Gulf investments: A sovereign right impervious to critices
Do critics have the right to question the Gulf states' investments in thriving global economies? What truly drives these criticisms?
The complex interplay of economic and political dynamics reveals a clear truth: such critiques often lack objective grounding, rooted instead in dubious political or ideological motives, tinged with envy and resentment toward the Gulf's remarkable achievements.
Statistics and historical data confirm that, since their founding, Gulf states have pursued a balanced strategy for managing their wealth. They blend domestic development, generous foreign aid, and strategic investments in stable, advanced economies. This thoughtful approach has proven successful over decades, enabling Gulf states to preserve and grow their wealth for future generations while setting a global standard for generosity and support for those in need.
An unbiased observer can see that critics who brand Gulf investments in robust global economies as 'plunder' or 'waste' often hail from corrupt authoritarian regimes, terror groups, or factions pushing extremist ideologies hostile to prosperity and stability. These detractors deliberately ignore the Gulf states' sovereign right to manage their wealth and investments in line with their national interests.
History clearly documents the Gulf's generosity, with hundreds of billions of dollars in aid extended to Arab, Islamic, and developing countries over decades.
For example, Saudi Arabia's aid from 1975 to 2024 totaledapproximately 498.54 billion riyals (132.94 billion USD). From 1976 to 1987, its international development aid reached 49 billion USD, second only to the United States.
The United Arab Emirates, meanwhile, has consistently surpassed the United Nations' goal of allocating 0.7% of gross national income to official development assistance, reaching 1.17% in 2014. In several years, the UAE exceeded this target, earning acclaim in reports from the OECD's Development Assistance Committee as the top donor relative to its economy's size. The UAE's deep commitment to humanitarian and developmental responsibilities has been driven by a vision that sees fostering progress in developing countries as a foundation for global stability, not just a diplomatic gesture.
When viewed with clarity and fairness, it is evident that Gulf states have never leveraged their aid to exert political pressure or meddle in the affairs of recipient countries. Their assistance springs from genuine humanitarian, moral, and religious values, setting it apart from the often conditional aid of some major powers, which is typically tied to political or economic agendas.
The Gulf's decision to channel financial surpluses into strong global economies, notably the United States, is not impulsive but a carefully crafted strategy grounded in a deep understanding of global markets and the need for secure, profitable investments.
The U.S. economy, accounting for over 40% of global investments, is a natural choice for countries with surplus funds aiming to maximize returns while minimizing risks. Its vast scale, relative stability, and diverse sectors offer a safe and dynamic investment, unlike the volatility of emerging or unstable markets.
Gulf investments in the U.S. serve not only economic purposes but also strategic ones, safeguarding political and security interests. Given their geopolitical position and oil wealth, Gulf states face complex security and political challenges, requiring powerful allies to provide protection and support against regional threats. Investments in economies like the U.S. strengthen strategic partnerships, creating shared interests that bolster regional stability and security.
Advanced economies attract Gulf investments due to their political and economic stability, robust legal frameworks, diverse opportunities, technological innovation, and ease of market entry and exit.
Calling Gulf investments in thriving global economies 'plunder' is a misguided and misleading label, betraying a lack of understanding of global economic dynamics and international investment principles.
Investment is a mutually beneficial exchange, not exploitation. Gulf states gain financial returns and strategic benefits, while host economies benefit from capital inflows that fund projects, create jobs, and fuel economic growth.
Since their inception, Gulf states have embraced a governance model built on wisdom, transparency, and long-term planning. Recognizing the finite nature of oil wealth, they understood early on that over-reliance on it threatens future generations.
Their strategy hinges on three pillars: domestic development, foreign aid, and global market investments.
Openness and coexistence define Gulf societies, setting them apart from those under authoritarian regimes or extremist influence. These states have fostered inclusive, tolerant communities where diverse cultures, religions, and ethnicities thrive in mutual respect and cooperation. Millions of expatriates from around the world live and work in the Gulf with freedom and dignity, practicing their religious and cultural traditions without restriction or harassment.
