Positive And Negative Aspects Of The Nagorno-Karabakh Conflict Settl

POSITIVE AND NEGATIVE ASPECTS OF THE NAGORNO-KARABAKH CONFLICT SETTLEMENT ROADMAP AT CURRENT STAGE
Mikhail Aghajanyan

Noyan Tapan

18.02.2011

The process of the Nagorno-Karabakh settlement has recently shown some
kind of stalling and absence of any significant dynamics of positive
development. Such a tendency has been boldly outlined after the
well-known meeting of three presidents in Sochi on January 25, 2010.

It became even more prominent after the meeting of three presidents
in Saint-Petersburg on June 17. 2010 and, at last, the meeting in
the same format in Astrakhan finally convinced even the most fervent
optimists of the fact that the stances of two conflicting parties did
not reproach. Besides, according to estimations of some persons who
are aware of the details of the discussions in triangular format,
there is even no dynamics to rapprochement between the stances of
the parties. After the meeting in Astrakhan, many expectations were
connected with the meeting at the OSCE summit in Astana on December
1-2.

Probably, the only novelty, which is to support the process of the
settlement in the respectable shape and to prolong the international
mediatory efforts, is the discussion of the issue of adoption of some
“roadmap” within the process of the settlement. For the first time the
later was actively discussed in 2009-2010 on both political and expert
levels. Thus, at the end of 2009 and at the beginning on 2010 it had
been often mentioned that Kazakhstan, the OSCE presiding country, is
ready to offer Armenia and Azerbaijan a draft of conflict settlement
document in the form of a “roadmap”. It was mentioned that “the
Minister of Foreign Affairs of Kazakhstan Kanat Saudabayev announced
the creation of a “roadmap” directed to the settlement of the Karabakh
conflict. Prior to that he visited Azerbaijan and Armenia and made
sure that there are positive shifts in the stances of the parties” 1.

Back in October 2010, several days before the meeting of three
presidents in Astrakhan, the US envoy to the OSCE Ian Kelly, mentioning
the anxious situation on the cease-fire front line in the zone of
the Nagorno-Karabakh conflict, stated that at current stage the most
important was that the parties keep talking to each other in order to
provide diplomatic process. As for the expectations of the American
diplomacy from the upcoming OSCE Summit in Astana, Kelly mentioned
about the possibility of a “roadmap” in the process of the Karabakh
settlement in the context of inviting the parties to agree at least
on a definite “roadmap” for the settlement of the conflict2.

Drafting and implementation of a “roadmap” for the settlement
of the old interstate conflicts is not an innovation3. One can
remember an attempt to breathe a new life into the settlement of
Israeli-Palestinian conflict just with the help of the adoption of a
“roadmap”. The “roadmap” of Israeli-Palestinian conflict settlement4,
which was approved on the highest international level, formulated
in a form of a written document, to which the leaders of Israel and
Palestinian administration set a seal, was not implemented and under
the current realities of the Israeli-Palestinian settlement a few or
none remembers about it. The “roadmap” of the Israeli-Palestinian
settlement was formulated as a step-by-step process with definite
stages when each subsequent stage logically ensues from the realization
of the previous one. The “roadmap” of the settlement of any process of
interstate conflict is a plan to obtain definite political goals and
this means that it is first of all a plan of political settlement,
which included, to varying degree, judicial and other aspects of
settlement, but in its essence and general trend it still remains a
political plan. Taking this into consideration, any “roadmap” should
be ready for swing in its effectiveness; as anything political in
modern world, here the effect is also most often twofold – either
actual breakthrough (which by the way, has never been observed in
international practice) or full stopping which can be seen in the most
of the cases. There is no middle way if the “roadmap” is meant for the
settlement of a complicated interstate conflict which takes place out
of the immediate European space, because conflicting parties are not
ready for the compromise in the sense as it is taken in the European
political thought. Most often the parties approach the situation from
the position of de-facto situation, i.e. “if I get something then it
is mine, and I will not give it to anyone “for the hell of it”. The
western meaning of compromise assumes that “for the hell of it”
(i.e. to give for nothing or for something which is absolutely not
commensurable with what you receive in return), and at the same time
they make reference to a highly developed culture of compromise. Of
course it is easy to achieve compromise in quite Europe as compared
with the South Caucasus which is in fact divided by confrontations.

