Tuesday, July 27 2021 15:32
Naira Badalian

ANIF Head: New Law on Public-Private Partnership has become an  important step towards stimulating investment in Armenia

ANIF Head: New Law on Public-Private Partnership has become an  important step towards stimulating investment in Armenia

ArmInfo.Armenian National Interests Fund (ANIF) spoke about the advantages of the amendments to the RA Law "On Public-Private Partnership".

Earlier, on June 30, the legislative package providing for amendments  and additions to the law "On public- private partnership" and other  related laws in the second and final reading was approved by the  parliament.  Acting Minister of Economy of Armenia Vahan Kerobyan  presenting the initiative stated that transactions concluded before  December 31, 2021 will not be subject to the regulation of this bill.  Within the framework of the recommendations of the International  Monetary Fund, the total amount of contingent liabilities is  established, which add 3% of GDP to the liabilities existing at the  moment. The acting minister recalled that the law was adopted two  years ago, but it has never been used, due to its unviability and the  presence of numerous contradictions and restrictive provisions in the  document. Meanwhile, as Kerobyan pointed out, PPP is one of the most  important components of the country's economic development.

According to RA Deputy Minister of Economy Avag Avanesyan, the law  did not regulate the provision on the procedure for selecting a  private partner. In the meantime, the initiative sets flexible  requirements for private initiative that meet international  standards. The company submitting the proposal must have relevant  experience in this area, submit a feasibility study. In the case of a  private initiative, certain advantages are provided, for example, a  refund of the amount spent if the bidder is not declared a winner. A  competition of one or two rounds is envisaged. "We will try to move  in the direction in which tenders are held on a financial basis," the  deputy minister explained.

According to ANIF, the Fund was actively involved in the development  of the legislative act, being confident that the initiative will  significantly expand the opportunities for attracting investments.  Thus, as a result of the amendments, the implementation of  public-private partnership programs is also possible in the future on  the initiative of a "private trader", in the sectors established by  the state.

At the same time, an initiative coming from the private sector must  meet a number of criteria. In particular, a "private trader" must  have experience in entrepreneurial work in this area, in accordance  with PPP procedures. The proposal should also include a  pre-feasibility study or a feasibility study. The proposed program,  in terms of its profitability, must correspond to the size provided  for by the PPP law, and the private owner must take on a commitment  that cannot be withdrawn.

In the opinion of ANIF director David Papazyan, the law became an  important step towards stimulating investments in Armenia.

According to the data of the National Statistical Committee, the  volume of foreign direct investment (FDI) inflow to Armenia in Q1  2021 compared to the same indicator in 2020 increased by 76 317.5  million drams and amounted to 60 927.3 million drams. In the period  from January to March 2021, the total inflow of investments amounted  to 60 927.3 million drams, of which direct foreign investments  amounted to 18 946.1 billion drams (an increase of 28 508.4 million  drams). In 2020, the inflow of foreign investments registered a  negative indicator of minus 15 390.2 million drams, of which direct  investments amounted to minus 9 562.3 million drams.

It should be reminded that in April 2019, the Armenian government  made a decision to establish the Armenian National Interests Fund   CJSC. According to the substantiation, the purpose of creating such a  fund is to support the development of the Armenian economy by  attracting investments, including foreign ones. Through full and  comprehensive consultation and support, the company will contribute  to increasing the flow of investments in the RA, developing the  potential of the Armenian economy and introducing the results of  scientific and technological development in various sectors of the  economy, improving the business environment in Armenia and creating  and improving favorable conditions for the business sector by  offering and implementation of industry programs. 

