Both the government and the President have done everything they could to protect themselves from abrupt moves by Parliament.
Early last week, the government presumably had consultations with parliamentary factions on ways of managing the crisis. In reality, the consultations looked like this: Serhiy Tyhypko, Viktor Yushchenko, Ihor Mitiukov and sometimes even Valery Pustovoitenko himself kept telling the deputies that the IMF loan will help avert a financial collapse and that the NBU will not let the hryvnia immediately fly out of the recently adjusted currency corridor. The People’s Deputies, recalling their meetings with voters, openly voiced their outrage with the situation and concern for the population, and even suggested that the government step down.
The result is most likely to be traditionally Ukrainian: lots of fuss and nothing else. “When things go wrong at home, everybody unites,” said Communist faction member Pavlo Kuznetsov after the Conciliation Council meeting last week. “The Communists told the government, ‘If they change course, we will support them.’” The meaning of this statement was explained by Oleksandr Riabchenko of the Greens, “The Cabinet is proposing measures that for the most part meet the Communists’ expectations, and they are certainly happy with enforcement of state influence and functions, control over prices, retention of state monopolies, etc. This is the Communist position in its purest form. I cannot even imagine the Communist faction objecting to the series of bills proposed by the Cabinet.”
Peasant Party member Serhiy Dovhan is also pleased, “The government seems to be taking a more pragmatic course. Pustovoitenko, in particular, has realized that privatization will not alleviate the crisis. This finally showing some sense.”
According to Hromada member Oleksandr Turchynov, the Cabinet is proposing “domination of administrative measures over economic ones. These measures are meant to restrict capital flow and export-import operations in order to somehow retain currency resources and replenish NBU reserves with them.” The measures are outlined in 35 draft laws to be deliberated by Verkhovna Rada as soon as possible. According to Turchynov, some legislators asked Tyhypko, “And what about your earlier statement on the need for deregulation of the economy, which is in obvious conflict with your present proposals?” The Premier answered the question for Tyhypko, “His etatist position has gotten stronger.”
According to some reports, there was many a raised voice at the Conciliation Council meeting. Budget Committee Chairperson Yuliya Tymoshenko “demolished” Finance Minister Ihor Mitiukov, thereby indicating some similarity between her views and those of President Kuchma, who recently also harshly reprimanded the minister in public.
As a result, everything is OK. Speaker Tkachenko objects to putting the issue of sequestering 1998 budget appropriations on the agenda. (Incidentally, according to meeting participants, he made it very clear to committee chairs that faction leaders are the main players in terms of political position.) Hromada will demand an immediate report from the government and is planning to collect signatures in support of the action. The Communists believe that everything depends on the government’s ability to cope with the crisis; in other words, they allow the government some time and chance to lean on the props of the allocated IMF credit.
It seems like the government is changing course and pleasing the Communists. Asked by The Day whether he had disposed Parliament toward love and friendship, the perplexed Prime Minister said, “We have always had love and friendship.”







