Tigran Sargsyan facts for kids

Quick facts for kids Tigran Sargsyan
Տիգրան Սարգսյան
Sargsyan in 2016
Chairman of the Board of the Eurasian Economic Commission
In office 1 February 2016 – 1 February 2020
Preceded by	Viktor Khristenko
Succeeded by	Mikhail Myasnikovich
Armenian Ambassador to the United States
In office 15 July 2014 – 12 January 2016
Preceded by	Tatoul Markarian
Succeeded by	Grigor Hovhannissian
12th Prime Minister of Armenia
In office 9 April 2008 – 3 April 2014
President	Serzh Sargsyan
Preceded by	Serzh Sargsyan
Succeeded by	Hovik Abrahamyan
3rd Chairman of the Central Bank of Armenia
In office 3 March 1998 – 9 April 2008
President	Robert Kocharyan
Preceded by	Bagrat Asatryan
Succeeded by	Arthur Javadyan
Personal details
Born	(1960-01-29) 29 January 1960 (age 65) Kirovakan, Armenian SSR, Soviet Union (now Vanadzor, Armenia)
Political party	Republican Party
Alma mater	Leningrad Institute of Economics and Finance

Tigran Sureni Sargsyan (Armenian: Տիգրան Սուրենի Սարգսյան; born 29 January 1960) is an Armenian political leader. He served as the Prime Minister of Armenia from 2008 to 2014. Before that, he was the head of the Central Bank of Armenia for ten years, from 1998 to 2008. After being prime minister, he worked as Armenia's ambassador to the United States. Later, he became the chairman of the board for the Eurasian Economic Commission.

Early Life and Education

Tigran Sargsyan was born on January 29, 1960, in Vanadzor, which was then part of the Armenian SSR. His family later moved to Yerevan, where he attended school from 1967 to 1977.

College and University Studies

In 1978, Tigran Sargsyan finished Yerevan Technical College No. 14. The same year, he started studying at the Armenian State University of Economics. In 1980, he moved to the Saint Petersburg State University of Economics in Russia, where he graduated in 1983.

Advanced Degrees and Further Training

Sargsyan earned his PhD in 1987 from the Saint Petersburg State University of Economics. His research focused on planning social and economic development in Armenia. He also studied law-making in Washington, D.C., in 1994. From 1996 to 1997, he learned about managing banks at the World Bank Institute in Washington.

Beginning His Career

After getting his PhD, Tigran Sargsyan returned to Armenia in 1987. He worked as a senior researcher at the Research Institute of Economy and Planning. There, he led a group focused on international economic relations until 1990.

From 1988 to 1993, he was the chairman of a national council for young professionals. He also helped organize workshops on economic reform for bankers from 1990 to 1991.

Political Journey

Tigran Sargsyan helped start the "National Democratic Union" political party in 1991.

Serving in Parliament

From 1993 to 1995, Sargsyan was a member of the Supreme Council of the Republic of Armenia. He was part of the "National Democrats" group. He became the chairman of the committee for financial and budget matters. He was the youngest person to lead a committee in the Parliament. He played a big part in introducing Armenia's national currency.

Introducing Armenia's Currency

Even though he was from an opposition party, Sargsyan was chosen to lead the Parliament's financial committee. He worked with the head of the Central Bank and the Finance Minister. Together, they led a special commission to manage the new currency.

On November 22, 1993, the Armenian dram became the official money of Armenia. They released banknotes and coins in different values, like 10, 25, 50, 100, 200, and 500 drams.

Roles After 1995

From 1995 to 1998, he directed the Scientific Researches Institute of Social Reforms. He also chaired the Armenian Banks Association during this time. Tigran Sargsyan became the Chairman of the Central Bank of Armenia (CBA) on March 3, 1998. He was re-elected for a second seven-year term in 2005.

Leading the Central Bank (1998–2008)

When Tigran Sargsyan became the chairman of the Central Bank of Armenia in 1998, he brought many changes to banking. For example, international accounting rules were adopted that year. He was re-elected in 2005 for a second term. His signature appeared on Armenian money from 1998 to 2008.

Modernizing Banking Rules

In 1998, Tigran Sargsyan made it mandatory to use international accounting standards in Armenia. Before this, Armenia used older Soviet standards. The new standards made financial reports clearer and more modern. This system is still used in Armenia today.

Creating Electronic Payment Systems

In 1999, the Central Bank of Armenia launched an electronic payment system called CBA.NET. This system allowed banks to transfer money to each other instantly. Before this, all bank transactions were done with paper. This system is still used in Armenia.

