Home Page - Gulf in the Media
HomePoliticsEconomy                               Set Gulfinthemedia.com as home page
Politics
 Print  Send This Page
Save Listen to this Article
SWOT analysis of a GCC Union   

Kuwait Times - 05 July, 2012
Author: Fouad Al-Obaid

The Gulf Cooperation Council was formally established on May 25, 1981 with six member states that share commonalities in terms of history, culture, political structure and economic activity – mostly in the form of oil and gas exporting industries. The idea behind the creation of the GCC is dual; on the one hand the geopolitical realities of the region where the six Gulf states; regrouped into three small territorial states, two medium sized states, and the elephant in the room (the Kingdom of Saudi Arabia) that effectively spans two and a quarter million kilometer, are surrounded by neighbors that are militarily stronger with belligerent tendencies. The second intention is to group into an effective monarchy club fending off democratic tendencies.

The GCC secretariat official website mentions the following when it comes to the reasons behind the forming of the council and its objectives as the following: “the deepening and strengthening of relations, links and areas of cooperation among their citizens.” Further adding, “The underpinnings which are clearly provided for in the preamble of the GCC Charter, confirm the special relations, common qualities and similar systems founded on the creed of Islam, faith in a common destiny and sharing one goal, and that the cooperation among these states would serve the sublime objectives of the Arab nation.” Concluding, “Deep religious and cultural ties link the six states, and strong kin relations prevail among their citizens. All these factors, enhanced by one geographical entity extending from sea to desert have facilitated contacts and interaction among them, and created homogeneous values and characteristics.”
This editorial will attempt to analyze the merit of the given claims in a SWOT analysis manner:

Strength
The nature of the economics underlying the GCC states stand firmly on the ‘export’ ability of primarily two prime sources, oil and gas. Secondly, the revenues of the sale of hydrocarbons has generated surplus liquidity that forms the second major GCC export found in the form of excess capital being either parked or invested in largely Western economies. The two key exports have ensured that the region is not overlooked. Case in point, the 1990 invasion of Kuwait has shed light on the willingness of more powerful states to ‘rescue’ and liberate a country in record time due to the threat that such an invasion poses not directly on the country, rather on the region’s ability to safely export crude and refined oil, as well as gas to the global markets.

Weakness
Economically powerful states are the envy of most states, when the given countries are territorially small and have a small citizenry in comparison to territorially larger neighbors with a clear numerical advantage. When the given states not only have the ability to draft people in case of conflict and have done so for protracted conflict in the past, gaining tactical advantage. Armed envious neighbors increase the risk of conflict. The examples are multiple, the 1980s tanker war, the invasion of Kuwait by Iraq, the continued occupation of three UAE islands by Iran and the troubled conflict between Saudi Arabian forces and the Houthi rebels highlighting the regions inability to truly enter into conflict, let alone sustain and win. Most pressing though is the Strait of Hormouz blocking that is the main transit point for the GCC hydrocarbon export.

Internally, the democratic deficit and the structure of governance in light of the ongoing changes in the Arab world are creating and pushing 0 citizens toward revolting against the leaderships in the various states. The Saudi led-intervention in Bahrain highlights the volatility and viability of the GCC states -especially the smaller ones to maintain autonomy. Sovereignty/loss- will question the domestic desire for greater control of what essentially as per the charter of the GCC is a Saudi-led project to unify the region under a Saudi-leadership. Furthermore, the challenge remains in balancing necessity to integrate the six-armed forces into a combined coherent force capable of ensuring the collective security of all the GCC states, and the desire of maintaining a high level of sovereignty and territorial integrity by the six-nation council.

Opportunities
Closer cooperation could ensure the pooling of resources and energies in developing a cohesive master plan for economic diversification. Effectively, this will create a viable GCC-market opening up to greater inter-Arab trade. The financing abilities of the region should make the GCC more able to cope with cyclical global economical downturns. The over reliance on oil has benefited the region, now is the time to clearly set the foundation of the post-oil era. The linking of the GCC power grid, the proposed inter-GCC railway, amidst an ever expanding global air-link via growing national carriers, along with existing and proposed seaports will continue to ensure the regions global relevance.

