Conflict and Peace

The US Helsinki Commission on Tuesday (1 October) published an analysis of Russia's political and economic agenda. The document addresses, among other things, various developments in the South Caucasus. The region is experiencing various political shifts as Russia's material influence wanes due to its focus on its war with Ukraine. On the one hand. Armenia was once one of Russia's strongest allies. However, following the Nagorno Karabakh war in 2020, Armenia has moved away from Moscow and more towards a Western agenda. On the other hand, Azerbaijan has adopted a cooperative approach with Russia, especially given the similarities between the two countries' strong governmental grip.   

Ruben Vardanyan, an Armenian ex-official of the self-declared Nagorno Karabakh administration, was arrested and imprisoned along with other top Karabakh officials during Baku's recapture of Nagorno Karabakh in September 2023. On Thursday (3 October), Vardanyan's lawyers filed a lawsuit in Baku for alleged torture and denial of a speedy trial. 

NATO's new Secretary General Mark Rutte visited Kyiv on Thursday (3 October). It is Rutte's first working trip since officially taking office earlier this week. Earlier, Rutte announced that Ukraine's NATO membership would be one of the spearheads of his policy.

The Israeli army has begun 'limited, localised and targeted attacks' on Hezbollah targets in the border area of southern Lebanon, the army announced in a statement overnight Monday to Tuesday. Soldiers on the ground will be supported by the Israeli Air Force.

The Armenian government plans to increase military spending by about 20 per cent, equivalent to 110 billion drams (about $286 million). According to the proposed state budget for 2025, the Ministry of Defence will receive 664.6 billion drams (about $1.7 billion). Military expert Leonid Nersisyan, a researcher at the Armenian analytical centre APRI, describes this defence spending as unprecedented. However, he points out that despite the increased budget, Yerevan still lags far behind Baku in terms of military spending. Military spending remains lower than social spending in the state budget. Although the gap in military spending between Armenia and Azerbaijan is narrowing, with Armenia now trailing by a factor of two instead of five or six as it did in 2013, the difference remains significant.

The United States has announced a $20 million aid package to strengthen Armenia's cyber, border and energy security, USAID Administrator Samantha Power announced at a Democracy Delivers Initiative event in New York. The event, co-hosted by US Secretary of State Antony Blinken, was attended by Armenian Prime Minister Nikol Pashinyan.

The Lebanese militant group Hezbollah fired a rocket at the Israeli city of Tel Aviv on Wednesday morning (25 September) for the first time since the Gaza war broke out almost a year ago. It is also Hezbollah's deepest strike inside Israel. The militant movement's target was the headquarters of Mossad, Israel's secret service. The missile was intercepted by Israel.

The conflict between Armenia and Azerbaijan, two republics in the South Caucasus, has never been solely about their bilateral relations. Regional and distant powers have long sought to influence the conflict, pursuing their own strategic interests. This dynamic persisted even after the Second Karabakh War (27 September – 10 November 2020), which ended the core dispute between Armenia and Azerbaijan by bringing an end to the occupation of Azerbaijan’s Karabakh region. As the fourth anniversary of the war’s onset – also known as the 44-Day War – approaches, Baku and Yerevan continue to struggle with the peace process. Meanwhile, the most significant post-war initiative, the reopening of regional transportation and communication links, is facing increasing complications. Today, the often destructive involvement of external powers has become a major obstacle to the normalisation of Armenia-Azerbaijan relations and the implementation of regional transport projects.