Intrigue of the day

2008-05-22 15:12:00 Zhirayr Sefilyan asks political asylum in Nagorny Karabakh

ArmInfo. Zhirayr Sefilyan, Commander of Shushi battalion and Head of the public and patriotic organization "For Protection of Liberated Territories", who is in prison for illegal keeping of weapons, asked political asylum and citizenship from president of NKR Bako Sahakyan. Sefilyan is citizen of Lebanon.

Zhirayr Sefilyan's statement received by ArmInfo says that Sefilyan made a similar appeal to Bako Sahakyan yet in 2007. He was informed that his appeal would be studied after adoption of the Law on
Citizenship of NKR. 'I confirm by desire to get citizenship of NKR and I am ready to make another appeal in conformity with the law after relevant law on citizenship of NKR is passed', Sefilyan says in
his appeal. He also mentions that his term of imprisonment expires on June 9. 'I was imprisoned for keeping weapon awarded by NKR leadership. The verdict says that NKR leadership awarded the weapon with violation of some procedure and that I had no right to keep it', Sefilyan says. Zhirayr Sefilyan expresses concern about being exiled as soon as he is released. 'I rule out the possibility of leaving the
Motherland. That is why I ask political asylum from NKR. I hope that at least NKR will not reject me', Sefilyan says.







Politics

2008-05-22 15:16:00 Political forces of Armenia should understand seriousness of challenges against the country, representative of Heritage party thinks

ArmInfo. "Political forces of Armenia should understand seriousness of challenges against the country. But it is impossible to respond to them because of the split in the country", member of the Heritage party board, deputy of the National Assembly Vardan Khachatryan told journalists in the Pastarq club today.

He also added there is a public order in the republic to establish dialogue between the contradictory political teams, which in not in line with the present situation when no real step is made to start
the dialogue.

Khachatryan said that a task to restore the justice principles in Armenia should be in the centre of the
talks between the authorities and the opposition. Touching on the problem of prisoners of the 1 March
events, representative of the Heritage party said he is sure that "persecution of people by the political motives promises nothing good to the authorities".


2008-05-22 15:14:00 Political forces of Armenia should understand seriousness of challenges against the country, representative of Heritage party thinks

ArmInfo. "Political forces of Armenia should understand seriousness of challenges against the country. But it is impossible to respond to them because of the split in the country", member of the Heritage party board, deputy of the National Assembly Vardan Khachatryan told journalists in the Pastarq club today.

He also added there is a public order in the republic to establish dialogue between the contradictory political teams, which in not in line with the present situation when no real step is made to start the dialogue.

Khachatryan said that a task to restore the justice principles in Armenia should be in the centre of the
talks between the authorities and the opposition. Touching on the problem of prisoners of the 1 March
events, representative of the Heritage party said he is sure that "persecution of people by the political motives promises nothing good to the authorities".


2008-05-22 14:50:00 Head of Helsinki Association M. Danielyan: Police initiated criminal case on fact of yesterday's incident but the person who fired at me has not been detained

ArmInfo. ' Police initiated criminal case on fact of yesterday's incident between Leader of Progressive Party Tigran Urikhanyan and me, but Urikhanyan has not been detained so far', Head of Helsinki Association Mikael Danielyan told ArmInfo.

Yesterday at about 3:00 pm Mikael Danielyan and Tigran Urikhayan squabbled in Teryan Street in Yerevan. Thus, Danielyan tells that he stopped at the traffic lights when the driver of a BMW behind him
started impatiently honking his horn. While he was trying to find out the reason of the horn, a young man who proved leader of Progressive Party Tigran Urikhanyan, got out of the BMW, and fired at M. Danielyan from a gas gun crying and insulting him. The later says that his breast bled from the pot shot, but the wounds proved not dangerous. 'Later doctors told me that everything could be much more
worse if I were injured in throat', he said.

Both the parties were taken to Police and gave explanations.


2008-05-22 14:50:00 Mayor of New Hampshire American state recognizes Armenian Genocide

ArmInfo. Mayor of Manchester, New Hampshire American state, Frank Guinta issued a proclamation recognizing the Armenian Genocide in Ottoman Empire in early XX century.

As the Armenian National Committee of America told ArmInfo, representatives of ANCA and the Armenian Diaspora of America were present at the proclamation ceremony. ANC of MV representative, Aram Jeknavorian thanked the City and the Mayor for the initiative aimed at recovery of the historical justice.


2008-05-22 12:01:00 Head of 'Democratic Motherland' party announces hunger-strike

ArmInfo. Head of the "Democratic Motherland" party Petros Makeyan, presently contained in the criminal-executive establishment 'Artik', announced a hunger-strike.

As press-secretary of the head of RA Justice Ministry's Criminal-Executive Department of Arsen Babayan said, Makeyan claimed of his intention to start a hunger-strike the day before. P. Makeyan has already been transferred to a special chamber intended for those having announced a hunger-strike. Makeyan is under control of doctors and his health condition is estimated as satisfactory.


Finance and banks

2008-05-22 15:03:00 Ardshininvestbank may raise interest rates

ArmInfo. Ardshininvestbank does not rule out changing of conditions when giving credit, Chairman of Ardshininvestbank Board Aram Andreasyan told ArmInfo correspondent.

He also added that next week credit department of the bank is going to discuss the issue. 'As resources at the world market have risen in price, we may also raise the interest rates by 1-2% for all the credits', - he said.

