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WB SUPPORTS ARMENIA IN CREATING JOBS
RIA Oreanda, Russia
Economic News (Information Agency Oreanda)
November 13, 2013 Wednesday
Washington. OREANDA-NEWS . November 13, 2013. The World Bank Board
of Executive Directors approved a USD 72 million loan for the First
Development Policy Operation (DPO) for Armenia to support reforms
aimed at promoting macroeconomic stability, improving the business
environment, and enhancing the economys resilience to shocks through
measures to improve sustainability.
This is the first DPO in a series of three operations, supporting the
Government of Armenia in meeting its strategic objectives, including
stronger job creation, which is Armenias overarching development
challenge. The Operation is designed to help Armenia reduce poverty
and promote shared prosperity through growth enhancing reforms.
This Operation initiates the programmatic series that will complement
Armenias development vision, says Jean-Michel Happi, World Bank Country
Manager for Armenia. The proposed new series shifts the focus from
mitigation against crisis vulnerability to a medium-term agenda for
strengthening growth drivers. The Bank is committed to support the
efforts of the authorities in meeting those challenges.
The Operation is anchored on two pillars. The first pillar is aimed at
strengthening competitiveness through critical business climate and
public administration reforms. These are expected to contribute to
job creation through reducing the costs of doing business for firms,
expanding access to credit to SMEs, and increasing opportunities for
employment and job creation through increased trade and connectivity
within and outside Armenia. Public administration reforms supported
under this pillar will also contribute to a more inclusive access
to services, more efficient use of resources, and sound policy
formulation.
Through the second pillar, the DPO will enhance the Armenian economys
resilience to shocks and long-term stability by creating fiscal space,
supporting enhancements to the social protection system, more inclusive
access to public goods and services, and protection of the environment.
In preparation of the first loan disbursement, the World Bank assisted
the authorities in merging two inspection agencies, enhancing the
operations of the credit reporting system, increasing the flexibility
of recruitment and promotion of professional staff and discontinuing
the mandatory periodical attestations, improving competition and
transparency in civil aviation, clarifying aspects of the new funded
pension system, reviewing tax exemptions and excise rates, increasing
coverage of the Family Benefits Scheme, and submitting to parliament
a new Environmental Impact Assessment law.
Over the medium term, the Operation will help the authorities to:
i) reduce the burden on businesses from inspections by downsizing
inspection agencies by 50 percent; ii) improve the efficiency and
transparency of credit reporting, the collateral regime and bankruptcy
framework for better access to credit for SMEs; iii) increase the
attractiveness of the Civil Service for professional staff; iv) expand
efficiency and transparency of the public administration through a
wider and secure application of e-government systems; v) increase
productivity and transparency of customs operations; vi) improve
financial sustainability of drinking water and irrigation agencies;
and vii) ensure regular maintenance of more than 60 percent of roads.
This development policy operation supports a package of reforms
designed to spur consistently higher growth of the Armenian economy,
says Ulrich Bartsch, World Bank Senior Country Economist and Team
Leader of the project. We are helping the Armenian government
in meeting the challenge of job creation through enhancing the
competitiveness and sustainability of its economy.
RIA Oreanda, Russia
Economic News (Information Agency Oreanda)
November 13, 2013 Wednesday
Washington. OREANDA-NEWS . November 13, 2013. The World Bank Board
of Executive Directors approved a USD 72 million loan for the First
Development Policy Operation (DPO) for Armenia to support reforms
aimed at promoting macroeconomic stability, improving the business
environment, and enhancing the economys resilience to shocks through
measures to improve sustainability.
This is the first DPO in a series of three operations, supporting the
Government of Armenia in meeting its strategic objectives, including
stronger job creation, which is Armenias overarching development
challenge. The Operation is designed to help Armenia reduce poverty
and promote shared prosperity through growth enhancing reforms.
This Operation initiates the programmatic series that will complement
Armenias development vision, says Jean-Michel Happi, World Bank Country
Manager for Armenia. The proposed new series shifts the focus from
mitigation against crisis vulnerability to a medium-term agenda for
strengthening growth drivers. The Bank is committed to support the
efforts of the authorities in meeting those challenges.
The Operation is anchored on two pillars. The first pillar is aimed at
strengthening competitiveness through critical business climate and
public administration reforms. These are expected to contribute to
job creation through reducing the costs of doing business for firms,
expanding access to credit to SMEs, and increasing opportunities for
employment and job creation through increased trade and connectivity
within and outside Armenia. Public administration reforms supported
under this pillar will also contribute to a more inclusive access
to services, more efficient use of resources, and sound policy
formulation.
Through the second pillar, the DPO will enhance the Armenian economys
resilience to shocks and long-term stability by creating fiscal space,
supporting enhancements to the social protection system, more inclusive
access to public goods and services, and protection of the environment.
In preparation of the first loan disbursement, the World Bank assisted
the authorities in merging two inspection agencies, enhancing the
operations of the credit reporting system, increasing the flexibility
of recruitment and promotion of professional staff and discontinuing
the mandatory periodical attestations, improving competition and
transparency in civil aviation, clarifying aspects of the new funded
pension system, reviewing tax exemptions and excise rates, increasing
coverage of the Family Benefits Scheme, and submitting to parliament
a new Environmental Impact Assessment law.
Over the medium term, the Operation will help the authorities to:
i) reduce the burden on businesses from inspections by downsizing
inspection agencies by 50 percent; ii) improve the efficiency and
transparency of credit reporting, the collateral regime and bankruptcy
framework for better access to credit for SMEs; iii) increase the
attractiveness of the Civil Service for professional staff; iv) expand
efficiency and transparency of the public administration through a
wider and secure application of e-government systems; v) increase
productivity and transparency of customs operations; vi) improve
financial sustainability of drinking water and irrigation agencies;
and vii) ensure regular maintenance of more than 60 percent of roads.
This development policy operation supports a package of reforms
designed to spur consistently higher growth of the Armenian economy,
says Ulrich Bartsch, World Bank Senior Country Economist and Team
Leader of the project. We are helping the Armenian government
in meeting the challenge of job creation through enhancing the
competitiveness and sustainability of its economy.