ArmenPress
July 27 2004
ARMENIAN MEDIA REPRESENTATIVES DENY AZERI NEWSPAPER REPORT
Laura Baghdasarian, the head of Region organization of
investigative journalists, has denied today a report by a Baku-based
Russian language daily Zerkalo which claimed that twenty-three
Armenian NGOs have recognized the territorial integrity of Azerbaijan
and Georgia and have therefore been elected members of the
Confederation of Nongovernmental Organizations of the Caucasus
(CNGOC). The Azeri daily quoted the chairman of the board of the
CNGOC, Sahriyar Rasulov, as saying that the confederation was set up
two years ago and comprises 272 NGOs, of which 203 are Azerbaijani,
23 Armenian and the rest Georgian.
Rasulov added that the confederation could be joined by
organizations which recognize and respect the territorial integrity
of regional states on the basis of international legal norms. Of many
Armenian NGOs which applied for membership of the organization, he
said 23 accepted these conditions and were therefore admitted to the
CNGOC, but he did not reveal the names of Armenian non-governmental
organizations.
According to Laura Baghdasarian, some Armenian organizations do
cooperate with counterparts from Azerbaijan, including the Region
organization. She said the information by Zerkalo was not confirmed
by Ahvlat Amashov, the head of the union of Azeri investigative
journalists, who said he knew nothing about CNGOC. The existence of
such an organization was denied also by the Caucasian Media institute
in Yerevan.

ARMENIA CONDUCTS DYNAMIC FOREIGN POLICY AND IS SUCCESSFUL
Confessing This Gives no Other Way for Turks but Slandering
Azg/am
28 July 2004
On July 23 at PACE RA President Robert Kocharian answered the question
of the Turk MP “We can’t understand the reason for your approach of
keeping Armenia in blockade and confronting us in the international
arena. If you think that we can’t survive without Turkey, you are
mistaken. Armenia is surviving without you and experiencing normal
development.”
Judging from all, Kocharian’s answer presented the Turks with a fait
accompli, so they were at a loss. The contradicting evaluations of the
answer expressed their bewilderment. Some of the Turkish newspapers
evaluated the abovementioned words of Kocharian as “claim for
cooperation with Turkey” aswell as “provocation”. The Turkish
political experts are trying to deny the statements on “cooperation”,
at the same time they are warning the Turkish authorities “to be
careful in the relations with Armenia”. On July 8 in Yerevan Vartan
Oskanian repeated the statement made in Washington earlier saying that
“Armenia will exercise its right for veto against Turkey candidacy in
PACE.”
In this conditions Turkey gave up his candidacy for 2007 PACE
Chairmanship, and Yorgo Yakovo, Cyprus Foreign Minister, conditioned
this step by Armenia’s decision to put veto against Turkey. In other
words, RA President totally disarmed the Turkish side and deprives
them of the opportunity to speculatethe opening of the
Turkish-Armenian border in the international area, showing their
disability to offer pre-conditions to Armenia. RA Foreign Minister
considers the right for veto as a resistance to Turkey’s policy
against Armenia.
Perhaps, in this respect, the article of Hatem Jabarlu, employee of
the Eurasian Center for Strategic Researches, appeared in the July
publication of the Haber Analiz, where he stated that “Notwithstanding
the fact that Armenia is a small country in the South Caucasus, with
serious economic problems, it conducts a more dynamic policy and is a
success compared with Turkey and Azerbaijan, in particular.
The same Jabarlu and his colleague Yashar Kalafat published an article
entitled “The Evaluation of the Turkish-Armenian Relations from the
Psychological Viewpoint” in the July 24 issue of Haber Analiz. The
difference of the article from the previous one is that instead of
evaluations there appear slanders addressed to Armenia.
Kalafat and Jabarlu state that the position of the Armenians towards
Turkey has remained unchanged since early 20 century. They say that by
the 11-th article of the Independence Memorandum adopted in 1991
Armenians have included in the agenda the recognition of the Armenian
genocide. Moreover, they demand lands from Turkey, Azerbaijan,
Georgia, Iran and even Russia, in order to realize the “From Sea to
Sea” program envisaged by Hai Dat (Armenian Cause).
According to the co-authors, “Turkey displayed good will for
establishing diplomatic and economic relations with Armenia after it
became independent.But Armenia responded to that “by carrying out the
so-called genocide propaganda, it doesn’t recognize Turkey’s
territorial integrity and continues its activities for denying the
Kars treaty.” All this, made Turkey close Kars-Gyumri border-gate in
the April of 1993.
