The End of Russia’s “Unipolar Moment” in the South Caucasus

Summary 

The war in Ukraine has exposed Russia’s weaknesses and ended its “unipolar moment” in the South Caucasus. This has affected the calculations of the three states in a region where Moscow traditionally had the upper hand over local and competing outside actors.

Prior to the war, Russia had been able sustain its security, political, and economic leverage over Armenia, Azerbaijan, and Georgia, yet the extent of its influence varied over time and depending on the leadership in each country. Moscow was Armenia’s key ally, bringing the country into its security, political, and economic space. Russia also enjoyed close political and business ties with Azerbaijan, underpinned by shared authoritarianism. Baku joined the Commonwealth of Independent States (CIS) but stayed out of Russian-led security institutions. Moscow’s role in the Nagorno-Karabakh conflict gave it particular security leverage over Baku and Yerevan. Russia’s leverage with Georgia has fluctuated. The country joined the CIS but not other Russian-led organizations. Political ties started to erode in the early 2000s, especially following the 2003 Rose Revolution. The 2008 war weakened Russia’s leverage as Georgia left the CIS and cut diplomatic ties. Economic relations have improved since 2012 even as Tbilisi continued to seek EU and NATO membership.

The war in Ukraine has weakened Russia’s sway over the region, accelerating what had started with the 2020 Nagorno-Karabakh War as Moscow sided with Azerbaijan rather than its treaty ally Armenia. This led to growing difference with Yerevan and convergence with Baku. Armenia is now looking for alternative security partners and engaging with the EU and the United States. Azerbaijan is taking advantage of Moscow’s focus on Ukraine to fully achieve its objectives, including the early departure of Russian peacekeepers from its territory. Georgia receiving EU candidate status could have reduced Russia’s leverage but its ruling party’s antidemocratic and anti-West turn keeps favoring Moscow’s influence. Western economic sanctions have further undermined Russia’s hold over the South Caucasus states: it needs them more to connect and trade with Asian markets. The new geo-economic reality favors the three countries and Moscow can now hardly use economic tools against them. 

Russia’s waning influence has made it one among other players in the South Caucasus. It can no longer ignore the role of China, the EU, Iran, Türkiye, and the United States there. The emerging geopolitical and geo-economic plurality in the region has made Armenia, Azerbaijan, and Georgia more daring and transactional in their engagement with all outside powers. This has implications for the three countries in terms of peace and security, democracy, and geopolitical orientation. Azerbaijan is likely to remain undemocratic and to keep engaging with all powers transactionally to maintain national and regime security. Armenia finds itself in a complicated state of insecurity that affects democratization and makes multi-alignment its default foreign policy orientation. Georgia, whose democratic decline is the result of its own politics, is likely to sustain its multi-aligned and transactional foreign policy posture if the current government stays in power, while an opposition victory in the coming elections might turn the country back to democracy and a West-oriented foreign policy. 

Irakli Sirbiladze is a GMF ReThink.CEE Fellow. This paper is published under the ReThink.CEE Fellowship