Armenia’s GDP grows by nine per cent in first half of 2004
Noyan Tapan news agency
20 Jul 04
YEREVAN
Armenia’s GDP grew by 9.1 per cent in January-June 2004 in comparison
with the same period last year and totalled 600,035,600,000 drams
(about 1.12bn dollars). The republic’s industrial output grew by 4.5
per cent in the reported period, while agricultural output and retail
trade turnover increased by 6.8 and 10.1 per cent respectively. Exports
and imports went up by 7.2 and 3.8 per cent respectively.
The GDP deflation index reached 106.2 per cent, and there was a
4.5-per-cent growth in consumer prices in comparison with December
2003.
The population’s money incomes increased by 19.2 per cent, whereas
expenditure went up by 18.2 per cent, the Armenian National Statistics
Service said. There were 115,000 officially registered unemployed as
of late June.
In the reported period, the rate of the dram for the dollar was 558.18
drams.

Azerbaijan may bankrupt company printing money for breakaway Karabakh – TV
Azad Azarbaycan TV, Baku
19 Jul 04
[Presenter] The Educational Coin Company of the USA does not intend to
stop its campaign to promote the illegal money being printed for the
Karabakh separatists. In response to a query from the Azerbaijani
government, the company said that it is carrying out the promotion
campaign on the basis of a contract. All issues that cause
controversy must be resolved by the sides themselves, the company
said.
[Correspondent over archive footage, web page of Education Coin
Company] The National Bank of Azerbaijan [NBA] has received a reply to
its protest letter sent to the Educational Coin Company of the
USA. The bank protested against the printing of the money under the
name of the self-styled Nagornyy Karabakh Republic [NKR] and demanded
that the printing of the money be stopped.
The company said that Azerbaijan’s claims were true only to some
extent. The company confirmed that it promoted the money of the
separatists but said that another body is printing the money. We are
only promoting the money and in accordance with the mutual agreement
we cannot disclose who prints it or from whom we receive the 10-dram
and 20-dram banknotes presented as the currency of the NKR. This is a
secret. The Education Coin Company also said that it could not stop
its promotion campaign because of the contract with the unnamed body.
Then the NBA asked international experts to track down the company
which is printing the money for the Karabakh separatists. There are
only two companies in the world which produce money-printing
equipment. They either sell the equipment to well-known and affluent
companies or to states. Currently, the NBA and the Azerbaijani Foreign
Ministry continue their investigation into this. If the investigation
reveals the name of the company printing the money, then the
Azerbaijani government will sue it and this could result in the
bankruptcy of the company in question, the NBA said. However, if it is
revealed that the money are being printed under the aegis of a country
then this would lead to an international scandal because the currency
is considered an official attribute of a sovereign state and therefore
Azerbaijan will immediately issue a protest note. End of quote.
As for the separatists, they want to increase the amount of money in
circulation. To recap, the 10-dram and 20-dram banknotes feature the
writing “NKR” and Azerbaijan’s national ornaments and historical
monuments like the Xudafarin bridge [between Azerbaijan and Iran, in
the southwestern Cabrayil District now controlled by the Armenian
forces]. Like the national currency of Armenia, these notes are also
called drams.

Voice of Russia starts broadcasting on FM in Georgia and Armenia
RIA news agency
20 Jul 04
MOSCOW
The Russian State Radio Company, Voice of Russia, has started
broadcasting internally in Georgia and Armenia. In Tbilisi and
Yerevan, Voice of Russia programmes are broadcast on FM for six hours
every day, the broadcaster told RIA-Novosti.
In Yerevan programmes from the Commonwealth channel are available
between 0800 and 1000 and between 2000 and 2200. From 1145 until 1900
the news programme Voice of Russia can be heard for the last fifteen
minutes of every hour. The programmes are rebroadcast on 103 FM.
The programmes of Russian International Radio and the Commonwealth
channel are broadcast in the Georgian capital from 1000 to 1300 and
1900 to 2200 on 99.8 FM.
“Now Voice of Russia is exploring the possibility of partnership in
Azerbaijan,” the company said.
Since April, Voice of Russia programmes have been broadcast internally
in Lithuania and in all the major towns in Crimea.

