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Ed Webb

The 'peace deal' will not break Bahraini-Palestinian solidarity | Middle East | Al Jazeera - 0 views

  • On September 11, 2020, the Bahraini regime announced it was normalising relations with the Palestinians’ oppressor – Israel. This brought the people of Bahrain and the people of Palestine ever closer in their experience of subjugation.
  • Gulf countries already had informal exchanges with Israel, including the purchase of military and surveillance technology to suppress local populations. Their friendly relationships were a badly kept secret. Rather it was the audacity of these ruling elites to make public the relations which go against the will of the majority of people in the Gulf that caused so much public anger.
  • there have been protests in Bahrain, and even some supporters of the regime have joined the opposition in denouncing the deal
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  • how can the normalisation of relations between the UAE, Bahrain and Israel be considered a peace deal when the three parties had never been at war? What peace is there in the continuation of an apartheid occupation of the Palestinian lands and the oppression of the Bahraini people?
  • In the Gulf, a new discourse has been promoted in the government-owned media and in political speeches and religious sermons that the biggest threat to the region and the rest of the Arab states is Iran, not Israel, and that Israel is actually an ally against the Iranian threat.
  • This “threat” narrative is used to further certain political interests; in the case of Bahrain, it is used to prop up the ruling regime and its absolute political and economic control over the country.
  • The use of past and present marginalisation and injustices Middle Eastern (Mizrahi) Jews have suffered to counter criticism of Israel’s subjugation of the Palestinians is the latest trend in Israeli hasbara. Of course, this narrative conveniently ignores the relentless oppression of Mizrahi Jews by Israel’s ruling Ashkenazi elite (Israeli Jews originating from Europe).
  • these new economic opportunities will mean more purchases of weaponry and military technology by these regimes and the import of Israeli repression tactics, which will only further entrench their tyranny and authoritarianism
  • another act of oppression against the Bahrainis, reminding them that they have no say, no freedom and no rights in their own country
  • The ruling family, which launched an attack from modern-day Qatar and took over Bahrain by force in 1783, was only able to maintain its rule through the use of force against local resistance movements and the protection of the British empire. More recently, since the 1920s, Bahrainis have had civil rights uprisings almost every decade, also naming them intifadas, in an attempt to bring down the absolute monarchy. The monarchy, in turn, has used naturalisation of foreigners to build a loyal army and police force of non-Bahrainis, while simultaneously stripping the Indigenous population of their citizenship in an attempt to change the demographics of the country.
  • The monarchy in Bahrain also moved Indigenous populations from certain parts of the country, and built either literal or symbolic barriers between Sunni and Shia areas, with the Shia ones being starkly more impoverished, less accessible and with fewer government services. There are far too many similarities in the oppression of the Bahraini and Palestinian people that renders it impossible for the two populations to not recognise themselves in each other.
  • Many Palestinians do realise that these normalisation deals do not reflect the will of the people, but of their ruling elites, which they have not elected. They themselves are oppressed by their leaders – by the authoritarian Palestinian Authority in the West Bank and Hamas authorities in Gaza
  • At the end of the day, it will be up to the Bahrainis and the Palestinians to maintain their struggles, to continue fighting while holding each other’s hands in solidarity. As the Palestinian prisoners of conscience wrote to Bahraini prisoner of conscience Abdul-Hadi al-Khawaja in an exchange of solidarity while on his hunger strike in 2012: “Your freedom is tied to our freedom and our freedom is tied to your freedom.”
Ed Webb

Bahraini military court imposes harsh sentences on dissenters | McClatchy - 0 views

