New MG OSCE Co-Chairs Will More Often Communicate With Stepanakert

NEW MG OSCE CO-CHAIRS WILL MORE OFTEN COMMUNICATE WITH STEPANAKERT

/PanARMENIAN.Net/
29.07.2009 19:11 GMT+04:00

/PanARMENIAN.Net/ MG OSCE CO-Chairs replacement contains a number of
messages directed to NKR conflict parties, Head of Eurointegration
social organization Karen Bekaryan told a news conference in Yerevan.

"Publication of Madrid principles is among those messages. By
publicizing them, Co-Chairs let parties know they have no problems with
each other and unproductiveness in negotiations can’t be explained
by assumed problems between Co-Chairs. Besides, the CO-Chairs meant
to brief Armenian and Azeri societies on the format and basic points
of negotiations," Armenian expert emphasized.

He added that by replacement of Co-Chairs mediators meant to show
their lack of satisfaction with work conducted and a need for more
drastic measures. According to Bekaryan, will more often communicate
with Stepanakert. "Co-Chairs will try to demonstrate NKR is informed
of the process and involved in negotiations. This will last till NKR
actually becomes a negotiating party."

Dwelling on MG OSCE American Co-Chair Matthew Bryza’s statements on
compromising, Armenian expert emphasized that US diplomat is already
envisioning continuation of his career in Baku, for which he’s trying
to provide a breeding ground.

Armenian Defense Minister: Armed Forces Of Armenia Will Further Act

ARMENIAN DEFENSE MINISTER: ARMED FORCES OF ARMENIA WILL FURTHER ACT IN CONFORMITY WITH THE CALL OF THE TIMES AND FULFILL THEIR DUTY WITH HONOR

ArmInfo
2009-07-30 15:10:00

ArmInfo. Over 4,000 officers graduated from military educational
establishments in Armenia equally share the responsibility of the
Armenian Armed Forces Command, Armenian Defense Minister Seyran Ohanyan
declared at the military parade on the occasion of the 15th anniversary
of Vazgen Sargsyan Military Institute in Yerevan on Thursday.

The minister said the military educational establishments in Armenia
have become full-fledged and serve their duty. "Scientific development
have significantly reduced the space and time of military actions and
the role of a highly professional specialist mastering up-to-date
technologies have significantly grown," the minister said. Seyran
Ohanyan is sure that the graduated students of military establishments
in Armenia will contribute to progress of the country’s armed force
by new ideas. "Today our army successfully protects the borders of
the country and is ready to counteract any challenges due to the
high attention of our president and the people to the army", Seyran
Ohanyan said.

The minister highlighted the necessity for human resources policy
to replenish the armed forces with high- skilled officers who
received modern education. "Military educational establishments of
the Defense Ministry and the establishments in abroad as well as the
Armenian Medical University, the Pedagogical University and the State
Conservatory after Komitas contribute to settlement of this important
task", the minister said.

Seyran Ohanyan congratulated all the graduated students and assured
the Supreme Commander that the armed forces will further act in
conformity with the call of the times and fulfill their mission in
protection of peaceful life of the Armenian people.

Will Turkey Pass From Words To Deeds In The Near Future?

WILL TURKEY PASS FROM WORDS TO DEEDS IN THE NEAR FUTURE?
Lena Badeyan

"Radiolur"
29.07.2009 17:59

It turns out that the world had not provided Turkey with unlimited time
to thing over the normalization of the Armenian-Turkish relations. The
deadline grows closer, and it is evidenced by Armenia’s harsh position.

"Armenia states very clearly that this semi-deceptive, semi-
propagandistic process can substitute a real process. I think that
in the near future we should witness such steps," President of the
European Integration NGO Karen Bekaryan told a press conference today.

Karen Bekaryan assures that Turkey need the relations with Armenia no
less than us. First of all, it is the first precondition for knocking
at the door of the European Union.

Karen Bekaryan predicts that in a short period of time it will
become clear whether there will be a pass from words to deeds or
not. According to him, it’s Turkey that has found itself in a hard
situation. The expert predicts a two-month break in the process of
settlement of the Karabakh issue connected with the change of the
two mediators.

The expert refrained from predicting what changes are expected in
the negotiation process after the change of the co-chairs. However,
he compared it with the change of lawyers in order to win time.

