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Public taxation is also increasing. A sin tax was implemented in June 2019 on products like sugary carbonated drinks and tobacco, and a serially delayed 5% value-added tax is expected in 2021. According to Salmi, electricity and water subsidies could soon be slashed and, in the long term, Omanis could see an income tax.

Above all, reforming the labor market — an unpopular move — would be the cornerstone of a post-Qaboos welfare state. About 43% of Omanis work for public entities. Abousleiman recommended economic diversification to foster private sector job creation and to further "relieve the expectations on the government to provide employment."

Following a field visit to Oman in 2019, the International Monetary Fund (IMF) suggested that the wages and benefits of the private sector need to align more closely with the public sector to make employment in the former more appealing.

Omanis who talked to Al-Monitor, as well as Mukhaini, believe any upcoming austerity measures "should not make the poor poorer and the rich richer," Mukhaini said.

According to rating firm S&P, the new ruler will face “a difficult trade-off” in the coming months to address high unemployment among youths, weak growth, and fiscal and funding pressures

Defense and security expenses account for over a quarter of Oman's annual budge

Oman — rated junk by the three major rating agencies — has several other options to fund its short-term ballooning deficit: Go further into debt; deplete its sovereign wealth fund; sell state assets; devalue its currency; and seek assistance from neighboring countries or international organizations.

Analysts believe Oman should build a model of governance tailored to the post-oil era. Along with a more stringent budget environment, the new leadership pledged to implement structural reforms to diversify the rentier economy and foster private sector-led growth.

To ensure political and social stability, Sultan Qaboos avoided controversial measures that could have triggered short-term political unrest

In 2011, at the height of the Arab uprisings, Sultan Qaboos promised to create 50,000 jobs and institute unemployment benefits in an attempt to defuse unprecedented nationwide protests.

the lack of economic reforms did not stop Omanis from loving the monarch, who built a modern state out of a medieval-like society he inherited in the early 1970s

Sultan Haitham bin Tariq "is already planting the seeds by cutting the royal expenditures tremendously,"

The relationship between state and society that Omanis have known for decades will likely never be the same

The government is expected to play a "crucial" role in tourism development by injecting $6 billion over 25 years to trigger $43 billion worth of investments from the private sector.

the promises to allocate 223,000 direct tourism jobs to Omani nationals by 2040 does not align with Oman's undersized tourism education sector, which graduates only a few hundred students per year, mainly from the Oman Tourism College

although the number of tourists visiting Oman has doubled since 2008, the industry employs less than 17,000 Omanis.

“Corruption was also an issue since local authorities requested me to pay imaginary taxes," he said. "I am an ordinary man so I had to shut up and comply.”

“The concept of SMEs [small and medium enterprises] does not exist in the field of tourism anyway, the whole system is designed for large corporations,” said Christopher Chellapermal, a French entrepreneur. Chellapermal ran a scuba diving business in Oman for 15 years before being forced out of business in 2017.

The country’s ratio of debt to gross domestic product is rated junk by all three major agencies, as it has multiplied by 12 since 2014. Moreover, the Omani economy is ranked the worst performing among Gulf countries

For Chellapermal, Oman "makes the crazy wager" of luxury tourism by prioritizing premium visitors when the backpacker segment would be a better fit.

“Chinese and Indian tourists are very much interested in culture and heritage destinations," Hollister said. "Oman could focus on this segment to make it their niche, a differentiator.”

wealth of cultural and natural assets. The Ministry of Tourism promotes Oman as a hidden jewel at the tip of the Arabian Peninsula. 

regional tensions had very little impact on tourism

As Sultan Haitham bin Tariq Al Said takes power, analysts worry that Oman’s foreign policy of neutrality could be at stake. Will “any of Oman’s more assertive neighbors seek to sway Haitham to align more closely with their own approach,” Kristian Coates Ulrichsen wrote for Al-Monitor.

