Most people would probably not expect Yerevan to appear so high on this list, but the city and the country overall are making leaps in order to promote economic growth. Business leaders are beginning to recognize Armenia as a hotspot for IT development and innovation, and as a consequence, the country has a rapidly growing startup scene. 

Self-described as the “Silicon Mountains”, the number of software startups quadrupled between 2015 and 2017 reaching approximately 280. The government aims to facilitate further growth of this market. New legislation offers a five-year tax break for startups and creates two free economic zones in Yerevan in which tech startups can operate without paying VAT, property tax, income tax, or export customs duty.

These reforms have seen the tech industry grow by 20% annually, exploding compared to Armenia’s overall economic growth (hovering at 2%). The large US tech corporations in Armenia are also funding educational programs, further developing Yerevan’s talent pool. With the industry accounting for 15% of Armenia’s exports, the startup scene here is only expected to continue to grow.

The source

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