Open news feed Close news feed
A A

MORE TO AZERBAIJAN THAN TO ARMENIA

Politics

Administration Calls for $50 Million in Economic Aid to Armenia

The Armenian Assembly today expressed disappointment with the Administration's request for asymmetrical military assistance to Azerbaijan and Armenia in the Fiscal Year (FY) 2007 budget request, arguing that the disparity would only serve to undermine stability in the South Caucasus.

"In a repeat of events from two years ago, the Administration is once again taking an unbalanced approach in military funding to Armenia and Azerbaijan," said Assembly Board of Directors Chairman Anthony Barsamian. "This request not only runs counter to what Congress appropriated in previous years, but also sends the wrong message to Armenia, an important U.S. ally."

Barsamian said that the Assembly, working in conjunction with the Armenian-American community and Members of Congress, will make every attempt to reverse the Administration's attempt to provide Baku with a $1.095 million increase over Yerevan. In its FY 2005 Budget, the Administration proposed boosting Azerbaijan's military financing over Armenia's by $6 million. Through the combined efforts of the Armenian-American community and the Assembly, Congress ultimately ensured security aid parity by allocating $8.75 million in military assistance to both countries in the FY 2005 Omnibus Spending Bill. A similar balance was also maintained in FY 2006.

The Administration's 2007 funding proposal for Foreign Military Financing (FMF) calls for $4.5 million for Azerbaijan and only $3.5 million for Armenia. The proposed budget also suggests $885,000 for Azerbaijan versus $790,000 for Armenia in International Military Education and Training (IMET) assistance.

The FY 2007 budget also includes $50 million in economic aid to Armenia, which is $25 million less from the total amount Congress allocated to Armenia in FY 2006, and highlights the gap between what Congress allocates versus what the Administration requests.

The overall request level reflects a more than $36 million drop in assistance for the Independent States of the Former Soviet Union, from $382 million in 2006 to $346 million in 2007.

"While the overall account has steadily declined, $50 million is not acceptable," said Executive Director Bryan Ardouny. "We will continue to work with our congressional friends and the Armenian-American community in securing robust funding for Armenia."

Details of the Administration's spending plan describe Armenia as "one of Eurasia's leading performers in economic and political reform," and noted that Armenia was recently approved to sign a Millennium Challenge

Corporation (MCC) Compact. In December, the MCC approved a five-year $235.65 million Compact with Armenia. The Administration also explained that "recent problems in the constitutional referendum process highlight the continuing need for democracy assistance," adding that such assistance will "support efforts to increase stability in order to facilitate the settlement of regional conflicts, encourage free and fair parliamentary and presidential elections in 2007 and 2008, fight corruption, encourage government accountability and independent media, and reduce poverty, particularly through agricultural reform."

Today's announcement is the first step in a lengthy budget process. The next step is for the House and Senate to review the Administration's request through committee hearings.

The Armenian Assembly is the largest Washington-based nationwide organization promoting public understanding and awareness of Armenian issue. It is a 501(c)(3) tax-exempt membership organization.