  • Britain’s Foreign Office decried the outcome. “It is deeply worrying that civilians are being tried before tribunals chaired by a military judge, with reports of abuse in detention, lack of access to legal counsel and coerced confessions,” Minister Alistair Burt said. The U.S. State Department was more cautious, saying it was “concerned about the severity of the sentences handed down” and about the use of military courts to try civilians. Nabeel Rajab, Bahrain’s most outspoken human rights advocate, told McClatchy that all 21 people “were targeted for their opinions and their political views, for opposing government policy.” He said all “were tortured, many subject to electric shock, many sexually harassed and all were deprived of the normal access to lawyers and families.”
  • At least 31 people were killed in the violence on the island, and more confrontations seem likely after the sentencing, putting an enormous question mark over a national dialogue between government and opposition that's due to begin July 1.“These sentences today are another indication that the ruling family of Bahrain are completely non-serious about this dialogue,” said Joe Stork, who follows Bahrain closely for Human Rights Watch, the independent U.S. human rights watchdog group. “There are people (in this group) who represent a portion of the political spectrum. Their views should be represented.”Rajab, a one-man human rights watchdog in Bahrain, concurred. “A big part of the people who should be at the table have been sentenced to many years,” he said. “With whom will you have a dialogue?”
Ed Webb

The Qatar Blockade Is Over, but the Gulf Crisis Lives On - 0 views

  • Officials from Saudi Arabia, the United Arab Emirates, Bahrain, and Qatar sought to end their rancorous three-and-a-half-year dispute over Qatar’s drift toward Iran and restore much-needed cohesion to the GCC, which also includes Kuwait and Oman. The GCC summit was a resounding success. Saudi Arabia, the UAE, Bahrain, and Egypt lifted their blockade on Qatar and restored diplomatic relations with the country. Qatar also suspended its World Trade Organization case against the UAE’s economic isolation efforts.
  • the Gulf crisis is far from over. The reconciliation at the GCC summit was triggered by fatigue from the blockade and by Saudi Crown Prince Mohammed bin Salman’s desire to rebrand his tarnished image with the new U.S. administration
  • focus on symbolism over substance at the GCC summit bodes poorly for the organization’s long-term cohesion
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  • Mistrust between Qatar and the blockading states, an ongoing rivalry between the UAE and Qatar, sharp divergences in policy toward Iran and Turkey, and geostrategic contestation in Africa could reheat the Gulf crisis in the near future
  • the recent blockade’s impacts were felt at both the elite and popular level. Hardships, such as the separation of mixed-citizenship Saudi-Qatari couples, created lasting societal rifts. Saudi and Emirati state-aligned media outlets relentlessly promoted the narrative that Qatar was a state sponsor of terrorism, while Qatari media outlets equated the UAE’s religious tolerance policies with support for idolatry. In turn, Saudi, Emirati, and Qatari publics have increasingly come to view each other as adversaries rather than as neighbors or friends
  • The ongoing rivalry between the UAE and Qatar could derail any normalization in the Gulf. Since the 2011 Arab Spring protests, the UAE and Qatar have advanced competing visions for the region’s future. The UAE has condemned Islamist civil society movements, such as the Muslim Brotherhood, and, with few exceptions, has supported the forces of counterrevolution against those of political pluralism. Saudi Arabia, Egypt, and Bahrain align with the UAE. Qatar enthusiastically supported the post-Arab Spring Muslim Brotherhood governments in Tunisia and Egypt and continues to encourage popular unrest in the Middle East. Turkey is the principal backer of Qatar’s vision
  • The GCC remains divided especially on Iran and Turkey, which will impede intra-bloc cooperation on security issues
  • The United States should not view the GCC as a united security bloc. Regional strategies that depend on Gulf unity, such as the Middle East Strategic Alliance, should be shelved. U.S. officials should also carefully vet large-scale arms transfers to GCC countries, such as former President Donald Trump’s $23 billion arms deal with the UAE. These contracts could trigger reciprocal arms buildups that revive the Gulf crisis
  • Due to Turkey’s operation of a military base in Qatar and Doha’s standing as the second largest foreign investor in the Turkish economy, the Turkey-Qatar strategic partnership will only tighten in the post-crisis period. Qatar’s alignment with Turkey is a source of friction with the UAE.
  • the GCC could respond incoherently to Turkish President Recep Tayyip Erdogan’s escalations in the Eastern Mediterranean
  • Although countries that balance positive relations between Qatar and Saudi Arabia, such as Pakistan and Malaysia, benefit from the GCC’s reconciliation, the UAE-Qatar rivalry in Africa remains an unresolved source of friction. The UAE wishes to counter Qatar’s influence in Tunisia, which has grown due to large-scale Qatari investment in the Tunisian economy and Qatar-Tunisia diplomatic cooperation in Libya. Qatar has similarly capitalized on UAE-Algeria frictions, which were triggered by Abu Dhabi’s concerns about strengthening Turkey-Algeria relations and Algeria’s opposition to the UAE’s normalization with Israel.
  • The UAE and Qatar also vie for influence in Somalia. The UAE has close relations with the self-declared state of Somaliland, and Qatar aligns with Somali President Mohamed Abdullahi Mohamed’s government
  • the GCC will remain bifurcated on Iran policy between a pro-engagement bloc consisting of Qatar, Oman, and Kuwait and a pro-isolation coalition comprising Saudi Arabia, the UAE, and Bahrain
  • the new state of cold peace on the Arabian Peninsula can benefit U.S. interests
  • As Qatar has returned to the GCC fold, it could act as a moderating influence on Saudi Arabia and the UAE’s opposition to the 2015 Iran nuclear deal, which Biden seeks to revive
Ed Webb

