Author: Nalbandian Eduard

INTEREST RATE UPTREND IN ARMENIA’S BANKING SYSTEM

ARKA
Sep 30, 2008

ARMAVIR, September 30. /ARKA/. Armenia’s banking system is recording
an uptrend in interest rates Ararat Ghukasyan, the General Manager
of Conversebank, told reporters in Armavir yesterday, commenting upon
the influence of similar international trends on Armenia.

"The rise in interest rates will depend on the efficiency of the steps
the countries take to improve the international situation," he said.

Vache Gabrielyan, the Deputy Chair of the Central Bank of Armenia
(CBA), had earlier stated the interest rate changes will depend on
the banks’ financial sources.

The CBA is consistently increasing interest rates. The current annual
refinancing rate is 7.75% against 5.75% early this year. The CBA also
increased the interest rates on deposits attracted from banks from
2.75% to 4.75% and on collateral loans from 8.75% to 10.75%.

The REPO market is recording an uptrend in interest rates as well.

OurSports Central (press release), WI

Earthquakes Lose to Real Salt Lake 3-2 Saturday Night

09/28/08 – Major League Soccer (MLS) San Jose Earthquakes

¢ Discuss this story on the Major League Soccer message board…

SANTA CLARA, Calif. — Major League Soccer’s Western Conference is
getting crazier by the day, and the San Jose Earthquakes and Real Salt
Lake did their best to add to the insanity on Saturday night, with
Real claiming a priceless 3-2 victory in an action-packed affair at
Buck Shaw Stadium. Real’s Yura Movsisyan and the Quakes’ Darren
Huckerby traded goals in each half, but it was RSL midfielder Javier
Morales who had the last word, scoring on a curling free kick in the
59th minute to put the visitors ahead to stay.
The result saw Real earn only their second road win of the season
while dealing a crippling blow to the Quakes’ playoff hopes. The
result also ended San Jose’s unbeaten streak at nine games.

Real got off to a dream start in the third minute, when Morales picked
out Movsisyan with a ball over the top, and after faking Nick Garcia
to the ground, the Armenian coolly slotted home past Quakes’ keeper
Joe Cannon for a 1-0 lead.

The Quakes spent the next 20 minutes jawing with RSL players as well
referee Paul Ward over what the home side perceived was some overly
physical play. Real were also having success from the run of play, as
they looked dangerous whenever they isolated the speedy Movsisyan
against Garcia or Eric Denton.

But San Jose got back in the game in the 23rd minute, when a long pass
from Ryan Cochrane sprung Huckerby in the clear, and he responded with
a composed finish of his own to level matters.

The Quakes thought they had pulled ahead 10 minutes later. Ned
Grabavoy was hauled down by Real defender Jamison Olave just outside
the box, with the Colombian getting a yellow card for his
troubles. Scott Sealy then fired home a rebound from Ronnie O’Brien’s
free kick, but was adjudged to have been offside.

Tempers were frayed further just five minutes later when Real defender
Nat Borchers was booked for hauling down Arturo Alvarez from behind.

After being on the back foot for most of the half, Real nearly pulled
ahead in the 43rd minute. Another long ball over the top saw Movsisyan
break the offside trap. Cannon saved the RSL forward’s initial effort,
and Cochrane then cleared Movsisyan’s rebound attempt off the line.

The Quakes came even closer to going ahead three minutes into
first-half stoppage time, when Cochrane nodded Huckerby’s corner kick
off the crossbar.

San Jose picked up where they left off to start the second
half. Huckerby began the sequence with a run down the left wing, and
when the ball fell to Alvarez, he responded with a cheeky backheel to
Huckerby that saw the Englishman rifle home from 20 yards.

The lead last all of two minutes however, as yet another long ball
over the top to Movsisyan sprung him on another breakaway, and he
lofted his shot over the advancing Cannon, making the score 2-2.

Morales then notched the game-winner in the 59th minute by bending a
25-yard free kick past Cannon and into the upper right hand corner.

