Author: Adrine Hakobian

ROBUST ARMENIAN GROWTH PERSISTS IN FEBRUARY
by Venla Sipila

Global Insight
March 25, 2008

According to the Armenian National Statistical Service, the country’s
economy expanded by 10.1% year-on-year (y/y) over January-February,
ARKA News reports. This rate signals relatively stable growth in
February, as January expansion had earlier been reported at 9.9% y/y.

During January-February last year, the Armenian economy had expanded
by 9.2% y/y. In particular, construction activity surged by 22.9%
y/y over the first two months of this year. Further, it was reported
that in February alone, construction soared by nearly 60% from
January, boosting month-on-month (m/m) GDP growth to 18.8%. Industrial
production increased by 3% y/y over the first two months of the year,
while output of precious stones rising by 4.3% y/y. Agricultural
production only managed a marginal growth rate of 0.4% y/y for the
two-month period. Further, expansion of the service sector as a whole
was reported at 11.8% y/y, while retail trade turnover increased by
9.4% y/y. Over the whole of 2007, the Armenian economy grew by 13.8%
(see Armenia: 23 January 2008: ).

Significance:The Armenian budget for this year specifies an annual
growth target of 10%. Armenia has seen six consecutive years of
double-digit growth rates, but this is not sustainable. Our latest
projection put Armenian annual growth in 2008 at 8.4%. Indeed, we
still expect that some moderation in Armenia’s economic expansion
is in sight, but the latest data confirm that Armenian growth seems
to be somewhat more persistent than we previously thought, fuelling
concerns over overheating. Although the extremely high growth rates
seen in recent years have been combined with reasonably moderate
inflation rates, price rises have recently intensified.

AGO GROUP TO ARRIVE IN ARMENIA ON MARCH 30

Noyan Tapan
March 19, 2008

YEREVAN, MARCH 19, NOYAN TAPAN. The Ago Group of the Committe of the
Ministers of the Council of Europe heade by P. Sjogren, the Ambassador
of Sweden to the Council of Europe, will be in Armenia on a visit
between March 30 and April 1. This information was provided to a
Noyan Tapan correspondent by Tigran Balayan, the acting Spokesperson
of the RA Ministry of Foriegn Affairs.

The members of the Ago Group, who are involved in the monitoring of
commitments assumed in front of the Council of Europe, will meet with
the political leaders of Armenia.

The visit of the Ago Group is of regional character: besides Armenia,
the members of the group will visit Azerbaijn and Georgia.

FRENCH REPRESENTATIVE: "LAST DEVELOPMENTS IN ABKHAZIA, SOUTH OSSETIA AND NAGORNO KARABAKH ONCE AGAIN CONFIRM KOSOVO AS A PRECEDENT"

Azeri Press Agency
March 6 2008
Azerbaijan

Baku. Tamara Grigorieva – APA. "Kosovo’s declaration of independence
creates precedent", said Louis Bouvard, French representative at the
NATO PA 68th Rose-Roth seminar in Baku, APA reports.

"We see these processes in Abkhazia, South Ossetia and Nagorno
Karabakh. Last developments show that Kosovo is a precedent in fact",
said L.Bouvard and added that it created problem for the regional
stability as well.

Serbian representative U.Vaynovic expressed gratitude to Azerbaijan for
non-recognition of Kosovo’s independence. He said following Kosovo’s
declaration of independence such precedent problems began in Abkhazia,
South Ossetia and Nagorno Karabakh, which was damaging the regional
stability. "We think the countries recognized Kosovo’s independence
have to change their positions.

KHACHATUR SUKIASIAN’S GUARDS HAD WITH THEMSELVES LARGE QUANTITY OF ARMS AND AMMUNITION

Mediamax
February 25, 2008

Yerevan /Mediamax/. Armenian Police stated that it found a large
quantity of arms and ammunition in the three cars, belonging to the
supporters of the Ex-President Levon Ter-Petrosian.

Mediamax reports that the statement of the Police press service notes
that, as a result of operative-research measures on February 24, two
Mitsubishi Pajero and one Range Rover cars were found by the police
and the ten people in the cars were detained.

As a result of the search, it was found out that the mentioned people
had in their cars and with themselves automatic fire-arms, cold steel,
body armors and large quantity of ammunition.

According to the information of Mediamax, the arrested people are
security guards of Armenian National Assembly deputy Khachatur
Sukiasian, who is the Head of the Yerevan pre-election headquarter
of presidential candidate of Armenia Levon Ter-Petrosian.

Interfax, Russia
Russia & CIS
February 21, 2008

Azerbaijan preparing diplomatic measures ahead of discussion of
Karabakh in Duma

BAKU Feb 21

Baku is planning measures ahead of the discussion of frozen CIS
conflicts in the State Duma in March, involving separatist leaders
>From Nagorno Karabakh, Azeri Deputy Foreign Minister Araz Azimov said
on Thursday.

"First of all, political diplomatic measures should be taken [by
Azerbaijan]. This is what our embassy is going to do," Azimov said.

"If necessary, our Milli Mejlis (parliament) will refer to the State
Duma. Probably, there must be contacts at various levels, so
explanations should be given on the matter, referrals should be
made," the Azeri official said.

