DeFacto Agency
April 1 2008

YEREVAN, 01.04.08. DE FACTO. A three day (March 28-30) conference took
place in the Berdzor district centre of the Nagorno-Karabakh Republic
Kashatagh region, which was devoted to the development of the region.

"This conference, which is devoted to the development of the Kashatagh
region, is the first sui generis, and I hope that it will become
a basis for holding similar events in the future. It will promote
effective solution to the problems existing in the region, as well
as realization of programs aimed at its further development", NKR
President Bako Sahakian said in his speech made at the opening of
the conference.

Meanwhile, he noted that the "Kashatagh region is a unit of strategic
significance for the Armenian nation".

"It is no coincidence that within nearly 70 years our enemy turned
this territory into a wedge between Armenia and Artsakh. The region's
role has deeply changed since May of 1992, and the narrow section
liberated in that period became a real "lifeline" for the people
of Artsakh. Realizing both political and economic significance
of Kashatagh and all the responsibility for its future we have to
undertake the region's development, create stable and competitive
economy, increase the level of the people's welfare, and improve the
people's living conditions. It is today's imperative required by the
interests of our national security", Bako Sahakian said.

The head of the Karabakh state also mentioned that "the existence of
strong, developed and populated Kashatagh will create stable background
for reinforcement of positions not only in the negotiation process
on the Nagorno Karabakh conflict settlement, but also on the front
line making it more protected and secure".

"This year and in the following years the amount of means assigned
for the region's development will considerably increase. The budget
of the Kashatagh region in 2008 is 3, 7 billion drams, which exceeds
the previous year's index by 40%. 1 billion drams is provided for
capital construction, 400 million drams is provided for the sphere
of capital investment. These tendencies of proportional development
will be maintained in the future as well", Bako Sahakian noted.

Meanwhile, the president informed that together with the economic
development of the region reforms aimed at improvement of the
population's social condition were also provided.

Representatives of 40 organizations of the Armenian Diaspora and
independent entrepreneurs and benefactors participated in the work
of the conference in Berdzor.

Various programs which are to stimulate the complex development of
the region, secure stable economic growth, solve education and health
care problems, improve demographic situation etc. were presented
during the conference.

The attendees visited the region's villages and familiarized themselves
with the situation in site.