Georgia Emerges as Trilateral Peace Facilitator as Armenia-Azerbaijan Trade Corridor Takes Shape

Armenian Prime Minister Nikol Pashinyan declared that Georgia is playing an indispensable role in facilitating the emergence of economic links between Armenia and Azerbaijan, describing the development as "truly praiseworthy" during a joint press briefing in Tbilisi with Georgian Prime Minister Irakli Kobakhidze.

Pashinyan visited Georgia for the 15th session of the Armenia-Georgia Intergovernmental Commission on Economic Cooperation, at which bilateral trade, energy transit, and infrastructure cooperation were the central agenda items. Georgia set a symbolic transit tariff for the transportation of petroleum products from Azerbaijan through its territory to Armenia, a practical step that Armenia's Minister of Territorial Administration and Infrastructure David Khudatyan publicly welcomed, describing the Georgian government's decision as a "friendly" gesture that meaningfully reduces logistics costs for Armenian energy importers.

The trilateral economic dynamic emerging from the peace process is significant. Speaking to the Armenian parliament following his return from Tbilisi, Pashinyan said Armenia, Azerbaijan, and Georgia together could make the region a competitive transit hub with revenues growing tenfold. "Even if we open 20 parallel railways and 20 roads in the region, they will still not be enough to handle all this traffic," Pashinyan said. "Now is a very opportune moment for Armenia, Azerbaijan, and Georgia to take advantage of this shared opportunity."

The backdrop to this emerging trilateral framework is the cargo boom on East-West trade routes through the South Caucasus — the Middle Corridor linking China and Central Asia to European markets — which is generating growing volumes of freight that no single country in the region can absorb alone. According to Eurasianet, Georgia's facilitation role in the Armenia-Azerbaijan normalization process reflects a broader interest in capturing a larger share of this transit windfall.

For investors, the emergence of Georgia as an active peace facilitator rather than a passive bystander represents a structural upgrade in the South Caucasus regional architecture. A functional Armenia-Azerbaijan-Georgia transit corridor would generate not only freight revenue but also demand for logistics infrastructure, warehousing, customs technology, and financial services across all three markets. Georgia's bilateral trade with Armenia stood at $279.5 million in 2025, a figure that regional connectivity experts at Armenpress expect to grow substantially as transit routes normalize.

Further Reading

• TRIPP Construction Set to Begin H2 2026 as Armenia Finalizes Corridor Terms
• EU Maps Billion-Dollar Investment Needs in South Caucasus Trade Corridors