By Erik Davtyan (06/24/2015 issue of the CACI Analyst)
In June 2015, Armenia and Iran held numerous talks on political and economic cooperation, energy security, and the Nagorno-Karabakh peace process. On June 10, Armenia’s ambassador to Iran, Artashes Tumanyan, met with Alaeddin Boroujerdi, the chairman of the Committee for Foreign Policy and National Security of Iran’s Islamic Consultative Assembly (parliament). Boroujerdi welcomed the fact that Armenia and Iran pursue a high-level political dialogue and successfully cooperate at the level of parliaments, emphasizing the unique role of the Armenian Diaspora in Iran’s development. In turn, Ambassador Tumanyan stressed the importance of deepening political dialogue and economic exchange and expressed his gratitude to Iranian authorities for the warm attitude towards Iranian Armenians and the preservation of Armenian cultural heritage in Iran. Touching upon the current turmoil in the Middle East and security issues, the Armenian ambassador stated that all regional issues should be solved only by political means and that Armenia runs a constructive and balanced policy in this context.
The official political dialogue between the two neighboring states continued in the following days in Yerevan. On June 11, the President of Armenia’s National Assembly Galust Sahakyan received the head of the Friendship Group Armenia-Iran Ali Qaidi and other members of the group. The parties discussed the Nagorno-Karabakh peace process, as well as issues related to Armenia’s accession to the Eurasian Economic Union (EEU), parliamentary cooperation and especially the activity of the Friendship Group. On June 12, Iranian members of the Friendship Group were received by Armenia’s Minister of Foreign Affairs Edward Nalbandian. Nalbandian stressed the importance of political dialogue at both the executive and legislative levels and emphasized that several Armenians are engaged in Iranian parliamentary affairs as deputies in the Islamic Consultative Assembly.
Simultaneously, on June 11-12 Armenian officials held separate consultations with another Iranian delegation. The consultations were headed by the Deputy Ministers of Foreign Affairs Shavarsh Kocharyan and Ibrahim Rahimpour. According to the press release of Armenia’s Ministry of Foreign Affairs, the activation of political dialogue and enhancing cooperation in energy, trade-economic, and humanitarian fields bilaterally as well as in the framework of international organizations were on the agenda of the consultations. The counterparts also discussed the realization of joint economic projects in detail. Along with issues of common concern, the interlocutors reciprocally presented the current developments on top priority issues in Armenia’s and Iran’s foreign policies. Kocharyan presented the efforts of Armenia and the OSCE Minsk Group Co-Chairs towards the settlement of the Nagorno-Karabakh issue. In turn, Rahimpour briefed on the recent developments in the negotiation process on Iran’s nuclear program. On June 14, Ambassador Tumanyan met with Iran’s Minister of Petroleum Bijan Namdar Zangeneh and discussed issues relating to bilateral economic and energy cooperation.
Despite the active and regular interaction between Armenian and Iranian authorities, it is obvious that the vague perspective of constructing a new railway is still the most important problem on the two states’ official mutual agenda. By connecting its railway network to Iran’s, Armenia seeks to circumvent the dual embargo by Turkey and Azerbaijan (imposed more than 20 years ago) and receive the status of a transit state, thereby raising its international importance. For Iran, the new railway will open new opportunities for linking the Persian Gulf through Iran to the Black Sea basin. According to News.am, Tumanyan declared that Iranian authorities will build 60 kilometers of the railway, reaching the Armenian-Iranian state border. Regarding the existing difficulties for this infrastructural program, the Armenian ambassador explained that the construction of an Iran-Armenia railway needs a colossal investment, hence “the railway will be constructed as soon as financial needs are satisfied.”
Tumanyan also said that “Armenia aims at linking Iran and the Eurasian Economic Union” and added that “the members of the EEU are also interested in a broader cooperation with Iran”. In August 2014, the Armenian government approved the railway project at a cost of approximately US$ 3.5billion. Armenia has to build a nearly 300 kilometer-long section of the railway, the construction of which is estimated to be completed in 2022.
