Pages

Thursday, June 8, 2017

THE FUTILITY OF ISOLATING QATAR, THE WORLD’S RICHEST NATION



Qataris awoke on Monday, 05th June 2017 to a rapid movement of events in which certain Arab states severed diplomatic ties with them and issued consecutive decrees. Seen as a spilling over of simmering discontent with an Arab ally, the action taken by Saudi Arabia, Egypt, the United Arab Emirates and Bahrain, which was followed by others including the Maldives, which has become a key backer of Saudi Arabia, has been aimed at isolating Qatar over allegations of linkages to terrorism. Yet Qatar as a state is not alien to intervention. Ever since the intrusion of Britain in the Bahraini-Qatari War in 1867 and the installation of the Al-Thani family as the rulers of Qatar, the relatively small state has experienced outside intervention and attempts to coerce the country into bidding dictates from elsewhere. 

From its annexation to the Ottoman Empire in 1871, to it becoming a British protectorate in the midst of the First World War in 1916 as the Ottoman Empire collapsed, Qatar has also seen internal royal squabbles. Whilst Sheikh Khalifa bin Hamad Al Thani staged a palace coup in which he seized power from his cousin a year after Qatar received its independence from Britain in 1971, he took part in the first Gulf War in support of America and the attempt to liberate Kuwait from the Iraqi invasion of the time. Seen as pro-Saudi, Sheikh Kahlifa was to lose power to his son, Crown Prince Hamad bin Khalifa Al Thani in 1995.

That year was critical for Qatar’s relations with Saudi Arabia. Making its first shipment of liquid natural gas from the offshore North Field, which is shared with Iran, saw the transformation of Qatar. Although animosity with Iran saw the Saudis take umbrage at Qatar’s action, the country prospered, becoming the richest nation in the world according to per capita income. Since oil was discovered in 1939, the country which had relied on pearls and fishing, now suddenly faced immense wealth, which it was prudent to use effectively. 

After Crown Prince Hamad bin Khalifa become ruler he sought to establish low-level ties with Israel, which were abandoned subsequently, and launched the Al-Jazeera satellite news network which even aired footage of al-Qaida leader Osama bin Laden sparking American criticism, whilst its Arab Spring coverage earned the wrath of Arab leaders. In 2012 he was the first Arab leader to support military intervention in Syria, sparking further outrage among Arab neighbours. Two years later Saudi Arabia, the UAE and Bahrain recalled their ambassadors from Doha following a political rift over Qatar’s tacit support for the Muslim Brotherhood, but returned the envoys eight months later following Kuwaiti mediation pursuant to which Qatar forced members of the Brotherhood out of the country.

The current action seen as a ‘counter revolution’ for Qatar’s role in the recent past, might be justified by some quarters of the Arab world as necessary to tame or chastise an Arab neighbour, but what seems to allude such perceptions is the potential, power and pragmatism with which Qatar has functioned thus far. From a backward port city to its emergence on the global stage as the richest nation, Qatar has earned many allies in the right places. Capable of mingling with the rich and powerful, through heavy investments, Qatar has developed strong bonds of friendship with less forceful nations through the provision of employment for their nationals and further investment. The network built up over the last several decades is today its strongest asset, and perhaps an area some in the Arab world failed to assess.

Whilst providing America with a military base in Al-Udeid at a cost of US$ 1 billion, Qatar invested significantly in real estate in Washington and New York. Qatar injected US $ 2.7 billion into Russia’s state-run Rosneft Oil company. France is the second largest recipient of Qatari investments, which amounted to more than US$ 22 billion in 2016, and Germany has seen Qatar generously support Deutsche Bank and Volkswagen. In Britain, Qatar recently pledged £5 billion in investments over the next three to five years. China has looked to Qatar as a partner in the OBOR project, receives 20% of their LNG from Qatar and are building the 2022 FIFA World Cup stadium. Turkey has signed a military agreement with Qatar, while Canada was to be the next stop for Qatari finances as the head of the Qatar Investment Agency met with Prime Minister Trudeau just last month.

Allies exist across the divide. Despite having a population of just 313, 000 people, Qatar is home to nearly 2.3 million, the majority of which are from India, Nepal, Bangladesh, Philippines, Egypt, Sri Lanka, Syria, Sudan, Indonesia and the list tapers on.  The provision of a livelihood, in addition to investments in these countries has seen the earning of allies, who assist at times of need. Indian External Affairs Minister pointed out that the crisis precipitating in the Arab world was an internal matter of the Gulf countries. Bangladesh and Sri Lanka, among others have refrained from taking sides given the need to cooperate with both Saudi Arabia and Qatar, although the Philippines immediately halted the deployment of its citizens in Qatar.

Qatar exerts immense power, which it refuses to wield in a vulgar manner, choosing instead to tread a path of cooperation with countries across the world. With a sovereign wealth fund worth an estimated US$335 billion, Qataris have thought of the future.  Having planted ‘food farms’ through the acquisition of large swathes of villages overseas, the desert country, has today addressed food security concerns through projects in Sudan and Australia. This economic diversification and agricultural enhancement has pushed Qatar towards greater self-sufficiency.

Thus isolating Qatar would prove futile.

Given the global position, economic capability and financial scope of Qatar, the Foreign Minister, Sheikh Mohammed bin Abdulrahman al-Thani drove the message home, noting that Qatar had ‘been isolated because we are successful and progressive.’ The accusations of terrorism and links to terror networks ring hollow in light of the reality. After all people in glass houses don’t usually throw stones, although they have on this occasion. 

- Awarelogue Editorial