Author: Badalian Vardan

CENTRAL BANK OF ARMENIA LIFTS INTEREST RATE FURTHER AS INFLATION ACCELERATES
by Venla Sipila

World Markets Research Center
Global Insight
April 7, 2008

The Board of the Central Bank of Armenia (CBA) in their 2 April meeting
decided to lift the CBA’s annual refinancing rate by a further 25
basis points, ARKA News reports. This move takes the main policy rate
to 6.5%. The interest rate was increased by a similar magnitude in
March as well as February, having been left unchanged in January. The
Board indicated that high and accelerating inflation in international
food markets over the first quarter of the year has been reflected
in Armenian food prices, further leading to rising cost of non-food
goods and services.

Indeed, ARKA News further reports that consumer prices in Armenia in
March increased by 1.4% month-on-month (m/m), leading to the annual
inflation rate shooting up to 9.6%. The corresponding rates in February
registered 1.1% m/m and 7.5% year-on-year (y/y). Compared with the
end of 2007, Armenian consumer prices increased by 4.8% by the end of
March, further data from the National Statistical Service show. The
CBA board pledges gradual further tightening of monetary and credit
policy in order to contain near term inflationary pressures, to allay
inflation expectations and to counteract the secondary effects that
risk arising from the external inflation forces. Armenian consumer
price inflation ended year 2007 at 6.6%, averaging 4.4% for 2007
(see Armenia: 2 January 2008: ).

Significance:The CBA’s inflation-targeting policy has proved relatively
successful over recent years, even if implying strong appreciation of
the dram exchange rate, in conditions of strong foreign remittance
and FDI inflows. However, over March, the exchange rate of the dram
against the U.S. dollar was reported to have remained virtually stable,
while the first quarter of the year witnessed weakening of the dram. In
addition to Armenian inflation being pushed upwards from the cost side
due to high prices of food, also demand side price pressures persist,
as the robust GDP growth has proved somewhat more reluctant to cool
than we previously expected. Domestic demand is partly boosted by
fiscal spending.

Adding these recent overheating signs to the effect of persistently
high food and energy prices, inflation pressure in Armenia is likely
to remain considerable in the near term, making achieving the target
specified by the CBA at 4% (with 1.5% on either side) a challenging
task.

ARMENIAN CONSULATE OPEN IN THE HAGUE

armradio.am
07.04.2008 17:10

According to RA Foreign Minister’s order, from March 1 a Consulate of
Armenia was founded in the Hague, the consular area of which includes
the whole territory of the Kingdom of Netherlands.

Connected with some technical matters, the Consulate was in the stage
of organization, and it will start to fully operate on April 9.

Beeline brand comes into operation in Armenia

PanARMENIAN.Net
07.04.2008 15:38 GMT+04:00

/PanARMENIAN.Net/ Beeline trademark was officially presented in
Armenia on April 7, VympelCom’s vice president for development of
business in CIS Dmitry Pleskonos told reporters in Yerevan today.

The brand will be presented by ArmetTel, VympelCom’s subsidiary in
Armenia, the 7th country where Beeline launches its brand.

"ArmenTel’s inclusion in the group of companies working with
Beeline trademark is a serious achievement for our international
brand and an important step in aspiration to join world leaders in
the field. Providing services under a common brand is logical and
understandable for consumers," Mr Pleskonos said.

"New-designed SIM-cards and recharge cards will be put on sale from
April 7. All contracts will remain valid," he said. "Launching the
brand in Armenia we are introducing the experience gained during many
years of work in various countries. At that, we want to preserve the
best ArmenTel traditions allowing for peculiarity of the Armenian
market."

According to Interbrand Zintzmeyer & Lux AG consulting company,
Beeline’s cost reaches $7,2 billion. VypelCom has branches operating
in Russia, Kazakhstan, Ukraine, Tajikistan, Uzbekistan, Georgia and
Armenia. It’s the first Russian company included in the NYSE VIP
stock list.

FayObserver.com, NC
April 5 2008

No law bars Kevorkian from try for Congress

Catherine Pritchard

Q: I heard that Dr. (Jack) Kevorkian is running for Congress. How can
he do that? He’s a felon. – B.W., Southern Pines

A: That doesn’t bar him from running for Congress. Nor would it bar
him from serving there, if he were elected.

Under the U.S. Constitution, members of Congress must meet just three
qualifications – a minimum age (25 for House members and 30 for
senators); a minimum length of U.S. citizenship (seven years for
House members and nine years for senators); and, at the time of
election, they must be living in the state they represent.

Kevorkian is 79 and a lifelong U.S. citizen. He lives in Michigan,
the state he says he wants to represent in Congress, so he’s good to
go.

The states can set different rules for their own offices.

