Armenia’s economic environment favorable for foreign investments

ARKA News Agency
Sept 14 2005
ARMENIA’S ECONOMIC ENVIRONMENT FAVORABLE FOR FOREIGN INVESTMENTS:
TATUL MARGARYAN
YEREVAN, September 14. /ARKA/. Armenia’s economic environment is
favorable for foreign investments, RA Ambassador to the USA Tatul
Margaryan said at his meeting with OPIC President Ross Conelli.
During the meeting, the Ambassador pointed out that due to the
Government-implemented reforms Armenia is now the leader among
transitional economies.
In his turn, the OPIC President expressed willingness to promote US
investments in Armenia’s economy, cooperate in enhancing the
awareness of US business circles of the OPIC-implemented programs in
Armenia. The OPIC’s largest-scale project in Armenia is the funding
of the remodeling of the Marriot-Armenian Hotel. P.T. -0–

BAKU: Armenia can’t prevent Azerbaijan’s WTO admission – official

Assa-Irada, Azerbaijan
Sept 15 2005
Armenia can’t prevent Azerbaijan’s WTO admission – official
Baku, September 14, AssA-Irada
Armenia will not be able to prevent Azerbaijan’s admission to the
World Trade Organization, says Economic Development Ministry official
Shovgi Mehdizada.
The country is required to sign a bilateral agreement with each WTO
member state for its admittance to the organization. However, such an
agreement will not be signed with Armenia. Azerbaijan has already
stated that it will not establish any ties with aggressor Armenia,
said Mehdizada.
`In legal terms, according to the 13th provision of the Morocco
agreement which formed WTO, each country reserves the right not to
forge any ties with another state that it faces problems with. We
will apply this provision and Armenia will not be able to take the
matter to the WTO court of arbitration in any case. Even if this
country forwards an appeal, the court will not consider it.’*

BAKU: Another suspect in youth movement chair’s case

Assa-Irada, Azerbaijan
Sept 15 2005
Another suspect in youth movement chair’s case
Baku, September 14, AssA-Irada
Deputy chairman of the Yeni Fikir youth movement was detained over
the case of Ruslan Bashirli, the movement chair charged with plotting
with Armenian intelligence to stage a coup in Azerbaijan.
The police arrested Ramin Taghiyev for 48 hours as a suspect, said
Ali Karimli, chairman of major opposition Popular Front Party (PFPA),
who is known to maintain close ties with the movement.
Karimli, speaking at a news conference at the PFPA office on
Wednesday, termed the apprehension as the authorities’ `repressions’
against Yeni Fikir. Touching upon the earlier arrests of Bashirli and
another representative of the movement, Karimli said the authorities
are thus trying to `estrange politically-active youth’ from the
forthcoming parliamentary elections. The PFPA chairman did not rule
out that other movement members may be arrested over the next few
days as well.
Karimli said that youth organizations of PFPA plan to start series of
actions shortly in protest against `pressures against Yeni Fikir’.
Those of two other major opposition parties represented in the
Azadlig bloc – Musavat and Azerbaijan Democratic Party – will join
the protests, he said.
`Harsh messages will come shortly for the authorities from the West
over the repressions against differently-minded youth. I have
informed the European Union special envoy on South Caucasus Heikki
Talvitie about the considerable decline of Yeni Fikir deputy chairman
Seyid Nuriyev’s health and the arrest of Ramin Taghiyev. Talvitie has
acutely condemned these steps by the authorities and said that such
attitude toward young people is unacceptable. Europe will voice its
harsh position on these repressions in the coming days.’*

