Moscow Tightens Economic Grip on Southern Ukraine

File Photo: Ukrainian soldiers search for bodies in the debris at the military school hit by Russian rockets the day before, in Mykolaiv, southern Ukraine, on March 19, 2022. (Bulent Kilic/AFP)
File Photo: Ukrainian soldiers search for bodies in the debris at the military school hit by Russian rockets the day before, in Mykolaiv, southern Ukraine, on March 19, 2022. (Bulent Kilic/AFP)
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Moscow Tightens Economic Grip on Southern Ukraine

File Photo: Ukrainian soldiers search for bodies in the debris at the military school hit by Russian rockets the day before, in Mykolaiv, southern Ukraine, on March 19, 2022. (Bulent Kilic/AFP)
File Photo: Ukrainian soldiers search for bodies in the debris at the military school hit by Russian rockets the day before, in Mykolaiv, southern Ukraine, on March 19, 2022. (Bulent Kilic/AFP)

Little appears to have changed for Alexei Andrusenko, the head of a foundry in Ukraine's southern city of Berdyansk, who is happy to have kept all his staff since Moscow took control of the city.

Andrusenko and his 50 or so employees continue showing up to work every morning to the grey building in the outskirts of the port city on the shores of the Sea of Azov.

But now the factory's produce -- once sold to Ukrainian or international steel groups -- will likely be bound for Russia and Kremlin ally Belarus, AFP said.

Since Russia sent troops into Ukraine on February 24 and captured territories in the south of the pro-Western country, Moscow has sought to strengthen their economic ties.

"We have no other supply chain," Andrusenko told AFP during a press trip organized by the Russian army.

He also raised concerns about the depleting stocks of their raw materials that previously came from neighboring Mariupol, another key Ukrainian city on the shores of the Sea of Azov.

Andrusenko says they are "interested" in working with the Alchevsk steelworks, a large factory with over 10,000 employees that since 2014 has been under the control of pro-Russian separatists of eastern Ukraine's Lugansk region.

Before Russia sent troops to Ukraine, these deals would never have been possible.

"The most important thing is to build the right supply chain and to be able to work," Andrusenko said.

- Port '100 percent ready' -
The southern Ukrainian regions of Kherson and Zaporizhzhia have been largely under Russia's control since the first weeks of Moscow's military campaign, and are now being forcefully integrated into Russia's economy.

The main economic asset of Berdyansk is its port, which has remained mostly intact unlike that of Mariupol, the scene of a devastating siege.

In late March, an attack attributed to Ukrainian forces reportedly sank a Russian warship in Berdyansk waters, but today the port is "almost 100 percent ready" to ship grain, says Alexander Saulenko, the Moscow-installed head of Berdyansk.

Ukraine has accused Russia and its allies of stealing its wheat, contributing to a global food shortage caused by grain exports blocked in Ukrainian ports.

According to Saulenko, grain will soon be shipped out from the port, since silos will need to be freed up for the new harvest.

"We have prospects for contracts with Turkey. Russia is an agricultural country, it has enough grain of its own so it would be more profitable to trade elsewhere," Saulenko said.

But the most tangible influence of Moscow on the local economy is the introduction of Russia's national currency since last month.

"Now you can buy everything in both rubles and hryvna," Ukraine's currency, the pro-Russian official added.

According to him, Berdyansk received some 90 million rubles ($1.7 million) from Russia, but state employees are still paid in hryvna and it is impossible to withdraw cash rubles from ATMs.

- Ties with Russia 'resuming' -
Neighbouring Melitopol, about 100 kilometres (60 miles) west of Berdyansk that came under Russian control on March 1, also uses the Russian ruble that is delivered from Crimea, the Black Sea peninsula Moscow annexed from Ukraine in 2014.

"It's a two-currency zone.... The ruble is delivered thanks to the open road to Crimea. Commercial ties with Russia, interrupted after 2014, are resuming," says Melitopol's pro-Russian mayor, Galina Danilchenko.

"People are happy to accept the ruble... I don't see any problems," she added, but for reporters on the press trip it was difficult to speak freely with the city's residents.

Back at the Berdyansk foundry, 41-year-old worker Sergey Grigoryev says he just hopes to get paid his salary.

