Effects of GCC Blockade on Qatar's Economy

This economics assignment explores the effects of the GCC blockade on Qatar's economy, including the initial impacts on trade and the banking sector, lack of cooperation among GCC members, signs of improvement in recent months, and the increase in defense budget. The conclusion emphasizes the need for resolution for the sake of overall performance of Gulf nations. References are provided.

EFFECTS OF GCC BLOCKADE
ON QATAR’S ECONOMY
Economics assignment

The background
Imposition of blockade on
Qatar on June 2017
Members of GCC alleged
association of Qatar with
terrorist group and Iran

InitialImpacts on Qatar and others
Qatar Experienced severe
damage in terms of trade
with the members of GCC.
Banking sector
deteriorated all across
Gulf due to reduction in
foreign deposits.

Lack of cooperation among GCC members
Recently lack of
cooperation have been
seen among the
members due to the
longevity of the
blockade.
Members have
differed in opinion
regarding whether
blockade is being use
beyond its usefulness.

Sign of improvement in all the economies
including Qatar The economies have shown
signs of improvement first
time after the imposition in
recent months.
Government policy of Saudi
Arabia and UAE has boosted
the banking in gulf nations.
Policies of Qatar has also
increased deposit from foreign
Claims of credit over the
improvement spurred fresh
controversy.

Defense Budget is now all time high
The recent overall
defense budget of
gulf nation has been
at the historical high.
Not favorable for
further economic
improvement and
resolution of the issue

Conclusion Issues needs to be
solved for the sake
of overall
performance of Gulf
nations.
Further
development has
been inclement for
resolution and
responsible action is
desired.

Reference
Alkaabi, I., & Soliman, A. (2017). Qatar as Full Island Overnight: Psychological
and Social Consequences of Blockade as Reflected in the Social Media. The
Arab World Geographer, 20(2-3), 130-141.
Collins, G. (2018). Anti-Qatar Embargo Grinds Toward Strategic Failure. Issue
Brief, 1.
Lambert, L. A., & Hashim, H. B. (2017). A Century of Saudi-Qatari Food
Insecurity: Paradigmatic Shifts in the Geopolitics, Economics and Sustainability
of Gulf States Animal Agriculture. The Arab World Geographer, 20(4), 261-281.
Naheem, M. A. (2017). The dramatic rift and crisis between Qatar and the Gulf
Cooperation Council (GCC) of June 2017. International Journal of Disclosure and
Governance, 14(4), 265-277.
Pinto, V. C. (2018). A rising economic agenda: assessing current Brazil–GCC
relations. In External Powers and the Gulf Monarchies (pp. 102-117). Routledge.
Ulrichsen, K. C. (2018). Lessons and Legacies of the Blockade of Qatar. Insight
Turkey, 20(2), 11-20.
Wahyuni, S., 2018. The Impact of the GCC Boycott On Qatar Foreign
Policy. Transformasi Global, 4(2).