President Of Netherlands Bank: Existence Of Conflict Does Not Preven

PRESIDENT OF NETHERLANDS BANK: EXISTENCE OF CONFLICT DOES NOT PREVENT IMPLEMENTATION OF PROGRAM ON MAKING ARMENIA A REGIONAL FINANCIAL CENTER

Noyan Tapan
Nov 13, 2007

YEREVAN, NOVEMBER 13, NOYAN TAPAN. Armenia is proceeding along the
correct path towards the goal of becoming a regional financial center,
and the country’s government and the Central Bank of Armenia are
resolute in this issue, the President of the Netherlands Bank and
the Chairman of the Basel Committee Dr. Nout Wellink stated at the
November 13 press conference.

In his words, a favorable precondition for reaching this goal is
Armenia’s two-digit economic growth, which has been observed in the
past 6-7 years.

Besides, there is low inflation in Armenia as compared with other
regional countries, the flow of state finances is under control,
while the budget deficit is small. According to N. Wellink, system
reforms of the financial sector are being implemented in Armenia.

The chairman of the Central Bank of Armenia (CBA) Tigran Sargsian said
that the concept of making Armenia a regional center is still at the
development stage. According to him, Armenia’s initiative to become
a regional center may create some favorable bases for resolution of
the conflicts in the region. He gave the example of Singapore: its
becoming a financial center has contributed to the improvement of the
political situation in this country, even though the Singapore-Malaysia
conflict has not been settled yet.

N. Wellink in his turn said that the development of financial sector
of the economies of Ireland and Hong Kong helped to mitigate their
conflicts with neighbors. In his words, the existence of the conflict
does not prevent the implemebnation of the program on making Armenia
a financial center in this part of the world.