UAE warns Qatar to accept the list of demands or face 'divorce'

Agencies
June 24, 2017

Abu Dhabi, Jun 24: The United Arab Emirates warned Qatar Friday that it faces "divorce" from its Gulf neighbours unless it takes their demands seriously, as the United Nations offered to help resolve the regional diplomatic crisis.uaee

The list of demands includes the closure of Al-Jazeera television, a long-standing source of conflict between Doha and neighbouring countries which accuse it of fomenting regional strife.

The Qatar-based broadcaster denounced the move as an attack on media freedom.

Anwar Gargash, the UAE's state minister for foreign affairs, issued the warning more than two weeks into the oil-rich region's worst diplomatic crisis in years.

"It would be wiser that (Qatar) deal seriously with the demands and concerns of the neighbours or a divorce will take place," he wrote on Twitter.

The demands confirm that "the crisis is profound," Gargash added.

The affair has also drawn in the United States, whose Secretary of State Rex Tillerson has called for Gulf unity.

UN spokeswoman Eri Kaneko said the world body continued "to follow the situation with deep concern".

"We hope that the countries involved resolve the situation through dialogue," she said. "We are ready to assist if requested by the parties."

Qatar is the world's leading exporter of liquefied natural gas (LNG) and hosts the biggest American airbase in the Middle East.

Gargash accused Qatar of leaking a document containing the demands by Saudi Arabia, the UAE, Bahrain and Egypt, which have cut diplomatic ties and accused Qatar of sponsoring terrorism.

Qatar strongly denies such charges.

'Attempt to silence'

The demands have not been officially unveiled but Doha-based Al-Jazeera news channel said overnight Thursday they were handed to Qatar by Kuwait, which is mediating the dispute.

According to the document posted on social media, the four countries demand that Qatar closes Al-Jazeera, downgrades diplomatic ties with Iran and shuts a Turkish military base in the emirate.

Al-Jazeera, one of the largest news organisations in the world, said that it "deplores" calls for it to be taken off air.

"We in the network believe that any call for closing down Al-Jazeera is nothing but an attempt to silence the freedom of expression in the region and to suppress people's right to information," the broadcaster said in a statement.

Al-Jazeera English's managing director, Giles Trendle, said it was like "Germany demanding Britain to close down the BBC", in a video posted on social media.

Qatar is a member of the Gulf Cooperation Council with Bahrain, Kuwait, Oman, Saudi Arabia and the UAE.

On June 5, Saudi Arabia and the UAE led a severing of all links with Qatar for allegedly supporting groups, including some backed by Iran, "that aim to destabilise the region".

Other allies, including Egypt and Bahrain, followed.

Saudi Arabia regularly accuses Iran, its regional rival, of interference throughout the Middle East.

US 'mystified'

As well as cutting diplomatic ties, Qatar's neighbours closed their air space to Qatari carriers and blocked the emirate's only land border, vital for its food imports.

The list of 13 demands circulating on social media also says Qatar must cut ties to groups including the Muslim Brotherhood, the Islamic State organisation, Al-Qaeda and Lebanon's Iran-backed Hezbollah movement.

Qatar is also required to hand over opposition figures wanted by its three neighbours and Egypt.

In addition to Al-Jazeera, it must shut online information sites that it supports, according to the reported demands.

Although there has yet to be an official reaction to the list from the Doha government, Qatar's Human Rights Committee said the demands represented "gross violations" of basic rights.

In Qatar, the hashtag "the list is rejected" trended in Arabic on social media.

Gargash though urged Qatar to cede to the demands: "The brother (Qatar) must realise that the solution for its crisis lies not in Tehran or Beirut or Ankara or Western capitals or in media outlets, but in regaining the trust of its neighbours," he said.

Tillerson said on Wednesday that Washington had been pushing for a clear list of grievances that are "reasonable and actionable".

"Our role has been to encourage the parties to get their issues on the table, clearly articulated, so that those issues can be addressed and some resolution process can get underway to bring this to a conclusion," he said.

His spokeswoman Heather Nauert said Tuesday the United States was "mystified" that Saudi Arabia and its Gulf allies had failed to present details justifying their embargo on Qatar.

US President Donald Trump, however, has made statements siding with Saudi Arabia in the crisis.

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Agencies
July 31,2020

Dubai, Jul 31: The Custodian of the Two Holy Mosques, King Salman bin Abdulaziz of Saudi Arabia tweeted early on Friday sending congratulations to everyone on Eid Al Adha.

"I congratulate everyone on the blessed Eid Al Adha. May Allah [grant us another Eid where we will be in] good, blessings, health, and wellness," King Salman said.

"We also ask [God] to accept the pilgrimage of those who completed Haj, and [to accept] Muslims' prayers, and to remove the coronavirus pandemic in our countries," he added.

King Salman left King Faisal hospital in Riyadh after recovering on Thursday, the Saudi Press Agency (SPA) reported on Thursday.

