THE IMPACT OF THE ARMENIAN-AZERBAIJANI NAGORNO-KARABAKH CONFLICT ON THE ECONOMIC GROWTH OF TRANSCAUCASIA

Abstract

The article deals with the frozen conflict between two sovereign States in Transcaucasia: Armenia and Azerbaijan, which can be undermined at any time due to unresolved issues, and destroy the economy not only in the region. The purpose of the article is to eliminate this conflict with possible instruments aimed at eternal peace and ensuring economic security in the region. During the research, the author used methods such as analysis, synthesis, comparison, grouping, etc. The history and causes of this conflict have been studied. In the result of the analysis, it is concluded that the influence of the Armenian-Azerbaijani Nagorno-Karabakh conflict, today, in frozen form, has a negative impact, primarily on Azerbaijan’s economy since occupied over 20 percent of its territory, and, as a result of occupation, destroyed towns, the entire infrastructure, and there was more than one million Azerbaijanis refugees. As well as part of the territory of Azerbaijan - the Nakhchivan Autonomous Republic-was blocked by Armenia. In turn, Armenia, because of its occupation policy, has also been blocked by Azerbaijan and Turkey, and thus does not allow its economy to grow. The Armenian-Azerbaijani Nagorno-Karabakh conflict has also become the main reason that global economic projects in the region have been implemented bypassing Armenia. Turkey is the only country in the region that does not have vested interests in the conflict, and supports and fairly protects the interests of Azerbaijan on all international political and economic platforms. Officially Russia and Iran recognized the territorial integrity of Azerbaijan, like all countries of the world, but not enough strongly supported and continue to support Armenia, since both countries have their own political and economic interests in the Caucasus. It was revealed that the fear of war at any time and the existing problems did not affect the leading position of Azerbaijan in the Transcaucasia, and this country could be one of the guarantors of economic security not only in the region, but also in the world. It is determined that if this conflict is resolved by military means, local problems can cause the creation of a world-wide war, since Azerbaijan and Armenia are members of various world organizations-military blocs. Peaceful solutions to this conflict are proposed.