Armenia’s Refusal to Pay: The Consequences for CSTO’s Budget and Future Uncertainty

Yerevan’s Influence Prompts Adjustments to CSTO Budget, Notes Russian Foreign Ministry

The Russian Foreign Ministry has stated that adjustments to the CSTO budget for the current year are necessary due to Armenia’s refusal to pay the calculated amount. Despite Armenia’s decision to stop financing CSTO activities in May, the organization will continue to function normally as long as financial obligations are met.

Tensions between Armenia and the CSTO have been rising since Azerbaijan’s attack in September 2022. Yerevan has been critical of the organization’s response to the attack and rejected proposals for CSTO observers on the border. Prime Minister Pashinyan announced in 2024 that Armenia’s membership in the bloc was effectively frozen, and there were hints that Armenia may even leave the organization.

The CSTO Secretariat and the Joint Staff of the CSTO have already reduced expenses by recalling or not appointing Armenian employees to quota positions. A draft decision by the Collective Security Council is being developed, with a focus on reducing expenses rather than redistributing fees.

The six member states of the CSTO are Armenia, Kazakhstan, Kyrgyzstan, Russia, Tajikistan, and Belarus. The organization’s future is uncertain as Armenia reevaluates its relationship with the bloc.

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