Weekly insights into our crazy world.

Saturday, June 10, 2017

JUNE 10 MAKING SENSE OF THE QATARI CRISIS


JUNE 10 MAKING SENSE OF THE QATARI CRISIS

Seemingly overnight, nine Arab nations have turned on Qatar. They've suspended diplomatic relations and severed all economic ties. Planes are grounded, harbors are silent and people are worried. Why the fuss? Qatar is being called out for supporting terrorism and Iran. As with most complicated international crises, people turn to the DUNER BLOG for answers. Let's get to the mailbox.

Where in world is Qatar? About the size of Maryland, Qatar sticks out like a thumb on the Arabian Peninsula. Surrounded by the Persian Gulf on three sides, it sits on enormous oil and natural gas reserves. The name dates back to ancient Rome, when famed geographer Ptolomy called the land 'Catara.'

Why is Qatar in trouble? For the last decade, the Arab community has accused Qatar of supporting the Muslim Brotherhood. This century-old organization originally supported a pan-Arab state, but has recently wavered toward Islamic fundamentalism. Saudi Arabia and the UAE label them a terrorist organization. However, the straw that broke the camel's back was a recent post by the Qatari Emir Sheikh Tamim al Hamad al Thani. He showed his support of hated economic and religious rival Iran. He called them an 'Islamic Power' and criticized US policies toward Tehran. That's a big "No-no" for a Sunni nation, even if it is true..

What are the hacking allegations? As always these days, any international story must involve Russian hackers. The Emir says he never issued any Pro-Iran statements. He blames...wait for it...Russian hackers for the Fake News. While this seems preposterous, Internet pirates do have a reputation for stirring up trouble and kicking hornet's nests whenever possible. Current congressional hearings in the US Congress are discovering that direct links to anything are not easy to find.


Isn't Qatar rich enough to ride this out? With a per-capita income of $147,000 tiny Qatar is the wealthiest nation on earth. It's also the most reliant on foreign labor. Native Qataris are a minority in their own state, only comprising 12% of the population. These uber-rich people have the fantastic financial reserves will not be rationing food. However, it's the other 88% that is cause for worry. The Pakistani and Bangladeshi guest workers will be hit the hardest.

What are the global impacts? Qatar is an OPEC member, so the embargo has already resulted in a small spike in petroleum prices worldwide. Otherwise, the impacts will be largely symbolic. On one hand, this is yet another move in the endless chess game between Sunni and Shi'ite states in the Persian Gulf. On the other hand, it is one of the few times any Islamic state has acted economically against a terrorist-supporting nation. This is important. Until the Islamic world ends its cultural acceptance of suicide bombings as 'part of life,' the rest of the world will be on constant red alert

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