BBC News - Saudis Arabia 'insulted' by UK inquiry - 1 views

  • Saudi Arabia says it is "insulted" by a parliamentary inquiry into how the UK deals with the country and Bahrain. Saudi officials have told the BBC they are now "re-evaluating their country's historic relations with Britain" and that "all options will be looked at".
  • In September, the British Parliament's Foreign Affairs Committee (FAC) announced it would be opening a wide-ranging review into the UK's relations with Saudi Arabia and Bahrain
  • The FAC said its new inquiry would look closely at how the UK balances its various interests in these countries in defence, trade, security, counter-terrorism and human rights.
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  • Saudi Arabia, long sensitive to western criticisms of its human rights record, believes the inquiry has been prompted by Shia activists from Bahrain, including those striving to overthrow the Sunni monarchy there
  • "Saudi Arabia's relations with the GCC is an internal matter among the six countries and we will not tolerate or accept any foreign interference in the workings of the GCC"
  • Saudi Arabia is a huge trading and defence partner for Britain with nearly £4bn of bilateral trade last year. According to the UK Trade and Investment Office there are approximately 200 UK/Saudi joint ventures with total investment of more than £11bn. Defence deals include the £7bn BAE Systems contract supplying the next tranche of Typhoon jets. Thousands of British expatriates work in Saudi Arabia and British companies involved there include Shell, GlaxoSmithKline, BAE Systems, Rolls Royce and Marks & Spencer
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    The FAC inquiry may embarrass both the British and Saudi governments. There's not much to be done about that, though. It will be drawing attention to well-known existing tensions and contradictions in western, including British, policies toward the MENA region, rather than revealing anything new. The old bargain, propping up dictatorships in return for stability, has shown itself to have been based on false premises. The GCC states are very different from Tunisia or Egypt. But the demographic factors are there, and the transnational public sphere overlaps significantly. Choppy waters ahead, whether or not the FAC proceeds with tact.
Ed Webb