The prospect of tensions between Muscat and neighboring states does not please tourism actors, as Saudi Arabia and the United Arab Emirates are Oman’s key source regional markets for tourism. In 2018, Gulf citizens accounted for about half of international arrivals.

Saudi Arabia’s aggressive push to develop its leisure tourism industry and attract 100 million visits by 2030 collides with Oman’s ambitions

Saudi leaders likely hope that Sultan Haitham will be more amenable to a Saudi-led Gulf, and without U.S. support, Oman may feel pressure to acquiesce or face potential repercussions. Omani officials have privately expressed concerns that Oman could be the next target of a Saudi- and Emirati-led blockade

Despite precipitating the world’s most urgent humanitarian crisis in Yemen, Saudi Arabia has used its military presence there to declare its intention to build a pipeline through the Mahra region and construct an oil port on the Yemeni coast. Saudi Arabia currently ships oil through the Strait of Hormuz and the Bab el-Mandeb strait, whereas the proposed pipeline would allow direct access to the Indian Ocean.

Mahra has close links to the adjacent Dhofar region of Oman, which has long viewed the province as an informal buffer from the instability in other parts of Yemen. Sultan Qaboos offered aid as well as dual citizenship to residents of Mahra as a means of eliminating the potential for another conflict resembling the Dhofar War of 1963-1976, which drew cross-border support from the People’s Democratic Republic of Yemen operating from Mahra into Dhofar

Inhabitants of Mahra have expressed frustration with the presence of both the Saudis and Emiratis, given that these kingdoms’ alleged foes—the Houthis as well as al Qaeda in the Arabian Peninsula—are not present in Mahra

The UAE has taken control of the Yemeni island of Socotra, building a military base in a unique ecosystem nominally protected by UNESCO. The UAE is also building bases in Eritrea and Somaliland as part of a plan to develop a “string of ports” that will allow it to project power and escape possible pressure from Iran in the Persian Gulf.

Other Emirati ambitions include the Musandam Peninsula, an Omani enclave that forms the narrowest point in the Strait of Hormuz. The inhabitants of the peninsula have close ties to the UAE, as Musandam connects geographically to the emirates of Ras al-Khaimah and Fujairah, rather than Oman. Oman’s control of the strategic chokepoint reflects the sultanate’s history as an empire whose territory once stretched from southern Pakistan to Zanzibar. 

The border between Oman and the UAE was only formally demarcated in 2008, but Omanis see a circle of potential threats arising from Emirati activity in or possible designs on Musandam, Mahra, and Socotra.

the UAE may feel that Oman’s new sultan may be more receptive to alignment with Emirati objectives than his predecessor

Oman has failed to significantly diversify its economy

As in many oil-dependent economies, unemployment is high, especially among young people

During the popular uprising of 2011, which brought thousands of Omanis to the street for the first time, the government used its nest egg to pay for a massive expansion of the government payroll.

there are no available resources to try to finance a transition away from oil, and the low price of oil has further impeded the government’s efforts to meet its obligations

the Oman 2020 plan, launched in 1995. With the goal of diversifing the economy away from hydrocarbons and increasing the ratio of nationals in public and private employment to 95 per cent, from 68 per cent in 1996. However, these two goals have proven somewhat contradictory. The high rate of foreign labour in both the public and private sectors has increased since 2009 when a Free Trade Agreement with the US came into force– more than doubling the 2005 figure. High rates of unemployment, low wages and the concentration of wealth among elites aligned to the government were contributing factors to the popular unrest of 2011-12.

Oman faces a number of pressing, and distinctly Omani-challenges in the immediate and mid-term

if we follow the categorisation of the region's regimes discussed by Henry and Springborg in Globalization and the Politics of Development in the Middle East, we can see that Qaboos' Oman represents an almost completely different approach to government from most other regimes in the region. Indeed, it reflects neither the kind of practices of a bunker state – associated with rule "through military/security/party structures that are in turn controlled by alliances of these leaders' families and tribes", such as was the case in Salah's Yemen, Assad's Syria or Gaddafi's Libya – nor the kind of "bully praetorianism" which characterised the kleptocratic regimes of Ben Ali's Tunisia, Mubarak's Egypt or the PLO/PA under Arafat. Moreover, it also differs from the strife riddled monarchies in Riyadh and Manama particularly in as much as the ruling family has not gone out of its way to ostracise, exclude and oppress particular sections of the population. Instead, according to Henry and Springborg, "being the sole GCC ruler without a solid family and tribal base ... [Qaboos' Oman has] been the most assiduous in seeking to build an identity that simultaneously glorifies the Sultan himself".

