Author: Emil Lazarian

Etisalat and Orascom lose outbid for AmenTel
ITP Technology, United Arab Emirates
July 31, 2006
by Alex Ritman
Etisalat has lost the bidding for Armenian fixed and mobile operator
ArmenTel. According to the Russian news agency ComNews, the 90% stake
currently held by Greek telco OTE will go to a consortium consisting of
India’s VTEL holdings and Knightsbridge Associates, and also believed
to include Sistema Group of Russia. The Russian company is thought
to be taking control of ArmenTel’s monopoly fixed-line business with
the Indian and Armenian side of the consortium taking responsibility
for its mobile operations.
Following OTE’s announcement that it was to sell its 90% stake in
April, 10 parties announced their interest, including Etisalat,
Sistema, MTC of Kuwait and Belgium’s Belgacom. In June, OTE reduced
the number of bidders to four, namely Vimpelcom and MTS of Russia,
an Etisalat-backed consortium, and the winning group.
While the amount of the winning bid is as yet unknown, the 90% stake
is estimated to be worth over US$300 million.
As of April 2006, ArmanTel had a fixed-line subscriber base of around
595,000 subscribers and a mobile subscriber base of around 320,000.
Egyptian operator Orascom has also missed an expansion opportunity,
losing out in the auction for Serbian mobile operator Mobi 63 in the
Balkan country’s largest state-owned asset sale. Mobi 63, which has
over two million subscribers, eventually went to Norway’s Telenor
for US$1.9 billion. Telekom Austria was also involved in the auction.
From: Emil Lazarian | Ararat NewsPress

Armenian foreign trade deficit grows 21% in H1
Interfax, Russia
July 31, 2006
YEREVAN. July 31 (Interfax) – Armenia’s foreign trade deficit increased
21.2% year-on-year to $513.5 million in the first half of 2006,
a source in the National Statistics Service told Interfax.
Foreign trade increased 12.6% year-on-year to $1.389 billion in
January-June. Exports dropped 0.6% to $437.7 million, while imports
grew 19.9% to $951.2 million.
Foreign trade turnover amounted to $2.79 billion in 2005, up 35.1%
from 2004. The trade deficit was $850 million. tj
From: Emil Lazarian | Ararat NewsPress

Matthew Bryza: Minsk Group’s proposals are rather acceptable for Armenia
Azeri Press Agency, Azerbaijan
July 31, 2006
Following the talks with Armenian President Robert Kocharian and
Foreign Minister Vardan Oskanyan in Yerevan on 29 July, the US
co-chair of the OSCE Minsk Group Mathew Bryza arrived in Khankendi
and had talks with head of the separatist regime Arkadi Gukasyan.
APA reports the US co-chair returning to Yerevan told the RFE/Radio
Liberty that Kocharian was quite open with him.
“The talks I had with him will help in preparing recommendations for
other co-chairs,” Matthew Bryza said.
The co-chair said the meeting with Kocharian even encouraged him to
continue this process. Stressing that there is a chance to reach
peace agreement in 2006, Mr.Bryza said he believes possibility of
working and achieving success in electoral period as well.
“The parties cannot demonstrate political will to make a trade-off,”
said Bryza adding that after meeting with Kocharian he realized
that the proposals offered by the Minsk Group are rather acceptable
for Armenia.
Commenting on the future status of Nagorno Garabagh, Bryza said the
co-chairs admit that the status of Nagorno Garabagh is to be determined
by its population, “Participation of the people, who lived there till
1988, in this process is the constituent part of a large peace plan.”
The US co-chair is paying a one-day visit to the Azerbaijani capital,
Baku tomorrow. He is due to meet with President Ilham Aliyev, Foreign
Minister Elmar Mammadyarov and head of the Azerbaijani community of
Nagorno Garabagh Nizami Bahmanov.
The US Embassy told the APA Bryza is not planning to hold a press
conference in Baku. The Minsk Group co-chairs will meet in Paris
early next week. The co-chairs mediating in the settlement of the
Nagorno Garabagh will discuss Bryza’s visit in the region./APA/
From: Emil Lazarian | Ararat NewsPress

