Kocharian: 'Reforms' Most Frequently Used Word when Describing Processes in Armenia

PanARMENIAN.Net - When describing the processes occurring in Armenia since the independence the word 'reforms' - economic, social or political - becomes the most frequently used one, Armenian President Robert Kocharian said when addressing the Bertelsmann Fund in Berlin, reported the RA leader's press office. "There is no field of life that has not been subjected to serious reformation after the decline of the USSR and Armenia's transition to democracy and market economy. We have reconstructed our institutes, reconsidered our policy and the changed the structure of economy. This all was new and promising. Unfortunately this process was complicated by the war, blockade, which has not been lifted so far, and a severe energy crisis. We responded with speeding up the rate of transformation, mobilization of resources and raising the efficiency of administration.



Armenia is not rich in natural resources but it's remarkable for the most important of them- the human resource. It first of all is manifested in the universally recognized features of our people - enterprise and diligence. Our characteristic is the high level of people's interest in the organization of any kind of business. In order to use these advantages we should create a favorable atmosphere for businessmen and ensure the protection of investments. This implies liberalization of economy and minimization of state interference in business.



As result we fix serious intentions to change the structure of economy. 85 per cent of the Gross Domestic Product is produced by the private sector 40 per cent of which consists of small and middle business. We are proud of this figure. The middle class is in the process of formation and it has a serious impact on the public perception of the future.



Certainly, everything is not so smooth. We badly need to perfect the tax and customs administration. Struggle against corruption should be strengthened at all the levels in compliance with the action plan adopted by the government.



We also have to develop the sector of financial services in Armenia. We possess good potential in the form of efficient banking system which is constantly being modernized. Although we watch the growth of direct foreign investments we know that there is still much to do in future. I would like to express our sincere gratitude for technical assistance to Germany. The program of technical assistance and financial cooperation which is being implemented jointly with the KFW and GTZ makes a considerable contribution," the President said.