Sarkisian Reaffirms Conditions For Turkey Visit

SARKISIAN REAFFIRMS CONDITIONS FOR TURKEY VISIT
Karine Kalantarian

Armenialiberty.org
tml
July 28 2009

Armenia’s President Serzh Sarkisian insisted on Tuesday that he will
not travel to Turkey in October to watch the return match of the two
countries’ national football teams unless Ankara moves to reopen the
Turkish-Armenian border.

Turkish President Abdullah Gul extended a relevant invitation to
Sarkisian after paying a historic visit to Yerevan in September
last year, during which the two leaders jointly attended the first
Turkey-Armenia game. The so-called "football diplomacy" ushered in
a Turkish-Armenia rapprochement that left the two historical foes on
the verge of normalizing their strained relations earlier this year.

"Given the existing situation, we certainly expect to witness soon
constructive steps with which our [Turkish] partners would try to
create a proper environment for the return visit of the president of
Armenia," said Sarkisian. That means taking "real steps" to honor
Turkish-Armenian agreements reached during the year-long dialogue,
he said.

"That is, I will leave for Turkey if we have an open border or stand
on the brink of the lifting of Armenia’s blockade," added the Armenian
leader.

The remarks reflected Sarkisian’s frustration with Turkey’s failure so
far to unconditionally establish diplomatic relations and reopen its
border with Armenia despite concessions made by him. Yerevan insists
that the Turks dropped their preconditions for normalizing bilateral
ties during months of fence-mending negotiations.

However, Prime Minister Recep Tayyip Erdogan and other Turkish leaders
have repeatedly said in recent months that the Turkish-Armenian border
will remain closed as long as the Nagorno-Karabakh conflict remains
unresolved. The statements came both before and after the Turkish and
Armenian governments’ April 22 announcement that they have identified a
"roadmap" to the normalization.

The announcement came on the eve of the annual remembrance of more than
one million Armenians massacred by the Ottoman Turks during World War
One. The timing is believed to have made it easier for U.S. President
Barack Obama to backtrack on his pledges to officially recognize the
massacres as genocide.

Critics accuse Sarkisian of willingly sacrificing U.S. recognition
of the Armenian genocide without securing the lifting of the 16-year
Turkish blockade. They have also condemned his apparent acceptance of a
Turkish proposal to form a panel of historians that would look into the
1915 mass killings and deportations of Armenians in the Ottoman Empire.

Sarkisian issued his latest warning to Ankara after talks with
Serbia’s visiting President Boris Tadic. He said he briefed Tadic on
his Western-backed diplomatic overtures to Turkey.

Sarkisian said the two leaders agreed on the need for a peaceful
resolution of ethnic disputes in the Balkans and the South Caucasus
"in accordance with the principles and norms of international law." "We
believe that there are no universal ways of solving conflicts," he
told reporters. "Every conflict has its own history, causes and its
own unique course."

It was an apparent rejection of parallels between the conflicts over
Nagorno-Karabakh and Kosovo, a breakaway Serbian region that has
been recognized as an independent state by much of the international
community. Kosovo’s secession in strong support for the principle of
territorial integrity voiced by Serbian leaders.

Tadic himself has called for the application of that principle to
the Karabakh dispute in the past. With journalists not allowed to
put questions to either president, it was not clear if he stands by
that statement.

Also, Serbia was one of the few European nations that voted in March
2008 for a UN General Assembly resolution that upheld Azerbaijani
sovereignty over Karabakh and demanded an "unconditional" Armenian
withdrawal from occupied Azerbaijani territories.

http://www.azatutyun.am/content/article/1787478.h

Cases Of Karapetian And Pelivan As Morality Check For Obama Adminstr

CASES OF KARAPETIAN AND PELIVAN AS MORALITY CHECK FOR OBAMA ADMINISTRATION RADIO FREE EUROPE TO FACE EUROPEAN COURT OF HUMAN RIGHTS
By Hrant Darbinian

AZG Armenian Daily
29/07/2009

Human Rights

There is less foreign detainees placed in legal vacuum at the
U.S. naval base on Guantanamo, Cuba, than foreign journalists deprived
of legal protections by the U.S. Radio Free Europe/Radio Liberty in
Prague, Czech Republic. Still remaining at Guantanamo 228 foreign
inmates, are considered to be "enemy combatants" dangerous to the
United States. Void of legal defenses foreign journalists at RFE/RL
were on April 5th personally prized by Obama’s Secretary of State
Hillary Clinton for their contribution to "a broad international
agreement with values that respect human dignity, individual rights
and responsibilities". Is it cynicism, insensitivity, immorality?