The logical step-by-step constructions can hardly promote
implementation of the “roadmap” of the Israeli-Palestinian settlement
and the “roadmap” of the Armenian-Turkish rapprochement, because
Israelis will never leave Eastern Jerusalem “just for the hell of
it”, and Armenians will never renounce their legitimate claims for
the compensation for the Genocide of the Armenians in Western Armenia.

The “roadmap” of Israeli-Palestinian conflict has its logic. Thus,
the first step stipulated the stage of “ending of terror and violence,
normalization of the living conditions of the Palestinians, formation
of the Palestine institutions”, which had to be carried out just
within several weeks from the moment of the adoption of the “roadmap”.

The second stage of the “roadmap” implied definite measures which
“concentrate their efforts on the creation of an independent
Palestinian state within provisional borders and with the attributes
of sovereignty based on a new constitution and as an intermediate
stage on its way to a constant settlement”. And finally, the third
stage had to bring to “an agreement on the constant status and final
settlement of Israeli-Palestinian conflict”.

The main purpose of the Israeli-Palestinian “roadmap” was formulated as
obtaining final and comprehensive settlement of the Israeli-Palestinian
conflict till 2005. This purpose was sounded in the speech of the US
president G. Bush on June 24, 2002 and approved by the European Union,
Russia and UN in the statements made after the meeting of the ministers
of foreign affairs on July 16 and September 17, 2002. More than 5 years
has passed since “the time-frame of the final settlement”. According
to some initiated experts “the fact of mismatch of the plan of the
“roadmap” to the real situation was mentioned by the official Russian
diplomacy. “By the end of this year we had had to begin creation of
the Palestinian state. But in fact we are still just at the beginning
of the first stage of the “roadmap”.

The time-frame is unrealizable. Let’s not put a brave face on a
sorry business, – said Alexander Kalugin, the special envoy of the
RF Ministry of Foreign Affairs on Middle East settlement, on August
18, 2005, – Ever since Israeli-Palestinian relations has only become
strained and the time-frame of the “roadmap” has expired” 5.

There was a kind of logic in two well-known Armenian-Turkish protocols
where a definite sequence of stages within the specified time frame
of their realization was set. There are following references to
the time-frame of implementation of separate steps by the parties
in two Armenian-Turkish protocols signed in Zurich on October 10,
2009, and this can be considered as stages of the “roadmap” of
the normalization of the relations between two countries: – The
establishment of diplomatic relations between two countries on the
day when The Protocol on Establishment of Diplomatic Relations between
Armenia and Turkey comes into effect; – Opening of the borders within
two months after The Protocol on Development of the Relations between
Armenia and Turkey comes into effect; – Both Protocols come into
effect on the same day, i.e. on the first day of the first month which
follows the interchange of the ratification documents by the parties; –
The last part of The Protocol on Development of the Relations between
Armenia and Turkey includes the terms of formation and beginning of
work of the intergovernmental commissions and sub-commissions.

But everybody knows the difficulties the given logic faced; everybody
knows that the world leading powers sounded the support of the process
of the Armenian-Turkish rapprochement and concrete realization of
the provisions of two protocols. The logic of the western political
thought, based on an axiom of compromise with regard to the conflict
settlement, was beaten by the logic of the direct participants of
the conflict. With regard to the Armenian-Turkish rapprochement the
logic of the only power which torpedoed the process, i.e. Turkey,
consisted in the fact that in return for its “concession” in the
form of opening of the border with Armenia, Ankara was ready to
accept only “commensurate” concession – renouncing of the process of
international recognition of the Armenian Genocide and withdrawal of
the Armenian forces from the Lowland Karabakh. What fate is in store
for the “roadmap” of the Nagorno-Karabakh conflict settlement if it
is formulated in a written form?

We can mention several positive, in our opinion, moments, in case
of practical implementation of such an initiative, i.e. elaboration
of the stage-by-stage lan of the Karabakh conflict settlement in the
form of “roadmap”. But we should also mention aspects which may have
negative effect on the process of the Karabakh conflict settlement.

