A SCIENTIFIC CONFERENCE DEDICATED TO GRIGOR NAREKATSI HELD IN MOSCOW
Azg/am
29 July 2004
A scientific conference under the title “Grigor Narekatsi and medieval
spiritual culture of Armenian” was held at the Institute of Literature
after Gorky in Moscow on July 23-24. Nine scientists from the Armenian
Academy of Sciences and seven scientists from Russia participated. In
his interview to Azg Daily Avik Isahakian, Dr. of philology, noted
that for the first time in the history they attempted to view Grigor
Narekatsi in the context of medieval spiritual culture. The report of
Alexander Kudelin, member of the Russian Academy of Sciences,
vice-president of the institute, was singled out for the profound
knowledge of the epoch and the material itself. In her report called
“Narekatsi and the great Ukrainian enlightener Grigoris Skovoroda”
Prof. Nina Nadiarnikh tried to give a comparative analysis of the
thinkers, find the common humanitarian, progressive and other features
in the works of the two.
Olga Sazonova’s report “The thought in the Eastern Europe in the early
middle ages. Narekatsi and Hilarion” depicted Narekatsi as someone
having the first ideas of world and faith in his works.
Father Danila, Russian Orthodox priest, approached Narekatsi’s
poemfrom a modern perspective. The author of the last translation of
Narekatsiâ=80=99s poem Vladimir Mikushevich presented all difficulties
connected with the translation and shared with his encouragements of
the work.
>From Armenia there were scientists Zaven Avetisian, Knarik Davtian,
Elena Aleksanian, Levon Chukaszian, Magda Djanpoladian, Azat
Eghiazarian. The latter presented an interesting observation into the
similarities of the Armenian epos “David of Sasoun” and Narekatsi’s
poem.
All the reports proceeded from comparative literature. Avik Isahakian
in his report called “Character of the poet in Isahakian’s â=80=98Abu
Lala Mahari’ and Narekatsi’s â=80=98Mournful Songs'” presented
philosophical peculiarities and similarities that the two poets
share. The Arabian poet and Narekatsi had almost the same denying
attitude towards the world, men, love, power and other.
By the end of the conference the presidents of the two institutes
signed an agreement of mutual cooperation in the field of publishing,
postgraduate students’ exchange and in other spheres.
The Armenian community was actively involved in the conference. The
Gorky institute’s interest in Grigor Narekatsi was obvious.
By Melania Badalian

