Armenia Needs Both Charity & Investments, Not Only Investments
Throughout the years, since Armenia’s independence in 1991, I have had the unique opportunity of spending hundreds of hours with the country’s three previous Presidents, discussing privately with them Armenia’s many problems. I offered them my professional assessments and frequently my criticisms of the way they were running the country. Although the Presidents were not pleased that I was pointing out their shortcomings and mistakes, they understood that my intent was not to disparage them, but to help them improve the living conditions of the population.
Ever since the earthquake of 1988, I have been doing charitable work in Armenia and Artsakh, initially as President of the United Armenian Fund (UAF), subsequently the Armenia Artsakh Fund (AAF), and as Vice Chairman of Kirk Kerkorian’s Lincy Foundation, delivering over $800 million of humanitarian aid to Armenia and Artsakh by the UAF and AAF, and managing $242 million of infrastructure projects funded by Lincy. Despite all the corruption prevailing in Armenia during those years, I fought hard to protect the humanitarian supplies and funds, persistently bringing to the attention of the Presidents the abuses by high rankling officials, and demanding that they be disciplined or fired.
During my 58 trips to Armenia and Artsakh, I saw firsthand the miserable conditions of most people in our homeland, deprived of money, food, medicines, clothing and other basic needs. Seeing the Presidents’ neglect of the people’s deprivations, I frequently and forcefully brought their dismal situation to the attention of the country’s leadership. I was particularly upset when I heard government officials speaking about Armenia needing investments, not charity. I found such remarks to be callous of the people’s suffering. After each such pronouncement, I confronted these officials explaining the negative effect of their statements.
Consequently, I was surprised when Armenia’s new Prime Minister, Nikol Pashinyan, a man of the people, during his remarks in New York on September 23, 2018, announced that in the context of Armenia-Diaspora relations, work must be encouraged, not charity: “Armenians can assist Armenia only with one option: carry out economic activity in Armenia, establish any business, and work. Today, Armenia’s understanding is the following: It is a country where it is possible to carry out economic activity, establish a business, earn profits, get rich and enrich. Our message to all of you is the following: get rich and enrich. We want Armenia to be known as such a country. Not charitable, but developmental projects must be implemented in Armenia….”
To be fair to the Prime Minister, in his speech, he also spoke about many other topics which I agree with whole-heartedly. He has tremendous support both in Armenia and around the world! He has practically eliminated corruption in Armenian society and has represented the voice of the people who had remained voiceless for more than a quarter of a century since independence. However, just as I have told the previous Presidents, I would like to provide the following explanations to the new Prime Minister:
1) I fully support the Prime Minister’s initiative that Armenia needs economic investments in order to create jobs and expand exports. By creating jobs, not only the people will have the income to pay for their daily expenses, but the government will also have the tax revenues to support the country’s and population’s multiple needs.
2) However, the Prime Minister’s urging that “work must be encouraged, not charity,” would deprive hundreds of thousands of poor people of their basic necessities. Investments take time to trickle down to the people and produce results. In the meantime, if charitable efforts are discouraged, many poor people will not survive.
3) Not all Diaspora Armenians can invest in the Armenian Republic. There are dozens of charitable organizations which by law cannot get involved in economic activities, as they can only do charity. Since the earthquake and Armenia’s independence, Armenian and international charities have provided a large amount of aid to Armenia and Artsakh. If it were not for this humanitarian assistance, the standard of living would have been even lower, jeopardizing the survival of many Armenians. By discouraging charity, we are simply asking charitable organizations not to help the needy people of Armenia.
4) Armenian governments so far have been unable to meet the many needs of their population due to lack of money. Diaspora’s charitable organizations have provided the aid that the government could not. If there were no charitable assistance in Armenia ever since independence, the people’s many needs would not have been taken care of and Armenia would have been a poorer country.
5) Even if the Diaspora would start investing in Armenia today, that does not mean that the influx of new funds would take care of all the needs of the people overnight. Certainly, a large number of people would eventually be employed, but many others, such as the elderly, would still be left with hardly any income from their negligible pensions. Those who are unaware of the extent of appalling poverty in Armenia should read the Guardian newspaper’s Sept. 29, 2018 article by Nick Danziger, titled: “‘It’s better to die’: the struggle to survive poverty in Armenia.”
6) There is the mistaken notion that if there were many investments in Armenia, there would be no need for charity. In almost all countries, even in the most advanced ones, there are hundreds of charitable organizations that tend to the needs of the poor people. In the United States alone, billions of dollars are provided annually to needy individuals and families by charitable organizations. If the Americans require charity, Armenians would certainly need charitable assistance for a long time to come.
Paradoxically, Prime Minister Pashinyan’s wife, Anna Hakopyan, recently launched her own charitable organization “My Step Foundation” to support educational, healthcare, social and cultural projects. She is doing what’s absolutely necessary because the people of Armenia desperately need help.