Under a 1996 constitutional provision a council comprising members of the ruling family and senior officials is granted three days from the Sultan's death to choose a successor. If this process fails to provide a clear transition, then a contingency plan would be activated. This, as Qaboos himself told Foreign Affairs in a 1997 interview, would mean that: "As for a successor, the process, always known to us, has now been publicised in the Basic Law. When I die, my family will meet. If they cannot agree on a candidate, the Defence Council will decide, based on a name or names submitted by the previous sultan. I have already written down two names, in descending order, and put them in sealed envelopes in two different regions."

49 per cent of residents under the age of 20

some dissatisfaction arose during the height of the uprisings across the region in 2011-12. Though initially it appeared that Qaboos had handled popular protests deftly – through increased public sector spending, and some political reorganisation and an anti-corruption campaign – frustration at the slow pace of reform contributed to strikes by workers at Petroleum Development Oman and protests elsewhere. Authorities countered with arrests and a draconian crackdown on freedom of speech including hacking the social media accounts of intellectuals involved in the protest

Oman is desperate to diversify away from its oil and gas dependency. Research by the US Energy Information Administration puts Oman’s known crude oil reserves at 5.6bn barrels. While this is only enough to rank the country 21st in the world, its economy is disproportionately dependent: oil and gas accounts for nearly half of the country’s GDP, 70% of exports and between 68% and 85% of government revenue.

“Several dozen new cities are being constructed in the Middle East, mainly to transition away from the petroleum industry to a variety of other industries, including tourism, manufacturing, education and hi-tech,” says Dr Sarah Moser, a McGill University geography professor and author of an upcoming atlas of new cities.

Duqm sits on the Arabian Sea near the Strait of Hormuz, the gateway to the Persian Gulf – and the world’s most glaring oil supply chokepoint. Nearly a fifth of the world’s oil currently flows through this passage, ever prone to disruption. If the Duqm project succeeds, the shipping industry would be able to dock at the gates of the Middle East without needing to go all the way inside.

attracted the attention of Beijing’s much heralded Maritime Silk Road. More than three-quarters of Oman’s crude oil exports go directly to China.

While Duqm was never very densely populated, around 3,000 Bedouin – mostly fishermen and semi-nomadic herders – called the area home before the bulldozers arrived. These villages have now been demolished and the Oman government has built a new, modern town for them to relocate to. The houses look as if they were copied and pasted from Muscat – bright, white buildings two storeys high with garages and ornate gateways. There is a mosque in the centre. The houses stand empty. The local Bedouin prefer their traditional way of life – and want space to keep camels.

Unlike Qaboos, who was childless and without a male sibling, Haitham has close male relatives. These include two half-brothers, Assad and Shihab bin Tariq, both once viewed as potential successors to Qaboos. Assad’s eldest son, Taimur, has been touted as a leading figure in the next generation of royals. And Haitham himself has two sons: The eldest, Theyazin – who studied at Oxford, joined the Ministry of Foreign Affairs in 2013, and has served at the Omani Embassy in London since 2018 – has returned to Muscat and has been attending key diplomatic functions since his father’s assumption.

In other Gulf ruling families, competition among family members has fueled the expansion of royal control over government, as family demands are accommodated through government sinecures. Even if this competitive dynamic does not take hold in Oman, the royal presence may be felt in other ways. In recent years members of the Al Said family, including the new sultan and his siblings, have been increasing their involvement in business. How this is managed – or not – will affect the critical issue of Oman’s economic growth.

