ONE OF REASONS FOR ECONOMIC CRISIS THREATENING ARMENIA IS THE POLICY CONDUCTED BY AUTHORITIES, ANDRANIK TEVANIAN SAYS

Noyan Tapan

Dec 2, 2008

YEREVAN, DECEMBER 2, NOYAN TAPAN. "The global economic crisis will
affect Armenia’s economic system without fail," the chairman of
the National Assembly Standing Committee of Economic Issues Vardan
Aivazian said during the December 2 debate, noting that with the aim
of preventing the consequences of this crisis, the Armenian government
has prepared a series of measures, in particular, a new investment
program, creation of an all-Armenian bank, construction of a new
nuclear power plant. In the opinion of V. Aivazian, the government
took a bolder step by deciding to participate in these programs.

The head of Political Economy research center, economist Andranik
Tevanian in his turn said that the reasons for the crisis threatening
the Armenian economy should be sought not only in the international
financial fluctuations but also in the economic policy being conducted
by the country’s authorities. "I’d like to know how the creation
of an all-Armenian bank and other programs will help our economy,"
the economist noted. He also asked his opponent what resources will
be used for implementation of all these programs. V. Aivazian said
these resources will be provided from the reserve fund of the Central
Bank of Armenia.

According to A. Tevanian, today the state is engaged in "collecting
money and distributing money", which is done by increasing the tax
burden, which in its turn directed mainly at small and medium business,
whereas the big businessmen to have united with authorities do not
pay taxes. In response, V. Aivazian reminded that 92% of the state
budget is ensured by 300 big organizations of the country.