Emilie Rutledge (al Jazeera): Is Iraq war fuelling GCC's economic boom?

[Jack Rabbit]

From al Jazeera
Dated Sunday August 14

Is Iraq war fuelling GCC's economic boom?
By Emilie Rutledge


Since the US-led invasion and occupation of Iraq, the price of oil has steadily climbed upwards. A barrel of oil today costs twice as much as it did on the eve of combat, back in March 2003.

At the same time all six Gulf Cooperation Council (GCC) states - Bahrain, Kuwait, Oman, Qatar, the United Arab Emirates, and Saudi Arabia - have experienced levels of economic growth not witnessed since the 1970’s . . . .

Some in Washington had hoped that by now Iraqi oil would be flooding the market, rendering OPEC obsolete and acting as a counterbalance to Saudi Arabian influence.

This has not happened, partly because Iraq's pipeline infrastructure has been sabotaged no less than 257 times since 2003 but also because its oil infrastructure is in a dilapidated state.

Read more.

Emilie Rutledge is an economist who is currently based at the Gulf Research Center in Dubai.

[bemildred]

1. Seems obvious. "It's an ill wind" and all that.

On the other hand, I expect they are all a bit nervous about the future.

[Spiffarino]

2. If these people have anything to say...

...there won't be much of a future at all for OPEC:

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