Abu Dhabi is reassessing global alliances following its OPEC exit, while ruling out leaving other blocs like the GCC and Arab League for now. [Getty]
The United Arab Emirates is reassessing its role and contributions across multilateral organisations but is not considering any further withdrawals at this time, news agency Reuters reported- citing a UAE official- a day after Abu Dhabi announced its withdrawal from OPEC.
The Emirati official, who spoke on the condition of anonymity, said the country is reviewing the utility of its membership in multilateral organizations broadly.
The statement comes amid intense speculation that Abu Dhabi could exit other regional bodies, including the Arab League and the Gulf Cooperation Council (GCC), following its surprise decision to leave the Organization of the Petroleum Exporting Countries and OPEC+ effective May 1.
The exit of the UAE — one of the group’s biggest producers — widens a rift between the UAE and its neighbour Saudi Arabia, which is effectively OPEC’s leader.
Once firm allies, Abu Dhabi and Riyadh have developed a simmering rivalry, clashing on issues from oil policy and regional geopolitics to the race for foreign talent and capital.
The comments add to a broader reassessment of alliances underway in Abu Dhabi since the start of the Iran war, with the GCC facing some criticism for what Abu Dhabi has called an inadequate response to the conflict.
“It is true that, logistically, the GCC countries supported each other, but politically and militarily, I think their position was the weakest in history,” senior UAE official Anwar Gargash told a conference in the UAE on Monday.
“I expected such a weak position from the Arab League, and I am not surprised by it, but I have not expected it from the GCC, and I am surprised by it.”
Gargash had earlier signalled that the UAE would “scrutinize” its regional and international relations to “determine who can be relied upon”, pairing that review with measures to strengthen the UAE’s economic and financial position.
“Strategic autonomy remains the UAE’s enduring choice,” Gargash has said.
The UAE is a regional business and financial hub and one of Washington’s most important allies. It has pursued an assertive foreign policy and carved out its own sphere of influence across the Middle East and Africa.
Having come under attack during the Iran war, the UAE has strengthened its relationships with the United States and Israel, with which it opened ties in the 2020 Abraham Accords.
It views the relationship with Israel as a lever for regional influence and a unique channel to Washington.
Russia to remain in OPEC+, hopes UAE exit does not spell end of group
Russia plans to stay in OPEC+ despite a decision by the United Arab Emirates to leave, the Kremlin said on Wednesday, voicing hopes the alliance of oil producers would continue to operate amid turmoil in the global energy market.
Kremlin spokesman Dmitry Peskov said OPEC+ remains an important organisation, especially during current turmoil on global markets.
“This format helps to substantially, let’s say, minimise fluctuations in energy markets and makes it possible to stabilise those markets,” Peskov told a daily conference call with reporters.
Peskov said Russia respected the UAE’s decision to leave, however, and hoped Moscow’s energy dialogue with the Gulf state would continue.
Russia joined OPEC+ in 2016. The group produced nearly half the world’s oil and oil liquids last year, according to International Energy Agency estimates.
Russian Finance Minister Anton Siluanov said earlier on Wednesday the UAE’s decision could see countries boosting production, bringing down global prices in the future.
“If OPEC countries conduct their policies in an uncoordinated manner (after the UAE’s exit) and produce as much oil as their production capacities allow and as much as they want, prices will go down accordingly,” Siluanov said.
For now, oil prices were supported by the blockade of the Strait of Hormuz, he said, and any oversupply would only become a risk after the strait reopens.
