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“I have totally changed my understanding of local economic development. Now I am “armed” with strong knowledge which will help me to support the development of my community.” – Vahram Poghosyan said. He participated in the LED/PACA seminar conducted in Yerevan on 26-29 of April, 2011.

In the conditions of grave Reginal economic disparities in Armenia Local and Reginal Economic Development (LRED) is becoming more and more important. A great number of initiatives are launched targeting the local economic development. A variety of methods are being applied and many strategies created to address the economic distortions persistent in the regions for many years. If we look at national and regional level strategies on local development it is easy to observe that top-down approaches are prevailing those coming from grassroot level.

To this end, GIZ brought to Armenia and adopted innovative methods for LRED fi rst experiences of which and lessons learnt are refl ected in this publication as well.
This brochure is also GIZ FIRST attempt to compile and systemize its experiences on local economic development and share a strategic approach to LRED with those institutions which seek for feasible solutions
to sustainable economic growth on local level.

Download and read the" Thrive on Change: Local and Regional Economic Development in Armenia" brochure in English.

«Покупатель» (Customer) - was the answer every day when a question “Whom is the business running for?” was risen. Participants of CEFE TOT hold in Yerevan understand in the end that in the centre of any business is the customer.
“Now I understand the importance of planning”, “I need to clearly know my segment”, “Do not complain”, “We have to be clear about the problem”, “Customer, customer and again customer”, “Communication and team work”, “Time is money”, “I already see the financial reports in my dreams every night”, “Impossible is nothing” etc.- were the common phrases sound during the TOT.

Announcement:
In Armenia, there is an increasing awareness of the necessity to formulate and implement economic development strategies at the local and regional level. There is a departure from traditional approaches to industrial, structural and regional policy. For this, new innovative tools and methods are required to make the Local Economic Development (LED) process more effective and successful.
To this purpose, GIZ “Municipal and Economic Development in Armenia” Programme is organizing a LED/PACA seminar to introduce the PACA method to the experts working in the sphere of local economic development in Armenia.

On 31 January, 2011 Memorandum of Understanding and Cooperation was signed between SME development national center of Armenia and German International Cooperation (GIZ) “Municipal and Economic Development in Armenia” programme.

http://www.smednc.am/?laid=1&com=module&module=multimedia&action=view&id=86 Watch video (in Armenian)

CEFE methodology is one of the most effective tools introduced and localized in Armenia by GIZ. It is more than just another method of business plan development. This approach is based on fundamental principles of business thinking and behavior. Authors of the method believe that even most progressive technology and professional skills will not save a business from failure if there is no spirit of entrepreneurship. Based on this the entrepreneur receives the entrepreneurial skills and knowledge necessary for a successful start step by step, through the method tools. This is the simple logic of CEFE methodology (for additional information on CEFE methodology, please visit www.cefe.net).

This manual is for experts who put efforts in development of SME sector in Armenia. Application of CEFE method will indeed contribute to increasing the efficiency of this process.
Downlad the CEFE Manual in Armenian.

Description, method:

The CEFE training of trainers is initiated by the Local/Regional Economic Development Component of GIZ’s Municipal and Economic Development Program. 
The main purpose of CEFE (Competency Based Economies through Formation of Enterprises) method is the development of small and medium entrepreneurship. As the title shows, achievement of this goal is linked to promotion of entrepreneurs’ competencies required for business organization.

This brochure provides the results of one Local Economic Development (LED) project implemented in Noyemberyan town of Tavush with application of PACA (Participatory Appraisal of Competitive Advantages) methodology. This is a unique approach to local development producing “quick wins” for the community and encouraging local stakeholders’ joint actions.
Download and read more about PACA in Noyemberyan in Armenian and English

Download PACA in Noyemberyan English
Download PACA in Noyemberyan Armenian

This brochure provides the results of one LED project implemented in Vayk town of Vayots Dzor with application of PACA (Participatory Appraisal of Competitive Advantages) methodology. This is a unique approach to local development producing “quick wins” for the community and encouraging local stakeholders’ joint actions.
When we first entered Vayk the Mayor and other local players asked us: “How to make my community comfortable to live in and attractive for visitors and investors? What is my role in all these processes, can I change the situation?” Download and read more about PACA in Vayk in Armenian and English

Download PACA in Vayk English
Download PACA in Vayk Armenian

On September 22, 2010 in Yerevan "Local Economic Development, Armenian Outlook" workshop was organized by the German Technical Cooperation (GTZ). Representatives of state agencies, local governments and entrepreneurs from Armenian regions were the main event participants. Welcoming the participants, First Deputy Minister of Territorial Administration of Armenia Vache Terteryan stressed that the local economic development in Armenia is very important issue, and regional development programmes are elaborated in the country. However, experience and new methodology/tools, presented by German experts should always be applied in further activities, Terteryan said.

In October 2010 the first COMPASS has been deducted in Noyemberyan, Armenia. Dr. Varazdat Karapetyan (President of Gegharkunik CCI, Armenia) provides us with this interesting Case Study on the project.

In May 2010 a PACA exercise was conducted in Noyemberyan/Armenia. Four LED initiatives were identified and, during the following six months, many actions were undertaken in the community. The PACA follow up process suggested that actions in the community have to be aligned in the frames of midterm strategy. Also, new actions and actors were needed. Creating M&E indicators for participatory monitoring of the LED process appeared to be necessary.
On 10th October Gegharkunik CCI’s experts introduced the COMPASS tool. During the meeting on 21st October local players and national experts decided to organize a COMPASS workshop which took place on 29th October, 2010. The PACA local team, host organizations (Municipality and Community Union) and champions (Business Centre and Farmer’s Union) did successfully participate in the workshop. For more details, please see the Case Study provided by Varazdat Karapetyan.