COVID-19 Daily Briefing (March 30)

11:00 a.m.

At the suggestion of the Government, the National Assembly held a special session today to discuss four recommendation packages proposed by the Government. Justice Minister Rustam Badasyan presented the following draft bills for the Parliament’s approval:

Amendments to the Law on the State of Emergency (SOE) and the Law on Electronic Communication

While presenting the bill, Badasyan clarified that, in order to halt the spread of COVID-19 and introduce preventive measures, it is necessary to make amendments to the Law on the SOE. He went on to say that, if a state of emergency is declared because of the spread of a pandemic, then certain infringements on personal data protection and privacy rights, freedom of communication and privacy rights should be allowed. These provisions would be for the duration of the SOE only and the information will be transferred to the bodies (Police and National Security Service) and individuals specified by the Government decision. Some of the data that will be gathered include information about the location of the people receiving communication services, phone numbers of those who were in direct or indirect contact with the person, as well as information about the date, start and end of the communication. The same database will also include confidential medical information. Badasyan noted that having all of this information in one place will allow relevant authorities to take a more targeted approach in case a person tests positive for COVID-19 and identify the people that came in contact with the person. The content of messages or phone conversations will not be available under this regulation.

In order to enforce restrictions on the freedom of movement during the SOE, it is also recommended to use an electronic app to check the health status of people, require them to self-isolate themselves or stay in quarantine and to exercise control over the process. Badasyan said that the proposed recommendations are based on international practice, the use of modern technologies by those countries and the registered results. He brought the examples of South Korea, where modern technologies were incorporated and Italy, where such technologies were not widely used. As of March 26, Korea had 9,341 confirmed cases of COVID-19 and 131 deaths, while Italy had 74,386 and 7,503 deaths.

During the Q&A session, Badasyan reaffirmed that the personal information gathered under the proposed regulations and during the SOE cannot be used for other purposes, and if used, it will result in criminal prosecution. The process will be implemented by e-Governance infrastructure implementation unit (EKENG), which has the required technical means to gather and summarize the information received from all of the telecommunication operators in one place. The proposed recommendations allow keeping anonymized information, which can later be used as statistical data for different reasons, such as for the prevention of the spread of pandemics in the future or designing more targeted compensation packages. Gevorg Gorgisyan from the Bright Armenia Party raised concerns saying that if needed, the government can easily use the anonymized information to identify individuals through other means. Badasyan noted that personalized information gathered during the SOE should be destroyed according to the draft bill, so that it will not be possible to later use the anonymized information to extract personal information. The Minister also said that the information about the phone conversations (who a person called and when, without listening to the content of conversation), will allow them to identify the scope of person’s contact in the past 14 days, in case they test positive for COVID-19.

The regulations about gathering personal data refers to everyone (the information gathered by all telecommunication operators will be centralized in one place), while the information gathered through an electronic app refers to people who are already infected with the virus and people who came in contact with the infected people. Badasyan explained that for people who do not have smartphones and are not able to download the app or refuse to use the app, different measures will be implemented to make sure that they closely follow the regulations of self-isolation/quarantine and restrictions on freedom of movement.

Deputies also raised concerns about how the information about who the person spoke to can help the government identify the scope of potentially infected people, in case the first person tests positive for COVID-19. A person may not come in physical close contact with a person they merely spoke with on the phone. Concerns were also raised regarding the overall efficiency and effectiveness of the process, as well as concerns regarding the oversight, because the body (EKENG) collecting the information from telecommunication operators will also be destroying that same information.

Following further discussions, parliament passed the first reading on the package of draft laws (57 in favor, 24 against, one abstention). Prior to the vote, the head of the My Step Caucus Lilit Makunts said that they will take into consideration the opposition’s reservations with these amendments and that her party would also make additional recommendations before the second reading of the bill. She reiterated that the content of the calls and SMS messages will not be recorded (the proposal addresses data destruction), and that they realize that this is not going to solve the problem, but might mitigate some of the issues the country is facing.

Amendments to the Law On Medical Assistance and Public Services

Deputy Minister of Health Anahit Avanesyan presented a draft on amending the law “On Medical Assistance and Public Services,” which foresees refraining from performing autopsies on the deceased who have tested positive for COVID-19.

Avanesyan said that, since this is a new virus and specifics have not been tested or fully studied yet, they will no longer perform autopsies in an effort to contain further spread, regardless of security measures or precautions. The Deputy Minister also noted that Armenia does not have the necessary conditions nor does it meet international requirements to perform autopsies in these circumstances. Additionally, funerals will require stricter security measures that include placing the body in a special disinfected bag in a sealed coffin.

The bill was adopted in the first reading (66 in favor, 16 against, two abstentions).

3 p.m.

Old-age pensions for April 2020 will be distributed starting April 2. The pensions will be delivered to the address the pensioner is registered at. In cases where the pensioner has moved from the address of his/her official registration, the payment will be made through the post office starting April 10.

4 p.m.

Head of the Tourism Committee Susanna Safaryan held a press conference today to talk about the state of the tourism sector in Armenia. Safaryan said that, as a result of the COVID-19 pandemic, the tourism sector has been one of the hardest hit and that refers to both private companies (airlines, hotels, hostels, tour operators, etc.) and sole proprietors (tour guides, etc.). She noted that the Committee has been in constant communication with representatives in the sector and they have had many discussions on how to remain solvent at a time when tourism has taken such a hit.