Guantanamo v. RFE/RL There are differences, of course. It is, first of
all, the degree of sincerity. Inmates at Guantanamo were never promised
the protection of American laws. Guantanamo, notes the New York-based
Center for Constitutional Rights, was "intended to hold individuals
outside of the rule of domestic or international law". At Guantanamo,
the purpose was brutally honest. The intention of RFE/RL and its
governing Federal Agency in Washington, the Broadcasting Board of
Governors (BBG), to the contrary, was fraudulently deceptive. Foreign
employees of RFE/RL, which broadcasts in 28 languages to 21 countries,
have uniform employment agreements "governed by the applicable laws
of the United States, the laws of the District of Columbia, or the
policies of the Company". Sounds good.

The problem is that, unlike American citizens, the foreigners
hired by RFE/RL, the U.S. company abroad, are, by American law,
exempt from legal protection in the United States – regardless of
what their employer served them in work contracts. They are, to use
the expression of respectable Czech newspaper Lidove noviny, the
"rightless aborigines" hired by "colonial power". After protracted
litigation, Czech courts accepted the position represented by RFE/RL:
the Czech labor law does not protect foreign journalists who signed
the contracts governed by American law (inapplicable) also. In plain
language: they are in legal vacuum with no defense in any national
courts, American or Czech.

As we reported earlier (AZG, #86), U.S. Attorney General Eric Holder
has been officially requested by two former RFE/RL employees to open
criminal investigation of the fraudulent personnel practice of BBG and
RFE/RL. Anna Karapetian, an Armenian citizen, and Snjezana Pelivan, a
Croatian, who, as foreigners, cannot challenge unmotivated terminations
of their employment in the American Equal Employment Opportunity
Commission, American and Czech courts, are asking Obama’s Minister
of Justice to look into their rightless status intentionally hoaxed
by RFE/RL. The same no-rights-to-foreigners status have hundreds of
their former colleagues hired in Prague by American "human rights"
radio – Iranians, Russians, Arabs, Ukrainians, Georgians, Uzbeks,
Azeris, Byelorussians, etc. Instead of contractually promised to them
protection by American laws, they are exposed only to wishy-washy
"policies of the Company". It means: to be fired at any time,
without prior warning, without any stated reason, regardless of
family situation or health condition, positive performance reviews
notwithstanding, with no preliminary disciplinary measures applied (if
deserved), with no severance unless one gives up in writing the right
to question the termination. Just as Anna Karapetian, the mother of
three minors, and Snjezana Pelivan were fired. At different times but
in the same fashion – arbitrary. And in total contradiction to Czech
laws protective to the weaker party in labor relations – to employee.

Court Cases Against RFE/RL as Failure in Public Diplomacy The
Center for Constitutional Rights, a non-profit legal and educational
organization, calls Guantanamo "the human rights disaster". By the
same token, BBG and RFE/RL can be called a human rights hoax. But they
also are what Guantanamo was never meant to be – a highly visible
tool of American public diplomacy. In that capacity they failed
miserably. Their failure is multilingual, international, public,
thunderous, and with no end in sight.

Lawsuits against RFE/RL brought in Czech courts by Anna Karapetian and
Snjezana Pelivan received an unprecedented media echo – in Russian,
English, Czech, Armenian, Serbo-Croatian. The list of negative media
publications is virtually endless. Here are some headlines, to mention
but a few: "Czech Sovereignty Ends at RFE/RL", "Free Europe With Its
Own Laws in Colonial Czech Republic?", "Radio Liberty Betrays its
Ideals", "Radio Free Europe – Guantanamo in Prague", "Equality With
Precondition. Practice of Free Europe Contradicts Its Ideals", "From
Human Rights Show to Human Rights Court", "Public Disaster Instead
of Public Diplomacy", "Prague Spring of 2009 Leads to Strasbourg",
"U.S. Attorney General is Asked to Investigate Fraud at RFE/RL",
"Doomsday of Radio Liberty. From Double Standards to Double Morals?",
"New Administration Must Undo RFE/RL Anti-Diplomacy Abroad", "BBG,
RFE/RL: Bring Public Diplomats Instead of Public Bureaucrats",
"Don’t Feed Kremlin’s Public Diplomacy With U.S. Public Hypocrisy",
"A Sense of Betrayal", etc.

