Oil and Regional Developments in the Gulf

A glut in world oil supplies and financial crises in Asia spell reduced revenues for Gulf producers. Yet demands on state budgets are increasingly in step with high population growth. A rethinking of priorities is probable. On the regional security front, a system devised and policed by the United States to contain both Iraq and Iran has been overtaken by events and is set for change. A prevalent view in the region is that Washington has overplayed its hand. Years of sanctions could turn Iraq into a breeding-ground for extremism. Iran has resisted isolation and enhanced its local and international relations. This book, produced in association with the Research and Studies Division of the Crown Prince Court in Abu Dhabi, tracks the changes that are under way. It brings together the insights of oil industry experts, policy analysts, and area specialists in a unique initiative to examine why those in the area are increasingly uncomfortable with the language and parameters of the externally imposed security agenda.

Rosemary Hollis is Director of Research at Chatham House, where she was previously Head of the Middle East Programme from 1995 to 2005.