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INSTEAD OF REAL INVESTMENTS DIASPORA CONTINUES PROVIDING ARMENIA WITH LAME-DUCK MONEY TRANSFERS
arminfo
July 28, 2011
Instead of real investments the Diaspora continues providing Armenia
with lame-duck money transfers, David Grigorian, an economist from
the United States, the co-founder of the Policy Forum Armenia (PFA),
said during the "Diaspora-Armenia Relations: Present and Perspectives"
discussion organized by Sardarapat Movement Wednesday.
He said that the Diaspora has a share of responsibility for the
deplorable state of the Armenian economy. Having failed to reduce
emigration from Armenia, the Diaspora has done nothing real to fight
poverty inside the country: no basis for sustainable development,
no real investment funds, no funds based on knowledge. The only thing
created instead was the Hayastan All-Armenian Fund, a unit that has
issued no single real high-quality project.
The only alternative source of financing for the Armenian economy
was money transfers. In its three studies the PFA has demonstrated
what horrible consequences money transfers have on a micro-level
for a specific country. The people receiving money transfers have no
part in the labor market, they do not invest money in the education
of their children, i.e. this money is used exclusively as a means
ensuring consumption rather than an investment fuelling the economy.
Grigorian said that the Diaspora-Armenia cooperation is based on
deficient mechanisms. Any criticism on the part of the Diaspora
receives a hostile response in Armenia. In building their relations
the Diaspora elite and the Armenian Government ignored the public. As
a result, ordinary Diaspora representatives had no chance to help
their historical homeland.
As a way-out Grigorian suggests perceiving what resources the Diaspora
has and how they can be used for Armenia. In the 21st century networks
are no less important than finances are, and so, the Diaspora should
consolidate its wide network capacities for more actively promoting
Armenia's development.
One of the discussants said that the population of Armenia might have
been 4,500,000 had there been a single state approach towards all
urgent problems. Having frustrated its demographic policy, Armenia
must now try to use at least the potential capacities of the Diaspora.
arminfo
July 28, 2011
Instead of real investments the Diaspora continues providing Armenia
with lame-duck money transfers, David Grigorian, an economist from
the United States, the co-founder of the Policy Forum Armenia (PFA),
said during the "Diaspora-Armenia Relations: Present and Perspectives"
discussion organized by Sardarapat Movement Wednesday.
He said that the Diaspora has a share of responsibility for the
deplorable state of the Armenian economy. Having failed to reduce
emigration from Armenia, the Diaspora has done nothing real to fight
poverty inside the country: no basis for sustainable development,
no real investment funds, no funds based on knowledge. The only thing
created instead was the Hayastan All-Armenian Fund, a unit that has
issued no single real high-quality project.
The only alternative source of financing for the Armenian economy
was money transfers. In its three studies the PFA has demonstrated
what horrible consequences money transfers have on a micro-level
for a specific country. The people receiving money transfers have no
part in the labor market, they do not invest money in the education
of their children, i.e. this money is used exclusively as a means
ensuring consumption rather than an investment fuelling the economy.
Grigorian said that the Diaspora-Armenia cooperation is based on
deficient mechanisms. Any criticism on the part of the Diaspora
receives a hostile response in Armenia. In building their relations
the Diaspora elite and the Armenian Government ignored the public. As
a result, ordinary Diaspora representatives had no chance to help
their historical homeland.
As a way-out Grigorian suggests perceiving what resources the Diaspora
has and how they can be used for Armenia. In the 21st century networks
are no less important than finances are, and so, the Diaspora should
consolidate its wide network capacities for more actively promoting
Armenia's development.
One of the discussants said that the population of Armenia might have
been 4,500,000 had there been a single state approach towards all
urgent problems. Having frustrated its demographic policy, Armenia
must now try to use at least the potential capacities of the Diaspora.