Threats
The Arab Spring has brought about a renewed desire for greater involvement of the citizen in the decision-making process of the GCC states. The liberties are not equal amongst the six states, which is a cause of concern. The temptation by more restrictive states to limit the possibilities of change for fear of exporting rebellion, as has been witnessed in Bahrain. Kuwait the most politically and socially outspoken of the six, will continue to create a desire for greater political participation. The threat of terrorism though subdued remains a constant, along with sabotage in the form of attacks on oil and gas installations. Most daunting would be the arrival of revolutionary trends to the region that could lead to a change in the leadership structure.

By Fouad Al-Obaid

fouad@kuwaittimes.net
Twitter: @Fouadalobaid
 
Omani-Algeria joint committee's session begins
Source : Oman Daily Observer  
Date : 2013-06-19
The sixth session of the Omani-Algerian Joint Committee started yesterday in Algeria. The Sultanate is participating in the session with a delegation representing various Government sectors, led by Yusuf bin...
Battle intensifies around Damascus
Source : Gulf Today  
Date : 2013-06-19
Troops loyal to Syrian President Bashar Al Assad pushed forward a bid to crush rebel bastions near the capital Damascus on Tuesday, a monitoring group and activists said....
France wants concrete gestures from Iran on nuclear question
Source : Kuwait News Agency  
Date : 2013-06-19
The French government said on Tuesday that it expected "concrete gestures" from Iran to establish confidence in talks between the international community and Tehran on nuclear questions....
US cohabitation with Hezbollah terror
Source : Arab News  
Date : 2013-06-19
In mid-December 2012, President Obama in an interview with ABC's Barbara Walters tried to explain US policy toward the Syrian revolution, saying "Not everybody who's participating on the ground in...
Assad says Europe would 'pay price' for arming rebels
Source : Khaleej Times  
Date : 2013-06-18
Syrian President Bashar Al Assad warned on Monday that European powers would "pay the price" if they sent weapons to rebel forces seeking to topple him....
Bombs, suicide attack kill 12 in Iraq
Source : Saudi Gazette  
Date : 2013-06-18
Three bomb attacks in Iraq including a blast inside a roadside restaurant killed 12 people on Monday, officials said, the latest in a surge of violence that has left nearly...
Coronavirus spreads: Four more die, three others infected
Source : Saudi Gazette  
Date : 2013-06-18
Four more people have died and three more have fallen ill in the Kingdom from the new SARS-like coronavirus MERS-CoV, the Health Ministry said on its website on Monday....
Death for two Kuwait cops over torture
Source : The Peninsula  
Date : 2013-06-18
Kuwait's supreme court yesterday sentenced to death two police officers convicted of torturing a citizen to death, overturning life imprisonment handed by lower courts....
Iran meddling condemned
Source : Gulf Daily News  
Date : 2013-06-18
A Bahraini parliamentary delegation yesterday held a meeting with Russian Duma deputy speaker for the Middle East Nikolai Levichev....
Kuwaiti Amir urges citizens to shun sedition
Source : Kuwait Times  
Date : 2013-06-18
His Highness the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah yesterday called on fellow citizens to "positively contribute" their best in a drive to safeguard "our national unity" and reject sedition....
No Saudi bank accounts to support Syrian fighters
Source : Saudi Gazette  
Date : 2013-06-18
A senior Saudi official has categorically denied the existence of bank accounts in the Kingdom to collect donations for Syrian fighters. Reports to that effect were recently being circulated on...
Rowhani hopes for new accord with world powers over N-issue
Source : Arab News  
Date : 2013-06-18
President-elect Hassan Rowhani expressed hope yesterday that Iran can reach a new agreement with the international powers over its nuclear program, saying such a deal should be reached through more...
Saudi King: Interference by some countries destabilizes region
Source : Arab News  
Date : 2013-06-18
Custodian of the Two Holy Mosques King Abdullah yesterday warned against the consequences of adventurism by some countries and their interference in others' internal affairs, saying it would increase tension...
