[Congressional Record Volume 140, Number 146 (Saturday, October 8, 1994)]
[Extensions of Remarks]
[Page E]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: October 8, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
   ADDRESS BY ARMENIAN PRESIDENT TER-PETROSIAN AT THE UNITED NATIONS

                                 ______


                           HON. FRANK PALLONE

                             of new jersey

                    in the house of representatives

                        Friday, October 7, 1994

  Mr. PALLONE. Mr. Speaker, on September 28, 1994, His Excellency Mr. 
Levon Ter-Petrosian, the President of the Republic of Armenia, spoke at 
the 49th Session of the United National General Assembly. I am 
enclosing the text of President Ter-Petrosian's address, which 
eloquently sets forth the challenges for the people of Armenia as they 
fight to build a prosperous, democratic nation from the ruins of the 
Soviet Empire. I urge the Members of this House to read President Ter-
Petrosian's words, and to reflect on his sage advice for shaping a 
post-Cold War foreign policy.

                               Statement

              [By His Excellency Mr. Levon Ter-Petrosian]

       As with all former Soviet republics, Armenia's economy has 
     been strained by the changes following the disintegration of 
     the Soviet Union and the difficult transition to a market 
     economy. Armenia's economy is further crippled by its over-
     reliance on trade with the former Soviet republics, the 
     blockade of transportation routes imposed by neighboring 
     Azerbaijan, an embargo by Turkey and the damage inflicted by 
     the disastrous earthquake in 1988. Other external conditions, 
     such as the disruption in transit due to the difficulties 
     faced by Georgia, have exacerbated the situation contribution 
     to the decline in Armenia's industrial productivity. The 
     legacy of the Soviet period, with its inefficiencies and 
     excessive horizontal integration, has worsened the effects of 
     the blockade.
       Despite the difficulties, the Armenian Government has begun 
     implementing significant structural reforms to create a 
     healthy market economy, beginning with the privatization 
     process, launched soon after the democratic Armenian National 
     Movement came to power in 1990. Indeed, the commitment to the 
     transformation of the centrally planned economy to market 
     economy stems from the philosophy of the democratic movement 
     in Armenia and is seen as an integral part of the transition 
     to a democratic state.
       In turn, a free market economy will flourish in a stable 
     democracy, which promotes and underpins economic development. 
     Armenia today is a country with more than thirty registered 
     political parties, a free press, freedoms of conscience and 
     religion, and with laws guaranteeing civil and political 
     rights. So far, three free elections have been held in 
     Armenia: parliamentary and presidential elections, and the 
     referendum on independence. The upcoming referendum on the 
     Constitution and elections of the National Assembly 
     (parliament) and the President of the Republic will reaffirm 
     the establishment of a democratic tradition.
       Democracy is fundamental to the process of economic 
     transformation. This process can be divided into three 
     phases, more or less typical for all countries in transition: 
     institutional reforms, long-term investments and changes of 
     technological structures, and integration into international 
     markets. It is imperative however, to set priorities and to 
     identify the most pressing issues of the moment. In my 
     opinion, Armenia is at the end of the first phase, which 
     includes: creation of a legal framework for economic 
     reform, within which private economic activity can take 
     place, contracts are enforced, and private property is 
     protected; liberalization of prices; privatization; 
     introduction of a national currency; financial and budget 
     stabilization; improvement of the balance payment. We have 
     already accomplished 80% of this phase. Armenia has 
     distinguished itself as being the first among the former 
     Soviet republics to privatize the ownership of 
     agricultural land and livestock production. Privatization 
     of small and medium businesses as well as large 
     enterprises is well underway. In late 1993, with the 
     collapse of the ``ruble zone'', Armenia faced a monetary 
     crisis. The uncontrollable flow of old Soviet rubles into 
     Armenia, and Armenia's subsequent inability to control 
     monetary policy on its own territory forced the Government 
     to prematurely introduce a national currency, the dram in 
     November 1993. The Government is presently implementing a 
     programme based on controlling and lowering the inflation 
     rate, enforcing a strict budget and controlling fiscal 
