Four major middle east countries Saudi Arabia, Bahrain, Egypt and the United Arab Emirates have cut diplomatic
ties with Qatar over acquisition of supporting terrorism. Qatar has however denied the allegations and calls
the decision by the gulf nations “unjustified” and have “no basis in fact”.
The reason for the escalation of tension is due to the recent hack of Qatar’s state-run news agency. In which
it has posted statements reportedly made by Qatar’s Emir Sheikh Tamim bin Hamad Al Thani about Iran, US
President Trump and Israel. The Qatar government has said its been targeted by hostile media campaign and the claims are completely false. The Saudi government news agency claim that the reports are completely true. The country has given the
Qatar citizens 48 hours to leave Saudi Arabia and also banned Saudi citizen traveling to Qatar. Bahrain has asked Qatar diplomats to leave the country.
The rift between the Arab countries has had an impact on the Oil market. Qatar is a major player in Natural gas, it is thee world’s largest exporter of liquefied natural gas.
Several Airlines have decided to suspend flights to and from Qatar. This could lead to a severe disruption of flights to Australia and Asia.