By Benyamin POGHOSYAN, PhD, Chairman, Center for Political and Economic Strategic Studies

Following the military takeover of Nagorno-Karabakh by Azerbaijan in September 2023 and the forced displacement of Armenians, Azerbaijan has pursued a double-pronged strategy in negotiations with Armenia. Its first approach has been to undermine Western-led Brussels and Washington negotiation formats while showing an interest in resuming negotiations on the Moscow or regional platform. President Ilham Aliyev cancelled participation in the Granada summit of the European Policy Community in October and the scheduled tripartite meeting in Brussels facilitated by the European Council president, Charles Michel. In November, Azerbaijan rejected the United States’ offer to resume negotiations with foreign ministers in Washington. Baku explained its decision by claiming that the European Union, France, and the US have a pro-Armenian or anti-Azerbaijani stance. Simultaneously, Azerbaijan has several times expressed its readiness to resume negotiations in Russia or on regional platforms. READ MORE

• EGF Editor  |  Опубликовано на EGF: 28.06.2024  |  External Relations
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By Fuad Shahbazov, Baku-based independent regional security and defence analyst

Two agreements signed at the end of May advanced Azerbaijan’s efforts to establish itself as a key energy provider in Southeast Europe, going beyond its role as a producer of hydrocarbons to enter the electricity markets in the region as well. On May 29, Azerbaijan, Georgia, Romania and Hungary signed a memorandum to create a joint venture as part of the implementation of the Black Sea Energy Caspian-Black Sea-Europe Green Energy Corridor project. The first agreement regarding the submarine cable was signed in 2022 and it is supposed to be fully operational in 2029. The Black Sea submarine cable will be 1,195 km long and is set to be an important pillar of the transition to green energy, with the plan to integrate it into the EU's internal electricity market. As an attempt to diversify energy supplies in response to Russia's war in Ukraine in February 2022, the Black Sea cable is of particular importance. READ MORE

• EGF Editor  |  Опубликовано на EGF: 21.06.2024  |  Energy
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By Vasif HUSEYNOV, PhD, Head of Department, AIR Center, Adjunct Lecturer, ADA and Khazar Universities, Baku

A long road has been passed since Armenia and Azerbaijan were fighting a violent war that erupted in the wake of the deadlock in the peace negotiations for around three decades. As President Ilham Aliyev of Azerbaijan rightfully said, the chance for peace was eventually brought about by the war in 2020 that put an end to the occupation of the Azerbaijani territories. Having liberated its occupied territories, Azerbaijan immediately initiated a peace treaty with Armenia based on the fundamental principles of international relations, including mutual recognition of each other’s territorial integrity and non-use of force. It is a telling fact that Azerbaijan put forward this initiative in March 2022, when the Armenian separatist regime still had some control over the parts of the Karabakh region where Russia’s peacekeeping mission was temporarily deployed. This clearly manifested Baku’s intention to peacefully reintegrate the Armenian population in the Karabakh region and diplomatically resolve the remaining disputes with Armenia. READ MORE

• EGF Editor  |  Опубликовано на EGF: 21.06.2024  |  External Relations
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By Anahide PILIBOSSIAN, Vice President of Strategy and Development, APRI Armenia
Benyamin POGHOSYAN, PhD, Chairman, Center for Political and Economic Strategic Studies

Despite economic challenges and existing agreements with the Eurasian Economic Union, Armenia seeks closer alignment with the EU.
The recent statement of the Armenian Foreign Minister in the margins of the Antalya Diplomatic Forum denotes Armenia’s desire to join the European Union. This aspiration raises important questions on Armenia’s current position and options, which this article seeks to shed light on. At the same time, today’s complicated geopolitical environment highlights the need for the EU to formulate a strategic vision for the region. Between Pax Europa and Pax Russica, Armenia first went with the latter. However, following Yerevan’s defeat in the second Nagorno-Karabakh War and the military takeover of the region by Azerbaijan, despite the presence of the Russian peacekeepers, Armenia has now opted for the former. It stated its desire, backed by the EU, to join the Black Sea energy cable project (from which it has been excluded, reportedly as a result of pressures from Azerbaijan) and promote a regional infrastructure and connectivity project called the Crossroad of Peace, embracing, as European leaders did after World War II, the peace-building effects of economic regional integration projects. READ MORE

• EGF Editor  |  Опубликовано на EGF: 13.06.2024  |  External Relations
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By Vasif HUSEYNOV, PhD, Head of Department, AIR Center, Adjunct Lecturer, ADA and Khazar Universities, Baku

On May 14, Turkish Minister of Energy and Natural Resources Alparslan Bayraktar and Azerbaijani Minister of Economy Mikail Jabbarov signed an agreement on cooperation in the field of natural gas, including the export of Central Asian gas to Türkiye. Bayraktar told the media that by 2030, Türkiye is expected to receive increased gas supplies from Azerbaijan’s natural gas deposits and the Caspian Sea’s natural gas reserves, though he did not specify how much. Some of the gas flowing to Türkiye will transit onward to Europe. Bayraktar highlighted that a key aspect of the deal was arrangements for transporting Turkmen natural gas to Türkiye via Georgia and Azerbaijan. In recent years, traditionally isolated Turkmenistan has begun to seek more cooperation with outside partners, especially in the energy sector. The transit of Turkmen gas to Türkiye and onward to European markets would go a long way in removing ongoing reliance on Russian supplies. While Bayraktar did not disclose the planned transit route for the Turkmen gas to Azerbaijan or the amount of gas involved, several recent developments offer hints on how the two sides plan to carry out this project. READ MORE