Let us only specify that one of the main goals of possible “roadmap”
of the Karabakh conflict settlement, on which the external powers rely
for achieving progress, may consist in the fact that the “roadmap”
by itself may become a definite “compromise” between two traditionally
dominating discrepant approaches – Armenian and Azerbaijani approaches
to the conflict settlement, i.e., correspondingly, the “package” or
“stage-by-stage” settlement. At first sight the “roadmap” is obviously
“stage-by-stage” approach which gives preference to Baku. But it
is not so. Each stage of this “roadmap” is a “package” of steps,
the whole of set of definite actions. The combination of these two
approaches is a well-known aspiration of the external powers which
play mediatory role in the process of the Nagorno-Karabakh conflict
settlement. Then why not to try to make this dream come true in the
form of “stage-by-stage and package” approach in this “roadmap”?

The positive effect of the “roadmap” may also manifest itself in the
continuation of consultations and negotiations round the Karabakh
settlement and this will preserve the current status quo in the
region, will not allow this shaky stability turn into hostilities in
the zone of conflict. The “roadmap” will become a kind of compromise
between the main mediators represented by Russia, USA and France,
as the trilateral format of meetings initiated by Russia makes many
believe that the Minsk group is a kind of burden for Moscow and
it wants to get rid of it. The “roadmap” will not allow the Minsk
group fading from the scene but, at the same time, it will even
more sideline the institution of the Minsk group. Because signing
of any document between parties can become reality only by active
diplomatic work of Moscow. For the later the way from the November
2008 Meindorf declaration to the October 2010 Joint Statement is a
way of a certain “diplomatic regress” as in November 2008 something
was signed, two years later only statement was made. In a situation
like that Moscow needs to sign any document and it is desirable that
it will be a significant document on the Karabakh conflict settlement.

Then, the positive aspects of the “roadmap” are that it allows
predicting further steps by two of the three conflicting parties,
a kind of schedule of events, definite actions, which have to be
implemented by a specific date. If this does not happen it would be
easy to find out who does not stick to his liabilities stipulated in
the “roadmap”.

The “roadmap of the Nagorno-Karabakh conflict settlement” may also
have a positive effect on stability in the region in general. From this
point of view, if we compare it with the “roadmap” of Armenian-Turkish
normalization, we can state that the only positive effect of the
unfinished process of the Armenian-Turkish rapprochement is a greater
degree of distinctness in the relations between Ankara and Yerevan,
and such distinctness between regional rivals means greater degree of
stability. It also implies that the external actors will follow the
deviations to the negative sides and try to suppress those deviations
because they are more interested in the stability in the region. So
the “roadmap” puts the process within some frames, even if it is not
brought to the logical end. Thus, since the adoption of the “roadmap”
in 2003, the Israeli-Palestinian conflict has not gone beyond definite
borders of the disputed territories (e.g. to Syria, though there
were some “encounters” on the Lebanese territory); Armenian-Turkish
relations have not been deteriorated after the conclusion of the
“Zurich protocols” but they obtained more distinct character. So
one can hope that the availability of the “roadmap” in the Karabakh
conflict settlement will become another element which will promote
stability and will become a relative guarantee of not spreading a
conflict beyond its current frame and areal.

The negative factors are as follows: 1. If the “roadmap” of the
Karabakh conflict settlement is drafted now, two well-known statements
of the presidents of Russia, US and France will be extrapolated (June
10, 2009 and June 26, 2010) to it. Such a basis for the “roadmap” of
the Karabakh conflict settlement, in our opinion, will be of negative
character and will bring it to the dead end at the very first stage.

The “roadmap” of the Karabakh conflict settlement cannot begin with
the provision which reads “returning of the occupied territories
round Nagorno-Karabakh”6. The first stage should be the conclusion by
all the three conflicting parties of the agreement on the non-use of
force at any stage of the Karabakh conflict settlement. The “roadmap”
of the Israeli-Palestinian conflict settlement was mostly brought
to the dead end by the fact that the external actors had overstated
expectations connected with the withdrawal of the Israeli forces
behind the so-called “green line”. Many experts mentioned that
“many failures of the international diplomacy on the road to settle
Israeli-Palestinian conflict are caused by the fact that the withdrawal
of the Israeli forces behind the “green line”7 is considered as an
immutable precondition necessary for the settlement. To set hopes on
the withdrawal of the Israeli forces behind the borders which existed
before 1967 as the main mean to achieve peace is as hopeless as to
support the demagogic conversations of the US State Department about
the correctness of the “roadmap” 8.

