Friday, August 14, 2020
Armenia Spends Over $300 Million On Pandemic Relief Programs
August 14, 2020
• Robert Zargarian
An empty street cafe in downtown Yerevan at the start of the coronavirus
pandemic in March 2020
The Armenian government has spent a total of about 150 billion drams (over $300
million) since March on relief and stimulus packages for businesses and
individual citizens affected by the coronavirus pandemic, according to an
official.
Economy Minister Tigran Khachatrian said at a press conference on Friday that of
this sum 93 billion drams (over $190 million) have been allocated through banks
in the forms of loans.
“We decided to focus on specific issues of each sphere and to direct funds of
support for targeted solutions to emerging or existing and expected issues,” the
minister said.
Earlier this week the government approved two more coronavirus aid packages
targeting sectors most affected by the pandemic. Under these programs assistance
will be given to the spheres of tourism and agriculture.
Khachatrian said that the government’s support for the tourism sector, which is
facing problems all over the world due to the coronavirus pandemic, as well as
related areas, including the hotel business and public catering, will be aimed
at preserving jobs.
“We are dealing with a situation where companies see their turnover reduced by
more than half. On the other hand, in this situation they want to save jobs and
keep workers who are part of their workforce,” the minister said.
Armenian Economy Minister Tigran Khachatrian at a press conference in Yerevan,
August 14, 2020
Under this program monthly support will be provided to companies with at least
three employees. Those companies that have retained at least 70 percent of their
personnel during the pandemic will receive from the government a full salary of
every third employee. Otherwise, the government will subsidize the salary of
every fourth employee.
“This is a very good message for businesses that if they are at the threshold of
having retained 70 percent of their personnel they may hire new employees and
receive government support for 33 percent instead of 25 percent of their
payroll. So, they will be able to offset a significant part of additional
financial expenditures for expanding staff or increasing salaries through
government support,” Khachatrian said.
Under the other program approved by the government this week assistance will be
provided to grape purchasing companies and farmers. Because of the pandemic
consumption of wine and brandy has fallen, leaving wine and brandy producers
with less revenue. Assistance under this program will be provided in the form of
interest-free loans to farmers who sell grapes to wineries and brandy-making
companies.
According to the minister, there is no cap on the money provided for pandemic
relief and stimulus programs. “We have not reached a point where we can say that
if this limit is exceeded we will not provide support,” he said.
He said that the government will soon announce new programs of support to
exporters and companies that plan to be technically reequipped.
Khachatrian does not rule out that Armenia will close the pandemic-affected
economic year with about a five-percent GDP fall. Last year, Armenia’s GDP grew
by 7.6 percent and its economic activity index grew by 7.8 percent. The
government said the figures were unprecedented for recent years.
“We hope that the results of the third and fourth quarters of this year will
show some improvement over the second quarter,” the minister said.
He said that this forecast is in line with the trends of the world economy.
“Leading international organizations predict a global economic decline of up to
6 percent. It is also expected that 2021 will be the main year of recovery. In
other words, there is no higher global optimism until the end of this year than
the indicators that I’ve mentioned,” Khachatrian said.
Pashinian Reiterates Call For International Mechanism To Investigate Ceasefire
Violations
August 14, 2020
Armenian Prime Minister Nikol Pashinian during an interview on BBC World News’
HARDtalk program
Armenia has proposed the establishment of an international mechanism to
investigate ceasefire violations in the Armenian-Azerbaijani conflict zone
following the latest deadly clashes, Prime Minister Nikol Pashinian said while
being hosted on BBC World News’ HARDtalk show this week.
During the interview released on Friday presenter of the show Stephen Sackur
noted that Armenia and Azerbaijan blame each other for starting the border
escalation in mid-July that left at least five Armenians and 12 Azerbaijani
servicemen dead.
“I can understand the situation of the international community that every time
hears mutual accusations about who violated the ceasefire. And this continues
again and again for a long time. That’s why we are proposing to establish an
international mechanism for investigating ceasefire violations. And this is a
valid proposal by Armenia,” the Armenian prime minister said.
To the remark of the presenter that nothing has changed in Armenia’s position on
Nagorno-Karabakh since Pashinian’s coming to power in 2018, the Armenian leader
said that “peace can’t be achieved through unilateral actions of Armenia.”
“We will be able to have real peace if Azerbaijan reciprocates Armenia’s
efforts,” Pashinian said, accusing Azerbaijani President Ilham Aliyev of
continuing his war rhetoric and attempting to solve the Nagorno-Karabakh
conflict by force.