In a bid to get back into the match, Quakes’ manager Frank Yallop
brought on Ryan Johnson and Shea Salinas for Grabavoy and
O’Brien. Real head coach Jason Kreis responded by replacing Clint
Mathis with Robbie Findley, and it was the latter move that paid near
immediate dividends, as Findley’s bullet header from a Morales cross
forced a sharp save from Cannon in the 72nd minute.

San Jose nearly equalized in the 78th minute when Huckerby’s corner
kick found Jason Hernandez at the far post, but RSL ‘keeper Nick
Rimando was able to parry his header wide.

That was as close as the Quakes would get, and it was Real who walked
off the field with their playoff hopes enhanced.

BAKU MEDIA REPORTS ON YEREVAN’S AGREEMENT TO TURKEY’S MEDIATION ABSURD

PanARMENIAN.Net
27.09.2008 13:34 GMT+04:00

/PanARMENIAN.Net/ Armenia’s stand on resolution of the Nagorno Karabakh
conflict is unchangeable, the RA Foreign Ministry’s representative
said.

"Resolution of the conflict is only possible in the framework
of the OSCE Minsk Group, without additional mediators," head of
media relations division Tigran Balayan told a PanARMENIAN.Net
reporter. "Azeri media reports about Yerevan’s alleged agreement to
Turkey’s mediation are absurd," he added.

Earlier today, Bakililar.AZ news agency reported that "Yerevan gave
green light to Turkey’s joining the negotiation process." "Armenian
Foreign Minister Edward Nalbandian welcomed Ankara’s intermediary
initiative," it said.

Foreign Minister of Armenia, Azerbaijan and Turkey held their
first-ever trilateral meeting during UN General Assembly’s 63rd
session.

YEREVAN PRESS CLUB WEEKLY NEWSLETTER

SEPTEMBER 19-25, 2008

HIGHLIGHTS:

"PRESS CLUB" AND "PRESS CLUB+" ON AIR OF "YERKIR MEDIA" AGAIN

THE US STATE DEPARTMENT ABOUT FREEDOM OF RELIGION: BROADCAST MEDIA CONTINUE
TO LABEL RELIGIOUS GROUPS OTHER THAN THE ARMENIAN APOSTOLIC CHURCH AS
"SECTS"

"ARARAT" INSTEAD OF "NOR ALIK"

RAFIK HOVHANNISIAN AWARDED THE TITLE OF JOURNALIST EMERITUS

ROMAN ZAKIAN PASSED AWAY

"PRESS CLUB" AND "PRESS CLUB+" ON AIR OF "YERKIR MEDIA" AGAIN

>From September 24 a cycle of "Press Club" shows restarted on air of "Yerkir
Media" TV company. It is produced by Yerevan Press Club with support of the
Open Society Institute Human Rights and Governance Grants Program. "Press
Club" will be aired on Wednesdays, at 23.00. The discussion subjects of
representatives of state structures, political parties, NGOs and media will
be actual Armenian social-political issues.

On September 24 the guests of the "Press Club" host, the President of
Yerevan Press Club Boris Navasardian, were the deputy of RA National
Assembly, member of the Council of Republican Party of Armenia Karen
Avagian, leader of the parliamentary faction "Heritage" Armen Martirosian,
and observer of "Golos Armenii" newspaper Marina Mkrtchian. Participants of
the show discussed the obligations of Armenia before the Council of Europe
and implementation of PACE Resolutions 1609 "The Functioning of Democratic
Institutions in Armenia" and 1620 "The Implementation by Armenia of Assembly
Resolution 1609 (2008)".

>From September 27 another YPC program cycle, "Press Club+", will be on air
of "Yerkir Media" again. It is supported by the Embassy of Great Britain in
Armenia. Every Saturday on 17.40 the participants of the talk show will
discuss the problems of development of local self-administration in Armenia.

"Press Club" and "Press Club+" are also broadcasted by a number of regional
channels of Armenia.

THE US STATE DEPARTMENT ABOUT FREEDOM OF RELIGION: BROADCAST MEDIA CONTINUE
TO LABEL RELIGIOUS GROUPS OTHER THAN THE ARMENIAN APOSTOLIC CHURCH AS
"SECTS"

On September 19 International Religious Freedom Report of the US Department
was released. The report was prepared by the Bureau of Democracy, Human
Rights, and Labor, and covers the period from July 1, 2007 to June 30, 2008.

