The US-NATO Created Mess in Ukraine
Ukraine slides into chaos as the prospect of all out war re-emergesby Leon Tressell
The recent bout of in-fighting within the Kiev junta has been accompanied by warning’s from the IMF that Ukraine must do more to deal with the massive problems of corruption before it receives any more loans. The in-fighting between the various oligarchs and their political puppets within the Rada reflects the failure of crony capitalism to deal with any of the pressing economic, social and political problems facing Ukrainian society.
The deepening political crisis within Ukraine reveals how the promised benefits of turning towards the EU and America have failed to materialise. Many Ukrainians have been taken in by pro-Western propaganda that loans from the EU/IMF and a free trade agreement with the EU would bring major social and economic benefits to an impoverished population.
A cursory look at the the progress of Ukraine’s economy since the ‘Maiden Revolution’, reveals how hollow the promises made to the beleaguered population have been. Since 2014 the Ukrainian people have experienced a 22.2% collapse in real disposable income.
The economic hurricane that has swept over Ukraine since the violent overthrow of the Yanukovich regime has had a devastating impact upon the lives of ordinary Ukrainians. Its crisis ridden economy shrank by 10% during 2015 while inflation has exploded from 0.5% in 2013 to 32.7% in February of this year. This dramatic increase in consumer prices has been compounded by the junta raising prices of electricity by 25% this March with another price increase to come in September.
Meanwhile, unemployment has risen to over 10% as a vicious austerity programme has been initiated under the auspices of the Nobel Peace Prize winning EU and its partner in crime the IMF. The poverty rate in Ukraine has mushroomed to a 24.2% of the population according to the UN Development Programme.
As if this was not bad enough, the EU and IMF are insisting that the Kiev junta go much further in bringing the country towards Western style social democracy by cancelling energy subsidies and proceeding to the whole-scale privatisation of the country’s public assets. A recent IMF report published on 8 March 2016, laments the fact that the privatization of public assets is moving at a such a slow pace. You can just imagine Hedge fund hyenas and other Western financial criminals drooling at the prospect of getting their hands on Ukraine’s portfolio of public assets which are estimated by the IMF to be worth $72 billion.
The IMF bemoans the fact that,’Public assets continue to have a negative fiscal impact’ upon the government’s finances. This is code for the junta to get a move on and let Western asset strippers come in and buy up Ukraine’s public assets at knock down prices. The IMF report bemoans the fact that endemic corruption is leading to some state assets being sold cheaply to Ukrainian oligarchs.
It is against this backdrop of economic collapse and political in-fighting between the various oligarchs and their political puppets in the Rada, that sets the scene for a renewal of hostilities in the Donbass region of Ukraine. The so-called Minsk 2 ceasefire has utterly failed to solve the desperate problems facing the people living in the People’s Republics of Donetsk (DPR) and Lugansk (LPR).
It has not brought political stability to the rest of Ukraine quite the opposite. The Minsk 2 ceasefire agreements are used by the gangster-capitalists ruling in Kiev to continue their misrule over Ukraine by diverting ordinary people’s anger and dissatisfaction towards the so called ‘frozen conflict’ in the south east of the country.
On the one hand you could argue that a renewal of all out war seems unlikely considering Ukraine’s vassal status towards the EU.
The Kiev junta is being exhorted by EU leaders to fully implement the Minsk 2 peace agreement which involves a constitutional amendment giving the DPR and LPR special ”decentralized status” within Ukraine. The old adage he who pays the piper calls the tune comes to mind. After all the EU has loaned 11 billion euros to Ukraine and formed a free trade agreement with Ukraine that effectively gives the EU control over Ukraine’s economy. You would expect the Kiev junta to act like obedient puppets after hearing their masters voice and fully implement the Minsk 2 peace accords and get on with rooting out the corruption that is endemic within Ukrainian society.
However, the Kiev junta is getting a different message from its American sponsor. Last year the U.S. Congress passed the Ukraine Freedom Support Act that increased sanctions against Russia and gave Obama the authority to increase U.S. military aid to the Ukrainian Armed Forces (UAF). There is strong bipartisan support within Congress to greatly increase military aid to the UAF to include so-called ‘lethal aid’ and ‘defensive’ weapons.
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