The most devious anti-American mind would not be able to design
such an international media campaign devastating to RFE/RL and,
by natural extension, to American image and trustworthiness abroad,
as the American RFE/RL managed to cause on its own.

It is worth to note that this already incessant media coverage of the
lawsuits only precedes the actual submission of legal claims against
RFE/RL to the European Court of Human Rights in Strasbourg. Snjezana
Pelivan whose case is the first to go to Strasbourg, will formally
apply to the European Court by September 16th as dictates the European
Conventions for the Protection of Human Rights and Fundamental
Freedoms. Karapetian’s application will follow. Predictable: the
avalanche of indignant media voices in support of discriminated
colleagues will follow too. Their tenor is just as easily predictable
(see above): hypocrisy, betrayal of ideals, violation of human rights,
lawlessness, double standards, moral disaster, fraud, cynicism.

On June 3rd, an authoritative American website "Understanding
Government" called for out-of-court settlements of "the unfortunate
and unpopular legal disputes" that cause "headaches for the Obama
Administration and especially for Secretary of state Clinton", and
reported: "The Croatian and Armenian governments are supporting their
lawsuits" (in Strasbourg – H.D.). It makes the international scandal
perfect. Incidentally, Board of Directors and National Advisory Council
of "Understanding Government" includes, among other prominent names,
two former White House press secretaries, Pulitzer prize winners,
former state governors, Harvard and Yale University professors.

BBG, RFE/RL: Blind, Deaf, and Illiterate?

But who are they – those myopic American officials who manage BBG
and run RFE/RL with such a harm to not only the institutions to them
entrusted, but also to ethical standing of the American Congress
that provides them with public dollars, and to moral integrity of
Obama Administration?

Concerning BBG that yearly distributes close to 700 million dollars to
all U.S. non-military broadcasters worldwide, including RFE/RL, the
most realistic answer is bewildering and disheartening. It may sound
as the line from a B-rated horror movie, but BBG, which according
to the latest official survey is ranked as the worst place of work
in American government, practically does not exist. At present,
it is a host Agency. Service terms of all eight BBG members assigned
still by President Bush, have expired. Four of them, including the BBG
chairman, long ago had left the chairs. The remaining four are working
on temporary extensions. Collectively, they may form a decision able
quorum only together with Hillary Clinton. As the serving Secretary of
State, she is an ex officio the ninth, i.e. presently the fifth member
of BBG. However, as American media notes, Clinton is represented at
BBG meetings (if any) by her Undersecretary for Public Diplomacy and
Public Affaires Judith McHale who is new in the government.

Still, are they all blind to see, deaf to hear, illiterate to
read what’s going on around RFE/RL in Europe? Of course, they are
not. But do they really care after expiration of their tenure? And is
Mrs. McHale, a novice at the very beginning of her tenure, daring and
bold enough to push for the revision of fallacious RFE/RL personnel
policies established by BBG? Evident answer to those questions
is "no". Evident result of that answer is "damage". Damage to
reputation of RFE/RL as institution of public diplomacy, damage to
ethical standing of U.S. Congress, damage to moral trustworthiness
of Obama’s White House with its promises to show the world "the best
face of America".

