CBA Board member: pension reforms will serve as ground for development of new investment culture in Armenia

PanARMENIAN.Net - Member of the Central Bank of Armenia (CBA) Board Aharon Chilingaryan said that the legislative field, which regulates introduction of new institutions as part of the pension system reformation, will create grounds for the development of a new investment culture in the country.

The legislation on investment funds will create great possibilities for investors in Armenia, what will serve as a stimulus for implementation of investor's programs in Armenia, Chilingaryan told a PanARMENIAN.Net reporter during a seminar on pension reforms held in Tsaghkadzor on June 18-20.

"Experience of the EU, specifically of Luxemburg, Germany and Switzerland, was used for the creation of the investment funds legislation in Armenia. We strongly believe that they will facilitate the competitiveness and transparency of local companies."

Armenia envisages introducing the volunteer funded pension and compulsory funded pension schemes in 2011 and 2014 respectively.

Mr. Chilingaryan stressed that the adoption of the bill on funded pension scheme will contribute to the development of both securities market and financial market.

However, the CBA Board member refrained from commenting on terms, which will be required for the reforms implementation. "Huge efforts should be applied, so that the reforms proceed in compliance with the envisage schedule," he said.

Mr. Chilingaryan agreed with the fact that though there is a legislation regulating the securities market in Armenia, but its development proceeds slowly. "We are trying to activate this field through the new instrument," he noted.

The seminar was organized by the USAID/Armenia Pension and Labor Market Reform Program, the EU consultative group and Armenian government's working group under the program on public awareness of pension reforms.