     expenditures and targeting assistance to the most 
     vulnerable groups.
       Basic reforms have been undertaken in the banking sector, 
     the first step of which was to break apart the ``monobank'' 
     system of central planning into a ``two-tier'' system, 
     comprised of a central bank and a group of commercial banks. 
     * * *
       Armenia considers self-determination in its multitude of 
     manifestations to be an inalienable human right. Armenia's 
     position on the Nagorno Karabakh conflict has been clear and 
     consistent from the start. Armenia has no territorial claims 
     against Azerbaijan. The conflict is between the people of 
     Nagorno Karabakh, who are striving for self-determination, 
     and the Azerbaijani government which is refusing to address 
     the rights of the people of Nagorno Karabakh. Armenia 
     provides moral, diplomatic and humanitarian assistance to the 
     people of Nagorno Karabakh, and it can not accept a military 
     solution which can only mean the genocide or deportation of 
     the population of Nagorno Karabakh.
       While the Nagorno Karabakh conflict has gone through 
     periods of both intense fighting and relative calm since I 
     spoke from this podium two years ago, there has never before 
     been a period in the five year history of the conflict when a 
     cease-fire has taken hold for so long. I am pleased to inform 
     you today that the cease-fire of May 12, 1994, which was 
     mediated by the Russian Federation is in general being 
     maintained. What is more gratifying and encouraging is that 
     the de facto May 12 cease-fire, through direct and immediate 
     contacts between the parties to the conflict, was formalized 
     on July 27, 1994, and on August 28, 1994, the parties 
     reaffirmed their commitment to the cease-fire until such time 
     as a political document has been signed.
       Armenia congratulates the main parties to the conflict for 
     their commitment to maintain the cease-fire and engage in 
     direct dialogue. Armenia views this as an important 
     confidence building measure, as a major step toward the 
     consolidation of the cease-fire and as a sign of a strong 
     commitment toward the successful conclusion of the current 
     negotiations which in turn will make possible the solution of 
     the problem at the CSCE Minsk Conference.
       Clearly, the conflict has entered a new phase in which the 
     parties have demonstrated their desire for peace.
       Our new challenge, and the priority for Armenia, is the 
     consolidation of the cease-fire and the establishment of 
     peace. Indeed, there is a historic opportunity today to end 
     the conflict. Yet the cause of peace requires the active, 
     unified support of the international community, including 
     possibly the immediate dispatch of UN and CSCE monitors to 
     consolidate the existing cease-fire. The cumulative impact of 
     the distrust of the past five years on one hand, and the lack 
     of international measures toward consolidation on the other 
     hand may increase the current uncertainty and threaten the 
     fragile cease-fire.
       There is no doubt that beyond the cessation of hostilities, 
     a lasting peace will mostly depend on the ability of the main 
     parties to the conflict and the international community to 
     develop innovative and internationally sanctioned mechanisms 
     for its establishment and maintenance.
       The primary concern for Armenia has been and remains the 
     security of the people of Nagorno Karabakh. Both, Armenia and 
     Nagorno Karabakh have repeatedly expressed their readiness to 
     comply with the relevant Security Council resolutions. A 
     lasting peace can be achieved only by ensuring the 
     irreversibility of the peace process through the deployment 
     of international security forces between Azerbaijan and 
     Nagorno Karabakh until such time as a negotiated solution to 
     the problem of Nagorno Karabakh has been reached with the 
     full participation of Nagorno Karabakh at the CSCE Minsk 
     Conference.
       Let me return for a moment to the theme I began with. In 
     this period of unprecedented change, many hardships, both 
     expected and unforeseen, have arisen. The present era, full 
     of challenge and hope, gives us new faith in the United 
     Nations as the most privileged and appropriate forum for 
     integrating the global interests of all peoples of the world, 
     which are too fragmented today. A universal accord can be 
     established only when discords are peacefully resolved and 
     full cooperation among nations is achieved. The United 
     Nations, with the noble principles and objectives enshrined 
     in its Charter, and the new responsibilities and tasks it 
     faces today, can and must lead the way to a better organized, 
     more harmonious world.

                          ____________________