UNDP Armenia Signs Memorandum of Understanding with Armenian-Russian Entrepreneur

Today Ms. Consuelo Vidal, UN Resident Coordinator and UNDP Resident Representative in Armenia, and Mr. Sergey Hambardzumyan, an Armenian entrepreneur based in Moscow, signed an unprecedented agreement whereby Mr. Hambardzumyan will support a host of community development initiatives in the village of Yeghvard, located in Syunik Marz, Armenia. The signing ceremony was held in Moscow, at the Embassy of the Republic of Armenia, in the presence of H.E. Mr. Armen Smbatyan, Armenian Ambassador to the Russian Federation.

The agreement covers three agricultural initiatives that have been identified by the Yeghvard community as top development priorities. The identification process, based on a participatory strategic planning scheme, has been spearheaded by UNDP Armenia through its Community Development Project. UNDP Armenia works extensively with rural communities to foster a grassroots mechanism of discussing local development needs, prioritizing subsequent projects, and creating community ownership of projects.

"Our agreement with Mr. Hambardzumyan is a great milestone in our efforts to establish collaborative links with the Armenian-Russian Diaspora," Ms. Vidal said. "Russian-Armenian donors and donor organizations are eager to support key development programs in the Armenian homeland, UNDP Armenia is proud to provide its development expertise and proven capacity to implement projects on the ground, in close cooperation with our partners."

The first initiative stipulated in the agreement is to establish an agricultural machinery pool in Yeghvard, which is home to some 100 households. The village, located 23 kilometers from Kapan, the center of Syunik Marz, was all but destroyed during the Armenian-Azerbaijani armed conflict in the early 1990s, with 80 percent of its structures sustaining heavy damage. The new farming equipment will enable the residents of Yeghvard to restore their livelihoods by cultivating all of their arable lands. The second and third projects comprise the establishment of a revolving wheat seed fund for local residents and the construction of a flour mill, which will serve the needs of both Yeghvard and neighboring communities.

All development activities in Yeghvard will be carried out within the framework of the UNDP Community Development Project in the course of 2008. Projects' funding totals USD 210,500.