Military expenditures-dollar figure: $4.6 billion (1997)

Military expenditures-percent of GDP: 1.5% (1997)

@Argentina:Transnational Issues

Disputes-international: short section of the southwestern boundary
with Chile is indefinite; claims UK-administered Falkland Islands
(Islas Malvinas); claims UK-administered South Georgia and the South
Sandwich Islands; territorial claim in Antarctica

Illicit drugs: increasing use as a transshipment country for cocaine headed for Europe and the US

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ARMENIA

Introduction

Current issues: Armenia's leaders remain preoccupied by Armenia's 10-year conflict with Azerbaijan over the Nagorno-Karabakh enclave. Although a cease-fire has been in effect since May 1994, the sides have not made substantial progress toward a peaceful resolution. In January 1998, differences between President TER-PETROSSIAN and members of his cabinet over the Nagorno-Karabakh peace process came to a head. With the prime minister and defense and security ministers arrayed against him, an isolated TER-PETROSSIAN resigned the presidency on 3 February 1998. Robert KOCHARIAN, TER-PETROSSIAN's prime minister, was elected president in March 1998. Concerns about Armenia's economic performance rose in 1997 with a slowdown in growth and an increase in inflation.

@Armenia:Geography