Financial Crisis And Armenia

FINANCIAL CRISIS AND ARMENIA

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18 March 2009

On March 12 analytical centre "Arantsq" arranged discussion on the
following topic: "World crisis and economic security of Armenia".

The economist, Professor Tatul Manaseryan, the member of the National
Assembly from ARFD group Ara Nranyan, the representatives of the
Central bank: the head of the department of monetary policy Artur
Stepanyan and the head of the department of financial system policy
and analysis Vahe Vardanyan participated in the discussion.

According to the economic analysis, if the external debt of a country
overshoots allowable limits then serious threats of economic security
may arise. To what extent is our country insured in the context of
economic security? According to the member of the NA from ARFD group
Ara Nranyan the existence of a definite external debt, of coarse,
threats to economic security of the country, but this reality,
which is imposed by the economic crisis, puts in the forefront other
problems. Nranyan thinks that the measures taken today to meet the
crisis and the engaging of the credit funds are the basic requirements
for the solution of the problems facing the economy. In the opinion
of the NA member the engaging of the financial means is extremely
necessary in the context of changing economic policy. "We would rather
engage those means and, thus, we can prepare the=2 0serious background
to secure economic progress, than regard ourselves self-sufficient
and be afraid of other actions". Nranyan mentioned, that the credits
supplied to Armenia by international organizations (IMF, WB) witness
that Armenia is rather conscientious in the issue of discharge of
obligations. In his opinion one should be afraid not of external debt
but of the poverty and non-developing economy. "If we use the debts we
have efficiently, then in 3-4 months those sums will return to active
economy, will reflect in the budget and everyday life of the citizens".

In accordance with the head of the department of financial system
policy and analysis of the Central Bank Vahe Vardanyan economic
security conditioned the fact that the government of Armenia took the
credit supply road, because that was the only way to boost economy. The
head of the department of monetary policy Artur Stepanyan, in his turn,
noticed that there are no countries without external debts in the
world. "It is very important on what terms the credits are supplied,
on what interest rates and maturity period. I would like to say that
all the debts that our country have to the WB, the RF and the IMF
are preferential and long-term credits".

Economist T.Manaseryan noticed that the IMF credit has been granted
for a term of 5 years and this could not be regarded as a long-tern
credit at all.

"If last year our ex ternal debt was $1 billion, then today it exceeds
$3 billion. What is it if not a threat to economic security, the
dependence on international institutions?" "International financial
giants, i.e. the World Bank and the International Monetary Fund,
have already lost their authority.

There is no country where those institutions implemented programmes,
which proved positive results and targeted the development of the
industry. Hence question arises: is it necessary to follow blindly
their proposals and demands?" – noticed T.Manaseryan. The economist
is sure that if we manage correctly our resources, then we will have
no necessity to "reach out our hands and ask for credits, because we
have enough potential to overcome such a situation".

T.Manaseryan underlined the importance of the creating of All-Armenian
bank – the institution, which can promote to the implementation of
all-Armenian programmes. "All-Armenian bank will lead Armenia out
of world economic crisis and will release us from sad prospects to
stooge for international financial structures".

Â"21-st CenturyÂ" "XXI Century" N 1, 2009

The first issue of the Armenian version of "XXI Century" journal
includes the articles devoted to the energy security ensuring in
Armenia (K.Karapetyan, "Armenia and regional energetic process in the
context of information support"), economic expansion (A.Tavadyan,
"Pivotal problems of ec onomy"), global and regional problems
(A.Manvelyan, "Caspian constituent of the US energy policy"), mainly,
to the problem of repatriation of the Armenians in the context of the
Israeli experience (A.Marutyan, "From the latter Israeli experience
of repatriation and absorption").

"XXI Century" N 1, 2009 (Russian language edition)

In this issue we touch upon the influence of world crisis on the
economical security support (I.Baghirayn), the mechanism of the
build-up of such crisises (S.Grinyaev, A.Fomin) and some of their
manifestations (S.Minasyan). There are also some regional issues
analyzed in this number, i.e. up-to-date problems such as the role and
the place of Armenia in regional energetic developments, historical
problems revealing underlying civilization relations between Armenia
and Byzantine (A.Sargsyan), and prospects of the build-up of a single
brand of Armenia (V.Atoyan, K.Babadjanyan).

