Caucasus Press Review (July 28 – August 3)

Armenia is discovering new economic opportunities. The Golos Armenii paper says that the CIS space between Europe and Eurasia has become even more highlighted in the context of the Russian-Ukrainian conflict, offering the country a more positive conjuncture for Armenian markets of goods. The primary goal for Armenian businessmen and the government, according to the author of the article, is to enter new sectors of the vast market and increase their share in them without making too much fuss.

According to the paper, one of the ways is import substitution of Russian military products. 30 Armenian military enterprises need to propose services to the Russian defense industry, taking over huge military orders, considering that some of the leading enterprises in Armenia are connected with the Russian military industry and some are Russian property. The need for the latter is justified by the fact that Russia asked Belarus to consider production of over a thousand types of military and technical products.

Moreover, as the paper says, Armenia could offer more vegetables, fruit and processed products to the Russian market, because Russia stopped purchasing Ukrainian and some European products. This is necessary, although the resources of Armenia are limited and the local population has already started grumbling about major exports of Armenian fruit to Russia, Georgia, Switzerland and other countries. Prices for Armenian domestic products are quite high. But if any local products are purchased abroad, it would be foolish to miss the chance. Especially when agricultural products abroad are much more expensive than on the domestic market. It would improve the financial situation of related economic subjects that will gain more profit and opportunities to develop and expand their business, the author of the article assures.

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According to the Ekho newspaper of Azerbaijan, tourism in the republic is becoming a more popular commercial sector. It is becoming a recreational priority in the public conscience of the population. 5-6 years ago, active vacations were not as popular as they are today. Expenditure on summer vacations has become a must in planning the family budget. The Azerbaijani president highlighted tourism as a strategic non-petroleum sector of the national economy. Such tendencies, according to the author, are a prerequisite for prospects of Azerbaijani tourism development. The country has all the parameters that can be called tourism values: public security, political stability, secularism, national tolerance, commitment to democratic values, sea, various geographic landscapes, a rich nature, favourable climate, advanced infrastructure. The author believes that Azerbaijan will be there to offer new opportunities for vacations when people get bored of Eastern Europe. Azerbaijan needs to give world tourism alternative opportunities for vacationing. It can be a real chance for the country. The Azerbaijani population still prefers going on vacation abroad. The author points out that it is a socio-psychological trait of the post-Soviet period. Foreign countries are an attractive place for post-Soviet people. Understanding of the fact is visible only abroad.

The author of the article believes that Azerbaijan needs a national model for tourism development. Tourism needs sustainable development and coordination of all structures. Analyses of some foreign countries prove that tourism development is an evolutionary process. It cannot develop with state orders alone, it should become a priority of the economy.

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Business Georgia said that Georgia was planning to build major brand hotels to meet the demands of growing tourism. Tbilisi has about 170 hotels for 7,000 visitors. The Rixos, Millenium Hotel, Park Inn, Rooms Hotel Tbilisi, InterContinental and Hilton Garden Inn will be built for 1,000 visitors. An Abu Dhabi Group will invest about $40 million in construction of a hotel in the center of Tbilisi. It will have been completed by 2016. The 14-storey Hilton Garden Inn is being constructed with investments of the European Bank for Reconstruction and Development and Georgia’s Redix. Redix is planning to build hotels in three tourism regions of the country. The Adjara Group Hospitality and Intercontinental Hotels Group are reconstructing the building of a publication office of the Soviet period at the Tbilisi center. The Intercontinental Hotel will open there in 2016.

International Carlson Rezidor Hotel Group managing the Radisson, Park Plaza and Park Inn has big plans for Georgia. The company owns two Radisson Blu Iveria Hotels in Tbilisi and Batumi. The Park Inn will open a hotel in Tbilisi in 2015. According to officials, the company plans to open 10 more hotels in 2017-2018.

The Holiday Inn Hotel will open in Batumi at the end of 2014. Hotels of at least 7 more world brands will open in the next couple of years. Moreover, the Divan group opened a hotel with 65 rooms in Batumi in May 2014. It plans to open several small and medium-sized brandless hotels.