Andreasyn also added that the bank is going to increase its credit portfolio up to 100 bln drams till the end of the current year. This index was 59.4 bln drams on 31 December 2007.


2008-05-22 11:40:00 Exchange rate of dram against US dollar and EUR

ArmInfo Today, the maximum buying rates at commercial banks of Yerevan were 308 drams for 1 dollar, 485drams for 1 EUR and 12,9 drams for 1 Russian ruble. The minimum selling rates stood at 310 drams for 1 dollar, 485 drams for 1 EUR and 13,5 drams for 1 Russian ruble.


2008-05-22 01:13:00 Armenia's bankers are ambiguous in necessity of securitization of assets

ArmInfo. Armenia's bankers are ambiguous in necessity of securitization of assets, the results of voting of May 21 "English Debates" in "Marriott Armenia" Hotel, organized by an independent rating agency, member of the international Global Rating Group, certify. The debates, with participation of over 30 representatives of commercial banks, heads of credit companies, investment companies and experts, were dedicated to the topic 'Securitization as a Required Tool for Increasing Liquidity of
Banking Assets. Is that Right?'.

The event was held under support of the Union of Banks of Armenia, USAID and East West Management Institute within the frames of the Partners for Financial Stability programme.

Member of the Central Bank Board Karine Minasyan said in her speech that CB is currently working over implementation of new alternative tools for regulation of the processes of securitization
of banking assets.

The first tool is a possibility of issuing mortgage bonds by banks and credit organizations. Moreover, free issues will be carried out under tight control of a megaregulator. "We envisaged numerous
regulatory mechanisms to assure high reliability of these securities and confidence of investors", she said. The second tool will be a "pure" form of securitization, which envisages real sale of assets to a specially created legal person. "The draft laws we intend to shortly introduce, envisage a possible alternative, due to which any market participant will be able to realize different initiatives in the area of securitization", K. Minasyan said. Along with it, member of CB Board presented the advantages the
market participants will receive using the tools of securitization of assets. "In particular, this will allow the companies to extend their business, receive an additional income, manage the credit risks more efficiently and release the resources", K. Minasyan said.

For his part, co-Director of AEPLAC Tigran Jrbashyan said that securitization in Armenia is not a new phenomenon. 'In a period of privatization in Armenia in 1993-94, when the major part of the state property was transformed into a form of unclear joint- stock companies, an elementary securitization of state assets was also observed, a so called voucherization', T. Jrbashyan said and added that a postulate on non-readiness of Armenia for securitization may be ruled out. 'provide the market with a tool and, believe,
the Armenians will make a profit of it', he said part in play. In addition, he said, not only mortgage loans but consumer credits as well may be subject to securitization of assets in Armenia. Along with it, T. Jrbashyan emphasized that implementation of international standards during securitization is an important moment for attraction of funds.

T. Jrbashyan expressed confidence that a boom around the banking assets shows that there are banks in the country with enough capital for investment in securities. 'They need a relevant tool. However, a
certain liquidity problem exists in the banking system, especially in the actively working banks. Despite the fact that the Armenian market is not integrated enough in the world one, the volume of available resources reduced, and this problem will intensify', AEPLAC co-director said.

Director of the 'Capital Assets Management' Investment Company Tigran Karapetyan, holding to the opinion of international experts, said that the minimum volume for profitable and efficient
securitization should exceed $250 mln. T. Karapetyan thinks that securitization of assets in Armenia may be efficiently carried out only in case of a cumulative credit portfolio of the Armenian banks,
totaling about $1.5 billion. 'Only in this case, securitization will be profitable, however, unification of the banks in one pool is not real', he emphasized. T. Karapetyan divided the risks during securitization into two types: the market and legal risks. Talking about the first one, he said that the property is a pledge of the credit portfolio of the banks being an object of securitization. Based on this, he said, the size and quality of credit portfolios largely depend on the state of the real estate market
being in a
state of overheating. As for the legal risk, T. Karapetyan expressed an opinion that not the whole legislation covers the available legal risks today. Along with it, he shared the viewpoint that securitization will be impossible without the relevant international standards, as assessment of assets and the property is connected just with them.

T. Karapetyan thinks that not all the banks of the country need securitization today. 'The current liquidity ratio of the Armenian banks exceeds the required CB standards one and a half times. In any
case, if the bankers think about increase of liquidity of their assets, securitization will not become a task of prime importance for them. An international institutional investor is necessary for the first successful securitization in Armenia. However, under the present crisis in the international market, I do not think that its attraction in a short-term prospect is real', he said. Deputy Chairman of the Board of 'Converse Bank' Tigran Davtyan, who also marked a non-topical nature of securitization of assets
in Armenia, substantiated his position by the fact that even simple bonds in the country are presently sold with difficulty. 'Currently, the local banks experience a problem of liquidity, and a deficit of
available long-term resources is the greatest problem for them. Therefore, the market today is not ready for securitization', T. Davtyan emphasized.

To note, the independent Rating Agency AmRating, being part of the GlobalRating Rating group, which also includes RusRating (Russia) and KzRating (Kazakhstan) agencies, is the organizer of the English
debates. The Agency's main activity is conferment of credit ratings to the banks, as well as their debt instruments, compilation of analytical reviews about different signets of the financial market.