Friday, 24 September 2010
Amended law to lead to reduced corruption risks
A cabinet sitting was held today under the chairmanship of Prime Minister Tigran Sargsyan.
The government approved a package of amendments to the law on licensing, the customs code and 14 other legal acts of the Republic of Armenia. The draft has been in pursuance of the government-approved action plan of January 21, 2010 on improvement of Armenia’s business environment.
The document seeks to define 84 complex and 12 simple procedures for granting licenses instead of the existing 157 complex and 12 simple procedures. “We have held lengthy and in-depth discussions regarding this draft which is meant to tackle qualitative problems as well since some licensing procedures look like an inspection. By drastically reducing the scope of those activities subject to licensing, we tend to reduce corruption risks and bureaucratic red tape,” the Prime Minister said in this connection.
The government also backed a package of draft amendments to the laws on audit activity and licensing in an effort to provide for better audit standards and higher quality of auditor’s services.
The meeting next endorsed a package of draft amendments to the law on excise duty and on invalidating the laws on fixed payments for the manufacture of cigarettes and on fixed payments for gasoline and diesel fuel. This is supposed to make a shift toward a more equitable system of taxation and pricing for tobacco products, gasoline and diesel fuel, as well as to ensure compliance with Armenia’s commitments before the WTO and to enhance the level of tax receipts.
The Cabinet next approved a package of amendments to the laws on education and on graduate and post-graduate training in an effort to provide a competitive field for State-administered and private higher educational institutions in the Republic of Armenia. University applicants will henceforth enjoy equal terms in participating in entry exams nased on accredited academic programs. The meeting likewise backed the educational development program for 2011-2015.
The stated bills will be submitted to the National Assembly in the manner established by law.
The government extended till September 29, 2013 the “Temporary import” customs mode for Gloria clothing factory of Vanadzor. The company imported 59 denominations of machinery and equipment last year in an effort to push up to AMD 600mn the annual exports of finished goods. Gloria CJSC currently employs 440 persons and is set to recruit 200 more staff by this yearend.
According to the Prime Minister, Gloria’s record is a success story and its know-how should be spread to other spheres as well. Now there is a good opportunity for importing modern European equipment into the country, and companies should take their chance.
The government decided to apply tax and customs privileges to equipment labeled “free-of-charge” for the Armenian Power Grid CJSC imported under the “Power Transmission and Distribution Systems” loan facility, as well as to such measures as are aimed at increasing Republic of Armenia’s stake in the equity of Arm-Rosgasprom CJSC.
The government next approved an investment program on sustainable development of Yerevan’s municipal transport and a program on land alienation and resettlement. Prime Minister Tigran Sargsyan advised that the total cost of the program is about USD 1 billion. The town hall too is expected to attract extra resources to that effect. This and some other programs carried out in the capital city are of nationwide importance, including the construction of modern roundabout roads over the next seven years to a total cost of USD 300mn.
The meeting backed the results of the tender invited under the Asian Bank-supported North-South Road Corridor investment program, as well as the procedure to follow in getting online licensing papers under the complex procedure from central executive agencies and under the simple procedure – the from Ministry of Finance.
The meeting debated and passed decisions on a total of over 40 agenda items.