Afterwards, the authors touched upon the publications appeared in
leading Turkish newspapers, as well as to accumulating the signatures
of the Kars dwellers and the recent rally in Kars during which the
results were published. They conditioned all these arrangements by the
influence of the Turkish-Armenian community and the Polis Armenian
Patriarchy, saying that the latter dictatethe central Turkish
newspapers. At the same time, they condemn Turk-Armenian Business
Union, including the editor-in-chief of Aqos, emphasizing that Hrant
Dinq pays less attention to the propaganda of the Armenian Genocide,
to the attempts to deny the 1921 Kars treaty and the claims for
Turkey’s territorial integrity, as well as he conditions the opening
of the Armenian-Turkish border by closing the Metsamor NPP.
Kalafat and Jabarlu try to teach the Turkish authorities that they
should explain the international community that it is impossible to
open a border that is not recognized by the Armenians. They believe
that Eastern Turkish borders are just a gateway for that separates the
Western and Eastern Armenians as a result of military actions.
The Eurasian Center for Strategic Researches, where the two authors
work, is a state structure. So their article should be considered as a
consistent proof for the policy Turkey undertook against Armenia. As
for the accusations addressed to Armenia, they should testify to “the
more dynamic foreign policy conducted by our republic and to the
success that was fixed.” In this case the accusations are the only
way.
By Hakob Chakrian

Webindia123.com, India
Deepika, India
July 27 2004
Mysore Zoo to gift female elephant to Armenia
Mysore, July 27 (UNI) The Mysore Zoo has pride of place with
contributing to the bilateral ties between India and Armenia as an
eight-year-old ‘Komala’ a female elephant has been selected to be
gifted to the former soviet Republics-Armenia.
It would be flown to Yerevan, the capital of Armenia, from Bangalore
in the first week of September, Zoo Executive Director Kumar Pasha
said.
Following a direction from Prime Minister Manmohan Singh, the Central
Zoo Authority wrote all Zoos in the country asking them to locate a
female elephant to gift it to Armenia. ‘Komala’, born in 1996, would
be a partner to nine-year-old male elephant at a Zoo in Yerevan, he
added.
The Mysore Zoo, has in the earlier occasion, has gifted elephants one
each to Sweden in 1994 and Sri Lanka in 1998.
‘Komala’ was hale and healthy and special care would be taken to
shift her to the new location in the Zoo, he added.
From: Emil Lazarian | Ararat NewsPress

UEFA.com
July 27 2004
Shakhtar show their form
FC Shakhtar Donetsk’s hopes of ending a four-year absence from the
UEFA Champions League group stage were boosted with a win at FC
Pyunik in the first leg of their UEFA Champions League second
qualifying round tie.
Marica scores
The Armenian champions had eliminated FK Pobeda in the previous
round, but fell behind to Mircea Lucescu’s side on the half-hour mark
when 19-year-old Romanian striker Ciprian Marica scored his first
European goal for Shakhtar. Fifteen minutes into the second period,
though, Rafayel Nazaryan levelled for Pyunik, who went out at this
stage against PFC CSKA Sofia last season.
Win sealed
Shakhtar have made a flying start in the new Ukrainian season, and
moved closer to continuing their winning run when Marica scored again
with a quarter-hour remaining. Nigerian Julius Aghahowa, who like
Marica was on target in Shakhtar’s 3-1 league win at FC Dnipro
Dnipropetrovsk on Saturday, ensured a repeat of that scoreline
tonight with a goal eight minutes from time. The two sides meet
against next Wednesday in Ukraine.

ARMENIAN ACADEMIC MUSIC IN 21-ST CENTURY
Azg/am
28 July 2004
The Armenian classical composers have left rich inheritance. Today
this tradition is still alive. The contemporary Armenian composers are
working, creating new pieces. Suren Zakarian, composer, pianist,
laureate of international contests, professor at Yerevan State
Conservatoire, touches upon the issuesof the modern musical
developments, the fate of the musical pieces and the new composers in
the interview to Azg Daily.
– Years ago you were of the opinion that the Armenian composers are
creating bright music that the art-loving audience has no opportunity
to listen to. What ‘s the situation now?