Red-Co plans to build 2,000 hotel and residential apartments at the ski resorts of Gudauri and Bakuriani.

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Unemployment in Chechnya has dropped by 19,750 since the start of the year, Vesti Respubliki quotes Chechen Minister for Economic, Territorial Development and Trade, Muslim Khuchiyev. The unemployment level reached 16.8%. It was at a level of 19.9% on January 1. The minister believes that development of small and medium-sized business has enormous socio-economic significance for reduction of unemployment in the republic. As of June 1, Rosselkhozbank granted loans worth a total of 247.4 million rubles for small business. The Governmental Committee for Small Business and Entrepreneurship granted about 100 microloans worth 61.8 million rubles in total.

Special zones are being formed for investors. In October 2013, the special economic zone for tourism and recreation was developed in the Itum-Kalinsky District. In 2014-2015, a special zone will be formed for car manufacturers in Argun (opening 7,420 workplaces), a tourism and recreation complex in Sernovodsk (900 workplaces) and an economic zone at Grozny-Severny Airport (6,400 workplaces).

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The Kabardino-Balkarskaya Pravda paper says that leading experts of the Russian Cardiological Science and Production Complex of the Russian Healthcare Ministry, the Tyumen Cardiological Center of the SB RAMS and St. Jude Medical (Belgium) organized master classes at the Cardiological Center of Kabardino-Balkaria. Lessons were organized within the framework of a science conference entitled “modern surgical methods to treat heart dysrhythmia.” The paper informs that 15 people with such a diagnosis will undergo surgery in three days. Nodar Shardanov, the chief doctor of the Kabardino-Balkarian Cardiological Center, noted that the republic is implementing new methods of specialized medical aid that had only been available in federal clinics.

366 coronary angiography shots have been taken, 23 cardio stimulators have been implanted since the opening of the cardiological section in August 2013. It is planned to become a third-level cardiological center in 1.5 years, offering high-tech medical assistance.