There can be no retreat of the NKR to the borders of 1988, as there
were no such borders, because today’s NKR was de-facto territorially
formed within the borders of historical Artsakh, meanwhile some of its
territories are still occupied by the Azerbaijani Republic. There can
be no withdrawal of the Armenian forces from the territory of Lowland
Karabakh until a real format of the process of negotiations between
two parties, which are responsible for any hypothetical withdrawal of
their forces from some territories, is formed. Those parties can be
the Nagorno-Karabakh Republic and Azerbaijani Republic and they have
to become the main actors while implementing definite provisions of
the possible “roadmap”,

Thus, at current stage, there are no real grounds for the settlement
and no real party composition of the “Karabakh roadmap”, 2. The
“roadmap” is always an imperative demand for the parties to stick to
their commitments mentioned in the concluded agreements. Definitely the
only party which has been violating the requirements is Azerbaijan and
this is proved by a sequence of armistices concluded during the war in
1991-1994, as well as a number of agreements with the participation
of the Nagorno-Karabakh Republic following it (the classical example
is the Agreement about the Enforcement of the Cease-Fire Regime which
was officially signed under the auspices of the OSCE on February 4,
1995 by all the three conflicting parties).

There can be no efficient or any positive return from any “roadmap”
if the party, which initially considers itself “injured party”,
reserves the right to reconsider its commitments. In this connection
the full name of the Israeli-Palestinian “roadmap” dated May
2003 is demonstrative: “Roadmap” to a permanent settlement of
Palestinian-Israeli conflict in accordance with the principle of
coexistence of two states based on the evaluation of the implementation
of the obligations by the parties. We believe that the assessment of
the “implementation of the provisions of the roadmap” by Azerbaijan
will always be unsatisfactory because there is no style of respectable
attitude towards the opponents necessary for the constructive dialogue
in Baku. “Karabakh roadmap” is unrealizable against the background
of the chauvinism towards everything Armenian and claims on “Western
Azerbaijan”. 3. For the positive implementation of the “roadmap” there
is no such an accepted in the international practice institution as
the personal envoy whose intermediary services are accepted by all
the parties to the conflict. The institution of co-chairmen of the
Minsk group cannot be considered as the similar to the institution
of the personal envoy of the head of the state. People are necessary
who would work on the elaboration, coordination and implementation
of the “roadmap” 24-hours a day, and, what is most important, they
would have a mandate for such a work from the heads of states which
are the external mediators. After the events round South Ossetia in
August 2008 an issue of creation of the position of the special envoy
of the US president on Karabakh settlement was discussed behind the
scene by Western experts. Later on, they spoke that it would be more
reasonable if there was a special envoy of the US State Secretary in
the process of the Nagorno-Karabakh conflict settlement.

It is remarkable that today such conversations in the Russian expert
circles have become more often.

Thus, Russian experts, mentioning absence of any real progress in
the process of the Nagorno-Karabakh conflict settlement after the
meetings of the presidents of Armenia, Russia and Azerbaijan, said
after the meeting in Astrakhan that “the promises of Medvedev that
by the moment of holding the OSCE Summit in Kazakhstan on December
1-2 Yerevan and Baku would get a new coordinated variant of general
principles of the settlement of the conflict inspires no optimism. Even
more, in case of elaboration of such principles they would not go
beyond the norms formulated by Russia, Armenia and Azerbaijan in
the joint declaration signed in Moscow on November 2, 2008. Thu,
they will again speak about obscure commitments which do not promote
real initiation of the peace talks”. Russian experts believe that the
main reason for it is that Kremlin has not “enough diplomatic tools
to solve this issue”. All the contacts with the conflicting parties
are mainly built through the president. The Ministry of Foreign
Affairs provides technical support to the head of the state. At
the same time Russia has no such position as the special envoy of
the Russian president on Nagorno-Karabakh issue. Traditionally in
the international practice, the special representative gets to the
heart of the matter and reconciles differences between conflicting
parties. He is also responsible for the everyday work and contacts
with the counteragents. This is the only way not only to achieve a
true understanding of the matter but also to gradually pave the way for
the process of negotiations. Russia has nothing like that. Nominally,
the role of the special envoy is taken by the representative of Moscow
in the Minsk group. But this is mostly ceremonial post which has no
full powers, just like the OSCE by itself” 9.

