TRADE WITH ARMENIA SOARS 65 PERCENT: RUSSIAN PM

Agence France Presse — English
February 6, 2008 Wednesday 1:24 PM GMT
Yerevan

Trade between Russia and ex-Soviet Armenia soared 65 percent in 2007,
Russian Prime Minister Viktor Zubkov
Enhanced Coverage LinkingViktor Zubkov -Search using:
Biographies Plus News
News, Most Recent 60 Days
said Wednesday, vowing further investment on a trip to the Armenian
capital Yerevan.

"Russia is the principal foreign investor in Armenia and we will
further develop our relations," Zubkov said at a press conference
with his Armenian counterpart, Serzh Sarkisian.

Bilateral trade of 700 million dollars (479 million euros) in 2007
"is not the limit," said Zubkov, who predicted the figure would soon
surpass one billion dollars.

Sarkisian said "Russian capital feels comfortable in Armenia" and
predicted the two countries would remain key economic and diplomatic
allies after Armenia’s presidential election on February 19.

Sarkisian is the leading contender to replace President Robert
Kocharian, who is constitutionally barred from seeking a third
five-year term.

During the two-day visit, Sarkisian and Zubkov renewed free trade
agreements and signed a number of documents aimed at boosting
cooperation in the spheres of information technology, communications
and atomic energy.

On Wednesday, Zubkov said Russia would also be looking to buy building
materials from Armenia for the construction of facilities for the
2014 Winter Olympics in the southern Russian city of Sochi.

A deal was also signed to set up a joint venture for finding, mining
and processing uranium, as well as promoting Armenia’s nuclear power
industry. Russia has expressed interest in participating in a project
to build a new nuclear plant in Armenia by 2016 to replace a Soviet-era
atomic power station.

Armenia has maintained close ties with Moscow in recent years as its
neighbours in the strategic Caucasus region, Azerbaijan and Georgia,
have developed stronger relations with the West.

Russian companies have extensive investments in the country, including
in the energy and telecoms sectors.