Who in the GCC wants a union? - 0 views

  • Citing “security problems, economic challenges and other serious issues confronted by the region,” Bahrain’s Prime Minister Prince Khalifa bin Salman Al Khalifa recently announced that the transformation of the Gulf Cooperation Council (GCC) to a union is an “inevitable goal” of this month’s Manama Dialogue (Dec. 9-11).
  • With absolutely no illusions that Oman — historically the most independent member of the GCC — has changed its position, last month Ghanem al-Buainain, Bahrain’s minister of Parliament Affairs, stated that he sensed “great enthusiasm for the union from the other Gulf members.”
  • Many non-Saudis in the GCC view Saudi Arabia as an important ally, yet they also see the oil-rich kingdom as an overbearing neighbor who does not always respect the smaller Arab Gulf states’ sovereignty. Due to a host of domestic issues in the GCC and regional developments, which the Arab Gulf families see through different lenses, Riyadh and Manama officials may see their plan for a union falling on deaf ears.
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  • Kuwait is the GCC state with the most vibrant political life and democratic institutions. Opposition to a union from Kuwait is largely attributable to concerns about “collective security actions” that Saudi Arabia and other Arab Gulf states could pursue to silence dissent and activism in Kuwait. Last month’s snap elections in Kuwait will bring in parliamentarians to the National Assembly from an opposition made up of liberals and Islamists whom other GCC states would not permit to hold any position of power in their own political systems. As many Kuwaitis take pride in their “half-democracy” and relative transparency and openness, the concept of a union has met its share of resistance in the country from voices across its political spectrum.
  • Doha has established ties with Islamist factions throughout the region and hosted many Muslim Brotherhood members — often done so at the expense of healthy relations with other GCC states. If other Arab Gulf countries such as the UAE, which designate the Muslim Brotherhood a “terrorist” group, and Qatar belong to a union, what will be the future of Sheikh Yusuf al-Qaradawi and other prominent Islamist figures who live in Doha?
  • Emiratis view themselves as a rival of Saudi Arabia for a dominant role in the region’s financial landscape, Abu Dhabi would not lend its support to a Riyadh-based Gulf central bank. In the UAE, where the authorities are waging a crackdown on Islamists, there has long been a belief that the Muslim Brotherhood operates in the Emirates on behalf of Saudi Arabia and Qatar for the purpose of undermining the UAE’s national sovereignty and independence.
  • Oman’s interest in deepening ties with Iran in commercial, diplomatic, energy and security spheres is a major factor driving Omani opposition to a union
  • Given the Kuwaiti and Qatari royal families’ cordial relationship with their countries’ Shiites who are loyal to the Al Sabah (Kuwait) and Al Thani (Qatar) rulers, threats of an Iranian-inspired Shiite revolution or rebellion have not provoked substantial sectarian tension in Kuwait since the end of the first Gulf war, nor has it ever done so in Qatar at any point following Ayatollah Ruhollah Khomeini’s rise to power in 1979. This outlook fundamentally contrasts with Saudi Arabia’s and Bahrain’s outlook, which is based on an understanding of Iran being a predatory state committed to toppling the Al Sauds and Al Khalifas through a violent revolution. Manama and Riyadh’s shared view of the Islamic Republic as an existential threat has closely aligned the two kingdoms and led Bahrain to maintain its strong support for a de facto Saudi-led union.
  • the option of perhaps one day importing Iranian gas may receive greater consideration if they remain relatively independent from Saudi Arabia in the framework of a council (not union) and their economic ills increase their interest in importing more natural gas. Yet a union would erase any realistic Kuwaiti or Emirati plans for signing gas contracts with Iran
  • there are grave concerns in the GCC about the US’ long-term commitment as the council’s security guarantor
Ed Webb

Formula One reverses human rights stance in runup to Bahrain Grand Prix | Global Develo... - 1 views

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    Bernie Ecclestone: "I keep asking people, 'What human rights?' - I don't know what they are. The rights are that people who live in the country abide by the laws of the country, whatever they are." I'm surprised Mr. Ecclestone would make such a statement given the violent government crackdown on protestors leading up to the 2012 Bahrain Grand Prix. You'd think he'd at least have a financial interest in showing some concern for human rights issues.
Ed Webb

UK admits training Bahrain police in 'public order' tactics | Middle East Eye - 0 views

  • The British government has admitted it funded training that taught Bahraini police how to "command and control" demonstrators, after its denials were exposed by a human rights group.Rights organisations warn that the UK’s support for the Bahraini police force, which is frequently accused of abuses and using excessive force to quell peaceful pro-democracy protests, risks "helping arrest and execute people who are guilty of nothing more than calling for reform."
Ed Webb