THE DAY THE MELKONIAN WAS BOMBED
Azg/am
29 July 2004
A man who lived through the bombing of the Melkonian Educational
Institute as a recently graduated pupil was in Nicosia this week to
battle for the school’ s survival.
One of Nicosia’s best-known landmarks for over 77 years and the pride
of the region’s Armenian community faces closure.
The 1926 stone building and its surrounding land of 125,000 square
meters is estimated to be worth at least CYP 40 million.
The government has placed a preservation order on the school since May
this year, ruling that “no alteration or construction be executed on
the buildings… considered to be on special architectural/
historical/ social importance.” While this may have temporarily
scuppered plans to sell off the school, its future beyond June 2005
remains uncertain.
Raffi Zinzalian had just graduated from the Melkonian and had a
university place waiting for him in Lebanon when the 1974 troubles
began. He had spentthe day before the invasion on the beaches of
Famagusta and was in the school building when the Turkish planes flew
overhead on July 20, 1974.
“We were happy because the cease-fire would begin at 3pm and then at
2.45pm we saw the Turkish jets overhead. We thought they were headed
for the radio station (Cyprus Broadcasting Corporation-CyBC) but they
circled round and we heard a deafening noise, we had been bombed,” he
said.
Zinzalian said that even his years in war-torn Lebanon could not
compare to the fear he felt on that day. Thirty years later, and now a
married father of three, he still has nightmares of the bombing.
“The roof in the dormitories was about to cave in and we couldn’t
breath. We knew we had to escape, the roof was on fire and so we ran
outside to the principal’s residence. The fire brigade was called, but
the roof had collapsed,” Zinzalian said.
The students and teachers left at the Melkonian made for the
mountains. Turkish troops had surrounded Nicosia and the only way out
was on the road to Larnaca. For 6-7 weeks communication and travel was
almost impossible and Zinzalian was able to leave the island on a
Soviet cargo ship to take up his place in Lebanon. “Two years later,
the war started there,” he said.
Following his studies, Zinzalian was employed at the Press Information
Office (PIO) as a Turkish-English translator. “I saw Makarios
(then-President, Archbishop) everyday,” he said.
Zinzalian then left for the USA to study photojournalism and media and
is now a publisher at the University of LaVerne Press and on the board
of Armenia International Magazine (AIM). He is also the president of
the Melkonian Alumni and Friends in California.
“We are all very sad that the school may be closed. All the alumni I
have spoken to, in LA, in Ontario, in Cyprus, in Greece, in Lebanon,
in Turkey, all feel the same,” he said.
Zinzalian has spent the last few weeks on self-financed travels to
lobby members of the alumni. “There are 1300 members of the alumni all
around the world,” he said.
Having had meetings with the Cyprus alumni of the school and
representatives of the Armenian community on the island, Zinzalian
said that the passion for keeping the Melkonian up and running will be
hard to beat.
“We are also looking into the archives of the school because the
Melkonian brothers who founded the school made provisions before they
died for it never to close. Before they died, they put the school in
the care of the Armenian General Benevolent Union (AGBU),” he said.
The Melkonian Institute was built as an orphanage by Krikor and
Garabed Melkonian soon after the massacres of the Armenians in Turkey.
Zinzalian said that the closing of the school was “totally
unacceptable” not only because of the Melkonian’s important cultural
role and lengthyhistory, but also for the potential practical problems
faced by the 170 students continuing their studies at the school
following the graduation of a further 30 this past year.
“There are students at the school from all over the world who may not
be able to continue their studies as they have up until now,” he said.
“It seems ironic that the Melkonian school survived bombing and a war
and now is in peril from the people supposed to be protecting it,”
Zinzalian said.
He said that the alumni were prepared to keep up their peaceful fight
for as long as necessary, fund-raising – the California Alumni has
raised over $370,000 for the school over the past five years – and
meeting with people able to help the situation. “The Cypriot
government has been very supportive,” he said: “and the Cyprus alumni
is the best we have.”
Zinzalian also said that he believed the AGBU did not expect to have
as large scale a fight on their hands. “I think they expected to sell
off the school and take the money back to the USA without much
reaction.”
He also criticized the AGBU for sending a non-Armenian to manage the
planned closure of the school. US national Gordon Anderson has been
sent to take the place of the school’s headmaster and oversee the
school’s future.
“Feeling the way we do about the school, I feel that closing it will
be impossible,” Zinzalian said.
By Athena Karsera

DRAFT OF CONSTITUTIONAL REFORMS ESSENTIALLY DIFFERENT FROM CURRENT
CONSTITUTION
YEREVAN, JULY 28. ARMINFO. The draft of constitutional reforms is
different from the current Constitution in over 50 provisions, Armen
Rustamyan, representative of the Executive Council, Armenian
Revolutionary Federation “Dashnaktsutyun” (ARF), told ARMINFO.
The draft envisages the prolongation of the Legislature’s powers to
five years, whereas under the current Constitution this term is four
years. Rustamyan pointed out that the prolongation of the
Legislature’s powers does not mean the prolongation of the President’s
powers. “According to the current Constitution, the President’s powers
expire five years after he is elected, and this clause remains
unchanged in the draft,” he said. Rustamyan reported that at its
recent sitting attended by the President, the Council of the coalition
reached an agreement on reducing the number of Armenian
parliamentarians from 131 to 121. He said that this figure will be
included in the draft amendments to the Constitution. However,
Rustamyan stressed that the ARF’s position on this issue was
essentially different from that of the other coalition-forming
political forces. For example, the ARF insisted on the number of
parliamentarians being reduced to 101. Despite the protest raised by
the “Law-Governed Country” party, the Council included in the draft a
provision stipulating the recall of the Parliament Speaker and
Vice-Speakers. According to the document, they can be recalled by the
majority of votes. Rustamyan stressed that the Law on the Regulations
of the RA National Assembly will specify this process, after necessary
amendments are made to the document. He stated that the draft
stipulates the enlargement of the Legislature’s powers due to the
reduction of the President’s powers. Specifically, the National
Assembly is entitled to be actively involved in forming the
Government. Rustamyan pointed out that the draft leaves almost
unchanged the provision on the formation of the Council of Justice,
that is, the President has the right to appoint three lawyers as
Council members. However, an agreement was reached on the enlargement
the three judicial instances’ powers in selecting members of the
Council of Justice. Rustamyan emphasized the necessity of including a
representative of the Economic Court in the Council of Justice.
Another important difference of constitutional reforms is that the
draft removes the ban from dual citizenship. Rustamyan stressed that
the rights and duties of the persons having dual citizenship have not
yet been specified. He stated that the ARF objects to the draft
regulating the rights and duties of persons with dual
citizenship. According to him, it is a most complicated issue and must
be regulated by a special law.
Rustamyan reported that the draft of constitutional amendments has
been sent to the CE Venetian Commission for expert examination. This
September, the PACE Monitoring Commission is to consider the
document. And PACE is to consider it at its session in October. He
reports that a referendum on constitutional reforms is scheduled for
July 5, 2005, which is no coincidence, as the current Constitution was
adopted on July 5, 1995.