ARKADY GHOUKASYAN: THERE WERE NO SERIOUS OBJECTIONS
DeFacto Agency, Armenia
July 31, 2006
After a meeting with the OSCE Minsk group U. S. Co-Chair Matthew Bryza
held July 29 Arkady Ghoukasyan informed the journalists that one of the
meeting’s principal items was the NKR’s participation in the talks. “I
believe Mr. Bryza realizes that the conflict cannot be settled without
Nagorno Karabakh. Not only he, but all the mediators are aware of the
fact. Sure, we discussed a number of other issues as well; however,
the issue of the NKR’s participation was the first on the agenda”.
In the course of the talk Arkady Ghoukasyan presented the NKR’s
official stand on various aspects of the problem. “I cannot say there
were serious objections on his part, as our approaches are logical,
and, naturally, were interesting for them. Naturally, due to the
negotiations’ confidentiality I cannot reveal all the details of
the talks; however, it is obvious that our position differs from the
approaches presented by the mediators to some extent. But I repeat
once again that I have not heard any serious objections”, the NKR
President stated.

Bryza: Elections Not Obstacle to Karabakh Talks
PanARMENIAN.Net
31.07.2006 15:04 GMT+04:00
/PanARMENIAN.Net/ OSCE Minsk Group U.S. Co-chair Matthew Bryza said
he still hopes that Presidents Ilham Aliyev and Robert Kocharian will
iron out their differences on the Nagorno Karabakh conflict in the
coming months on the most recent peace proposals of the OSCE Minsk
Group. “However I think it’s possible to work through an election
season and still make progress,” Bryza said in an exclusive interview
with RFE/RL.
He said he was assured by Kocharian that the Minsk Group plan is
essentially acceptable to Yerevan. “I enjoyed hearing his account
of where things stand and how we got here,” he said. “I felt a
constructive, candid attitude on his part. He was very open. And he
helped me think through what sort of recommendations I might bring
to my fellow co-chairs,” Mr Bryza remarked.
From: Emil Lazarian | Ararat NewsPress

Armenia Sent Humanitarian Assistance to Lebanon
PanARMENIAN.Net
31.07.2006 18:54 GMT+04:00
/PanARMENIAN.Net/ The humanitarian assistance rendered by the Armenian
government has been delivered to Lebanon via Syria. The 7.5-ton
humanitarian cargo includes 52 types of medical products and first-aid
means that can alleviate the pains of the Lebanese who suffered from
the Israeli bombings. The move by the Armenian government was broadly
covered by Lebanese media, reported the RA MFA press office.
From: Emil Lazarian | Ararat NewsPress

BRYZA CONTENT WITH PUBLIC DISCUSSIONS IN ARMENIA AND
AZERBAIJAN AROUND PROPOSALS PUBLISHED BY HIM
YEREVAN, JULY 31, NOYAN TAPAN – ARMENIANS TODAY. On July 29,
U.S. Deputy Assistant Secretary of State Matthew Bryza made his first
visit to Armenia as U.S. OSCE Minsk Group Co-Chair. Following his trip
to Yerevan, Bryza visited Stepanakert and Baku, this is mentioned in
the official report provided to Noyan Tapan from the Public Relations
Department of the Embassy of U.S. to Armenia.
“In Armenia, Matthew Bryza met with President Robert Kocharian and
Foreign Minister Vartan Oskanian. Bryza discussed the conflict in
Nagorno-Karabakh, noting that he was pleased to see so much public
discussion in Armenia and Azerbaijan about the Co-Chairs’ proposals,
which were made public by all three Co-Chairs at the OSCE Permanent
Council in late June. Bryza emphasized that the Co-Chairs remained
committed to engaging with the parties, but that the key next steps
must be determined by the presidents of Armenia and Azerbiajan. He
remarked that the Co-Chairs join with the presidents who participated
in the G-8 Summit in encouraging the Armenian and Azerbaijani
presidents to make the difficult decisions necessary to put the region
on a path towards peace,” the report read.
According to the report, following his visit to the region, Matthew
Bryza will brief his fellow Minsk Group colleagues on his meetings.
From: Emil Lazarian | Ararat NewsPress

