Armenian Parliamentarians Invited To Visit Washington

ARMENIAN PARLIAMENTARIANS INVITED TO VISIT WASHINGTON

PanARMENIAN.Net
02.03.2010 19:06 GMT+04:00

/PanARMENIAN.Net/ Wednesday, March 3 Armenian parliamentarians Vahan
Hovhannesyan, Artak Zakaryan, Koryun Nahapetyan and Armen Melikyan
will leave for Washington on the invitation of US Congressmen Frank
Pallone and Mark Kirk.

A meeting with US foreign policy officials is on Armenian MPs’ visit
agenda, RA NA source told PanARMENIAN.Net.

NKR Visitors’ Geography Is Expanding

NKR VISITORS’ GEOGRAPHY IS EXPANDING

hos17013.html
15:04:34 – 02/03/2010

According to the data of the NKR MFA Consular Service, despite the
world financial crisis, the total number of foreign citizens having
visited the Nagorno-Karabakh Republic in the 2nd, 3rd, and 4th quarters
of 2009 increased by 10% as compared with the similar period of 2008.

The geography of foreigners visiting the NKR keeps on expanding. Last
year, tourists from Mozambique, Guyana, Venezuela, and Mauritania
visited the Nagorno Karabakh Republic for the first time. Among the
tourists, citizens of the USA, France, Iran, Great Britain, Holland,
Switzerland, Canada, Italia, Poland, India, and the CIS countries,
especially Russia and Turkmenistan, are prevailing.

These facts testify that the interest in Artsakh by foreign countries
and their citizens continues growing. Trustworthy information about
the Karabakh issue, the history of the country, and the inculcation
of democratic principles in the NKR provided by various international
mass media contributes to this process.

http://www.lragir.am/engsrc/economy-lra

BAKU: US Congressmen Concerned Over Discussion Of "Armenian Genocide

US CONGRESSMEN CONCERNED OVER DISCUSSION OF "ARMENIAN GENOCIDE"

news.az
March 2 2010
Azerbaijan

Bill Shuster Congressmen Solomon Ortiz and Bill Shuster adopted an
appeal to the Committee on Armed Forces of the US Congress.

Congressmen Solomon Ortiz and Bill Shuster adopted an appeal to the
Committee on Armed Forces of the US Congress, which expressed strong
concern in connection with the resolution on "genocide" of Armenians.

According to the USAN statement, the discussions of the resolution in
the House of Representatives is a destabilizing factor for American
interests. This is a blow to the stability and American interests,
especially in a period when the coalition troops would be redeployed
from Iraq to Afghanistan.

"Like in the case with previous resolutions of this kind, the Turkish
government has declared its opposition to such discussions in the
US Congress. As before, we remain deeply concerned that the Congress
damages the relations and creates unnecessary complications for our
interests in the Middle East and Asia by way of attempts to recognize
the resolution on ‘genocide’. Turkey is still a valuable NATO ally
and an important strategic partner.

According to US Defense Secretary Robert Gates, Turkey currently has
a group of 1700 troops in Afghanistan, two provincial reconstruction
teams, and several operational mentoring and advisory groups in
Afghanistan. In addition, Turkey has been leading a coalition group
of forces since November 2009 and implements regional command to
ensure international security. "Our presence in the Turkish Incirlik
airbase has additional significance for the US-led coalition forces
and increases the pressure on the insurgents in Afghanistan," the
message says.

"The relocation of tens of thousands of American troops is also
prepared in Iraq, where Turkey plays a key role in both air and ground
operations, transportation and logistical support to Operation Iraqi
Freedom.

Turkey plays such an important role in our efforts in the Middle East,
the Caucasus and Central Asia, that we do not see any benefit in such
a deliberate alienation of our close ally. Considering the importance
of our bilateral relations, and the fact that Turkey and Armenia have
been involved in the process of normalization of bilateral relations,
we ask that no other unwanted actions are taken on the level of the
committees of the US Congress. We can not afford to take risks to
American national security by the discussion of such resolutions",
the US congressmen note

BAKU: Ukrainian Analyst: New Declaration On Nagorno-Karabakh May Be

UKRAINIAN ANALYST: NEW DECLARATION ON NAGORNO-KARABAKH MAY BE ADOPTED
T. Teymur

Today
918.html
March 2 2010
Azerbaijan

Day.Az interview with senior consultant at Ukraine’s National Institute
of International Security Problems Elena Kotelyanets.

In your opinion, how will the Azerbaijan-Ukraine ties develop further
under the new President Viktor Yanukovych?

