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Armenia market introduction
Last updated March 2008
Market environment
Market characteristics
Market opportunities
Our infrastructure and strategic education priorities

Market environment
Armenia is the size of Belgium and is the smallest of the countries in the region. It lies at the heart of the Caucasus across the ancient Silk Road linking Europe and Asia and shares borders with Georgia, Azerbaijan, Turkey and Iran. Its natural resources include copper, zinc, aluminum, silica, gold, marble, granite and mineral springs.

According to National Statistical Service as to 2006 the population is 3,2 million. 64 percent of the total population live in urban and areas and 36 percent in rural areas. Over 95 percent of the population of the country is Armenian in ethnic origin. A very large population, possibly of as many or more Armenians, lives overseas.

Since 1991, the Armenian Government has moved quickly and effectively to establish friendly and close diplomatic, economic and cultural ties with the outside world. Over 50 countries have officially established diplomatic relations.

Fifteen of these states have opened embassies in Armenia. They are: the Arab Republic of Egypt, the People's Republic of China, the French Republic, Georgia, the Federal Republic of Germany, Greece / Hellenic Republic, the Republic of India, the Islamic Republic of Iran, the Lebanese Republic, Romania, the Russian Federation, the Syrian Arab Republic, Ukraine, the United Kingdom of Great Britain and Northern Ireland and the United States of America.

Over 50 states have ambassadors and charges d' Affaires accredited to the Republic of Armenia, but with representation outside of Armenia. Armenia has a permanent presence (embassy, consulate, or representation) in over 40 countries of North and South America, Europe, Africa, Asia, Australia, and the Newly Independent States.

In 2003 Armenia become a full member of the WTO. All rules and regulations of the Foreign Trade Policy of Armenia now conform with WTO requirements. Armenia is also a member of the following organisations: BSEC, CCC, CIS, EBRD, ECE, ESCAP, IAEA, IBRD, ICAO, IDA, IFAD, ILO, IMF, INTELSAT, INTERPOL, IOC, ITU, NACC, OSCE, UN, UNCTAD, UNESCO, UNIDO, UPU, WHO, WIPO, WMO, WTO (World Tourism Organisation). Armenia also has observer status at ADB, European Council, NAM, WTO (World Trade Organisation) and participates in NATO PFP.

The Armenian economy has experienced positive growth since 1994, and by 2003 had recovered to around 94 percent of its 1990 level, according to official World Bank data. As noted, growth in the last few years has been especially rapid. Continuing risks of regional instability, reliance on substantial international financial assistance and a large structural trade deficit all pose significant challenges to sustaining growth. Moreover, the contributions to growth and employment from agriculture and retail trade are diminishing, which implies that sustaining economic growth will require higher growth and employment generation in the industrial sector. Armenia has made good progress in its transition from a centrally-planned to a market economy. As noted, by 1997, most early-stage reforms had been achieved. Starting in 1997 reform progress slowed, but then accelerated again from 2000 onwards. Recent reforms to improve the business environment and implement bankruptcy and liquidation proceedings have been positive steps.

Due to stable economic growth and an open trade system, exports have grown every year since 1999. In 2003 exports grew by 34 percent. Armenia ranks as the Most Economically Free Nation in the CIS countries.

The Republic of Armenia is a sovereign, democratic, social, rule-of-law state. Elections of the President of the Republic of Armenia, the National Assembly (Azgayin Zhoghov), and local self-governing bodies, as well as referenda, occur by secret ballot on the basis of a general, equal and direct right to vote.

The most recent presidential and parliamentary elections in Armenia both took place in the Spring of 2003. President Kocharian was re-elected for a second (and final) five-year term in March, securing 67.52 percent of the popular vote, and, following the legislative elections in May, asked the incumbent Prime Minister, Andranik Margaryan, to form a government relying on a three-party coalition of the Republican Party, the Country of Law (Orinats Yerkir) party, and the Armenian Revolutionary Federation (Dashnaktsutium).

In its final report on the parliamentary elections, OSCE/ODIHR stated that the elections marked an improvement over the earlier presidential election in both campaign and media coverage but fell short of international standards for democratic elections in a number of key respects, in particular the counting and tabulation of votes. Future Parliamentary elections take place in May 2007, future Presidential elections take place in February 2008.

In the current stage of development of Armenia the main role of education is to meet the need for creating a democratic and rule of law state, for transition to market economy and to comply with the international tendencies of development in economy and society. In order to ensure the development and compatibility of the education system and in order to be able to integrate into the international network, it should become a high priority for the state, and the state itself should take the responsibility and play the most active role in developing its education network.

Armenia is taking necessary steps for integration into the European Higher Education Area (EHEA). The idea of EHEA originated from the Sorbonne Declaration which was signed on May 25, 1998 by the education ministers of France, Germany and the UK on occasion of the 800th anniversary of the Sorbonne University.

Armenia has signed the Bologna Declaration in May, 2005 in Bergen (Norway) and in this respect it is obliged to make major changes not only in the higher education sphere but in the whole education system as well.

English is considered an important tool for approximation to international standards of education, therefore English is taught in schools from the age of seven. The hours spent on teaching English vary from two to five hours a week. In the examination at the end of intermediate school, about 70 percent of students take English as their foreign language. English is also taken by many students in the examination at the end of secondary school.

In higher education, most institutions require students to pass a foreign language test regardless of their proposed course of study. Some courses are taught in English. The majority of people (56 percent) are between the ages of 17 and 59 and the level of education is high. Education continues to be one of the main values in Armenian society. Today, there are 18 state universities, seven foreign managed (American University, French University and five Russian universities) and the remainder are private. There are more than 77,000 third-level students.


