Three of four major Gulf economies may review investments in overseas including US: Report
Several Gulf countries are reviewing their overseas investments and financial commitments as they assess the economic pressure caused by the ongoing US-Israeli war against Iran.
According to a report by The Financial Times, the financial strain on Gulf economies could lead to reconsideration of some international investment pledges and contracts.
A Gulf official cited by The Financial Times that the economic pressure may affect various types of international commitments including to the United States made by Gulf countries.
These could reportedly include investment pledges to foreign governments or companies, sports sponsorship deals, contracts with international businesses, and even the sale of existing holdings.
The official said that three of the four major Gulf economies, Saudi Arabia, the United Arab Emirates, Kuwait and Qatar, had discussed the financial pressure being placed on their budgets and economies. However, the official did not identify which three countries were involved in the discussions.
The official said that some Gulf countries have begun internal reviews of their financial commitments and contractual obligations.
“A number of Gulf countries have begun an internal review to determine whether force majeure clauses can be invoked in current contracts, while also reviewing current and future investment commitments in order to alleviate some of the anticipated economic strain from the current war,” the official was quoted as saying by the Financial Times.
“Especially if the war and related expenses continue at the same pace,” the official added.
The official said the review was being carried out as a precautionary measure because several economic sectors have been affected by the conflict.
An adviser to a Gulf government cited by The Financial Times stated that the possibility of an investment review by wealthy Gulf states has already drawn attention from the White House.
Saudi Arabia, the United Arab Emirates and Qatar manage some of the world’s largest sovereign wealth funds and are among the most active investors globally, the report added.
The adviser said these countries had pledged to invest hundreds of billions of dollars in the United States last year after US President Donald Trump visited the region.
Gulf countries are also major backers of global sporting events and have been investing heavily in domestic projects aimed at diversifying their economies and reducing dependence on oil.
Any decision by these countries to reduce or reconsider investments in the United States or other Western countries could increase pressure on the Trump administration to pursue diplomatic efforts to end the war, the adviser reportedly told FT.
According to the report, the conflict has severely affected shipping traffic through the Strait of Hormuz, a key maritime route through which around one-fifth of the world’s oil and gas passes.
Shipping activity in the area has slowed significantly, and at least 10 tankers have been struck in the Gulf.
The war has also affected energy infrastructure in the region. Qatar, which is the world’s second-largest liquefied natural gas producer, declared force majeure earlier this week after it suspended production following a drone attack on its main LNG plant.
In addition, one of Saudi Arabia’s largest oil refineries has been hit during the conflict.
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Mangaluru police flag fake ‘sea breeze marathon’ Instagram campaign, urge public caution
Mangaluru: Police have flagged a fake marathon campaign being widely circulated on Instagram under the name “Sea Breeze Marathon” and warned the public against falling prey to a suspected cyber fraud network.
The purported post, which began circulating on April 3, claims to offer prize money of Rs 2.51 lakh for a 5 km race, Rs 3.5 lakh for a 10 km race, and Rs 5 lakh for a 21 km race. It also urges participants to register in advance. However, officials have clarified that no such marathon has been organised in Mangaluru.
The poster also promises to provide participants with free sports shoes, goodies bags and refreshments, in order to lure people.
Police suspect that the poster is part of a cyber fraud attempt designed to lure users into registering through fraudulent links.
Commissioner Sudheer Kumar Reddy cautioned that registering through such links could lead to mobile phone hacking and financial loss.
The campaign is also being amplified through a viral video featuring songs from popular movies, along with visuals of people participating in marathons, allegedly sourced from existing footage, giving the content a sense of authenticity and misleading people.
When Vartha Bharati conducted a reverse image search, the video was traced back to marathons held in Mumbai, further confirming that the circulating content is not related to any event in Mangaluru.
Speaking to Vartha Bharati, Commissioner Reddy confirmed that the campaign is fake and that no organisation has approached authorities seeking permission for conducting a marathon, including traffic or road clearances.
“So far, no complaint has been lodged, and no victim of the campaign has been reported,” he said.