4. And finally, probably the most important restraint for the positive
implementation of the “roadmap” of Karabakh conflict settlement
is the absence of the intentions of main external powers to settle
anything in the Nagorno-Karabakh process. The fact that the process
of settlement is necessary does not cause any contradictions. But
this does not mean that the external powers tend to obtain any result.

There is already a result and that result has caused relatively
efficient sustention of the status-quo in the zone of the conflict
for the recent 16 years. Enough is as good as a feast and the external
powers realize that current situation is better than the uncertainty
which follows the first step in the hastily drafted “roadmap” of the
Nagorno-Karabakh conflict settlement.

Noravank

From: A. Papazian

www.nt.am

NKR MFA Reacts To ICG Report

NKR MFA REACTS TO ICG REPORT

armradio.am
18.02.2011 17:21

The Ministry of Foreign Affairs of the Nagorno Karabakh Republic has
issued a statement on the report of the International Crisis Group.

The statement reads:

“Investigating the report of the International Crisis Group (ICG)
entitled ‘Armenia and Azerbaijan: preventing war’, one automatically
comes to the conclusion that it was written exclusively for convincing
Armenia to ‘soften’ its positions in the negotiation process, in
particular, on the issue of the final status of Nagorno Karabakh.

As we know, the position of the Nagorno Karabakh Republic in the
negotiation process is presented today by the Republic of Armenia.

But, all the actors of the peacemaking process, as well as the
public sector, which is interested in the peaceful settlement of
the Azerbaijani-Karabakh conflict, including the ICG, must consider
the fact that the final decision should be made by the NKR people
and authorities.

Another matter is the fairness of the report, which is written
thousands of kilometers away from Nagorno Karabakh and the authors of
which haven’t visited the NKR at all, even for the sake of propriety.

Let alone the fact that recently, Director of the ICG European Program
Sabina Freiser has settled down in Istanbul, from where, basing on
the publications in the mass media and often on unreal data, gives
recommendations to the conflicting parties. However, just one visit
to NKR is enough for both comprehending the essence of the conflict
and making sure of the Republic’s efficiency and viability.

Actually, the ICG offers to settle the conflict’s consequences and
not the conflict itself, which just adds fuel to the fire in the
conditions of extreme tension between the parties’ societies. Sabina
Freiser, maybe without realizing this, creates a new crisis situation,
which, in fact, the Azerbaijani-Turkish tandem seeks for attempting
to resolve on the quiet the issue in its own way. It isn’t accidental
that Freiser assigns Ankara the role of the basic regulator in the
region and a mediator in the Karabakh issue settlement. So, it is time
to rename the International Crisis Group into Crisis Creation Group.

Surely, those in Artsakh share the ICG concerns about the possible war
resumption in any moment, which will lead to unprecedented destructive
consequences for the entire region. But, similar reports should note
the specific creators of the emerged explosive situation. The tension
on the contact-line is the result of Azerbaijan’s purposeful policy for
the recent years. In the conditions of the increasing militant rhetoric
and moods in Azerbaijan, the soft position of the mediators and foreign
states’ representatives is strange, while they had to flatly condemn
President Aliev long ago, calling upon him to refuse of the policy of
threats and to negotiate with the basic party to the conflict – the
Nagorno Karabakh Republic. Unfortunately, the ICG proposals cannot
resolve principle conflicts. The tactics of small concessions in
favor of the aggressive party will only whet its appetite.

War should be opposed by the NKR recognition and not by signing a
framework agreement or other half measures. Speeding up the signing of
an agreement on the basic principles, without the detailed elaboration
of all its key provisions, will become ‘a delayed action mine’ under
the entire peace process.

In the current situation, the soonest realization of
confidence-building measures, both military and civic, is needed. The
international community should establish direct relations with Nagorno
Karabakh. The NKR integration into the international processes is
about the only tool in the international community’s arsenal for
resisting the situation’s running into a new war. The international
community’s ignoring of the NKR in favor of Azerbaijan only strengthens
the latter’s confidence of its own right to new aggression.

