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major sectors of the economy : jewelry and diamond processing : manufacturing : information technology : natural resources : chemicals and pharmaceuticals : agriculture : food processing : tourism : construction and construction materials : energy : transport : telecommunications : water

Tourism

Tourism offers some of the most attractive privatization opportunities in Armenia. Before the break-up of the Soviet Union, tourism was an important economic activity in Armenia. At its peak in the late 1980s approximately 700,000 tourists visited Armenia each year, of whom about 100,000 came from outside the Soviet Union.
Armenia's main tourist attractions are its warm climate, splendid mountains, beautiful forests, Lake Sevan set in the mountains at more than 2,000 meters above sea level, an Olympic skiing base at Tsakhkadzor, many archaeological sites, churches, monasteries and historical monuments, and health spas in Jermuk. There are facilities for activities such as water sports, winter skiing, mountaineering, caving, hiking, horse riding and fishing. Armenia has a number of spa resorts centered on medicinal springs that offer considerable potential for health cures. There are also opportunities for so-called "ecotourism", which includes educational/ recreational field trips for bird watchers and botanists.
The 1988 earthquake, the Nagorno-Karabakh conflict and the subsequent blockade of trade routes effectively stopped international tourism until 1994. Since then it has gradually picked up, with 39,000 visitors contributing 1.9 per cent to GDP in 1999.
In order to help boost prospects for the sector, the government is actively encouraging foreign companies to invest in tourism. A licensing procedure and general tourism law have been devised. Five zones have been identified for tourist development:


  • Yerevan itself, and the many historic and religious sites in its neighborhood, includingGeghard monastery, a pagan temple at Garni, and the church at Echmiadzin;
  • the Vayots Dzor district to the south of Yerevan, including the spectacular Amaghou valley, Noravank monastery and the spa town of Jermuk;
  • the Siunik district, including dramatic mountain scenery and the Tatev monastery;
  • northern Armenia, including the second largest city, Gyumri, mountains and lakes;
  • the Lake Sevan area, including the town of Dilijan, where there is a potential for skiing.


   
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