5th universal regional trade, industrial expo-forum opens in Yerevan

ARKA News Agency
Sept 14 2005
FIFTH UNIVERSAL REGIONAL TRADE, INDUSTRIAL EXPO-FORUM “ARMENIA EXPO
2005” OPENS IN YEREVAN
YEREVAN, September 14. /ARKA/. The fifth universal regional trade and
industrial expo-forum “Armenia EXPO 2005” opened today in Yerevan.
Chairman of the Union of Manufacturers and Businessmen of Armenia
(UMBA) Arsen Ghazaryan said at the opening ceremony that this forum
testifies economic achievements of our country. “In fact, we not only
demonstrate the qualitative progress, but also the potential to
establish new companies”, he said. He reported that this is the fifth
exhibition and every time more and more companies participate in the
exhibitions. This testifies about country’s development, creation of
new resources. “Armenian has become the regional center of
coordination of business-contacts”, Ghazaryan said.
Expo-forum will last till September, 17, 2005 and includes six
parallel exhibitions – “Industrial Armenia EXPO 2005”, “Construction
EXPO 2005”, “Trans EXPO 2005”, “Food and Beverage EXPO 2005”,
“Polygraphy. Publishing. Advertisement EXPO 2005” and “Comp EXPO
2005”. The Armenian – Russian “Cooperation 2005” business meeting
will be held within this forum, with participation of businessmen
from Moscow and other regions of Russia. The Business Days of US,
China and Russia, as well as competition in the nomination “High
Quality” will be held on September 15-17, 2005.
Over 180 companies from 15 countries participate in Armenia EXPO 2005
– from Armenia, Russia, US, China, Iran, Georgia, Turkey, Syria,
Ukraine, UAE, states of Western and Eastern Europe. The space of the
expositions makes about 1,520 sq m.
Armenia EXPO 2005 has been organized by LOGOS EXPO Center with the
official support of RA Ministry of Trade and Economic Development, RA
Foreign Ministry and the UMBA.
LOGOS EXPO Center is the first private exhibition company in Armenia,
and it was founded in 1999. The Center organized over 45 exhibitions
since it operates. A.A. -0–

St.Petersburg to make worthy contribution to Armenian-Russian coop

ARKA News Agency
Sept 14 2005
SAINT PETERSBURG TO MAKE WORTHY CONTRIBUTION TO ARMENIAN-RUSSIAN
COOPERATION: VALENTINA MATVIENKO
YEREVAN, September 14. /ARKA/. Saint Petersburg will do its best to
make its worthy contribution to Armenian-Russian cooperation, Saint
Petersburg Governor Valentina Matvienko said at the opening of a
concert “Musical meetings in Yerevan” as part of the Year of Russia
and Days of Saint Petersburg in Yerevan. “We have once more been
convinced of the strength of our historical and spiritual ties, of
how much we need each other and of having not only great historical
past, but also great future. And the Armenian and Russian peoples are
interested in this,” Matvienko said. “We have arrived here as a large
delegation, which includes representatives of business, financial,
educational, cultural communities, with a serious intention to
re-establish the contacts that connected our peoples, establish
active economic cooperation, restore cultural, educational and
spiritual ties,” she said. According to Matvienko, Russian people
have a very good attitude to Armenia, and no historical events have
changed this attitude. “We have one faith, our history has very much
in common, we have always had mutual respect, love, warm relations
between people, which is the basis for bilateral cooperation,” she
said.
In his turn, Mayor of Yerevan Yervand Zakharyan pointed out that
Armenia and Russia have established strong economic, trade and
political relations. He stressed that the Mayors of Yerevan and Saint
Petersburg have reached an arrangement to prepare and sign a specific
cooperation program between the two cities before the end of 2005.
Zakharyan expressed hope that such events as Days of Saint Petersburg
in Yerevan will become a good tradition and afford much pleasure to
the residents. P.T. -0–

