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

The war in Ukraine has disrupted global supply chains, creating significant complications for transit routes crossing the Russia-Europe border. The world economy, still reeling from COVID-19, found itself in another crisis. Yet, even before the pandemic and the war in Ukraine, the primary sea transit routes connecting Southeast Asia with Europe, like the Suez Canal, were congested due to the growing cargo volumes. As one of the rising stars of the global economy, India was looking forward to establishing alternative routes to reach Europe. In 2000, India, Iran and Russia signed an agreement to launch the International North-South Transport Corridor (INSTC) to connect India with Europe via Iran and Russia. Three main routes were identified to connect India with Russia: via Iran and Azerbaijan, via Iran and the Caspian Sea and via Iran-Turkmenistan-Kazakhstan. According to the initial plan, the cargo should enter northern Europe from Russia, creating an India-Europe route that circumvents the Suez Canal. READ MORE

By Vusal GULIYEV, Visiting Research Fellow at the Asian Studies Center of Boğaziçi University

In light of Russia’s increasing isolation from global markets due to a series of Western-led sanctions, the development of functional, secure, and integrated freight railway networks between Europe and Asia, beyond the territory of the Russian Federation, has come to dominate the discourse over the past several months. The disruption of commercial operations through the northern rail lines catapulted the popularity of the Trans-Caspian International Transport Route (TITR), an overland network of road, rail lines, and maritime transport that traverses Central Asia, the South Caucasus, and Middle East whilst circumventing Russian territory. Consequently, the current geopolitical circumstance in Eastern Europe has allowed the host economies of the TITR—i.e., Azerbaijan, Kazakhstan, Georgia, and Türkiye—to reinforce the development of mutual political and economic bonds in order to strategically and effectively operationalize a uniform policy toward the sustainable implementation of the TITR. In the wake of heavy economic sanctions on Moscow, the major transit countries located along this overland trade channel have taken concrete steps toward achieving the expansion of transcontinental transit opportunities and attracting more international cargo shipments by realizing the rapid commercialization of this multimodal cross-regional route. READ MORE

By Fuad SHAHBAZOV, Baku-based independent regional security and defence analyst

As the war in Ukraine escalates and becomes more violent, global food and energy recession risks continue to increase, in turn further heightening the likelihood of a global economic recession. The new full-scale war revealed particular vulnerabilities of the Western block of countries, particularly on energy and supply chain management, due to their imposition of sanctions and export restrictions on Russia. Hence, new security challenges in Europe have forced the Western block of countries to explore new and safer trade routes while avoiding Russian territory. With the West’s search for new and safer trade routes, the Middle Corridor—a joint venture composed of Azerbaijan, Georgia, Kazakhstan, and Türkiye—has regained strategic prominence. READ MORE

By Eldor TULYAKOV, Executive Director, Development Strategy Centre
Furkat YUNUSOV, Head of Department, Development Strategy Centre

Four years ago, Uzbekistan launched reforms critical to the development of its economic sphere. Based on the Strategy of Actions, the document responsible for outlining the priorities for the country’s growth for the period of 2017-2021, as a metric we have arrived at initial finding, with several indicators demonstrating progress, most notably the areas of public administration, social and civic institutions, mass-media, economic advances, among others. The past four years have evidenced precise results and demonstrated more advanced methods to take these priority areas forward. READ MORE

By Eugene Kogan, Tbilisi-based defence and security expert

Undoubtedly, the Russian annexation of Crimea in March 2014 caused serious damage to the Ukrainian Naval Forces. About 70 per cent of the fleet has been lost and what remained is in poor shape and in need of repairs.
The resulting conflict in the Eastern part of Ukraine drew attention, energy and resources away from the difficult state of the Ukrainian Navy towards the urgent needs of the army and air force. The perilous state of the economy has further decreased financial support for the Navy’s needs. In addition, a debate on the conceptual vision of the Navy divided the expert community and top naval personnel for about 15 months. READ MORE

A highly successful roundtable discussion on Exploring the Role of Economic Initiatives as Peace Building Tools in the Nagorno-Karabakh Context took place on the 27th of March, 2014, at the European Parliament.  The event was organized by the European Geopolitical Forum and international NGO partners, and was attended by more than 40 experts from the South Caucasus region and Brussels-based think tanks and international organizations who engaged in discussion in a constructive, informal ‘atmosphere of exchange’. The roundtable focused constructive energies on discussing a common future in an economically integrated South Caucasus, as a way to build mutual trust aimed at helping to overcome the current stalemate within the political and security negotiations. Please click here for the summary of conclusions of the event. READ MORE.