Pashinian reminded that after becoming Armenia’s prime minister he proposed a
“new formula for peace.”
“The formula is the following: any solution to the Nagorno-Karabakh conflict
should be acceptable for the people of Armenia, for the people of
Nagorno-Karabakh and for the people of Azerbaijan. I am the first Armenian
leader to have ever said that any solution to the Nagorno-Karabakh conflict
should be acceptable for the Azerbaijani people, too. But, unfortunately, the
Azerbaijani president didn’t reciprocate my proposal,” he said.
Regarding the mid-July deadly fighting at the Armenian-Azerbaijani border,
Pashinian said: “Azerbaijan started a military attack against Armenia. It wasn’t
a separate action. For a long time the Azerbaijani president has developed a
bellicose rhetoric, saying that he is going to solve the Nagorno-Karabakh
conflict using military force. As a result of that bellicose rhetoric the
Azerbaijani government is facing the challenge to explain to their own society
why they couldn’t solve the Nagorno-Karabakh conflict through force.”
During the interview the Armenian prime minister also answered questions
concerning his government’s handling of the coronavirus pandemic, its human
rights record and others.
Anti-Corruption Court To Be Set Up In Armenia
August 14, 2020
• Naira Nalbandian
Deputy Minister of Justice Srbuhi Galian
Armenia’s Ministry of Justice has drafted a package of constitutional laws under
which it proposes the establishment of a specialized anti-corruption court
consisting of at least 25 judges, five of whom will hear only cases related to
the recently adopted law on the confiscation of property of illegal origin.
It is also proposed that a specialized anti-corruption court of appeal be
established, involving at least 10 judges, and changes be made in the Court of
Cassation where the Criminal Chamber will function with eight judges, and the
Civil-Administrative Chamber with 13.
Deputy Minister of Justice Srbuhi Galian said the measures we enable Armenia to
have a specialized court of a higher quality. “As the first link in this chain
we are setting up an anti-corruption committee with investigators who will
undergo an appropriate vetting process and who will also pass professional
retraining. Also, there will be a subdivision in the prosecutor’s office and
members of this subdivision will also be vetted to specialize in that field. We
can say that this chain will be closed with the establishment of the court with
specialized staff,” she said.
Human rights activist Artur Sakunts supports the idea, but he has concerns in
terms of the implementation of the reform. In particular, he has questions about
how the public will trust the judges of the specialized court if the whole
judicial system has not been vetted.
“It is very important to assess the possible risks of conflict of interest in
the criteria for the selection of judges in order to avoid them, because there
should be people who have no connection with the criminal world or
representatives of the criminal world, their relatives should not be involved in
any kind of corruption phenomena, let alone crimes. These are risks that must be
taken into account in the selection of judges,” Sakunts said.
The selection of judges will be carried out through an open competition, which
will be open not only to incumbent judges, but also to non-judges.
Representatives of the three branches of power, a representative of the
Ombudsman will be members of the tender council, seats will also be provided for
the public sector. Candidates for judges will undergo a vetting process for
their integrity that will be administered by the anti-corruption committee. A
higher salary for judges of this specialized court is foreseen as compared to
other judges. There will be certain limitations in regards to who can become a
candidate for an anti-corruption court judge.
“We have tried to restrict as much as possible access to this court to those who
have recently had disciplinary violations and will be held accountable on their
bases. A judge will not have the opportunity to become a judge of the
anti-corruption court if the Human Rights Court has recognized a violation by
this judge in his or her judicial act,” Galian said.
About four months ago, simultaneously with the amendments to the Judicial Code,
the appendix to the Criminal Code defined the list of corruption-related crimes
cases on which should be tried by a specialized court. It is envisaged that this
anti-corruption court will start functioning in the second half of 2021. It is
not clear yet how the transition stage will be organized. “There will be some
cases that will be transferred [to the anti-corruption court], others will not,”
the deputy minister said.
Opposition Lawmaker Resigns Over Health Problems
August 14, 2020
Mane Tandilian campaigning with the Bright Armenia party ahead of the December
9, 2018 snap parliamentary elections in Armenia.
An Armenian opposition lawmaker has announced her decision to give up her
parliament seat and leave her political party’s governing body over “long-term
health problems.”
“For a long time now I have tried to solve these health problems in parallel
with my work. However, it has become clear that they are no longer compatible
with my parliamentary duties and active political engagement,” said Mane
Tandilian, a member of the opposition Bright Armenia party who briefly served as
a minister in the post-revolution government of Prime Minister Nikol Pashinian,
in a Facebook post on Friday.