– The social-economic situation wasn’t globally changed, sothe
situation is almost unchanged in our sphere. Everything depends on
financing. The issue of giving royalties for hiring concert halls and
for musicians has occurred. The contemporary music is paid less
attention. This tendency is observed through the world. Here is no
commercial benefit for the organizers of the concerts, the sponsors
and the musicians. There are musicians that would like to include
contemporary music in their repertoire, but they don’t want their
audience to fail understanding the music. Most of all they perform
well-known classical pieces that secure their musical success.
– During the years of hardship Loris Tchgnavorian awoke the people’s
love for music. What can you say about this?
– Today, the audience is brought up as a consumer. The art-loving
society accepts the musical format in which it was brought up. When
listening to a musical piece one should “perform”, i.e. feel together
with the musicians. Each person should find the reflection of his soul
when listening to music. He can understand, feel and estimate all only
through his own inner world. This concerns the art, as a whole. I can
remember that in Moscow during the premiere of Tarkovsky’s “Stalker”
most of the viewers left the cinema hall. Thehigher is the art piece
in its depth, value, sophistication, uniqueness the narrower is the
circle of the people who estimate and accept that piece. This is a
rule anda very natural one. I don’t want to say that all the things
that aren’t accepted in the art are talented, interesting, certainly,
not. The matter is that if there are interesting, valuable pieces they
shouldn’t be placed on the same level with the bad ones.
– There are professional musicians, aren’t there?
– Each professional musician has his own musical taste, orientation
and weak sides. The opinions can’t coincide and this is natural, too.
– Do the times influence the composers?
– From the political viewpoint, no. The musical language is important
for the composer and that is developing constantly. A period comes
when certain styles, musical languages fade. For professionals working
in that language means to be engaged in styling. Today you can’t write
in the language of Chopin and have your own face.
– What do you think, what can contribute to the creative work of the
contemporary artist?
– The artist writes, as he can’t help writing, as he can’t help
expressing his thoughts, feelings. The ordering practice isn’t applied
in Armenia, though it is widely accepted in the world. In the case of
an order you feel secure both from the performing and financial
viewpoints. In Armenia only Aram Gharabekian has ordered music for the
chamber orchestra for 3-4 times to different composers, including
me. This is important in our situation when the composer is given such
an opportunity. Otherwise you have to wait for a lucky chance to
perform your piece. A piece that has been performed only once means
nothing, as it depends on many factors. The performance can be a bad
one, besides, each musician can perform the music in his own
way. Publishers, foundations, sponsors contribute to the development
of culture abroad. The same can be applied in our country, as
well. Videos of contemporary music can be frequently shown on
TV. Artist Henrik Elibekian makes his studio a salon time after time
and organizes musical evenings there.
– Aram Khachaturian is a world-known composer. Why our best composers
aren’t known in the world?
– Khachaturian’s music is accessible and his musical language is
animportant factor. I must say that Alexander Haroutiunian’s music is
also wellknown in the world. The pieces of our other contemporary
composers are paid attention too. But this is not enough.
– Maybe it is because the artists are passive?
– The premier of two my pieces took place in New York. But that
wasnâ=80=99t my initiative and I wasn’t present at the
concerts. Another piece of mine “Monograph” for cello and orchestra
was performed in France at the initiative of the French musicians.
By Aida Arshakian

WHAT IS GOING ON IN CALCUTTA?
Azg/am
28 July 2004
In July 2001 journalist David Zenian signed a very interesting article
in the AGBU Magazine, under the title “The Armenians of India; An
Historical Legacy ” where among the names of the Armenians of Calcutta
mentions J.C. Galstaun saying that he is one of the prominent
Armenians in Calcutta, often called the doyen of the Armenian
community there. He describes that he is a “wealthy merchant left his
legacy by erecting beautiful buildings such as his residence and a
museum and establishing Galstaun Park”.
Another member of the renowned Galstaun Family is Max Galstaun, who is
now the Director of a student home called “The Residency” (established
more than 15 years ago and situated in Kalyani, a suburb of Calcutta),
where 150 needy students are hosted. Max Galstaun, who is Uncle Max to
his children, took over ownership after the death of his father who
founded the Residency.
Other members of the Galstaun family have started large Schools in
Patna, Bihar. Most have emigrated to the United Kingdom, the USA and
Australia.
It is interesting to read about the Armenian legacy in many parts of
the world. If you go to Singapore you will see the Armenian Street
with the Armenian Church (being the oldest Christian worship building
in the tiny State). Isfahan of Iran is famous for its Armenian Quarter
with its many churches.