“VERATSNUND” NEWLY-ESTABLISHED PUBLIC ORGANIZATION UNITES VETERANS OF
SPECIAL DETACHMENTS OF POLICE
YEREVAN, July 20 (Noyan Tapan). “The main goal of the organization
established by us is to assist to strengthening of the power of the
Armed Forces of Armenia by means of preparation and education of the
young generation,” Yuri Hovhannisian, a representative of the
organization, declared at the July 20 press conference dedicated to
presentation of the “Veratsnund” (“Revival”) new public organization.
At the press conference it was mentioned that the new organization
united the veterans of special detachments of police. There are many
participants of 1990-94 military operations on the Armenian-Azeri
border among the veterans of the organization. Y.Hovhannisian told the
journalists that “Veratsnund” is a centrical pro-governmental
organization: “We don’t conceal this.”
Assistance to social condition of the veterans of special detachments
of police, as well as provision of stability in the home political
life of the country are among the top priority tasks of the
organization. Answering a question of Noyan Tapan, how does the
organization intend to provide stability, Yuri Hovhannisian said that
the organization plans to render assistance to the state in
preparation of military cadres. In particular, the corresponding
program was worked out, which includes a number of arrangements on
preparation of young men for army. He assured that soon these
arrangements will be held in a number of schools.

IRAN NEEDS TO FIND SOME $30 BLN FOR EXPORT OF GAS TO WORLD MARKETS
YEREVAN, JULY 20. ARMINFO. Iran needs to find $30 bln to export its
gas to world markets. General Director of the national company of
export of Iranian gas Rukuddin Javadi said, Iran.ru informs.
During the seminar “Energy development and cooperation” Javadi said,
now Iran exports 10 bln cubic meters of gas to Turkey per a day, and
the export of Iranian gas to UAE will begin in 2005, and in 2006 to
Armenia and Nakhichevan. Since 2009 Iran will start the export of
liquified natural gas to the markets of Europe, Asia, and first of
all, to China and India. He added that according to the last
statistical data, gas production level in Iran totals in average 313
mln cubic meters per a day, and till the end of the 4th program of the
economic development this level will reach 586 mln cubic meter per a
day.

ARMENIA’S PREMIER MEETS WITH AMBASSADOR OF GERMANY TO ARMENIA
YEREVAN, JULY 20. ARMINFO. Prime Minister of Armenia Andranik
Margarian today met with Germany’s Ambassador Extraordinary and
Plenipotentiary to Armenia Hans-Wulf Bartels, who is completing his
diplomatic mission in the republic.
Arminfo was informed in the press office of the government, during the
meeting the prime minister has highly assessed the activities of the
german diplomat in Armenia, his contribution to the development of
Armenian-German political and economic relations. The prime minister
has stressed the necessity of further deepening of the relations of
Armenia and Germany as one of the important members of the European
Union. Andranik Margarian has also mentioned that despite the
achievement there are still probabilities which have not been used
fully, in particular, in the plan of bilateral economic relations,
establishment of joint ventures, increase of the volume of trade
turnover.
In his turn, the ambassador mentioned with satisfaction the effective
visit of the prime minister of Armenia to Germany in June of the
current year and expressed hope that it will attache an additional
stimulus to the development of economic relations between two
countries. At the end of the meeting the prime minister wished the
German diplomat a success in his further activities.

FORTHCOMING REFORMS OF ELECTORAL LEGISLATION OF ARMENIA MUST AIM TO
ENSURE ELECTORAL ADMINISTRATION: GAREGIN AZARIAN
YEREVAN, JULY 20. ARMINFO. The forthcoming reforms of the electoral
legislation of Armenia must aim to ensure electoral administration for
conducting free and fair elections. Chairman of the Central Electoral
Commission of Armenia Garegin Azarian told ARMINFO.
According to him, CEC has prepared a whole package of proposals
concerning the reformation of the Electoral Code of Armenia and if the
National Assembly wants to hear the opinion of the CEC when discussing
the package of reforms of the Electoral Code, then he is ready to
introduce the deputies with his considerations. Azarian thinks that it
is necessary to supply all the electoral districts with computers, and
negotiations is being conducting with OSCE concerning this
problem. Retraining of members of local and regional electoral
committees is necessary, the head of the Central Electoral Commission
of Armenia thinks, and not the political parties, but the power must
appoint the members of the electoral committees. Garegin Azarian is
surprised with the fact that no political party of the country except
the party “New times”, headed by Aram Karapetian, has not expressed a
desire yet to meet and discuss with them the changes in the Electoral
Code.
Concerning the proposals of the Venice Commission of the Council of
Europe concerning the reforms of the electoral system in Armenia
Garegin Azarian informed that he knows them and agree with them almost
100% except the sentence to take a finger-print from the electors.
From: Emil Lazarian | Ararat NewsPress