Saudi-Bahraini Gulf union opposed by Iran, GCC states - Region - World - Ahram Online - 0 views

  • Saudi Foreign Minister Prince Saud Al-Faisal maintains that the two kingdoms were on their way to integrating and added that the leaders of GCC had postponed declaring the shift from the "cooperation stage" to the "union stage" in order to confirm the details of the merge. Despite the statements made by Al-Faisal, it seems that there are profound splits among the GCC countries on the idea of the union.
  • Smaller GCC countries are afraid of losing political and economical influence to Saudi Arabia whose population is five times bigger than Oman; the second biggest country in the GCC by population
  • Saudis believe Iran encouraged the overthrow of Iraqi dictator Saddam Hussein in order to dominate the region and used it as a launch pad to "swallow" the Arabs. They also accuse Tehran of inciting Shia-led protests in Bahrain and triggering turmoil among the Shia minority in Saudi Arabia.
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  • Iranian MPs claimed that Bahrain was the "14th governorate” of Iran and that Bahrainis wanted to “return to the motherland."
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    Poorly written article, but some useful nuggets
Ed Webb

The Gulf's Charities - By William McCants | The Middle East Channel - 0 views

  • Pundits in the West are quick to blame the Gulf countries for fueling the sectarian conflict but the governments of Kuwait, Bahrain, United Arab Emirates, Saudi Arabia, and Qatar have shied away from backing the Salafi militias in Syria -- the most sectarian factions in the conflict. Instead, they have either focused on humanitarian relief or backed their own non-Salafi proxies like the more moderate Muslim Brotherhood or more secular factions like those linked to Saad Hariri in Lebanon. Nevertheless, the Gulf monarchies have not been able or willing to stem the tide of private money their citizens are sending to the Salafi charities and popular committees. Kuwait in particular has done little to stop it because it lacks an effective terror financing law and because it cannot afford politically to infuriate its already angry Salafi members of parliament. Qatar and Saudi Arabia have tried to crackdown on fundraising for the Salafi militias but their citizens just send their money to Kuwait.
  • Salafi militias like Ahrar use the money to buy weapons and the humanitarian aid to build popular support.
  • The State Department and responsible religiously-oriented aid organizations have an uphill battle in Syria but it is worth the fight. Failing to do so leaves governance to the militants, especially those who have the best financing like the Salafi groups. Indeed, Salafi militias have set up Islamic courts in captured territory where they dispense their conservative brand of justice as well as public goods. Entrenching themselves in this manner will ensure the country's sectarian divide endures long after the end of hostilities.
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  • organizations also advance a sectarian agenda at home. For Sunni-led countries like Bahrain and Kuwait that have large Shiite populations seeking greater political rights, domestic anti-Shiite activism threatens to spark a conflict that would quickly rage out of control
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    Non-state actors are crucial players in shaping the Syrian conflict.
Ed Webb

Bahrain's PR offensive enlists Israeli help. Pro-regime group plans to work 'closely' w... - 2 views

  • BFEA and MEMRI will be working together to improve perceptions of Bahrain
  • It is unclear whether BFEA is aware of MEMRI's Israeli connection. Albawaba describes MEMRI as an "independent, non-partisan research institute" – which it is not.
  • MEMRI was set up in 1998 by Yigal Carmon, a former colonel in Israeli military intelligence, and Meyrav Wurmser, an Israeli-born American, ostensibly to "bridge the language gap between the Middle East and the West". An early version of its website also said it aimed to emphasise "the continuing relevance of Zionism to the Jewish people and to the state of Israel" but this was later deleted (though preserved in an internet archive).
Ed Webb

Qatar Opens Its Doors to All, to the Dismay of Some - The New York Times - 0 views

