Author: Karagyozian Lena

STEPAN DEMIRCHIAN HOPES THAT ARMENIAN AUTHORITIES WILL UNDERTAKE REAL STEPS IN RELEASING POLITICAL PRISONERS

Noyan Tapan

Jan 30, 2009

YEREVAN, JANUARY 30, NOYAN TAPAN. Resolution N 1643 adopted by
PACE on January 27 is neither opposition’s failure nor authorities’
victory. Stepan Demirchian, the Chairman of the People’s Party of
Armenia, reported at the January 30 press conference adding that
the opposition did not wish Armenia’s delegation to be deprived of
the vote. According to him, with that resolution additional time
was given to the Armenian authorities for fulfilling the PACE
demands. S. Demirchian hopes that the Armenian authorities will
undertake real steps in this direction and the political prisoners will
be released by April. "The Armenian authorities have promised to solve
that issue by amending Criminal Code’s respective articles," he said.

Meanwhile the PPA Chairman did not exclude that the authorities will
not fulfill the PACE demands this time, either. According to him,
the Armenian authorities should realize that the issue has not been
solved and the crisis has not been overcome by RA delegation’s not
being deprived of the vote.

S. Demirchian said that the opposition using all legal means will
pursue solution of all issues raised by it, including releasing the
political prisoners, carrying out an objective investigation of the
March 1 events.

Touching upon the Yerevan Mayor’s coming elections, S. Demirchian
said that the opposition has not discussed that issue yet. However
he considers that the opposition should unite its forces and take
part in those elections.

ARMENIAN PREMIER INSTRUCTED ALL MINISTRIES NOT TO REALLOCATE EXPENSES

ARKA
Jan 30, 2009

YEREVAN, January 30. /ARKA/. Armenian Prime Minister Tigran Sargsyan
instructed all ministries not to reallocate expenses.

"We have problems with tax payment. Organizations receiving state
money for constructing and repairing buildings, guided by articles
1512 and 1513 of the Classification of Budget Expenses, reallocate
their expenses reducing wage payment and total profit", he said on
Friday while discussing ministries’ reports for 2008.

Sargsyan said that as a result, even minimal profitability is not
insured.

"We must tighten control over ministries to prevent reallocations,
which leaves the state budget without income", the premier said.

He stressed that everybody should understand that tax collection is
not only State Revenue Committee, but also all ministries’ concern.

Speaking about the Ministry of Energy and Natural Resources, Sargsyan
said that natural losses, debt payment and revaluation of main means
dwindle tax inflow.

"Relevant divisions of the ministry need to conduct monitoring and
immediately report about problems, if any", the premier said.

Sargsyan also said that natural resources are a new area for the
ministry.

That is why the minister must give clear tasks to new divisions
being formed in the ministry and keep their activities under his
control constantly.

The state budget tax inflo w reached AMD 553.1 billion in Jan/Nov
2008 after growing 22.2% or by AMD 100.6 billion.

The Jan/Nov tax receipts ensured 90.6% of the annual program. ($1 =
AMD 304.78).

FRENCH DEPARTMENT OF HAUTS-DE-SEINE GRANTS 500,000 EUROS TO ARMENIA FUND

armradio.am
29.01.2009 16:32

Patrick Devedjian, President of the French Department of
Hauts-de-Seine, and Bédros Terzian, President of Fonds Arménien
de France (the French affiliate of Hayastan All-Armenian Fund), have
signed a convention to set up a program for agricultural development
in the Tavush region, Northern Armenia.

Tavush is one of the poorest areas of Armenia, where the productivity
of the agricultural sector can be substantially improved with the
introduction of modern equipment and quality seeds. At present, only
45% of the arable land is exploited, mainly due to the lack of water
and insufficient technical equipment.

The 500,000 euro (US$675,000) grant by the French Department for
the year 2009 will be a major contribution for the financing of a
two-year program for revamping the irrigation network, setting up a
milk gathering station as well as an agricultural base with tractors
and combined harvesters. A particular effort will be made towards
technical training and the improvement of production quality.

The signing of the Convention was preceded by the unanimous vote
in favor of this grant by the Department’s Assembly, a sign of the
confidence inspired by the French affiliate of the Armenia Fund
as a partner for local and regional authorities in carrying out
development projects.

The criteria followed by the D epartment in choosing partners
for international cooperation include the latters’ skills, past
experience, transparency as well as the integral value of the
project itself. Armenia is one of the four countries included in the
Hauts-de-Seine poverty eradication program. Others include Cambodia,
Mali and Haiti.