In the part of the report devoted to Armenia it is particularly said that
”Government generally did not enforce existing legal restrictions on
religious freedom", and "the Constitution provides for freedom of religion
and the right to practice, choose, or change religious belief".

While speaking about the restrictions on religious freedom, the authors of
the report pointed out that in May and June 2008 "the progovernment "Hayots
Ashkhar" and "Golos Armenii" daily newspapers published anti-Semitic and
anti-Masonic accusations against former president and current opposition
leader Levon Ter-Petrossian". "Local observers viewed the inflammatory
articles as attempts to portray the opposition leader as a traitor to the
country and stir up anti-Semitic sentiment in a country traditionally known
for its welcoming attitudes toward Jews", stressed the US Department report.

On June 1, 2008 the First Channel of Public Television of Armenia "broadcast
a 10-minute segment on its weekly "360 Degrees" news magazine program, the
sole focus of which appeared to be to disparage and undermine the
opposition": "The footage incorporated the anti-Semitic and anti-Masonic
attacks by ‘Hayots Ashkhar’ and ‘Golos Armenii’."

On February 27, 2008, after the presidential elections, "Haylur" news
program of PTA First Channel presented a coverage of a post-presidential
election opposition rally, "focusing primarily on an Israeli flag – one of
many nations’ flags in the crowd – with the intention of vilifying
Ter-Petrossian, whose wife is Jewish".

"Media outlets continued to label religious groups other than the Armenian
Church as "sects" in their broadcasting and transmitted negative programs
about them. Various television stations broadcast discussions in which
representatives of the Armenian Church and/or other participants labeled
religious minority groups as enemies of the state and national unity",
emphasizes the part of the US Department International Religious Freedom
Report devoted to Armenia.

"ARARAT" INSTEAD OF "NOR ALIK"

On September 21 broadcasting of a new channel of the Public Television of
Armenia "Ararat" started. This twenty-four-hour culture channel is aired
instead of the PTA youth channel "Nor Alik".

RAFIK HOVHANNISIAN AWARDED THE TITLE OF JOURNALIST EMERITUS

On September 17 by the decree of the RA President Serge Sargsian, political
observer of "Armenia" TV company Rafik Hovhannisian was awarded title of
Journalist Emeritus. This reward for his fruitful work of many years was
timed to the 17th anniversary of declaration of independence of Armenia
celebrated on September 21.

ROMAN ZAKIAN PASSED AWAY

On September 22, at the age of 72, Roman Zakian, the head of Illustration
Department of "Respublika Armenia" newspaper, suddenly passed away.

Yerevan Press Club expresses sincere condolences to the friends and family
of Roman Zakian.

When reprinting or using the information above, reference to the Yerevan
Press Club is required.

You are welcome to send any comment and feedback about the Newsletter to:
[email protected]

Subscription for the Newsletter is free. To subscribe or unsubscribe from
this mailing list, please send a message to: [email protected]

Editor of YPC Newsletter – Elina POGHOSBEKIAN
_____________________________________ _______
Yerevan Press Club
9B, Ghazar Parpetsi str.
0002, Yerevan, Armenia
Tel.: (+ 374 10) 53 00 67; 53 35 41; 53 76 62
Fax: (+374 10) 53 56 61
E-mail: [email protected]
Web Site:

FROM SAN REMO TO TSKHINVALI…
By Tatul Sonentz-Papazian

23 sept 08

A time span of almost a century separates two historic events involving
two cities thousands of miles apart geographically, yet connected
historically by that invisible thread spun by secret diplomacy —
an insidious thread that, while defying time and distance, still
defers to the rules of cause and effect, as the present crisis in
Georgia illustrates with all the brutal trappings of war.

World War I, that unprecedented blood bath that was to mark the end of
the decaying Anciens regimes ended not in peace, but in an ‘Armistice’
in 1918, followed by a frenzy of overt and covert diplomatic activity,
with new imperial appetites for hegemony honed by the enticing smell
of crude oil.

