Neither we want a war, nor any other country ready to confront us: Iran

Agencies
May 19, 2019

Dubai, May 19: Iran's top diplomat dismissed the possibility of war erupting in the region at a time of escalating confrontation with the United States, saying Tehran did not want conflict and no country had the "illusion it can confront Iran".

Tensions between Washington and Tehran have increased in recent days, raising concerns about a potential US-Iran conflict. Earlier this week the United States pulled some diplomatic staff from its embassy in neighbouring Iraq following attacks on oil tankers in the Gulf.

"There will be no war because neither do we want a war, nor has anyone the idea or illusion it can confront Iran in the region," Foreign Minister Mohammad Javad Zarif told Iran's IRNA state news agency before ending a visit to Beijing.

President Donald Trump has tightened economic sanctions against Iran, and his administration says it has built up the US military presence in the region. It accuses Iran of threats to US troops and interests. Tehran has described US moves as "psychological warfare" and a "political game".

"The fact is that Trump has officially said and reiterated again that he does not want a war, but people around him are pushing for war on the pretext that they want to make America stronger against Iran," Zarif said.

He told Reuters last month that Trump could be lured into a conflict by the likes of US national security adviser John Bolton, an ardent Iran hawk.

In Tehran, Major General Hossein Salami, the commander of the Revolutionary Guards, said on Saturday that Iran had nothing to fear from the United States, which he said was in decline, the semi-official news agency ISNA reported.

"The US political system is full of cracks. Though impressive-looking, it has osteoporosis. In fact, America's story is like the World Trade Center towers that collapse with a sudden blow," Salami, known for his fiery rhetoric, was quoted as saying. He was referring to the Sept. 11, 2001 attacks.

Trump has said publicly he wants to pursue a diplomatic route with Iran after ratcheting pressure on Tehran.

President Hassan Rouhani said on Saturday Iran would not be bullied into negotiating, IRNA reported.

"The (US) claim that it is forcing us to the negotiating table is worthless... We are for logic, negotiation and dialogue ...but we will never surrender to anyone who intends to bully us," Rouhani was quoted as saying.

A year ago Trump pulled the United States out of a 2015 pact that limited Iran's nuclear programme in return for the lifting of international sanctions. Iran has continued to abide by the terms of the pact, although Rouhani said this month it would scale back some curbs on nuclear activity.

In a sign of the heightened tension across the region, Exxon Mobil evacuated foreign staff from an oilfield in neighbouring Iraq after days of sabre rattling between Washington and Tehran.

Elsewhere in the Gulf, Bahrain warned its citizens against travelling to Iraq or Iran due to "unstable conditions".

In Washington, officials urged US commercial airliners flying over the waters of the Gulf and the Gulf of Oman to exercise caution.

A Norwegian insurers' report seen by Reuters said Iran's elite Revolutionary Guards were "highly likely" to have facilitated the attacks last Sunday on four tankers including two Saudi ships off Fujairah in the United Arab Emirates.

Iranian officials have denied involvement in the tanker attacks, saying Tehran's enemies carried them out to lay the groundwork for war against Iran.

US officials are concerned that Tehran may have passed naval combat expertise onto proxy forces in the region.

Following the re-imposition of US sanctions, a senior Iranian maritime official said Iran had adopted new tactics and new destinations in shipping its oil exports.

Iranian crude oil exports have fallen in May to 500,000 barrels per day or lower, according to tanker data and industry sources, after the United States tightened the screws on Iran's main source of income.

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Agencies
April 8,2020

Riyadh, Apr 8: Saudi Arabia's health minister has warned the number of COVID-19 cases in the country could reach 200,000 in coming weeks.

As of Tuesday, the kingdom registered a total of 2,795 coronavirus infections, including 41 deaths.

"Within the next few weeks, studies predict the number of infections will range from a minimum of 10,000 to a maximum of 200,000," health minister Tawfiq al-Rabiah was cited as saying by the official Saudi Press Agency on Tuesday.

On Monday, Saudi Arabia extended the duration of daily curfews in four governorates and five cities to 24 hours.

The kingdom imposed round-the-clock lockdowns in the capital Riyadh, Tabuk, Dammam, Dhahran and Hofuf, the interior ministry said on Twitter.

The same measures were also imposed on the governorates of Jeddah, Taif, Qatif and Khobar, the ministry added.

Authorities had already sealed off the holy cities of Mecca and Medina, barring people from entering and exiting as well as prohibiting movement between all provinces.

Last month, Saudi Arabia suspended the year-round "Umrah" pilgrimage over fears of the coronavirus pandemic spreading to Islam's holiest cities.

Authorities are yet to announce whether they will proceed with this year's Hajj, scheduled for the end of July. Last week, authorities urged Muslims to temporarily defer preparations for the annual pilgrimage.

Last year, about 2.5 million people travelled to Saudi Arabia to take part in the Hajj, which all Muslims must perform at least once in their lives if able.

The Arab world's biggest economy has also closed down cinemas, malls and restaurants and halted flights as it steps up efforts to contain the virus.

King Salman has warned of a "more difficult" fight ahead against the virus, as the kingdom faces the economic double blow of virus-led shutdowns and crashing oil prices

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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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News Network
April 20,2020

Sharjah, Apr 20: Air Arabia announced on Monday it will operate new repatriation flights from four cities in India to Sharjah carrying UAE nationals back home.

The special flights will operate from Mumbai and Delhi to Sharjah International Airport on April 20 while special flights will operate from Kochi and Hyderabad to Sharjah International Airport on April 22.

Air Arabia remains committed to bring stranded citizens back home as well as supporting requests to operate repatriation flights and is working closely with UAE authorities in this regard, the airline said.

Air Arabia announced earlier that it’s operating a mix of repatriation flights as well as cargo flights during the month of April to multiple destinations.

Further information about the repatriation and cargo flights is available on the website or can be obtained by contacting the Air Arabia call centre on 06 5580000 or respective travel agent.

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