Lebanon lost approximately $4 billion in Saudi military aid yesterday after the Kingdom made a decision to “reconsider relations with Lebanon”. The modernisation programme, known in France as Donas, aimed to ensure stability in a Lebanon weakened by internal divisions and threatened by jihadists.
Advertisement
On Friday, SPA quoted an unnamed official as saying Saudi Arabia had always stood with Lebanon and supported the country through hard times.
As highlighted by ValueWalk, an analyst at BAML pointed out in his February 11 research note titled “Saudi Arabia in Focus” that there are some stumbling blocks for coordination between OPEC and non-OPEC countries, with Iran intending to regain market share post-sanctions relief.
Lebanon’s national unity government, which includes Hezbollah and its allies, declined to condemn attacks on Saudi diplomatic missions in Iran last month by protesters angered by the execution of a prominent Shia cleric in Saudi Arabia.
Syria’s war has exacerbated political rivalries within Lebanon, which has been without a president for nearly two years because of fierce disagreements between Hezbollah and its rivals.
The Saudi news agency statement said the kingdom halted the deals because of Lebanon’s “non-condemnation of the blatant attacks against the Saudi Embassy in Tehran and its Consulate-General in Mashhad, which are contrary to worldwide law and diplomatic norms”. However, Iraq’s oil minister joined Iran in giving verbal support to the Saudi Arabian and Russian plan to hold output at last month’s level.
“The entire world and especially the Lebanese and the local and worldwide financial institutions know full well that Saudi Arabia is suffering a severe financial crisis”, Hezbollah said.
“We did not want the matter to reach what contradicts that nature of historic relations between Lebanon and the country of the two shrines (Saudi Arabia)”, read a statement released by Prime Minister Tammam Salam’s office.
Al Zayani added that GCC members “regret that Lebanon’s decision-making has been taken hostage by foreign regional powers, is running against the pan-Arab security and the interests of the Arab Nation and is not representative of the people of Lebanon”.
Advertisement
The support from the Emirates, a close Saudi ally, does not come as a major surprise but is still significant.
