The GCC countries diplomatic approaches and its impact on economic development : a comparative study of the UAE, Saudi Arabia, Qatar, and Kuwait

Abstract

This research study examines the economic and diplomatic strategies of GCC countries (Kuwait, Qatar, UAE, and Saudi Arabia). It aims to analyze strengths, weaknesses, and challenges faced, as well as gaps in existing literature. Research questions focus on economic diplomacy, strategies employed by GCC countries, and gaps in current literature. The study begins with an introduction to the GCC countries and member states, followed by research objectives, scope, and limitations. A literature review explores economic strategies and diplomatic approaches, highlighting gaps in comparative studies, diplomatic strategies, international relations, regional cooperation, and external challenges. The analysis covers economic diversification, investments, trade facilitation, and diplomatic collaborations. The results conclude that Bahrain and the UAE appear to be the most progressive in reducing their reliance on oil, with Bahrain establishing itself as a financial center and the UAE diversifying into tourism, finance, and transportation. Kuwait remains reliant on merchandise, while Oman seeks to move away from oil and invest in infrastructure and tourism. Saudi Arabia focuses on the production sector and aims to become a regional hub, while Qatar is focused on hydrocarbon exploration and has made progress in tourism. Key preconditions for diversification include creating a favorable investment environment, open markets, and privatization. Improving employability and addressing governance and transparency issues are important for further diversification. The GCC countries have made progress in economic integration and have a significant role in the global scene. However, challenges such as unemployment and governance constraints persist.