preview

Ukraine After The Soviet Union

Decent Essays

On November of 2013 the citizens of Ukraine took to Kiev’s streets. Mass protests broke out in dispute of the governments plan to drop agreements with the European Union and instead seek closer economic ties with Russia. Since the protests broke out Ukraine has seen an ongoing conflict in the east of the country. In order to illustrate a clearer understanding of the current situation in Ukrainian I will first discuss a brief history of Ukraine and its relationship with Russian since the fall of the Soviet Union. Although it was not a producer of these modern essential commodities such as gas and oil, it is easy to see how Ukraine, after gaining its independence on December first of 1991, was the second strongest republic of the former Soviet Union. With a population of 52 million and a strategic and position ensuring that the delivery of oil and gas via pipelines runs through its territories to the west geographically vital to the rest of Europe. In 1995 under the communist government, President Leonid Kuchman used his power to remove all gas and oil enterprises from the countries privatization list. This contributing to an already high state budget deficit, created an environment where no realistic chances of meeting agreements made to the IMF and World Bank, to reduce the state budget deficit, could be met. Those who opposed the reform, bureaucrats and enterprise directors, knew how to access oil and export subsidies. This environment scared off foreign investors,

Get Access