US, Saudi Arabia play down rift after King Salman pulls out of Obama summit

May 12, 2015

Washington, May 12: The White House and Saudi Arabia scrambled to quell talk of a diplomatic rift on Monday, after King Salman pulled out of a summit with President Barack Obama at the eleventh hour.

Obama summitSenior US and Saudi officials appeared in public to insist the Gulf royal's decision was not a snub nor part of a deeper crisis in never-easy ties that date back decades.

Obama had invited six Gulf leaders to the presidential retreat, amid suspicions that Washington is no longer committed to their security and is not doing enough to stop Iran's destabilizing actions across the region.

Only two leaders, from Qatar and Kuwait, are now slated to attend.

The US president has warned the deeply conservative monarchies that they must reform, and has launched nuclear talks with their arch-foe Iran.

With just days before Wednesday's meeting at the White House and Thursday's gathering at Camp David, Riyadh said it would instead send Crown Prince Mohammed bin Nayef and the king's influential son Mohammed bin Salman.

"This is not related in any way, shape or form to any disagreement between the two countries," said Saudi Foreign Minister Adel al-Jubeir, saying the king would stay at home to deal with unrest in Yemen.

"I think this idea that this is a snub because the king did not attend is really off base. This is an extremely high-level delegation. It has absolutely the right people to represent the kingdom."

Jubeir also dismissed suggestions that King Salman had been forced to cancel the visit due to long-rumored ill health.

"The king's health is excellent, thank God," he said.

The White House, meanwhile, announced that Obama and Salman had spoken by telephone, as the US too tried to downplay differences.

Salman called Obama to "express his regret at not being able to travel to Washington," the White House said.

"The two leaders emphasized the strength of the two countries' partnership, based on their shared interest and commitment to the stability and prosperity of the region."

White House spokesman Josh Earnest rejected claims Riyadh was trying to send a message.

"If so, that message was not received," he said. "The travel plans are completely unrelated to the agenda that's planned for Camp David."

'We see Iran's hand'

Beneath the surface, however, there is deep unease at what US allies perceive as Washington's disengagement from the region under Obama's administration.

There is also worry that a nuclear deal with Iran could unfreeze tens of billions of dollars that Tehran could use to buy weapons or augment support for proxy groups.

"Underlying all of this is how do we confront Iran's interference in the affairs of the countries of the region," said Jubeir.

"We see Iran's hand in Lebanon, in Syria, in Iraq. We see Iran's hand in Yemen.

"We see Iran facilitating terrorist organizations, so the challenge is how do we collectively in the GCC and the US coordinate our efforts."

Some Gulf states had pressed for the summit to lead to a written guarantee that the US would come to their defense, something American officials rebuffed.

"That's something we told them weeks ago was not possible," said National Security Council coordinator for the Middle East, Robert Malley.

"I think whether they were disappointed or not, they got it, they understood that."

Gulf nations had also asked for access to high-tech weapons like the F-35 stealth fighter jet.

But instead, the summit is likely to result in more modest commitments to joint maritime security, a promise to study regional ballistic missile defense and a review to speed up weapons transfers.

The Saudis "felt there was no substance to what had been proposed," said Bruce Riedel, a long-time White House and intelligence operative now with the Brookings Institution.

Lori Plotkin Boghardt, a former CIA analyst now at the Washington Institute for Near East Policy, agreed that "it's hard not to look at this as a snub."

But experts said that in Crown Prince Nayef and Salman's son Deputy Crown Prince Mohammed -- the minister of defense who is seen as a possible ruler and often known as "MbS" -- the two biggest players in Saudi Arabia would be at the summit.

"This is a great opportunity for the Americans to get to know MbS," said Plotkin Boghardt.

Nayef is a "known quantity in Washington but MbS is still a mystery," she added.

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News Network
May 18,2020

Abu Dhabi, May 18: Bollywood superstar Salman Khan has recorded a special message for Indian expats in the UAE as the country fights the coronavirus pandemic.

Khan - one of the biggest stars of Bollywood for decades - enjoys a large fan following in the Gulf, which is why Abu Dhabi roped in the actor to record a special video message for expats, urging them to cooperate with authorities in the capital and the country as they carry out sanitisation and testing programmes.

In the video, tweeted by the Abu Dhabi Media Office on Sunday night, the superstar appeals to Indians in Abu Dhabi to become heroes by staying home (stepping out for essential work/errands only), following precautionary measures and simply 'do the right thing' by getting tested if they have any Covid-19-related symptoms.

Khan, who has shot his recent super hit films (Race 3) in the capital, assured expats that Abu Dhabi authorities will not leave the community in these challenging times as it is a hospitable city who takes care of all residents.

"Following preventive measures also protects your family from the virus - so do the right thing as heroes do," Khan concludes.