"In cash, not to my card, because you can't withdraw from it. In hryvnas or in rubles -- I don't care".



Thousands Stage Pro-Gaza Rally in Istanbul

Demonstrators gather on the Galata Bridge holding Palestinian and Turkish flags during a pro-Palestinian rally in Istanbul, Türkiye, Thursday, Jan. 1, 2026. (AP Photo/Khalil Hamra)
Demonstrators gather on the Galata Bridge holding Palestinian and Turkish flags during a pro-Palestinian rally in Istanbul, Türkiye, Thursday, Jan. 1, 2026. (AP Photo/Khalil Hamra)
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Thousands Stage Pro-Gaza Rally in Istanbul

Demonstrators gather on the Galata Bridge holding Palestinian and Turkish flags during a pro-Palestinian rally in Istanbul, Türkiye, Thursday, Jan. 1, 2026. (AP Photo/Khalil Hamra)
Demonstrators gather on the Galata Bridge holding Palestinian and Turkish flags during a pro-Palestinian rally in Istanbul, Türkiye, Thursday, Jan. 1, 2026. (AP Photo/Khalil Hamra)

Thousands joined a New Year's Day rally for Gaza in Istanbul Thursday, waving Palestinian and Turkish flags and calling for an end to the violence in the tiny war-torn territory.

Demonstrators gathered in freezing temperatures under cloudless blue skies to march to the city's Galata Bridge for a rally under the slogan: "We won't remain silent, we won't forget Palestine," an AFP reporter at the scene said.

More than 400 civil society organizations were present at the rally, one of whose organizers was Bilal Erdogan, the youngest son of Turkish President Recep Tayyip Erdogan.

Police sources and Anadolou state news agency said some 500,000 people had joined the march at which there were speeches and a performance by Lebanese-born singer Maher Zain of his song "Free Palestine".

"We are praying that 2026 will bring goodness for our entire nation and for the oppressed Palestinians," said Erdogan, who chairs the board of the Ilim Yayma Foundation, an educational charity that was one of the organizers of the march.

Türkiye has been one of the most vocal critics of the war in Gaza and helped broker a recent ceasefire that halted the deadly war waged by Israel in response to Hamas' unprecedented attack on October 7, 2023.

But the fragile October 10 ceasefire has not stopped the violence with more than more than 400 Palestinians killed since it took hold.


Ukraine Says Overnight Russian Drone Attack Damaged Power Infrastructure

In this handout photograph taken by the Ukrainian Emergency Service and released on January 1, 2025, Ukrainian firefighters extinguish a fire at the site following an air attack in Odesa region, amid the Russian invasion of Ukraine. (Photo by UKRAINIAN EMERGENCY SERVICE / AFP)
In this handout photograph taken by the Ukrainian Emergency Service and released on January 1, 2025, Ukrainian firefighters extinguish a fire at the site following an air attack in Odesa region, amid the Russian invasion of Ukraine. (Photo by UKRAINIAN EMERGENCY SERVICE / AFP)
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Ukraine Says Overnight Russian Drone Attack Damaged Power Infrastructure

In this handout photograph taken by the Ukrainian Emergency Service and released on January 1, 2025, Ukrainian firefighters extinguish a fire at the site following an air attack in Odesa region, amid the Russian invasion of Ukraine. (Photo by UKRAINIAN EMERGENCY SERVICE / AFP)
In this handout photograph taken by the Ukrainian Emergency Service and released on January 1, 2025, Ukrainian firefighters extinguish a fire at the site following an air attack in Odesa region, amid the Russian invasion of Ukraine. (Photo by UKRAINIAN EMERGENCY SERVICE / AFP)

A Russian drone attack damaged power infrastructure in several Ukrainian regions overnight, Ukraine's energy ministry said on Thursday.

The ministry said a "significant number" of households in the ⁠Volyn and Odesa regions - in northwestern and southwestern Ukraine, respectively - were disconnected from power supplies by the ⁠strike, as well as some in the Chernihiv region north of the capital Kyiv.

The governor of Volyn said more than 103,000 households in that region had ⁠lost power as a result of the attack. Volyn region is several hundred kilometers from the front line and borders NATO member Poland.

