Armenia has rejected a U.S.-backed proposal for a land corridor through its southern Syunik Province that would allow Azerbaijan to connect its mainland with the Nakhchivan exclave.

The proposal included leasing the corridor for 100 years, with a U.S. company managing it. Armenia has strongly opposed the plan, viewing it as a threat to its sovereignty. Opposition parties argue that the initiative is part of a broader effort by Azerbaijan and Turkey to isolate Armenia by severing its land link with Iran.

Critics say the so-called “peace corridor” is a strategic project that aligns with long-standing geopolitical ambitions of Azerbaijan and Turkey.

The Armenian Ministry of Foreign Affairs has confirmed that Armenia is prepared to sign a peace treaty with Azerbaijan to end ongoing hostilities.

Yerevan and Baku have reportedly agreed on a draft peace deal, and discussions on the time and location for the signing are underway. While both sides have approved the text of the agreement, some key issues remain unresolved.

One major point of contention is the European Union’s monitoring mission in Armenia, which oversees ceasefire violations. A Western official also stated that Armenian Prime Minister Nikol Pashinyan is considering not renewing a security agreement, which is set to expire in February 2027.