The second phase of Abu Dhabi's sanitisation and testing in labour areas is underway, which started on May 16. Special testing facilities have been set up in the city for this purpose that test thousands of workers everyday.

As of May 17, UAE has confirmed over 23,000 cases along with over 8,000 recoveries and 220 deaths.

The country recently made a breakthrough in treating Covid-19 by using stem cells to help with the recovery.

The UAE leadership has thanked citizens and residents for their cooperation and assured that the country will take care of everyone in the country - with food and medicines being the red line, and that there will be no shortage of either during the crisis. Stimulus packages have been announced to help businesses stay afloat.

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News Network
May 7,2020

Dubai, May 7: Saudi Arabia will emerge as the victor of the oil price war that sent global crude markets into a spin last month, according to two experts in the energy industry.

Jason Bordoff, professor and founding director of the Center for Global Energy policy at New York’s Columbia University, said: “While 2020 will be remembered as a year of carnage for oil nations, at least one will most likely emerge from the pandemic stronger, both economically and geopolitically: Saudi Arabia.”

Writing in the American publication Foreign Policy, Bordoff said that the Kingdom’s finances can weather the storm from lower oil prices as a result of the drastically reduced demand for oil in economies under pandemic lockdowns, and that it will end up with higher oil revenues and a bigger share of the global market once it stabilizes.

Bordoff’s view was reinforced by Sir Mark Moody-Stuart, former chairman of Royal Dutch Shell and one of the longest-standing directors of Saudi Aramco. In an interview with the Gulf Intelligence energy consultancy, he said that low-cost oil producers such as Saudi Arabia would emerge from the pandemic with increased market share.

“Oil is the only commodity where the lowest-cost producers have contained their production and allowed high-cost producers to benefit. When demand recovers this year or next, we will emerge from it with the lowest-cost producers having increased their market share,” Moody-Stuart said.

Bordfoff said that it would take years for the high-cost American shale industry to recover to pre-pandemic levels of output. “Depending on how long oil demand remains depressed, US oil production is projected to decline from its pre-coronavirus peak of around 13 million barrels per day.

“Shale's heady growth in recent years (with production growing by about 1 million to 1.5 million barrels per day each year) also reflected irrational exuberance in financial markets. Many US companies struggling with uneconomical production only managed to stay afloat with infusions of cheap debt. One quarter of US shale oil production may have been uneconomic even before prices crashed,” he said.

Moody-Stuart said that recent statements about cuts to the Saudi Arabian budget as a result of falling oil revenues were “an important step to wean the population of the Kingdom off an entitlement feeling. It means that everybody is joining in it.”

The former Shell boss said that other big oil companies would follow Shell’s recent decision to cut its dividend for the first time in more than 70 years. But he added that Aramco would stick by its commitment to pay $75 billion of dividends this year.

“When a company looks at its forecasts it looks ahead for one year, so for this year it (the dividend) is fine,” he said.

Bordoff added that Saudi Arabia’s action in cutting oil production in response to the pandemic would improve its global position.

“Saudi Arabia has improved its standing in Washington. Following intense pressure from the White House and powerful senators, the Kingdom’s willingness to oblige by cutting production will reverse some of the damage done when it was blamed for the oil crash after it surged production in March,” he said.

“Only a few weeks ago, the outlook for Saudi Arabia seemed bleak. But looking out a few years, it’s difficult to see the Kingdom in anything other than a strengthened position,” Bordoff said.

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News Network
March 18,2020

Riyadh, Mar 18: Private-sector businesses in Saudi Arabia on Wednesday were ordered to introduce enforced remote working for all employees for 15 days in an attempt to prevent the spread of the coronavirus.

Businesses that require staff to be physically present to ensure they continue to operate — including those in vital or sensitive sectors such as electricity, water and communications — must reduce the number of workers in their offices to the bare minimum. This can be no more than 40 percent of the total number of staff.

In such cases precautionary measures set by the Ministry of Health must be followed. At offices, and staff accommodation, with more than 50 workers, an area at the entrance must be provided where temperatures can be taken and symptoms checked.

Employers must also set up a mechanism for workers to report any symptoms, such as high temperature, coughing or shortness of breath, or contact they have had with infected individuals or people who recently returned from other countries without following proper Ministry of Health quarantine procedures.

Inside offices, a safe amount of space between employees must be maintained at all times. In addition, all health clubs and nurseries provided by employers must close.

Pregnant women and new mothers, people suffering from respiratory diseases, those with immune-system problems or chronic conditions, cancer patients and employees above the age of 55 are to be given 14 days compulsory paid leave, which will not be deducted from their annual entitlement.

Businesses that are excluded from the new measures include pharmacies and supermarkets, and their suppliers. Private-sector organizations that provide services to government agencies must contact them before suspending workplace attendance. Any other business that considers it impossible to operate with only 40 percent of staff in the workplace must submit an exemption request to the authority that supervises it.

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