Challenges ahead for Armenia’s constitutional vote

Eurasianet, NY
September 14, 2005
X-Sender: Asbed Bedrossian
X-Listprocessor-Version: 8.1 — ListProcessor(tm) by CREN
CHALLENGES AHEAD FOR ARMENIA’S CONSTITUTIONAL VOTE
by Haroutiun Khachatrian
After a brief and uncharacteristic period of cooperation, the
Armenian government and opposition are back on a collision course
over constitutional reform. The opposition’s refusal to accept
President Robert Kocharian’s proposed changes to Armenia’s
constitution has also put it at loggerheads with the international
community, which has backed the amendments.
At a September 1 extraordinary session, Armenia’s National Assembly
adopted the government’s proposed constitutional amendments in the
second reading. Despite pressure from members of the ruling coalition
and representatives of Western countries, the main opposition parties
declared that they would not support the draft in a referendum
scheduled for November.
The four-day parliamentary session resulted in a series of amendments
designed to downplay presidential powers and gain the approval of the
Venice Commission, the Council of Europe advisory body for
constitutional law, which had rejected an earlier draft in May as
unsatisfactory. Opposition members, who interrupted their
one-and-a-half-year boycott of parliament to attend the special
session, refused to take part in the final vote on the proposed
amendments.
Besides the Council of Europe, the draft was publicly endorsed by the
Organization for Security and Cooperation in Europe’s Yerevan mission
and the US and British ambassadors.
In an interview published in the August 26-27 edition of the Hayots
Ashkhar daily, British Ambassador Thorda Abbot-Watt rejected calls
for a `color revolution’ during the November vote, and stressed that
the European Union, whose rotating presidency the United Kingdom
currently holds, `prefer evolutionary ways of development rather than
revolutionary ones.’ The vote on the revised constitution is part of
that process, the ambassador implied.’ Let’s not forget that what we
deal with is not a regular election or a referendum of confidence in
connection of the previous elections. We deal with the constitution,
a document predetermining the principal directions of the country’s
development.’
Nonetheless, the government faces considerable obstacles in securing
a `yes’ vote for its amended constitution this November. Putting
voter lists in order is one sizeable challenge. Overcoming public
apathy is another. Disinterest in the topic of constitutional reforms
notably increased after parliamentarians were broadcast live on
public television hurling insults at each other during the
legislature’s special session. Public awareness of the proposed
changes is also relatively minimal since the proposed constitution
has not yet been published. An earlier version was posted on the
National Assembly’s website, but less than 10 percent of Armenians
have Internet access.
In addition, President Robert Kocharian must demonstrate to the
international community that the vote is free and fair. In an August
26 statement, Ambassador John Evans termed the revised constitution
`a notable step forward,’ urging the government to take `the
necessary steps . . . to increase public awareness about this
important process so that a well-informed public can express its will
in the referendum scheduled for November.’ Secretary of State
Condoleeza Rice has recently raised the importance of a transparent
vote with President Kocharian, the US State Department has announced.
If adopted, the revised constitution would enter into force two years
from the referendum.
The government appears to believe that the success of the referendum
is not guaranteed, however. Defense Minister Sergei Sargsian, widely
seen as a potential presidential candidate, was quoted by the Russian
news agency Regnum as emphasizing that a `no’ vote in November would
not mean a vote of no confidence in the Kocharian administration.
`I will not consider that the people have expressed their distrust in
the authorities,’ Sargsian said on September 1. `As you remember,
there were referenda in European countries that were not adopted
either. However, this was not interpreted as distrust in the
authorities.’
Western countries’ endorsement of the draft constitution reinforced
the ruling coalition’s own campaign for both ordinary Armenians’ and
the opposition’s support for the amendments. `Do you suppose that we
have bribed these foreign governments?’ Galust Sahakian, leader of
the pro-government Republican Party faction, asked opposition members
during the parliamentary debates. In reply, Shavarsh Kocharian
claimed that US Ambassador John Evans had compared the process of
democratization in Armenia with that in Iraq. `Why should we take
Iraq rather than the European democracies as a standard?’ he asked.
At the Venice Commission’s urging, the amendments adopted by
parliament were intended to pass greater powers from the president to
parliament and the prime minister. Among other provisions, for
instance, they call on the National Assembly to appoint the human
rights ombudsman and members of the National Radio and TV commission.
The president has also been removed from the Council of Justice, a
body that plays a key role in appointing judges.
While opposition parties had earlier pushed for such changes, in the
end, they declared them insufficient. Shavarsh Kocharian, a member of
the opposition bloc Ardarutiun (Justice), said his faction was not
satisfied with the fact that under the amended version, the president
would still have the power to appoint chairmen of courts. The
opposition also took issue with the failure to provide for direct
elections of the mayor of Yerevan. According to the draft, a special
law to be adopted later will determine the type of elections for this
position.
Political rhetoric heavily colored the opposition’s response.
Ardarutiun leader Stepan Demirchian stated that his bloc would say no
to the referendum and `the illegal authorities,’ since `no steps are
taken to create an atmosphere of confidence.’ The National Unity
faction adopted a similar position, saying that they would support
the amendments only if the November constitutional referendum was
followed by early parliamentary, and then, early presidential
elections. Deputies from both factions left parliament the day before
the vote on the constitutional amendments.
NOTES: Haroutiun Khachatrian is a Yerevan-based writer specializing
in economic and political affairs.