Thus, Preceding the peace treaty between the Ottoman Empire and the
Allied Powers, signed in Sèvres, France, the Treaty of Versailles was
signed with Germany to annul the German concessions along with economic
rights and enterprises. After the February Conference of London, in
April, 1920, the Great War Allied Supreme Council held a conference in
San Remo, Italy, attended by the Prime Ministers of Britain, France,
Italy, and the Ambassador of Japan; they determined the allocation of
League of Nations mandates for administration of former Ottoman-ruled
lands of the Middle East – largely based on the May 1916 Anglo-F rench
Sykes-Picot agreement and the Balfour Declaration of November 1917.

The present mess in that region of the world and its environs can
be directly traced to the predatory appetites of the ‘Great Powers’
initiating and participating in those conferences that created the
arena where the mighty would ‘legally’ dismantle, rearrange and
dominate the weak — setting ‘inviolable’ ‘national’ boundaries
in the process… An effective process of a recycled colonization,
that, soon after, the emerging Soviet Union would apply within its
own whimsical internal boundaries, setting the scene for the endemic
ethnic tensions and sporadic armed clashes we are now witnessing in
Russia’s ‘Near Abroad’.

With such a lusty "Circus Maximus" atmosphere as a background, it
is hardly surprising, that the August 10, 1920 Treaty of Sèvres —
verbally exuding unshakeable faith in Wilsonian idealism and vision
for a new world order — would soon be set aside to make room for
the disgraceful Treaty of Lausanne, particularly, since on the very
same date – August 10, 1920 – Great Britain, France and Italy were
secretly signing a "Tripartite Agreement" confirming Britain’s oil
and commercial concessions and turning the former German enterprises
in the Ottoman Empire over to a Tripartite corporation.

Actually these three major powers, as early as 1915, while the Armenian
Genocide had entered into full swing, had secretly started planning the
partitioning of the Ottoman Empire not along ethno-national borders,
but the hard line economic interests of the ‘Great’ powers. The Russian
revolution and the Kemalist movement disrupted their expectations and
drove them to sign the hastily assembled Lausanne Treaty – without
the ratification of the United States — to keep Turkey’s Eastern
borders intact, as a buffer against a possible Bolshevik incursion
into Anatolia and eventually into an economically and politically
unsteady Europe.

The solemn promises made to the Armenians, who had fought on the
Allied side throughout the entire war were forgotten, along with
promises made to the Kurds, the Pontus Greeks and the Assyrians,
opening the way to a second round of the on-going Turkish genocidal
ethnic cleansing process against the non-Turkic populations of Western
Armenia, Kurdistan and Cilicia. Strangely enough, Georgia, who threw
her lot with Germany and the Central Powers, ended up with Armenian
Javakhq and other non-Georgian territories as part of her mini-empire,
and to this day, insists on masquerading as a nation state – apparently
hoping to achieve that status through her own insidious programs of
various forms of ethnic cleansing with the chauvinistic slogan of
"Georgia for the Georgians" as her credo.

The present debacle in South Ossetia , with its historic background
and recent events cunningly distorted and misrepresented in hackneyed
Cold War rhetoric by a large segment of the Western news media leads
to only one conclusion, that after the stultifying decades of past
brainwashing – both Western and Eastern — it is almost impossible to
hope for a fair and enlightened world public opinion. Against such a
polluted background, aggravated with the present economic and political
anomalies caused by a runaway globalism shirking all known criteria,
certain anachronistic ‘state’ boundaries, considered sacrosanct in
spite of their historically criminal origins, will continue to stand
in the way of realizing true peace and harmony among nations.

It is high time for countries like Georgia and Turkey to realize that
there are other national entities than just Georgians and Turks within
their still imperial boundaries, set by brutal acts of genocide and
ethnic cleansing – covertly conceived and made binding by predatory
forces engaged in secret diplomacy.

–Boundary_(ID_/VLuCvC78PHWLXmqrK5T4w) —

SERZH SARGSYAN RECEIVED THE CONCESSIVE MANAGER OF ARMENIAN RAILWAY SYSTEM, PRESIDENT OF "RUSSIAN RAILWAYS" VLADIMIR YAKUNIN

ARMENPRESS
Aep 19, 2008

YEREVAN, SEPTEMBER 19, ARMENPRESS: Armenian President Serzh Sargsyan
received today the concessive manager of the Armenian railway system,
president of the "Russian Railways" company Vladimir Yakunin and the
delegation headed by him.

