Dr. Ramiz Mehdiyev, Head of the Administration of the President of the Republic of Azerbaijan and an Academician of the National Academy of Sciences, examines the Caucasus’ role after the dissolution of the Soviet Union focusing in particular on Azerbaijan’s position, and how the existing geopolitical environment, as well as strategy and objectives of the states complicate the cooperation of divergent interests. The author particularly examines the Armenian- Azerbaijan Nagorno-Karabakh conflict, arguing that in its policies Armenia opted out of regional projects and is among the poorest countries of the region. The author furthermore suggests that the Armenian administration should understand that an achievement of peace ensures, first of all, their own interests and opens new economic prospects for them.