St. Petersburg to revive former ties with Armenia, outline new relns

ARKA News Agency
Sept 14 2005
ST. PETERSBURG INTENDS NOT ONLY REVIVE ITS FORMER TIES WITH ARMENIA,
BUT ALSO TO OUTLINE NEW DIRECTIONS FOR RELATIONSHIP
YEREVAN, September 14. /ARKA/. St. Petersburg intends not only revive
its former ties with Armenia, but also to outline new directions for
relationship, Armenian President’s press service reports quoting St.
Petersburg Governor Valentina Matvienko as saying at her meeting with
Armenian President Robert Kocharyan.
Matvienko said that new directions will be reflected in the program
of cooperation between Yerevan and St. Petersburg that is now being
worked out for coming three years. In her words, St. Petersburg today
is one of fastest-developing entities of Russia. In this connection,
she said, the sides can successfully cooperate in science and
education areas. “St. Petersburg is known as the center of science
and culture and Armenia has always been known for its scientific and
intellectual capacity”, she said.
For his part, Kocharyan attached great importance to deepening
cooperation with Russia saying this will lay favorable ground for the
development of relations between the states.
The sides gave priority to exchange of information and business ties
activation. M.V. -0–

Turkish plan to jail author alarms EU

The Irish Times
September 14, 2005
Turkish plan to jail author alarms EU
TURKEY: Turkey’s “provocative” plan to prosecute novelist Orhan Pamuk
shows that some members of its judiciary are resisting reforms vital
to Ankara’s drive to join the European Union, the EU’s enlargement
chief said yesterday.
Mr Pamuk faces up to three years in jail for backing allegations that
Armenians suffered genocide at Ottoman Turkish hands 90 years ago – a
highly sensitive issue in Turkey, due to start EU membership talks on
October 3rd. Turkish prosecutors are also investigating comments by
the best-selling author that some 30,000 Kurds were killed more
recently in Turkey in separatist clashes with security forces.
“I find a recent decision to prosecute writer Orhan Pamuk raises
serious concern,” EU enlargement commissioner Dr Olli Rehn told the
European Parliament’s foreign affairs committee.
“A decision . . . to bring the court case on December 16th . . .
cannot be just a coincidence. I think it is a provocation.” December
16th is the first anniversary of an EU decision to open entry talks
with Turkey.
Mr Pamuk’s comments during an newspaper interview drew an angry
reaction from Turkish nationalists and politicians.
The public prosecutor in Istanbul’s Sisli district found Mr Pamuk’s
remarks violated Turkey’s revised penal code, which deems denigration
of the “Turkish identity” a crime.
Dr Rehn said he was worried some Turkish prosecutors interpreted the
code in a way that breaches the European Convention of Human Rights,
undermining Turkey’s quest to join the EU. – (Reuters)