By Nurzhan Zhambekov (06/24/2015 issue of the CACI Analyst)
Kazakhstan completed its accession negotiations with the World Trade Organization (WTO) on June 10 and will join the WTO later in 2015. This is a milestone in Kazakhstan’s economic development. The WTO’s member states voted in favor of Kazakhstan’s accession at a meeting in Geneva on June 22, 2015. Whereas the economic impact is currently difficult to assess, the reduction in trade tariffs should in theory improve the competitiveness of Kazakhstan’s economy, leading to higher economic growth. In practice, Kazakhstan’s experience within the Eurasian Economic Union (EEU) has not been positive, as Kazakh producers have struggled to compete with larger Russian companies. Kazakh consumers are likely to benefit from Kazakhstan’s upcoming membership in the WTO, while Kazakh producers will face increasing international competition.
EXISTING PARADIGMS FOR RESISTANCE IN THE NORTH CAUCASUS CHALLENGED BY KADYROV, ISIS, by Kevin Daniel Leahy
FOOTBALL NATIONALISM AMONG IRAN’S AZERIS, by Emil Souleimanov
KAZAKHSTAN COMPLETES WTO ACCESSION NEGOTIATIONS, by Nurzhan Zhambekov
AZERBAIJAN AND THE EU, by Natalia Konarzewska
RUSSIA ENHANCES ITS SOFT POWER IN GEORGIA THROUGH LOCAL NGOs, by Eka Janashia
BISHKEK AND TASHKENT FACE UNEASY RELATIONS, by Arslan Sabyrbekov
TAJIKISTAN’S ISLAMIC RESISTANCE PARTY STRUGGLES TO SURVIVE, by Oleg Salimov
ARMENIA AND IRAN HOLD POLITICAL CONSULTATIONS, by Erik Davtyan
HANGING IN THE TRADE BALANCE: IS FREE TRADE A CURSE FOR KAZAKHSTAN?, by Sergei Gretsky
SHIFTING RUSSIAN POLICIES TOWARDS ALLIED SEPARATIST REGIONS, by Michael Hikari Cecire
AFGHANISTAN-PAKISTAN INTELLIGENCE COOPERATION AND THE PROSPECT OF PEACE, by Sudha Ramachandran
TURKEY-ARMENIA RELATIONS AFTER TURKEY'S ELECTIONS, by Armen Grigoryan
GEORGIA'S POLITICAL LANDSCAPE TRANSFORMS AS SENIOR UNM MEMBERS DEFECT, by Eka Janashia
KYRGYZ PARLIAMENT PASSES "FOREIGN AGENTS" LAW IN FIRST READING, by Arslan Sabyrbekov
AZERBAIJANI DIPLOMAT UNDER ATTACK AFTER COMMENTING BAKU FIRE, by Mina Muradova
THE RIGA SUMMIT AND NEW PROSPECTS FOR EU-ARMENIA RELATIONS, by Erik Davtyan
By Sergei Gretsky (06/10/2015 issue of the CACI Analyst)
The creation of the Eurasian Economic Union (EEU) was presented as a vehicle for economic development of Belarus, Kazakhstan, and Russia as a result of the removal of barriers to free movement of goods, capital, and labor between the three states and creating a common market. Its inauguration on January 1, 2015, happened at a very inopportune moment as Russian economy, the largest of the three, was sharply contracting due to falling global commodity prices and western sanctions over Ukraine. Economic recession in Russia has had a negative ripple effect on Belarusian and Kazakhstani economies, which led some in Kazakhstan to second-guess the benefits of joining the EEU.
The Central Asia-Caucasus Analyst is a biweekly publication of the Central Asia-Caucasus Institute & Silk Road Studies Program, a Joint Transatlantic Research and Policy Center affiliated with the American Foreign Policy Council, Washington DC., and the Institute for Security and Development Policy, Stockholm. For 15 years, the Analyst has brought cutting edge analysis of the region geared toward a practitioner audience.