Europe

The Democratic Party of Socialists, DPS, and the Social Democratic Party agreed on Sunday to form a city government in the capital, ending a political crisis that threatened new local elections.

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Fitch Ratings has affirmed Bulgaria's First Investment Bank (FIBank) Long-term Issuer Default Rating (IDR) at 'BB-' with a Negative Outlook and its Viability Rating (VR) at 'b-'.

The rating action reflects Fitch's view that "as a domestically-owned systemically important bank in Bulgaria, extraordinary support from the Republic of Bulgaria (BBB-/Stable) may be available, if needed".

Romania is protected against the "0.01 per cent" possibility that Russia might one day attack the country, President Traian Basescu said on Sunday after last week's NATO summit in Wales.

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European leaders were set on Sept. 8 to unveil punishing new sanctions on Russia after weekend fighting in Ukraine imperilled a fragile truce aimed at halting a bloody pro-Kremlin uprising.
      
Ukrainian soldiers fortified their positions around Mariupol on Monday after insurgent attacks late Saturday on government positions on the eastern edge of the strategic port city.

The Movement for Rights and Freedoms (DPS) will lead a tolerant campaign, its head Lyutvi Mestan announced as the party's campaign kicked off on Sunday.

Chapter 35 consultations "successful"

BRUSSELS -- Office for Kosovo Director Marko Đurić said the Sept. 5 consultations with EU representatives on Chapter 35, including the issue of Kosovo, were "successful."

Expanding energy benefits, unlocking frozen EU funding and boosting energy efficiency of old buildings were the key election pledges of GERB party on Sunday, Reuters said.

Reporting on the launch of GERB campaign for October 5 snap election, the news agency highlighted the party's promise to boost the struggling economy and improve the low living standards in the EU's poorest member.

Ukrainian official claims 5 countries will send weapons

KIEV -- Ukraine will receive military advisers and weapons from the United States, France, Italy, Poland and Norway, says a Ukrainian official.

Four of the five countries mentioned, however, denied this.

Romania has to consolidate its energy security, as 'the true battle against Russia will be fought with energy, not with conventional weapons,' Prime Minister Victor Ponta said on Monday.

"Serbia is not neutral, it has chosen EU"

BELGRADE -- German Ambassador to Serbia Heinz Wilhelm noted on Saturday that Serbia is not neutral, as it has opted for the EU path and chosen to join the organization.