Qaboos incorporated many minorities into the ruling structures, within a strong narrative of interfaith and interethnic tolerance. Yet one clearly favored group emerged from within the leadership: Oman’s merchant families.

political reliance on merchants offered both advantages and risks. Bringing in this class offered a powerful constituency in support of the government and its extensive national development ambitions. But in times of economic downturn, it also left the government susceptible to accusations of conflicts of interests and self-dealing. This is indeed what played out in 2011 as protesters based in the industrial port of Sohar demanded reform of the government with complaints centered on corruption

He nearly doubled the private sector minimum wage and created 50,000 new government jobs, mostly in the security services. He also further developed Oman’s participatory institutions through the establishment of elected municipal councils and granting more powers to the elected Shura Council. A number of the most publicly criticized ministers were removed from office amid a broader campaign of corruption prosecutions that resulted in convictions of some government officials and businessmen over the next few years.

In 2019, the Omani deficit rose to $50 billion contributing to a steep rise in public debt from below 5% of gross domestic product to nearly 50% in just four years. This limits the new sultan’s ability to curry more favor through a repetition of government spending and populist solutions. There is a desperate need to create more jobs for young Omanis. But there is also the need to create conditions favorable to business to attract Omani capital back into the country

Oman has created a means of formal public input through elections for municipal councils and the lower house of Parliament, the Shura Council. While the role of the municipal councils is advisory, the Shura Council can propose and amend legislation drafted by the Council of Ministers and interpolate service ministers regarding violations of the law; this privilege does not extend to the ministers of defense and foreign affairs

these institutions have not demonstrated the ability to impose meaningful accountability

voting participation has been uneven and declining since the very high turnout of 76% in 2011

the status quo – especially regarding the economy – is not sustainable and will press the new leadership to make immediate changes

the challenge facing Oman's economy was "the regularisation of the labour market, which the government is working hard to achieve so that the market can handle the needs of each stage of development."

just 237,900 Omanis working in the sector compared to 1.87 million expats, according to government figures

“A youth bulge is coming into the labour force at a time when the ability of Gulf societies to continue in the traditional pattern of offering public-sector jobs is diminished,”

In 2019, the World Bank estimated Oman’s youth unemployment rate at 49 percent. The pandemic has almost surely worsened it

Muscat is seeking to improve education and diversify the country’s economy by promoting job growth in sectors like tourism, manufacturing and technology

Like Oman, Saudi Arabia faces an acute problem of creating jobs for young people. Half the population is under the age of 25 and nearly 60 percent of unemployed people are under the age of 30

Oman is a country of just five million, with expats accounting for more than 38 percent of the population. Filling the roughly 80 percent of jobs held by foreigners in the private sector is critical to the government’s economic transformation plans

Muscat has recently passed laws making it more costly to hire foreign workers while also implementing nationwide training programmes to address skills gaps with Omani nationals

A demographic that has been more willing to take jobs in the private sector, particularly in Saudi Arabia, is young women

On Thursday, Oman’s Health Ministry announced 636 new coronavirus cases, 291 of which were foreigners. The total number of infections now stands at 9,009 with a death toll of 40. 

The STC shares the UAE’s hatred of the Islamist al-Islah party in Yemen. The UAE has used the Security Belt to occupy the south

while the UAE-backed factions have maintained a degree of cohesion, other southern movements threaten their agenda with diverging aims

On Sept. 3, the sheikh of Mahra, Ali Saleh al-Huraizi, who opposes Saudi and Emirati influence, announced the formation of the Southern National Salvation Council in Mahra

“Mahra is the biggest challenge for the STC because of the role played by Oman. Local tribes don’t want conflict, so they maintain limited representation within the local STC group, while still retaining ties to Oman,”

There are currently dozens of southern movements operating outside the STC’s command. Yet due to the extensive UAE support for the STC and its secessionist militias, it is still the dominant southern faction.

