The Takeaway: With rift healed, GCC ramps up
The Gulf states deal with an urgent need for foreign investment, crisis on the Red Sea, and optimism for World Cup 2022; Did Rouhani call the US a ‘great nation’ that needs to return to its ‘rightful place’?
The GCC in 2021: Follow the money — and the soccer ball
The decision by Egypt, the UAE, Saudi Arabia and Bahrain to bury the hatchet with Qatar and resume political and economic ties is already paying off. As the pandemic permits air travel and trade to revive, the economic and social spillover benefits should increase.
The reconciliation, facilitated by the United States and Kuwait, better positions incoming US President-elect Joe Biden to deal with Iran, as we explained here. GCC unity removes an irritant in US-GCC ties and showcases the region as a more united front, with Iran isolated. The GCC can plan to regroup politically, economically and socially for the post-pandemic era.
There is much work to do. Beyond the ongoing standoff between some GCC members and Iran, the group faces urgent economic and investment crises that should be somewhat ameliorated by the global attention and possible tourism boom resulting from Qatar’s hosting of World Cup 2022. There also is a deepening security crisis in the Red Sea.
Three takes:
