France shows interest in Armenia`s railway sector

ArmInfo.In the economic sector, our goal is rather to invest in Armenia than trade.  Ambassador of France to Armenia Jonathan Lacote stated this,  referring to the prospects for the development of the Armenian-French  trade and economic relations.

In this vein, he drew attention to the fact, it is investments that  create added value; they create jobs in Armenia. According to the  diplomat, from this point of view, France ranks second in Armenia  after Russia.

"I am glad that most of the French companies present in Armenia have  withstood the various crises of 2020 very well. At the beginning of  this year, France announced its readiness to provide Armenia with  exceptional financial assistance. This is the support that will allow  new French investments to be made in Armenia, forming new French  companies here. In general, we want our economic presence to make not  only progress, but also a qualitative leap. For example, France  should be present in the energy sector, in the field of  infrastructure, particularly in the field of railways, " Lacote said. 

At the same time, he explained that the amount of financial  assistance will depend on the programs that the Armenian side will  present to France.

In his words, the French side is ready to provide Armenia with a loan  within the framework of budget support in the amount of 50 to 100  million euros. "This budget support can be complemented by individual  program-specific grants."

As for the railway sector, there is an idea of implementing a project  that will connect Yerevan - Zvartnots airport - Echmiadzin and  Armavir with a single rail link. And, of course, we are ready to  consider projects for the construction of regional railways, "he  said.

At the same time, referring to the financial assistance announced by  the European Union in the amount of 2.6 billion euros, the diplomat  noted that the exclusive support announced by Charles Michel  (President of the European Council - Ed. note) marks a new commitment  of Europe in the region and in Armenia.

"The share of France in this European aid is 18%. We are completely  in favor of Armenia making full use of it. And this aid is really  aimed at strengthening Armenia's capabilities in all sectors. It is  about infrastructure, but in general there is support for  strengthening democracy and the rule of law. This European aid is an  expression of confidence in the future of Armenia. I think France  will support this commitment of Europe. It will also contribute to  the development of bilateral relations between Armenia and the EU  member states, " Lacote said in an interview with the RFE/RL's  Armenian Servic.  It should be noted that Armenia's foreign trade  turnover with the EU countries in January-May 2021 reached 16.6%  growth (from a 19.8% decline a year earlier), amounting to $ 573.2  million. The negative balance of Armenia's foreign trade with the EU  countries amounted to $ 125 mln, with a y-o-y decline of 4.1%  (against an 18.5% decline in the same period in 2020). This was due  to the improvement in the y-o-y dynamics of exports and imports with  an exit from the 20.2-19.5% decline to 24-12.2% growth, the absolute  value of which amounted to $ 224.1 million and $ 349.1 million in  January-May, respectively.  According to the final data of the  Statistical Committee of the Republic of Armenia, as a result, the  share of Armenia's foreign a y-o-y terms.  In the structure of  Armenia's foreign trade with the EU countries, the largest share  falls on Germany - 19.9% or $ 114.3 million (with an improvement in  y-o-ybdynamics from a 30.7% decline to a 25% growth). France is on  the 5th place - 7% or $ 39.9 million (with a reversal of the y-o-y  trend from 2.1% decline to 7.1% growth). The export of Armenian goods  to France increased 2.9-fold- to $ 3.5 million, with an increase in  imports of goods from France by 1% - to $ 36.3 million, while a year  earlier the opposite situation was observed - an impressive decline  in exports by 74.8% was accompanied by an increase imports by 8.9%.  In terms of the export volume of Armenian goods to the EU countries,  France ranked 8th.  France is in the TOP-3 in terms of imports among  the EU countries, after Italy and Germany.