Bloomberg News

France, Germany Press Putin to Sway Separatists on Truce

July 03, 2014

Pro-Russian Separatists in Ukraine

Pro-Russian separatists tighten security measures with concrete blocks and sandbags as they guard a checkpoint in Donetsk, Ukraine, on July 1, 2014. Photographer: Soner Kilinc/Anadolu Agency via Getty Images

France and Germany raised pressure on President Vladimir Putin to push pro-Russian separatists to reach an agreement with Ukraine, as they stepped up diplomacy aimed at reinstating a cease-fire within 48 hours.

President Francois Hollande and Chancellor Angela Merkel called Putin yesterday and “stressed the importance” of seeking a truce between Ukraine and the separatists and defining its conditions, Hollande’s office said in a statement. They asked Putin to nudge the insurgents to talks and an agreement with Ukraine’s authorities, the French president’s office said.

“Above all Russia must play its part and exercise its influence over the separatists in the east of Ukraine so that these groups also observe a cease-fire,” German government spokesman Steffen Seibert said in an e-mailed statement after Merkel spoke by phone with U.S. President Barack Obama.

Related: Ukraine Talks Convene in Berlin Amid Fighting in East

The call by Merkel and Hollande, who have become the main conduit to Putin during the conflict for Europe and the U.S., coincided with reports of continued skirmishes in the eastern part of Ukraine that borders Russia. With the violence unabated, the foreign ministers of Germany, France, Ukraine and Russia agreed at a meeting in Berlin yesterday to work for a comprehensive cease-fire in another round of talks by July 5.

Ukraine’s hryvnia strengthened against the dollar, rising 0.3 percent and trimming this year’s loss to 30.4 percent, data compiled by Bloomberg show. Russia’s ruble fell 0.9 percent.

‘Key Role’

Russian Foreign Minister Sergei Lavrov, speaking to reporters in Moscow yesterday, said that “our Western colleagues” must now adopt “the key role” in persuading the Kiev authorities to heed the appeal for a truce.

“This refers to the meeting as soon as possible of the contact group to agree on a bilateral basis a durable, lasting cease-fire, agreed between the two parties and not on a unilateral basis,” he said.

A Snapshot of Ukraine's Past and Future

Ukrainian President Petro Poroshenko, who ended a unilateral cease-fire this week amid continued clashes, discussed the situation with U.S. Vice President Joe Biden today, his office said in a statement.

While the Ukrainian leader said he’s ready to resume peace talks without any additional conditions, he stressed that a truce could only come about after he gets confirmation it will be observed by separatists, and once all hostages are released and observers from the Organization for Security and Cooperation in Europe are monitoring the border with Russia.

Hundreds Dead

With the EU and the U.S. considering expanding sanctions against Russia, Poroshenko ended the truce on July 1, blaming pro-Russian insurgents for more than 100 violations in 10 days.

The expiration of the cease-fire renews a conflict that’s claimed hundreds of lives. Ukraine and its U.S. and European allies say the separatists in the mainly Russian-speaking regions of Donetsk and Luhansk are backed by Putin’s government, which Russia denies.

Ukraine’s parliament yesterday approved Poroshenko’s nominee, Valeriy Geletey, as defense minister, replacing Mykhaylo Koval. Geletey pledged security and peace for his nation.

Amid the continued violence, several shells from the Ukrainian side targeted the Russian border checkpoint Novashakhtinsk, the Interfax news agency reported, citing Vasiliy Malayev, a spokesman for the regional branch of Russia’s Border Service. There were no casualties with only some infrastructure damage reported, Interfax said.

There were civilian casualties as a result of firefights in the town of Kramatorsk, the Donetsk regional administration said on its website, without providing details. Rebels also attacked a National Guard checkpoint in the Starobeshevsky district, it said.

To contact the reporters on this story: Kevin Costelloe in Rome at kcostelloe@bloomberg.net; Patrick Donahue in Berlin at pdonahue1@bloomberg.net

To contact the editors responsible for this story: Balazs Penz at bpenz@bloomberg.net; Alan Crawford at acrawford6@bloomberg.net Andrew Langley, Leon Mangasarian


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