divisions across Yemen's southern governorates could give rise to further demands for independence. “Oil-rich Hadramawt, which has a land area of more than 193,000 square kilometers, would seek autonomy,”

Mahra in the far east and Yemen's second largest province will join Hadramawt and seek autonomy

the UAE, which is eyeing seaports and islands and seeking to achieve a victory through separation amid the Saudi-led coalition's failure to beat the Houthis

UAE-backed factions are clearly seeking to impose their will by force. Reports in 2017 emerged of a Security Belt-run prison network run by UAE-backed southern militias and accused of torture and other human rights violations. These factions, such as the Shabwa, had carried out arbitrary arrests and intimidation campaigns, causing tension with local factions. Emirati airstrikes on government forces in Aden following their recapture of the city after the STC’s Aug. 10 coup attempt show they are seeking to maintain control there.

In February, even before the coronavirus hit, the International Monetary Fund was warning Saudi Arabia and the United Arab Emirates that by 2034 they would be net debtors to the rest of the world. That prediction was based on a 2020 price of $55 per barrel. At a price of $30, that timeline will shorten. And even in the Gulf there are weak links. Bahrain avoids financial crisis only through the financial patronage of Saudi Arabia. Oman is in even worse shape. Its government debt is so heavily discounted that it may soon slip into the distressed debt category

The economic profile of the Gulf states is not, however, typical of most oil-producing states. Most have a much lower ratio of oil reserves to population. Many large oil exporters have large and rapidly growing populations that are hungry for consumption, social spending, subsidies, and investment

Fiscal crises caused by falling prices limit governments’ room for domestic maneuver and force painful political choices

Ecuador is the second Latin American country after Argentina to enter technical default this year.

Populous middle-income countries that depend critically on oil are uniquely vulnerable. Iran is a special case because of the punitive sanctions regime imposed by the United States. But its neighbor Iraq, with a population of 38 million and a government budget that is 90 percent dependent on oil, will struggle to keep civil servants paid.

Algeria—with a population of 44 million and an official unemployment rate of 15 percent—depends on oil and gas imports for 85 percent of its foreign exchange revenue

The oil and gas boom of the early 2000s provided the financial foundation for the subsequent pacification of Algerian society under National Liberation Front President Abdelaziz Bouteflika. Algeria’s giant military, the basic pillar of the regime, was the chief beneficiaries of this largesse, along with its Russian arms suppliers. The country’s foreign currency reserves peaked at $200 billion in 2012. Spending this windfall on assistance programs and subsidies allowed Bouteflika’s government to survive the initial wave of protests during the Arab Spring. But with oil prices trending down, this was not a sustainable long-run course. By 2018 the government’s oil stabilization fund, which once held reserves worth more than one-third of GDP, had been depleted. Given Algeria’s yawning trade deficit, the IMF expects reserves to fall below $13 billion in 2021. A strict COVID-19 lockdown is containing popular protest for now, but given that the fragile government in Algiers is now bracing for budget cuts of 30 percent, do not expect that calm to last.

Before last month’s price collapse, Angola was already spending between one fifth and one third of its export revenues on debt service. That burden is now bound to increase significantly. Ten-year Angolan bonds were this week trading at 44 cents on the dollar. Having been downgraded to a lowly CCC+, it is now widely considered to be at imminent risk of default. Because servicing its debts requires a share of public spending six times larger than that which Angola spends on the health of its citizens, the case for doing so in the face of the COVID-19 crisis is unarguable.

Faced with the price collapse of 2020, Finance Minister Zainab Ahmed has declared that Nigeria is now in “crisis.” In March, the rating agency Standard & Poor’s lowered Nigeria’s sovereign debt rating to B-. This will raise the cost of borrowing and slow economic growth in a country in which more than 86 million people, 47 percent of the population, live in extreme poverty—the largest number in the world. Furthermore, with 65 percent of government revenues devoted to servicing existing debt, the government may have to resort to printing money to pay civil servants, further spurring an already high inflation rate caused by food supply shortages

The price surge of the 1970s and the nationalization of the Middle East oil industry announced the definitive end of the imperial era. The 1980s saw the creation of a market-based global energy economy. The early 2000s seemed to open the door on a new age of state capitalism, in which China was the main driver of demand and titans like Saudi Aramco and Rosneft managed supply

The giants such as Saudi Arabia and Russia will exploit their muscle to survive the crisis. But the same cannot so easily be said for the weaker producers. For states such as Iraq, Algeria, and Angola, the threat is nothing short of existential.