Armenian presidential press service told Armenpress that the
interlocutors discussed the current state of the Armenian railway and
development prospects. Noting that Armenia has great expectations that
under the management of Russian company it will be re-equipped and
become an effectively functioning infrastructure, President Sargsyan
at the same time underscored the transparency of its activity and
control of the investment program.

Vladimir Yakunin said that the Russian side is now registering the
property of the whole system and analyzes the situation for increasing
the efficiency of management. He guaranteed the full and on-time
implementation of the commitments.

During the meeting the sides also referred to the issue on alternative
ways of communication.

OSCE MINSK GROUP CO-CHAIRMEN TRY TO ORGANIZE MEETING OF FOREIGN MINISTERS OF AZERBAIJAN AND ARMENIA: FRENCH CO-CHAIRMAN

TREND News Agency
Sept 18 2008
Azerbaijan

Azerbaijan, Baku, 18 September /corr. Trend I.Alizade / The Co-chairmen
of the OSCE Minsk Group on the Nagorno-Karabakh conflict settlement
plans to organize the meeting of the Foreign Ministers of Azerbaijan
and Armenia within next session of the UN General Assembly in New
York. Today I will negotiate with other Co-chairmen – Matthew Bryza
and Yuri Merzlyakov – to attentively coordinate this meeting, the
French Co-chairman of the OSCE Minsk Group, Bernard Fassier, who
arrived in Azerbaijan via Armenia, said on 19 September.

The conflict between the two countries of South Caucasus began in 1988
due to territorial claims by Armenia against Azerbaijan. Armenia has
occupied 20% of the Azerbaijani land including the Nagorno-Karabakh
region and its seven surrounding Districts. Since 1992, these
territories have been under the occupation of the Armenian Forces. 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 USA) are currently holding peaceful negotiations.

This meeting was planned at the meeting of the Foreign Ministers of
Azerbaijan and Armenia at the beginning of August in Moscow. In order
to prepare for this meeting, we planned joint mission of Co-chairmen
approximately in the mid September, said Fassier. He said that firstly
it is necessary to assess the new situation occurred in South Caucasus:
It is impossible to regulate the conflict only with one side. The
events of the recent weeks actually changed many factors in the entire
situation in the region. Fassier also said that it is necessary to
thoroughly assess as each side itself assesses these changes.

After the drama with Georgia, all in the region must understand that
the Co-chairmen were right when they said that there is no different
version except the peaceful settlement of conflict. War is suicide for
all, for those, who could gain victory and also for those, who would
lose it, he said.The Co-chairman stated that he intends to meet with
the President of Azerbaijan, Ilham Aliyev, the Minister of Defense
of Azerbaijan, Safar Abiyev, and also the with the Religious Leader
of all Moslems of Caucasus, Allahshukur Pashazade.

RA CONTROL CHAMBER REVEALS VIOLATIONS OF 1.3 BILLION DRAMS IN 5 OUT OF BODIES AND PROGRAMS SUBJECT TO CONTROL IN FIRST HALF OF 2008

Noyan Tapan

Se p 17, 2008

YEREVAN, SEPTEMBER 17, NOYAN TAPAN. In the first half of 2008, the RA
Control Chamber revealed various financial violations of a total of
1.3 billion drams (about 4.3 million USD) in 5 out of the bodies and
programs subject to control: the RA ministry of agriculture, the RA
ministry of urban development, the Syunik regional administration,
the communities of Syunik marz, and the World Bank-financed City
Heating Project. The chairmman of the Control Chamber Ishkhan Zakarian
announced this at the September 17 press conference. Some materials
will soon be sent to the prosecutor’s office.

"Some state officials will be punished, and the state losses will be
recovered without fail," he said.

