Overview of the GCC States Essay Example | Topics and Well Written Essays - 1500 words

Overview of the GCC States - Essay Example This is aimed at providing an economical balance in the Gulf region and also envisaged a common currency in the area (Low and   Salazar, 2011). This would help the council to foster the growth of the private sector in the economy of the Gulf region through economic co-operation, scientific and technological progress, joint ventures and strengthening the ties of the people among the Arab states. The Gulf Co-operation Council also aims to set up a unified military structure involving the Arab States. About GCC Gulf Corporate Council is the economic and political alliance of six different Middle Eastern Countries, such as Qatar, Saudi Arabia, Kuwait, Bahrain, Oman and The United Arab Emirates (MSU, 2013). In the year 2007, the states of Gulf Corporate Council supported the International compact document with Iraq which was adopted in Egypt. In the year 2011, Saudi Arabia suggested that the Gulf Corporate Council intensify their integration in order to form a confederation. However, se veral objections rose against this specific proposal of Saudi Arabia by the other GCC countries. Several discussions are going on regarding the future membership of Morocco, Jordan and Yemen. Establishment of GCC GCC is the short form of Gulf Corporate Council. GCC was founded in Abu Dhabi in the year 1981. The original council of GCC comprised a total 630 million acre Persian Gulf state of the UAE, Saudi Arabia, Bahrain, Oman, Kuwait and Qatar. The integrated economic agreement between the GCC countries was signed in Abu Dhabi in the year 1981 (Britannica, 2013). These six countries are referred to as the Gulf Corporate Council states. There are several key objectives behind the formation of GCC. Fostering technical and scientific progress in agriculture, mining, industry, animal and water resources is one of the major objectives of Gulf Corporate Council. The GCC states aimed to develop several scientific research centers in order to enhance countries’ growth. In addition, they are trying to establish several important joint ventures. This strategy and idea can enhance the business environment of GCC countries. Devising similar regulations in different social, political and economical fields, such as finance, trade, religion, tourism, customs, administration and legislation is another major objective of the states of Gulf Corporate Council (Ahmad & Faris, 2010). These countries were facing threat of several outside attacks. Therefore, they tried to cohesive strong military presence in these countries. This unified military force is recognized as Peninsula Shield Force. In the year 1981, these several states of Gulf Corporate Council aimed to establish a common currency by 2010. GCC tries to encourage the cooperation of several private sector organizations. According to the states, this co-operation can enhance the economic environment of these six countries. Healthy social balance of a country is very much important in order to achieve future growth ( Kirgis, 2006). Therefore, Gulf Corporate Council aimed to strengthen the ties between the people of these countries. However, in the year 2006, Oman announced that the council cannot meet the objective within the target date. In addition, the country also announced that the