To be sure, Gulf investments in strong global economies come from a place of prudent wealth management and a forward-thinking vision to ensure a prosperous, sustainable future for generations to come. Critics who challenge these investments lack credible evidence or rigorous economic analysis, driven instead by questionable political and ideological motives, revealing envy and resentment toward the Gulf region's success in wisely stewarding its wealth and investments.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arab News
5 hours ago
- Arab News
Pakistan urges IAEA to take clear position on Israel's strikes on Iranian nuclear sites
ISLAMABAD: Pakistan has called on the International Atomic Energy Agency (IAEA) to clearly state its legal position on last week's Israeli strikes targeting nuclear facilities in Iran while highlighting their grave implications for regional and international security. The call came during an emergency meeting of the United Nations Security Council on Friday, after Israel launched airstrikes about a week ago that killed several senior Iranian military commanders and nuclear scientists, triggering a direct military confrontation between the two countries. Israel's attacks came as Tehran was engaged in negotiations with the United States to reach a nuclear agreement. Iran has repeatedly stated it has no intention of building nuclear weapons but will not surrender its right to a peaceful nuclear program or halt uranium enrichment activities. Israel, however, contends that Iran is close to developing a bomb. The United States has backed Israel in the conflict and called for Iran's 'complete surrender,' insisting Tehran must not be allowed to obtain a nuclear weapon. Pakistan, in its remarks to the Council, reiterated its condemnation of Israel's 'unjustified and illegitimate aggression,' describing the attacks on nuclear facilities as 'deeply troubling.' 'It is the responsibility of the IAEA to clearly pronounce its legal position with regard to such attacks as well as to report to its Board of Governors and to the Security Council about the legal, safeguards, safety and security implications of such attacks,' Pakistan's Ambassador to the UN, Asim Iftikhar Ahmad, told the Council. 'The Agency should fulfil that responsibility,' he added. The Pakistani envoy also denounced Israel's widening war in the Middle East, including in Gaza, Syria, Lebanon and Yemen. He maintained that Tel Aviv's attack on Iran had further inflamed an already volatile regional situation. Ahmad also said the UN Security Council must act decisively to halt Israel's military actions and prevent the situation from spiraling further. He urged the Council to categorically reject Israel's actions, promote de-escalation and support a comprehensive ceasefire. The Pakistani envoy further called on the Council to denounce the targeting of nuclear facilities safeguarded by the IAEA, pointing out that diplomacy must remain central to resolving the Iran-Israel crisis. 'Dialogue and diplomacy in full adherence to the principles of international law and the UN Charter remain the only viable path to resolving the crisis,' he said. 'This Council must unite in support of the Secretary-General's call to end the fighting and return to dialogue and negotiations.' Ahmad also stressed that the IAEA must be allowed to continue its verification work 'unimpeded,' and should operate in an 'impartial and apolitical manner' to ensure credible and objective reporting on matters under its mandate.
Saudi Gazette
a day ago
- Saudi Gazette
Israelis face daily fears amid missile attacks as conflict with Iran escalates
TEL AVIV — On Thursday, Jimmy, a volunteer paramedic and one of the first respondents on site during the 7 October Hamas attack, rushed to action when a series of sirens sounded across Holon, a city south of Tel Aviv. "When the sirens sound, first respondents have to get into their vehicles and wait for the calls from the control hub to start coming in," Jimmy, a 36-year-old Arab-Israeli, who grew up in Jordan and East Jerusalem, told Euronews. "As we headed to the impacted site, I realised that we were nearing my building. When we got there, I discovered that yes — it was my building which had been destroyed by a missile." "I had only moved in the day before, because the apartment I had been living in for four years in Revohot — south of Tel Aviv — was destroyed by an Iranian missile earlier this week," explained Jimmy. "All the remaining clothes I own are ruined, as is the few bits of furniture I had left." "I've been through — and seen — a lot in the last few years, but with time I have learned to disconnect my feelings, because otherwise I would just sit and cry at this never-ending war," said Jimmy, who runs a delivery business, alongside his volunteering activities. "The hardest part for me is that I have an eight-month-old son who I haven't seen for months now, because my wife and he are in Eilat, in the south of Israel, where it's much safer than here." "The thing is, I have to keep working when I can, and I also feel that I am needed as a volunteer," added Jimmy. Although