Eduard Aghajanov: Governemt’s Program Is Not In Line With Statemens

EDUARD AGHAJANOV: GOVERNEMT’S PROGRAM IS NOT IN LINE WITH STATEMENS ABOUT SECOND-GENERATION REFORMS

Noyan Tapan
Jun 28, 2007

YEREVAN, JUNE 28, NOYAN TAPAN. In terms of its contents, the new
program of the Armenian government is not in line with the statements
about second-generation reforms or the creation of an economy of
new quality.

Economist Eduard Aghajanov expressed this opinion at the June 28
press conference.

According to him, it is necessary to develop the industry in order to
implement second-generation reforms, while the governmental program
lays a stress on the development of mining industry and metallurgy
only.

Only one sentence, according to which the government will keep the
IT sector in the center of attention, is dedicated to information
technologies in the government’s program. Whereas, in the words of
E. Aghajanov, countries like Irland, India, Russia to have reached
success in the hightech sector have used some tax mechanisms of
promotion, which has not been done in Armenia.

E. Aghajanov said that the program says about formation of a
knowledge-based (innovation) economy. However, for this purpose it
is necessary to allocate at least 1-1.5% of GDP to science, while
the 2007 budget allocates only 0.19% of Armenia’s GDP to science.

In the economist’s opinion, developing the inovation technologies is
the only way to make the Armenian economy competitive. Even oil-rich
Azerbaijan recently declared its intention to create a regional
innovation zone, in which Russia will participate as well. E. Aghajanov
noted that Armenia should be able to make a breakthrough in this
sphere as it is already behind the neighboring countries.