PROSPECTS OF COOPERATION
Yerkir/arm
August 26, 2005
Sponsored by Cilicia Catholicos Aram I, a conference entitled “Looking
for prospects of Armenia-Diaspora cooperation” was held on August
11-13 in Antelias. Intellectuals from Armenia and Diaspora were
invited to participate.
In his opening remarks on the direction the conference should take and
its prospects, Aram I said: “We hope that the unique nature of this
gathering would provide an opportunity for free thought, realistic
analyses and honest judgments away from all kinds of influences and
prejudiced approaches.” said His Holiness.
His Holiness stressed the importance of dialogue. “Talking
about each other away from one another leads us to alienation,
polarization. Being together and talking with one another lead us to
unity and progress. Our nation should choose the second path.”
His Holiness called upon the attendants to come out of their closed
circles and stay open to new challenges. “We need new and wider spaces
to inter-act with each other”, said Aram I. He stressed cooperation
as the pivot of the Armenian nation’s collective struggle.
“The sense of belonging to one nation has become the unshakable basis
of our unity, our strength, our survival. Therefore, we should talk
about cooperation between the two societies of a single nation. Any
other approach is not acceptable,” said His Holiness.
His Holiness summarized the main purpose of the conference in the
following three points: giving a new impetus to the cooperation between
Armenia and the Diaspora, challenge intellectuals to make people’s
voices and will heard, discussing the factors hindering cooperation
and looking for ways for giving a new drive to this cooperation.
From: Emil Lazarian | Ararat NewsPress

FAR OFFERS SCHOLARSHIP FOR FEE PAYING STUDENTS
By Tamar Minasian
AZG Armenian Daily #153, 30/08/2005
Aid
First year students of the Yerevan State University, Yerevan State
Economic Institute and State Polytechnic University can take part in a
contest for “Matevosian Scholarship” organized by the Fund for Armenian
Relief (FAR). FAR will pay the fees of 10 winning applicants, FAR
spokesperson, Levon Lachikian, told daily Azg yesterday. The contest
is available for excellent pupils with high grades at the school
graduation and university admission exams. It is open for students
of departments of applied mathematics, software and informatics,
law, international affairs, philology and journalism. All students
participating in the contest have to be from socially vulnerable
classes and should assume obligation to work at least 5 years
in Armenia or Artsakh after graduation. “We aim at supporting the
educational system on the spot. That’s why we sign an agreement with
students, and if they break it they or their families will have to
reimburse all payment by FAR”, Levon Lachikian said adding that there
was no such case so far.
RAF office informs applicants that the scholarship will be suspended
as soon as the social state of the family improves or the progress
in studies falters. 3 students in 2003/04 years did not get further
funding because of poor results.
All students wishing to take part in the contest have to apply by
August 31. Besides checking documents of the applicants, FAR employees
visit every student at home, speak to the family members and even
neighbors. “A single mistake in our choice can have a negative impact
on the whole program. There were cases when people tried to deceive us
but we used all levers and disclosed the truth”, Lachikian says. After
a preliminary selection, the applicants are invited for interview.
The FAR program has attracted this year two students who entered the
university on conditions of “No Right for Postponement in Studies”. FAR
project coordinator Rita Khachikian says that they have not talked
to Anush Matevosian providing the scholarship whether the young men
can participate in the contest or not.
Yesterday was the first day for applications at the FAR office. There
were already 15 applications by the end of the day. This 9 years
old project enabled more than 80 young people from state educational
establishments to continue their study by receiving the scholarship.

CYPRUS WILL NOT HAND OVER BENON SEVAN TO USA
By Hakob Tsulikian
AZG Armenian Daily #153, 30/08/2005
UN scandal
Referring to Armenian Mirror Spectator, Reuters agency informed on
August 20 that Cyprus will not hand Cypriot Benon Sevan of Armenian
origin to another state (USA in this case) if he is proved guilty in
Oil-for-Food scandal.
“Our constitution bans to hand over our citizens to other states”,
George Iakovou, foreign minister of Cyprus, declared.
67-year-old Benon has been in Cyprus for 2 weeks now, international
media informs.

