Russian action in Syria will intensify war in Egypt

Egypt, being in a very difficult geopolitical position, may be the next victim of the Syrian war. The Egyptian army has beens truggling with Islamic terrorists on the Sinai Peninsula for a long time, with he Libyan branch of Islamic State causing problems in the western part of the country. Unfortunately for President Abd al-Fattah as-Sisi, with Russian raids in Syria, Islamic militants are now moving to Libya through Sinai.

Egypt did not want to get involved in the war in Syria or in Iraq, directly or indirectly, trying not to spoil the relations with Saudi Arabia. Egypt shared with Bashar al-Assad the common aim, which is to fight the Islamic insurgency. In fact, the nation is waging a war in the north of Sinai against militant groups loyal to the Islamic State. The worst is yet to come, though. Continue reading →

IMF: Saudi running on empty in five years

Saudi Arabia could burn through its financial assets within five years, as the country grapples with slumping oil prices. The Middle East’s biggest economy is expected to run budget deficits of 21.6 percent in 2015 and 19.4 percent in 2016, according the IMF’s latest regional outlook. Source: Al Jazeera

OPEC Brings Oil Price War Home in Pursuit of Asia’s Cash

Suppliers from the OPEC have long moved in lockstep, raising or lowering prices in tandem. Now, Kuwait is undercutting Saudi Arabia by the most on record and Iraq is also selling its oil more cheaply than the group’s biggest member. Qatar is pricing cargoes at the biggest discount. Source: Bloomberg

Saudi Arabia Said to Delay Contractor Payments After Oil Slump

Saudi Arabia is delaying payments to government contractors as the slump in oil prices pushes the country into a deficit for the first time since 2009, according to three people with knowledge of the matter. Country also said to seek to renegotiate contractors’ pricing. Source: Bloomberg

Iran state TV: Iran won’t allow Saudi Arabia to exclude Iran from regional equations: Zarif

“Security must be provided for all as we all live next to each other in the region,” Iranian Foreign Minister Mohammad Javad Zarif said. “We are not after eliminating Saudi Arabia, and, on the other hand, do not allow Saudi Arabia to eliminate Iran from the region,” he said. Source PressTV

Russia’s Rosneft says Saudi Arabia entered Polish oil market

Saudi Arabia has entered the Polish oil market with supplies via Gdansk, Igor Sechin, the chief executive of Russia’s top oil company Rosneft, told an investor conference in Moscow. Russia should take all possible actions not to lose its market share on the global oil market, Sechin said. Source: Reuters

France signs deals worth $10 bn with Saudi

France on Tuesday announced a series of deals worth 10 billion euros ($11.4 billion) with Saudi Arabia, during a visit by Prime Minister Manuel Valls. The deals include contracts and letters of intent between the two countries whose economic and political bonds have been strengthening. Source: Al Arabiya