 2009, when the economy was hit by a global crisis.
Investors pulled $152 billion out of the country last year, compared with an average of $57 billion annually during 2009 to 2013. Foreign currency reserves have dropped below $400 billion for the first time since August 2009.


WHAT IT MEANS FOR RUSSIA?

A country's credit rating determines how expensive it will be for the government to borrow on international markets. That cost eventually affects how expensive loans are in the broader economy, for companies and consumers.
As Russia does not borrow much on international bond markets, the impact on its public financing costs is likely to be limited — unless Russia, battered by the financial crisis, decides to go and borrow abroad.

However, the downgrade amounts to a warning on the risks of investing. Many global investment funds will not buy debt that is classified as junk by two of the three agencies. So far only S&P classifies Russian debt as junk, so the country could feel a bigger financial impact if one of the other two agencies — Moody's and Fitch — downgraded their ratings as well.
There is no guarantee that will happen since, overall, a junk credit rating is surprising for a country that has very low levels of public debt.

Analysts at SEB, a leading Nordic bank, questioned the downgrade of a country "with debt of around 11 percent of GDP and fiscal reserves of some 14 percent of GDP." In an email to clients, they also noted that "there has been no indication of a reduced willingness to service government debt."

People walk past a display of a currency exchange office in St.Petersburg, Russia, Tuesday, Jan. 27,


HOW ARE THE MARKETS REACTING?

Despite initial losses, the ruble gained 1.3 percent against the dollar in early evening trading on Tuesday while the MICEX stock index was 1.8 percent higher.
Neil Shearing, chief emerging markets economist at Capital Economics in London, said the market reaction was sanguine because the downgrade had been largely anticipated: "Given the dramatic deterioration in the economic outlook over the past six months it was always a matter of when, not if, the ratings agencies took action."

Alexander Kudrin from Moscow-based investment bank Sberbank CIB said the long-term market reaction to the downgrade depends on if or when the other two major ratings agencies will cut Russia's grade to non-investment.

WHAT NEXT?

People walk past a display of a currency exchange office reflected in a puddle in St.Petersburg, Russia

Finance Minister Anton Siluanov on Tuesday unveiled an anti-crisis plan that will freeze the level of government spending and reform the economy. The plan aims to get a budget surplus as soon as 2017 and "so that we do not burn recklessly through Russia's sovereign reserves."
The spending limits, however, could weaken the economy by curbing investments in infrastructure projects that help drive growth over a period of years. That could mean fewer jobs in the long term.
President Vladimir Putin's spokesman Dmitry Peskov slammed the downgrade — in comments to RIA Novosti he called it "a decision that has little to do with the economy but a politically motivated one."

Mikhail Kasyanov, Russia's prime minister in 2000-2004, said it is a reflection of how Western leaders feel about Russia's economic prospects and Putin. He saw no improvements as long as the standoff between Putin and the West over Ukraine continued.
"With the current government there will be no return to the old days — neither for the rating, nor for the global cooperation," Kasyanov told The Associated Press.


Sanctions aren't enough to stop Putin, and he knows it

Bloomberg Business28. January 2015
Op-ed — by Carol Matlack


<p>Vladimir Putin</p>
Russian President Vladimir Putin speaks at the Jewish Museum in Moscow on Jan. 27, 2015.

Measures against Russia that Europe is weighing won't end the bloodshed in Ukraine and could even entrench the insurgents

The European Union wants to tighten sanctions on Russia again, as renewed fighting in eastern Ukraine causes heavy casualties and raises fears that Russian-backed separatists will seize control of more territory.

The EU, in a statement issued today, said it saw "evidence of continued and growing support given to the separatists by Russia, which underlines Russia's responsibility" for the bloodshed. On Jan. 29, EU foreign ministers are expected to consider widening a list of Russians and separatist leaders facing visa bans and asset freezes.