Beijing has so far shown little interest in exploiting the crisis for debt-book diplomacy. It has signaled its willingness to cooperate with the other members of the G-20 in supporting a debt moratorium.

In a century that will be marked by climate change, how useful is it to restore profits and prosperity based on fossil fuel extraction?

The shock of the coronavirus is offering a glimpse of the future and it is harsh. The COVID-19 crisis drives home that high-cost producers are on a dangerously unsustainable path that can’t be resolved by states propping up their uncompetitive oil sectors. Even more important is the need to diversify the economies of the truly vulnerable producers in the Middle East, North Africa, sub-Saharan Africa, and Latin America.

The ruling elites are all dependent on oil rents for the survival of their regimes. They need the oil business to stay alive for them to stay in power. Their system is based on continued oil rent, but ultimately, the citizens’ long-term interests are with a liveable climate

The precise point oil demand will peak has been contested, and depends on a myriad of assumptions about regulation, technology and consumer behaviour. But many people say demand will peak in about 2040, and then decline.

the International Energy Association’s report Net Zero by 2050, by contrast, proposed oil demand fall from 88m barrels a day (mb/d) in 2020, to 72 mb/d in 2030 and to 24 mb/d in 2050, a fall of almost 75% between 2020 and 2050. It argued that the Gulf has all three elements needed to switch to renewables: capital, sun and large tracts of vacant land.

Opec’s own projections suggest oil demand will rise in absolute terms through to 2045, and oil’s share of world wide energy demand will fall only from 30% to 28%. Hardly a green revolution.

In the United Arab Emirates it is estimated that the climate crisis costs £6bn a year in higher health costs. The salinity of the Gulf, caused by proliferating desalination plants, has increased by 20%, with all the likely impact on marine life and biodiversity.

Aramco, the Saudi company with the largest carbon footprint in the world, is not trying to diversify at the rate of Shell or BP. Indeed, it has just announced an investment to increase crude capacity from 12m barrels a day to 13m barrels by 2027

If you see the lifestyle in the UAE, Saudi Arabia and Qatar, it is based on endless consumption

The region is responsible for only 4.7 % of worldwide carbon emissions, dwarfed by the pollution from Europe, America and China. The oil that the Middle East exports is logged against the carbon emissions of the users, not the producers.

The Gulf’s self-proclaimed first mover, the UAE, was the first country in the region to ratify the Paris agreement and is now the least dependent on oil for government revenues. Last week it announced a “net zero initiative by 2050” to be begun with $163bn (£118bn) of investments and a new minister for climate change and the environment, Mariam Almheiri. The announcement came after the UAE ordered an 80-day brainstorming session in every government department from June. It was the first petro-state to embrace net zero in domestic consumption.

Gulf states are deeply competitive, so a flurry of news is emerging. Qatar has appointed a climate minister; Bahrain is targeting net zero by 2050; Kuwait has a new emissions plan.

Fossil fuels shipped abroad are not on the Saudi’s carbon ledger, owing to UN accounting rules, and the promised internal reduction in emissions is dependent on a heavy bet that unproven blue hydrogen and carbon capture technology will work.

No Arab country could match Iran’s Shi’a foreign legions, with sectarian legions of their own. Mohammed Bin Salman is very aware of this predicament, and of the embarrassing limits of Saudi military power.

The Qatar crisis demonstrated clearly that the new younger leaders in the Gulf see politics as a zero sum game, that they  are more willing  than their more measured and cautious fathers, to double down and burn the last bridge.

