President of Azerbaijan: "Baku will continue the policy of isolating Armenia" - UPDATED

Baku will continue the policy of isolating Armenia, until the latter stops occupation of Azerbaijani lands, said President of Azerbaijan Ilham Aliyev at an expanded session of the government by results of the socioeconomic development of the country within nine months of 2008.

"Until our lands are under occupation, we will continue the policy of total attack against Armenia both in the diplomatic sphere and in the political, economic, transport, military and other spheres", said Aliyev.

"Any cooperation with Armenia and their participation in any regional project is impossible until the Karabakh conflict is settled. We will spare no efforts for the further isolation of Armenians for them to realize what their future depends on", said the head of the state.

According to Aliyev, Azerbaijan is fortifying its army for the soonest resolution of the Karabakh conflict and $4.5 bln has been invested into the defense sector of the country through the past five years.

"Living in a state of war, we must primarily strengthen our military potential. In the coming years a greater part of budget expenses, like in previous years, will be used for construction of the army and growing our military might", noted he.

The President said that despite certain progress in the Karabakh resolution, there is still no result.

He stressed Baku's readiness to consider "some promising proposals", yet the problem resolution is being protracted.

He said Azerbaijan's growing potential strengthens its positions in the negotiation process.

"I am glad that the issue of the territorial integrity of Azerbaijan does not raise any doubts. We still feel the need to continue talks and we consider that the reality may make the opposite side undertake due steps. Our position is changeless - the conflict must be settled only on the basis of the territorial integrity of Azerbaijan", noted the president.

He said that the policy of occupation can not be useful and now Armenia, which has stuck in isolation, sees the bitter result of it.

"Interfax-Azerbaijan"