YEREVAN, November 11. /ARKA/. The Armenian National Assembly passed today at the first reading amendments to the law on the central bank and other laws related to this one.

Arthur Javadyan, the head of the Central Bank of Armenia, presenting the amendments to the lawmakers, said the amended laws would make it possible to identify and control risks in the country's financial systems and ensure financial stability to Armenia.

He said the central bank is controlling the financial systems formed in recent years, but without legislative ground. An the mendements, he said, will put things right.

In his words, the amendments also imply a new position in the central bank's structure, particularly the post of the second deputy of the bank chairman. The second deputy will be in charge of operational management and decision-making processes.
Javadyan said that such a structure is specific to developed countries and all the central banks of the region have it.

“The existence of only one central bank chairman deputy contradicts to corporate management principles and to full implementation of management functions,” he said.

In this case, he said, the board of the regulator will consist of eight members who have executive institution functions, and decisions will be made by five votes, of which three will be independent.
Under the current law, deputies are appointed by the Armenian president for six years, and there are no differences between their functions.

The second deputy will have no separate staff and assistants and cars, and all the expenses on the salary are borne by the regulator.

The second deputy's salary will not differ from that of the first deputy and the central bank id financed solely from its own financial resources, and therefore the new position will put no additional burden on the government budget.

MPs, however, were opposed to Javadyan's initiative. They said the institution of a new position will inevitably prompt additional spending.

Bot despite their discontent the bill was passed at the first reading by 68 votes cast for it, five against it and 31 abstainers. ($1 – AMD 481.62). ----0----