Armenia becomes the 52nd country to implement the EITI.
The EITI Board today approved Armenia’s EITI candidature application.
Armenia is a landlocked country situated in the southern Caucasus and bounded by Azerbaijan, Georgia, Iran and Turkey. The mining sector is the fastest growing part of the Armenia’s economy. According to the Centre for Responsible Mining, the mining industry contributed just less than 5% to country’s GDP in 2013. The country has significant deposits of gold, copper, molybdenum as well as smaller deposits of zinc, lead, iron and silver. The value of metal exports was almost USD 500 m in 2013. Among the major extractive companies operating in Armenia are Lydian International, Zangezur Copper-Molybdenum Combine, Dundee Precious Metals, Fortune Oil, Global Gold Corp, Cronimet Mining AG, GeoProMining, Vallex Group and Orogen Gold.
“Implementing EITI will lead to transparency in the mining sector and increase accountability to citizens. These factors are essential for improvement of the business environment in the country.
A well-managed natural resource extraction can become more profitable for the citizens of Armenia, and the EITI is the right tool to achieve this goal.
By dint of EITI a huge amount of relevant data and useful information will be available to the all beneficiaries. And the most valuable aspect of the EITI process is the fact, that the multi-stakeholder critical engagement will lead to increased trust and cooperation between all involved parties.” said Chief of Staff-Minister and MSG Chair Davit Harutunyan.
The EITI in Armenia creates a platform for the government, companies and civil society to hold a dialogue on financial accountability in the extractive industries. The national Multi-Stakeholder Group members worked closely to establish their plan about how to make EITI implementation in their country relevant to their national priorities. For example, it seeks to address issues like environmental pollution and to establish an open database on mineral production.
The decision of the Board on the status of Armenia in full:
The EITI admits the Republic of Armenia as an EITI candidate country on 9 March 2017. In accordance with the EITI Standard, the Republic of Armenia is required to publish its first EITI Report within 18 months of becoming a candidate (i.e. by 9 September 2018). Armenia is required to publish an annual activity report for 2017 by 1 July 2018. Validation will commence within two and a half years of becoming a candidate (i.e. by 9 September 2019). In accordance with the work plan submitted by the MSG, the EITI Board expects Armenia to publish a beneficial ownership roadmap by 1 January 2018.
Image showing the delegation of Armenia to the Board meeting, with EITI Chair Fredrik Reinfeldt (centre).