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Armenia prides itself on being the first nation to formally adopt Christianity (early 4th century). Despite periods of autonomy, over the centuries Armenia came under the sway of various empires including the Roman, Byzantine, Arab, Persian, and Ottoman. During World War I in the western portion of Armenia, the Ottoman Empire instituted a policy of forced resettlement coupled with other harsh practices that resulted in at least 1 million Armenian deaths. The eastern area of Armenia was ceded by the Ottomans to Russia in 1828; this portion declared its independence in 1918, but was conquered by the Soviet Red Army in 1920.

Armenia remains involved in the protracted Nagorno-Karabakh conflict with Azerbaijan. Nagorno-Karabakh was a primarily ethnic Armenian region that Moscow recognized in 1923 as an autonomous oblast within Soviet Azerbaijan. In the late Soviet period, a separatist movement developed which sought to end Azerbaijani control over the region. Fighting over Nagorno-Karabakh began in 1988 and escalated after Armenia and Azerbaijan attained independence from the Soviet Union in 1991. By the time a ceasefire took effect in May 1994, separatists, with Armenian support, controlled Nagorno‑Karabakh and seven surrounding Azerbaijani territories. The 1994 ceasefire continues to hold, although violence continues along the line of contact separating the opposing forces, as well as the Armenia-Azerbaijan international border. The final status of Nagorno-Karabakh remains the subject of international mediation by the Organization for Security and Cooperation in Europe (OSCE) Minsk Group, which works to help the sides settle the conflict peacefully. The OSCE Minsk Group is co‑chaired by the US, France, and Russia.

Turkey closed the common border with Armenia in 1993 in support of Azerbaijan in its conflict with Armenia over control of Nagorno-Karabakh and surrounding areas, further hampering Armenian economic growth. In 2009, Armenia and Turkey signed Protocols normalizing relations between the two countries, but neither country ratified the Protocols, and Armenia officially withdrew from the Protocols in March 2018. In 2015, Armenia joined the Eurasian Economic Union alongside Russia, Belarus, Kazakhstan, and Kyrgyzstan. In November 2017, Armenia signed a Comprehensive and Enhanced Partnership Agreement (CEPA) with the EU. In spring 2018, Serzh SARGSIAN of the Republican Party of Armenia (RPA) stepped down and Civil Contract party leader Nikol PASHINYAN became prime minister.

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Under the old Soviet central planning system, Armenia developed a modern industrial sector, supplying machine tools, textiles, and other manufactured goods to sister republics, in exchange for raw materials and energy. Armenia has since switched to small-scale agriculture and away from the large agro industrial complexes of the Soviet era. Armenia has only two open trade borders - Iran and Georgia - because its borders with Azerbaijan and Turkey have been closed since 1991 and 1993, respectively, as a result of Armenia's ongoing conflict with Azerbaijan over the separatist Nagorno-Karabakh region.

Armenia joined the World Trade Organization in January 2003. The government has made some improvements in tax and customs administration in recent years, but anti-corruption measures have been largely ineffective. Armenia will need to pursue additional economic reforms and strengthen the rule of law in order to raise its economic growth and improve economic competitiveness and employment opportunities, especially given its economic isolation from Turkey and Azerbaijan.

Armenia's geographic isolation, a narrow export base, and pervasive monopolies in important business sectors have made it particularly vulnerable to volatility in the global commodity markets and the economic challenges in Russia. Armenia is particularly dependent on Russian commercial and governmental support, as most key Armenian infrastructure is Russian-owned and/or managed, especially in the energy sector. Remittances from expatriates working in Russia are equivalent to about 12-14% of GDP. Armenia joined the Russia-led Eurasian Economic Union in January 2015, but has remained interested in pursuing closer ties with the EU as well, signing a Comprehensive and Enhanced Partnership Agreement with the EU in November 2017. Armenia’s rising government debt is leading Yerevan to tighten its fiscal policies – the amount is approaching the debt to GDP ratio threshold set by national legislation.

Armenia’s government-run Public Television network operates alongside 100 privately owned TV stations that provide local to near nationwide coverage; three Russian TV companies are broadcast in Armenia under interstate agreements; subscription cable TV services are available in most regions; several major international broadcasters are available, including CNN; Armenian TV completed conversion from analog to digital broadcasting in late 2016; Public Radio of Armenia is a national, state-run broadcast network that operates alongside 18 privately owned radio stations

the dispute over the break-away Nagorno-Karabakh region and the Armenian military occupation of surrounding lands in Azerbaijan remains the primary focus of regional instability; residents have evacuated the former Soviet-era small ethnic enclaves in Armenia and Azerbaijan; Turkish authorities have complained that blasting from quarries in Armenia might be damaging the medieval ruins of Ani, on the other side of the Arpacay valley; in 2009, Swiss mediators facilitated an accord reestablishing diplomatic ties between Armenia and Turkey, but neither side has ratified the agreement and the rapprochement effort has faltered; local border forces struggle to control the illegal transit of goods and people across the porous, undemarcated Armenian, Azerbaijani, and Georgian borders; ethnic Armenian groups in the Javakheti region of Georgia seek greater autonomy from the Georgian Government