Am I near (anag) — a country in Caucasia? (7)
I believe the answer is:
armenia
(Other definitions for armenia that I've seen before include "Republic east of Black Sea bordering Turkey, capital Yerevan" , "Former Soviet republic of south-east Europe, capital Yerevan" , "Republic in N W Asia" , "South-west Asian country, capital Yerevan" , "Landlocked country, an Asian soviet before 1991, capital Yerevan" .)