Republican Party of Armenia

A Cabinet sitting was held today, chaired by Prime Minister Tigran Sargsyan.

“I want the citizens to know that I have sent an official letter to the Chairman of Public Services Regulatory Commission concerning the revision of gas price,” the Prime Minister said, addressing the Cabinet members, “You may be aware that “Hayrusgasard” has applied to the Commission with a notice that Armenia should get natural gas at the cost of USD270. My letter states that the Government is set to provide a 30% subsidy. Secondly, I would like to inform our citizens that needy families will be supported so that the price hike could not affect their family budget.”

The Government approved a concept note on foreign exchange-denominated bonds issued in the international capital market. USD500mn is set to be the minimum effective level for the first issue of Eurobonds over a period of 10 years. It was also decided that the Government would sign a contract on the purchase of consulting services with Cleary Gottlieb Steen & Hamilton LLC to get advice and technical assistance.

“We are making a political decision: for the first time Armenia will issue foreign currency bonds. This opens up a new chapter in our economic policy, not only in terms of public finance management, but also for the private sector to get low-cost resources on the financial markets,” the head of government noted in this connection.

To offset the impact of the May 12 hailstorm in Armavir Marz of Armenia, the Minister of Agriculture was allowed to get crop seeds from the local operators and the Russian “Skifagro” company (Zernograd, Rostov Region) through Seeds Agency SNCO. The seeds so purchased shall be made available to Armavir Marz administration for free transfer to the most affected communities.

The meeting backed a draft presidential decree on establishing Armenia’s Consulate General in Lyon. The nearly 500-thousand-strong Armenian community of France is concentrated in Paris, Lyon and Marseille cities. In taking this decision, allowance has been made of the fact that there are some 100,000 Armenians living in Rhône-Alpes (Rhine-Alpes) region, inclusive of its administrative center of Lyon.

USD3mn was earmarked to raise awareness through foreign mass media and invite would-be stakeholders to submit financial bids for the launch of an Armenian-Chinese joint venture that will produce insulin in a public-private sector partnership format. In this connection, Prime Minister Tigran Sargsyan pointed out, “This is a new approach in our industrial policy. For the first time, the Government of Armenia has approved a project intended for the private sector.”

The Government next decided to contribute AMD65mn out of a total of 73 million necessary to hold the women’s chess grand prize under the FIDE tournament calendar in Dilijan town of Armenia from this June 15 to 29.

Over AMD4.5mn was allocated to provide for the Armenian delegation’s participation in the CIS 8th Open Youth Delphic Games in Novosibirsk on May 16-21, 2013.

In conclusion, the meeting decided to substitute the working Monday of May 27with the Saturday of June 1, 2013.