This report discusses the history and political background of Armenia, Azerbaijan, and Georgia since breaking away from the former Soviet Union at the end of 1991. It looks at key issues for the 112th Congress including economies, energy, regional politics, local crime, and terrorism.

The small Black Sea-bordering country of Georgia gained its independence at the end of 1991with the dissolution of the former Soviet Union. In early 2009, the United States and Georgia signed a Strategic Partnership Charter, which pledged U.S. support for democratization, economic development, and security reforms in Georgia. The Obama Administration has pledged continued U.S. support to uphold Georgia's sovereignty and territorial integrity. The United States has been Georgia's largest bilateral aid donor, budgeting cumulative aid of $2.7 billion in FY1992-FY2008 (all agencies and programs). Estimated aid to Georgia in FY2010 was about $171.6 million, and planned spending for FY2011 is about $90 million. The Administration has requested $87.6 million for foreign assistance for Georgia for FY2012.