A comeback to power for Ukraine's new PM

KIEV -- Ukraine's parliament approved Viktor Yanukovich as prime minister yesterday, sealing the comeback of the Moscow-leaning politician after his humiliation in the ``Orange Revolution" two years ago.

He will share power with President Viktor Yushchenko, the man who defeated him in 2004.

The president said he had cast-iron guarantees from Yanukovich that he would not try to reverse the revolution's pro-Western principles.

Yanukovich, who held the prime minister's job before the revolution, gained 271 votes from the 450 deputies in the parliament, the Verkhovna Rada. His supporters applauded his victory and presented him with a bouquet of red flowers.

``I am itching to get down to work," he said before the vote.

``I've been ready [to serve as prime minister] for a long time," Yanukovich told reporters.

Many supporters of the ``Orange Revolution" say Yanukovich will use his new power to check Ukraine's drive to join NATO and the European Union. They also say business interests close to him will have undue influence over economic policy.

But markets expect pragmatic economic policies under Yanukovich and his team. They gained a reputation as competent managers during their previous stint in government. Yanukovich has said he will lower taxes for business.

The coalition deal ended a parliamentary deadlock that had been holding up key decisions for months and left Ukraine without a full -fledged government and Constitutional Court.

Yanukovich and his allies, who now include the president's Our Ukraine party, are working on the Cabinet line-up.

Yanukovich's own appointees will dominate. But under the constitution Yushchenko has control of key ministries like foreign affairs and defense.

In addition, the job of first deputy prime minister will go to a Yushchenko ally, a senior Our Ukraine official said. Ukrainian media pointed to Petro Poroshenko, a wealthy businessman, as the most likely candidate.

The president would also have the right to appoint the interior minister, said the Our Ukraine official.

Mykola Azarov, a technocrat who oversaw economic and financial policy during Yanukovich's last premiership from 2002 to 2004, will be finance minister, said media reports.

Arseniy Yatsenyuk, the 31-year-old economy minister, was expected to keep his job.

Yanukovich's comeback owes much to bickering in the Orange camp. Its first government fell apart, allowing Yanukovich to form a majority in parliament.

Yanukovich favors closer ties with Moscow. Mass protests in 2004 overturned his election as president and swept Yushchenko to power. In an interview with Russia's Izvestia, Yanukovich said fixing the faltering economy required a better relationship with Russia.