RFE/RL Armenian Report – 07/18/2017

                                        Tuesday, July 18, 2017

Russian-Armenian Investors Said To Finance First Projects In Armenia
July 18, 2017

 . Anush Muradian


Armenia - Prime Minister Karen Karapetian (C) talks to
Russian-Armenian businessmen at the official launch of their Investors
Club of Armenia fund in Yerevan, 25Mar2017.

An investment fund set up recently by three dozen wealthy Russian
entrepreneurs of Armenian descent will start financing business
projects in Armenia this autumn, a senior government official in
Yerevan said on Tuesday.

The fund called the Investors Club of Armenia (ICA) was officially set
up in March at a ceremony in Yerevan attended by Prime Minister Karen
Karapetian. The latter has warm rapports with its key founders,
notably the Armenian-born billionaire Samvel Karapetian (no relation).

The Armenian government signed a memorandum of understanding with the
ICA in April. Minister for Economic Development Suren Karayan said at
the time that the fund's investments in the Armenian economy should
total around $300 million this year.

According to one of Karayan's deputies, Hovannes Azizian, the ICO will
likely launch its first investment projects in October or
November. "The projects to be implemented by the Club will mainly
target the areas of energy and renewable energy," he told a news
conference. "Now discussions are underway on the possibility of the
Club's involvement in some manufacturing sectors as well."

Azizian said that the Russian-Armenian investors are particularly
interested in hydropower and solar energy. The government, he said,
expects them to finance, among other things, the construction of
medium-sized hydroelectric plants.

One of those plants would be built in Samvel Karapetian's native Lori
province. The Armenian Energy Ministry estimates that work on the
76-megawatt facility would cost roughly $150 million.

Azizian would not be drawn on the amount of funding which the ICA has
set aside for its first projects. "When the projects are finalized we
will give information about the investment package," he said.

Foreign direct investment in the Armenian economy has rapidly declined
in recent years. Government data shows that it stood at a modest $130
million in 2016.

Prime Minister Karapetian has repeatedly promised to attract more than
$3 billion in investments in the coming years since he was appointed
as prime minister in September. The former business executive, who
lived and worked in Russia from 2011-2016, has said that at least $830
million of the sum will be invested in 2017.


Armenia - President Serzh Sarkisian (L) awards a state medal to
Russian-Armenian businessman Samvel Karapetian, Yerevan, 26Sep2015.

The Russian-Armenian businessmen voiced strong support for the
53-year-old premier's ambitious reform agenda when he paid an official
visit to Moscow in January. Samvel Karapetian reaffirmed that backing
at the official launch of the ICA in March.

In addition to his extensive business interests in Russia, the tycoon
owns Armenia's national electric utility, largest thermal power plant,
and a shopping mall in Yerevan. His Tashir Group is due to open
another sprawling trade center in the Armenian capital in September.

According to "Forbes" magazine estimates, Samvel Karapetian's personal
fortune is currently worth $3.5billion, meaning that he is most
probably the richest ethnic Armenian in the world.



Dashnaks To Discuss 2018 Government With Sarkisian
July 18, 2017

 . Sargis Harutyunyan


Armenia - President Serzh Sarkisian greets leaders of the Armenian
Revolutionary Federation before concluding a new power-sharing
agreement with them in Yerevan, 11May2017.

The Armenian Revolutionary Federation (Dashnaktsutyun) said on Tuesday
it will hold discussions with President Serzh Sarkisian soon on who
will be Armenia's prime minister after his decade-long presidency ends
next April.

Dashnaktsutyun is a junior partner in Sarkisian's coalition
government, having held three ministerial posts for more than a
year. It extended its power-sharing deal with Sarkisian and his
Republican Party of Armenia (HHK) following parliamentary elections
held in April.

"Naturally, the question of who will be prime minister is important to
Dashnaktsutyun, but there is still time [left before April 2018,]"
said Aghvan Vartanian, a Dashnaktsutyun leader.

"In my view, the challenges facing the country have two main
components," he told RFE/RL's Armenian service (Azatutyun.am). "One of
them is security, Artsakh (Nagorno-Karabakh) and the like, while the
other the economy # I think that there is enough room here for every
person willing to serve the country."

"Also, our coalition agreement makes it clear that the Republican
Party has the exclusive right to nominate the prime minister's
candidacy. This issue will be discussed when the time is right," added
Vartanian.

In televised remarks aired over the weekend, Sarkisian again declined
to clarify whether he plans to become prime minister or replace Prime
Minister Karen Karapetian by someone else after serving out his final
presidential term. But he praised economic policies pursued by
Karapetian's cabinet.

Vartanian said that Dashnaktsutyun is also "satisfied" with the
current government's track record so far. "Quite a bit of things have
already been done in terms of both security and socioeconomic issues,"
he said.