–Boundary_(ID_dprvWmkZrux7SxwoBqGyfQ)–

‘ARMROSGAZPROM’ CJSC TO INCREASE INVESTMENTS BY 9,2% IN 2009

ArmInfo
2009-01-27 11:45:00

ArmInfo. The total volume of investments of "ArmRosgazprom" CJSC in
2009 will make up 78,6 bln drams ($257.7 mln) against the scheduled
72 bln drams ($236 mln) in 2008, Head of the Company press service
Shushan Sardaryan told ArmInfo.

She said the actual volume of investments in 2008 is still under
specification as the results of 2007 have not yet been summed up. She
also said 30,5 bln drams of the investment programme for 2009 fall on
the fifth power unit of Hrazdan HPP ("Hrazdan- 5"). It is scheduled
to invest these funds in completion and upgrading of the power unit,
in particular, for implementation of construction and assembling
operations and acquisition of equipment. Besides acquisition of assets
of incomplete construction of the 5th power unit of Hrazdan HPP at the
rate of $248,8 mln, ‘ArmRosgazprom’ CJSC carries out an investment
project of construction completion and upgrading of the power unit
with total volume of about $180 mln under the agreement from March 31,
2006 signed between the government of Armenia and "Gazprom" OJSC. Due
to the investments in 2010, a power plant equipped with up-to-date
and efficient gas-turbine facilities will be put into operation. The
indicated project is financed at the cost of the funds of additional
emission of shares of ‘Armrosgazprom’ in favour of ‘Gazprom’ OJSC. The
remaining 48 bln drams of investments in 2009 will be directed to
reconstruction and extension of the Abovyan gas storage, completion
of the engineering infrastructure of Iran-Armenia gas pipeline,
completion of construction of the technological communication, testing
of the gas pipeline and reconstructive measures, completion of the
primary gasification programme and installation of security systems
(alarm devices, shutoff valves).

FAILURE AT PIPE DELIVERING GAS TO ARMENIA, S. OSSETIA REPAIRED

Interfax
Jan 26 2009
Russia

A failure which happened in the early hours of Sunday at the Kveleti
gas measuring station at the Georgian portion of the North-South main
gas pipeline and which suspended the shipment of Russian natural gas
to South Ossetia and Armenia has been repaired, Tamara Shoshiashvili,
the head of press service of the Georgian Oil and Gas Corporation
(GOGC), told Interfax.

"The transit of Russian gas both to Armenia and in the South Ossetian
direction was fully resumed and is being carried out as usual,"
Shoshiashvili said.

EUROPEAN BANK POSTPONES THE START OF REDEMPTION OF THE FIRST TRANCHE OF SYNDICATED LOAN FOR ARMECONOMBANK FOR 1 YEAR

ArmInfo
2009-01-22 16:43:00

ArmInfo. The European Bank for Reconstruction and Development
(EBRD) has postponed the start of redemption of the first tranche
of syndicated loan for Armeconombank for 1 year, Chairman of Board
of Armeconombank David Sukiassyan told journalists, Thursday. He
recalled that the agreement on syndicated loan worth $15 mln was
signed by the EBRD on 14 December 2007.

Under this agreement, the first payment was to be made on 20 January
2009.

However, due to successful implementation of the program, the payment
has been postponed till 18 January 2010.

This fact shows that Armeconombank will steadily continue its activity
on involving itself in new credit programs, attracting new funds and
"digesting" new markets, Suakiassyan stressed.

Head of EBRD Office in Armenia Michael Weinstein said that this
agreement to postpone the redemption date, which was reached
in conditions of the crisis in interbank crediting, once again
demonstrates the international financial structures’ confidence
in Armeconombank. "It is important that the syndicate members,
i.e. the commercial banks feel quite confident in partnership with
Armeconombank. This shows the quality, reliability, and stability of
Armeconombank in conditions of the financial crisis",- he stressed.

For his part, Deputy Chairman of the Central Bank of Armenia (CBA)
Vache Gabrielyan said that Armeconombank is one of the most active
banks of the country by its participation in various international
programs. According to him, CBA contributes to cooperation of
international structures and banking system participants in a
worthy manner. At the same time, he pointed out the significance of
Armeconombank’s experience and skills in SME crediting, and stressed
that the bank will participate in the first governmental program on
SME support.

To recall, alongside with EBRD, 6 large international banks took part
in the loan issue, particularly, Commerzbank AG (Germany), Raiffeisen
Zentralbank Osterreich AG (Austria), Bank Austria Creditanstalt AG
(Austria), State Bank of India, Land Bank of Taiwan, and FBN Bank
(UK) Limited.

The syndicated loan consisted of 2 parts. In particular, EBRD allotted
$5 mln for a term of 36 months, the rest – $10 mln, of them $5 mln for
18 months with possible prolongation of the term for 18 more months;
the other $5 mln – for 12 months with possible prolongation of the
term for 12 more months. The funds are directed to SME crediting.