  • the atmosphere of intrigue and opulence for which the capital of Qatar, a dust-blown backwater until a few decades ago, has become famous as the great freewheeling hub of the Middle East
  • what infuriates the Saudis, Emiratis, Egyptians and Bahrainis most of all is that Doha has also provided shelter to Islamist dissidents from their own countries — and given them a voice on the Qatar-owned television station, Al Jazeera.
  • The blockading nations — Saudi Arabia, Egypt, the United Arab Emirates and Bahrain — insist that Qatar is using an open-door policy to destabilize its neighbors. They say that Doha, rather than the benign meeting ground described by Qataris, is a city where terrorism is bankrolled, not battled against.
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  • In Doha, wealthy Qataris and Western expatriates mingle with Syrian exiles, Sudanese commanders and Libyan Islamists, many of them funded by the Qatari state. The Qataris sometimes play peacemaker: Their diplomats brokered a peace deal in Lebanon in 2008 and negotiated the release of numerous hostages, including Peter Theo Curtis, an American journalist being held in Syria, in 2014.But critics say that, often as not, rather than acting as a neutral peacemaker, Qatar takes sides in conflicts — helping oust Muammar el-Qaddafi in Libya in 2011, or turning a blind eye to wealthy citizens who funnel cash to extremist Islamist groups in Syria.
  • that welcome-all attitude is precisely what has recently angered Qatar’s much larger neighbors and plunged the Middle East into one of its most dramatic diplomatic showdowns
  • “The Emiratis and the Saudis seem to have miscalculated their position,” said Mehran Kamrava, the author of “Qatar: Small State, Big Politics” and a professor at the Georgetown University School of Foreign Service in Qatar. “They thought that if they went all-out with a blockade, the Qataris would balk. But they haven’t.”
  • American officials privately say they would prefer Hamas was based in Doha rather than in a hostile capital like Tehran
  • Qatar is leveraging the wide range of ties its foreign policy has fostered. Food supplies and a few dozen soldiers from Turkey arrived in Doha after the embargo started on June 5.
Ed Webb

The Arab Alliance Is a Circular Firing Squad - Foreign Policy - 0 views

  • Several of the region’s most pressing crises can be traced directly to the Trump summit, from the blockade of Qatar, which began two years ago this week, to the explosion of Libya’s “third civil war” in April. Far from collectively achieving its goals, the Saudi-led bloc forged two years ago has mostly just set itself back—and its members are increasingly turning against each other
  • Disagreement has also been growing within the countries in the Saudi-led bloc. Dubai, for instance, believes its economy has been directly hurt by the aggressive regional approach pursued by fellow emirate Abu Dhabi. Historically, Dubai’s priority has been to encourage tourism, trade, and foreign investment, while steering clear of regional conflicts. The persistent war in Yemen, the blockade of Qatar, and the internal security restrictions imposed across the United Arab Emirates by the increasingly dominant Abu Dhabi were bad for Dubai’s business. Experts estimate that Dubai loses $5 billion a year in trade with and shipping to and from Qatar, before even accounting for tourism, other trade activities, and losses incurred by the airline Emirates as a result of having to avoid Qatari airspace. “The effects of the Gulf crisis have been felt most severely in Dubai,” said Andreas Krieg, assistant professor at King’s College London. “Dubai might be economically hurting the most from the crisis, far more than Qatar.”
  • In the case of Bahrain, many view its boycott of Qatar as mere subordination to Saudi will, rather than as reflecting grievances of its own. Bahrain is one of the countries most affected by the blockade, in terms of trade, tourism and investment, and some officials, such as the prime minister, were not on board with the move.
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  • the lack of belief in Saudi Arabia’s would-be leadership
Ed Webb

