The Gulf states recently signed a ‘solidarity and stability’ deal at the 41st Gulf Cooperation Council (GCC) summit, which was held in Al Ula, Saudi Arabia. This development comes after years of strained relations and economic sanctions on some members.
Historical Context: The Genesis of Sanctions
In June 2017, Saudi Arabia, together with its allies the United Arab Emirates (UAE), Bahrain, and Egypt, severed ties with Qatar, imposing a naval, air and land blockade. Qatar was accused of being excessively close to Iran and supporting radical Islamist groups. The country was alleged to fund and support terrorism through its affiliation with Iran and the Muslim Brotherhood, a Sunni Islamist political group outlawed by both Saudi Arabia and the UAE.
The Solidarity and Stability Deal
Members of the GCC signed a deal in AlUla, Saudi Arabia, effectively lifting all sanctions on Qatar. The deal will allow the reopening of land, sea and air borders between these nations. Members of the GCC include Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE. The primary objective behind this deal is to unite their efforts to promote the Gulf region and confront shared challenges, notably the threats posed by Iran’s nuclear and ballistic missile programme.
Understanding the Gulf Cooperation Council
The Gulf Cooperation Council (GCC) is a political, economic, social, and regional organisation established in 1981. The GCC consists of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and UAE. These countries share special relations, geographic proximity, similar political systems based on Islamic beliefs, joint destiny and common objectives. The GCC’s structure includes the Supreme Council, the Ministerial Council and the Secretariat General, which is located in Riyadh, Saudi Arabia.
India and The Gulf Region: An Evolving Friendship
India’s economic and political relationship with the GCC has improved significantly in recent years. This is evident from over nine million workforce contributing to the bilateral trade of around USD 121 billion and remittances of USD 49 billion. GCC suppliers account for approximately 34% of India’s crude imports.
Although India has a friendly relationship with Iran, the relationship faces complications due to the US’s politico-economic pressures. In May 2018, the US abandoned the nuclear deal (Joint Comprehensive Plan of Action) and reinstated economic sanctions against Iran.
India-Qatar Relations
Recent events saw India’s External Affairs Minister meet the top leaders of Qatar to discuss strengthening economic and security cooperation. Despite the sanctions on Qatar, India maintained cordial relations with the oil-rich nation.
India’s Role in the Region
India prioritises peace and regional stability over power projection, thus avoiding involvement in local or regional disputes in the Gulf region. The region is one of India’s top trading partners, marked by growing volumes of energy imports into India. Indian migrant workers in the region stand at more than 7 million. Political engagement between India and its Gulf partners is expanding, evidenced by increased security cooperation, especially in counter-terrorism and tentative steps towards defence cooperation.
Moving Forward
The Gulf region has historical, political, economic, strategic and cultural significance for India. The India-GCC Free Trade Agreement (FTA) can further enhance these relations. It’s assessed that while Saudi Arabia’s power is declining, UAE, Qatar and Iran are emerging as regional leaders. Oman and Iraq will have to strive to retain their sovereign identities. For India, regional stability secured through cooperative security is more beneficial than competitive security options.
