Experts: Economic provisions of draft Constitution are close to day-to-day realities but need serious revision

ArmInfo. The economic provisions of the draft Constitution are close to the existing realities but need serious revision, professor Tatul Manaseryan and Head of the Union of Local Commodity Producers of Armenia Vazgen Safaryan expressed this general opinion during a meeting with journalists.

Particularly, Manaseryan noted that the new document may contribute to the improvement of the economic situation in Armenia, as not only common for all the states but also country specific provisions are prescribed in it. Thus, the expert approved the re-wording of Article 10 of the Constitution, according to which a social market economy is the basis of the Armenia's economic system. The expert has been a vocal supporter of this phrase for two decades, periodically confronting with his ideological opponents represented by the authorities. "However after transition to a liberalized economy in 1990ies, it has become clear that the liberals and particularly adherents of the neo liberalism ruined the economy, that is why the economic model which is based on society is more acceptable for such country as Armenia", he thinks.

However, the expert harshly criticized the provisions, related to the field of ensuring social protection.  According to him, the role of the state in this issue should be more expressed. Besides, there is no point, according to which the minimum salary in Armenia must not be lower than minimum cost of market basket.

Safaryan in his turn noted that the new Constitution does not guarantee observance of labor rights of citizens, particularly their job security. "I understand that current economic conditions do not provide the citizens with jobs, but I am sure that it should be prescribed by the Constitution that the state must intend to provide each citizen with a job. The Government has a lot to do related to this issue", he noted.

The economist thinks that the development of free market relations, which is prescribed by the draft Constitution is already not actual and currently a new phase must be launched aimed at changing the economic policy and the state in a whole, as the liberalization of economy didn't have the expected effect.  "During 15 years Armenia imported goods at the price of 41 billion dollars and the same amount of money was leaked, the export totaled only 14 billion dollars. As a result negative balance totaled 26 billion dollars", the expert noted. He said that the import and export have been declining recently, which testifies to decreasing of population's paying capacity and the state's non ability to ensure the volume of import, and in this issue the work aimed at import substitution should be activated", the expert noted.

The participants of the press conference expressed dissatisfaction with the provisions related to the foreign policy. Manaseryan noted that Article 12, which states that the foreign policy of the Republic of Armenia shall be conducted on the basis of international law with the aim of establishing good-neighborly and mutually-beneficial relations with all states does not include provisions prescribing the main priorities of national interests. "If the country does not follow national interests in its foreign policy it usually becomes an outsider", Manaseryan noted.

The experts also noted that state and local governance systems should be improved in order to improve the efficiency of their activities.  This will help to involve social regulation system and eradicate such problems as duplication and contradiction of functions. Besides, the economists pointed at the weaknesses of the provisions, regulating the relations with Diaspora, as well as the fields of education, health care and pension system. They also supported the idea of imposing limitations on deputy immunity.

To recall, the referendum on constitutional reforms will be held on December 6. The National Assembly of Armenia approved the draft Constitution on October 5. According to the draft Constitution, the National Assembly shall consist of at least 101 parliamentarians. The National Assembly shall be elected by a proportional electoral contest. The Electoral Code shall guarantee the formation of a stable parliamentary majority. If no stable parliamentary majority is formed as a result of the election or by building a political coalition, then a second round of the election may be held. In case a second round is held, it shall be allowed to form new alliances. The National Assembly shall elect the President of the Republic for 7 years for only one term. The President will Conclude international treaties by proposal of the Government; Appoint and recall diplomatic representatives in foreign states and international organizations by proposal of the Prime Minister; By proposal of the Prime Minister, the President of the Republic shall, in the cases and procedure prescribed by law, appoint and dismiss the supreme command of the armed forces and other troops. By proposal of the Prime Minister, the President of the Republic shall, in the cases and procedure prescribed by law, award the highest military titles.