No question, the situation is dire. Thirty people died and more than 100 were injured in the strategic port city of Mariupol in a Jan. 24 rocket attack that international observers said was launched from separatist-held territory. Insurgent supporters of Russian President Vladimir Putin have stepped up attacks along a more than 100-mile-long front, including places such as Mariupol that until now had largely been spared from fighting. The Ukrainian government says thousands of Russian troops and tanks are rolling into the country, and the Organization for Security and Co-operation in Europe says the separatists are preventing its observers from monitoring the border.

Alas, the sanctions being considered by the EU are unlikely to change any of this.
"If you really want to have an effect on the economy in Russia, you would need to ramp up sanctions dramatically, and nobody is prepared to do that," says Carsten Nickel, senior vice president of Teneo Intelligence in Berlin.

The EU is Russia's biggest trading partner, and Europe Inc. is already feeling the pinch as sanctions imposed last summer curbed exports to Russia and helped tip the Russian economy into recession. Getting all 28 EU nations to agree on much tougher sanctions would be extremely difficult, especially considering Europe's current economic difficulties. Indeed, the newly elected government in Greece objected today to the sanctions plan set for discussion on Jan. 29, saying it hadn't been consulted. That could throw a wrench into the works, since the plan would require a unanimous EU vote. (The U.S. doesn't face this dilemma; also, it doesn't do much trade with Russia.)

Putin knows all this. In fact, the current offensive in eastern Ukraine seems tailored to exploit the situation. If the separatists consolidate their positions now, they could then agree to a cease-fire allowing them to keep the territory they've gained. Under that scenario, the fighting would taper off by springtime. By mid-summer, when the EU and U.S. have to decide whether to renew the most onerous sanctions now in place against Russia, things would have been fairly calm for a few months—making it easier to argue that sanctions should be loosened or lifted. "Strategically, this is very smart," Nickel says.

The other dilemma for the West is that sanctions may have helped Putin more than they've hurt him, letting him position himself as a martyr and giving him a convenient scapegoat for Russia's worsening economy. That's the opinion of Mikhail Khodorkovsky, the former oil company chief who spent a decade in prison after challenging Putin's authority. In a Jan. 16 speech in Lithuania, Khodorkovsky said Kremlin propaganda had persuaded most Russians that Western sanctions were an unfair attack on their nation.

"We can confidently say that the sanctions have played their positive role," he said. However, maintaining long-term sanctions in their current form "looks questionable. "

Putin's fantasy island

Radio Free Europe/Radio Liberty28. January 2015
Op-ed by - Brian Whitmore


Can he distinguish between fantasy and reality?
Can he distinguish between fantasy and reality?

You can learn a lot about someone from their delusions.

Consider Vladimir Putin's comments on January 26. Speaking to students at St. Petersburg, the Kremlin leader said the Ukrainian Army is not really the Ukrainian Army at all. Those soldiers fighting pro-Moscow separatists in Donbas? They're actually NATO's foreign legion. 
"We often say: Ukrainian army this, the Ukrainian army that. In actual fact though, who is fighting there? These are indeed official subunits of the armed forces. But to a large extent these are so-called volunteer nationalist battalions," Putin said.
"In effect, it is no longer an army but a foreign legion -- in this case NATO's foreign legion -- which does not of course pursue Ukraine's national interests. They have a completely different agenda that is connected with achieving the geopolitical objective of containing Russia."
Yep. He actually said that. 

Putin is doing a number of things here. On one level he is playing that old Kremlin game of drawing equivalencies. 
The West has long accused Moscow of manufacturing the separatist conflict in the Donbas, arming and supplying the militants, and sending in Russian troops to direct and reinforce them.
So Moscow naturally -- indeed almost instinctively -- says the West is doing the same with the Ukrainians: Look! NATO has little green men too!
But there is more here than the Kremlin's standard run-of-the-mill -- and entirely false -- whataboutism. It is more insidious than that.

There Is No Ukraine

Putin famously said that Ukraine "isn't even really a country." And here he is again peddling his longstanding meme that the Ukrainians themselves have no agency of their own. They are nothing but the playthings of great powers. Their army isn't even their army. And right now, they're just NATO pawns.

And this belief is actually pretty widespread in the Russian elite. In a recent article, political analyst Aleksandr Sytnik provided an eye-opening inside look at how decisions were made in the run-up to the Ukraine crisis. 