BAKU TO TRY TO DISCREDIT MINSK GROUP
Azg/am
21 July 2004
Azeri Authorities and Mass Media Criticize Co-Chairs’ Last Visit
Both official Baku and the Azeri press are obviously displeased with
Yuri Merzliakov and Steven Mann, Russian and American Co-Chairs of the
OSCE Minsk Group. After the negotiations with Mamediarov, foreign
minister, Abiev, defense minister and Aliyev, President, in the course
of the press conference Steven Mann refused to call Armenia aggressor
and Yuri Merzliakov characterized the four formula of the UN Security
Council as “a decision adopted in another reality.”
“We have no judicial plenipotentiaries that would help to decide which
of the sides in conflict has undertaken a fair position,” said the
American diplomat in reply to the question “Do you accept that the
Azeri territories are occupied and who is the occupant?” The Co-Chairs
were in the region on July11-17. The new about this visit was the
fact that the mediators met with the political figures, deputies, NGO
representatives in Baku, Stepanakert and Yerevan, besides the
officials of the sides in conflict.
The Azeri Defense Minister told the Co- Chairs that Nagorno Karabagh
conflict can’t be settled unless the Azeri occupied territories are
liberated. Abiev said that UN Security Council’s four formulae should
be applied and OSCE should take the relevant decision.
Mann contradicted the statement made by Abiev and said that the
Nagorno Karabagh conflict shouldn’t be settled by OSCE. “The Nagorno
Karabagh conflict can be settled by Armenia and Azerbaijan only, while
the Minsk Group can only contribute to that.”
Merzliakov contradicted Abiev too. “We try to find the peaceful
solution to the conflict and help the sides to make the decision. The
four formulae of the UN Security Council were made in the conditions
of other reality and today they can’t be carried out. The deadline of
the commitments has expired and it’s time to find a new variant of
settlement,” said the Russian diplomat.
The UN Security Council has adopted four formulae on Nagorno Karabagh:
# 822, 853, 874 and 884, that clearly state that “the local Armenian
forces” should leave the occupied Azeri territories. Abiev, on his
turn, didn’t agree with Mann and Merzliakov and emphasized that the UN
commitments were complied in Yugoslavia and Iraq and he hoped that the
time will come when the abovementioned four formula will be applied
for the Nagorno Karabagh settlement. President Ilham Aliyev stated
once again that the activities of the Minsk Group had no results.
Aliyev spares no efforts to compromise the Minsk Group, denying the
achievements of the group in the conflict’s settlement. This can mean
that Baku tries to transfer the Nagorno Karabagh conflict settlement
to another framework, for example, to the EU.
The position of the united Europe, particularly that of France, is
worth mentioning. Henry Jackelen said: “If this format (OSCE Minsk
Group) yields no results the mediator’s plenipotentiaries can be
passed to the EU. But I must remind that neither the EU nor the UN
didn’t express readiness to undertake the responsibility.”
Indeed, the EU hasn’t expressed readiness to undertake a mediator’s
role in Karabagh, but, on the other hand, Brussels is discussing the
possibility to participate in the Karabagh settlement. Javier Solana,
the EU Responsible for Foreign Policy Issues, said this after the
meeting with Ilham Aliyev, last May.
The positions of Baku and Brussels concerning Karabagh settlement are
quite close today. Thus, Baku demands the withdrawal of the Armenian
forces from the Azeri regions, the EU demands the same. Azerbaijan
accepts the stage-by-stage version of the settlement, so the EU does.
One shouldn’t exclude that the EU “New Neighbors” initiative (Armenia,
Azerbaijan and Georgia) will become the means to make Brussels feel
more confident in the Caucasus. Solana said: “New Neighbors”
initiative that is suggested to these countries can help the EU
participate in Karabagh settlement on a new level.
The possible involvement of the EU in the settlement process is not
desirable for Armenia and Nagorno Karabagh for other reasons
too. Thus, Solana accepts not only the stage-by-stage settlement of
the problem but also Turkey’ participation in the process.
Besides, Brussels doesn’t find the territorial integrity and the right
for self-determination primary issues. They consider the South
Caucasus a united economic area, where democracy, human rights
protection should be primary issues. The EU care neither for the
basic essence of the Nagorno Karabagh conflict nor for the results of
the war. To be more correct, the results of the Karabagh war are
important for other reasons: the Armenian forces should be withdrawn
from the regions they control against the probable agreement of
Azerbaijan to stop the blockade of Armenia.
Henry Jackelen stated in Stepanakert and Baku that the possibility of
a new war is bigger unless the issue of “the occupied territories”
isn’t solved. While the simple logics prompt that the current
cease-fire is conditioned by the security chain created by the
Armenian armed forces. And on the contrary, in case the Armenian
forces retreat the possibility of a war grows.
By Tatoul Hakobian