CASCADE CREDIT SIGNS LOAN GUARANTEE AGREEMENT WITH USAID
Armenpress
YEREVAN, AUGUST 30, ARMENPRESS: On August 30 at Cascade Capital
Holding’s headquarters Cascade Credit CJSC and the United States Agency
for International Development (USAID) signed a loan guarantee agreement
according to which USAID will guarantee bonds to be issued by Cascade
Credit CJSC. The loan agreement was signed by U.S. Ambassador John
Evans, USAID Country Mission Director Robin Phillips, and Cascade
Credit Executive Director Garegin Gevorgyan. This loan agreement
will provide a partial guarantee for bonds to be issued by Cascade
Credit, which will be issued and traded on the Armenian Stock Exchange
(ARMEX). The guarantee will cover up to 50% of the principal amount
of Cascade Credit’s public debt, should that need arise. The proceeds
from the bond issuance will be primarily used for Armenian export
financing. Cascade Credit CJSC, a subsidiary of Cascade Capital
Holdings, is a non-banking credit organization, actively engaged in
developing the Armenian Public Corporate Debt market. Cascade Credit
CJSC works to introduce a range of financial products and concepts
that are specifically tailored for Armenia and aims at becoming a
major innovative financial intermediation player in Armenia with a
special focus on identifying market inefficiencies and eliminating
them through profitable strategies. Cascade Capital Holdings is 100%
owned by the Cafesjian Family Foundation (CFF), a United States 501(C)
3 organization. According to Garegin Gevorgyan, Executive Director of
Cascade Credit, “The USAID partial guarantee for bonds to be issued by
Cascade Credit will pave the way for development of capital markets
in Armenia by illustrating the viability of public corporate debt
market.” “It is also a major step towards Cascade Capital’s goal
to become a financial market leader in Armenia and the Caucasus,”
elaborated Jonathan Stark, Deputy Director of Cascade Capital Holdings.

PREPARATIONS FOR CENSUS
Azat Artsakh Nagorno Karabakh Republic [NKR]
29 Aug 05
On August 23 the meeting of the State Commission for Preparations
and Conduct of Census 2005 took place at the NKR Government. The
main issue discussed at the meeting was the preparations. The meeting
was conducted by the vice prime minister of NKR, the chairman of the
commission Ararat Danielian. The chairman of the National Statistics
Service, the mayor of Stepanakert, heads of regional administrations,
persons in charge of census taking had been invited to the meeting. The
vice chairman of the NKR National Statistics Service in charge of
census of the population Sergey Davtian presented the work done so
far. In particular, the maps of the NKR towns and regions have been
drawn, a pilot census has been taken, and the lists of houses in the
towns have been made. According to S. Davtian, currently information
and explanations are extended to the population, recruitment of
agents is carried out, and manuals are prepared. In the result of
the discussion on the well-organized census the commission made a
decision, according to which the City Hall of Stepanakert and the
regional administrations are to attend to the quick supply of signs
with the names of streets and quarters and the numbers of houses,
support the choice of officers, provide the stations with necessary
office equipment.

THE SITUATION WITH ECONOMIC SECURITY
Editorial
Yerkir/arm
August 26, 2005
The situation with the Armenian economy in the past decade shows that
the majority of the indicators characterizing the country’s economic
security are below the acceptable minimum threshold.
The decrease of the country’s productive potential causes special
concern. Currently, the annual capital investments constitute 14-15%
of the country GDP while according to expert estimates the lowest
acceptable share of GDP used for capital investments is 25%.
A serious problem in terms of economic security is the lack of
innovations in the economy – the share of high tech production in the
economy is lower than 15% of the GDP. In Armenia, high tech production
constitutes about 2-3% of the overall economy. The situation remains
extremely tense from the point of view of economic security in the
sphere of employment and distribution of incomes.
According to international standards, the economic security of
a country is considered to be threatened if the unemployment rate
reaches 6-7%. In Armenia even the official sources indicate that the
unemployment rate is 9% while the estimates of independent experts
indicate that the real unemployment (including hidden employment)
reaches 32-34%.
The monetary sector is also facing some threats in terms of economic
security. The country’s economy is highly dollarized. The national
currency becomes secondary to the almighty dollar.
The economic security is considered to be threatened when the share of
monetization of the economy is lower than 50% of the GDP. In Armenia,
this indicator is 15-17%. The economic and consequently military and
political threats to the country’s security have become so serious
that they have turned into challenges for the very existence of
the statehood.
The situation is critical in terms of per capita income, growth
of productivity, technological modernization and several other
indicators. Immediate and operational measures are necessary to improve
the situation. Along with radical political and legal reforms in the
country, it is necessary to review the existing economic policies
that stipulate that the main priority for transition economies is
macroeconomic stability.
This approach enforced by international financial organizations will
lead Armenia to final deterioration of productivity, destruction of the
strategically important scientific sector and loss of any perspectives
for development. Such developments can by no means contribute to the
emergence of a dynamic and sustainable economy in the country.
From: Emil Lazarian | Ararat NewsPress

