VZCZCXRO5149
RR RUEHDBU RUEHLN RUEHVK RUEHYG
DE RUEHYE #0300 0731409
ZNR UUUUU ZZH
R 141409Z MAR 07
FM AMEMBASSY YEREVAN
TO RUEHC/SECSTATE WASHDC 5080
INFO RUCNCIS/CIS COLLECTIVE
RUEHLMC/MILLENNIUM CHALLENGE CORP WASHDC 0027

UNCLAS YEREVAN 000300 
 
SIPDIS 
 
SIPDIS 
 
DEPARTMENT FOR EUR/PPD, EUR/CARC 
 
 
E.O. 12958; N/A 
TAGS: OPRC AM KMDR KPAO
SUBJECT:  ARMENIA: MEDIA REACTION ON MCC VP JOHN HEWKO'S VISIT 
 
 
------- 
SUMMARY 
------- 
 
¶1.  MCC Vice President for Operations John Hewko visited Armenia 
March 7-9.  As part of his visit, Hewko held a press conference that 
was covered extensively by the major television stations, three 
newspapers, and a number of news agencies.  Press reports focused on 
Hewko's statement that the MCC program is conditional and the 
upcoming parliamentary elections will directly affect Armenia's 
Ruling Justly indicators and subsequent MCC eligibility.  In 
addition, Hewko praised the work of the MCA-Armenia team, stating 
that he was very happy with how the Compact was being implemented. 
 
--------------------------------------------- 
ELECTIONS ARE A "VERY, VERY IMPORTANT COMPONENT" OF FREEDOM 
--------------------------------------------- 
 
¶2.  The media widely covered Hewko's comments regarding the 
importance of Armenia holding free and fair parliamentary elections 
in May, 2007.  Hayastani Hanrapetutiun, a government-owned newspaper 
considered to be the official voice of the Armenian government, 
reported that Hewko said that MCC was based on the principle of 
working with countries that are democratic, and that elections are a 
"very, very important component" of whether a country can be 
considered free.  The newspaper also emphasized Hewko's statement 
that, "MCC and the U.S. Embassy in Yerevan will continue to monitor 
the situation closely and will look to independent assessments, in 
particular the OSCE assessment of the elections, because these 
assessments capture the issues that affect MCC indicators." 
Armenian Public TV, the most widely watched station in the country, 
noted during its evening news program that, according to Hewko, the 
Millennium Challenge program will continue only if the upcoming 
elections are free and fair.  The station reported that Millennium 
Challenge provides funds only to countries that uphold democratic 
values.  PanArmenian.net, an independent news agency, reported 
Hewko's statement that the Armenian Prime Minister, Parliament 
Speaker and Foreign Minister all assured him that they are 
"committed to free and fair elections, moving forward, and doing 
what it takes to make sure that these elections present a 
significant improvement over the last elections." 
 
--------------------------------------------- ------- 
MEDIA OUTLETS REPORT ON MILLENNIUM CHALLENGE DETAILS 
--------------------------------------------- ------- 
 
¶3.  The details of the Millennium Challenge Armenia (MCA) program 
were another focus in media coverage of the press conference. 
Armenia TV, a private television station, reported that over USD 
four million dollars in contract funds have already been disbursed 
to date.  The station quoted Hewko as saying, "We expect this 
program to directly impact approximately 750,000 people, or 75 
percent of the rural population, and reduce the rural poverty rates 
while boosting annual incomes."  Armenia TV also reported that U.S. 
Charge d'Affaires Anthony Godfrey said, "So far most of the work of 
MCA Armenia has been to set up the infrastructure for oversight and 
implementation.  The governing council, led by the Prime Minister, 
and MCA Armenia, led by Ara Hovsepyan, and our own Resident Country 
Director Alex Russin, have been working to identify the tools that 
will be used for implementation of the complicated program that will 
be carried out." 
 
¶4.  Arminfo, an independent news agency, wrote that Hewko, on behalf 
of the MCC, congratulated Armenia and MCA-Armenia for their 
"excellent efforts to implement the Armenia compact."  Arka news 
agency reported that the program aims at reducing poverty by 
stimulating economic growth and developing rural municipal 
communities.  The media outlet noted that, under the five-year 
program, Armenia intends to restore irrigation systems and rural 
roads, provide better access to credit and technical support, and 
assist farmers and agribusinesses. 
 
GODFREY