Market characteristics
The education system of Armenia represents a structured incessant wholeness of educational institutions and organisations, the main components of which are; the preschool education for the children at the age of three-six; general secondary education comprising the primary school, middle or basic school, and the high school; middle professional (vocational) and higher professional education; post graduate education; professionals’ and teachers’ qualification increase /training and retraining institutions. The graduates of basic and high school have the right to continue their education in preliminary, middle professional (vocational) or higher education institutions.

A private educational institutions’ network is functioning in the country and is comprised of: schools, colleges, universities. They not only ensure the existence of the market of education services, but also bring a substantial contribution into the development of the education system.

In 2006, public institutions were educating 52,100 students, whereas 21600 students were being educated in private institutions. Statistical Yearbook of Armenia, 2006.

Nearly 36 percent of the total number of students is in non-paid sector. In nine universities of the republic currently operate postgraduate courses and doctor's courses, and in three universities there are master classes, where 576 masters, 1196 postgraduate students and 28 PHD students study for free, and 1295 masters and 96 postgraduate students study as paid students.

There are ten higher education institutions (universities and institutes) in the public sector seven institutions established on the base of international agreements and 84 private higher education institutions in Armenia. Bachelor degrees take four years, Specialist Diploma degrees take five years and Masters degrees take a further two years.


Market opportunities
The UK recognised the independent Republic of Armenia on 31 December 1991 and diplomatic relations were established soon afterwards.

The UK Embassy promotes close bilateral relations between the UK and Armenia and supports Armenia’s programme of reforms leading to wider European integration, administers GBP 1.8 million Department for International Development (DFID) programme to reduce poverty and promote sustainable development. The current priority areas are capacity building in civic governance, human rights, law, journalism and international relations.

An important aspect of education sector reforms is enhancement of efficiency. The authorities will continue and deepen rationalisation measures in the education sector of the country. In the framework of reforms program secondary vocational as well as higher education sectors are viewed as the second level of its objectives. Nevertheless, primary policy objectives in this area include: (i) correspondence with market economy rules; (ii) enhanced quality and compliance with international standards; and (iii) improved accessibility and equality. The state will attach special attention to educational and training programs with the objective to smooth the gap between the job opportunities (supply) and requirements of labour market.

In the area of higher education, the government will pay special attention to equality and targeting issues by creating conditions for increasing the enrolment of all gifted young people willing to receive higher education. One of the alternative approaches to resolving this problem is the development and introduction of a student loan system, where loans will be granted based on success in studies and the level of well-being.

More than 50 organisations, including international bodies(IREX, DAAD, TEMPUS, OSI, ACELLS, UNICEF, UNESCO, UNDP, USAID, TACIS, NRC, CRS) and local NGOs have considerably contributed in the area of introducing new disciplines, training teachers, introducing new teaching methods and techniques.


Our infrastructure and strategic education priorities
British Council has one office in Armenia which is located in the centre of Yerevan next to the National Academy of Sciences, in front of the National Assembly of Republic of Armenia and in a short distance from the British Embassy in Armenia. British Council Armenia offers a wide range of internationally recognised Cambridge ESOL examinations for English language testing, including BEC, Main Suite exams and IELTS. There is also support in taking professional examinations such as ACCA and distance-learning exams offered by many of the UK universities.

The Learning and Information Resource Centre of BC Armenia offers wide range of resources for educational and professional needs. Centre’s collection includes books and audio materials, DVDs, software and online databases, which are great sources to improve English language skills, prepare for IELTS, BEC, YLE, FCE, CAE, CPE exams, conduct research, and to develop professional skills.

British Council ELT Support Management works to provide support for English language teachers throughout the country, often in co-operation with key partners in Armenia including the Ministries of Education and Culture and the Association of English Language Teachers of Armenia.

On behalf of the UK government, BC Armenia manages a worldwide programme of assistance to English language training for military personnel engaged in Peace Support Operations. BC Armenia also administers the Chevening Scholarship Scheme run by the FCO as well as the John Smith Fellowship programme. There is also a Hansard Chevening course. This three-month course combines academic study with practical work attachments related to the British parliament. Course participants are expected to attend lectures and produce a research paper on a relevant theme.

With a notable increase in the demand of enrolment of Armenians to UK educational institutions, BC Armenia is considering the launch of a placement service.

British Council Armenia participates in the international exhibition “Education and Career” organised annually with the support of the Ministry of Education of RA. The objectives of the exhibition are to present new technologies in the sphere of education; to demonstrate opportunities for studying in the sphere of primary, secondary, undergraduate and postgraduate education; to present possibilities of on-line education; to demonstrate the role of international organisation in the field of education. The thematic fields of the exhibition present the preschool, general secondary, higher and post-graduate education, also study courses, exchange programmes and job placement.

With a government reform in the sphere of Vocational Education in place, British Council Armenia is implementing a large-scale project – Skills@Work - involving partners like the Ministry of Education and Science, the Ministry of Labour and Social Issues, TACIS/TEMPUS/ETF, IZZ/DVV (German NGO for Adult Education), the union of manufactures and businessmen of Armenia, the Armenian Chamber of Commerce and Industry and others. Within Vocational Education Trainings project the following areas of cooperation are identified:

Policy dialogue on areas such as entrepreneurship, occupational standards, curriculum development, qualifications frameworks, quality assurance, leadership and management, teacher training, autonomous learning. Institutional partnerships and twinning for exchange of good practice and joint developments; staff and student exchanges, with targeted use of EU programmes

Working with employers – models of good practice; training schemes that are innovative; business start up; entrepreneurship; skills for running your own business. Curriculum projects with sectoral focus on generic skills for employability and occupational standards (e.g. in hospitality, tourism, financial services, food production, retail, fashion/design/textiles, creative industries) and also focused on innovation in technology, enterprise skills, English for work.

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