Essential - Kiev, Ukraine

A temporary ban on gambling in Ukraine came into effect last week.

The ban was vetoed earlier in the month by President Victor Yushhenko but overridden by in parliament by supporters of Prime Minister Yulia Tymoshenko and former President Victor Yanukovich.

Yulia Tymoshenko and her supporters believe the ban is necessary to protect families struggling to survive in a country hard hit by the economic turmoil.

The ban is likely to last until new legislation creating gambling zones is introduced. Until then, any businesses offering gambling will have their equipment confiscated and be subject to large fines.

Ukraine’s role in the 2012 UEFA European Championship (EURO 2012) has been placed in serious doubt this week.

The tournament is scheduled to be hosted in both Ukraine (Kiev, Donetsk, Lviv, and Kharkiv) and Poland (Warsaw, Poznan, Wroclaw, and Gdansk), with the final being held at the Olympic Stadium in Kiev.

However, following a meeting in Bucharest yesterday the UEFA Executive Committee issued a statement confirming only the four Polish cities and Kiev as hosts.

A review of the Ukrainian host cities revealed serious shortcomings in the stadiums, transport infrastructure, and hotel accommodations. Donetsk, Lviv, and Kharkiv have until November 30 to prove their suitability as host cities. Furthermore, Kiev was not confirmed as the venue for the final.

Should the Ukrainian cities not meet the UEFA’s criteria by the deadline they will not be appointed host cities, throwing the organisation of the tournament into disarray.

The US Embassy in Kiev has issued a warning regarding a new type of mobile telephone scam affecting MTS users.

It warns that anybody using the MTS network should be wary of any callers claiming to be MTS representatives and claiming to be carrying out tests on the line.

Scammers are calling MTS cell phones and asking users to press #90 or #09 to test the mobile phone connection. This apparently results in the scammer being able to access users’ SIM cards and the ability to make telephone calls at their expense.

The Ukrainian currency has dropped to a historic low after indications that Moody’s Investors Service may downgrade the country’s credit rating.

The exchange rate dropped to 9.26 hryvnia to the dollar last night after a statement released by the influential credit rating company stated ‘persistent political uncertainty clouds the prospects for an orderly resolution of banking problems, in the context of a severe economic downturn.’

The Ukrainian currency is currently trading a historic low of 6.877 UAH to the dollar. The drop has been caused by a run on the banks with many Ukrainians, fearful of economic collapse, converting their money into dollars and other foreign currencies.

Ukraine has been hit particularly hard by the global credit crunch and a rapid fall in demand for its steel, one of its major exports. Many Ukrainians also have bitter memories of losing their savings in financial chaos of the early 1990s.

Ukraine is currently in talks with the European Union to obtain visa-free entry for its citizens to EU countries. It hopes it will secure a deal by 2012, the year it co-hosts the European football championships.

The Ukrainian dropped visa requirements for residents of the EU visiting Ukraine in 2007.

Former Beatles’ member Paul McCartney will perform on Independence Square on June 14. The Independence Concert will be free to attend and has been funded and organised by the Victor Pinchuk Foundation.

McCartney said ‘I’m very excited because on the 14th of June I’ve been invited to play a concert in Independence Square, Kiev. Me and the band are going to be there and we’re going to have to a great evening and we hope to see you there. So come along, it’s going to be great evening hopefully for the Ukraine. Pull together, groove, rock and roll – all together.’

There will also be an exhibition of 40 of McCartney’s paintings at the Pinchuk Art Centre at Arena.

George Bush will make his first official state visit to Ukraine at the end of this month. He will arrive in Kiev on March 31 and spend two days in the capital before departing for the NATO summit in Bucharest. During the visit he will meet with Ukrainian President Viktor Yuschenko. Ukraine’s proposed membership of NATO will be discussed by the two leaders.

Russian state-run gas company Gazprom cut gas supplies to the Ukraine by 25 percent yesterday after Ukraine failed settle its debts by the deadline announced last week.

Russian gas supplier Gazprom has threatened (yet again) to cut gas supplies to Ukraine. The move comes just 2 weeks after the Russian and Ukrainian governments had appeared to reach an agreement over unpaid debts. The state-run supplier says that supplies will be reduced from March 3 unless Ukraine signs agreements to settle debts estimated at over $1 billion.