But what about RFE/RL president Geffrey Gedmin? Cannot he himself
stop the scandalous lawsuits against his organization by simply
offering fair out-of-court settlements? Was not he disturbed even by
unprecedented in RFE/RL history recent plenary hearings on the Radio’s
discriminative personnel policies held by Czech parliament? Or is
it him who is blind, deaf, illiterate? Hardly. He permanently writes
and speaks, signs correctly formulated collective letters about the
importance of human rights in American politics — and requests more
money. Is he too passive to act? Not at all. For instance, last May
he traveled to Byelorussia and then let it be known how he was upset
because president Lukashenka did not accept him. Well, Lukashenka,
just as Fidel Castro earlier, also did not accept the Czech senator
Jaromir Stetina who personally protested the trampling on human rights
in Byelorussia and Cuba. Such are they, antidemocratic presidents. But
why RFE/RL president did not even bother to answer the letter of the
same senator Stetina who, alarmed by media reports of human rights
violations at RFE/RL, asked him, Geffrey Gedmin, to look personally
into the court cases brought against the Radio, in order "to protect
the reputation and integrity of RFE/RL in the Czech Republic"? How to
explain that? In his book "Dreams from My Father" published fourteen
years ago Barack Obama wrote how he learned "to disdain the blend
of ignorance and arrogance that too often characterized Americans
abroad". Belongs Mr. Gedmin to that breed? Questions… The simple
truth is that, whatever the answers are, RFE/RL president is simply a
powerless representative figure, for RFE/RL major personnel policies
are formulated by the Office of Human Resources of BBG and not by
the Human Resources Department of RFE/RL.

The vicious circle is closed here. The court cases of Snjezana Pelivan
and Anna Karapetian remain open.

Hospitality Could Be Expensive. To the Host RFE/RL became a litmus
paper and moral test for Obama Administration. It is natural, even
mandatory for modern-days American presidents to speak about rule
of law and human rights – be it Richard Nixon, George Bush or Barack
Obama. It is not easy for any American president to follow human rights
compass in daily political decisions and practical actions – as was
amply demonstrated by Jimmy Carter, the champion of well-meant human
rights pronouncements. But it is rather immoral to tolerate glaring
violations of human rights by American institutions established and
financed by public money in order to further and support the broad
spectrum of human rights. Unfortunately, it seems that six month
after Obama’s inauguration, such is the case of hypocritical RFE/RL
and virtually defunct BBG neglected by U.S. Department of State.

On June 17th, Washington Post wrote that President Obama is
preparing the list of new BBG appointees for approval by the Senate,
as prescribed by the International Broadcasting Act. The newspaper
expects that BBG soon will be reset into working mode. By today,
however, the hearings on BBG assignments are not in the work schedule
of the Senate Foreign Relations Committee.

In the meantime, it is the Obama’s government, in particular his
Secretary of State as the member of not only BBG but also RFE/RL Board
of Directors, that is able (and probably should) act without further
procrastination: to stop by prudent peaceful offer the court cases
against irresponsible and impotent RFE/RL before they reach European
Court of Human Rights. Ever broadening international scandal already
at hand, may be only exacerbated by the fact that it is the hospitable
to RFE/RL Czech Republic that will be formally sued in Strasbourg for
tolerating on its territory Guantanamo-like human rights violations
by American human rights institution. What a sad irony!

Turkish police arrests 200 members of Islamist group

Turkish police arrests 200 members of Islamist group
24.07.2009 21:05 GMT+04:00

/PanARMENIAN.Net/ Turkish police arrested nearly 200 people in
early-morning raids Friday in 23 cities as part of an operation
against a militant Islamist group.
Police targeted suspected members of the Hizb-ut-Tahrir, which backs
the creation of a world Islamic state and the application of Sharia
law.
Turkish police regularly investigate and make arrests among the
country’s more militant Islamic community, in particular searching
groups or individuals linked to Al-Qaeda.
The authorities blame a local cell of Al-Qaeda for the November 2003
attacks against two synagogues, the British consulate and a branch of
HSBC Holdings PLC (HBC), which killed a total of 63 people, the
Anatolia news agency reported.

RA Justice Ministry Denies Detainee Beating

RA JUSTICE MINISTRY DENIES DETAINEE BEATING

/PanARMENIAN.Net/
23.07.2009 23:02 GMT+04:00

/PanARMENIAN.Net/ The Armenian Ministry of Justice refuted Haykakan
Zhamanak newspaper’s publication on beating of a detainee in the
pre-trial prison on July 23. The paper said that while its journalists
were attending Nikol Pashinyan, one of Armenian opposition leaders,
sounds of beatings were heard in the room next door.

The Ministry responded that during a confrontation of two detainees
a quarrel started between them.