SHARE OF FOREIGN CAPITAL IN AUTHORIZED FUND OF BANKING SYSTEM OF
ARMENIA REACHES 19.7 BLN DRAMS IN SECOND QUARTER OF 2004
YEREVAN, JULY 27, ARMINFO. Share of foreign capital in the authorized
fund of the banking system of Armenia increased by 1.7 per cent in the
second quarter of 2004, totaling 19.7 bln drams or 52% on July 1. The
authorized capital of the banking system increased by 2.4% in the
second quarter, as 3 commercial banks had replenished their authorized
funds by a total of 875 mln drams. As a result, the given indicator
made up 37.9 bln drams on July 1, 2004.
The press-service of the Armenian Central Bank told ARMINFO that the
summary capital for the second quarter increased by 5.7%, reaching
55.7 bln drams by July 1, 2004. Undistributed profits for the first
half totaled 4.3 bln drams on this date (the bank operating in the
special administrative regime exclusive), the major reserves totaled
5.1 bln drams. The profits-authorized capital ratio totaled 11.3%.
According to data of the Armenian CB, by July 1. 2004, 20 banks and
221 branches operated in the territory of Armenia, with one operating
in the special administrative regime of the Armenian CB. The results
of the activity of the country’s banking system were summed up on July
1, 2004 on the basis of data of 19 normally operating commercial
banks.

LIABILITIES OF ARMENIA’S BANKING SYSTEM DECREASE BY 1.4% IN SECOND
QUARTER OF 2004
YEREVAN, JULY 28. ARMINFO. Total liabilities of the country’s banking
system, decreased by 1.4% in the second quarter of 2004, making up
255.2 bln drams by July 1, 2004. It was accounted for by a decline in
a number of indicators in the structure of liabilities, the
press-service of the Armenian Central Bank told ARMINFO
In particular, the liabilities to banks and other financial
orgnaizations totaled 33.8 bln drams, decreasing by 19.7%. At the same
time, a 36.7 per cent growth was fixed on the funds on correspondent
accounts, which reached 5.4 bln drams. Liabilities to the Government
decreased by 3.1% in the quarter under review, totaling 12.8 bln
drams. Fixed deposits of natural persons decreased by 2.3%, totaling
50.9 bln drams, while fixed deposits of legal entities increased by
5.5%, reaching 26.9 bln drams. Call liabilities increased by 2.4%
totaling 114.2 bln drams. Other liabilities increased by 15.4%,
reaching 15.3 bln drams. The paid interests increased by 1.8%,
reaching 1.3 bln drams.
According to the ranking of Armenian’s commercial banks drawn up by
ARMINFO news agency, in the first half of 2004 the liabilities of 14
commercial banks increased, the highest growth was fixed on 3 banks,
including Artsakhbank (48%). As to the remaining 5 banks, liabilities
decreased, with one bank showing the lowest indicator.
The results of the activity of the banking system, on June 30, 2004,
were summed up on the basis of data of 19 normally operating banks,
the CB press-service reports.