Meanwhile, the Ilskiy oil refinery in Russia's southern Krasnodar region was hit by debris from a Ukrainian drone, causing a fire which ⁠had been put out overnight, local authorities said on Thursday.

Ukrainian drones also struck an energy storage facility in the Russian city of Almetyevsk, causing a fire that has since ⁠been extinguished, Russian media cited the press service of the local governor as saying.

Almetyevsk ⁠is located around 1,700 km from Ukrainian-held territory, in the oil-rich Volga river region of Tatarstan.

Kyiv has since August stepped ⁠up drone attacks on Russia's energy infrastructure in an effort to squeeze Moscow's ability to finance its military campaign in Ukraine.

The Russian-installed governor of Ukraine's southern Kherson region accused Ukraine on Thursday of killing at least 24 people, including a child, in a drone strike on a hotel and cafe where New Year celebrations were being held.

The governor, Vladimir Saldo, made the allegation in a statement on the Telegram messaging service. A local pro-Russian news outlet published pictures of a badly damaged building, where it said the strike took place.

Ukraine's military did not immediately respond to an emailed request for comment. Reuters was not able to ⁠immediately verify the images or the allegation.


‘Several Tens’ Dead, About 100 Injured in Fire at Swiss Alps Resort During New Year’s Celebration

 Police officers inspect the area where a fire broke out at the Le Constellation bar and lounge leaving people dead and injured, during New Year’s celebration, in Crans-Montana, Swiss Alps, Switzerland, Thursday, Jan. 1, 2026. (Alessandro della Valle/Keystone via AP)
Police officers inspect the area where a fire broke out at the Le Constellation bar and lounge leaving people dead and injured, during New Year’s celebration, in Crans-Montana, Swiss Alps, Switzerland, Thursday, Jan. 1, 2026. (Alessandro della Valle/Keystone via AP)
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‘Several Tens’ Dead, About 100 Injured in Fire at Swiss Alps Resort During New Year’s Celebration

 Police officers inspect the area where a fire broke out at the Le Constellation bar and lounge leaving people dead and injured, during New Year’s celebration, in Crans-Montana, Swiss Alps, Switzerland, Thursday, Jan. 1, 2026. (Alessandro della Valle/Keystone via AP)
Police officers inspect the area where a fire broke out at the Le Constellation bar and lounge leaving people dead and injured, during New Year’s celebration, in Crans-Montana, Swiss Alps, Switzerland, Thursday, Jan. 1, 2026. (Alessandro della Valle/Keystone via AP)

“Several tens of people” are presumed dead and about 100 injured, most of them seriously, following a fire at a Swiss Alps resort town bar during a New Year’s celebration, police said Thursday.

Specific casualty figures were not immediately available from the fire at the bar called bar called Le Constellation.

Beatrice Pilloud, attorney general of the Valais Canton, said it was too early to determine the cause of the fire. Experts have not yet been able to go inside the wreckage.

Police said they could not immediately be more precise about how many people had been killed in the blaze.

The injured were so numerous that the intensive care unit and operating theater at the regional hospital quickly hit full capacity, according to regional councilor Mathias Rénard.

Helicopters and ambulances rushed to the scene to assist victims, including some from different countries, officials said.

“We are devastated,” Frédéric Gisler, commander of the Valais Cantonal police, said during a news conference.

The municipality had banned New Year’s Eve fireworks due to lack of rainfall in the past month, according to its website.

In a region busy with tourists skiing on the slopes, the authorities have called on the local population to show caution in the coming days to avoid any accidents that could require medical resources that are already overwhelmed.

The community is in the heart of the Swiss Alps, just 40 kilometers (25 miles) north of the Matterhorn, one of the most famous Alpine peaks, and 130 kilometers (81 miles) south of Zurich.

The highest point of Crans-Montana, with a population of 10,000 residents, sits at an elevation of nearly 3,000 meters (1.86 miles), according to the municipality’s website, which says officials are seeking to move away from a tourist culture and attract high-tech research and development.

The municipality was formed only nine years ago, on Jan. 1, 2017, when multiple towns merged. It extends over 590 hectares (2.3 square miles) from the Rhône Valley to the Plaine Morte glacier.