But there are sometimes disturbing news and scandals related to
Armenian communities. During March and April of the year 2004 we
received a series of e-mail signed by Max Galstaun. Most of them had
some sad information about the Armenians of Calcutta and the fate of
the Armenian College there with stories of violations and abuses (see
letters below).
In mid July 2004 these letters caught the attention of Vartan Ozinian,
who supervises a panel called Grtasser. He sent to the readers of
Azad-Hye.com the following alarming letter, in which he sees a link
between the closing of different Armenian educational institutions
around the world. Here is what he says:
Dear Editor of Azad-Hye, and people dealing with the Armenian Human
resources Development Fundamentals.
Azad-Hye, of Wed. Mar 17, 2004 – 4:20 am, (actually means letter of16
March, due to time differences) published two subsequent messages of
Mr. Max Galstaun in relation with children from Armenia enrolled in
the Calcutta Armenian College (we presume the good old
“Philanthropists College of Armenians” founded 1820 in Calcutta-India)
In its mails Mr. Galstaun, living in Calcutta, was describing an
alarming situation related to the children and the school. He had
written: “We need investigative journalists to contact us, so that we
can deliver documents concerning this racket”. â=80¦ “The Catholicos
has received written complaints andknow what is going on. Then why
silence”?
Grtasser-panel of Pro Educatio has tried to get in touch with
Mr. Galstaun. We have not been successful yet. In substance, before
rushing an international investigative journalist, we need more
information.
Could you please relaunch our request? For we consider that the long
date endemic crisis in the Armenian School sector became an acute
epidemic threatening the All Armenian Commonwealth, in the most
radical way.
We copied this mail for people who are especially dealing now with the
Melkonian Educational Institute (MEI) crisis.
At present we are not suggesting to the volunteer protectors of the
MEI to handle also the problems of the Armenian Philanthropists
College in Calcutta. For we believe in tackling “one thing at a time”
process, concentrating all forces for the defense of the MEI is the
priority, indeed.
Nevertheless we just would like MEI volunteers to know that some
people are systematically working to annihilate the very basis of the
Armenian Human Resources Development in many places, such as Cyprus
and India. Those annihilators think probably that nobody will be aware
of their “razzia” or nobody will react.
Ladies and gentlemen, please wake up and act / react. It is time. It
is not too late. We warn you: pay far more attention to what persons /
personalities / groups are doing, than paying consideration to the
heights of their rank in the institutions or in the society. That’s
how, we think, you couldcontribute to the “health” of your All
Armenian Commonwealth.
The friendless and miserable Calcutta Armenians would love to have
some dear friends like Dr. Chatterji (see below for the story of
Dr. Chatterji with the Armenians). Today, they are abandoned on the
dust heap of history. Their properties have been squandered and
disposed in all manners of shady deals.The School, Armenian College,
which Mr. Guzelian writes is now closed to the Calcutta Armenians and
their children. The Catholicos of Etchmiadzin, who is the
Administrator of the School, turns a blind eye to all the cries of the
children who are being tortured and abused. The girls are told too
shut up or they would be whores in Armenia. These are the despicable
words of the “Manager” Mrs. Sonia John, appointed by the Catholicos
of Etchmiadzin. Girls in the Schoolbathe in the open, without
curtains. The poor Armenian Priest who objected to all this, the
Revd. Gulgulian, could not keep shut anymore and spoke out against the
tyrant Mrs. John on Palm Sunday. Mrs. John did not send the pupils to
Church, instead she sent 12 Policemen and guards to the Church. The
Revd. Gulgulian took extreme offence to the policemen and asked them
to leave. They refusedto listen to him and refused to leave the
Church! During the Sermon the Rev. Priest condemned the tyrant and
exhorted the faithful to drive her out of the Church. Poor man! She
phoned the Catholicos at Etchmiadzin and the Rev. Gulgulian was
ordered back to Armenia. On Easter Sunday, the much chastened man,
seeing the power of the despot with the help of the Catholicos of
Etchmiadzin expressed his sadness for the poor Armenians he would be
leaving behind to the mercy of the tyrant, Mrs. Sonia John. Where are
the friends of the tiny Armenian community of Calcutta?
Revd. Gulgulian is back in Armenia, the Church has no services this
Sunday, as the care of the souls of the Armenians is not the priority
of the Catholicos of Etchmiadzin.
