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 Armenia’s Tech Sector Offers New Opportunities for Foreign Companies and Investors

Armenia’s Tech Sector Offers New Opportunities for Foreign Companies and Investors

In an interview with Investment Monitor, Armenian Deputy Prime Minister Hambardzum Matevosyan discussed the country’s tech prowess and its ambitions.

He said that “the country’s primary economic policy goal is to build an export-oriented and knowledge-based economy with a level playing field for domestic and foreign businesses”.

Armenian Deputy Prime Minister Hambardzum Matevosyan
Armenian Deputy Prime Minister Hambardzum Matevosyan

The Information and Communication Technology sector accounts for around 4% of Armenia’s GDP and plays a significant role in diversifying and growing the country’s economy.

Deputy Prime Minister Matevosyan said that Armenia’s ICT sector is venturing further into data science, artificial intelligence, and engineering among other fields in order to find the country’s niche in the global tech market.

“Often referred to as the ‘Silicon Valley of the Caucasus‘, we hope to live up to this reputation. However, instead of playing catch-up in the global race, we are focusing on building a solid technological ecosystem, where new ventures can emerge and grow in a sustainable manner”, he noted.

The Armenian government adopted a comprehensive approach toward the development of the ICT sector – from preparing future talents to sustain Armenia’s labor effectiveness in the long term to offering incentives and targeted support to tech companies.

In order to develop its Information and Communication Technology (ICT) sector, the Armenian government is taking a multipronged approach, including by way of government assistance; preparing future talent; and offering incentives.

“Thanks to specialized university programs, government assistance, and competitive labor costs, Yerevan has been able to attract multiple renowned IT companies that currently operate in Armenia. To name a few, Adobe, EPAM, Oracle, SADA, Siemens, Synopsis, Teamviewer, and VMware have hired hundreds of local specialists for their global operations. Similarly, home-grown companies are also fuelling Armenia’s economic growth. Two Armenian-founded companies – Picsart and Service Titan – have already become unicorns and at least ten companies are in the process of achieving unicorn status in the next year or two, and this is something we are proud of”, he concluded.