Azerbaijan is a key post-Soviet country the relations with which are
especially important for Ukraine. Possible diversification of energy
supply to our country depends on proper model of this relationship.

Maintaining friendly and mutually beneficial Ukrainian-Azerbaijani
relations meets national interest of both countries.

Worthy of note is that the Ukrainian-Azerbaijani relations were
established in mid-1990s and have not been corrected since then. In
our opinion, their current model is a chronic and unbalanced because
of the lack of comprehensive analysis and feasibility study into
foreign policy strategy.

Given Yanukovych’s campaign rhetoric that deepening cooperation
between the CIS countries is priority, one should expect pragmatism in
relations between Ukraine and Azerbaijan: transition from declarative
mood and emotion to economic feasibility and mutual benefit.

And how do you see the future of GUAM? Will the new Ukrainian President
change country’s foreing policy towards this organization?

Lack of last year’s summit of the GUAM member states, which failed to
compensate for the meeting of the Parliamentary Assembly and activities
at the Foreign Ministry level, confirmed limited resource base of the
organization and low interest in its further development both by the
participants themselves and external donors. We can assume that without
reforms, GUAM’s official status will continue to decline and as a
result the regional organization for economy and security may turn into
only a political and consultative forum for participating countries.

It is likely that under a new president, Ukraine (together with
Georgia) will cease to be a locomotive for the development of the
organization and main initiator of reforms. Because Yanukovych is
more interested in regional initiatives aimed at development of
free economic zones, rather than deeper cooperation within such
organizations as GUAM. The Ukrainian side is likely to agree with
the new informal status of the organization as a kind of platform
for discussion and consultation.

What are Ukraine’s chances for further integration with the European
Union and NATO?

Key task of national foreign policy is to preserve Ukraine’s
non-aligned status. This is the main thesis of Viktor Yanukovych’s
election campaign which he will realize as a president of the country.

Nevertheless, under the new leadership Ukraine’s will not radically
refect to integrate with the NATO because the current Ukrainian
legislation regulates the Ukraine’s integration with Euro-Atlantic
structures.

Any change in country’s foreign policy requires corrections to the
national security strategy which the current leadership can not
afford due to absence of parliamentary majority. However, Ukraine
may review its Euro-Atlantic policy gradually. Thus, it is possible
that we abandon the rhetoric of integration with NATO and informally
replace it with close cooperation with the Euro-Atlantic structures
under the Individual Partnership Plan.

Under new political situation inside the country, Ukraine will
unlikely give up Euro-Atlantic aspirations and will continue to
cooperate with the EU in the region through "Eastern Partnership"
policy and "Black Sea Synergy" which, in turn, will bring us closer
to obtaining associate membership.

What, in your opinion, we should expect from the Nagorno-Karabakh
negotiations for next few months?

Recently intensified Nagorno-Karabakh negotiations may be indicative
of a certain progress in finding solutions to the conflict as well as
preparation of a framework agreement on the matter. A new declaration
like the Mein Dorf Declaration may be adopted as well. As a key
mediator in settlement of the Karabakh conflict, Russia is trying
to revive this agreement and give it a new meaning. This scheme,
which failed in late 2008, may become realistic under new conditions
after the U.S. stimulates the process of normalizing Turkish-Armenian
relations.

However, whatever outcome of subsequent meetings between the presidents
of the conflicting parties is, it is necessary to understand that
warming Russian-Turkish, Armenian-Turkish and Russian-Azerbaijani
relations will impact the Nagorno Karabakh conflict settlement. The
result will also depend on political will and the level of compromise
of the conflicting parties, as well as consensus among the major
global players on the various components of the settlement of the
Karabakh conflict.

http://www.today.az/news/politics/62

Azerbaijan Defense Minister Issues War Threat

AZERBAIJAN DEFENSE MINISTER ISSUES WAR THREAT

2010/02/26 | 10:37

region

According to Financial Times.com, Safar Abiyev, Azerbaijan’s defense
minister, told Gabriel Keller, the French Ambassador to Baku, on
Thursday, that foreign diplomats had failed to negotiate a resolution
of the Karabakh conflict and that Azerbaijan’s patience was wearing
thin.

"Azerbaijan cannot wait another 15 years. Now it is up to the military
and the risk is getting closer. If the Armenian occupiers do not
withdraw from Azerbaijan’s land the outbreak of a great war in the
South Caucasus is inevitable," Abiyev is reported to have said.

http://hetq.am/en/region/27473/

World Bank Downplays Armenian Economic Recovery

WORLD BANK DOWNPLAYS ARMENIAN ECONOMIC RECOVERY

Asbarez
-armenian-economic-recovery/
Feb 26th, 2010

YEREVAN (RFE/RL)-A senior World Bank official on Friday downplayed
official reports of renewed economic growth in Armenia and said
its government is still not doing to enough to tackle "oligopolies"
which the Washington-based institution believes hamper the country’s
development.

