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161. Gulf Economic Outlook 2020 - Q1 Update

Author:
Hiba Itani
Publication Date:
05-2020
Content Type:
Special Report
Institution:
The Conference Board
Abstract:
The Gulf countries face a somber outlook, with the GDP of the region expected to contract by 5.9% in 2020 compared to 2019. The Gulf countries whose economies remain highly dependent on hydrocarbon are ahead of “perfect storm” like scenario: a humanitarian crisis, that morphed into a global demand shock and pushed oil prices into a free-fall. A historical oil production cut agreement barely managed to improve prices.
Topic:
Oil, Natural Resources, GDP, and Economy
Political Geography:
Middle East and Gulf Nations

162. “Gulf citizens against normalization”: Reactions to Israel’s normalization agreements with the UAE and Bahrain

Author:
Adam Hoffman
Publication Date:
09-2020
Content Type:
Working Paper
Institution:
Moshe Dayan Center for Middle Eastern and African Studies
Abstract:
In September issue of Beehive, Adam Hoffman examines the discourse in the social networks of several Gulf States regarding Israel's normalization agreements with the UAE and Bahrain.
Topic:
Treaties and Agreements, Public Opinion, Donald Trump, Normalization, and Abraham Accords
Political Geography:
Israel, Bahrain, Gulf Nations, and UAE

163. Shuyyukh, Policemen and Supervisors: Yemen’s Competing Security Providers

Author:
Eleanore Ardemagni, Ahmed Nagi, and Mareike Transfeld
Publication Date:
03-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
As the war in Yemen enters its sixth year, plenty of new and traditional security providers operate, and compete, at the local level. Changes in security governance describe quick political fragmentation and reordering of security relations: in many cases, the agents of protection are, contemporarily, agents of coercion.1 In the eyes of local communities, multiple security actors fill the same roles and perform similar or overlapped duties. As violence and instability persist, Yemenis have paradoxically had to deal with a rising number of local, “national” and foreign security providers in their everyday life, especially in areas held by the Houthi insurgents. Each territory has its own particularities; but some general trends can be identified, depicting a country where local communities fluctuate between bottom-up decentralization and self-governance. Yemen remains fractured into three main competing political-military entities claiming legitimacy: the internationally-recognized government relocated in Aden, the “quasi-state” of the Houthi insurgents based in the capital Sanaa, and the self-proclaimed and secessionist Southern Transitional Council (STC) in Aden and surrounding areas. In the eastern part of Yemen, local authorities remain formally under the internationally-recognized government (as in the case of the Mahra governorate). But beneath these rival “states”, what happens at a community level? Who really provides security on the ground? And since 2015 onwards, what has changed, or not, in terms of security provision and governance?
Topic:
Security, Governance, Law Enforcement, and Conflict
Political Geography:
Middle East, Yemen, and Gulf Nations

164. Ports and Politics: UAE-Qatar Competition in the Mediterranean

Author:
Camille Lons
Publication Date:
07-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
Once marginal in shaping the geopolitics of the Southern and Eastern Mediterranean, Gulf power projection and competition have become a central driver of the politics of Tunisia, Egypt, Libya and Syria since the 2011 Arab Spring uprisings. The political turmoil that engulfed these states created both threats and opportunities for Qatar, the UAE and Saudi Arabia, the rich and ambitious states of the Arabian Peninsula. Their involvement, which combined economic aid, political support and at times military assistance, was structured around their notion of what is the desired or acceptable role of Islamist movements in Arab politics. On the one hand, Qatar supports Islamist movements and most notably the Muslim Brotherhood as instruments of influence and popular appeal, while the UAE and Saudi Arabia perceive them as a security and ideological threat to their regional influence and domestic stability.
Topic:
Politics, Regional Cooperation, Maritime, Strategic Competition, and Rivalry
Political Geography:
Libya, Syria, Egypt, Qatar, Tunisia, United Arab Emirates, and Gulf Nations

165. Gulf financial aid and direct investment: Tracking the implications of state capitalism, aid, and investment flows

Author:
Karen E. Young
Publication Date:
08-2020
Content Type:
Special Report
Institution:
American Enterprise Institute for Public Policy Research
Abstract:
Much energy has focused on China’s Belt and Road Initiative and the debt-trap diplomacy it represents. But there is another set of players on the scene whose growth and influence in this sphere have been largely ignored. Gulf Arab states, particularly Saudi Arabia and the United Arab Emirates, have increasingly embraced an aggressive growth, investment, and development model for the broader Middle East. This report and the accompanying Gulf Financial Aid and Direct Investment Tracker are an effort to understand the breadth and scope of Gulf aid and financial intervention into a representative set of cases in the Middle East, the Horn of Africa, and West Asia. The objective is to demonstrate the competitive landscape for foreign investment in the receiving case countries and indicate the growing strength of Gulf capital investment, as it measures against a perception of Chinese capacity in the wider Middle East and emerging markets broadly. Most important, the comparative data here also demonstrate how private capital flows from the United States, United Kingdom, and European Union compete against flows of capital from state capitalism sources such as China and the Gulf.
Topic:
Foreign Direct Investment, Belt and Road Initiative (BRI), Investment, Strategic Competition, and State Capitalism
Political Geography:
China, Middle East, and Gulf Nations

