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> STRATFOR's
> Global Intelligence Update
> July 1, 1999
>
> Greece Announces Pending Defense Pact with Iran and Armenia
>
> Summary:
>
> Greece and Iran have announced that they intend to sign a
> tripartite military cooperation agreement, along with Armenia, as
> early as July 12.  Such an agreement would seriously undermine
> NATO unity and strategy in the Balkans and the Caucasus,
> exacerbate tensions between Greece and Turkey, isolate Azerbaijan
> and Georgia and, by extension, Central Asia, and provide Russia
> with a tremendous lever against NATO.  As all involved intended,
> it is not something NATO can ignore.
>
> Analysis:
>
> Addressing reporters in Tehran on June 28, Greek Defense Minister
> Apostolos-Athanasios Tsokhatzopoulos announced that Greece, Iran,
> and Armenia would soon sign a defense cooperation agreement, with
> the goal of creating peace and stability in the region. The deal
> will reportedly be signed at the three countries' first
> trilateral defense meeting in Athens on July 12.  Tsokhatzopoulos
> emphasized that military cooperation with Iran was based on the
> fundamental principles of international law and a shared interest
> in regional peace and security, and was not directed at any other
> country.  He also added that his visit, the first to Iran by an
> EU or NATO defense minister since 1979, was not as a
> representative of NATO. Tsokhatzopoulos, who is in Iran on a four
> day visit at the invitation of his Iranian counterpart Vice
> Admiral Ali Shamkhani, has reportedly met with Iranian President
> Mohammad Khatami and Majlis Speaker Ali Akhbar Nateq Nuri.
>
> While Tsokhatzopoulos' statement has been widely reported in the
> Iranian and Greek press, the Greek defense attache's office and
> the political section at the Greek embassy in Washington declined
> to comment on the report.  Eventually, a press officer at the
> embassy insisted that the July 12 meeting should involve only
> discussions of general issues concerning cooperation and claimed
> that he had no further information on the reported defense pact.
> An official at the Armenian embassy claimed no knowledge of the
> reported defense pact plans.  He insisted that, while Armenia,
> Greece, Georgia, and Iran had met to promote regional economic
> cooperation, and while Armenia had a defense agreement with
> Greece, he knew of no plans for such an agreement with Iran.  A
> press officer at the U.S. State Department said the department
> had issued no official statement on the reported Greek-Armenian-
> Iranian military pact.
>
> Greece has a long history of relations with Iran and has
> accelerated development of ties with both Iran and Armenia in the
> last few years.  Greece was one of the first countries to send a
> defense attache to post-Soviet Armenia, and Greek officers have
> assisted in the development of the Armenian military since 1992.
> In June 1996, Greece signed a defense cooperation agreement with
> Armenia, a move condemned by Ankara as pointedly anti-Turkey.
> The first meeting of experts on trilateral cooperation between
> Greece, Armenia, and Iran occurred in August of 1995.  A second
> meeting occurred in December of 1996, at which time deputy
> foreign ministers from the three countries and Georgia signed a
> memorandum of understanding on cooperation in the economic,
> industrial, scientific, and technical arenas.  At that time, the
> deputy foreign ministers rejected any notion of military security
> cooperation between their countries.
>
> A series of committee and ministerial level meetings between
> Greece, Iran, and Armenia continued through 1997 and 1998,
> promoting cooperation in economic and commercial fields, and
> establishing joint commissions on transport, postal service,
> telecommunications, tourism, industry, technology, economics, and
> energy.  Officials from the three countries continued to insist
> that the goal of their ties was to promote regional peace and
> cooperation, and that their tripartite cooperation was neither
> targeted at a particular country, nor exclusive of relations with
> other countries.  Meetings on economic cooperation continued into
> 1999, with Greek Deputy Foreign Minister Grigoris Niotis calling
> in May for Georgia to join in Greek-Iranian-Armenian trilateral
> cooperation.