Young Girls Abused in Calcutta, India
13 April 2004
The regime of Mrs. Sonia John has brought in about 25 girls from
Armenia. Got them “adopted” by the Church? The Revd. Priest one day
saw the girls bathing as they did not even have curtains. He was
shocked and asked Mrs. Sonia John why the girls had to bathe in this
naked fashion ? She replied “What are you going to do, buy them
curtains?” This is the depravity the girls must put up with as they
are “orphans” from Armenia.
When the poor things ask for certain things they are told: “Shut up
and stop asking for things. If I did not bring you to Calcutta you
would be PROSTITUTES IN ARMENIA!”
Maybe when you read this, whoever you are, your heart will ache for
these poor girls and you will feel compelled to do something. Like
writing to the Catholicos of Etchmiadzin who has been appointed the
administrator by the Court in Calcutta. Please write to him about your
disgust.
Armenian Human Rights: Same Old Story Here in Calcutta
7 April 2004
There seems to be something in the Armenian character that does not
tolerate dissent. Here in Calcutta the meetings of the Armenian
Community are held by the ruling regime with the help of the corrupt
police and criminals. Votersare intimidated. Opposition is not allowed
into the meeting and is driven away by the criminals. Just about 15
people vote for a Trust property worth more than 500 million
rupees. They are the ones allowed to vote by the criminals.
Fred Babakhanian a young refugee from Iran, who stayed in Calcutta for
more than 20 years, who voiced his opposition to the regime of
criminals, was put away on a false charge of being without a visa. He
has spent over 3 years in jail even though he applied for refugee
status. The regime did not like him, they paid the police to fix this
poor young man. Spare a prayer for him. Just 100 US dollars will get
him out of jail.
Armenian Trusts in Calcutta
3 April 2004
There exist a number of trusts in Calcutta, India, intended to benefit
Armenians in Julfa, Iran (St. Mary’s Church Committee) and even
Rostov-on-Don (Nakhichevan) St. Catherine’s Monastery and many other
beneficiaries. The Apcar family Trust is a very large one being
fraudulently dealt with to benefit scamsters and rogues. The Trustees
are all into scams. The properties ownedby these Trusts can generate
millions of dollars for the beneficiaries, but since none show
interest in the matters the Trustees are into huge frauds with these
properties. If there are persons interested in these trusts, they
could getin touch with me through email and then the benefits could be
realized.
Trafficking in Armenian Children
16 March 2004
Dozens of children have been brought to Calcutta, India to study in
the once famous Armenian College. These children lead a very secretive
life. No local Armenian is allowed to speak to them. People who have
worked in the Armenian children are constantly relaying information
that these children are unhappy. The children are being abused and
treated very cruelly. I have seen with myown eyes the behavior of the
Managers of the School: They get almost violent, if the children are
even approached or if some local Armenian even speaks to them. The
children are beaten black and blue and tortured in various ways. Some
of them are orphans from Armenia and have no other place to return
to. They have to accept the torture. Many want to return to Armenia
and have cried in front of witnesses. If they are caught crying, they
are beaten again. How long must our children suffer? Do we all have
hearts of stone? Do we not care? We local Armenians need support to
get rid of this tyrant.
The Administrator appointed by the Supreme Patriarch is a totally
corrupt person. Notices have been published in the local newspapers
pointing out that she is a fraud. Yet, the Supreme Patriarch in
Yerevan sits blissfully unaware of what is going on in the Armenian
College, Calcutta. Funds donated to the Armenian College have been
used to build a “gorgeous” “beautiful” Armenian Embassy in New Delhi?
Why this route of donating to the School and then to the Embassy? Is
there money laundering going on here? The Administrator of the College
states that “all Armenian women are whores!” The Catholicos has
received written complaints and knows what is going on? THEN WHY THE
SILENCE?

Moscow Times
July 28 2004
Great Game Over
By Ian Bremmer and Nikolas Gvosdev

The new great game is over — it ended in a draw. Russia failed in
its attempt to monopolize the Caspian region’s energy transportation
links; the construction of the Baku-Tbilisi-Ceyhan pipeline, in
particular, ensures that not all Caspian oil will cross Russian
territory on its way west. On the other hand, exclusive transport of
Central Asia’s gas reserves remains in the control of Gazprom, and,
as in Soviet times, will continue to pass through Russian-controlled
routes.
