The Qatar Rift Is the Middle East’s ‘Trump Effect’ in Action

The U.S. President has emboldened Saudi Arabia to forcefully reassert leadership in the region.

Earlier this week, an alliance of Arab countries took the dramatic and unprecedented step of cutting all diplomatic ties with the small Persian Gulf state of Qatar.

Saudi Arabia, Egypt, the United Arab Emirates (UAE), and Bahrain say they made this move because Qatar’s government provides material support for terrorist groups like Islamic State and al Qaeda that threaten security of the entire region. Qatar flatly denies this claim.

The neighbors have done more than dismiss some Qatari diplomats; they’ve severed all relations. The four nations have closed air and sea links, and sent Qatari nationals home. Inside Qatar, which sits on a peninsula off Saudi Arabia in the Persian Gulf, the impact is already being felt. Its stock market fell by more than 7 percent on the first day of trading following the announcement. Shoppers have reportedly flooded supermarkets to grab supplies before shelves empty (the country imports about 40 percent of its food from the Saudis). Over time, growth will fall, inflation will rise, Qatari businesses will suffer, and it will become much harder and more expensive for the Qataris to borrow money. The Qatar World Cup in 2022 may even be at risk.

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