Turkishness Is Not Always Delightful

TURKISHNESS IS NOT ALWAYS DELIGHTFUL

Worldfocus
2009/07/24/turkishness-is-not-always-delightful/64 46/
July 24 2009

A pilot, two presidents and Kurdish claims in IraqEthnic Nubians
live on the margins in KenyaStateless for my first ten yearsTibetan
refugees seek livelihoods in Ladakh, IndiaBurmese refugees rounded
up and sold in Malaysia What is statelessness?Naxalite rebellion
menaces the heart of IndiaTune in: Online radio show on Uighur unrest
in ChinaKosovo refugees left lives behind at the borderHaitians in
Dominican Republic face racism, discrimination

Amid reports that Turkey may soon unveil reforms intended to quell
tensions with the country’s Kurdish minority, Turkey is moving ahead
with its bid for European Union membership.

Conflict in Turkey’s Kurdish southeast has claimed 40,000 lives.

Selma Å~^evkli is a freelance reporter currently based in Bodrum,
Turkey. She describes how the country has struggled to define its
"Turkum," which translates as Turkishness.

In 2005, Turkish lawmakers made it a crime to insult Turkey or
Turkishness. Until last year, criticizing Turkishness was even
punishable with up to three years in prison. Even as Turkey moves
forward in the process of acceding to the European Union, it has
moved further into its nationalistic bubble.

Article 301 of the Turkish Penal Code — criminalizing insults against
"Turkish identity" – was used famously to incriminate writer Orhan
Pamuk for accusing the Turkish government of complicity in murdering
30,000 Kurds and one million Armenians. The law has since been used
to indict publishers, journalists and novelists. Our freedom of speech
is hampred by our undying nationalistic political culture.

Turkish flags at a 2006 demonstration in Istanbul.

What is Turkishness? Is it a sort of nationality? A form of
ethnicity? Or the name of one specific citizenship? As almost one-third
of Turkey’s population consists of Kurds who are legally referred to
as Turkish, the question has become increasingly significant.

As I was researching secular Turkish nationalism for my graduate
thesis, my first question to the people I interviewed was "What is
Turkishness?" The answers varied widely, but for many people, it was a
race or ethnicity. My second question asked whether Turkishness should
include other ethnic groups in Turkey — Kurds, Armenians, Greeks
and many other smaller groups. After all, who qualifies as a Turk?

Turkish nationalism has been integral to the official discourse in
Turkey since the beginning of the Turkish Republic in 1923. But for
most of Turkey’s history, we have largely pretended that all our
citizens are ethnically Turkish. The various ethnic and religious
minorities have generally been ignored, forced to emigrate or
assimilate. The issue of Turkish nationalism only became visible when
the Turkish state was compelled to assess its ignorance and change
its policies toward minorities — in soliciting an invitation to join
the EU.

For many years, there was a total ban on Kurdish language and
culture, as well as political pressure and economic restrictions in
the Kurdish-populated region of the country. But things are changing
now. Turkish state TV established a channel that broadcasts in Kurdish,
which is a major departure from the language ban. Significant violence
is ongoing, though less intense than ten years ago. It seems that
policies dealing with cultural rights are making a difference.

Kurds are finally moving one step forward in Turkey, even though it
is largely symbolic. Other minorities are not mentioned as much as
the Kurds in the media, since their numbers are not as significant
and they do not assert their rights as aggressively.

The Turkish state is suffering from its enduring ignorance
towards other ethnic groups and an inability to adapt itself
to the contemporary world. Although political reforms and new
cultural policies seem to indicate a gradual shift, there needs to
be a sea change in order to implement reforms more effectively and
sincerely. For one thing, minorities should be mentioned in history
class as essential parts of Turkey — instead of cited as national
enemies. Patient and devoted, Turkey’s minorities have chosen to be
a part of this country, and so it is time to recognize their rightful
place in our society.

– Selma Å~^evkli

The views expressed by contributing bloggers do not reflect the views
of Worldfocus or its partners.

http://worldfocus.org/blog/

Armenia’s Economic Decline Continues

ARMENIA’S ECONOMIC DECLINE CONTINUES
Ruben Meloyan

Liberty
rticle/1783079.html
July 22 2009
Armenia

Armenia’s economy has continued to decline for the sixth consecutive
month this year, according to the preliminary data released by the
National Statistics Service.

