This dissertation presents algorithms to encode at an avarage bit rate of 1.2 Kb/s. A novel switched-predictive vector quantiser technique that outperforms previously reported schemes is proposed and assessed under noise-free and noisy channels. Efficient detectors for the pitch period and fricative and stop sounds are examined and adapted to the proposed coder. Low bit rate excitation methods are investigated in order to reproduce rather high quality speech. A mixed multiband excitation approach with three sub-bands is employed to encode voiced frames. For unvoiced frames, fricatives and stops modelling and synthesis techniques are used. This approach has shown to provide high quality synthesised speech, whilts it reduces the bit rate to only 0.4 Kb/s for unvoiced frames. To reduce coding noise and improve decoded speech, post- filtering techniques are analysed and compared on the same plataform. To reduce background noise, noise suppression methods are also examined. Finally, the propose coder is evaluated against the North American Mixed Prediction (MELP) coder, through A/B comparison tests. Assessment results have shown that the proposed system, operating at 1.2 Kb/s, slightly outperformed the MELP coder, operating at 2.4 Kb/s. For tandem connection situations, the proposed algorithm has presented a superior performance than the MELP coder.