Qatar's Gulf Allies Have Had Enough of Doha's Broken Promises - 1 views

  • Citizens of the Gulf Cooperation Council (GCC) states woke up on Monday morning to what is the most severe crisis in the regional block’s 38 year history to date. In a closely coordinated series of statements, Saudi Arabia, Bahrain and the UAE, along with Egypt, announced the severing of ties with the peninsular state of Qatar.
  • In what may be the most debilitating move, Qatar’s border with Saudi Arabia—which is its only land border —has been shut and all flights over Saudi and UAE airspace has been closed off to Qatar bound flights and Qatar Airways. Qatari citizens have been given two weeks to leave Saudi Arabia, Bahrain and the UAE and all travel by these countries citizens to Qatar is now prohibited.
  • Other Qatar backed networks that were accused of incitement on official Gulf TV channels include Al Quds Al Arabi (Arab Jerusalem) newspaper which was founded in London in 1989, online Arabic news portal Arabi 21, the London based website Middle East Eye, the Arabic version of Huffington Post which is headed by former Al Jazeera boss Waddah Khanfar and Al Khaleej Al Jadeed (the New Gulf).
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  • It is likely that this time the Gulf States will demand the complete shuttering of the Al Jazeera TV Network before any mediation can take place. Additionally, the plug will have to be pulled on networks funded by Qatar such as Al Araby Al Jadeed (The New Arab), originally set up to compete with Al Jazeera and headed by former Arab Israeli politician Azmi Bishara.
  • will also demand the expulsion of all Muslim Brotherhood leaders and their Hamas affiliate figures from Qatar, along with Azmi Bishara and Islamist writer Yasser Al-Za'atra. Other demands will include the sacking of Al Arab newspaper editor Abdullah Al Athba
  • It seems though the initial pressure has already somewhat worked on Qatar. Last week Doha deported Saudi activist Mohammed Al-Otaibi who arrived in Qatar in March, while a number of Hamas officials have left Qatar at the country’s request.
  • Qatar imports over 90 percent of its food, and by one estimate about 40 percent of that comes from the its only land border, which is now closed. Within hours photos started circulating on social media of Qatari supermarket aisles that have been emptied by panicked shoppers. Furthermore Gulf media has hinted at an escalation of the dispute with Qatari commercial and trade ties being severed next.
Ed Webb

Jordan, Facing Royal Crisis, Is a Banana Monarchy Falling Apart on America's Watch - 0 views

  • While some allege a real conspiracy tied to Saudi meddling, most analysts believe that the entire affair was a manufactured crisis designed to distract a public enraged about the ruling monarchy’s worsening mismanagement over the past decade. The pandemic made the already-stagnant economy worse, spiking unemployment from 15 to 25 percent and raising the poverty rate from 16 to a staggering 37 percent. Fruitless promises of democratic reform from Abdullah have led nowhere. With tribal activists regularly criticizing the king—the ultimate act of transgression—the monarchy is responding not with better policies and more transparency, but by doubling down with heightened repression.
  • Like all autocracies, Jordan has little tolerance for popular opposition. Moreover, most of the Arab monarchies suffer from dynastic infighting. Saudi Arabia, Morocco, and Bahrain have all seen powerful hard-liners muffle dissident princes over the last decade. Kuwait’s Sabah monarchy has been rocked by coup conspiracies and succession disputes
  • It has surrendered much of its sovereignty with a new defense treaty—inked in January without the Jordanian public’s knowledge—giving the U.S. military such untrammeled operational rights that the entire kingdom is now cleared to become a giant U.S. base.
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  • History shows that when sponsoring a client dictatorship becomes a sacred pillar of Washington’s foreign policy, client rulers become extremely dependent upon U.S. support, prioritizing their relationship with Washington over their own people. In Jordan’s case, the government has preserved U.S. dominance in the Middle East and protected Israel while neglecting Jordanians’ own woes.
  • Policymakers fear that reducing any part of their support will destabilize their client state, which could not survive without it. The only option is to perpetuate the current system, even though that regime’s own policies are clearly destabilizing it.
  • Jordan’s transformation into a U.S. dependency began during the Cold War. Washington replaced the fading British in the late 1950s as its great protector, a logical move given the need to back anti-Soviet regimes everywhere. Jordan had no oil. However, so long as Jordan endured, it could be a geopolitical firebreak insulating Israel and the oil-rich Arabian Peninsula from the radical forces of communism and Arab nationalism.
  • Washington helped build the Jordanian state. Foreign aid was one mechanism. In many years, U.S. economic aid exceeded all domestic tax revenues, the only thing keeping “Fortress Jordan” from collapsing into insolvency. While Jordan today receives support from many donors, including the International Monetary Fund, U.S. economic support remains uniquely fungible: It comes mostly in cash, it is guaranteed, and it now exceeds $1 billion annually.
  • the U.S. Agency for International Development began designing and operating much of Jordan’s physical infrastructure in the 1960s, doing the basic task of governance—providing public goods to society—for the monarchy. When Jordanians get water from the tap, no small feat in the bone-dry country, it is because of USAID. Even the Aqaba Special Economic Zone, a mega-project aimed at turning the Red Sea port city of Aqaba into a regional commercial hub, was funded and designed by U.S. technocrats.
  • The General Intelligence Directorate, glorified by Western journalists as an Arab version of Mossad, spends as much time smothering Jordanian dissent as battling terrorism. It owes much of its skills and resources to the CIA.
  • Of course, being a U.S. protectorate brings occasional costs. Dependency upon Washington’s goodwill, for instance, gave Abdullah little room to halt the Trump administration’s “deal of the century.” That provocative plan to resolve the Israeli-Palestinian dilemma incensed Abdullah, as it favored Israel’s land claims while sidelining Jordan’s traditional front-line role as mediator to the conflict.
  • Washington cannot imagine any other kind of Jordan, because it never had to. It may yet learn the hard way.
  • The Middle East remains a revolutionary place, as six of its autocratic rulers have lost power to mass uprisings in the last decade. Whether Jordan is next depends upon if the monarchy can fundamentally rethink its approach, rather than fall back upon the United States for affirmation.
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    I hate the "banana monarchy" label, but otherwise Sean makes some good points here.
Ed Webb