Â"BulletinÂ" "Bulletin" of "Noravank" Scientific Educational Foundation
â~D-23, 2008

Bulletin of "Noravank" Foundation â~D-23 includes reports about the
business trips taken by the Foundation’s experts in 2008 to the Syrian
Arabic Republic (city Damascus), the Republic of Turkey (Western
Armenia) with the objective to get better acquainted with up-to-date
condition of local Armenian communities, with cripto and assimilated
Armenians. The reports include documentary data on the subject.

Publications "OUR VICTORIES"

"Our Victories" four-volume edition covers the victories gained by
the Armenian people on the battlefields. The fist volume includes
the brief description of the strategic and tactical victories of the
Armenian army in the wars, campaigns and battles during the period
from ancient times till the 3rd century after Christ. This book is
intended for a wide range of readers. The book "Our victories" can
be purchased in "Book world" (address: 20 Mashtots Ave. Yerevan) and
"Noyan Tapan" (Hanrapetutyan Square, Government House 2) bookstores.

http://www.noravank.am/en/?page=news&amp

Ex-President To Run For Mayor Of Armenian Capital

EX-PRESIDENT TO RUN FOR MAYOR OF ARMENIAN CAPITAL

Agence France Presse
March 16, 2009 Monday 12:23 PM GMT

Former Armenian president and opposition leader Levon Ter-Petrosian
will run in an election late May to choose a new mayor of the ex-Soviet
republic’s capital Yerevan, his party said Monday.

The May 31 vote will mark the first such vote for the city’s mayor,
in line with constitutional amendments adopted in 2005.

"Given that Yerevan is of significant importance in the country’s
political and economic life, the capital’s mayoral elections must be
seen as a key stage in restoring constitutional order," Ter-Petrosian’s
Armenian National Congress said in a statement.

"The Armenian National Congress will take part in the Yerevan mayoral
election with the country’s first president, Levon Ter-Petrosian,
leading the ANC list."

Ter-Petrosian and his supporters accuse the authorities of having
rigged a presidential election last year to guarantee a win for
President Serzh Sarkisian.

Ter-Petrosian told thousands of supporters at a rally on March 1,
the anniversary of last year’s deadly clashes, that he would not give
up his fight against Sarkisian. He would use "constitutional means"
to force early elections, he said.

Under the new Yerevan election rules, the mayor will be chosen by a
municipal council elected by city residents through party lists.

Previous mayors were named by the Armenian president.

In the country’s worst political violence since independence from
the Soviet Union in 1991, 10 people were killed in clashes between
riot police and opposition supporters after the vote. Ter-Petrosian
came second.

The ruling Republican Party has declared that Yerevan’s current mayor,
Gagik Belgarian, will top its party list in the municipal vote.

Ter-Petrosian was president of Armenia, a mountainous republic of
about three million people wedged between Azerbaijan, Georgia, Iran
and Turkey, from 1991 to 1998.

Aronian Leading Amber 2009 Tournament

ARONIAN LEADING AMBER 2009 TOURNAMENT

PanARMENIAN.Net
17.03.2009 14:04 GMT+04:00

/PanARMENIAN.Net/ In the 3rd tour of Amber Chess Tournament 2009
launched on Mar. 14-26, 2009 in Nice, France, the Armenian grand master
Levon Aronian drew his game against US chess player Gata Kamsky. The
Olympic champion beat Kamsky in a blindfold game and was beaten by
him in a rapid game. Aronian and Morozevich, who drew his game against
Azeri Teimour Radjabov, are leading the tournament with 4 points each.

In the 4th tour of Amber 2009 Levon Aronian will rival Indian grand
master Viswanathan Anand.

