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EXAMINATION FOR THE GOVERNMENT
KAREN NAHAPETYAN
Hayots Ashkharh Daily
12 Dec 2008
Armenia
Head of the Armenian Office of the World Bank Aristomene Varudakis
informed recently that the Armenian government, in cooperation with the
World Bank, is elaborating a project to confront world financial
economic crisis.
`We are working on two principle goals,' he said and added that they
are making efforts to improve the indexes of the credits allocated to
the small and average business. For the second direction they preview
to elaborate the project of public investments. In this framework they
will show assistance particularly to the spheres of transport
communication, energy and water supply.
The elaboration of the anti-crisis project must naturally be a matter
of concern for any government but is it right to pin our hopes only on
the investments made by the foreign organizations.
Lets start from the fact that without the restriction of corruption it
is impossible to implement any anti-crisis project. Because it will
lead to robbery and corruption.
That is why what we really need is to:
a) Hold demonstrative anti-corruption court proceedings to scare them.
b) To define legally and to practice a clause according to which the
bribe-giver is freed from liability on condition that the latter
cooperates with the investigative body.
c) To hold similar activity like the American `Sheikh=E
2: to propose
bribes in huge amounts to the employees of the state apparatus and
deprive them of the right to work in the state service, for life.
It is evident that in conditions of the crisis it is very important to
ensure social stability. For which we need:
a) To ensure the minimum consumer basket of each citizen.
b) To struggle against the reasons of the inflation, aimed at stopping
the latter. To control the activity of the oligarchs and to raise the
fines for artificial inflation.
In case of the sharp fluctuation of prices the corresponding state
structures must have the right to firstly bring them to the previous
level and only after that to conduct investigation, because it will
take months.
g) To make corrections in the budget of 2009 taking into account the
possible influence of the world financial-economic crisis. To define
minimum level of state expenses.
It is appropriate in the real sector of the economy:
a) To separate the enterprises of strategic and social importance and
to pursue special policy towards them. For example to close the
`cashbox cracks', to be able to allocate short-term credits for them.
In case they face serious financial problems to show financial
assistance, with strict control.
b) To establish an agency of Economic Reconstruction, which will
control the assistance shown to the non-financial sector and the whole
state property for the20realization of the strategic issue of the
country's development.
c) To solve the issue of funding the investment projects by the state,
which is indispensable for the country's development, but can't be
realized by the private business.
Naturally all the before mentioned is the insignificant part of the
measures that the state should take to mitigate the possible influence
of the crisis on our country. But one thing is clear all the actions
should be well balanced. As Lenin used to say, we must find the circle
from where we can pull the whole chain.
We all know what was the Great Depression of the end of the 20's and
the beginning of 30's like. It is difficult to say but this is only the
beginning. The only similarity of the two crises is that they were both
of global character, which started from banking sector and credit
policy. They learned lessons from the Great Depression, which gave
possibility to the world to overcome the difficult moments in economy,
without disastrous crisis. That experience will be very helpful for
this moment.
As regards the citizens, the first thing they must do is not to yield
to panic. They should avoid taking expensive credits. They shouldn't
invest money to purchase apartments and cars. It is high time to save
money.
Some people will face reduction of salaries or even unemployment. But
this doesn't mean the end
of the world. At present Armenia has got
rather good chances to overcome the crisis, but everything depends on
the policy of the authorities.
The future will show to what extent our government is professional.
KAREN NAHAPETYAN
Hayots Ashkharh Daily
12 Dec 2008
Armenia
Head of the Armenian Office of the World Bank Aristomene Varudakis
informed recently that the Armenian government, in cooperation with the
World Bank, is elaborating a project to confront world financial
economic crisis.
`We are working on two principle goals,' he said and added that they
are making efforts to improve the indexes of the credits allocated to
the small and average business. For the second direction they preview
to elaborate the project of public investments. In this framework they
will show assistance particularly to the spheres of transport
communication, energy and water supply.
The elaboration of the anti-crisis project must naturally be a matter
of concern for any government but is it right to pin our hopes only on
the investments made by the foreign organizations.
Lets start from the fact that without the restriction of corruption it
is impossible to implement any anti-crisis project. Because it will
lead to robbery and corruption.
That is why what we really need is to:
a) Hold demonstrative anti-corruption court proceedings to scare them.
b) To define legally and to practice a clause according to which the
bribe-giver is freed from liability on condition that the latter
cooperates with the investigative body.
c) To hold similar activity like the American `Sheikh=E
2: to propose
bribes in huge amounts to the employees of the state apparatus and
deprive them of the right to work in the state service, for life.
It is evident that in conditions of the crisis it is very important to
ensure social stability. For which we need:
a) To ensure the minimum consumer basket of each citizen.
b) To struggle against the reasons of the inflation, aimed at stopping
the latter. To control the activity of the oligarchs and to raise the
fines for artificial inflation.
In case of the sharp fluctuation of prices the corresponding state
structures must have the right to firstly bring them to the previous
level and only after that to conduct investigation, because it will
take months.
g) To make corrections in the budget of 2009 taking into account the
possible influence of the world financial-economic crisis. To define
minimum level of state expenses.
It is appropriate in the real sector of the economy:
a) To separate the enterprises of strategic and social importance and
to pursue special policy towards them. For example to close the
`cashbox cracks', to be able to allocate short-term credits for them.
In case they face serious financial problems to show financial
assistance, with strict control.
b) To establish an agency of Economic Reconstruction, which will
control the assistance shown to the non-financial sector and the whole
state property for the20realization of the strategic issue of the
country's development.
c) To solve the issue of funding the investment projects by the state,
which is indispensable for the country's development, but can't be
realized by the private business.
Naturally all the before mentioned is the insignificant part of the
measures that the state should take to mitigate the possible influence
of the crisis on our country. But one thing is clear all the actions
should be well balanced. As Lenin used to say, we must find the circle
from where we can pull the whole chain.
We all know what was the Great Depression of the end of the 20's and
the beginning of 30's like. It is difficult to say but this is only the
beginning. The only similarity of the two crises is that they were both
of global character, which started from banking sector and credit
policy. They learned lessons from the Great Depression, which gave
possibility to the world to overcome the difficult moments in economy,
without disastrous crisis. That experience will be very helpful for
this moment.
As regards the citizens, the first thing they must do is not to yield
to panic. They should avoid taking expensive credits. They shouldn't
invest money to purchase apartments and cars. It is high time to save
money.
Some people will face reduction of salaries or even unemployment. But
this doesn't mean the end
of the world. At present Armenia has got
rather good chances to overcome the crisis, but everything depends on
the policy of the authorities.
The future will show to what extent our government is professional.