The Coronavirus Oil Shock Is Just Getting Started - 0 views

  • People in the West tend to think about oil shocks from the perspective of the consumer. They notice when prices go up. The price spikes in 1973 and 1979 triggered by boycotts by oil producers are etched in their collective consciousness, as price controls left Americans lining up for gas and European governments imposed weekend driving bans. This was more than an economic shock. The balance of power in the world economy seemed to be shifting from the developed to the developing world.
  • If a surge in fossil fuel prices rearranges the world economy, the effect also operates in reverse. For the vast majority of countries in the world, the decline in oil prices is a boon. Among emerging markets, Indonesia, Philippines, India, Argentina, Turkey, and South Africa all benefit, as imported fuel is a big part of their import bill. Cheaper energy will cushion the pain of the COVID-19 recession. But at the same time, and by the same token, plunging oil prices deliver a concentrated and devastating shock to the producers. By comparison with the diffuse benefit enjoyed by consumers, the producers suffer immediate immiseration.
  • In inflation-adjusted terms, oil prices are similar to those last seen in the 1950s, when the Persian Gulf states were little more than clients of the oil majors, the United States and the British Empire
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  • Fiscal crises caused by falling prices limit governments’ room for domestic maneuver and force painful political choices
  • 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
  • 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
  • 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.
Ed Webb

'Apocalypse soon': reluctant Middle East forced to open eyes to climate crisis | Climat... - 0 views

  • In Qatar, the country with the highest per capita carbon emissions in the world and the biggest producer of liquid gas, the outdoors is already being air conditioned.
  • 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.
  • The Middle East is warming at twice the rate of the rest of the world. By the end of the century, if the more dire predictions prove true, Mecca may not be habitable, making the summer Haj a pilgrimage of peril, even catastrophe
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  • 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.
  • 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.
  • 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.
  • 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 States are still highly reliant on oil and gas exports, which remain more than 70% of total goods exports in Kuwait, Qatar, Saudi Arabia and Oman, and on oil revenues, which exceed 70% of total government revenues in Kuwait, Qatar, Oman, and Bahrain. In Vision 2030, published in 2016, the Saudi crown prince, Mohammed bin Salman, promised to turn the country into a diversified industrial power house. The reality is very different. The World Bank shows Saudi Arabia is still 75% dependent on oil exports for its budget.
  • 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.
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