According to I. Zakarian, various violations of about 240 million
drams concerning the use of allocations from the 2008 state budget for
the implementation of programs were revealed at the ministry of urban
development. In particular, checks showed violations of 2.1 mln drams
from the sale of several vehicles of the ministry, and violations of
14 billion drams in construction work. Upward distortions of nearly
171 million drams were discovered in 26 out of the 213 repaired
facilities checked selectively, which, as I. Zakarain said, means
"payments against work which was not done, it is a gross violation,
and this money should be paid back to the state budget."

The CC also revealed the fact that fines and penalties of 6.5
million drams for delayed work were calculated but not levied by
the ministry for transfer to the state budget. The CC found out some
cases of inflating door and window prices, as well as cases of causing
damage to the state during implementation of the Apartment Purchase
Certificate program due to inefficient activity of the State Urban
Development Inspection.

Violations of a total of 284 million drams were revealed by inspection
of a number of programs implemented by the ministry of agriculture
in 2007 (in particular, programs on the cleaning of river beds
and the reinforcing of river banks, and on construction of border
check points), as well as by examination of the activities of some
institutions (state nonprofit organizations) under the jurisdiction
of the ministry.

By the conclusion of the Control Chamber, the WB-financed City Heating
Project is a failure. To substantiate this opinion, I. Zakarian
gave as an example the fact that only 193 poor families out of the
envisaged 4,000 were supplied with heating in 2006-2007. He said
that this project to be completed in the autumn of 2009 will be in
the center of their attention.

POWER DISTRIBUTION IS EXPECTED AFRESH IN THE CAUCASUS REGION

PanARMENIAN.Net
16.09.2008 GMT+04:00

The question of "who-whom" has never been so seriously put in the
South Caucasus region.

Leaders and regional countries, which are trying to solve their
problems at the expense of Armenia and Nagorno-Karabakh, have lately
demonstrated great "enthusiasm" in the process of the Nagorno-Karabakh
conflict regulation. The USA, France and Russia (co-chair countries)
are solving their problems too, just on a global scale. The US
Administration is presently in a rush: in a few months President
Bush’s office term comes to an end, and after seven years of failure
he needs at least a minor diplomatic victory.

/PanARMENIAN.Net/ The regional visits of Mathew Bryza, US
representative of the OSCE Minsk Group, prove the above-mentioned
statement. In order to influence the conflicting parties, US applies
to "the stick and the carrot" policy. However, it is unclear what
is being offered to each of the conflicting sides. If in the case
of Armenia "the stick" is the assistance offered for the opening of
the Armenian-Turkish border, it would more easily pass under "the
carrot". Things are quite clear with Azerbaijan – oil, oil and once
again oil. As usual, Nagorno-Karabakh, which has been enthusiastically
declaring about its right over its own fate, has been overlooked in
the Â"marketÂ", which is, by the way, untimely and out of place. After
all, this conflict is not between Armenia and Azerbaijan, but between
Nagorno-Karabakh and Azerbaijan. And the "peacemakers" should take
it into consideration.

As President of the European Union, France is determined to
register itself in the body of regulation of the seventeen-year-old
conflict. However, everyone is eager to settle the conflict based
on the reality that can be traced back 20 years, before the USSR
breakdown. The regional map has considerably changed ever since,
but the mediators still harp on the same old story.

As usual Russia’s activities directly oppose to the US interests. The
question of "who-whom" has never been so seriously shaped in the
South Caucasus region. The reckless move of the Georgian President in
South Ossetia proved to be gainful to Russia and tripped up the USA
and EU. The situation was so beneficial to Baku that it decided not
to speed up the proceedings. Strange as it may seem, there came en
end even to Ilham Aliyev’s statements about the "the Azeri patience
that might give out one day." Moreover, after his meeting with RF
President Dmitry Medvedev Ilham Aliyev declared that in spite of all
the difficulties, there exist good prerequisites for the conflict
regulation. "In case the conflict is settled in the near future,
new perspectives would open for cooperation. We are neighbours and
neither of us is determined to leave the region. So, we should search
for mechanisms of efficient cooperation," Aliyev said. Meanwhile
some well-informed sources claim that in the conversation of the two
presidents Russia expressed the idea of refusing to support Armenia
and affirmed its determination to sell weapons to Baku at current
prices. It is not difficult to guess what it could mean for Armenia:
all the petrodollars will go to Russia’s Treasury. In exchange for
it Azerbaijan will offer its oil and gas pipelines for the Russian
hydrocarbon.