According to government statistics, the Armenian economy grew by 2.4
percent last month after contracting by 14.4 percent in 2009. Trade
and Economic Development Minister Nerses Yeritsian seized upon the
figure on Monday to declare the end of a serious economic downturn
that gripped the country more than a year ago.

Aristomene Varoudakis, head of the World Bank office in Yerevan,
questioned this claim, saying that the January growth only means that
"the acute phase of the crisis is over." "But it doesn’t necessarily
mean that the crisis is over because the economy contracted by 15
percent last year," he said.

"If it grows by 2 percent this year and perhaps 3 or 4 percent next
year, it will take three to four years for the economy to come back to
the income level of 2008," Varoudakis told a news conference. "So it
is very likely that the economy will remain weak for quite a prolonged
period of time."

Armenia’s Gross Domestic Product increased at an average annual rate of
around 10 percent in the decade preceding the recession. The Armenian
government forecasted late last year a GDP growth rate of 1.2 percent
for 2010. A senior official from the International Monetary Fund said
last week that it could exceed 2 percent.

Varoudakis stood by the World Bank’s view that renewed robust growth
is contingent on a greater diversification of the Armenian economy
that in turn requires a radical improvement of its investment climate.

He said the authorities in Yerevan have taken some "steps in the
right direction."

"But I think what is missing there is some bold initiatives, bold and
ambitious steps to reduce the role of oligopolies in the economy,"
stressed Varoudakis. "As long as some important markets, especially
for imports, are dominated by oligopolistic players, this reduces the
possibility for other market entrants, especially small enterprises
to grow and make money and invest in other sectors of the economy."

"Also, it will be very important to have transparency regarding
possible linkages between dominant businesses and public officials,"
he said, clearly referring to the widely held belief that the so-called
"oligarchs" enjoy high-level government patronage.

The World Bank’s managing director, Ngozi Okonjo-Iweala, issued
a similar warning, in blunter terms, when she visited Yerevan last
October. She said Armenia can not attain a higher level of development
unless its leadership improves tax administration, creates a "strong
and independent judicial system" and combats government corruption
in earnest.

Prime Minister Tigran Sargsyan has publicly acknowledged the need
for such reforms. Addressing parliament in November, he said the
oligopolistic structures "pose a very serious challenge" to the state.

Some observers believe, however, that he lacks the power and political
clout to take on them.

Varoudakis commented on the economic situation as he announced the
disbursement of two fresh World Bank loans to Armenia worth $12
million. One of the loans worth $7 million is designed to finance
infrastructure projects in 35 mostly rural communities across the
country.

The bank already financed such projects last year as part of its
efforts to help the authorities mitigate consequences of the crisis.

Its overall anti-crisis lending to Yerevan totaled $280 million
in 2009.

http://www.asbarez.com/77847/world-bank-downplays

Armenian Economy Emerging From Recession

Armenian Economy Emerging From Recession

Eurasia Daily Monitor Volume: 7 Issue: 38
February 25, 2010 04:16 PM

Category: Eurasia Daily Monitor, Home Page, Economics, Armenia
By: Emil Danielyan
World

Bank Managing Director Ngozi Okonjo-Iweala (right) with Armenian Prime
Minister Tigran Sargsyan in October, 2009 at the opening of the bank’s
Yerevan office. (Photolur)

Armenia appears to be emerging from its first economic downturn in
over 15 years, which was triggered by the global financial crisis. The
latest macroeconomic data released by authorities in Yerevan suggests
that its unfolding economic recovery may well surpass government
expectations for this year.

After a decade of robust growth, the Armenian economy contracted by as
much as 14.4 percent in 2009 -one of the sharpest declines in GDP
registered in the former Soviet Union. Economists blamed it on a
slump in construction (a key driving force in the previous growth),
international prices of base metals (the country’s number one export
product) and multimillion-dollar remittances from Armenians working
abroad and in recession-hit Russia in particular.