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News Network
July 1,2020

Riyadh, Jul 1: Saudis braced Wednesday for a tripling in value added tax, another unpopular austerity measure after the twin shocks of coronavirus and an oil price slump triggered the kingdom's worst economic decline in decades.

Retailers in the country reported a sharp uptick in sales this week of everything from gold and electronics to cars and building materials, as shoppers sought to stock up before VAT is raised to 15 percent.

The hike could stir public resentment as it weighs on household incomes, pushing up inflation and depressing consumer spending as the kingdom emerges from a three-month coronavirus lockdown.

"Cuts, cuts, cuts everywhere," a Saudi teacher in Riyadh told AFP, bemoaning vanishing subsidies as salaries remain stagnant.

"Air conditioner, television, electronic items," he said, rattling off a list of items he bought last week ahead of the VAT hike.

"I can't afford these things from Wednesday."

With its vast oil wealth funding the Arab world's biggest economy, the kingdom had for decades been able to fund massive spending with no taxes at all.

It only introduced VAT in 2018, as part of a push to reduce its dependence on crude revenues.

Then, seeking to shore up state finances battered by sliding oil prices and the coronavirus crisis, it announced in May that it would triple VAT and halt a cost-of-living monthly allowance to citizens.

The austerity push underscores how Saudi Arabia's once-lavish spending is becoming a thing of the past, with the erosion of the welfare system leaving a mostly young population to cope with reduced incomes and a lifestyle downgrade.

That could pile strain on a decades-old social contract whereby citizens were given generous subsidies and handouts in exchange for loyalty to the absolute monarchy.

The rising cost of living may prompt many to ask why state funds are being lavished on multi-billion-dollar projects and overseas assets, including the proposed purchase of English football club Newcastle United.

Shopping malls in the kingdom have drawn large crowds in recent days as retailers offered "pre-VAT sales" and discounts before the hike kicks in.

A gold shop in Riyadh told AFP it saw a 70 percent jump in sales in recent weeks, while a car dealership saw them tick up by 15 percent.

Once the new rate is in place, businesses are predicting depressed sales of everything from cars to cosmetics and home appliances.

Capital Economics forecast inflation will jump up to six percent year-on-year in July, from 1.1 percent in May, as a result.

"The government ended the country's lockdown (in June) and there are signs that economic activity has started to recover," Capital Economics said in a report.

"Nonetheless, we expect the recovery to be slow-going as fiscal austerity measures bite."

The kingdom also risks losing its edge against other Gulf states, including its principal ally the United Arab Emirates, which introduced VAT at the same time but has so far refrained from raising it beyond five percent.

"Saudi Arabia is taking massive risks with contractionary fiscal policies," said Tarek Fadlallah, chief executive officer of the Middle East unit of Nomura Asset Management.

But the kingdom has few choices as oil revenue declines.

Its finances have taken another blow as authorities massively scaled back this year's hajj pilgrimage, from 2.5 million pilgrims last year to around a thousand already inside the country, and suspended the lesser umrah because of coronavirus.

Together the rites rake in some $12 billion annually.

The International Monetary Fund warned the kingdom's GDP will shrink by 6.8 percent this year -- its worst performance since the 1980s oil glut.

The austerity drive would boost state coffers by 100 billion riyals ($26.6 billion), according to state media.

But the measures are unlikely to plug the kingdom's huge budget deficit.

The Saudi Jadwa Investment group forecasts the shortfall will rise to a record $112 billion this year.

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Agencies
June 20,2020

Riyadh, Jun 20: Saudi Arabia will end a nationwide curfew and lift restrictions on businesses from Sunday morning after three months of lockdown to curb the spread of coronavirus, state news agency SPA quoted a source in the interior ministry as saying on Saturday.

The curfew will be lifted as of 6 AM local time on Sunday. Restrictions will remain, however, for religious pilgrimages, international travel and social gatherings of more than 50 people.

The kingdom introduced stringent measures to curb the spread of the novel coronavirus in March, including 24-hour curfews on most towns and cities.

In May, it announced a three-phase plan to ease restrictions on movement and travel, culminating in the curfew completely ending on June 21.

The number of coronavirus infections has risen in recent weeks following a relaxation of movement and travel restrictions on May 28.

The kingdom has recorded 154,223 cases of COVID-19 and a total of 1,230 deaths, the highest in the six-nation Gulf Cooperation Council.

Saudi Arabia plans to limit numbers at the annual haj pilgrimage to prevent a further outbreak of coronavirus cases, sources familiar with the matter told Reuters earlier this month.

Some 2.5 million pilgrims visit the holiest sites of Islam in Mecca and Medina for the week-long haj, a once-in-a-lifetime duty for every able-bodied Muslim who can afford it. Saudi Arabia asked Muslims in March to put haj plans on hold and suspended the umrah pilgrimage until further notice.

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