Ankara making HR progress but problems remain, says Rehn

European Report
September 14, 2005
EU/TURKEY: ANKARA MAKING HUMAN RIGHTS PROGRESS BUT PROBLEMS REMAIN,
SAYS REHN
Turkey has made progress on human rights but there are still blots on
its copybook. That was the message from EU Enlargement Commissioner
Olli Rehn, appearing before the European Parliament’s Foreign Affairs
Committee on September 13.
Commissioner Rehn said the “overall trend” in Turkey on human rights
was positive. He referred to the entry into force in June of a new
penal code and five other pieces of legislation relevant to the human
rights situation and the rule of law. He added that reforms were
being gradually implemented and that there were “increasing signs”
that the judiciary was enforcing them in areas such as torture and
ill-treatment.
But Mr Rehn also said that there were still some ‘refusniks’ in the
Turkish judiciary resisting the reform process, and certain worrying
cases which he described as “road accidents which we cannot consider
positively”. He referred in particular to the prosecution of the
writer Orhan Pamuk, who faces jail for comments he made about
Turkey’s killing of Armenians and Kurds and alleged “public
denigration” of Turkish identity.
Mr Pamuk is due to stand trial on December 16 – a fact Mr Rehn judged
more a provocation than a coincidence, as the date will be exactly
one year on from when EU leaders agreed in late 2004 that accession
negotiations with Turkey should be opened on October 3 this year.
Mr Rehn noted that a European Commission progress report due out on
November 9 would look at the human rights situation in Turkey,
including the rights of women, trade unions and non-Muslims. Turkey’s
reform resolve on political matters such as human rights will no
doubt influence the pace of negotiations once they get underway.
Cyprus.
On the thorny subject of Turkey’s recognition of Cyprus, Mr Rehn
indicated that Turkey would have to formally recognise all EU member
states by the time it joins the EU. Such a formula is reportedly the
subject of a behind-the-scenes Anglo-French compromise deal on the
recognition problem to allow the accession talks to go ahead as
planned. As it stands, Turkey only recognises the Turkish Cypriot
authorities on the north of the divided Mediterranean island.
The Commissioner told MEPs that full and formal recognition by Turkey
would have to take place and the sooner the better. At the same
stage, he underlined the importance of finding a comprehensive
settlement to the division of Cyprus under the auspices of the United
Nations. Turkey has indicated that there would be no change on the
recognition question until there was such a settlement. Mr Rehn also
remarked that it would be a miserable failure for all concerned if
the Cyprus problem could not be settled by the time Turkey joined the
EU.
Indeed, Turkish membership – if that eventually wins out over calls
in certain quarters for a weaker ‘privileged partnership’ with Ankara
– is a long way off in any event. Mr Rehn reckons that negotiations
could take 10-15 years. And there are effectively 71 moments when a
member state could ‘veto’ the process, as unanimous decisions are
required for opening and closing all 35 ‘chapters’ – or subject areas
– of the talks and for wrapping up the negotiations overall.
Moreover, if Turkey does not grant access to Cypriot ships and
aircraft under its customs union with the EU, this could prevent the
opening of relevant negotiating chapters such as customs union or
internal market. “If you can’t open these, you don’t make progress in
the negotiations, it’s as simple as that”, Mr Rehn cautioned.
Counter-declaration and framework.
Meanwhile, EU ambassadors were due to meet in their Committee of
Permanent Representatives (COREPER) on September 14 to continue
discussions on an EU ‘counter-declaration’ to respond to Turkey’s
recent controversial statement that it did not recognise (Greek)
Cyprus. Ankara’s declaration – characterised as regrettable by Mr
Rehn – is one of the issues that must be dealt with before the
planned October 3 start of accession talks.
EU member states must also agree the negotiating framework that lays
down the procedures and methodology for the talks. Mr Rehn described
the framework already proposed by the Commission as “rigorous but
fair”. He warned member states not to seek sweeping alterations to
the proposal as substantial changes could upset the “delicate
political balance” reached in EU leaders’ December 2004 conclusions.

Bordyuzha to particiate in exercise of CSTO Caucasus Group of forces

Agency WPS
DEFENSE and SECURITY (Russia)
September 14, 2005, Wednesday
NIKOLAI BORDYUZHA WILL PARTICIPATE IN THE EXERCISE OF THE CAUCASIAN
GROUP OF FORCES OF THE ORGANIZATION OF THE COLLECTIVE SECURITY TREATY
IN ARMENIA
Nikolai Bordyuzha, Secretary-General of the Organization of the
Collective Security Treaty (OCST), will evaluate the performance of
Russian and Armenian military units, which are part of the Caucasian
regional group of forces, during the active phase of the exercise on
September 12.
Nikolai Bordyuzha stated on the eve of his departure from Yerevan on
September 12, “My working visit to Armenia is based on the invitation
of the republican leadership and the Armenian defense minister. I
will attend the exercise of Russian and Armenian units of the
Caucasian group. This group created within the framework of the OCST,
and conducts military exercises every year. Military units polish
their skills in hypothetical defense operations on a bilateral
basis.”
The OCST secretary-general noted that two motorized infantry
regiments and logistics units are involved in the exercise. Nikolai
Bordyuzha noted, “This exercise is important for us as an element of
combat training of the joint group of forces.” The OCST
secretary-general noted that he evaluated the performance of the
military units during the active phase of the exercise and inspected
their bases. (…)
The OCST Secretariat noted that the Russian-Armenian exercise is
conducted in Armenia from September 10-13, according the bilateral
agreements signed by Russia and Armenia. Ground and air units of the
Armenian Army and Russia’s 102nd military base are involved in the
exercise. Units will conduct an exercise with combat shooting at the
Marshal Bagramyan training center. This is a defensive exercise of
the Caucasian group of the OCST.
Source: Regions.Ru, September 12, 2005
Translated by Alexander Dubovoi
From: Emil Lazarian | Ararat NewsPress