Authors: Brad W. Setser and Rachel Ziemba RGE Monitor
With oil at $100, what do we know about how the big oil exporters are managing their petrodollars? In this paper for RGE Monitor, Brad Setser and Rachel Ziemba examine the different GCC funds and estimate that total Gulf investment abroad exceeded $2 trillion in 2007. One surprising conclusion that emerges from their analysis is that the Gulf as a whole has not diversified away from the dollar.
Secretary General of the Gulf Cooperation Council (GCC) Abdullatif bin Rashid Al- Zayani read this joint statement to conclude the 33rd GCC Summit in Bahrain on December 25, 2012.
For several years, high oil prices enabled the Gulf Cooperation Council countries to add large sums to their state coffers. Falling oil prices imply that some Gulf countries may need to draw on their depleted funds to cover their import bills. In this Center for Geoeconomic Studies Working Paper, Brad W. Setser and Rachel Ziemba examine the impact of the fall in global equities on the Gulf’s large funds and explore how various oil price scenarios could shape those funds’ future growth.
The Council on Foreign Relations' David Rockefeller Studies Program—CFR's "think tank"—is home to more than seventy full-time, adjunct, and visiting scholars and practitioners (called "fellows"). Their expertise covers the world's major regions as well as the critical issues shaping today's global agenda. Download the printable CFR Experts Guide.
The author analyzes the potentially serious consequences, both at home and abroad, of a lightly overseen drone program and makes recommendations for improving its governance.