• EGF Editor  |  Опубликовано на EGF: 07.06.2024  |  Energy
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By Benyamin POGHOSYAN, PhD, Chairman, Center for Political and Economic Strategic Studies

Armenia is still absorbing the implications of the protests that overwhelmed Yerevan on May 9. On April 19, 2024, the Armenian and Azerbaijani border delimitation and demarcation commissions signed the protocol on the delimitation and demarcation process in the Tavush region of Armenia. That agreement granted Azerbaijan control over a patch of territory along that border that had been officially part of Soviet Azerbaijan but controlled by Armenia since the dissolution of the Soviet Union in 1991. The movement “Tavush for the Motherland” started with the closure of the Armenia-Georgia interstate highway near the village of Kirants in the Tavush region, one of the villages that was going to be affected by the process. Later, it transformed into a march towards Yerevan. Protestors led by Tavush Archbishop Bagrat reached Yerevan on May 9, 2024, and at a rally asked for Prime Minister Pashinyan's resignation. The rally was followed by several rallies in Yerevan in the last two weeks, sometimes accompanied by clashes with police. READ MORE

• EGF Editor  |  Опубликовано на EGF: 07.06.2024  |  External Relations
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By Vasif HUSEYNOV, PhD, Head of Department, AIR Center, Adjunct Lecturer, ADA and Khazar Universities, Baku

There is a growing consensus among some analysts that Western policies towards Russia and China have been a big disaster. Instead of preventing the creation of the Sino-Russo alliance, the West has virtually pushed Russia into the arms of China. The opposite was expected from the United States by many scholars and veteran diplomats, including Henry Kissinger. The United States will have to reach an understanding with China on a new global order to ensure stability, or the world will face a dangerous period like the one which preceded World War One, he said in 2021, two years before he passed away. Against the backdrop of the latest visit of Russia’s President Vladimir Putin to China, which is reported to be the 40th meeting between the leaders of the two countries over the past 10 years, there is enough ground to argue that Washington failed to “reach an understanding with Beijing on a new global order. READ MORE

• EGF Editor  |  Опубликовано на EGF: 31.05.2024  |  External Relations
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By Fuad Shahbazov, Baku-based independent regional security and defence analyst

Since its victory in the Second Karabakh War with Armenia in 2020, the Azerbaijani government has begun a massive reconstruction of the former war-torn region. Azerbaijan has demonstrated a firm commitment to reconstructing Nagorno-Karabakh, which was largely neglected and left unattended for three decades. According to the Azerbaijani state media, between 2020 and 2023, the authorities have allocated AZN12 billion to Karabakh's reconstruction/rebuilding process and an additional AZN4 billion AZN in 2024. Overall, the state programme dubbed “Great Return” envisions the allocation of AZN30.5 billion from the state budget between 2022 and 2026. Considering the fact that the reconstruction is a lengthy and costly process, at the first stage, Azerbaijan prioritized the reconstruction of larger urban areas such as Aghdam, Lachin, Shusha, Fuzuli, and Zangilan in order to initiate the steady return of former Azerbaijani IDPs, making those areas economically attractive for potential local and foreign investors. READ MORE

• EGF Editor  |  Опубликовано на EGF: 31.05.2024  |  Markets
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By Yeghia TASHJIAN, Beirut-based regional analyst and researcher, columnist, "The Armenian Weekly”

On May 13, 2024, Iran and India signed a historic deal under which New Delhi was granted the right to develop and operate the Iranian port of Chabahar on the Gulf of Oman. India has been eying this port for the past two decades to export goods to Iran, Afghanistan and Central Asian countries and bypass the Chinese-developed ports of Gwadar and Karachi in Pakistan. Commenting on the deal after the signing ceremony in Tehran, India’s Shipping Minister Sarbananda Sonowal said, “Chabahar Port’s significance transcends its role as a mere conduit between India and Iran; it serves as a vital trade artery connecting India with Afghanistan and Central Asian Countries.” Under this agreement, the Indian Ports Global Limited (IPGL) company will invest $120 million in the port with an additional $250 million in financing. Within this context, Indian Foreign Minister Subrahmanyam Jaishankar told reporters in Mumbai that this deal will open the path for new, larger investments to be made in the port. READ MORE

• EGF Editor  |  Опубликовано на EGF: 23.05.2024  |  External Relations
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By Vasif HUSEYNOV, PhD, Head of Department, AIR Center, Adjunct Lecturer, ADA and Khazar Universities, Baku

On May 10 and 11, the foreign ministers of Armenia and Azerbaijan, Ararat Mirzoyan and Jeyhun Bayramov, respectively, met for another round of bilateral peace negotiations in Almaty, Kazakhstan. It was the second meeting this year between the two sides after meeting in Berlin on February 28 and 29. The Almaty talks came after the initiation of the delimitation process on the Armenian-Azerbaijani interstate border, with the return of four non-enclave villages to Azerbaijan in April (see EDM, April 17, 23, May 14). The act was celebrated by some as the first instance in the post-Soviet era of a peaceful resolution in the long-standing territorial disputes between the two countries (Azertag.az, April 19; State.gov, April 28). The two parties hope to build on this progress and foster a constructive atmosphere during the talks in Almaty. These developments point to progress in the peace process between Armenia and Azerbaijan, demonstrating both sides’ willingness to pursue improved relations. READ MORE

• EGF Editor  |  Опубликовано на EGF: 23.05.2024  |  External Relations
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