CENTRAL HEADQUARTERS OF LEVON TER-PETROSIAN APPLIES TO CENTRAL ELECTORAL COMMISSION WITH DEMAND TO INVALIDATE REGISTRATION OF SERGE SARGSIAN’S CANDIDATURE

Noyan Tapan
Feb 6, 2008

YEREVAN, FEBRUARY 6, NOYAN TAPAN. The central pre-electoral
headquarters of Levon Ter-Petrosian, a candidate running for the post
of the RA President, has applied to the Central Electoral Commission
with the demand to invalidate the registration of the candidature of
Serge Sargsian. As Aram Manukian, a member of the Armenian National
Movement administration, stated at the press conference held on
February 6, Serge Sargsian has infringed Article 79 of the Electoral
Code, which prohibits candidates to make extra-fund expenses for the
purpose of the campaign.

In the words of Aram Manukian, they are sure that the Central Electoral
Commission will dismiss the application and they will apply to court
with the same issue. "I can prove with tens of documents how Serge
Sargsian is making use of the administrative resourses. For the
purpose of organizing his campaign he makes a complete use of his
authority, means and levers," the member of the Armenian National
Movement administration said.

ARMENIA DID NOT DEMAND TO DISCUSS GEORGIAN TERRITORY QUESTIONS IN EC

Panorama.am
20:30 20/12/2007

Armenia never demanded to discuss Georgian territory antagonism
in EC. Panorama.am asked David Harutunyan, the leader of Armenian
delegation in EC, and the monitoring group member, to analyze Georgian
deputy Elena Tevdoradze’s announcement.

Note that according to Black Sea Press; the Georgian deputy announced
the above mentioned in "Mze" TV.

"Your announcement does not express the real situation in EC," said
D. Harutunyan.

VOCATIONAL EDUCATIONAL INSTITUTIONS SHOULD BE RESTORED TO INCREASE EMPLOYMENT OF YOUTH, HRANUSH HAKOBIAN CONSIDERS

Noyan Tapan
Dec 12 2007

YEREVAN, DECEMBER 12, NOYAN TAPAN. Dozens of higher educational
institutions functioning in Armenia have a great number of graduates
every year, but their main part fails to find a proper job. Arsen
Ghazarian, the Chairman of the Union of Manufacturers and Businessmen
(Employers) of Armenia, said at the December 12 press conference. He
said that today on the one hand, there are thousands of unemployed
young people and, on the other hand, great lack of specialists,
especially in the economic sphere. According to A. Ghazarian, the
UMB(E)A for the third year its trying to clarify the level of youth’s
employment, to confront the local and international experience,
and to find some solutions.

Hranush Hakobian, the Chairwoman of the RA NA Standing Committee for
Education, Culture and Youth Affairs, said that the issue should be
considered from two aspects: employment of youth in conditions of
market economy and in conditions of globalized world. In her words,
young people living in villages and those living in towns should be
also differentiated for opening the respective jobs for them. As the
deputy evaluated, the university-employer-job contact does not operate
today. "Industrial and vocational educational institutions should
be restored and fully-fledged specialists should pass retraining to
improve the situation," H. Hakobian said.

BODIES OF THREE PASSENGERS OF CRASHED A-320 PLANE FOUND

Noyan Tapan
Nov 14, 2007

YEREVAN, NOVEMBER 14, NOYAN TAPAN. Bodies of three passengers of
A-320 plane, which crashed last year during a Yerevan-Sochi flight,
and body fragments of another nine passengers were found. An expert
examination was made, as a result of which the identities of these
people were established: five of them were from Yerevan, the others
were from Kotayk, Shirak, Armavir, Tavush and Lori marzes. Their
relatives were informed about the results of the expert examination.

In all liklihood the bodies and fragments will be moved to Yerevan’s
Zvartnots Airport by a plane of Armavia company on November
15. According to the RA ministry of territorial governance, the
government has given the respective instructions for bringing the
bodies and body fragments of the crashed plane’s passengers to their
relatives.

EUROPE CRITICIZES TURKEY BUT CONTINUES TALKS
By Petros Keshishian
AZG Armenian Daily
02/11/2006
On November 8, the European Union will make public a very harsh report
on Turkey, Le Figaro reports.
Despite this, the EU is unwilling to suspend accession talks with
Turkey.
The report points out that “the process of reforms has stepped down in
Turkey.” Besides, the Cyprus issue is still unresolved. In December of
2005 the EU demanded that Ankara opens its harbors and airports for
Cypriot ships and airplanes by year-end 2006, otherwise threatening
to reconsider continuation of negotiations.
The ultimatum’s time is getting over, but there is no progress
in Ankara. Generally speaking, the European Commission favors
Turkey’s membership but the current situation raised discords
in Brussels. European commissioners’ stances differ depending on
political interests the countries they represent have. According to Le
Figaro, the French demand partial suspension of the talks (because of
neglecting the requirements of tax union) and the Cypriot commissioner
demands total suspension of membership talks.
In such situation Finland, which currently holds the rotating EU
presidency, suggests organizing the meeting of Turkish and Cypriot
foreign minister in Helsinki on November 5. According to the program
the Finns presented, the EU has to start trading with Northern Cyprus
for Turkey to open its ports to Cypriot ships.
At any rate, a final decision will be taken at the meeting of EU
member-state heads in Brussels on Dec 16. That very day instructions
of the European Commission that were disregarded in the past will be
taken into account. Turkey is particularly criticized for the poor
record in freedom of speech and the rights of women and the Kurds.
EU commissioner for enlargement, Olli Rehn, stated in a private
conversation that Islamization of the Turkish society is also
worrying. The European Commission would not dare raise this issue in
the past.