Askeran adjoins Martakert Province on the north, Aghdam District of Azerbaijan on the east.

Stepanakert, the capital of the Republic of Artsakh, is located south-west of the province.

Following the formation of the Nagorno-Karabakh Autonomous Oblast a raion was formed which was centered on Stepanakert.

As the Karabakh conflict started, the Azerbaijani government began to implement a plan to create a new district center.

In April 1990, Khojaly received city status, becoming a regional center.