Moscow cannot prevent limited U.S. inroads into Central Asia, but
given the traditional dependence of Central Asian governments on
Moscow, Russia will remain a heavyweight regional player for the
foreseeable future.
There is nothing further to be gained by either side from
geopolitical gamesmanship, but there is much to be won through
partnership.
Given the United States’ current range of security commitments around
the world, it is more vital than ever that Washington diversify its
energy supplies. Russia too has much to gain from a cooperative
relationship with the West in the exploration, exploitation and
transport of Caspian-area energy reserves.
The foolish zero-sum notion that there are a certain number of
barrels of oil in the region to be fought over by the regional powers
is dangerously shortsighted, particularly at a time when the world’s
hunger for energy is growing so quickly and ever more pipelines and
export routes are needed to get supplies to market. The United
States, EU, China, Russia and other Caspian states should view the
Caspian area as a single integrated energy marketplace. Together they
should begin a comprehensive Eurasian energy dialogue that will bring
together the major outside investors — especially the United States
and EU — with the region’s key actors, especially Russia, Azerbaijan
and Kazakhstan.
One element of this dialogue should be economic — helping to direct
investment where it can bring the most effective return. Joint
projects that combine the skills, resources and assets of Western,
Asian and Russian firms can bring online energy deposits that would
otherwise remain in the ground.
Another part of the dialogue should center on those challenges to
regional security that threaten new investment. Chechen insurgents
would very much like to produce a wider war across an area of
southern Russia vitally important to the transport of Caspian energy
products. The threat of violent Islamic extremism has led to
crackdowns by the authoritarian Central Asian regimes.
Governments must also battle the influence of organized crime if they
are to attract investment in energy projects. Porous borders,
smuggling and the drug trade, in particular, threaten the social and
political stability necessary to establish a long-term international
energy investment project.
Yet opportunities for real U.S.-Russian security cooperation in
Central Asia are not being exploited. In Kyrgyzstan, both the United
States and Russia maintain military bases and both ostensibly serve
the same purpose — to prevent the spillover of Islamist terrorism
into Central Asia. Yet U.S. and Russian forces have no mechanism for
joint action, not even the ability to communicate by cellphone.
Creating a joint U.S.-Russian base under the aegis of a NATO-Russia
partnership, a proposal Kyrgyz President Askar Akayev has publicly
endorsed, could lay the basis for practical cooperation that could
then be extended, both to the countries in which Russia enjoys the
dominant foreign influence (such as Armenia) and those seeking
greater integration into Euro-Atlantic institutions (such as Georgia,
Uzbekistan or even Azerbaijan).
Russian and Western intelligence-gathering capacities complement one
another. Russia continues to have the most effective network of
contacts in Eurasia.
First steps have already been taken in coordinating intelligence
collection, marrying Russia’s considerable human intelligence
capabilities with American technological capacity. Russia and Western
governments should create a new security organization, grounded in
the NATO-Russia Council, which would develop joint institutions for
joint security challenges.
The United States and Russia have already produced some positive-sum
security interactions, in helping to resolve Georgian President
Mikheil Saakashvili’s standoff with Aslan Abashidze, for example.
Fears have risen in Russia and in Armenia recently that the added
revenue produced in Azerbaijan by increased hydrocarbon production
and transport could finance a new round of violence over the disputed
region of Nagorny Karabakh. Joint operations in Bosnia and Kosovo —
in which Russian and NATO forces collaborated in peacekeeping for the
first time — provide a precedent for extending such cooperation to
potential trouble spots where instability threatens both Russian and
Western interests.
There are few areas where a Russian-Western partnership can realize
more mutually beneficial economic, political, and security goals than
in Central Asia.
Successful partnerships there will encourage useful Russian-Western
partnerships elsewhere, as in the construction of new Siberian
pipelines to the Pacific.
Missing the opportunities such a partnership might provide will
threaten the stability of a region vitally important to both the war
on terrorism and the development of future sources of energy.
Ian Bremmer is president of the Eurasia Group and a senior fellow at
the World Policy Institute. Nikolas Gvosdev is executive editor of
The National Interest. They contributed this comment to The Moscow
Times.