The Armenian government scrambled to alleviate the consequences of the
recession with heavy borrowing from Russia, the International Monetary
Fund (IMF), the World Bank and other international lending
institutions. It secured some $1.3 billion in anti-crisis loans, which
nearly doubled the country’s foreign debt by the end of 2009. A large
part of those funds was used to offset a serious shortfall in tax
revenues and thereby prevent major cuts in government spending on
social and other programs. The government has also been using such
loans to shore up the national currency (the dram), finance
infrastructure projects, improve small and medium-sized enterprises’
access to credit and provide direct financial assistance to mining and
construction firms. These anti-crisis measures have clearly not proven
sufficient to avert a decline in living standards in the
country. According to a World Bank report published in November 2009,
the proportion of Armenians living below the official poverty line
rose to 28.4 percent in the second quarter of 2009 from 25.6 percent
registered during the same period of 2008. `These developments are a
setback for Armenia after a decade of nearly double-digit growth –
and reduction in poverty from 56.1 percent in 1998-1999 to 23.5
percent in [late] 2008,’ said the report (Kapital, November 18,
2010).

Nonetheless, Armenian Finance Minister Tigran Davtian claimed
afterwards that Armenia is coming out of the recession with minimal
losses. On February 22, the Trade and Economic Development Minister
Nerses Yeritsian declared that the economic crisis was over. `I want
to assure you that we have come out of that crisis well,’ he told
journalists (, February 22).

Yeritsian pointed to official statistics that show the Armenian
economy grew by 2.4 percent year on year in January 2010, despite a
continuing downturn in the construction sector, which has been hit
hardest by the recession. According to the National Statistical
Service (NSS, ), Armenian economic growth returned
primarily because of a 6.5 percent rise in industrial output. The
manufacturing sector seems to have been significantly boosted by the
strong rally in recent months in the prices of copper and other
non-ferrous metals.

Armenian authorities and the IMF forecast late last year that GDP will
grow by only 1.2 percent in 2010. Mark Lewis, the head of an IMF
mission to Armenia, said the full-year growth rate should exceed 2
percent as he ended a two-week visit to Yerevan on February 17. He
reaffirmed the IMF’s positive assessment of the authorities’ handling
of the crisis and said the mission will recommend that the IMF board
disburses the next $74 million tranche of a $827 million stand-by loan
for Armenia approved in March 2009 (Arminfo, February 17).

`The authorities have successfully implemented a broad range of
policies to address the macroeconomic challenges in 2009 – and
macroeconomic policies are on track,’ read a separate statement issued
by the IMF. The statement at the same time stressed the need for
`Ccontinued structural reforms’ and `additional efforts to increase
competition’ in Armenia. That was a clear reference to the country’s
flawed business environment, which Western donors have long regarded
as a key obstacle to sustainable economic development (Arminfo,
February 17).

The World Bank, in particular, believes that a stronger rule of law is
critical for diversifying the landlocked country’s economy and making
it less vulnerable to future crises. Visiting Yerevan in October 2009,
the bank’s managing director, Ngozi Okonjo-Iweala, bluntly warned that
Armenia cannot attain a higher level of development as long as the
most lucrative sectors of its economy are controlled by a handful of
government-linked businessmen and other `oligopolistic structures.’
She also called for a sweeping reform of tax administration, the
creation of a `strong and independent judicial system,’ and a tougher
fight against government corruption (, October
19).

Armenia’s reformist Prime Minister Tigran Sargsyan subsequently
publicly acknowledged the existence of `oligopolies and a low level of
competition in the economy’ and pledged to do his utmost to remedy
the situation (Armenian Public Television, November 18,
2009). However, he has yet to follow up with any meaningful action.

The Armenian government is only raising more questions about the
seriousness of Sargsyan’s reform agenda with a continuing crackdown on
Khachatur Sukiasian, a wealthy opposition-linked businessman, and his
extended family. Last December, the government completed a highly
controversial confiscation of the Bjni mineral water plant belonging
to Sukiasian’s SIL Concern resulting from its refusal to pay hefty
fines imposed by tax authorities. Bjni and several other SIL Concern
firms were raided by tax officials and accused of tax evasion shortly
after the tycoon voiced support for opposition leader Levon
Ter-Petrosian in September 2007. The Sukiasian family rejected the
charges as politically motivated.

Earlier this month, the Armenian police briefly detained
Sukiasian’s younger brother Saribek before charging him with
intimidating a fellow entrepreneur. Officials from the London-based
European Bank for Reconstruction of Development (EBRD), which holds a
minority stake in an Armenian commercial bank controlled by the
Sukiasians, expressed serious concern about the case on February 16.
`We are glad that Mr. Sukiasian has been released, but that does not
improve the image of Armenia,’ Valery Razlogov, the Head of the
EBRD’s Yerevan office, warned at a news conference, adding: `Nor does
it strengthen the business environment here’ (Aravot, February 17).