The idea that "anyway, Armenia will stick to Russia" still dominates in
the RF. "Armenia has no other ally in the region. In case we recognize
Nagorno-Karabakh we’ll have to break up relations with Azerbaijan
and Turkey. The Nagorno-Karabakh conflict should be settled through
long-term negotiations in the presence of the Armenian, Azerbaijani,
Turkish and Russian sides," declared Alexander Sotnichenko, senior
lecturer at St. Petersburg State University.

With such turn of events the Nagorno-Karabakh conflict will never be
settled. The more "peacemakers", the longer the process will last. The
OSCE Minsk Group still keeps the conflict regulation from further
discussions but its resources are almost exhausted. In all probability
this was the reason that Turkey and Iran decided to break into the
regulation process and show the world who the real power-holder is.

"The Caucasus region has important points for convergence but
developments during the past month caused many problems for the
region," Iranian Foreign Minister Manouchehr Mottaki declared in
a joint press conference with his Armenian counterpart, Edward
Nalbandian, in Tehran. Mottaki noted that Iran, as a neighbor to
the Caucasus region, made a proposal on consultation among regional
countries with the aim of drawing up strategies for cooperation.

The minister added that the current visit by the Armenian foreign
minister to Tehran was a good opportunity to complete a phase of
negotiations on the Iranian proposal. "Iran and Armenia share common
interests and stances on regional developments," Mottaki said. He
also expressed Iran’s readiness to mediate between neighboring Armenia
and Azerbaijan over the Karabakh issue.

Thus, Turkey’s position is already known to us. It is determined to
join the OSCE Minsk Group. And the reflection of Turkey’s initiative
on Armenia and Nagorno-Karabakh is quite clear too. Apparently,
fresh power distribution should be expected in the region.

–Boundary_(ID_OgslE7T7PYY5wuW2y79H1w)–

MEDVEDEV AND ALIYEV DISCUSS GEORGIA
By Anatoly Medetsky

The Moscow Times
Sept 17 2008
Russia

President Dmitry Medvedev said Tuesday that he briefed his Azeri
counterpart, Ilham Aliyev, on Russia’s policies regarding Georgia,
a common neighbor, during a meeting in Moscow.

The visit took place as Russia’s neighbors are reassessing their
relations with Moscow in the wake of its brief war with Tbilisi and
recognition of two separatist Georgian provinces as independent states
last month.

The two presidents discussed Azerbaijan’s own breakaway region of
Nagorno-Karabakh, which is backed by Armenia, they said. Medvedev
voiced support for direct talks between Azerbaijan and Armenia, while
Aliyev said he saw "good prospects for the situation to improve,"
Interfax reported.

Armenian President Serzh Sargsyan and Medvedev have met twice this
month, in Sochi and during a meeting of the Collective Security
Treaty Organization.

Aliyev said problems in the region must be resolved through dialog and
extolled his country’s relations with Russia. "If everybody had such
neighborly relations as Russia and Azerbaijan have, not only conflicts,
but also misunderstandings wouldn’t take place at all," he said.

Medvedev visited Azerbaijan on July 3 in one of his first foreign
trips as president, underlining the priority that Moscow has given
to ties with the energy-rich country. Gazprom chief Alexei Miller
made an offer then to buy Azeri gas at market prices.

Medvedev said Tuesday’s discussions involved energy cooperation. A
spokeswoman for Gazprom could not say immediately whether the company’s
offer to purchase Azeri gas made any progress at the talks.

Azerbaijan, which seeks a balance between the United States and
Russia in its foreign policy, has yet to respond to the energy
offer. U.S. Vice President Dick Cheney went to Baku on Sept. 3 to
reiterate that his country wants more Azeri oil and gas to bypass
Russia on its way to international markets.

Medvedev and Aliyev met to discuss relations under the new conditions
set by the conflict with Georgia and Western criticism of Moscow,
said Vladimir Zharikhin, deputy director of the CIS Institute, a
think tank that studies the loose group of former Soviet republics
known as the Commonwealth of Independent States.