TWO-DIGIT GROWTH IS A COMPROMISE BETWEEN GOVERNMENT AND ADMINISTRATIVE CRIMINAL RESOURCE
Lragir.am
31 July 06
The government of Armenia stopped taking pride in the rate of economic
growth in Armenia long ago. The president of Armenia has not cut red
tapes and visited factories for a long time. In fact, it does not
mean that there is no economic growth or the rate slowed down. By
official statistics, two-digit economic growth goes on, and in the
first half of 2006 it totaled over 11 percent. For the government this
has become something usual, however. So usual that they are already
ashamed of talking about it. Moreover, this shame has two levels. The
first is that the two-digit growth remains the decoration of tables
of a group of people. Hence, it is definitely inappropriate to feed
people with official statistical achievements for the simple reason
that people cannot eat it. After all, the elite must realize that it
is even disgusting to eat meat all the time, let alone numbers. It is
not a secret, however, that only one source of shame is hardly enough
to cause a feeling of discomfort among the Armenian government. It is
even too little. Fortunately, there is the second level, however. By
its two-digit rate Armenia is no longer a tiger in the region, or it
is not the only tiger in the region. Especially, compared with our
main rival, Azerbaijan. The GDP of Azerbaijan grew by 40 percent
in the first half of 2006. It is official statistics, of course,
but we have no reason to state that theirs is a lie, ours is not. In
other words, when the government continues supplying the public with
boring figures about the economic growth, it is sure to find itself
in a curious situation because they arouse a smile whenever they are
compared with the Azerbaijani indices.
Unfortunately, the government continues doing something. It continues
persuading the public that despite oil underlying the Azerbaijani
economy the state of Armenia is the best in the region. This thinking,
which is consistently instilled in the public, pursues an aim which is
clear. It “reassures” the public, guaranteeing unchangeable situation
for the government. Therefore, they have stopped feeding the society
with numbers, for it may cause the opposite reaction. They merely
reconcile them with the situation, in other words, they help to stomach
the figures. But it is the case when successful digestion may deeply
ruin the health of the public, and consequently the country. To stomach
this situation means to agree that the level of corruption, black
economy, protectionism that is now will persist. Therefore, generation
of economic growth becomes almost impossible, remaining on the same
sustainable level. As for the distribution of growth, it is impossible
due to the abovementioned vicious phenomena. Definitely, the same
situation is in Azerbaijan, and it would not cause worries if there
were not for the oil factor and 40 percent growth. According to the
Armenian government, this growth does not have a quality. Maybe. But
considering that the absolute volume of the Azerbaijani economy
exceeds the Armenian economy twice, we may say that 40 percent growth
of that economy is equal to 80 percent of economic growth in Armenia.
In other words, in this comparison we may conclude that the economic
growth in Azerbaijan exceeds Armenia nine times. And this quantitative
difference is sure to become qualitative advantage one day.
In such a situation this “reassurance” preached in Armenia and
reflected in the economic policy of the Armenian government directly
threatens national security. Export of several tons of apricots,
building of several elite buildings and use of several information
technologies is not economic quality. The underlying component of
the quality of economy is the possibilities of the persons who have
the wish and ability to participate in this economy. The quality
of the economy is its agents, consumers and producers, and their
relation generates growth. And the fact that economic growth in
Armenia is between 11 and 13 percent over the past 5-6 years shows
that the relationship between the agents of the economy is highly
conventional and highly limited. And if there is a non-quality economy
both in Armenia and in Azerbaijan, it is clear that quantity will
be deciding. And if everything relies on the quantity, it is clear
in what situation Armenia may appear in several years, despite the
quality of elite apartments. It seems that it should be clear for the
government because only the lazy do not say that Armenia should launch
real economic reforms and democratization of the public life to oppose
to oil. This point seems indisputable, and it can be the only path when
the society will not argue with the society. However, the Armenian
government prefers not to argue with the administrative criminal
resource and make a compromise over 11-13 percent growth. In this
case, there is no way out other than that the Armenian society wage
a liberation war for the economy. After all, we defeated Azerbaijan,
and it reports 40 percent economic growth. Let us imagine what a rate
of growth we would report if we defeated ourselves.
JAMES HAKOBYAN
From: Emil Lazarian | Ararat NewsPress