AGGREGATE ASSETS OF ARMENIA’S BANKING SYSTEM DECREASED TO 310.9 MLN
DRAMS IN SECOND QUARTER OF 2004
YEREVAN, JULY 28. ARMINFO. Aggregate assets of Armenia’s banking
system decreased by 0.2% in the second quarter of 2004, totaling 310.9
mln drams. The press-service of the Armenian CB told ARMINFO that it
was accounted for by a decline in the investments in other securities
by 81.4%, which totaled 3.4 bln drams on July 1, 2004. Besides, other
assets decreased by 14.6% in the quarter under review, totaling 2.6
bln drams. Demands to banks and other financial orgnaizations also
decreased by 14%, totaling 28.3 bln drams. In the structure of assets,
a 15.4% and 10.2% growth was registered in the crediting of natural
persons and legal entities, which made up 41.7 bln drams and 70.9 bln
drams respectively. A 7.6% growth was registered in investments in
state securities (36.3 bln drams), a 6.8% growth in correspondent
accounts at banks (63.4 bln drams), a 5.3% growth on the calculated
interests (1.9 bln drams).
In the second quarter of 2004 in the crediting portfolio, a 23.4%
growth was registered in investments in the sphere of transport and
communications (crediting totaling 1.02 bln drams on June 30), a 7.7%
growth in the trade sector (24.9 bln drams), 7.4% (8.9 bln drams)in
the agricultural sphere, a 12.3% (32.9 bln drams) in the financial
sector, a 18% growth (32,9 bln drams) in the volume of consumer
credits. At the same time, a 4.7% decline was registered in the
construction sector (5.1 bln drams).
Credits and receivables classified on risk groups decreased by 1.3% in
the second quarter of 2004, totaling 213.3 bln drams. As a result, on
June 30, “standard” credits totaled 97.7% or 208.5 bln drams,
“controlled” credits – 1.4% or 2.9 bln drams, “nonstandard” credits –
0.7% or 1.5 bln drams and “doubtful” credits – 0.2% or 379.9 mln
drams. In the quarter under review, some decline was fixed on all the
groups, with the most significant being on “doubtful” credits (64.7%).
According to the ranking of Armenian’s commercial banks drawn up by
ARMINFO news agency, in the first half of 2004 the general assets of
13 commercial banks increased, the highest growth was fixed on 3
banks, including Artsakhbank (40%). As to the remaining 6 banks, their
assets decreased, with one bank showing the lowest indicator (37.6%).
According to data of the Armenian CB, by June 30, 2004, 20 banks and
221 branches operated in the territory of Armenia, with one operating
in the special administrative regime of the Armenian CB. The results
of the activity of the country’s banking system were summed up on July
1, 2004 on the basis of data of 19 normally operating commercial
banks.

AZERBAIJANI FM: ISSUE OF U.S. MILITARY ASSISTANCE TO ARMENIA AND
AZERBAIJAN EXCLUSIVELY POLITICAL
YEREVAN, JULY 28. ARMINFO. Azerbaijani Foreign Minister Elmar
Mamedyarov expressed his dissatisfaction with various issues to the
U.S. authorities in the course of his visit to the USA. The minister
made this statement in his exclusive interview to the Azerbaiuani
newspaper Zerkalo.
His dissatisfaction was connected with withdrawal of Baku from the
program Millennium Challenges, in spite of the fact that Azerbaijan is
considered the strategic partner of the USA in the region, as well as
with the military assistance size to Azerbaijan and Armenia. He said
that despite the fact that the US Administration requested $8 mln for
Azerbaijan and $2 for Armenia, the Congress voted at the level of the
Committee for equalization of the military assistance. As a result,
the two states received by $5 mln each. Mamedyarov said that he had
touched upon the issue of the assistance to Karabakh, stating that the
Azerbaijani party must be informed how these funds are used, in order
to allow the use of these funds on settlement of the “occupied
territories” of Azerbaijan, first of all.
At the same time, commenting on the statement of the US Ambassador to
Azerbaijan that the size of the assistance is not important and that
one should not focus on it, Elmar Mamedyarov said that the words of
the Ambassador are partially true. “Because our cooperation in the
sphere of security is rather wide, including on several programs. For
example, talking to Colin Powel, I said that not the sum of the
assistance is in question, the more so as one cannot form an army on
$8 mln,” the minister said. He added that the issue of military
assistance is exclusively political. If Azerbaijan is partner of the
USA on the coalition and it sends its soldiers both to Iraq and Kosovo
unlike Armenia, their equalization means a possible political
assessment of the issue, the minister said.

OSCE MINKS GROUP CO-CHAIR-COUNTRIES ON SETTLEMENT OF KARABAKH CONFLICT
COME OUT FOR THEIR OWN INTERESTS, AND NOT FOR THOSE OF ARMENIA:
AZERBAIJANI FM
YEREVAN, JULY 28. ARMINFO. The OSCE Minks Group co-chair-countries on
settlement of the Karabakh conflict come out for their own interests,
and not for those of Armenia, said Azerbaijani Foreign Minister Elmar
Mamedyarov in his exclusive interview to the Azerbaijani newspaper
Zerkalo. He added that “each country wages its own policy in our
region.”
He said that the position of the OSCE MG co-chairs, “we will welcome
any agreement between Azerbaijan and Armenia,” does not correspond to
the realities necessary. “There is a fact of Armenia’s aggression,
occupation of the Azerbaijani territories, deportation of people,
ethnic purge. It is infringement of the norms of the International
Law. First of all, one should think of this. There is a cliche
‘Success has many parents, while failure is an orphan.’ If we agree
with Armenia, many countries will propose their services in the
settlement,” the minister said. He added that the most important is
that three key states in the world, the USA, Russia and France,
“proved to be able to call the things by their right names.”
As regards the settlement of the Karabakh conflict, the minister,
first of all, emphasized “the necessity of liberating the occupied
territories and returning refugees.” “A reasonable compromise on the
Armneian party can be only understanding of a refusal from the idea of
independent Nagorny Karabakh.”
At the same time, the minister said that he intends to insist on the
peaceful settlement scheme by the very end.