the country has been on standby since Wednesday — the sixth day of Israel and Iran's open conflict — restrictions on civilians were eased, and workplace activities, as well as small gatherings, were allowed to resume. Despite this, schools remain shut and the streets are empty. For many in Israel, raising children in this climate is tough. "I wouldn't be so worried if I didn't have her", 30-year-old Emma from the US told Euronews. She lives in Jaffa in southern Tel Aviv, with her husband and their 10-month-old son. "We don't have a bomb shelter in our building because we live in an Arab neighborhood, my husband is an Arab Israeli. Many of the affordable apartments in Israel are not equipped, so at night we take our baby and go sleep at my mother-in-law's house," Emma told Euronews. For Emma, there is a clear reason that Israel finds itself in this situation. "I think my morale is better than most Israelis' and that's because I don't believe that what the government is doing is right — so I understand why we are in this position." Nitzan, 34, is a tech entrepreneur and father-to-be who usually resides in Tel Aviv. But since Israel's escalating conflict with Iran, he and his wife have relocated to Haifa, in the north of the country, to stay with her family. 'The noises we are hearing from the shelter are very different to those we hear when there are missiles fired from Hamas or by Hezbollah. Even with the Iron Dome, it sounds like a truck is going through a tunnel right over your head," Nitzan told Euronews. Many in Israel fear being caught out by a missile when they are out doing essential things like heading to the shops or driving to pick up supplies, as the conflict remains particularly hard on civilians. According to health officials, some 24 Israelis were killed by Iranian rocket salvos in the first week of the conflict, while more than 2,400 have received medical treatment for injuries. All were civilians. Meanwhile, Iranian rights groups based abroad have reported that at least 657 people were killed in Iran by Thursday. "If you are out, the instructions are to just lay on the ground with your hands above your head — but I don't think that really does much. On the evening of Iran's first attack, we were driving to Haifa and we saw the sky light up with so many missiles." "We weren't sure whether to stop because there are alarms all over the country, and you don't know if it's for the area. If it's safer to go on, or to stop on the side of the road," added Nitzan. As a business owner, Nitzan manages his team remotely, despite workplace restrictions having been lifted. "I run a business of 12 people. Every morning I get worried calls from my colleagues, who tell me they have children who are scared because of a nearby missile or something, it's hard for them to focus", explained Nitzan. "I feel misunderstood by people living in Europe. Israel escalated the conflict because Iran has repeatedly stated they want to wipe Israel off the face of the Earth." "However, the success of this open conflict will of course be measured by whether this fighting between Israel and Iran continues long-term", concluded Nitzan. Oriella, a teacher who lives in Tel Aviv, told Euronews that she feels "exhausted." "There are no nights, your head is filled with worries and insecurities, because you are mentally exhausted, because we have been at war for years," she said. "In my apartment block we have a shelter, people share small talk, but they don't really want to speak — they are tired of having to converse in the middle of the night. They want to sleep. The children in the shelter are either chatting or crying", said Oriella, 59. "I don't like wars, I believe in diplomatic solutions — I think that is what we should be working towards with Iran. People are experiencing so much suffering and for what? To have wars again, and again, and again," sighed Oriella. 35-year-old Zohran lives in Tel Aviv and works in the nightlife industry. However, his work has been placed on hold, and he is now waiting to see whether he will receive any financial compensation from the government, he explained. "I would say I am used to having my life on hold", Zohran told Euronews. Not having a shelter in his building is a major worry, he added. "Two minutes away from my flat there is an underground parking lot. So I run there, with many other people." "Although I am a strong opponent of Netanyahu, with this war against Iran's regime, most of us are with the government. This is a war with a country, where the leaders say they want to destroy us", concluded Zohran. — Euronews
Saudi Gazette
a day ago
- Saudi Gazette
Europe partly to blame for Iran-Israel conflict, Iran's UN ambassador says