Saudi Arabia has had border disputes with Yemen and most of her smaller Gulf neighbors for many years. On occasions it tried to use coercive methods mostly employing tribes to settle these disputes the most famous of which was the Buraimi Oasis dispute of the 1940’s and 50’s, involving Saudi Arabia, Oman and what is now the UAE. But ever since the formation of the Gulf Cooperation Council in 1981 to coordinate economic, political and potentially military policies, disputes were expected to be resolved amicably among member states; Saudi Arabia, Kuwait, UAE, Qatar, Bahrain and Oman. The grouping never amounted to an alliance and now it is in tatters because of political, personal and ideological tensions involving mainly Saudi Arabia, Bahrain and the UAE vs. Qatar.

Mohammed Bin Salman has trapped himself in a war in Yemen that he cannot win, but he has already lost his campaign against Qatar.

the case can be made that Mohammed Bin Salman’s war in Yemen made the Houthis more dependent on Iran and gave Iran and Hezbollah a military foothold on the Arabian Peninsula that did not exist before the war. The blockade of Qatar led to improved political, economic and trade relations between Doha and Tehran, and increased Turkey’s military profile in the Gulf for the first time since the collapse of the Ottoman Empire a century ago.

Much has been written about Mohammed Bin Salman as a ‘reformer’, but most of the focus was on the ‘historic’ decision to allow women to drive, (a decision any new ruler was expected to take) to open up movie theatres, and to allow men and women for the first time to watch together sport competitions. The crown prince was praised because he wanted to diversify the ‘one crop economy’ and make it less dependent on hydrocarbon production, through greater foreign investment, an issue the Saudi elites have been discussing for years. At best these measures are necessary for any nation to survive let alone thrive in the modern world. But there was not a single serious decision to politically empower the population, or to open the public sphere even very slightly

the short reign of Mohammed Bin Salman has been more despotic than previous rulers. No former Saudi Monarch has amassed the executive powers, political, military and economic that the crown prince has concentrated in his hands except for the founder of the ruling dynasty King Abdul-Aziz  Al Saud. His brief tenure has been marked by periodic campaigns of repression. Long before the murder of Khashoggi, scores of writers, intellectuals and clerics were arrested for daring to object to the crown prince’s decisions. Many are still languishing in jails with no formal charges. Even some of the women activists who pushed hard for years to lift the ban on women driving, were incarcerated on trumped up charges of ‘treason’. Women are allowed to drive now – but the crown prince would like them to think that this is because of his magnanimity, and not their struggle- but they are still subject to the misogynistic and atavistic female guardianship system, which treat adult women regardless of their high education and accomplishments as legal minors.

Jamal Khashoggi is the last of a long trail of Arab journalists and men of letters murdered by their governments at home and abroad. But he was the first one to have a reputable, international medium, the Washington Post that published his columns in English and Arabic, which was one of the reasons that enraged the crown prince. Jamal, was the first journalist millions of people all over the world watched walking his last steps toward his violent death

Around a third of exports from Jordan and Lebanon go to oil-rich states, which send back wealthy tourists. Kuwaitis, Saudis and Emiratis account for about a third of tourist spending in Lebanon.

The bad news is that these states are moving too slowly. Some have cut their bloated bureaucracies and pared back subsidies. Saudi Arabia recently tripled its value-added tax. But the public sector is still the region’s main employer. Despite talk of diversification, the Gulf’s economies continue to revolve around oil

these reforms will be painful and are harder in bad times

The plans put forward by leaders like Saudi Arabia’s Muhammad bin Salman are tearing up the social contract. Saudis wonder why he doesn’t sell his $550m yacht instead of raising taxes. Anger is growing across the region. For the past century Arabs have been ruled by abusive leaders who hoarded their country’s wealth. Now these leaders are asking their people to make sacrifices and giving them little say in the matter. That is a recipe for continuing unrest and brutal suppression. If Arab rulers want citizens to pay their way, they will need to start earning their consent.