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20 PERCENT OF CENTRAL BANK'S DECISIONS ARE UNCONSTITUTIONAL
Lragir, Armenia
Dec 8 2006
According to Article 88.3 of the Constitution, the Central Bank
deals with inflation, and afterwards it is set down that the Central
Bank conducts a monetary and loan policy. "One of the functions of
the Central Bank is to control the inflation. The Central Bank is
supposed to conduct a monetary and loan policy. In other words, in
Armenia it is vice versa," stated the former prime minister of Armenia
Hrant Bagratyan on December 8, mentioning that it is impossible to
find another such country, while in Armenia 20 percent of the Central
Bank's decisions are unconstitutional. "A totalitarian regime has been
established in the banking system." This allows Bagratyan to suppose
that the Constitution was adopted "hastily, everyone included several
chapters on their own." He thinks that serious problems are emerging
in the banking system, the ways of solution are there but are not used.
For instance, when the president of the Central Bank says the dollar
amount that comes to Armenia is large, which causes the depreciation
of the dollar in Armenia, the dram revaluates, the government or the
minister of finance should say, "you do not pay salaries, we pay, and
it is harmful for the budget, it is harmful for the economic growth."
The budget of the country with a 10 percent economic growth should
grow by 30 percent, states the former prime minister. Or if the dollar
amount is large, why does the Central Bank sell stocks in drams and
reduce the dram amount. "It should have sold in dollars."
Or if the dollar amount is large, why was the gold sold in dollars?
"Nobody demands account for their actions. Statements are OK, but
there are facts. There is no response. There is only a brazen smile.
How about our children?" says Hrant Bagratyan and proposes: "Columbus
discovered America, he discovered gold, the gold came to Spain, and
everything became expensive. If an annual 1.3 billion dollars comes,
you can put it somewhere and develop. We have 21 banks but we lack
systems of development."
"The Central Bank has other rights to sell stocks. It appears that
the head of state trusts the president of the Central Bank, gives
everything to him," says Hrant Bagratyan. He suggests changing the
entire structure of the Central bank rather than replacing separate
peope. "We need a fresh breath."
Lragir, Armenia
Dec 8 2006
According to Article 88.3 of the Constitution, the Central Bank
deals with inflation, and afterwards it is set down that the Central
Bank conducts a monetary and loan policy. "One of the functions of
the Central Bank is to control the inflation. The Central Bank is
supposed to conduct a monetary and loan policy. In other words, in
Armenia it is vice versa," stated the former prime minister of Armenia
Hrant Bagratyan on December 8, mentioning that it is impossible to
find another such country, while in Armenia 20 percent of the Central
Bank's decisions are unconstitutional. "A totalitarian regime has been
established in the banking system." This allows Bagratyan to suppose
that the Constitution was adopted "hastily, everyone included several
chapters on their own." He thinks that serious problems are emerging
in the banking system, the ways of solution are there but are not used.
For instance, when the president of the Central Bank says the dollar
amount that comes to Armenia is large, which causes the depreciation
of the dollar in Armenia, the dram revaluates, the government or the
minister of finance should say, "you do not pay salaries, we pay, and
it is harmful for the budget, it is harmful for the economic growth."
The budget of the country with a 10 percent economic growth should
grow by 30 percent, states the former prime minister. Or if the dollar
amount is large, why does the Central Bank sell stocks in drams and
reduce the dram amount. "It should have sold in dollars."
Or if the dollar amount is large, why was the gold sold in dollars?
"Nobody demands account for their actions. Statements are OK, but
there are facts. There is no response. There is only a brazen smile.
How about our children?" says Hrant Bagratyan and proposes: "Columbus
discovered America, he discovered gold, the gold came to Spain, and
everything became expensive. If an annual 1.3 billion dollars comes,
you can put it somewhere and develop. We have 21 banks but we lack
systems of development."
"The Central Bank has other rights to sell stocks. It appears that
the head of state trusts the president of the Central Bank, gives
everything to him," says Hrant Bagratyan. He suggests changing the
entire structure of the Central bank rather than replacing separate
peope. "We need a fresh breath."