STATE BUDGET OF ARMENIA FOR 2005 ENVISAGES OVER 1 MLN DRAMS FOR SOLUTION
HOUSING PROBLEMS IN LORI REGION: ARMENIAN PRESIDENT

YEREVAN, DECEMBER 20. ARMINFO. The state budget of Armenia for 2005
envisages over 1 mln drams for solution to housing problems of rural
residents of Lori region for the first time. Armenian President
Robert Kocharyan made this statement at a press-conference in the
town of Vanadzor.

In his words, next year large-scale construction is planned in the
rural areas. Active construction in regional centers will start with
various facilities to be erected in the town of Spitak. Construction
of dwelling-houses in Spitak will be continued as well. A special
stress will be put on the certificates due to which the above 1 bln
drams will be distributed. The logic is as follows: a flat in Gyumri
costs some 3 mln drams, while construction of the given flat requires
10 mln drams – due to distribution of the certificates, the problem
of the families which have not received flats will be solved. The
methodology of the given action already exists. In armenia it was
introduced by Urban Institute and USAID, the president says.

He notes that the roads Stepanavan-Tashir, Stepanavan-Odzun-Alaverdi,
Armavir-Gyumri (along the boundary), Gyumri-Amasia and Aparan-Artik
will be constructed within three years in the regions of Shirak and
Lori. Next year, funds will be allocated for reconstruction of the
roads of regional importance. By increasing the financing year by year,
we shall achieve a progress in the sphere, Robert Kocharyan says.

The president says that due to reforms in the taxation sphere,
more predictable conditions in the sphere of entrepreneurship have
been created. A great attention is paid to improvement of the living
conditions of the region’s population. As regards gas supply to the
country, on the whole, and in the region, in particular, the president
notes that the gas users in the country number more than 80,000 and
8-10,000 in Lori region. The same indicators are observed in Shirak
region. As regards water supply to the region, project works are in
process and 24-hour water supply will become real both in Vanadzor
and Gyumri within the coming 2-3 years. In Vanadzor 3 of 5 operating
ATXs are digital, the remaining two are being digitized. Considerable
changes are expected in the sphere of telecommunications, with
the existing inconveniences felt earlier because of the monopoly
of ArmenTel company were connected not only with its monopoly
but also with poor management and irresponsible attitude to its
obligations. However, as compared to many CIS member-countries,
Armenia is among leaders, as to introduction of digital tele-phone
network, which can be called an achievement, the president notes.

Besides, Robert Kocharyan informs that the budget for 2005 envisages
rather big sum (some 1 mln drams) to upgrade the level of social
well-fare of refugees as this issue is one of the priorities of
the program of refugees. The budget plans a rise in the wages of
teachers, militaries and medical personnel. Another 1 bln drams will
be allocated for construction work in the communities, including 800
mln to Lori region as majority of the villages in that region have
remained unnoticed by the government. A community center will be
built in Stepanavan, and construction of a new municipality building
and regional center in Gyumri will start in 2006.

The results of 2004 will be summed up by the Statistical Service
after January 20, 2005. However, one can state that the government has
fulfilled its commitments for 2004, the president says in conclusion.