ARMENIAN ECONOMY NEEDS INNOVATIONS

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[04:41 pm] 09 November, 2006

"The number of saunas and night clubs is increasing in Armenia day by
day. They only enhance the sex industry," announced Edward Aghajanov
in the club "Pastark" today.

He claims that the economy of the country can only develop due to
innovations-due to the shift to knowledge-based economy.

"The 2003 – 2007 project of the RA Government touched upon the
idea of establishing innovative economy in Armenia but it hasn’t
been implemented so far. Armenia cannot develop all the branches of
science at the same time.

We must develop at least a few branches – informational, hi-tech,
medical, biological, etc," noted Mr. Aghajanov.

Mr. Aghajanov confesses that he has already got tired of referring
to the innovative economy. But he becomes indignant at the fact that
the government decided to allocate only one percent of the 2008 State
budget to the science. "The country that evades feeding its scientific
field will have to feed the science of foreign countries."

Science is the most expensive pleasure all over the world which it
requires great investments. You cannot promote the country’s future
well-being by exporting tomato paste or rice.

While speaking of the investment field of Armenia, Mr. Aghajanov
qualified it as unattractive.

"Investors need super-privileged conditions as "there will be no
gain without pain." Armenia can suggest the investors nothing but
poor poverty index and lack of communication systems.