POST A COMMENT
Input digits     


News
About 700 Armenian heavy cargo trucks waiting to pass through Upper  LarsAbout 700 Armenian heavy cargo trucks waiting to pass through Upper  Lars
Armenian Economy Ministry, several U.S. government departments form  specific action program Armenian Economy Ministry, several U.S. government departments form  specific action program 
Public TV`s First News Channel to be broadcasted not only in Yerevan,  but also throughout countryPublic TV`s First News Channel to be broadcasted not only in Yerevan,  but also throughout country
Ardshinbank cardholders can now enjoy a 10% cashback!Ardshinbank cardholders can now enjoy a 10% cashback!
ECC, EDB to coordinate funding of joint projects ECC, EDB to coordinate funding of joint projects 
Broadcasting of Russian TV channels to be discussed in Moscow soon Broadcasting of Russian TV channels to be discussed in Moscow soon 
Armenia to host World Wine Tourism Conference,Armenia to host World Wine Tourism Conference,
CBA forecasts 5.5% or 6.4% GDP growth for 2024 depending on inflation  rate  CBA forecasts 5.5% or 6.4% GDP growth for 2024 depending on inflation  rate  
Three Sad Stories about FraudstersThree Sad Stories about Fraudsters
Rafayel Gevorgyan: Armenia`s economic growth potential is 6%Rafayel Gevorgyan: Armenia`s economic growth potential is 6%
TEAM already has over 1 million mobile subscribersTEAM already has over 1 million mobile subscribers
Armenia`s ministry of economy proposes new SAFE format Armenia`s ministry of economy proposes new SAFE format 
CBA Governor: Over 11 thousand Artsakh refugees employed in ArmeniaCBA Governor: Over 11 thousand Artsakh refugees employed in Armenia
Armenian economy is approaching neutral interest rate level- Martin  GalstyanArmenian economy is approaching neutral interest rate level- Martin  Galstyan
CBA: external inflationary impact on Armenian economy continues to  weaken significantlyCBA: external inflationary impact on Armenian economy continues to  weaken significantly
Martin Galstyan: It`s too early to talk about threat of overheating  in consumer lending marketMartin Galstyan: It`s too early to talk about threat of overheating  in consumer lending market
Non-cash transactions surpass cash ones in Armenian plastic card  marketNon-cash transactions surpass cash ones in Armenian plastic card  market
CBA reduces refinancing rate by 0.25 pp. setting it at 8.5%CBA reduces refinancing rate by 0.25 pp. setting it at 8.5%
After construction of alternative route, Lars to become passable all  year round - Deputy MinisterAfter construction of alternative route, Lars to become passable all  year round - Deputy Minister
3,780,052 Drams to the City of Smile Fund: The Power of One Dram Will Go to My forest Armenia in March3,780,052 Drams to the City of Smile Fund: The Power of One Dram Will Go to My forest Armenia in March
Global Finance Recognizes Ameriabank`s Leadership in Sustainable Finance in ArmeniaGlobal Finance Recognizes Ameriabank`s Leadership in Sustainable Finance in Armenia
Project to create unified gas market in EAEU postponed until 2027Project to create unified gas market in EAEU postponed until 2027
Amounts exceeding maximum social payments from several sources to be  returned to individualsAmounts exceeding maximum social payments from several sources to be  returned to individuals
Finance Minister considers leaving EAEU riskyFinance Minister considers leaving EAEU risky
Gevorg Papoyan: There cannot be systemic corruption in Ministry of  EconomyGevorg Papoyan: There cannot be systemic corruption in Ministry of  Economy
Minister of Economy: I see no objective reasons for closure of Upper  Lars to Armenian goodsMinister of Economy: I see no objective reasons for closure of Upper  Lars to Armenian goods
Araratbank plans to implement ESG risk management strategy with  environmental, social and corporate management Araratbank plans to implement ESG risk management strategy with  environmental, social and corporate management 
Well-being and future are impossible without compliance with ESG -  Araratbank rep Well-being and future are impossible without compliance with ESG -  Araratbank rep 
Armenia should completely switch to renewable energy - Jon Dee Armenia should completely switch to renewable energy - Jon Dee 
Connection with Europe via Georgia Armenia`s energy priority -  officialConnection with Europe via Georgia Armenia`s energy priority -  official
Half Price for Everyone and up to AMD 15.000 Welcome Bonus for New Customers. IDBankHalf Price for Everyone and up to AMD 15.000 Welcome Bonus for New Customers. IDBank
Armenia`s economic activity increased by 10.7% per annum in Jan 2024Armenia`s economic activity increased by 10.7% per annum in Jan 2024