Caucasus domestic and foreign political events in local pressArmenia is discovering new economic opportunities. The Golos Armenii paper says that the CIS space between Europe and Eurasia has become even more highlighted in the context of the Russian-Ukrainian conflict, offering the country a more positive conjuncture for Armenian markets of goods. The primary goal for Armenian businessmen and the government, according to the author of the article, is to enter new sectors of the vast market and increase their share in them without making too much fuss.According to the paper, one of the ways is import substitution of Russian military products. 30 Armenian military enterprises need to propose services to the Russian defense industry, taking over huge military orders, considering that some of the leading enterprises in Armenia are connected with the Russian military industry and some are Russian property. The need for the latter is justified by the fact that Russia asked Belarus to consider production of over a thousand types of military and technical products.Moreover, as the paper says, Armenia could offer more vegetables, fruit and processed products to the Russian market, because Russia stopped purchasing Ukrainian and some European products. This is necessary, although the resources of Armenia are limited and the local population has already started grumbling about major exports of Armenian fruit to Russia, Georgia, Switzerland and other countries. Prices for Armenian domestic products are quite high. But if any local products are purchased abroad, it would be foolish to miss the chance. Especially when agricultural products abroad are much more expensive than on the domestic market. It would improve the financial situation of related economic subjects that will gain more profit and opportunities to develop and expand their business, the author of the article assures.* * *According to the Ekho newspaper of Azerbaijan, tourism in the republic is becoming a more popular commercial sector. It is becoming a recreational priority in the public conscience of the population. 5-6 years ago, active vacations were not as popular as they are today. Expenditure on summer vacations has become a must in planning the family budget. The Azerbaijani president highlighted tourism as a strategic non-petroleum sector of the national economy. Such tendencies, according to the author, are a prerequisite for prospects of Azerbaijani tourism development. The country has all the parameters that can be called tourism values: public security, political stability, secularism, national tolerance, commitment to democratic values, sea, various geographic landscapes, a rich nature, favourable climate, advanced infrastructure. The author believes that Azerbaijan will be there to offer new opportunities for vacations when people get bored of Eastern Europe. Azerbaijan needs to give world tourism alternative opportunities for vacationing. It can be a real chance for the country. The Azerbaijani population still prefers going on vacation abroad. The author points out that it is a socio-psychological trait of the post-Soviet period. Foreign countries are an attractive place for post-Soviet people. Understanding of the fact is visible only abroad.The author of the article believes that Azerbaijan needs a national model for tourism development. Tourism needs sustainable development and coordination of all structures. Analyses of some foreign countries prove that tourism development is an evolutionary process. It cannot develop with state orders alone, it should become a priority of the economy.* * *Business Georgia said that Georgia was planning to build major brand hotels to meet the demands of growing tourism. Tbilisi has about 170 hotels for 7,000 visitors. The Rixos, Millenium Hotel, Park Inn, Rooms Hotel Tbilisi, InterContinental and Hilton Garden Inn will be built for 1,000 visitors. An Abu Dhabi Group will invest about $40 million in construction of a hotel in the center of Tbilisi. It will have been completed by 2016. The 14-storey Hilton Garden Inn is being constructed with investments of the European Bank for Reconstruction and Development and Georgia’s Redix. Redix is planning to build hotels in three tourism regions of the country. The Adjara Group Hospitality and Intercontinental Hotels Group are reconstructing the building of a publication office of the Soviet period at the Tbilisi center. The Intercontinental Hotel will open there in 2016.International Carlson Rezidor Hotel Group managing the Radisson, Park Plaza and Park Inn has big plans for Georgia. The company owns two Radisson Blu Iveria Hotels in Tbilisi and Batumi. The Park Inn will open a hotel in Tbilisi in 2015. According to officials, the company plans to open 10 more hotels in 2017-2018.The Holiday Inn Hotel will open in Batumi at the end of 2014. Hotels of at least 7 more world brands will open in the next couple of years. Moreover, the Divan group opened a hotel with 65 rooms in Batumi in May 2014. It plans to open several small and medium-sized brandless hotels.Red-Co plans to build 2,000 hotel and residential apartments at the ski resorts of Gudauri and Bakuriani.Unemployment in Chechnya has dropped by 19,750 since the start of the year, Vesti Respubliki quotes Chechen Minister for Economic, Territorial Development and Trade, Muslim Khuchiyev. The unemployment level reached 16.8%. It was at a level of 19.9% on January 1. The minister believes that development of small and medium-sized business has enormous socio-economic significance for reduction of unemployment in the republic. As of June 1, Rosselkhozbank granted loans worth a total of 247.4 million rubles for small business. The Governmental Committee for Small Business and Entrepreneurship granted about 100 microloans worth 61.8 million rubles in total.Special zones are being formed for investors. In October 2013, the special economic zone for tourism and recreation was developed in the Itum-Kalinsky District. In 2014-2015, a special zone will be formed for car manufacturers in Argun (opening 7,420 workplaces), a tourism and recreation complex in Sernovodsk (900 workplaces) and an economic zone at Grozny-Severny Airport (6,400 workplaces).The Kabardino-Balkarskaya Pravda paper says that leading experts of the Russian Cardiological Science and Production Complex of the Russian Healthcare Ministry, the Tyumen Cardiological Center of the SB RAMS and St. Jude Medical (Belgium) organized master classes at the Cardiological Center of Kabardino-Balkaria. Lessons were organized within the framework of a science conference entitled “modern surgical methods to treat heart dysrhythmia.” The paper informs that 15 people with such a diagnosis will undergo surgery in three days. Nodar Shardanov, the chief doctor of the Kabardino-Balkarian Cardiological Center, noted that the republic is implementing new methods of specialized medical aid that had only been available in federal clinics.366 coronary angiography shots have been taken, 23 cardio stimulators have been implanted since the opening of the cardiological section in August 2013. It is planned to become a third-level cardiological center in 1.5 years, offering high-tech medical assistan