Page 6 - bne_Magazine_September_2018

6 I The Month That Was bne September 2018
Politics
Eastern Europe
Belarusian President Alexander Lukashenko believes that the Russian leadership acts in "a barbaric way" towards Minsk, considering his country to be like "their vassals" amid reports that Moscow intends to limit its credit support and oil subsidies to Belarus.
A mission of Ukraine's main donor, the International Monetary Fund (IMF), will make a working visit to Kyiv from September 6 to September 19 to discuss the country’s crucial but stalled $17.5bn standby package. The rumour is that a deal has already been agreed that will release billions of badly needed dollars.
Russian social media site vKontakte (VK) expanded its privacy functions to give its users more tools to protect them from arrest. The Kremlin has been cracking down on online criticism of the government: of 182 criminal cases launched in 2017 for social network posts, 138 were based on VK posts.
Central Europe
Polish GDP growth pushed to a sea- sonally adjusted 5% y/y in the second quarter, a flash estimate released by the Central Statistical Office GUS on August 14 showed.
Poland recorded a trade deficit of PLN5.2bn (€1.2bn) in January-June, sta- tisticsofficeGUSreported. Thedeficitatthe end of June is 23.8% wider than at the end of June 2017. Imports growing faster than exports – a sign of growing investment.
Poland’s current account showed a deficit of just over PLN1bn (€24mn) in June, a changeover from the surplus recorded in the previous month but a major reduction of the deficit in annual terms, the National Bank of Poland (NBP) announced.
Hungarian GDP growth slowed to adjusted 4.4% y/y in the second quarter, according to statistics office KSH. The expansion in the second quarter likely came on the back of strong private demand, recovering investment and activity in the Eurozone, the source of the majority of export demand.
Hungarian industrial output expanded 4.2% y/y in June, the Central Statistics Office (KSH) said. The reading confirms the first estimate of output in the industrial sector, released last week. In working day adjusted terms, production expanded 3.1% y/y. Month to month, output declined seasonally.
Southeast Europe
Concerns that more US sanctions aimed at Turkey are on the way after US president Donald Trump tweeted on Ankara’s refusal to release North Carolina evangelical pastor Andrew Brunson. “Turkey has taken advantage of the United States for many years... We will pay nothing for the release of an innocent man, but we are cutting back on Turkey!” In the streets the people smashed their iPhones to protest against US bullying.
Turkey may split from Nato as soon as the end of this year, according to a report from New York-based financial firm Academy Securities that polls retired Turkish generals. Government officials have threatened the same after the US slapped more sanctions on Ankara this week.
The Croatian police has requested Interpol to extend a Red Notice for the CEO of oil and gas group MOL, Zsolt Hernadi, after the European
Court of Justice (ECJ) ruled on July
25 that Hungary should extradite him to Croatia, where he faces charges of bribing former Croatian Prime Minister Ivo Sanader in 2009 in order to have the oil major gain a controlling stake in the local firm INA.
Eurasia
An appeals court in England on August 13 allowed Moldovan businessman, Anatolie Stati, to drop a legal case pursued against Kazakhstan, causing both sides to claim a tactical victory. The action was part of a long running dispute over oil deals.
Azerbaijan’s President Ilham Aliyev has condemned the US sanctions campaign against Iran, saying his country treats the Islamic Republic “like a brother”, the local press reported. Baku is attempting to boost flows of tourists coming from its neighbour across the Caspian Sea.
Armenian Prime Minister Nikol Pashinian has vowed to “speed up reform” in the South Caucasus nation, after spending exactly 100 days in office. Pashinian told his cabinet that "we are entering a new stage and the main meaning of this stage is to speed up
the reform".
Armenians were angered after
former Armenian president Robert Kocharyan was released from
jail on August 13. Kocharyan was remanded in custody on July 27 after being charged with overthrowing the constitutional order in an ongoing probe into the events of March 2008, when security forces violently dispersed anti- government protesters in Yerevan.
A court of appeal ruled on August 13 that Kocharyan cannot be prosecuted for his role in the violence due to his status as a former president.
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