Europe is on tenterhooks over whether Russia will shut off gas to Ukraine and leave it shivering in January. If that happens, however, blame will fall on Kiev, not Moscow.

Recession-ravaged Ukraine’s political squabbling and populism has hit fever pitch ahead of presidential elections on January 17. That has led the International Monetary Fund to suspend co-operation and delay a $3.8bn loan payment, due on Sunday. The government had already backed off from commitments to increase long-subsidised domestic gas prices. The final straw was President Viktor Yushchenko signing into law, against IMF objections, a parliamentary bill that will raise minimum wages and pensions by 20 per cent – costing 7 per cent of economic output in 2010.