Doha 24 Dec 2017 (QNA)
Al-Raya Qatari newspaper said that Saudi Arabia and the UAE are suffering from severe economic crises due to failed policies, systematic economic planning, lack of surveillance, lavish government spending and corruption.
Al-Raya said that depletion of resources by the highest powers of the two countries and their exhausted economy prompted them to announce the implementation of the so-called Value Added Tax (VAT) as of early January.
The paper added in an article by its Editor in Chief that Saudi Arabia and UAE citizens and residents in the two countries are constantly complaining of low wages, rising prices and withholding bonuses and promotions, and are surprised by the greed of the authorities that impose more taxes at this particular time when they go through miserable economic and living conditions.
It pointed out that Saudi Arabia and the UAE are oil-exporting countries, and Riyadh in particular is one of OPEC’s largest oil exporters, but unfortunately, its economy is deteriorating, especially recently due to mismanagement, poor economic planning and weak financial policies.
The economic situation in Saudi Arabia and Abu Dhabi has shown weakness, rising costs of services and commodities, especially food consumption, low productivity, losses in the real estate market, calls for austerity, foreign capital flight and the escape of national investments for fear of arrests, confiscations, and compromises that affect princes, businessmen and investors and force them to choose between waiving part of their wealth or arrest.
Al-Raya expressed its regret for the economic shock in two of the richest countries in the world, adding that despite these conditions, adventures and bragging continue to achieve grow at a time when people are hearing about the hollow assurances of building tourist towns and opening cinemas, while ports and economic markets are deteriorating and major oil companies are being privatized and sold.
The two countries, the paper said, publicly abandon our Islamic and Gulf values and raise the banner of normalization with the Israeli enemy at the expense of the principles, sanctities and central issues of the nation.
The daily said that observers of the economic conditions in Saudi Arabia and Abu Dhabi and reports of specialized international institutions, funds and banks excluded the return to the right path in light of the economic and financial chaos experienced by the two countries and the political, security and social crises, as the value of public debt in Saudi Arabia reached more than $100 billion.
Al-Raya concluded that the Gulf crisis triggered by Riyadh and Abu Dhabi has cost them a lot economically, which means that the two countries are likely to be aggravated by a severe economic crisis, resulting in social crises and popular unpopularity.