CILICIA’S FIRST MOORING SUCCESSFUL
Azg/am
21 July 2004
The Armenian “Cilicia” has moored in the most honorable place of the
Sochi harbor in “Morskoj Vokzal” and attracts the attention of Sochi
dwellers. Poti-Sochi voyage that took place on July 14-16 was a hard
one. Hmayak Tarakhchian, deputy chairman of the Marine Research Club,
Head of the Shore Coordination Headquarter, the tension was a natural,
a ship of this kind is on the sea for the first time. On the first day
of the voyage the weather was nasty, the wind was strong and waves
were huge. The seasickness was a great problem for the sailors but the
guys came over it. The sailors had to change the canvas
constantly. The two steering oars were broken, but the sailors used
the spare ones.
On July 17 after the document checking, the sailors met with the
Armenian community representatives. The Armenian community cared for
the staying expenditure of the crew. At present they solve the problem
of the engine and the steering oars.
“Cilicia” will stay in Sochi for two days and he will leave for the
next harbor on July 22. If the weather allows the sailors will be able
to land in Tuapse on their way to Noworosiysk. Otherwise they will
leave for Noworosiysk straightforwardly.
There are 17 sailors on the ship at present. Some of them will stay on
the ship only for the half of the way, but other members of the club
are unlikely to join the voyage, as Hmayak Tarakhchian said that 12
sailors are enough for navigating the ship. As for Zori Balayan, he
feels fine and doesn’tthink of coming back.
Glory to brave Armenian sailors! Bon voyage!
By Tamar Minasian

TURKEY TO DECLINE PRESIDENCY AT OSCE?
Abdullah Gul Explains
Azg/am
21 July 2004
Arminfo, citing Anatolu news agency, informs that the Turkish deputy
prime minister and foreign affairs minister Abdullah Gul officially
stated that Ankara declines the OSCE presidency term of 2007. Gul
refuted all the rumors that Armenia is the cause of this decision.
On June 14 Vartan Oskanian, foreign affairs minister of Armenia,
declared at Washington Center for Strategic and International Studies
that Armenia will veto Turkey’s presidency at the OSCE because of the
policy Ankara adopted against Armenia. “The OSCE presiding country has
to have relations with allmember states”, Oskanian declares.
Meanwhile Gul explains the refusal saying that the 2007 is the year of
Turkey’ s presidential elections and they cannot effectively preside
at the OSCE asa result. Gul’s excuse seems strange as far as the
Turkish officials were well aware of the elections in their country
while running for the OSCE presidency.
The foreign affairs minister of Cyprus said earlier that Turkey
refused the presidency as considered the probability of veto from
Armenia.
The USA State Department spokesman Richard Baucher declared: “Turkish
diplomats in the OSCE informed that Ankara turned down its candidacy
as theTurkish government will have other problems to consider in
2007. They said that won’t be able to run a decent tenure, and we
respect their decision”.