Macroeconomic Forecast Further Unrest Possible

Supporters of the nationalist Dashnaktsutyun party began a hunger strike on September 15, in protest at a recent improvement in relations between Armenia and Turkey. Dashnaktsutyun left the coalition government in April when the rapprochement was first announced, accusing the government of giving up historical Armenian claims on Turkish territory and the recognition of the WWI-era killings of ethnic Armenians by ethnic Turks as "genocide". This protest confirms our view that, although the talks between Turkey and Armenia bode well for improved relations, there is still a risk of protest in both countries, due to the extreme sensitivity surrounding the

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