CBA head: Trump Route welcomed by local economy

PanARMENIAN.Net - Central Bank Governor Martin Galstyan stated that the U.S. initiative known as the Trump Route is being positively received by Armenia’s market. He made these comments while discussing the financial aid package announced by the United States, according to Sputnik Armenia.

During a meeting with Armenian Deputy Prime Minister Mher Grigoryan, Brendan Hanrahan, head of the U.S. State Department’s Bureau of European and Eurasian Affairs, announced that the U.S. would allocate $145 million to Armenia under the Trump Route for International Peace and Prosperity initiative.

Galstyan noted, however, that in terms of its economic impact, $145 million is relatively small and easily absorbable by the Armenian economy in its current state.

He emphasized the importance of evaluating the program comprehensively to understand how the funds will be used.

“Nonetheless, the overarching message that such an initiative is taking place is positively perceived by our market, as it may signal future developments related to regional unblocking. Additionally, if the peace agreement reaches its logical conclusion, that will significantly improve our business environment,” Galstyan said.

On August 8 in Washington, Armenian Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev signed a joint declaration comprising seven points. The declaration includes plans for a strategic transit corridor through Armenia’s Syunik Province. The route, called the Trump Route (TRIPP), will provide Azerbaijan with trade access toward Nakhechevan. The U.S. has leased the route for 99 years, with an option to extend for another 99 years.

On September 11, Pashinyan clarified that Armenia had not leased land to the U.S. but rather granted the right to develop the corridor.