Unified Economic Agreement Gcc

Some financial economists have interpreted the rift between Saudi Qatar in 2014 as a tangible political sign of a growing economic rivalry between oil and natural gas producers, which could have “deep and lasting consequences” beyond MENA. [69] The Cooperation Council for the Gulf Arab States () , originally (and still familiar) Political and economic union () is a regional political and economic association composed of all the Arab states of the Persian Gulf – Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates – with the exception of Iraq. [2] [3] The GCC Charter was signed on May 25, 1981 and was officially founded. [4] As Jordan and Morocco are the only two Arab monarchies not currently sitting on the Council, the current members see them as powerful potential allies. Jordan borders Saudi Arabia and is economically linked to the Persian Gulf states. Although Morocco is not close to the Persian Gulf, Moroccan Foreign Minister Taieb Fassi Fihri notes that “geographic distance is not an obstacle to a strong relationship.” [76] The GCC has launched joint economic projects to promote and facilitate integration. Member States have connected their electricity networks and a water connection project has been launched and is expected to be operational by 2020. A project to create a public air system was also presented. [30] The union served as a group for sports cooperation and competition. GCC countries have an annual meeting of youth and sports ministers to promote youth and sport initiatives in the region; In 2015, this meeting was held for the 29th time. [48] The promotion of the organization of international sporting events has also served the countries of the Union an economic objective that has led to investment and development in the region.

[49] In order to reduce their future dependence on oil, GCC countries are pursuing unprecedented economic reforms. [14] The GCC has also launched major rail projects to connect the peninsula. Railways are expected to boost intra-regional trade while helping to reduce fuel consumption. According to Oman`s Minister of Transport and Communications, more than $200 billion is being invested in the development of approximately 40,000 kilometres of rail network throughout the GCC. The project, estimated at $15.5 billion, is expected to be completed by 2021. “It will link the six Member States as a regional transport corridor, become more integrated into national rail projects, deepen economic and political integration and develop it from a sustainable perspective,” said Ramiz Al Assar, GCC Resident World Bank Advisor. [31] Saudi Arabia advanced a proposal in 2011 to transform the Gulf Cooperation Council into a “Gulf Union” with closer economic, political and military coordination, a move aimed at countering Iran`s influence in the region. [9] [10] Other countries have challenged the proposal. [11] [12] In 2014, Bahrain`s Prime Minister Khalifa bin Salman Al Khalifa said that current events in the region underscored the importance of the proposal. [13] The Peninsula Shield Force is the military arm of the GCC, founded in 1984.

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