Seeking a Syria consensus despite US-Russia divide
Source : Khaleej Times  
Date : 2013-06-18
Hunting for a glimmer of common ground, the leaders of major economic powers are declaring themselves dedicated to a political solution to Syria's bloody civil war, even as President Barack...
Treat your maids well: Dubai Police
Source : Khaleej Times  
Date : 2013-06-18
The Dubai Police have launched a campaign aimed at encouraging people to treat their housemaids well in a bid to reduce crimes by such persons....
UAE's human rights situation very positive: EU panel
Source : Khaleej Times  
Date : 2013-06-18
A European Commission delegation has been briefed on the efforts of the Emirates Association for Human Rights at the association's headquarters in Al Rashidiya in spreading awareness of the culture...
Under pressure, Ahmadinejad summoned to appear in court
Source : Arab News  
Date : 2013-06-18
Iranian President Mahmoud Ahmadinejad was summoned yesterday to appear before a criminal court on unspecified charges leveled by a conservative rival, days after moderate cleric Hassan Rowhani was elected his...
Unicef asks Yemen to improve kids' plight
Source : Gulf Today  
Date : 2013-06-18
The UN's children's agency called on Monday for Yemen to improve safeguards for kids as it discusses how to draft a new constitution, by for instance ensuring access to clean...
National Media Council's responsibilities redefined
Source : Khaleej Times  
Date : 2013-06-18
His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, has issued a Cabinet decision No. 9 of 2013 with respect...
Qatar-US defence ties reviewed
Source : Gulf Times  
Date : 2013-06-18
HE the Chief of Staff of the Qatari Armed Forces Major General Hamad bin Ali al-Attiyah holding talks with US Army Area Support Group Commander Col Wayne Grieme whose term...
Total 555 Results in 28 Pages
  7 
For more news, views and reports about this topic, please subscribe
to GRC website: www.grc.ae
Thu Jun 20, 2013| 11-شعبان-1434هـ
G8 calls for urgent Syria peace talks despite Russia split
Saudi Arabia tops Arab world with $ 12.2 bn FDI inflow
Iran ready to stop 20% enrichment
Abu Dhabi livestock and dairy show growth signs, says Scad
Suicide attacks kill 31 in Iraq
QCB move draws flak from investors
Ummah Party demands new Kuwaiti constitution
Oman central bank or fiscal reforms
US officials to hold talks with Taliban in Doha
NBK, VIVA sign USD 270 mln financing agreement
Interior Ministry seeks Interpol help against attacks by hackers
Saudi Arabia spends 5.6% of GDP on education
Urgent plan to control sewage overflows urged
AMF to provide $ 144m loan to Yemen on reform
Saudi role in Syria driven by fear of Shi'ite 'full moon'
EU says informal contacts on trade accord with GCC continues
    Newspaper Editorials
No headway to end Syrian conflict
Afghanistan's milestone
More>>  
    Opinions
US cohabitation with Hezbollah terror
What happened to the Arab superpowers?
More>>  
    GCC Press Agencies
Day's main stories from the GCC Press Agencies
    Reports
Syria and WMD: Deepening Uncertainty
Iraq Ten Years On
More>>  
    Bank Reports
GCC Cement Sector Quarterly – 1Q13
GCC Real Estate Quarterly – 1Q13
More>>  
    GRC Analysis
Building a Strong Saudi-Japan Relationship
Poor Gulf: Inequality and the Lack of Statistics
Whither GCC-US Relations?
    GRC Commentary
On Relations between Rulers and Citizens: The Need for a New Social/Political Contract in the GCC States
Key Issue Facing the Saudi Ruling House.
    GRC Book Review
Beyond Regionalism? Regional Cooperation, Regionalism and Regionalization in the Middle East
India, GCC and the Global Energy Regime: Exploring Interdependence and Outlook for Collaboration.
    GRC Press Release
Gulf Research Center press releases to the media
    GRC Publications
The Uneasy Balance: Potential and Challenges of the West's Relations with the Gulf States
Asia-Gulf Economic Relations in the 21st Century: The Local to Global Transformation
Assessment of the Security Situation in Iran, Iraq, Yemen, Syria and the Arab Gulf States
    GRC Newsletters/Bulletins

Enter your email to get the Newsletter
Go
      
Privacy Policy | Contact Us | Terms & Conditions | About Us |
Weather | Qibla Directions | Hijri Date Conversion Tool
Full Page :total time:4  |   17-- 21 Middle Page :0  --   | Right : 21 - 21--en--sess-enreq-en-coming