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Ukraine in brief. Tuesday, July 1

Unilateral ceasefire suspended, Lviv not to hold the 2022 Winter Olympic Games, shooting in Kramatorsk, MTS Ukraine: reduce of new subscribers in Crimea, excise tax on cigarettes, strong spirits up 25%, terrorists come over to Ukrainian army, Parliament extends fourth session till September 2.

09:10 President Petro Poroshenko, following a meeting of the National Security and Defence Council, has made a decision to suspend the unilateral ceasefire in Donbas, Ukrainian News learned from a statement at the President's site.

"We'll go on the offensive and freeing our land. The stop of ceasefire prolonging is our response to terrorists, militants and marauders, to all those who set peaceful population at naught, who paralyze operation of the region's economy, who disrupt payment of wages, pensions, maintenance allowances, who blast railways, destroy pipelines, who deprived people of normal peaceful life," stressed Poroshenko in his address to the nation.

Thus, the effect of the ceasefire, the President proclaimed on June 20 and extended till June 30, 22:00, is regarded as terminated.

On June 28 Poroshenko put into effect the National Security and Defence Council resolution to prolong the truce till June 30, 22:00.

On June 20 Poroshenko instructed the anti-terror operation forces to cease fire from June 20, 22:00 to June 27, 22:00 in frames of the Donbas peaceful settlement plan.


09:52 Lviv withdrew its bid for the 2022 Winter Olympic Games, Ukrainian News learned from a statement made by the National Olympic Committee press service.

This decision followed talks between Prime Minister Arsenii Yatseniuk, International Olympic Committee President Thomas Bach and National Olympic Committee President Sergey Bubka.

All parties agree that Lviv will now focus on bidding for the 2026 Winter Games instead but not continue bidding for the 2022 Olympics.

Lviv pulled out because of the continuing political and security crisis in Ukraine, where government forces are battling an insurgency by pro-Russian separatists.

"A provisional estimate, given by the IOC workgroup, bespeaks Lviv having vats potential for future development," said Bach.

Yatseniuk in turn states the 2026 Winter Olympics bid will have huge potential for the economic restoration of the country and may have considerable advantages for the Ukrainian society.

In spring Lviv officially submitted a bid for hosting the 2022 Winter Olympic Games.


10:27 Four people were killed and five wounded on Tuesday after a public transport bus was shelled in Kramatorsk, Donetsk Region, Ukrainian News learned from a statement made by the regional state administration's healthcare department.

Data from the agency, in the morning a public bus came under fires in Kramatorsk, as a result four people died and five sustained injures of various severity.

The victims were taken to medical and preventive treatment facilities in the town.

At the moment the regional state administration has no details of the attack.

Following a meeting of the National Security and Defence Council President Petro Poroshenko decided to suspend the unilateral ceasefire in Donbas.


11:16 MTS Ukraine, a telecom operator based in Kyiv, says the number of new user connects in Crimea reduced by 25% in June, Ukrainian News Agency has learned from the operator press service.

"No subscriber loss in Crimea was observed but at the same time new connects in June are by 25% less on average year over year," the company said.

MTS Ukraine notes, today owing to the impossibility of making settlements in Crimea with partners, vendors and subscribers in Ukraine's national currency (the hryvnia), and also other factors beyond the operator's control, difficulties emerge in servicing and maintaining of the telecom network.

MTS Ukraine may suspend provision of services in Crimea.

MTS Ukraine has asserted its operation in Crimea was stable.

Mobile TeleSystems (Russia) owns 100% of shares in MTS Ukraine.


12:39 The 25-percent increase in rates of excise tax on tobacco products, spirit and strong drinks has taken effect on July 1, reads the Law on Averting Financial Calamity and Creating Background for Economic Growth in Ukraine (No.1166-VII).

Under the document, on July 1 the excise tax on ethyl alcohol, non-methylated, with alcoholic strength 80% or higher, and also on strong drinks produced by distillation grapevine or husks of grapes goes up 25% from the current UAH 56.42 to UAH 70.53 per litre of 100% spirit.

Besides, by 25.1% increases the excise tax on wine with spirit addition and heady (fortified) wine with addition of plant or aromatic extracts, from the current UAH 2.86 to UAH 3.58 per litre.

Moreover, on July 1 the excise tax on sparkling and carbonated wine raises 25%, from UAH 4.16 до UAH 5.20 per litre.

From today the excise tax on tobacco products go up 25%.

In particular, customs specific rates of excise duty on thousand non-filter cigarettes go up to UAH 96.88, on filter cigarettes to UAH 216.5, and on tobacco raw stuff to UAH 272 per kilo.

Minimum excise tax liability is set for cigarette producers at UAH 127 for thousand non-filter cigarettes and UAH 101.6 for thousand filter cigarettes.

The Law on Averting Financial Calamity and Creating Background for Economic Growth in Ukraine (No.1166-VII) was adopted on March 27; its separate provisions take effect on July 1.

The Verkhovna Rada raised the excise tax on beer by 42.5% or UAH 0.37 to UAH 1.24 per litre as of May 1; and the raising of excise tax spirit and strong drinks was planned for September 1.


15:15 Force authorities say terrorists have set upon coming over to the Armed Forces of Ukraine, anti-terror operation (ATO) press officer Oleksii Dmytrashkovskyi has told Ukrainian News Agency.

"I can confirm that terrorists are beginning to hold talks to come over to the Ukrainian army," he said.

In his words, they are also providing information about the sites of terrorists' deployment.

The ATO press officer says three people have come over to the Ukrainian Armed Forces as of June 30; talks on militants' turnabout continue.

"Talks are under way with a big group of DPR ("Donetsk People's Republic") self-defence members, who indicated wish to come over to the Ukrainian Army," stressed Dmytrashkovskyi.

In this regard he underlines, it is necessary now to check everything thoroughly to disallow terrorist groups' breakthrough from the anti-terror operation zone.

Following a meeting of the National Security and Defence Council President Petro Poroshenko decided to suspend the unilateral ceasefire in Donbas.

Ukraine's security agencies have resumed active phase of the ATO.


15:28 The Verkhovna Rada has extended the current fourth session till September 2.

Relevant draft resolution received votes of 288 Members of Parliament, while 226 votes enough for approval.

Parliament has stipulated, it will be working in plenary mode July 22 to 25 and August 12 to 16.

Besides, whenever necessary Speaker of the Verkhovna Rada Oleksandr Turchynov will be able to convoke special meeting, to which legislators must gather within 24 hours.

Under the previously approved time schedule the last plenary meeting of the Rada's fourth session had to take place on July 4.

The Rada will open fifth session on September 2.


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