The oil policies of the Gulf Arab Nations

Abstract

At its heart, Arab oil policy is inseparable from Arab economic and social policy. This holds whether we are talking about the Arab nations as a group or each separately. The seven Arab nations covered in this report-Bahrain, Iraq, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates--participate in several organizations focusing on regional cooperation regarding economic development, social programs, and Islamic unity, as well as organizations concerned with oil policies. This report focuses on the oil-related activities of the countries that may reveal the de facto oil policies of the seven Persian Gulf nations. Nevertheless it should be kept in mind that the decision makers participating in the oil policy organizations are also involved with the collaborative efforts of these other organizations. Oil policies of five of the seven Arab nations are expressed within the forums of the Organization of Petroleum Exporting Countries (OPEC) and the Organization of Arab Petroleum Exporting Countries (OAPEC). Only Oman, among the seven, is not a member of either OAPEC or OPEC; Bahrain is a member of OAPEC but not of OPEC. OPEC and OAPEC provide forums for compromise and cooperation among their members. Nevertheless, each member state maintains its own sovereignty and follows its own policies. Each country deviates from the group prescription from time to time, depending upon individual circumstances.