>
> Tsokhatzopoulos' announcement that the trilateral cooperation
> between Greece, Iran, and Armenia would be expanded from the
> economic arena to include security and defense cooperation is a
> political bombshell, setting the stage for dramatic shifts in a
> number of regional alignments.  First and foremost, the claim
> that this defense pact is not directed at any country is patent
> nonsense.  Explicitly intended as such or not, Ankara can only
> view a new military alignment of its traditional foes Greece,
> Armenia, and Iran -- with Russia as a silent partner -- as a
> clear and present danger to Turkey.  The agreement also raises
> concerns in Azerbaijan, which remains in conflict with Armenia
> over the Nagorno-Karabakh enclave and which has blamed Iran for
> backing an assassination plot against President Heydar Aliyev.
>
> The defense pact between Iran, strongly Russian-backed Armenia,
> and NATO member Greece, and the tacit threat it poses to NATO
> member Turkey, is a slap in the face of NATO. Greece has tried to
> warn both NATO and Ankara of its concerns by building cooperation
> with Russia.  That was not enough, so it is moving on to Iran.
> Greece was incensed that NATO not only ignored its security
> concerns regarding Kosovo, but in fact exacerbated the threat
> faced by Greece.  Thanks to NATO's intervention, Greece finds
> itself between a nascent Greater Albania and Turkey, which before
> and since the crisis has grown increasingly involved with
> supporting the Albanian military.  Turkey assisted Albania in
> rebuilding the naval base at Pashaliman and in developing the
> Naval Academy at Vlore.  Turkish commandos are currently training
> Albania's Republican Guard.  During meetings with top Albanian
> officials on June 17 and 18, the Turkish Army's Director General
> for Logistics, Maj. Gen. Dursun Bak, reiterated Turkey's
> commitment to cooperation with the Albanian Army and vowed that
> it will remain at the top of Turkey's list for assistance.
>
> For Iran, Athens' desire for military cooperation offers a handy
> lever in its relations with the West.  Tehran always likes to
> maintain a balanced international position by having lots of
> irons in the fire. Iran's read of its strategic situation is that
> it remains a strategic asset to a lot of people so long as it
> does not get locked down in any exclusive alignment. The current
> Iranian regime read the Shah's mistake as his locked down foreign
> policy.  Thus its entry into one relationship is merely the
> preface for opening the door for another relationship. Therefore,
> there is never a final Iranian position. On the other hand,
> Tehran is very much in favor of strategic groupings that do not
> preclude other relationships. For Iran, the nice thing about
> Greece's overture is not that it torpedoes Iran's relationship
> with the U.S., but that it puts the U.S. in the position of
> suitor. Now the U.S. must do something to loosen up the situation
> -- as must Turkey.
>
> For Yerevan, aligning with Iran and Greece not only makes it
> makes Armenia a bridge between the Greco-Iranian group and
> Russia, but in doing so focuses NATO's attention on its conflict
> with Azerbaijan.  Clearly Armenia, Greece, and Iran wanted
> Georgia in the military grouping, but as Greece went public
> without Georgia, it appears Tbilisi is standing firm with its
> GUUAM alliance with Azerbaijan, Ukraine, Moldova, and Uzbekistan,
> and with its hopes for stronger ties with NATO.  Tbilisi does not
> see those goals furthered by a military pact with Armenia and
> Iran.
>
> Overall, a tripartite military pact between Greece, Iran, and
> Armenia seriously undermines NATO unity and strategy in the
> Balkans and the Caucasus.  It exacerbates tensions between Greece
> and Turkey -- already strained by Turkey's ties to Albania.  It
> isolates Azerbaijan and Georgia, threatening NATO's strategic and
> economic interests in the two countries and in Central Asia.  It
> provides Russia with a tremendous lever, circumventing NATO's
> would-be proxies in the GUUAM organization.  It is not something
> NATO can ignore.
>
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