TIGRAN SARGSYAN: OLIGOPOLIES NOT A NEW PHENOMENON

News.am
Dec 25 2009
Armenia

"We have been talking about oligopolies for ten years, and it is not a
new phenomenon," RA Prime Minister Tigran Sargsyan told reporters on
December 25. He said that oligopolies are an obstacle to competition
and price flexibility.

The Premier stressed that oligopolies are not at all monopolies. For
an end to be put to this phenomenon the RA Commission for Protection
of Economic Competition must be enhance its efficiency. In this
context the Premier also pointed out the need for tax reforms,
prohibition on business activities for politicians, and necessary
public sentiments. The Premier cited an example of effective control
over oligopolies: from now on 500 largest Armenian enterprises will
submit reports based on external audit results.

Tigran Sargsyan also stressed that Armenian statesmen run businesses,
but Armenia lacks the necessary legal underpinnings to control this
phenomenon. "Now we must show political will and create mechanisms
for not only political appraisals, but also actual steps to be made,"
the Armenian Premier said. He pointed out the necessity for mechanisms
to prevent government officials from managing their own businesses.

Sargsyan said it is international practice, which has to be applied in
Armenia. "The most important mechanism is the one to ensure transparent
activities," the Premier said. He stressed that officials’ statements
of property must be available to everyone.

It is noteworthy, however, that relevant mechanisms are in effect in
Armenia even now, but no official has yet been held responsible for
doing business.

From: Emil Lazarian | Ararat NewsPress