Under North Carolina’s Constitution, for example, members of the N.C.
House and N.C. Senate must be `qualified’ voters in this state, and
felons are barred from voting in North Carolina unless they’ve had
their citizenship rights restored.

Note: In this state, general citizenship rights are automatically
restored to a felon once he (or she) is unconditionally discharged
from prison, probation or parole, whichever applies. (There are other
situations permitting restoral, too.)

Note 2: That restoral doesn’t affect North Carolina’s prohibition
against felons owning guns.

Back to Kevorkian: He’s on parole for his 1999 conviction of
second-degree murder. The retired pathologist is a long-time advocate
of physician-assisted suicide for terminally ill patients. Between
1990 and 1998, according to him, he participated in more than 100
such suicides.

He has said that in all but one instance – the last – the patients
tripped the machines that led to their deaths. He hooked them up to
it.

In 1998, he administered a lethal injection to 52-year-old Thomas
Youk, who was suffering from Lou Gehrig’s Disease. Youk was
physically unable to commit suicide and asked Kevorkian to give him
the lethal injection.

Before that, Kevorkian had been tried four times on assisted-suicide
charges. Three of those trials ended in acquittal and one in a
mistrial.

In the Youk case, he was tried and convicted of a charge of
second-degree murder. Kevorkian was released on parole in 2007 on the
condition that he never help anyone else to die. He was also barred
from caring for anyone who’s older than 62 or disabled.

Kevorkian, an independent, would face eight-term Republican incumbent
Joe Knollenberg in the race and Democrat Gary Peters.

Q: Where can I buy a child’s beanie with a musical rotating propeller
on top? I urgently need one. – B.C., Foxfire Village

A: Uh oh. We don’t know.

If it’s any help, we can point you to places where you can buy
nonmusical beanies with propellers. Check sites such as
GeekCulture.com, Amazon.com and eBay.com.

DISCUSSIONS ON NAGORNO-KARABAKH IS POSSIBLE BETWEEN GOVERNMENT AND OPPOSITION IN AZERBAIJAN

Trend News Agency
April 4 2008
Azerbaijan

Azerbaijan, Baku, 3 April / corr. TrendNews G. Jabiyev/ The
oppositional Democratic Party of Azerbaijan (DPA) believes that
there are similar opinions in both the Azerbaijani Government and
the Opposition regarding the solution of the Nagorno-Karabakh conflict.

"We believe that discussions should be held on the Nagorno-Karabakh
issue and the common principles should be agreed upon," Sardar
Jalaloglu, the DPA chairman and the candidate for presidency from
the party said to TrendNews on 3 April.

The Resolution on Situation in Occupied Territories of Azerbaijan was
adopted by UN in March. Both the Government and Opposition strongly
condemned the fact that the member states of OSCE Minsk Group voted
against the document.

Jalaloglu said that these similar opinions should be advanced for
discussion. "In addition, the Council of Europe is expected to exert
pressures on Azerbaijan regarding the internal issues of the country.

DPA believes that the agreement should be reached in this regard as
well," Jalaloglu said.

According to Mubariz Gurbanli, the Deputy Executive Secretary of
ruling Yeni Azerbaijan (New Azerbaijan) Party and MP, there are no
serious dissent between the Azerbaijani Government and the Opposition
on the Nagorno-Karabakh issue. "We are ready for discussions," he said.

The conflict between the two countries of the South Caucasus began
in 1988 due to Armenian territorial claims against Azerbaijan. Since
1992, Armenian Armed Forces have occupied 20% of Azerbaijan including
the Nagorno-Karabakh region and its seven surrounding districts. In
1994, Azerbaijan and Armenia signed a ceasefire agreement at which
time the active hostilities ended. The Co-Chairs of the OSCE Minsk
Group ( Russia, France, and the US) are currently holding peaceful
negotiations.

STATEMENT OF OSCE MINSK GROUP CO-CHAIRS

A1+
03 April, 2008

BUCHAREST, 3 April 2008 – The Co-Chairmen of the OSCE Minsk Group
released the following statement today:

"On the margins of the NATO summit in Bucharest on April 2-4, 2008,
the Co-Chairs of the OSCE Minsk Group, Ambassador Yuri Merzlyakov
(Russian Federation), Ambassador Bernard Fassier (France), and
Deputy Assistant Secretary of State Matthew Bryza (United States),
and the Personal Representative of the OSCE Chairman in Office,
Ambassador Andrzej Kasprzyk, met with Azerbaijani President Ilham
Aliyev and Armenian Prime Minister and President-elect Serge Sargsian,
together with their Ministers of Foreign Affairs, Elmar Mammadyarov
and Vartan Oskanyan.