Deputy PM: there is need to review current water resources management  policyDeputy PM: there is need to review current water resources management  policy
Armenia`s premier meets with Egyptian businessmen Armenia`s premier meets with Egyptian businessmen 
Hovak Hovakimyan: We should not limit ourselves to domestic market in  development of Armenia`s capital marketHovak Hovakimyan: We should not limit ourselves to domestic market in  development of Armenia`s capital market
Garegin Gevorgyan: Armenia can become trading hub for foreign  securitiesGaregin Gevorgyan: Armenia can become trading hub for foreign  securities
Doing Digital Forum Returns Featuring Brett King as Keynote SpeakerDoing Digital Forum Returns Featuring Brett King as Keynote Speaker
Decline in Armenia`s consumer prices was caused by food products;  while prices for services and gasoline were on riseDecline in Armenia`s consumer prices was caused by food products;  while prices for services and gasoline were on rise
FLYONE ARMENIA offers number of new destinations this summerFLYONE ARMENIA offers number of new destinations this summer
Gevorg Papoyan appointed Armenia`s minister of economyGevorg Papoyan appointed Armenia`s minister of economy
Samvel Khanvelyan: Armenia`s domestic debt market is Samvel Khanvelyan: Armenia`s domestic debt market is "limping" in  terms of investment base and structure 
Armenian capital market is at its initial stage of development -  Deputy MinisterArmenian capital market is at its initial stage of development -  Deputy Minister
Armenia should be among world leaders in a number of technological  areas - expertArmenia should be among world leaders in a number of technological  areas - expert
Google Pay is now accessible for Armswissbank Mastercard cardholdersGoogle Pay is now accessible for Armswissbank Mastercard cardholders
Number of vPOSs in Armenia already exceeds 4.5 thousandNumber of vPOSs in Armenia already exceeds 4.5 thousand
2-3 nuclear power units with capacity of 200 MW each would make it  possible to more effectively manage country`s energy system - PSRC  Chair2-3 nuclear power units with capacity of 200 MW each would make it  possible to more effectively manage country`s energy system - PSRC  Chair
ADB to provide  $3 million grant to Armenia to increase agricultural  flexibility and improve food security in rural areasADB to provide  $3 million grant to Armenia to increase agricultural  flexibility and improve food security in rural areas
By accepting 20% stake in MTS Armenia as gift, government sends  message to other companies:  PashinyanBy accepting 20% stake in MTS Armenia as gift, government sends  message to other companies:  Pashinyan
Micro-processing cards with NFC chip account for almost 70% of total  number of cards in Armenia, already reaching 2.6 millionMicro-processing cards with NFC chip account for almost 70% of total  number of cards in Armenia, already reaching 2.6 million
A Millionaire Wanted: New Draw from IdramA Millionaire Wanted: New Draw from Idram
PSRC: construction of Mets Masrik  industrial-scale solar power plant  in Armenia is nearing completionPSRC: construction of Mets Masrik  industrial-scale solar power plant  in Armenia is nearing completion
Wizz Air launches Budapest-Yerevan-Budapest direct flights Wizz Air launches Budapest-Yerevan-Budapest direct flights 
Temporary ban on gasoline exports from Russia will not affect ArmeniaTemporary ban on gasoline exports from Russia will not affect Armenia
14 Armenian tech companies participate in Mobile World Congress in  Barcelona14 Armenian tech companies participate in Mobile World Congress in Barcelona
Tax authorities propose not to tax labor migrants with annual income  of up to AMD 12 million Tax authorities propose not to tax labor migrants with annual income  of up to AMD 12 million 
Gnel Sanosyan: potential of industrial companies and specialists of  Armenia is growingGnel Sanosyan: potential of industrial companies and specialists of  Armenia is growing
ADB signed sale and purchase agreement with Bank of Georgia in  respect of its shares in AmeriabankADB signed sale and purchase agreement with Bank of Georgia in  respect of its shares in Ameriabank
Founder of ABBYY Group, David Yang, to Speak at Armenia`s First  Investment and Financial ForumFounder of ABBYY Group, David Yang, to Speak at Armenia`s First  Investment and Financial Forum
Armenia`s economic activity increased by 10.7% per annum in Jan 2024Armenia`s economic activity increased by 10.7% per annum in Jan 2024
Gevorg Mantashyan: High-Tech Ministry makes consistent efforts for  emergence and progress of startups in ArmeniaGevorg Mantashyan: High-Tech Ministry makes consistent efforts for  emergence and progress of startups in Armenia
Read more


Exchange rates
18.03.2024
RUB4.37-0.01
USD401.96-0.67
EUR438.10-0.36
GBP511.98-1.33
CAD296.82-0.70
JPY26.96-0.10
CNY55.84-0.11
CHF455.17-0.60