The international community should not repeat its mistake made in early
1990s, when the recognition of Azerbaijan’s right to self-determination
and rejection of Nagorno Karabakh’s similar right were accepted by
Azerbaijan as a carte blanche for realizing wide-scale aggression
against the NKR and suppressing its people’s will. Isn’t it time to
learn a lesson from the past?”

From: A. Papazian

EU And Armenia Sign A Memorandum On 100 Million Euros Of Financial A

EU AND ARMENIA SIGN A MEMORANDUM ON 100 MILLION EUROS OF FINANCIAL ASSISTANCE TO ARMENIA

armradio.am
18.02.2011 16:51

The European Commissioner for Economic and Monetary Affairs Olli Rehn
has signed on behalf of the EU the Memorandum of Understanding with
the Republic of Armenia setting forth the economic policy conditions
for the provision of macro financial assistance (MFA) to Armenia
in the form of a loan of up to ~@65 million and a grant of up to
~@35 million. The assistance will support the adjustment programme
agreed between Armenia and the International Monetary Fund to help
the country through the global crisis.

The planned assistance is part of the external financing provided to
cover Armenia’s balance of payment needs in 2011. The EU programme is
conditional on the respect of the economic programme agreed between
the Armenia and the International Monetary Fund (IMF) and on the
implementation of a number of economic policy measures agreed by the
Republic of Armenia and the European Union in the areas of: public
debt management, pension system, public internal financial control,
external audit, public procurement, tax policy and tax administration,
and customs policy.

It supports the economic adjustment and reform programme of the
Armenian authorities designed to achieve sustainable medium-term
growth. The first installment, amounting to EUR 40 million, will be
released after the ratification of the Memorandum of Understanding
and the Loan and Grant Agreements by the Armenian Parliament. The
release of the second installment is planned for autumn 2011.

From: A. Papazian

Ex-Governor Of Central Bank Complains Of Very High Gas Price

EX-GOVERNOR OF CENTRAL BANK COMPLAINS OF VERY HIGH GAS PRICE

/ARKA/
February 18, 2011
YEREVAN

YEREVAN, February 18, /ARKA/. Former governor of Armenia’s Central Bank
complained today of extremely high price paid by Armenian households
and industries for Russian natural gas. Speaking at a news conference
Bagrat Asatrian said although Russian Gazprom sells gas to Armenia
at a price lower than to Europe Armenian households and industries
pay for it as much as consumers in Europe.

Gazprom raised the cost of gas for Armenia by 14 percent in 2009 and
by another 17 percent in 2010 April to $180 per thousand cubic meters.

Following it the Armenian Pubic Services Regulatory Commission
(PSRC) approved a 37.5 percent surge in the gas price for households
requested by the national gas distribution company, ArmRosGazprom
(ARG) in which Gazprom owns more than 80 percent.

Last September Gazprom said it would gradually bring its gas tariffs
for Armenia, Moldova and Belarus up to “market-based” international
levels in the coming years. Gazprom currently sells gas to western
and central European countries for over $300 per thousand cubic meters.

According to Russian news agencies, Gazprom would like to raise the
tariff for Armenia to about $200 per thousand cubic meters this year.

Armenian authorities say they are negotiating with Gazprom monopoly
seeking to prevent a further rise in the price of natural gas imported
by Armenia.

Energy and natural resources minister Armen Movsisian said last week
he received a “strict instruction” from president Serzh Sarkisian to
do his best to prevent another gas price rise. According to official
figures, cas consumption in the country has fallen considerably in
the last two years.

From: A. Papazian

Armenian Company "Mega Pantera" Received 30 Thousand Applications Fo

ARMENIAN COMPANY “MEGA PANTERA” RECEIVED 30 THOUSAND APPLICATIONS FOR RECEIVING PENSIONS AND THE VOLUME OF PAYMENTS CAN MAKE 1 BILLION DRAMS

/ARKA/
February 18, 2011
YEREVAN

YEREVAN, February 18. /ARKA/. As of today, payment company “Mega
Pantera” received about 30 thousand applications from pensioners for
getting pensions, said Director of the company Suren Stepanyan.

New pension payment system was introduced in Armenia since 2011
which is implemented through the banks and payment systems. Payment
of pensions by new order will start on March 1, 2011.