The Jamestown Foundation

www.armenialiberty.org
www.armstat.am
www.armenialiberty.org

"Turkey Either Will Not Ratify Or Will Ratify With Stipulations"

"TURKEY EITHER WILL NOT RATIFY OR WILL RATIFY WITH STIPULATIONS"

Aysor
Feb 25 2010
Armenia

"I am not an optimist in the issue concerning the Armenian – Turkish
relations", – said Hakob Avetikyan, the chief editor of "Azg"
newspaper today on the meeting with the journalists. He called the
present situation "complicated".

Hakob Avetikyan presented two scenarios of possible development of
the Armenian-Turkish relations.

According to the first one Turkey stays stiff in its disposition and
doesn’t ratify the protocols after which the tension in the region
grows. This situation will be followed with more difficulties in the
Armenian – Azerbaijani relations.

According to the speaker the second scenario supposes the ratification
of the Armenian – Turkish protocols with "big stipulations".

"Stipulations which can be not acceptable for the Armenian side", –
stressed the speaker.

"Turkey can ratify the protocols for Armenia to deny them", – H.

Avetikyan mentioned and added that in that case Turkey will "introduce
Armenia a criminal side".

US turn screw on Ankara over Iran sanctions

US turn screw on Ankara over Iran sanctions
By Daniel Dombey in Washington
Financial Times, Dubai, UAE Wednesday February 24, 2010

The US is stepping up pressure on Turkeys to back new sanctions
against Iran, highlighting the difficulties Washington faces in
forging a consensus on Tehran’s nuclear programme.
A report from International Atomic Energy Agency expressed fears last
week
that Teheran could be working on a nuclear warhead. But Turkey
remains unconvinced about imposing more sanctions and its relations
with the US are strained.
Ankara’s reluctance is all the more significant as the country is
presently on the UN Security Council and its Nato member.
`Turkey has as much reason to be concerned about the prospect about a
nuclear Iran as anybody.’ James Steinberg, US deputy secretary of
state, told the financial times.
Asked about statements Recep Tayyep Erdogan, the Turkish prime
minister, calling Iran a `friend’ Mr Steinberg added `We don’t need
them to label Iran. we need them to work with us to make sure that
Iran doesn’t become nuclear weapon capable’ the two allies needed to
find common tactical approach to try to achieve that objective.
Relations between the US and Turkey are being tested on other front.
Last week senor diplomats from each country had an angry exchange
outside a meeting between Hillary Clinton US Secretary of State, and
Mr. Erdogan.
Joseph LeBaron US Ambassador to Qatar wanted to interrupt so
Mrs. Clinton could meet the Emir of Qatar on time. According to the
State Department Turkish diplomats physically restrained him from
doing so.
Congress is to vote next month on whether to label the massacres of
Armenians during the Ottoman Empire as a `genocide’.
Turkey has previously warned passing the resolution which is baked by
138 of the 435 members of the House of Representatives would hurt
relations with the US.
Mr. Steinberg dismissed concern that military strike on Iran would be
likely after Teheran’s decision a week ago to shift almost all of its
stockpile of low enriched uranium to location where it could be
brought closer to
weapons grade material.
`Nobody is looking for a military solution’ he said `I mean nobody’.

Former Prime Minister Of Armenia Forecasts 10% Inflation In 2010

FORMER PRIME MINISTER OF ARMENIA FORECASTS 10% INFLATION IN 2010

ArmInfo
2010-02-24 18:01:00

ArmInfo. In 2010 inflation in Armenia will make up 10%, former prime
minister of Armenia Hrant Bagratyan said at today’s press-conference.

According to Bagratyan, Armenia’s all macroeconomic indices are twice
as low as those of Azerbaijan, and by the level of economic downturn,
which allegedly makes up 14.3% and in fact – 22%, Armenia holds one
of the last positions among CIS countries. The ex-premier expressed
his indignation at the fact that in 2009 the retail commodity turnover
grew by 1%. Bagratyan tried to economically ground the impossibility of
such growth, explaining that taking into account the decline of GDP by
14%, import – by 25%, export – by 34%, it is economically ignorant to
speak of some growth in retail commodity turnover. Moreover, Armenia
has even no reserves of the previous years or savings which could
change this index. As regards banking savings, their growth by 30%
was mostly conditioned by the AMD devaluation in March, which was
followed by indexation of foreign exchange deposits.

To note, in 2009 inflation in Armenia officially made up 3.4%.