According to the data of Armeconombank, as of 1 January 2009, the total
capital of Armeconombank exceeded 8.6 bln AMD, assets – 52 bln AMD,
credit portfolio – 27 bln AMD, net profit – 460 mln AMD. The bank
has 46 branches in Armenia and Nagorno- Karabakh. 53.4% of shares
of Armeconombank belong to the family of entrepreneurs Sukiassyans,
25%+1 share is controlled by EBRD.

FINANCIAL CRISIS INFLUENCED ON GOLD JEWELLERY

Panorama.am
16:11 23/01/2009

Today the Prime Minister of Armenia held a discussion on gold and
diamond jewellery and the problems of the industry, reports the public
relations department of the Government. According to the source the
heads of gold and diamond enterprises, interested bodies of appropriate
ministries attended the discussion.

The Prime Minister and the representatives of the business have
mentioned that the problems are mainly connected with the world
financial crisis, which has had its impact on local market. The tax
privileges defined by the Government to ease the difficulties of the
current field are not sufficient any more.

The Minister of Economy Nerses Yeritsyan has presented the problems
and difficulties of the field, as well as how the crisis has its
influence upon gold industry in Armenia.

PEDAGOGICAL INSTITUTE WILL FINALLY BE RENOVATED

A1+
[12:33 pm] 19 January, 2009

The renovation of Gyumri’s State Pedagogical Institute will resume
this year. The works were terminated five years ago because of the
lack of finances. The government has earmarked 76 million 300 thousand
drams for the building renovation. The Ministry of Urban Development
will soon announce a tender for the overhaul.

Still in 2005, within the realms of an intergovernmental agreement
Russia promised to finance the renovation but the project failed. The
preliminary estimate for the overhaul was over 600 million drams. The
government has allocated 76 million drams, about 15 percent of the
required sum.

The Rector voices hope the government will finance the whole work
but he doesn’t know how long the renovation will take.

PACE WINTER SESSION GOING TO BE UNPRECEDENTED FOR ARMENIA
Lena Badeyan

"Radiolur"
19.01.2009 16:36

The winter session of the Parliamentary Assembly of the Council
of Europe (PACE) from January 26 to 30 will be unprecedented for
Armenia. Well aware of this this, this time almost all members of the
Armenian delegation will leave for Strasbourg. Only Raffi Hovhannisyan
from the "Heritage" faction will not attend PACE session. The other
seven members of the delegation – David Harutyunyan, Armen Rustamyan,
Avet Adonts, Naira Zohrabyan, Artsruni Aghajanyan, Grigori Margaryan
and Hermine Naghdalyan will be present at the sitting.

What strategy will be applied there? How will members of the Armenian
delegation work? What speeches will they make? Naira Zohrabyan and
Armen Rustamyan opened the brackets for "Radiolur."

"My speech will focus on the point that democracy cannot be built
within a day, that our value system is the European integration, we
accept the rules of that game and I do not think that application of
sanctions will be the best way for solving issues," Naira Zohrabyan
said.

"I will say the same things I said at the sitting of the Monitoring
Committee. The decision should be exceptionally a legal one and require
no political motivation. Otherwise it will result in domestic tension.

Secondly, there are countries in the world that are engaged in
0Acollecting facts against Armenia and using them."

According to Armen Rustamyan, this time the greatest difficulty
is that there is the resolution of the Monitoring Committee, which
demands application of sanctions. This is an opinion consolidated in
a document.

"We have the task to have it changed, but it’s not that easy,"
Rustamyan says.

Members of the Armenian delegation anticipate pro-Armenian speeches
from delegates of other countries. In particular, Armen Rustamyan
stresses that even during the sitting of the Monitoring Committee
the English Deputy drew everyone’s attention to the fact that for
many years there have been facts about the existence of political
prisoners in Azerbaijan, while the fact of existence of political
prisoners in Armenia has not been proved yet.

Although many assure that the sanctions of the Council of Europe will
not be a catastrophe for Armenia, the MPs say: "It will be bad for
Armenia, especially with regard to the settlement of the Karabakh
conflict. However,, Armenia will not feel the pressures deriving
from PACE sanctions tomorrow, when Minsk Group Co-Chairs are going
to visit Armenia," Armen Rustamyan says.

Panorama.am
12:31 17/01/2009

PRESIDENT TO LEAVE FOR MOSCOW

Today the President of Armenia Serzh Sargsyan leaves for Russian
Federation by the invitation of his Russian counterpart Dmitry
Medvedev, reports the press service of the President’s Administration.

To remind, that today an international gas summit will take place in
Moscow, where the gas consumer countries will take part. The objective
of the summit is to discuss the problem of providing gas to Europe
through Ukraine.

Source: Panorama.am