In 2001, the Central Bank also created a national payment system called ARCA (Armenian Card). ARCA helped process payments for local cards. It also became a central system for international cards like Mastercard, Visa, American Express, and Diners Club.

Making Banks More Secure

As head of the Central Bank of Armenia, Tigran Sargsyan worked to make the banking sector safer. In 2002, new laws were passed that allowed the Central Bank to prevent dishonest groups from taking over banks. These changes helped track money flow and stop illegal activities like money laundering.

As a result, some banks and organizations that were not following the rules were closed. This helped protect people's money. By 2004, the banking system became much stronger and more reliable.

New Licensing System

In 2002, Armenia updated its laws on licensing. This meant that more financial organizations needed a special license to operate. This included groups that handled money, processed card payments, and other similar services.

Protecting Bank Deposits

In 2004, Tigran Sargsyan helped pass a law to protect money that citizens deposit in banks. Based on this law, a special fund was created in 2005. This fund helps return money to citizens if a bank has problems. Banks and financial institutions contribute to this fund.

Unifying Financial Oversight

Starting in 2006, the Central Bank took on a bigger role. It became a "mega-regulator" for the entire financial system. This meant it supervised banks, insurance companies, and the stock market all together. The Central Bank became responsible for keeping Armenia's financial system stable.

Prime Minister (2008–2014)

On April 9, 2008, Tigran Sargsyan became the Prime Minister of Armenia. He took over from Serzh Sargsyan, who became president. His new government, with 18 ministries, started working on April 22. The government included different political parties.

Soon after, the Russo-Georgian War happened. This war made things difficult for Armenia's economy. Armenia was already facing blockades from Turkey and Azerbaijan. Also, 70% of its imported goods came through Georgia.

Dealing with the Global Financial Crisis

The year after Sargsyan became prime minister, the global financial crisis hit Armenia. This caused Armenia's economy to shrink by 14.1%. Armenia's banks were strong, so they were not badly affected. However, the construction industry suffered a lot.

Tigran Sargsyan explained that a "housing bubble" had burst, causing problems. He also said Armenia needed to make its economy more diverse. Other reasons for the economic slowdown included less money sent from abroad and lower prices for raw materials that Armenia exported.

Government's Plan to Help

On November 12, 2008, Tigran Sargsyan presented the government's plan to deal with the crisis. This plan included several key actions:

• Tax Reform: Making it simpler to pay taxes.
• Customs Reform: Making it easier to import and export goods.
• Better Business Environment: Making it simpler to start new businesses.
• Infrastructure Development: Building roads and improving electricity.
• Construction Support: Helping property developers with state guarantees.
• Support for Businesses: Investing in companies and providing loans.
• Social Projects: Helping people in need.

Supporting Businesses

In the years that followed, the government helped many businesses. A special committee reviewed business ideas and supported the best ones. This help led to a growth in industrial production in 2010 and 2011. Many jobs were saved, and the number of industrial businesses grew. Average wages in these businesses also increased.

Improving Infrastructure

As part of the crisis plan, the government invested in building roads, schools, and hospitals across Armenia. By 2011, they had built or improved:

• Over 2,280 km of water lines for drinking and irrigation.
• Many pumping stations and reservoirs for water.
• Over 1,767 km of drainage systems.
• 150 km of general canals.

A lot of money was spent on these water systems, helping about 500 communities and 700,000 people.

Helping Families and Social Programs

The Sargsyan government also supported social programs. They started a special mortgage system for young families. By 2011, 462 young families had used this system. A "social package" was also created to help state workers.

The government also checked social pension lists carefully. They removed 17,000 families who did not need help and added 9,000 families who did. They also found and removed fake names from pension lists. The basic pension amount was increased by 2.5 times. A World Bank report said these programs helped reduce poverty.

North-South Highway Project

Starting in 2008, Tigran Sargsyan's government began talking with the Asian Development Bank about building a major highway. This highway would connect the north and south of Armenia. It was planned to be 556 km long and link Iran to Georgia. The project was estimated to cost about $500 million.

The first part of the project involved building roads near Yerevan. Later parts would extend the highway further. Tigran Sargsyan said that for the first time, Armenia would have a modern highway that meets international standards.

Developing Electronic Government

Tigran Sargsyan, as Prime-Minister of Armenia

Tigran Sargsyan's government started a program to create an electronic government. Experts from Estonia, which has a very good e-government system, were invited to help. This system allowed citizens to track their applications and see how the government was spending money.