SUMMARY OF RECEIPTS AND OUTLAYS OF THE FIRST SEMESTER
Azat Artsakh Nagorno Karabakh Republic [NKR]
29 Aug 05
In the first half of 2005 NKR state budget receipts totaled 3470.8
million drams, surpassing the plan by 25.3 per cent. The receipts
have been accumulated from return on tax, state duties and non-tax
receipts. In the accounting period the budget outlays totaled 8467.6
million drams, which is 77.3 per cent of the plan. Since the first
half of the previous year the state budget receipts have grown by
32.1 per cent, totaling 842.5 million drams. Return on tax has grown
by 813.8 million drams, return on state duty by 64.9 million drams,
and non-tax receipts by 101.7 million drams. In the first half of
2005 the NKR state budget receipts have mainly come from return on
tax which comprises 74.5 % of total return. State duty comprises 5
per cent of budget receipts, other revenues 12 per cent, return on
capital transactions 8.5 per cent. In the past period return on tax
totaled 2587.4 million drams, which is 130 per cent of the plan. It
should be noted that tax collection exceeded the level maintained in
the law by approximately 597.1 million drams. Since the same period in
2004 return on tax has grown by 45.9 per cent. Against 48.6 per cent
of the first half of 2004, in the first half of 2005 the VAT comprised
53.8 per cent of return on tax, totaling 1388.6 million drams. The
VAT collection has grown by 61.2 per cent or 527.2 million drams since
the first half of 2004. Excise duty collection totaled 150.5 million
drams, comprising 5.8 per cent of return on tax against 9.8 per cent
in 2004. Income tax collection totaled 405.5 million drams, growing
by 58.6 per cent since 2004. The main reason for this growth is the
salary. Profit tax collection totaled 184.9 million drams, comprising
7.1 per cent of return on tax. Lump-sum tax collections totaled 74.4
million drams, which is 2.9 per cent of return on tax. Return on tax on
trade totaled 159 million drams, growing by 72 per cent or 66.5 million
drams since the first half of 2004. State duty totaled 172.8 million
drams, surpassing the semester plan by 11.7 per cent. Since the first
half state duty collection has grown by 60.2 per cent or 64.9 million
drams, the reason for which is the increase in the fees for state
registration, legal documents and licence. Non-tax receipts totaled
415.4 million drams. Since the first half of 2004 these have grown
by 32.4 per cent or 101.7 million drams, the reason for which is the
increase in payments of the rent for state property, including land,
share capital, and other non-tax income. State budget receipts from
capital transactions in the accounting period totaled 295.2 million
drams of which 138.7 million drams has come from the privatization
of the state property, 156.5 million drams from disposal of state
capital assets. In the first half of 2005 budget spending totaled
over 8467.5 million drams. 78.4 per cent was current expenditure
and 21.6 per cent capital expenditure. Since the first half of the
previous year expenditure has grown by 45 per cent or 2628.7 drams,
which is determined by the increase of expenditure on salaries,
social transfers, services and capital expenditure. The expenditure
plan of the first half of 2005 was implemented by 77.3 per cent and
in the framework of the allocations the applications for financing
presented and registered by government bodies were satisfied. In
the accounting period over 6637.3 million drams were allocated for
current expenditure, which is 73.8 per cent of the plan. 22.8 per
cent of current expenditure or 1512.2 million drams was directed at
the sphere of education and science, 25.8 per cent or 1712.2 million
drams was provided for social insurance and social security, 6.7 per
cent or 447.9 million to the health sector, 4.4 per cent or 292 million
drams to culture, information and sport. In the accounting period over
508.4 million drams was provided for subsidies, comprising 7.7 per cent
of current expenditure and 91.1 per cent of the semester plan. In the
first half of the current year social transfers totaled 1286.1 million
drams, which is 19.4 per cent of current expenditure and 75.8 per cent
of the semester plan. Social transfers are divided into three groups:
allowances 388.2 million drams, retirement benefit 308.8 million drams,
and subsidies to communities 217.2 million drams. Since the first half
of 2004 almost all the social transfers have increased. 3075.6 million
drams was spent for goods and services, which comprises 46.3 per cent
of current expenditure and 68.4 per cent of the plan. It has increased
by 46.6 per cent or 978.4 million drams since the same period of the
previous year. In the first half of 2005 capital expenditure totaled
1830.3 million drams, comprising 93.9 per cent of the plan. Since the
same period of the previous year capital expenditure has increased
2.5 times, by 1102.8 million. In the accounting period accumulation
of debts was prevented in all expenditures.