Safaryan presented a number of proposals to support the industry which include co-financing or refinancing of loans for companies in the sector to be able pay their expenses including salaries, utilities, rents, taxes, etc. Loans for Small and Medium Enterprises (SMEs) will be made available to those companies that have an annual turnover from 24-500 million AMD, with a no-interest 36 month amortization, including a six-month grace period. If the company can pay the loan off before the 36th month, they will not pay any interest. Another form of support includes helping tour companies pay salaries for their employees from the minimum monthly up to 136,000 AMD/month. Safaryan said that all of this information is available on the government’s website (www.gov.am).

Safaryan mentioned that the government has been using hotels to quarantine people and said that, if there are hotels that want to be included in that measure (they must have 50+ rooms in order to keep as many people in one location as possible and should be located in Yerevan, Dilijan or Tsaghkadzor), they can present their offer (rates) to the government and this, she said, could be seen as a form of support.

Armenia’s Ministry of High-Tech Industry Announces Competition

The Ministry of High-Tech Industry of Armenia presented the details of a grant competition to support efforts to overcome the challenges and prevent the spread of coronavirus in the country.

The Ministry has earmarked 22 million AMD that will be awarded to companies submitting proposals that offer innovative and effective solutions.

The bids will be evaluated in two stages. The first stage will evaluate the usefulness and feasibility of the project. Those proposals (15 in total) which get the most points by the commission, will move to the second stage of the competition. Details on the evaluation criteria and mechanism are available on the Ministry’s website.

At the end of the competition, the companies that submitted the best five projects will receive grants of 10 million, 5 million, 3 million, 2 million and 2 million AMD respectively.

Bids may be submitted online until midnight on April 3 at [email protected].

EU Support to Mitigate Impact of COVID-19

The Delegation of the European Union of Armenia issued a statement today, promising support to help Armenia mitigate the impact of the coronavirus outbreak.

The full statement below:

As part of its global response to the coronavirus outbreak, the European Commission stands by Eastern Partner countries and has reallocated €140 million for the most immediate needs including for Armenia. In addition, the Commission will also redirect the use of existing instruments worth up to €700 million across the region to help mitigate socio-economic impact of the coronavirus crisis.

Commissioner for Neighbourhood and Enlargement Negotiations Olivér Várhelyi said: “These are very difficult times not only for the EU, but for our partner countries, such as Armenia, as well. We have to do what we can to mitigate the impact of the coronavirus outbreak on human lives and livelihoods. Today’s package responds both to the immediate needs of the health systems, as well as longer term needs to the most vulnerable groups in society and small and medium-sized enterprises, which are the backbone of the economies in the six countries”.

Responding to immediate needs:

Support to the Armenian health system: At the request of the partner countries, including Armenia, the Commission will respond to immediate needs by supporting the supply of medical devices and personal equipment, such as ventilators, laboratory kits, masks, goggles, gowns, and safety suits.

The European Commission is working with the World Health Organisation (WHO), and is deploying €30 million to ensure these necessary supplies are jointly purchased and effectively distributed to the health systems of the six countries in the coming weeks. In addition, the funds will support national health administrations to train medical and laboratory staff and carry out awareness raising measures to the wider population.

Support to the people who are most affected by the crisis, together with civic partners. The EU has made available more than €11.3 million in small grants to civil society organisations across the region. These funds are already responding to immediate needs, through the ongoing regional “Rapid Response Mechanism,” such as supporting local schools with distance learning. In Armenia, a project with the Red Cross will be launched in the coming days to support the elderly, vulnerable families, and people with disabilities.

By the summer, and as part this package, the Commission will launch the “Eastern Partnership Solidarity Programme” which will target the most affected parts of the populations through civil society support and notably sub-grants to smaller, local organisations. Additionally a new call for proposals, worth €3 million, was launched on 25 March, to support civil society organisations contributing to social well-being, including those impacted by the COVID-19 outbreak.

Mitigating socio-economic impact of the outbreak:

Support to Armenia’s economy, notably small and medium-sized enterprises (SMEs).

The EU is working closely with International Financial Institutions (IFIs) and relevant financing institutions from EU Member States as TEAM EUROPE providing a coordinated European response for the real economy, including SMEs, in particular through:

• Launch of a new regional support programme of €100 million to help SMEs, including self-employed and others to easily access credit and boost their businesses after the crisis. This will be complemented by a new support programme targeting Armenian SMEs worth €13 million.
• The EU is also exploring to mobilise over €30 million from existing programmes in coordination with the Armenian government.
• Facilitating, simplifying, accelerating, and reinforcing €200 million worth of existing credit lines and grants to SMEs in local currency including through its EU4Business Initiative;
• In addition, in the current crisis the EU has mobilised its major de-risking instrument worth €500 million, the European Fund for Sustainable Development (EFSD). This will rapidly provide liquidity and can be urgently deployed by IFI partners to facilitate the provision of liquidity in the EU’s Neighbourhood including through working capital, trade finance, or moratoria on debt service.

The EU is also reorienting ongoing support programmes to address Armenia’s needs to respond to the pandemic. As a result, €1.75 million has already been disbursed under a Public Finance Policy Reform budget support programme to provide immediate support to the government.

In parallel, a new Twinning programme of the Ministry of Emergency Situations in partnership with the Swedish and Lithuanian civilian protection agencies has been approved and will start soon to improve civil protection and disaster risk management. The Commission also stands ready to provide assistance to Armenia through TAIEX, its peer to peer instrument, by using EU Member States’ expertise, experience and examples of good practice on assessing emergency preparedness response schemes and health systems.