“According to our calculations, the amount of the payments was made
on the basis of average pension size and will be from 800 million to 1
billion drams”, said Stepanyan in the press-conference in international
press-center “Novosti” on Friday.

In filling the application form the data, mechanism by which the
pensioner wants to receive the pension and the name of the organization
through which the pensioner wants to receive the pension is mentioned.

According to the new order, each pensioner decides how to get pension –
in cash, by courier or by opening bank account in the selected bank.

The company will provide services in all administrative districts of
Yerevan via 14 offices.

“From March 1 our employees will render services to the pensioners
who would like to visit our branches”, said Stepanyan.

In the initial phase we will give pensions also in the regions of
the country.

Commissions of the companies participating in pension payments will be
paid according to the contract signed with the ministry which makes 1%
of pension. Services to the pensioners are provided free-of-charge.

Currently, 15 banks and six payment organizations participate in the
process of pension payment in Armenia.

Payment organization “Mega Pantera” was established in 2007 in
Armenia. It is a system of momentary payment ” Megapay” which gives
opportunity to make payments for mobile, fixed communication and IP
telephony, bookmaker services, Internet connection and utility. The
company has 450 payment terminals in Yerevan and the regions.

There are over 519.8 thousand pensioners living in Armenia as of
December 31, 2010. Average pension size is 24 thousand 700 drams. ($1 –
366.08 drams).

From: A. Papazian

343 Large Taxpayers Paid 14.7 Billion Drams To The State Budget Of A

343 LARGE TAXPAYERS PAID 14.7 BILLION DRAMS TO THE STATE BUDGET OF ARMENIA IN DECEMBER

/ARKA/
February 18, 2011
YEREVAN

YEREVAN, February 18. /ARKA/. Indicator of paid taxes and other
mandatory payments by 343 large taxpayers was about 14.7 billion
drams or 44.2% of tax entries in the budget of Armenia, “Analysis of
summarized indicators of monitoring of large taxpayers for December
2010” states.

In December 2010 tax bodies made 80 checks. In its result, additional
payments in the amount of 2760.7 million drams were made. ($1 –
366.08 drams).

From: A. Papazian

Armenian Premier Presented His Own Vision On Armenian-Georgian Busin

ARMENIAN PREMIER PRESENTED HIS OWN VISION ON ARMENIAN-GEORGIAN BUSINESS RELATIONS

/ARKA/
February 18, 2011
YEREVAN

YEREVAN, February 18. /ARKA/. Prime Minister of
Armenia Tigran Sargsyan presented his own vision in
() on economic
development cooperation and business-relations between Armenia and
Georgia.

Recent visit of Georgian Premier Nicoloz Gilauri to Armenia is a
good occasion for discussion of frequently asked questions related
to Georgian reforms and problems of Armenians living in Georgia.

Sargsyan answered the question on “different Armenian businesses”
which as if “run” to Georgia saying that authors of such questions do
not clearly understand the difference between transfer and expansion
of business in Georgia.

He informed that they agreed with the Georgian minister on the
establishment of favorable conditions for unifying the markets of
both countries and make economy more integrated.

“As for the companies transferred to Georgia, I suggest to discuss
all certain cases which refer to closure of business in Armenia and
transfer to Georgia. Please leave your messages in the comments and
we will analyze its reasons and make conclusions”, said Sargsyan.

He said that development models of Armenia and Georgia are different.

He clarified that Armenia chose evolution of reforms and Georgia-
revolutionary way.

“Each of these ways has its positive and negative sides. Our reforms
assume other logics of implementation”, he considers.

Armenia should learn lessons from the spheres which have been
successfully developed in Georgia. He is concerned that people who
notice the progress in Georgia do not notice it in their country.

During the meeting the parties discussed tax and customs administration
issues and reforms in road police.

Gulauri highly appreciated the success in financial sphere of Armenia,
particularly management of internal debt, achievements in banking
sector and insurance. We promised to kindly share our experience in
these spheres.

“The most important thing is that competition of two friendly countries
should serve the interests of Armenia and Georgia and not oppose them”,
said Sargsyan.

