BACKGROUND AND COMPARATIVE ADVANTAGES

Armenia as a regional center for ICT

Comparative advantages of Armenia: qualified and experienced labor force high level of specialized education developed ICT R&D infrastructure heritage and traditions in the ICT sector coming from

the Soviet period significant Diaspora resources

IT DEVELOPMENT POLICY

The newly emerging market economy

dictates new challenges especially in the

following directions: Preservation of the existent potential and capacities

during the privatization Restructuring of giant enterprises with five to ten

thousand employees to small and medium enterprises Significant improvement of productivity level in the

newly established enterprises

IT DEVELOPMENT POLICY

Major and sustained market reforms improved the

performance of the economy.

Need for coherent state policy and further reforms in

the ICT sector: adoption of the IT Industry Development Concept Paper

in 2001, which identified the ICT industry development

goals and objectives: improving the legal framework improving infrastructure expanding ICT by public expanding ICT application in different sectors of

economy

IT DEVELOPMENT POLICY

To promote the electronic trade in Armenia, the

following steps have been made in legal and

institutional sectors: Improvement in the Armenian acting legislation Elaboration of “Electronic Documentation &

Digital Signature” Law Establishment of IT Marketing Center

STATISTICS AND DEVELOPMENT TRENDS

Export, USD millions

Number of companies

Exports - foreign companies

Exports - domestic companies

Domestic consumption -domestic companies

1999 2002

35 - 40

200

Domestically owned

Foreign owned40

160

1999 2002

45 -50

27 -31

45

21 -25

INFRASTRUCTURE DEVELOPMENT AND CAPACITY BUILDING

In July 2002, the IT Development Support

Council was established by the Presidential

Decree.

Council’s main objectives:

Private and public partnership development State assistance to ICT sector Maintenance of effective links between the

business community and the government

INFRASTRUCTURE DEVELOPMENT AND CAPACITY BUILDING

In November 2002, the Enterprise Incubator Foundation was established

Objectives of the Enterprise Incubator

Foundation: Assist with formation of technology start-ups and

their further development

Promote Armenian technology companies and their

products in international markets

Improve managerial and professional capabilities

of local technology companies

KEY TARGETS FOR SECTOR DEVELOPMENT

Actively attract key global players to position Armenia on global IT map

Development of human capital

Constantly coordination of educational programs in all levels

Development of telecommunication services