Score after 3rd tour

Blindfold

Teimour Radjabov (Azerbaijan) – Alexander Morozevich (Russia)- 0,5:0,5
Sergey Karjakin (Ukraine)- Vladimir Kramnik (Russia)- 0,5:0,5 Wang Yue
(China) – Veselin Topalov (Bulgaria)- 0:1 Viswanathan Anand (India)-
Magnus Carlsen (Norway)- 0:1 Levon Aronian (Armenia)- Gata Kamsky
(United States) – 1:0 Peter Leko (Hungary)- Vasily Ivanchuk (Ukraine)
– 1:0

Rapid

Morozevich – Radjabov – 0,5:0,5 Kramnik – Karjakin – 0,5:0,5 Topalov
– Wang Yue – 0,5:0,5 Carlsen – Anand – 0,5:0,5 Kamsky – Aronian –
1:0 Ivanchuk – Leko – 1:0

Standings after 3rd tour

Aronian, Morozevich – 4 points each, Carlsen, Kramnik, Topalov –
3,5 points each, Anand, Karjakin, Leko – по 3 points each, Kamsky,
Radjabov -2,5 points each, Ivanchuk – 2 points, Wang Yue -1 point.

By RA President’s Decree Former NKR President Appointed Special Envo

BY RA PRESIDENT’S DECREE FORMER NKR PRESIDENT APPOINTED SPECIAL ENVOY

Noyan Tapan

M arch 17, 2009

YEREVAN, MARCH 17, NOYAN TAPAN. By RA President Serzh Sargsyan’s
March 16 decree former Nagorno Karabakh President Arkady Ghukasian
was appointed a Special Envoy. By S. Sargsyan’s decree A. Ghukasian
also received the diplomatic title of RA Ambassador Extraordinary and
Plenipotentiary. It should be mentioned that Arkady Ghukasian headed
Nagorno Karabakh Republic from 1997 to 2007.

http://www.nt.am/news.php?shownews=1013042

CSTO Expands Terrorist And Extremist Organizations List

CSTO EXPANDS TERRORIST AND EXTREMIST ORGANIZATIONS LIST

PanARMENIAN.Net
16.03.2009 16:24 GMT+04:00

/PanARMENIAN.Net/ CSTO will expand the list of terrorist and extremist
organizations, threatening the security of OSCE member states.

"At 2004 CSTO Secretary Council the parties agreed on a list of 22
terrorist and extremist organizations threatening the security of
CSTO Member states. Their number rose over the past period, which
required revision. The 2004 list is updated to include 29 terrorist and
extremist organizations, legally prohibited by CSTO member states,"
CSTO Secretariat representative Vyatcheslav Volokh stated, adding
that the updated document will allow to increase effectiveness of
interaction and information exchange between national intelligence
services and law enforcements authorities.

The project of terrorist and extremist organizations list was
considered by CSTO Permanent Council and submitted for CSTO states
endorsement, CSTO news service reported.

Bulgarian Culture Days To Be Held In Armenia

BULGARIAN CULTURE DAYS TO BE HELD IN ARMENIA

armradio.am
16.03.2009 15:20

On March 16 the Deputy Foreign Minister of Armenia, Arman Kirakosyan,
had a meeting with the Deputy Foreign Minister of Bulgaria, Milen
Keremedchiev.

During the meeting the parties discussed a broad range of issues
related to the deepening of Armenian-Bulgarian cooperation in
different spheres.

Deputy Foreign Ministers Kirakosyan and Keremedchiev noted that
friendly relations have been established between the two countries,
the political dialogue is on a high level, the trade-economic
cooperation is active, concrete steps are being taken in the
direction of intensifying the cultural cooperation. In this context
the interlocutors hailed the fact that Bulgarian Culture Days will
be held in Armenia from May 29 to June 6.

The parties dwelt on the global financial crisis and the steps targeted
at mitigating its consequences. Deputy Minister Keremedchiev presented
the situation in Bulgaria caused by the global crisis and the ways
of overcoming it.

At the request of the guest, Arman Kirakosyan presented the
perspectives of normalization of the Armenian-Turkish relations.

Letters of commendation to teachers

Letters of commendation to teachers
09.03.2009 16:26

Alisa Gevorgyan
`Radiolur’

On the occasion of the International Women’s Day RA Minister of
Education and Science Spartak Seyranyan presented letters of
commendation of the Ministry to a number of representatives of the
field of education and science.

`In this age of information technologies it’s incomparably harder to
work with today’s students,’ teachers said, when speaking about the
problems schools face today.

Director of Vedi secondary school #2 Greta Grigoryan is more than
assured that one cannot become a good specialist by simply graduating
from a higher educational establishment. It’s necessary to understand
the psychology of the younger generation and take into consideration
their interests. However, according to her, the interests of the
teachers and students often fail to overlap in the field of information
technologies, which results in certain consequences.