LIABILITIES OF CREDIT ORGNAIZATION IN ARMENIA DECREASE BY 5.3%
YEREVAN, JULY 7. ARMINFO. Total liabilities of credit orgnaization in
Armenia decreased by 5.3% in the second half of 2004, totaling 1.3 bln
drams on July 1, 2004, the CB press-service told ARMINFO.
According to the submitted data, in the structure of total liabilities
of credit orgnaizations, only fixed liabilities of natural persons
grew (21.5%), totaling 223.6 mln drams. Fixed liabilities of legal
entities decreased by 13.9%, totaling 811.4 mln drams. The paid
interests decreased by 41.8%, totaling 8.4 mln drams. Other
liabilities suffered a 5.3% decline, totaling 232.3 mln drams.
According to data of the CB, by July 1, 2004, 7 credit orgnaizations
and 1 branch operated in the territory of Armenia. At the same time,
Express-Universal, SEF-International and Gladzor are universal credit
orgnaizations, ACBA-Leasing and Agrileasing – leasing orgnaizations,
Arfin – credit union and “First Mortgage Company” – mortgage credit
orgnaization.

AGGREGATE ASSETS OF CREDIT ORGNAIZATIONS IN ARMENIA INCREASE TOT 3.6
BILLION DRAMS
YEREVAN, JULY 28. ARMINFO. Aggregate assets of credit orgnaizations in
Armenia increased by 10% in the second half of 2004 totaling 3.6 bln
drams, the CB’s Press-Service told ARMINFO.
According to the submitted data, the growth of the aggregate assets is
accounted for by a 2,804% increase in the crediting of the employees
of credit organizations and mutually-connected persons (22.5 mln
drams). Besides, demands to banks and other financial orgnaizations
increased by 189%, totaling 74.7 mln drams. Crediting of legal
entities grew by 19.4%, totaling 251.2 mln drams, natural persons by
23.7%, totaling 1.3 bln drams. Other assets increased by 115.1%,
totaling 414.9 mln drams. Leasing and factoring operations decreased
by 17.2%, making up 210.3 mln drams. Investments in state securities
decreased by 48.6%, totaling 149.6 mln drams. Cash decreased by 54.7%,
totaling 69.9 mln drams.
At the same time, in the structure of assets, a 20.8% growth of basic
funds was registered (479.6 mln drams on July 1, 2004), the calculated
interests grew by 46.9% (20.9 mln drams), current accounts in banks by
4.9% (441.6 mln drams).
Provision of crediting grew by 9.9% in the second quarter and reached
2.2 bln drams, which was accounted for by an increase in the volume of
crediting of the agricultural sphere by 4.3%, trade sector by 0.5%,
financial sector by 205.2%, on consumer credits by 17.2% and other
branches by 40.6%, which totaled 312.5 mln drams. 110.8 mln drams,
74.5 mln drams. 862.6 mln drams and 234.5 mln drams, respectively. In
the crediting portfolio, a 10.8% decline was registered in the
crediting of the industrial sector, a 1.1% in the sphere of
construction, 4.2% in sphere of transport and communications, which
totaled 497.0 mln drams. 88.8 mln drams and 2.2 mln drams,
respectively.
The credits and receivables classified on risk groups increased by
4.9% in the second quarter of 2004, totaling 2.9 bln drams. As a
result, on July 1, in the structure of crediting portfolio, “standard”
credits totaled 89.8% or 2.6 bln drams, “controlled” credits – 5.7% or
164.3 mln drams, “nonstandard” credits – 1.7% or 50.3 mln drams and
“doubtful” credits – 2.8% or 81.6 mln drams. In the quarter under
review, some 59.6% and 4% was fixed on “controlled” and “standard”
credits respectively. While, some 9.7% and 0.1% decline was fixed on
“nonstandard” and “doubtful” credits, respectively.
According to data of the CB, by July 1, 2004, 7 credit orgnaizations
and 1 branch operated in the territory of Armenia. At the same time,
Express-Universal, SEF-International and Gladzor are universal credit
orgnaizations, ACBA-Leasing and Agrileasing – leasing orgnaizations,
Arfin – credit union and “First Mortgage Company” – mortgage credit
orgnaization.