At first, the system was tested in places like the Yerevan Municipality and the Central Bank of Armenia. By 2011, 35 state institutions were using the system. This made government work more open and efficient.

Improving Roads

The government spent more money on building roads. They completed 1576.9 km of roads and 60 bridges. This was twice as much road construction as in the previous decade. The average budget for road building also increased significantly.

Energy Sector Growth

In April 2010, a new energy block was launched at the Yerevan Thermal Power Plant. This plant was built with help from Japan. It made electricity production more efficient.

By 2011, 69 small hydropower plants were built, producing a lot of electricity. A new high-voltage power line was built to connect Armenia and Iran. An alternative gas pipeline also connected the two countries.

Air Travel Improvements

During Sargsyan's time, a lot of money was invested in Armenia's airports. The Zvartnots International Airport was bought by an Armenian-Argentine businessman, Eduardo Eurnekian. He modernized the airport completely and built a new terminal. Shirak Airport, Armenia's second-largest airport, was also updated.

Making Telecommunications Fairer

The government worked to end monopolies in the telecommunications sector. They invited a third mobile operator, Orange Armenia, to the country. They also made it possible for a third internet provider, GNC Alfa, to enter the market. Before this, only two companies provided internet in Armenia.

These changes led to a big drop in internet prices. For example, in 2007, unlimited internet was very expensive. By 2011, the price had fallen a lot. The number of internet users and mobile phone users also increased greatly.

Making Business Easier

In June 2008, the government launched a program to improve the business environment. This program aimed to simplify taxes, international trade, and starting or closing businesses. In November 2011, new tax rules were adopted to attract more investments to Armenia. They also planned to create tax-free zones.

These reforms led to faster company registration. It used to take 20 days, but now it took only 13–15 minutes for typical cases. Closing a business also became faster. The number of tax reports companies had to fill out was reduced, and it took less time to do them, especially with electronic filing. The number of required licenses was also cut down. Getting permission to build small constructions became much quicker.

Key Achievements as Prime Minister

Some of the major changes Tigran Sargsyan's government started included:

• Reforming cash machines.
• Developing e-government services.
• Launching a social benefits package for state workers.
• Reforming mandatory car insurance.
• Making several big changes to tax policy.
• Creating two tax-free zones in Armenia.
• Introducing electronic signatures.
• Starting the North-South highway construction.
• Introducing a tax-free system for new businesses.
• Starting a compulsory pension system.

He faced some criticism for the mandatory car insurance reform, but it later became normal for Armenians. There were also protests against the new compulsory pension system. This system did not fully start while he was prime minister.

Resignation

Tigran Sargsyan announced his resignation on April 3, 2014. He did not give a specific reason. A month earlier, he had offered to resign but was asked to stay until a court decision on his pension reform plan.

The Constitutional Court later ruled that the mandatory part of the pension reform law went against Armenia's main law. This law would have required people born after 1973 to contribute 5% of their income to private pension funds. Opponents worried about trusting these funds and losing part of their income.

Ambassador to the United States (2014–2016)

On June 26, 2014, Tigran Sargsyan was appointed Armenia's ambassador to the United States. He received the highest diplomatic rank. On July 15, US President Barack Obama officially accepted Sargsyan's credentials. Armenian media noted that Sargsyan was received by Obama much faster than most new ambassadors.

As ambassador, Tigran Sargsyan attended many international meetings. He spoke about economic policy and cooperation. For example, in March 2015, he discussed Armenia joining the Eurasian Economic Union. He explained that Armenia joined for economic, political, and security reasons. He believed Armenia could be a "bridge" between East and West.

During his time as ambassador, Armenia's president visited the United States three times. On January 12, 2016, Tigran Sargsyan left his role as ambassador to become the chairman of the Eurasian Economic Commission.

Head of the Eurasian Economic Commission (2016–2020)

On October 16, 2015, during a meeting in Kazakhstan, Tigran Sargsyan was chosen to be the next chairman of the Eurasian Economic Commission. He officially started this position on February 1, 2016. The president of Belarus, Aleksander Lukashenko, praised Sargsyan as an experienced and forward-thinking specialist.

As head of the Commission, Tigran Sargsyan led a team of ten members. New positions were created, such as a board member for internal markets and information technology.

Personal Life

Tigran Sargsyan is married. He has three children: a daughter named Narine and two sons named Abgar and Markos. He also has three grandchildren.

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