As we have already noted in the article on 20% VAT excluding, today almost the entire market of private home renovation, as well as the most part of home new construction is in shadow market; i.e. we build and renovate our houses, substantially increasing the volume of the shadow economy of our state. The problem is that legitimate contracts with licensed construction companies increase the cost of works by nearly 50%, which compels us to find a way to conduct works in shadow, and, moreover, with absolute impunity, despite the severity of "dormant" low... Shadow home construction and renovation activity is also lucrative to the people with illegal income, which is highly undesirable for them to show shadow incomes in legal contracts. As we see, shadow construction first of all is beneficial for the customer, because it reduces the cost of the work, but disadvantageous to the State, because it loses money in the form of taxes. But as building portal, we particularly wish to acknowledge the inability of small and medium construction companies legally prosper in such circumstances, when they are in unequal competition with shadow workforce. The State should seriously think over that problem and solve it as soon as possible, but through lowering tax burden solely for that market, as no other measures will give positive results. That is very important to realize! But until that happy day, we all, willy-nilly become criminals, as we seriously violate the low of our Republic. Please, all interested persons, leave your comments, both from Armenia and around the world, as we are sure that even in well-developed countries a problem like this partly exists.

If you are a civilized one, then, certainly, no! But don't give a negative answer, since it does not make you as such... In the existing situation of almost complete shadow home construction and renovation, when companies have to conduct works without legal Contracts with customers, it will be deficient to talk about satisfactory quality, even performing a highly qualified job (in case you are lucky). There are no guarantees for both parties; neither for payments and work quality nor for deadlines and so on! All the problems are being solved on the basis of personal mutual trust, or in best case- based on previous customers' recommendation. Talking about satisfactory quality in this market circumstances is uncivilized at least, until such situation is continuing.

As Bloomberg reported, South Korean companies expect to win record plant orders overseas this year. The total amount of contracts for the construction of power plants, floating production facilities and refineries can over $60 billion. About 72% of this works will be carried out in the Middle East. Thus, Korea Electric Power Corp. won the largest order so far this year, an $18.6 billion contract to build four nuclear reactors in the United Arab Emirates in late December, and Doosan Heavy Industries & Construction Co. received an order to build a 2,800-megawatt power plant in Saudi Arabia, worth $3.39 billion. We would like to remind, that this spring in the southern part of Yerevan, Armenia, South Korean company GS Engineering & Construction Corp. was completed 205 megawatt power plant costing $ 218mln.

The construction of Piazza Grande complex, located on Vazgen Manukyan street, was completed. The complex is adjacent to the main square of Yerevan- Republic Square and that is probably gave rise to building name (Piazza Grande means Large Square in Italian). Today, on September 20 Mayor of Yerevan Gagik Beglaryan and CEO "Renco" holding (www.renco.it) Giovanni Rubini held ribbon cutting ceremony to celebrate an official opening of the complex. Piazza Grande consists of 2 level parking garage, 3-storey business center with a glass roofed patio with (atrium) and the top 7 floors designed for residential area. The construction lasted 2.5 years and cost $50 million. The building was constructed on-site of demolished historic-cultural monument of 1842, what was purchased by "Renco" from Ministry of Defense in 2007. We would like to highlight the high quality of work performed during the construction of "Piazza Grande", which has undertaken "RencoArmestate" LLC construction company One should admire the high culture of the construction work done by this company during the entire construction process that is naturally due to increase in the cost of the final product. After 2009 "RencoArmestate" LLC led in the ranking of the largest construction companies of Armenia.

Recently Chairman of the administration of the President of Georgia reported about construction of high class residential complexes by American magnate Donald Trump. The protocol of intent between the Trump Organization and the Georgian building company Silk Road Group has been recently signed during the visit of Georgian President Mikheil Saakashvili in New York, where he attend the UN General Assembly Session. According to Executive Vice President of Trump Organization, Michael Cohen, they intend to build complex with unique architecture, interior design and comfort. Construction site for the future complex in Tbilisi is likely was selected during the Cohen's July visit to Georgia. Preliminary intentions of Trump Organization consists construction of housing both in Tbilisi and Batumi. It is interesting to note, that house prices in Georgia today, the lowest in the region and in terms of investment attractiveness, this project raises some doubts. However, the Government of Georgia makes every effort to create a more attractive environment for investments in the country and it is likely to succeed today.