Investors more afraid of frequent Tax Code changes than tax amounts: Chairman of the Union of Armenian Employers

For years different governments of Armenia spoke about promoting investments while in reality in different times with its working style Armenia more limited the investments opportunities than tried to develop them, Chairman of the Union of Armenian Employers Gagik Makaryan told the reporters today.

“But in recent period I had an opportunity to study the obstacles for investments and very obvious issues have come forth which either were not noticed before or were ignored,” Makaryan said.

He stressed that different laws have been adopted, different international agreements have been signed to promote investments but in reality nothing has happened.

“When it is being spoken about promoting investments, it is necessary to review the obstacles and eliminate them. If they are not eliminated or are partially eliminated no essential changes will be registered,” Makaryan stressed.

Speaking about the importance of foreign investments, Makaryan said that in conditions of their absence the stock market is not developing and banks remain the only financial resources.

“We came to a point when by limiting foreign investments we give place to banks, and when we say that the bank institute is developed we should also reason it with the circumstance that they are the main financial sources of business and not all businesses have been able to make use of this financial source which in its turn was a serious obstacle for economic development,” the chairman of the union said.
He also stressed the violations of competition conditions.

“After the velvet revolution the government is trying to fight against shadow, regulates the issues of corruption and monopolies, but the other risks have not been eliminated yet,” Makaryan said.

According to him, the investors say that they are not afraid of tax amounts but more of frequent changes in the Tax Code.

Summing up, Makaryan said that no serious success has been registered in promoting investments.