ARTIFICIAL RISE OF DRAM EXCHANGE RATE IS HARDLY POSSIBLE: CB CHAIRMAN
YEREVAN, July 27, (Noyan Tapan). The drastic increase of the exchange
rate of the Armenian dram against the foreign currencies (includung
U.S. dollar) is conditioned by objective reasons, particularly the
augmantation of private transfers, Tigran Sargsian, Chairman of the
Central Bank of Armenia stated at the “Regional Bridge 2004”
international business-meeting held on July 24. He noted that during
this year the volume of private transfers has increased greatly
compared with the previous year – by 43%. Cash worth about $100m
enters Armenia through tourists and private transfers from abroad each
year. According to T. Sargsian, buying and selling deals worth $35-60m
are carried out in the Armenian market weekly. At least $5m needs to
be injected to affect artificially the exchange rate in such a market,
which is a great risk and that’s why “No reasonable peson would do
it”. T. Sargsian believes that the short-time appreciation of the dram
could not have an impact on the prices of goods. The changes of the
exchange rates affect the prices during a long period and the price
chnges is connected with the average exchange rate of the
year. Armenia has conducted a policy of floating exchange rate,
i.e. the state does not interfere the currency rates. Growth of prices
is paid most attention to. It made up 4.5% during the 6 months of the
current yearwith the target set at 3% growth for the year. According
to the CB Chairman, interference of the state aimed at stabilizing the
exchange rate will lead to the increase of quantity of the Armenian
dram that will stimulate infliation. The liquidity of the dram has
gone up and the domains if its use have increased recently. That’s why
the CB declined the interest rate of re-financing to 5%, the lowest
level existed so far.

$400-500M DOLLARS INVESTED IN ARMENIA EACH YEAR
TSAGHKADZOR, July 27, (Noyan Tapan). Several international companies
have placed bids for the Copper-molibdenum enterprise of Zangezour
that is to be privatized this year Tigran Davtian, Deputy Minister of
Trade and Economic Development of Armenia stated at the “Regional
Bridge 2004” international business conference. He noted that the
package of the shares of the enterprise are estimated about $130m and
the investment package – about $0.5bln. According to T. Davtian,
approximately 2,500 companies work in Armenia through foreign capital.
Each year foreign investments in Armenia make $200-250m. Domestic
investments are about of the same amount. The attractiveness of the
country for foreigners is due stable economic growth and liberal
economic policy conducted by the govermnent. The foreign debt of
Armenia reaches over $1b or about 38% of the GDP which is an afordable
level for countries with developing economy. T. Davtian indicated that
the budget deficit of Armenia formed about 2% of the annual GDP during
the last years. And now it was possible to provide even state budget
proficit based on internal funds only.

ARMENIA SURPRISED THAILAND MPs AS A COUNTRY WITH A GREAT POTENTIAL IN
THE SPHERE OF HIGH TECHNOLOGIES
YEREVAN, JULY 27, NOYAN TAPAN. From 21 to 27 of July the
Thailand-Armenia deputy group of friendship of the Thailand Parliament
visited Armenia. Deputy groups of frienship have been functioning in
Parliaments of Armenia and Thailand since 2001, however, this was the
first visit to Yerevan by Thailand MPs. The parliamentary delegation
of Armenia is likely to visit Thailand in December 2004 or January
2005. Before that time agreements to be signed in the spheres of
tourism and culture must be prepared. This information was announced
by the heads of groups of friendship functioning in both countries –
Koryun Arakelian, a member of the “National Unity” faction of the NA
of RA and Said Kulharoen, a senator from Thailand at a joint press
conference on July 27. According to S. Kulcharoen, the aim of the
parliamentary friendship groups is to contribute to the establishment
of links between the parliaments, as well as the development of
relations between the counties. The Thailand-Armenia parliamentary
group of friendship is composed of 36 members, including present and
former senators and deputies. It is one of the 35 groups of friendship
functioning in the Parliament of Thailand. Kulcharoen said that
Armenia impressed them not only as an ancient country with a unique
culture and people, but also as a country with a great potential in
the sphere of new technologies. The latter factor may become a good
incentive for the development of further cooperation between the two
countries. On behalf of the delegation he expressed gratitude to the
Armenian side for excellent organization of the reception. As Koryun
Arakelyan noted, they had made every effort to introduce the Thailand
partners to the state of Armenian economy, people’s life, culture,
historic and cultural sights of Armenia. Meetings with representatives
of the executive power were also organized. The delegation visited a
number of industrial enterprises, including a joint Armenian-Thailand
diamond cutting and jewelry enterprise. According to him, a similar
enterprise also functions in Thailand.