NATURAL GAS SUBSIDIZING BY ARMENIAN GOVERNMENT IS NOT TRANSPARENT, IMF REPRESENTATIVE CLAIMS

Noyan Tapan
Dec 13 2006

YEREVAN, DECEMBER 13, NOYAN TAPAN. The subsidizing of natural gas
by the Armenian government is not transparent, and it is quite
difficult to know what agreement has been reached with Gazprom, IMF
Yerevan Office Resident Representative Nienke Oomes told reporters on
December 13. According to him, the subsid izing process is unclear,
since these sums are not seen in the state budget and are used through
the budget of the RA defence ministry. The beneficiaries, particularly
the poor do not benefit so much from these sums. N. Oomes said that
the IMF directors called on the Armenian authorities to work out a
long-term strategy, which will allow to gradually stop gas subsidizing
by late 2008, insuring complete self-financing and reducing midterm
fiscal risks.