The 42-year-old lawmaker known for her harsh criticism of the current government
did not elaborate on what particular health problems she experiences. She only
said that she would not make any further statement or comment on that matter.
In her post Tandilian also thanked her political team, Bright Armenia, for their
journey together and wished the party led by outspoken government critic Edmon
Marukian “new successes for the benefit of the Republic of Armenia.”
The outgoing lawmaker will be replaced by another Bright Armenia member, the
party said in a statement later today.
Tandilian became prominent as a member of a civic movement opposing a
controversial pension reform in 2014. Along with some other activists she was
first elected to parliament in 2017 and was a member of the opposition Yelk
alliance that was led by then opposition leader Nikol Pashinian.
Tandilian was appointed minister of labor and social affairs in the government
formed by Pashinian after the latter came to power as a result of widespread
anti-government protests in May 2018. She tendered her resignation over the
enforcement of the pension reform a month later, but Pashinian did not accept it
and she continued her term until November when she resigned to run for
parliament on the slate of the Bright Armenia party.
Bright Armenia appeared in opposition to the Pashinian-led My Step alliance in
the new parliament elected in December 2018.
Mining Company Downplays End Of EBRD Investment In Amulsar Project
August 14, 2020
• Naira Nalbandian
Armenia - Gold mining facilities constructed by Lydian International company at
Amulsar deposit, 18 May 2018.
A company pursuing a gold mining project in Armenia amid protests by
environmental activists says the news about the European Bank for Reconstruction
and Development’s (EBRD) ending its investment in the project will not affect
its activities.
The EBRD has told RFE/RL’s Armenian Service (Azatutyun) that Lydian
International, which owns 100% of the shares of Lydian Armenia, the company that
intends to develop the Amulsar gold mine, has been insolvent since 2019 and is
currently being held in a Jersey court for the closing proceedings.
According to the EBRD, as of July 2020, the Amulsar gold mine belongs to the
Canadian Lydian Ventures, in which the prestigious international financial
institution is not a shareholder.
The Armenian government issued Lydian a license to develop a mine in Armenia’s
central Vayots Dzor province in 2016. But the site has been blockaded by
environmental activists and local residents since May 2018 when a new government
was formed in Armenia following the ‘Velvet Revolution’.
Activists claim that mining at Amulsar poses a danger to the local eco-system.
They demand that a new environmental impact study be conducted and that Lydian’s
license be revoked. In March 2019, Lydian notified the Armenian government of a
potential international arbitration.
According to Sustainable Development Director of Lydian Armenia Armen Stepanian,
Lydian International had to get delisted on the Toronto Stock Exchange, and as a
result of this restructuring the EBRD lost its shares.
Stepanian described it as a consequence of “long-term lawlessness in Armenia.”
“When we talk about lawlessness and inaction, in fact, we mean that roads
leading to the mining site remain closed. A group of people has decided that
these roads should be closed and have doomed the other side to idling, and it
has lasted so long that a need for restructuring has emerged. Let’s call it a
financial model. The structure of the organization needed to be changed so that
activities could be continued. It is difficult to imagine a business that could
wait for a decision for 26 months. It would be naive to think that financial
problems would not arise as a result,” Lydian’s representative said.
At this moment the EBRD has no legal relations with the Amulsar mining project,
but the project will be implemented regardless of this circumstance, Lydian
Armenia stressed. “This, in fact, will not affect the activities of the company
and the quality of its work,” the company said.
Environmental activist Tehmine Yenokian, who is a resident of the Gndevaz
community adjacent to the Amulsar mine, said that she recently learned that the
EBRD was no longer involved in the Amulsar mining project. She said that 23
residents of Jermuk, a resort town in the Vayots Dzor province, had filed a
complaint with the EBRD Ombudsman’s Office, which, according to her, was
accepted for consideration on June 12. Yenokian said it is from the reply to the
complaint that they learned that the bank no longer had financial interests in
the Amulsar project.
The activist claimed that the future of the company looks even more uncertain
and risky for them now. “Our complaint only helped reveal this information,
which for six months was hidden from different important circles in Armenia,”
Yenokian said.
The activist believes that even if the existing obstacles are removed, at this
moment Lydian Armenia has no financial ability to operate the mine. Lydian
Armenia counters: “We will find it out when we start working again at our
previous capacity. Lydian Armenia is not part of any bankruptcy proceedings
today.”
Reprinted on ANN/Armenian News with permission from RFE/RL
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