Meeting of Foreign Affair Ministers.
  Exemption of Taxes for Georgian Cargo - carries.
  New Power Transmission Line Between Armenia and Georgia.
  The Georgian Government Investment in Javakhtie.
  Opinion Polls in Georgia.
  Georgian - Armenian Border Surveillance Reinforced.

  Meeting of Foreign Affair Ministers. The meeting took place at the end of June and the following statements were released :
  The partnership is mutually beneficial to both countries. Therefore, it is necessary to coordinate the efforts in economic and commercial affairs and stimulate the investments.
  The development of transportation will stimulate the bilateral relations.
  The problems linked to the delimitation of the common borders will soon be solved.
  Armenia, like Georgia, should diversify its gas sources (Iran) ; Georgia already imports Iranian gas via Azerbaijan.
  The two parties firmly believe that the reopening of Kars - Gyumri - Tbilissi railways will help increase the trade exchange in the region. However, Georgia, known as a transit - junction country, will continue to facilitate the most advantageous routes of transportation and is interested in their diversification.

  Exemption of Taxes for Georgian Cargo - carries. The Armenian parliament ratified the Georgian-Armenian agreement on ground transportation of goods. The carries are exempted of all transportation and costum taxes. This agreement has already been ratified by the Georgian Parliament. So far, all tourist vehicles paid 20 USD fare, buses 40 - 120 USD depending on the number of passengers, and trucks paid a fare of 36-360 USD depending to the weight of the cargo and the merchandise they transport. According to the recent reports, the Georgian-Armenian agreement is actually being applied.

  New Power Transmission Line Between Armenia and Georgia. An Armenian company will carry out the construction of the 3rd 330 MW power transmission line (100 Km) between Armenia and Georgia. The current negotiations are focused on the details of the contract. The constructions will start soon and be completed by the end of this year. The estimated cost of this project will be 20 - 24 million GEL. (Georgian Lari). The construction of a 4th power transmission line is under study by an American firm Greg Realty.

  The Georgian Government Investment in Javakhtie. The Georgian government will invest around 200 million US dollars over three years, for the development of this Armenian - inhabited region of Georgia. A global budget of 102 million US dollars created by Millenium Challenge Program, will be invested in infrastructures related to road constructions in order to open up the region, and a 50 million US dollar investment would allow to create and develop projects related to business firms. 10 - 15% of the population will be employed in these construction projects.

  Opinion Polls in Georgia. An opinion poll was conducted by the Caucasus Institute for Democracy (a Russian non-government foundation) on the handling of the recent situation since the arrival on power of President Saakashvili ;
  The Rose revolution : 18,99% satisfied ; 37.8% partially satisfied ; 36.0% not satisfied.
  The consequences on the Georgians’ standard of living ; 24.2% improvement ; 45.8% deteriorated.
  The appreciation of Saakashvili’s actions : 10.4% approving ; 13.8% more approving ; 23.1% neutral ; 28.8% rather negative ; 23.9% negative.
  The socio-economic situation since the Rose Revolution in Georgia : 21.2% improvement ; 51.1% deterioration.

  Georgian - Armenian Border Surveillance Reinforced. Georgia reinforced its presence on its borders with Armenia and installed new military posts, while easing off its surveillance on Turkish - Georgian borders.

Armenian - Egyptian relations.- Armenian - Egyptian Intergovernmental Commission Meeting.
  The Armenian Ambassador Meets Economists of City of Alexandria in Egypt.

  Armenian - Egyptian Intergovernmental Commission Meeting. The June meeting of the Commission assented to further and tightened co-operation of the following economic sectors : technology in communications, agriculture, energy, tourism, public health, pharmaceutical industry, sciences, and culture in general. Coordination groups were formed mainly of businessmen to coordinate the projects with the Chambers of Commerce and Industry of the two countries. The Armenian government in particular, intends to accelerate the settlement of an agreement with the Egyptian pharmaceutical firm Vaxero for a joint production of insulin in Armenia.

  The Armenian Ambassador Meets Economists of City of Alexandria in Egypt. The sheduled visit to the industrial city of Alexandria was an opportunity to the Armenian Ambassador to visit Farco (the leading pharmaceutical firm of the country) and Zahram (a factory of electrical home appliances). The Ambassador during his visit was received by the Egyptian Union Businessmen (UBA). Decisions were taken to intensify the cooperation with the Unions of Businessmen (UBA - UMBA), and organize an Armenian - Egyptian Business Forum, which will be held in Alexandria in 2007. The implementation of long term projects were discussed as well. A delegation of businessmen from Shirak Province will be visiting Alexandria for the signing of the declaration of Alexandria - Gyumri as twin cities. On the other hand, the Rector of the Institute of Tourism of Alexandria announced his decision to allocate five scholarships to Armenian students.

Armenian - Swiss Relations.- Swiss Foreign Minister’s Visit to Armenia. During the Swiss Foreign Affaire Minister’s visit to Armenia, the importance to develop investments and economic relations were discussed by the two parties. These talks were followed by an agreement excluding double taxation on income and property. The Swiss government had established relations with Armenia even before the Armenian independence in 1991. Switzerland assisted Armenia during the Earthquake of 1988 with a substantial humanitarian aid, a help of 4 million Swiss francs was allocated on a co-operative basis.

Armenian - Dutch Relations.

  A Credit of 5 Million Euro by the Dutch Government to Armenia. The credit offered by Netherlands will be granted by the end of 2006 only when the terms of the forseen indicators are met. The credit is destined to expand the co-operation of contractors in both countries and create joint-ventures. In 2005, the Netherlands opened a credit of 4.7 million Euro for the improvement in democracy, public funds management, as well as for the development of the civil society.

Relations Between Armenia and the Russian Astrakan Region.

  Reinforcement of co-operation between Armenia and Astrakan. The visit of the Armenian delegation headed by the Governor of Ararat, in June, ended with an agreement signed by both representatives. The agreement suggests a tight co-operation mainly in the following sectors : economic, scientific, commercial, technical, and cultural. During the visit, festivities were held to mark the 300th anniversary of the Armenians in Astrakhan.

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