The data show the country’s Gross Domestic Product contracting by
16.3 percent in the first half of this year. The Armenian economy
contracted by 15.7 percent in January-May 2009. It was growing at
double-digit rates as recently as in September, just before the
outbreak of the global financial crisis.

The economy was primarily dragged down by the construction slump,
which was down by as much as 54.5 percent in January-June from the
same period of 2008. The more-than-threefold month-on-month growth
reported in Armenia’s once booming construction sector in June did
not resulted in a dramatic reversal of macroeconomic statistics.

Prime Minister Tigran Sarkisian told the Kapital business daily that
the deepening of the economic decline in the first half of the year
was not an unexpected development for the government.

"We have said before the publication of the figures that a high
economic growth was registered during the six months of last year,
as a result of which the decline during the same period of this year
would be steep," said Sarkisian.

Earlier this month Sarkisian said that he saw at least three scenarios
of developments for the economy in 2009 and did not exclude that the
economy could contract by as much as 20 percent this year.

"From now on, we need to consider at least three scenarios of
developments," Sarkisian said during an international economic forum
in Yerevan on July 7. "One is that we will have a [GDP] decline
of 9.5 percent; the second one is that it will make up 16 percent;
and the third one is that we will have a 20 percent decline."

According to former Central Bank Chairman Bagrat Asatrian, the
continuing decline in Armenia’s economy reveals the ineffectiveness
of government actions.

"Today we bear the consequences of the failure of the government
to make decisions in the middle of last year. The government must
apologize that we now live by a program that envisages a 9 percent
economic growth," Asatrian told RFE/RL.

The economist, however, said the economic decline could slow down by
the end of the year.

"One of the factors is the inflow of large financial means, which
will somewhat redress the situation in construction," said Asatrian,
predicting an overall economic decline in 2009 at 13-14 percent.

According to the data reported for the first six months of 2009,
imports exceeded exports in Armenia almost five times and the negative
balance of trade totaled more than $1 billion.

Asatrian called the situation ‘alarming’, considering the sharp
increase of Armenia’s foreign debt in the past several months.

"As a result of this year we will have a foreign debt that will exceed
our exports about three or four times. This is already a terrible
thing. In fact, we are supposed to clear our debts by borrowing. We
may borrow from foreign countries or from our compatriots abroad in
the form of cash remittances. These remittances, however, are not
money that we earn," said Asatrian.

Artur Stepanian, head of the Central Bank’s Monetary Policy Department,
said that forecasts about a tangible reduction of cash remittances
were made still last year.

"At the end of last year and at the beginning of this year we assessed
that a 30 percent reduction in cash remittances would take place. The
forecasts that we made about seven months ago have come true," he said.

Stepanian also said that a large decrease in direct capital investments
has caused steep declines in both construction and industry.

"The economic has hit the bottom and after staying at this level for
a month or two it will enter the stage of recovery," Stepanian said.

http://www.azatutyun.am/content/a

Baku Discusses Possibilities For Granting Karabakh Autonomous Status

BAKU DISCUSSES POSSIBILITIES FOR GRANTING KARABAKH AUTONOMOUS STATUS

/PanARMENIAN.Net/
21.07.2009 18:42 GMT+04:00

/PanARMENIAN.Net/ No need to overestimate Armenian and Azeri
Presidents’ recent meeting in Moscow, because much has to be done
before signing a document on NKR conflict settlement, Professor
Ruben Safrasatyan, Director of RA NAS Oriental Studies Institute,
told a news conference in Yerevan.

Obama, Medvedev and Sarcozy’s joint statement concerning Karabakh and
the publication of Madrid Principles aimed to accelerate the process
of introducing the basic principles to Armenia and Azerbaijan. The
fact that Baku discusses the issue of granting Karabakh autonomous
status was published for the first time. It was a shock for Baku,"
the expert stressed. During their meeting in Moscow, Presidents
Sargsyan and Aliyev had open discussion over Karabakh status, he said.

"It is necessary to understand that NKR problem is a complicated
process that cannot find a prompt solution. Parties have not so far
signed any document. Talks are still under way, and Armenian diplomacy
should use its best efforts to involve Stepanakert in the process,"
Safrastyan stated. As regards the return of lands in exchange for
security guarantees, that’s something to be determined exclusively
by Nagorno Karabakh, the speaker said.