Sytnik recently left his post as a senior fellow at the Russian Institute for Strategic Research, a Kremlin-run think tank that provides expert analysis for foreign policy decision making. 

Sytnik writes that the institute's director, Leonid Reshetnikov, is a staunch Orthodox Christian who romanticized the tsarist Russian Empire. And the director of its Ukraine department, Tamara Guzenkova, was deeply hostile to the very notion of Ukrainian statehood.

The pair, Sytnik wrote, was fond of repeating phrases like: "there is no Ukraine, only Little Russia;" "Ukrainian statehood is a bluff and Ukraine is a failed state;" and "the Ukrainian language was artificially created by the Austrians and the Poles to break up Russian unity." They were backed up by dependent and subordinate researchers. 

Throughout the Ukraine crisis, the institute consistently gave the Kremlin bad advice based on faulty premises. It helped organize insurgency movements in eastern Ukraine and lobbied for the establishment of so-called Novorossia -- a strip of eastern and southeastern Ukraine stretching from Kharkiv to Odesa.

It isn't entirely clear whether the institute was the architect of Russia's Ukraine policy over the past year, or whether they simply reinforced the prevailing prejudices in Putin's inner circle.

What is clear, however, is that their analysis -- as represented by Sytnik -- overlaps completely with the policies that the Kremlin enacted. It also illustrates the prevailing groupthink about Ukraine in the inner sanctum of Russian decision making. 

We're Fighting NATO!

But Putin's widely shared delusions about Ukraine are not even the most disturbing thing about his comments.

What he is really getting at here is nicely captured in a tweet by journalist Natalia Antonova.


This really gets to the heart of things. Putin wants to view the Ukraine conflict as a twilight showdown between Russia and the West. But his endgame in this fantasy isn't Ukraine -- it's the West itself.

In a recent interview with the Kyiv Post, military analyst Pavel Felgenhauer recalled a conversation he had with a European ambassador present at high level meetings with Russian officials. 

"Russians all the time want to put a map on the table and carve up Europe, Yalta-style, or Molotov-Ribbentrop style," Felgenhauer said. 

"Russia is waiting for the West to begin talking on substance -- where Vilnius goes, where Lviv goes. In the Russian view, there should be a map and a line on the map. They can’t say so publicly. They would want a secret appendix."

Now that's never going to happen of course. But it nicely illustrates the level of delusion among Russian officials these days. And if that is indeed Russia's endgame it's still pretty damn chilling.

A man stands on a platform at an empty main railway station in Simferopol, Crimea.


Mini Me: The Shrinking 'Collective Putin'

Part of the reason such groupthink is prevailing among Russian decision makers is because the group calling the shots is getting smaller and smaller.
According to media reports, the so-called "collective Putin" -- that inner sanctum of decisionmaking -- has shrunk to just a handful of trusted advisers -- all of them hardliners associated with the security services.

The economic elite both inside and outside government, which has been urging an exit from the Ukraine crisis, has been marginalized. Bloomberg reported recently that officials dealing with economic issues complain of needing to wait months just to present their policy proposals to the president. 

Political analyst Gleb Pavlovsky, who advised Putin during his first two terms, told Bloomberg that there was “a very high level of concern among a fairly wide circle of people” in the Russian elite.
"There is a group of people in the upper echelons trying to protect themselves from losses," Pavlovsky said. “They are critical of Putin but they can’t challenge him because he can easily crush them. That makes them even more unhappy."

Not only is Putin not talking to his economics team -- he apparently isn't even thinking about the economy.
Since the Ukraine crisis erupted, the Kremlin disinformation machine has been in constant overdrive. And we've learned a lot about the role of propaganda and subterfuge in hybrid war. 
Nutty statements from Russian officials are so commonplace that we almost don't even notice them all anymore. 
But we seem to be crossing a threshold and getting close to a very dangerous point. When you build up a make-believe world and surround yourself with only people who reinforce it -- there comes a point where you cannot distinguish reality and fantasy.

And if Putin really believes his own hype, then we're in a very frightening place, indeed.