ARMENIA SAYS WILL JOIN RUSSIA-LED CUSTOMS UNION

EuroNews, France
Sept 3 2013

NOVO-OGARYOVO, Russia (Reuters) – Armenia will join a customs union
led by its former Soviet master Russia, President Serzh Sarksyan said
on Tuesday after talks with his Russian counterpart Vladimir Putin.

Much smaller than its energy-exporting neighbours, Armenia’s economy
will not hugely increase the union’s overall trade figures when it
joins Russia, Belarus and Kazakhstan in a bloc based on ties remaining
from the former Soviet Union.

But Putin welcomed the move as a diplomatic victory at a time when
he is struggling to bring former Soviet republics closer together
and stop Ukraine from slipping into the orbit of the European Union.

“The Russian side supports the decision by Armenia to enter the
customs union … We will fully work for this to happen,” Putin said.

Yerevan’s membership still must be approved by the other union members.

Russia has failed to draw Ukraine into the customs union as Kiev tries
to deepen trade relations with the European Union, despite pressure
from Moscow.

Russia is also in a row with customs union member Belarus over
the detention of the CEO of the world’s largest potash producer,
Russia-based Uralkali.

Russia is Armenia’s largest trading partner, and bilateral trade grew
22 percent to $1.2 billion (771.5 million pounds) last year. Most trade
has been imports to the South Caucasus country, nestled between Iran,
Georgia and regional rival Azerbaijan.

Russia is the biggest foreign investor in Armenia, with a total of
$3 billion in investments in a country whose GDP amounted to $9.9
billion in 2012, according to the World Bank.

(Reporting By Thomas Grove; Editing by Robin Pomeroy)

From: Emil Lazarian | Ararat NewsPress