Pro-West Ukraine government survives no-confidence vote

Kiev - Ukraine's pro-West government survived a no- confidence vote on Thursday leaving the deadlock in the country's parliament unchanged.

A parliament motion to sack a cabinet led by Prime Minister Yulia Tymoshenko obtained 174 votes in favour, with 226 ayes in the 450- house needed to throw her government out of their jobs.

The decision left the former Soviet republic's legislature at an effective standstill, with neither Tymoshenko's government nor the pro-Russia opposition able to form a majority.

The opposition had been pushing for the no-confidence vote as a way to resolve the impasse in the legislature, and as necessary given worsening economic conditions in the country.

Mykola Azarov, MP and leading economic planner for the opposition Regions Ukraine party, in a speech prior to the vote accused the Tymoshenko government of "outright incompetence... directly responsible for an across-the-board reduction of living standards."

The Tymoshenko government in the face of 25 per cent annual inflation, a credit freeze, and stagnation in the country's key metals and chemical industries had lied to voters by making public false economic performance numbers, Azarov charged.

"Any Western government with economic results like ours, would have resigned voluntarily," he said.

Tymoshenko in response to Azarov's attacks claimed Ukraine's economy in fact was performing well and GDP was on track to grow at a 6.4 annual rate.

Galloping inflation from the first half of the year has now leveled off, and the latter half of 2008 will see price deflation, she predicted.

"These are results many countries would envy," she argued.

Ukrainian consumers have been hard hit by worldwide price spikes for energy and food. Many middle- and lower-class during 2008 have seen actual family purchasing power deteriorate by as much as 30 per cent, despite overall positive GDP growth for the national economy.

Undisputed control of parliament by a pro-West coalition ended last month after two MPs defected from the government bloc, leaving Tymoshenko's government one vote short of a majority.

The legislature has failed to pass any but marginal legislation since then, despite a pressing need for anti-inflation laws, and regulations making faster preparations for the Euro 2012 football championship. (dpa)

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