166. Between God and the Sugar Dates: Lessons for a "Geopolitical" EU from the US–Iran Crisis

Author:
Tommaso Emiliani
Publication Date:
04-2020
Content Type:
Commentary and Analysis
Institution:
Istituto Affari Internazionali
Abstract:
The killing of top Iranian General Qasem Soleimani by a US drone strike on 3 January 2020, followed by the Iranian retaliation on US military bases in Iraq, left many Europeans wondering how – if at all – the European Union can foster de-escalation in the Middle East. The EU is presently stuck between a deepening strategic rift with its US ally and its inability to advance its independent interests and policies vis-à-vis Iran. It is now clear that Europe cannot protect its relations with Washington while also salvaging the Joint Comprehensive Plan of Action (JCPOA), or Iranian nuclear deal. Borrowing from an old Persian proverb, Europe cannot have both God and the sugar dates.
Topic:
Sanctions, Military Affairs, Trade, Transatlantic Relations, and Coronavirus
Political Geography:
Europe, Iran, Middle East, United States of America, European Union, and Gulf Nations

167. Assessing Israel Katz’s First Year as Foreign Minister

Author:
Nimrod Goren
Publication Date:
02-2020
Content Type:
Commentary and Analysis
Institution:
Mitvim: The Israeli Institute for Regional Foreign Policies
Abstract:
In February 2019, Israel Katz was named Israel’s interim foreign minister, and three months later his appointment became permanent. This ended a period of almost four-years without a fulltime foreign minister, during which the Ministry of Foreign Affairs (MFA) significantly declined. A year into Katz’s term, an assessment can be made as to whether his appointment has strengthened the MFA and left a policy imprint. This, while taking into consideration the turmoil in Israeli politics since early 2019 and the understanding that deeper change requires a ministerial tenure longer than a year. This article sums up Katz’s first year on the job, based on media reports and information published by the MFA. It examines both intra-ministerial and policy aspects, and concludes that Katz is operating in Netanyahu’s heavy shadow, has failed to address the deep budgetary crisis faced by the MFA, and has focused on developing ties with Gulf States and combatting anti-Semitism.
Topic:
Government, Politics, Financial Crisis, and Benjamin Netanyahu
Political Geography:
Middle East, Israel, and Gulf Nations

168. Dubai Property: An Oasis for Nigeria’s Corrupt Political Elites

Author:
Matthew Page
Publication Date:
03-2020
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
For politically exposed persons (PEPs) with ill-gotten wealth, Dubai in the United Arab Emirates (UAE) is an alluring destination for investing their gains. Although certainly not the only place to stash money, Dubai—dubbed the commercial capital of the Middle East—exercises minimal oversight and has few legal or logistical obstacles to transferring large amounts of cash or purchasing property. PEPs, defined as individuals who are or have been entrusted with a prominent public function, are at higher risk of involvement in unlawful activity due to their positions of influence and access to assets.1 In some cases, government officials and associates who succumb to the temptation become front-page news, but in many other cases, their activities go undetected or uncorroborated, despite the efforts of local authorities and intergovernmental bodies such as the Financial Action Task Force. As a result, billions of dollars are siphoned away to the detriment of both prosperous and struggling economies and societies. The case of Nigeria—home to Africa’s largest economy and the world’s seventh most populous country—offers valuable insights into this phenomenon.2 For Nigerian PEPs in particular, Dubai is an accessible oasis far away from the political drama in their capital, Abuja, or the hustle and bustle of their biggest city, Lagos. But a dearth of specific information about Nigerian PEPs’ property in Dubai has long precluded a deeper analysis of the share of illicit financial outflows from Nigeria; that is, until 2016, when the Center for Advanced Defense Studies (now known as C4ADS) acquired the data of a private database of Dubai real estate information (dubbed the “Sandcastles” data). At least 800 properties were found to have links to Nigerian PEPs or their family members, associates, and suspected proxies. With such information and continued monitoring, Nigerian and Emirati authorities and national and international actors could ramp up their scrutiny on high-end property transactions involving Nigerian elites to ensure that these purchases are not being made with pilfered public funds. The two countries could also deepen bilateral law enforcement cooperation by sharing information and assisting investigations more responsively and routinely. For their part, Western governments, the United Nations, and other international organizations could press the UAE to make its property and corporate records more transparent.
Topic:
Corruption, Economy, Financial Crimes, Elites, and Property
Political Geography:
Africa, Nigeria, Dubai, and Gulf Nations

169. Coronavirus Threatens to Drive Wedge into US-Gulf Relations

Author:
James M Dorsey
Publication Date:
05-2020
Content Type:
Commentary and Analysis
Institution:
The Begin-Sadat Centre for Strategic Studies (BESA)
Abstract:
It is early days, but first indications are that the global coronavirus pandemic is entrenching long-drawn Middle Eastern geopolitical, political, ethnic, and sectarian battle lines rather than serving as a vehicle to build bridges and boost confidence. Gulf states are taking contradictory approaches to the problem of ensuring that entrenched conflicts do not spiral out of control as they battle the pandemic and struggle to cope with the economic fallout.
Topic:
International Relations, Bilateral Relations, and COVID-19
Political Geography:
Middle East, North America, United States of America, and Gulf Nations

170. Gulf Security: The Arab Gulf States Have No Good Options

Author:
James M Dorsey
Publication Date:
05-2020
Content Type:
Commentary and Analysis
Institution:
The Begin-Sadat Centre for Strategic Studies (BESA)
Abstract:
The coronavirus pandemic and its economic fallout may rewrite the security as well as the political and economic map of the Middle East. The crisis will probably color Gulf attitudes towards the region’s major external players: the US, China, and Russia. Yet the Gulf States are likely to discover that their ability to shape the region’s map has significantly diminished.
Topic:
Conflict Prevention, International Relations, Security, and Trade
Political Geography:
Russia, China, Middle East, United States of America, and Gulf Nations