SIMPLY VARDAN MATEVOSSIAN
By Gohar Stepanian
Yerkir/arm
August 26, 2005
“We carry Armenia in our souls as a universe, as our destiny, ”
Kostan Zarian’s words are the starting point for Vardan Matevossian’s
book “Endless Return.” On the cover page of the book you can see an
Armenian landscape. You turn the page and see the author smiling. He
is smiling and his face is Armenian … and Latin American.
The Armenianness made the third-generation Diaspora Armenian writer
overcome foreign influences while many others failed to do so and
preserved only their Armenian eyes that always look at Armenia.
Vardan Matevossian’s biography starts with the Armenian language and
everything Armenian. Spanish and English are subtly connected with
the Armenian roots which once again proves that the Armenians are
talented in learning languages.
“Matevossian was born in 1964 in Montevideo. In 1973- 2000 he lived
in Buenos Aires. In 1981 he graduated from the Khrimian Institute
and in 1991 from Buenos Aires National University.
Currently, he lives in New Jersey and works at the Hovnanian
College.” These numbers and facts come to comprise his biography as
a philologist, publicist and translator. Matevossian has devoted his
life to studying the Armenian literature and history.
He has translated 10 volumes of literature from Armenian into Spanish,
including works of Yeghishe Charents, Paruyr Sevak, Yervand Otian
and others. He has published a number of articles in various Diaspora
magazines. The presentation of his books Endless Return, The Southern
Side of the World and The Armenians in Latin America was held in the
Museum of Literature and Arts.
In his book The Armenians in Latin America Matevossian presents facts
that were not known in our country. For instance, it turns out that
the term ” Armenia” is very popular in Latin America and the author
connects this popularity to Biblical themes. Unfortunately, this book
is not available for the Armenian readers.
The Armenian readers can read his book Endless Return, a book of
memoirs covering the period of 1989-2004. Here the author tells
about his visits to Armenia, about the life and customs in Armenia,
the negative and positive aspects of Armenian reality. The book is
dynamic with stories about his friends and acquaintances.
Summing up our story about the pro-Armenian activities of our fellow
Armenian writer we should note that preservation of the Armenian roots
is very difficult for the Diaspora. In this context, any book, any
publication comes to contribute to the preservation of Armenianness
among the Diaspora Armenians.
We are no better or worse than any other nation – we are simply
Armenian. Unfortunately, we have to prove this everywhere and every
day – this is the destiny of every Armenian.

RESETTLEMENT IN ARTSAKH
Nvard Ohanian
Azat Artsakh Nagorno Karabakh Republic [NKR]
29 Aug 05
Avetyats Yerkir NGO was officially registered in Karabakh in
2000. Before that the organization had been working out various
programmes of resettlement, looked for ways of cooperation with
sponsors, then started implementing the programme of resettlement
of the village of Norashen in the region of Hadrut. Since its
establishment Avetyats Yerkir has been carrying out programmes in the
region of Nor Shahumian and the southern part of Hadrut region. We
talked to the chairman of the NGO Vahram Gevorgian about the programmes
carried out by Avetyats Yerkir in the current year. Nvard Ohanjanian:
“Vahram, would you outline the work done and to be done this
year.” Vahram Gevorgian: “The resettlement of the village of Knaravan
in the region of Nor Shahumian is going on. A medical station and the
municipality are being built, a school is planned to be built. Six
houses have been reconstructed, five families have already moved to
their houses. Three houses are being built. We carry out excavations
in the church of Handaberd. The archaeological studies have ended
recently due to a group of archaeologists from Armenia. We intend
to reconstruct the chapel. In Knaravan we have loaned cattle to new
settlers and have aided those who are interested in beekeeping. We
have also built a nursery school in the border village Talish in
Martakert region, which will be operated this September. It should be
noted that almost every year the sponsors visit Talish, meet with the
children under school age, organize games, talk to them, etc. A larger
programme is the resettlement of the village of Ijevanatun in Hadrut.
The historical inn was build built there by Armenian masters with
the support of the Persian shah. This year five houses and a school
will be built there. By the way, the government will also organize
certain work in this village. We have discovered khachkars in the
village of Haykavan. The medical station and the municipality built
last year were repaired this year. Cattle loan was provided to four
families. A school was built in the village of Tsamdzor. The cultural
centre in Shushi is being built. We have started the excavations in the
castle near the wall of Shushi (which is an older construction than
the wall of the fortress). We have started archaeological studies of
Tigranakert at the foot of Mount Shahbulagh, near Nor Maragha. Our aim
is to find the exact location of the ancient town.” N.O.: “Who are your
sponsors? Does Avetyats Yerkir have permanent supporters?” V.G.: “We
are supported by both individuals and organizations. The programmes of
Knaravan and the cultural centre in Shushi were brought into being by
the Karapetian family. The chairman of the cultural society Narekatsi,
American citizen Narek Harutyunian intends to establish a branch of
the society in Shushi, and the father of Narek, Karapet, supports the
programmes of resettlement in Knaravan. The sponsor of resettlement
of Talish is Armenia-Diaspora Connection. The society Yerkir remains
the organization which sustains relationships between us and other
similar organizations and sponsors. Charles Ghazerian remains the
permanent supporter of our organizations.” N.O.: “Have there been
cases when your cooperation with the sponsors did not produce expected
results? What are the causes of failure of certain programmes?” V.G.:
“The only organization with which our cooperation was stopped is the
French branch of the Armenian General Benevolent Union. We began
the resettlement of Norashen in cooperation with them. We also
proposed the programme of resettlement of the village of Akn but they
refused, probably preferring cooperation with similar organizations
of Armenia. It should be noted that it took us three years of effort
to find supporters for the programme of Ijevanatun. We present 8-10
programmes to sponsors annually, and they support the programmes
which they approve. Last year our programmes were too many, and we
decided to include Ijevanatun in the programmes of this year. ” N.O.:
“Do you cooperate with governmental organizations in working out and
implementing programmes of resettlement?” V.G.: “We do not have joint
programmes but all our programmes are to be agreed on by different
governmental organizations, the ministries of town planning, culture,
the department of resettlement. There were cases when we shared the
work with governmental organizations. In Knaravan we loaned cattle to
people, the government will also do. In Ijevanatun electrification
will be totally carried out by the government. In brief, both of us
work without troubling each other.”

BUDGET OF 2006 WILL BE EXPANSIONARY
Azat Artsakh Nagorno Karabakh Republic [NKR]
29 Aug 05
On August 23 the meeting of the NKR government took place. Several
questions on the agenda referred to the activity of the Ministry of
Territorial Management and Development of Infrastructures. By the
decisions made during this meeting the ministry was put in charge
of electricity and energy consumption, energy saving, trade and
services and postal services. The government approved privatization
of several state and community-owned enterprises and the amendments
to the government decisions on the social security of servicemen and
their families, the list of humanitarian and charity organizations
working in NKR. The only project presented at the meeting, the
project of amendments to the NKR law on police service was approved
as well. The meeting also approved the payment of compensation to
Karabakh Telecom in return for the free installation of telephones,
and the head of the executive charged the corresponding ministries
to conduct monitoring and work out the list of the groups of people
who will be granted this allowance. A series of questions included in
the agenda had been put forward by the NKR State Committee of Real
Estate Cadastre. The government confirmed the project of confirming
the temporary data set of the land cadastre of farming land located
in the administrative territories of communities, providing premises
to the state non-profit organization Center for Geodesy, Mapping,
Land Engineering, Assessment of Realty, descriptions of the borders
and the 1:200000 scale topographic maps enciphering the borders of
NKR regions and Stepanakert, amendments to a number of decisions
of the NKR government and the NKR land resources. Touching upon the
necessity of enlarging the borders of the city of Stepanakert, Prime
Minister Anoushavan Danielian expressed anxiety about the current
situation. He instructed the heads of the corresponding agencies
to work on this matter seriously, especially that the government
has already launched the mortgage programme. After the discussion
of the agenda the government discussed a number of urgent questions,
including winter wheat and preparations for winter. At the same time A.
Danielian instructed to conduct joint consultations to discuss the new
budget bill. In comparison to the budget of 2005 the state budget of
2006 will be considerably expansionary, and nevertheless tense. Taking
into account the increasing sums and the relieved social problems,
I think it is time that the heads of ministries and agencies present
optimal programmes allowing to improve the equipment and work of the
given systems,- said Anoushavan Danielian.
From: Emil Lazarian | Ararat NewsPress