"The two leaders and the Co-Chairs exchanged views on ways to reduce
differences between the sides and forge consensus on the Basic
Principles for the Peaceful Settlement of the Nagorno-Karabakh (NK)
Conflict.

"The Co-Chairs reiterated their support for the territorial integrity
of Azerbaijan and reaffirmed their longstanding view that a peaceful
resolution of the conflict will require a negotiated political
compromise on the final status of NK, pending the future approval of
its population.

"The two leaders and the Co-Chairs agreed to continue the negotiations
on the existing basis, further clarify the current proposal on the
table, and pursue additional steps to advance the peace process. For
that purpose, the mediators underscored the utility of meetings at
the highest level between the sides as soon as possible."

NA PRESIDENT MET WITH PARLIAMENTARY COMMISSION OF CE PRESIDENT

Panorama.am
17:11 03/04/2008

Today the chairman of the National Assembly Tigran Torosyan met with
the president of the parliamentary commission of the Council of Europe
Luis Maria de Pucchi. According to the official web site of the NA the
key point of the discussion was the activities of democratization in
Armenia, presidential elections, post elections situation, and the
proposals of the PCCE in this regard.

Tigran Torosyan highly evaluated the balanced approach and
announcements of the PCCE concerning the recent situations in Armenia
signifying the importance of CE role and mission in the salvation of
those problems. He also highly evaluated John Prescott’s leadership
during those days. He said that in Prescott’s report the elections
and the post election period were clarified and not mixed. As for the
changes in the RA law on "Conducting meetings rallies, demonstrations"
he said that as soon as the article was accepted they sent it to
the Venice Commission and received appropriate comments. But another
meeting-discussion will be held on 15-16 April on this regard.

The president of the PCCE said that the Council of Europe is
really concerned with the post election situation in Armenia and
said that they are longing to establish democracy and justice in
Armenia. According to the president Armenia is a member country of
the Council of Europe and the commission will do what is possible to
reestablish the stability and democracy in the country.

TURKISH CITIZENS OF CYPRUS TO COMMEMORATE THE GENOCIDE

AZG Armenian Daily
03/04/2008

Armenian Genocide

The progressive parties of the Turkish Cypriotes are for the first
time to commemorate the victims of the Armenian Genocide on April
24. "Noyyan Tapan" news agency reports that the name of the main
speaker of the event will be announced next week.

ZHARANGUTIUN PRESENTS ITS VISION OF COMING OUT OF STRAINED POST-ELECTORAL SITUATION TO HEAD OF AGO GROUP

Noyan Tapan
April 1, 2008

YEREVAN, APRIL 1, NOYAN TAPAN. During the April 1 meeting with the
delegation of the Council of Europe Committee of Ministers Monitoring
Ago Group, the members of the RA National Assembly Zharangutiun
(Heritage) faction presented the strained post-electoral situation
in RA and their vision of coming out of it. Issues related to the
RA Constitutional Court’s decision on challenge of the results of
elections, the dictate of unbiassed and many-sided investigation
of the March 1 tragic events, changes in the legislative sphere
limiting human rights and basic freedoms, protection of rights of
people arrested for their political views were discussed at the
meeting. The Zharangutiun members attached importance to the ways of
overcoming the legal-political crisis, which have been stipulated in
the party’s statement voiced lately.

The same day Per Sjogren, the Head of the Ago Group, the Ambassador
of Sweden to PACE, met with Raffi Hovannisian, the Chairman of the
Zharangutiun faction. Challenges and further tasks connected with
fulfilment of commitments assumed by Armenia towards the Council of
Europe, in particular, connected with exclusion of legal and political
arbitrariness to their own citizens, were discussed.

According to the report of the Zharangutiun party office,
R. Hovannisian met with Todor Marinov Staykov, the Ambassador of
Bulgaria to Armenia, and Charles Lonsdale, the Ambassador of United
Kingdom to RA, on April 1 in the National Assembly.

IN JANUARY-FEBRUARY BUDGET PROFICIT IS 5.2 BILLION DRAMS

Panorama.am
19:04 31/03/2008

The revenues of the state budget 2008 of Armenia in January and
February is 99.1 billion drams and expenses 93.9 billion drams. The
information is provided by the ministry of finance and economy. Thus
in an accountable time period the proficite of the budget is 5.2
billion drams.

According to the source those results provided 66.2% and 53.6% of
the three-month hold project affirmed by the RA Government.

Compared with the same months last year the revenues of the budget
increased by 19.2% or approximately by 16 billion drams.

The tax revenues of the state budget of 2008 in January-February
formed more than 78.8 billion drams and provided the three-month
project by 66.8%.

According to the same period in last year the current revenues
increased by 30% or 18.2 billion drams.