Should students only be judged by their results in end- of- year exam?

More and more in my country, student achievement is being based on a mixture of continuous assessment and end-of-year exams. Some people claim that this is leading to lower standarts in schools. But I do not believe this is true.
In my opinion, it is much fairer to allow the work students do during their school year to count towards their final result for various reasons.
Firstly, it is possible to have a bad day when you take your exam and not show your true ability.
Secondly, exams do not encourage real learning as students just memorise lots of information for the exam and then immediatly forget it. As well as this, it is much more realistic to spend time thinking about a question problem discussing it with other people and researching it in books. This is , of course you cannot do in an exam.
In conclusion, then I believe that we should make coursework an increasingly part of student's final marks. This will give fairer and more accurate picture of each students real ability.