`Teachers should keep abreast with today’s spirit and try not to fall
behind children,’ Greata Grigoryan is assured.

The issue of information technologies is urgent also at the secondary
school of Lukashen community in Armavir marz. Director of the school
Gohar Margaryan says that because of the lack of technologies, children
have more opportunities to get information outside the school.
According to her, the role of computers in making the process of
education more interesting cannot be underestimated.

Bagratian: Armenian Import sector should be gradually demonopolized

Hrant Bagratian: Armenia’s import sector should be gradually
demonopolized in order to overcome crisis

YEREVAN, MARCH 13, NOYAN TAPAN. The consequences of the global
financial and economic crisis will have a much longer impact in Armenia
than in Western countries as Armenia has been affected not only by the
financial crisis but also by a structural one, the former prime
minister of Armenia Hrant Bagratian said at the March 13 press
conference. According to him, in the past 4 months about 800 million
USD from Armenia’s foreign reserves was spent to maintain artificially
the exchange rate of the dram. In his opinion, this sum was spent to
sell dollars cheaply to 3-4 persons-importers. Whereas, as he noted,
the authorities should have adopted a floating exchange rate policy
long ago, as a result of which the damage done to exporters would not
have been so great.

H. Bagratian said that in 2008, Armenia’s GDP fell by 10% in October on
September and by 31% in November on October. Then GDP grew in December
on November, and a sharp decline of 62.8% was recorded in January 2009
on December 2008. After showing a two-digit economic growth for the 8
consecutive years, the country went into an economic decline. According
to the former prime minister, the level of unemployment is high in
Armenia, the mining industry and construction have come to a halt, and
the gem and jewelry sector has suffered a decline.

In the words of H. Bagratian, the authorities are currently intervening
in formation of the exchange rate and, more dangerously, in inflation.
"They seem to do something to please the people, but it will crash
later because the economy is a market one," he noted.

He expressed an opinion that in order to get out of the current
situation, first of all it is necessary to let the dram’s exchange rate
float, then to review the banking policy. Besides, the import sector
should be demonopolized gradually. Whereas, in his words, the
authorities are not conducting a correct policy of struggle against
consequences of the economic crisis so as "not to hit the pockets of a
number of oligarchs". In this case, according to him, the whole
consequence of the economic crisis "will lie on the shoulders of the
poor".

H. Bagratian forecast that the depreciation of the dram will continue
and during a year the exchange rate of the dollar will fluctuate within
400-850 drams.

http://www.nt.am/news.php?shownews=1012945

Iranian FM Manouchehr Mottaki to arrive in Armenia on March 13

Iranian Foreign Minister Manouchehr Mottaki to arrive in Armenia on March 13

YE REVAN, MARCH 12, NOYAN TAPAN. A delegation led by Iranian Foreign
Minister Manouchehr Mottaki will arrive in Armenia on an official visit
on March 13 at RA Foreign Minister Edward Nalbandian’s invitation.

During the visit, M. Mottaki will meet with RA President Serzh
Sargsyan, Prime Minister Tigran Sargsian, National Assembly Speaker
Hovik Abrahamian, National Security Council Secretary Artur
Baghdasarian, and Minister of Energy and Natural Resources Armen
Movsisian.

According to the report of the RA Foreign Ministry Press and
Information Department, straight after E. Nalbandian’s and M. Mottaki’s
meeting, on March 13, Ministers’ joint press conference will be held at
the Foreign Ministry press conference hall.

http://www.nt.am/news.php?shownews=1012901

Armenian-Azerbaijani forum in Vienna

Panorama.am
14:51 07/03/2009

ARMENIAN-AZERBAIJANI FORUM IN VIENNA

On 24-27 march Armenian-Azeri forum on `Security, Challenges and
possibilities, mechanisms of reliability’ will be conducted in Vienna,
announced manager of Eurasia projects Desislava Rousanova.

Representatives of civil society, experts and intellectuals from
Armenia and Azerbaijan will participate in the forum. `The mission of
the forum is to discuss ideas, mechanisms and events to strengthen the
reliability between the countries,’ said Rousanova.

Note that two other forums have been conducted in Istanbul and
Brussels.

Source: Panorama.am