Armenia ranked first in the Caucasus – Public Radio of Armenia
Armenia moved up 5 points to rank 60 globally in the annual StartupBlink Global Startup Ecosystem Index 2022 report.
Armenia still ranks first in the Caucasus, with more than double the overall score of Georgia, and second in the region, indicating that Armenia will continue to hold this position in the near future.
Since Yerevan is the only ranked city in Armenia, the country’s ranking is highly dependent on its capital city. In 2022, Yerevan entered the top 250 cities globally. Yerevan has seen a big jump, improving by 38 places to 244th globally, and reversing its declining momentum as of 2021.
This increase has propelled Yerevan up the ladder in Eastern Europe, where it now ranks 19th, up from 29th in 2021. Yerevan is the highest-ranked city in the Caucasus region, by a safe margin. Its score is more than double the score of Tbilisi, and more than three times that of Baku.
“As a landlocked country with restricted access to land due to tensions with Turkey and Azerbaijan, the Armenian ecosystem has been able to show real resilience. The Armenian government has long recognized that innovation is critical to the country’s future, and resources have been allocated to ecosystem development. In 2021 The technology sector in Armenia is booming, with new investments fueling growth,” the report states.
The country’s first unicorn, PicsArt, recently reached $1 billion. Furthermore, the Armenian startup scene has seen growth in terms of entrepreneurship and technology development, with companies like Shadowmatic and YerevaNN receiving praise for designing deep learning technologies.
“A strong and successful Armenian diaspora also supports the Armenian economy, and many very successful Armenian-American entrepreneurs, such as Reddit founder Alexis Ohanian, are working to strengthen the ecosystem of local startups. Armenian startups were created to target the global market from the very beginning due to the small The size of the market in the country. Armenia has a population of only 3 million, but it offers a huge amount of tech talent. In addition, the Armenian government is doing a great job in supporting tech startups, including tax incentives.”
To support foreign investment, Armenia has established free economic zones and full ownership among other incentives under the legal framework for foreign investments. Over the past few years, Armenia has made great progress in reducing bureaucracy and corruption. While the Armenian startup ecosystem is still in its infancy and the country needs to do what it takes to recover from its troubled past, there is great untapped potential waiting to surface.”
Since 2017, the index has been providing policy makers and stakeholders in the startup ecosystem with insights into the startup economy, revealing trends and momentum. The index is also used as a tool by founders and investors trying to discover the best ecosystems.
This year’s report ranks startup ecosystems in 1,000 cities and 100 countries, featuring several new sections and an improved algorithm.