NKR Foreign Ministry: The current format of negotiations
does not reflect the core of the conflict
Yerkir.am
July 28, 2006
The talks for Nagorno-Karabakh are not an end in itself but the NKR
authorities stand ready to discuss any issue that would not violate the
interest of the Karabakh people and threaten its security, NKR Foreign
Minsiter Georgy Petrossian said during his meeting with Vice Speaker
of the British Parliament’s House of Lords Baroness Caroline Cox.
“The Nagorno Karabakh conflict is a complicated one, as a great number
of interests are coming into collision here, which acquire a special
urgency from the standpoint of the recent events in the region and
in the world on the whole,” Georgy Petrossian said.
The Minister noted that the existing format of the negotiations on the
Karabakh conflict settlement did not reflect the core of the conflict.
“Unfortunately, today, the mediators focused their attention not on
the essence of the conflict but on the liquidation of the conflicts’
consequences. We emphasize once more that without the participation
of Nagorno Karabakh – the most suffered party to the conflict,
the achievement and realization of any agreements are impossible,”
Georgy Petrossian said.
From: Emil Lazarian | Ararat NewsPress

Prisoners laugh
Yerkir.am
July 28, 2006
We have already informed our readers that on the initiative of
“Samvel Baghdasarian” LLC the Armenian government has officially
declared April 1 as the day of humor and satire.
This company in cooperation with the Armenian Union of Satirists have
always been trying to bring humor and satire into our daily lives
even before the official day of humor was declared. The importance
of humor cannot be overestimated in our extremely politicized society
that carries the burden of social dissatisfaction.
Samvel Baghdasarian and his colleagues perform in all regions of
Armenia as well as in Stepanakert. They organized a competition of
satiric works.
Over 60 authors participated in this competition. The winners’ works
received prizes and were staged by different satirist actors. Samvel
Baghdasarian has recently come up with an interesting initiative. With
the assistance of the Ministry of Justice and personal assistance
from Prime Minister Andranik Margarian the Armenian humorists are
performing in penitentiary institutions. Such a performance was held
at Erebuni Penitentiary institution on July 25.
Head of Erebuni Penitentiary Tigran Navasardian told us that after
years of non-operation and staying empty the institution’s club hall
s currently under renovation. Therefore, the performance was held at
the institution’s cafeteria. The performance was a great success. The
actors were more than satisfied with outbursts of laughter accompanying
the performance.
“I used to think that since the prisoners are isolated from the
society they might fail to understand some of the jokes,” Baghdasarian
says. “Because at least to understand political humor and parodies they
would need to be following the developments of social and political
life. However, yesterday’s and today’s performances showed that this
is not the case.”
The prisoners and the staff of the penitentiary were laughing at
the jokes. Director of the institution Tigran Navasardian informed
that the last time a cultural event was held at the penitentiary was
in 2005 when Armenian singers had a performance here.
The performances will continue in similar institutions in Abovian,
Yerevan and Sevan. Through their performance the actors were sending
a message to the prisoners – a message of patience, law obedience
reminding them that their relatives and families were waiting for
them beyond the barbed wire. Laughter has a great impact on people
and we can assume that the impressions of this performance will stay
with the prisoners for a long time.
H.Y.
From: Emil Lazarian | Ararat NewsPress