There are already comments in the site, particularly doubts on
successful reforms in tax and customs sphere or police in the struggle
against corruption. Authors of comments consider that development
models of Armenia can be rather called regress models. Instead of
mentioning certain cases, for example, transfer of Armenian business
to Georgia, people in their comments suggest the prime minister to
look through the publications of newspapers.

From: A. Papazian

http://tigransargsyan.livejournal.com/9116.html

Eurasian Development Bank Allocated $30 Million For Wheat Import To

EURASIAN DEVELOPMENT BANK ALLOCATED $30 MILLION FOR WHEAT IMPORT TO ARMENIA

/ARKA/
February 18, 2011
YEREVAN

Eurasian Development Bank (EDB) allocated $30 million to Armenian
flour-producing company “Eco-Pure” for importing 25 thousand tons of
wheat in the frames of the agreement on funding wheat purchase and
transportation to Armenia by the first tranche.

The first time agreement on the provision of credit was signed in
December 2010 in Moscow by Deputy Chairman of EDB Board Genadiy
Zhuzhlev and “Eco-Pure” Ltd. Director Edgar Ghazaryan.

“Eco-Pure” Ltd. Signed also agreement on wheat delivery with Russian
company “United wheat company” open jsc funded by credit of EDB.

“This year the situation in wheat markets of CIS countries is more
complicated and implementation of this project will help to keep
bread and flour prices imported to Armenia on the reasonable level.

Implementation of the project will promote integrated relations between
Russia and Armenia by increasing trade turnover between two countries.

EDB was established by Russia and Kazakhstan in January 2006 with the
purpose of support to market economy of participant-states. Charter
capital of the bank exceeds $1.5 billion. Participant-states of the
bank are Russian Federation, Kazakhstan, Armenia and Tajikistan.

From: A. Papazian

High Inflation Rates Will Persist Throughout The Year, Says Former C

HIGH INFLATION RATES WILL PERSIST THROUGHOUT THE YEAR, SAYS FORMER CENTRAL BANK CHAIRMAN

Tert.am
18.02.11

The former chairman of the Central Bank, Bagrat Asatryan, convened
Friday a news conference share concerns over the high rate of inflation
in world countries and especially Armenia.

He said though the economic recession is overcome, there is a tendency
of inflation, with prices on food products and raw materials soaring
up.

Speaking of the situation in Armenia, he particularly said: “We
recorded a high rate of inflation in 2010, with the economic growth
being the lowest in the past 15 years.”

Asatryan predicted 8%-9% inflation rate and 3%-4% economic growth for
2011. He explained such records by positive trends in agriculture,
services sector, trade and construction.

“Even with such growth we’ll be far from the situation we had before
the crisis. We’ll recover the pre-crisis rates only in 2013-14,”
he said, adding that the inflation on the world market also has a
negative impact on Armenia.

He further spoke of the increased poverty rate and class polarization.

Drawing comparisons with the current prices in Europe, he said fruit
and vegetables in the European countries sell for 1.5 less than
in Armenia.

“It is the existing system in Armenia that forces us to pay the
highest price for everything. The authorities have either refused to
control the market or fallen victim to the oligarchs. If the system
is maintained, our market will be the most expensive in the world.”

From: A. Papazian

Vanadzor Residents Not Allowed To Attend Rally In Yerevan

VANADZOR RESIDENTS NOT ALLOWED TO ATTEND RALLY IN YEREVAN

Tert.am
18.02.11

People from different regions of Armenia have complained to the
central headquarters of the opposition Armenian National Congress
(ANC) that the police have imposed bans on transportation means, as
an attempt to prevent the population from attending the opposition’s
rally in Yerevan.

“We have received complaints that they have banned public transport
in Vanadzor and seized licenses from drivers,” ANC coordinator Levon
Zurabyan told Tert.am.

The head of ANC office in Vanadzor, Ashot Manukyan, said later that the
police impose restrictive measures on the drivers who, they suspect,
may attend the rally.

“The traffic police seized the licenses from all the minibus drivers
and drove their vehicles to the penalty area. We too, blocked the
highway and held a protest. Then we started negotiating with the
head of the traffic police department. They have now rented cars in
Vanadzor and are trying to go to Yerevan,” he told Tert.am.

The ANC rally is to take place outside the building of Matenadaran.

The opposition’s last meeting was held on November 9, 2010.

From: A. Papazian