GENEVA — Iran's ambassador and permanent representative to the United Nations in Geneva has said diplomacy still have a chance if Israel stops its strikes but warned that Iran would target the United States if it chooses to come into the conflict. "We believe that the minimum thing Europeans can do is to very explicitly condemn Israel and stop their support for Israel," Ali Bahraini said in an interview for Euronews. Bahraini said Europe's reluctance to condemn Israel's aggression and its inability to keep the nuclear deal (JCPOA) afloat have all contributed to the current intensifying hostilities between Iran and Israel, now in their seventh day. "The impunity which has been given to Israel is something which encourages that entity to continue committing new crimes. And this impunity is because of inaction by Europeans. By the United States and the Security Council," Bahraini explained. "We request and we ask Europe to push Israel to stop the aggression. Europe should play its responsibility to put an end to the impunity that Israel is enjoying. Europe should stop helping or assisting Israel financially, militarily, or by intelligence. And Europe should play a strong role in explaining for the United States and for Israel that Iranian nuclear technology is not something which they can destroy." Bahraini said that what he called Europe's "failures" would be presented to the foreign ministers of France, Germany and the United Kingdom – known collectively as the E3 – at talks in Geneva on are meeting in Switzerland to discuss Iran's nuclear program, which is at the heart of the current conflict with was previously subject to an international nuclear deal known as the Joint Comprehensive Plan of Action (JCPOA), which saw the country receive sanctions relief in exchange for strict limits on its nuclear his first term in office, President Donald Trump withdrew the US from the pact in 2018, slamming it as "the worst deal ever negotiated" and slapping new sanctions on then, the other signatories to the deal have scrambled to keep Iran in compliance, but Tehran considers the deal void and has continued with uranium enrichment, which at current levels sits at 60%.That's still technically below the weapons-grade levels of 90%, but still far above the 3.67% permitted under the maintains that its nuclear program is peaceful and purely for civilian purposes. Israel, on the other hand, says Tehran is working towards the construction of a nuclear weapon, which could be used against told Euronews that there is still a window for diplomacy to reach a new nuclear deal, but first, the fighting with Israel has to stop."For our people and for our country, now the first priority is to stop aggression, to stop attacks," he told Euronews."I personally cannot imagine there would be a strong probability at the moment for a kind of diplomatic idea or initiative because for us it would be inappropriate if we think or talk at the moment about anything rather than stopping the aggressors," Bahraini pointed to the daily exchanges of missile and drone strikes that have taken place since last Friday, the conflict has also led to an escalating war of words, particularly between Trump and some senior figures in asked by reporters on Wednesday whether he intended to bring the US military into the conflict to strike Iran alongside Israel, Trump said, "I may do it, I may not do it. Nobody knows what I'm going to do."While Trump appeared to avoid a direct commitment to military action, Israel's Prime Minister Benjamin Netanyahu interpreted his comments as a show of support and, in a television address later on Wednesday evening, thanked Trump for "standing by us".Into that mix came Iran's mission to the United Nations, which said no officials from the country would "grovel at the gates of the White House" to reach a nuclear deal with the United said it was clear to him that "the United States has been complicit to what Israel is doing now."He said Iran would respond very firmly if the United States "crosses the red lines" and said that strikes on the country had not been ruled out."Our military forces are monitoring the situation. It is their domain to decide how to react," he said."What can I tell you for sure is that our military forces have a strong dominance on the situation, they have a very precise assessment and calculation about the movements of the United States. And they know where the United States should be attacked," Bahraini also said that Iran has not requested any international support and is protecting itself funds a string of militant groups around the region, including Hamas in Gaza, Hezbollah in Lebanon, and the Houthis in Yemen, and while they all have different aims and objectives, often the ideology that binds them is their anti-Israel fighting with Israel broke out last week, there were concerns that Iran might demand these groups step up and fight alongside it, in return for the funding and training they have received from far, that has not happened."At this stage, we are confident that we can defeat Israel independently and we can stop aggression without needing any request of help by anybody," Bahraini explained."I personally believe that Israel is not an entity with which somebody can negotiate. The thing we have to do is to stop aggression, and we have to show Israel that it is not able to cross the red lines against Iran.""Israel is accustomed to committing crimes, and we think that we have to stop it somewhere. We have to tell Israel that there is a red line," he concluded. — Euronews