The veteran politician spoke the day after a joint meeting of
Dashnaktsutyun's worldwide Bureau and governing body in Armenia held
in Yerevan. The meeting adopted a statement which is due to be
publicized on Wednesday.

Dashnaktsutyun controls 7 seats in Armenia's 105-member parliament,
compared with 58 seats held by the HHK.



Jailed Oppositionists' Lawyers Face Disciplinary Action
July 18, 2017

 . Karlen Aslanian


Armenia - Arrested members of an armed opposition group that seized a
police station in July 2016 go on trial in Yerevan, 8Jun2017.

Armenia's national bar association may take disciplinary action
against two lawyers accused by law-enforcement authorities of
misconduct relating to the ongoing trials of radical opposition leader
Zhirayr Sefilian and his supporters.

The lawyers, Mushegh Shushanian and Arayik Papikian, represent
Sefilian and some of the members of his Founding Parliament movement
who seized a police station in Yerevan last year.

The Chamber of Advocates has launched disciplinary proceedings against
Shushanian and Papikian at the request of the Armenian police and a
senior prosecutor respectively. It will decide whether they violated
Armenian laws and statues regulating the work of lawyers.

In a letter to the chamber, the national police chief, Vladimir
Gasparian, claimed that Shushanian recently made offensive comments
about police officers which he said could "damage public trust in the
entire law-enforcement system." In particular, Gasparian cited an
interview with RFE/RL's Armenian service in which Shushanian denounced
the as police as an "armed gang" ready to execute "any criminal
order."

Shushanian on Tuesday stood by his statements and accused the
authorities of seeking to muzzle him. "This is interference in my
freedom of expression, which is aimed at inhibiting the performance of
my professional duties," he told RFE/RL's Armenian service. "They are
trying to silence lawyers so that lawyers do not make statements or
evaluations."

The prosecutors' complaint against the other lawyer, Papikian, stems
from his June 29 Facebook post which accused police officers of
torturing one of the arrested Founding Parliament gunmen in the
basement of a Yerevan court where he has been standing trial together
with 17 other men.

"The riposte will be just and very painful for the regime," read that
statement.It also charged that the Armenian police serve a "regime
that usurped power from the people."

Papikian too was unrepentant about his actions. He said the
disciplinary action sought by the authorities is part of what he
called serious violations of the due process in the two high-profile
cases.



Press Review
July 18, 2017

Armenia -- Newspapers for press review illustration, Yerevan,
12Jul2016

"Zhoghovurd" comments on the first anniversary of the violent seizure
by armed opposition members of a police station in Yerevan, saying
that the Armenian authorities have not drawn "appropriate conclusions"
from the bloodshed and failed to implement "radical changes" in the
country. The paper says that President Serzh Sarkisian only sacked
Prime Minister Hovik Abrahamian in September for creating an
"imitation of change" in the run-up to the April 2017 parliamentary
elections. It says that Abrahamian's successor, Karen Karapetian,
instilled some hope in the public and distracted it from grave
socioeconomic problems. Holding on to power remains Sarkisian's
supreme goal, concludes the paper.

"Hraparak" says that armed struggle against the ruling regime is
totally legitimate for "some circles" in Armenia. "It's just that when
armed struggle ends in success it is called a revolution," writes the
paper. "But when it ends in failure it is turned into a coup and its
participants end up in jail. Proponents of armed struggle must be
conscious of this simple truth and meekly carry the heavy burden of
imprisonment, condemnation and trials which the members of the Sasna
Tsrer [armed opposition group] and their relatives now do. It is nave
to expect clemency, civilized treatment or soft punishment from the
individuals against whom they took up arms."

"Aravot" reacts to the controversy sparked by the Russian authorities'
decision to ban citizens of Armenia and other countries where Russian
is not an official language from working as drivers in
Russia. "Apparently an official status of the Russian language
improves drivers' professional skills and they no longer need to pass
driving tests in Russia," the paper comments with sarcasm. "Is this
creating inconvenience for our drivers? Corresponding state bodies of
Armenia must negotiate [with the Russians] to overcome those
problems." The paper also says that the Russian ban is dealing a
serious blow to the Russian-led Eurasian Economic Union (EEU). It
wonders whether Moscow will eventually drop its ambitious Eurasian
project.

"Hayots Ashkhar" reports on a renewed increase in imports of goods to
Armenia which comes amid government pledges to facilitate import
substitution by domestic manufacturers. The paper singles out a 70
percent year-on-year rise in imports of Turkish goods which was
registered by Armenia's National Statistical Service (NSS) in the
first five months of this year. It is very concerned about this trend.

(Tigran Avetisian)


Reprinted on ANN/Armenian News with permission from RFE/RL
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