Third road between

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Third road between
Caught in the middle between the United States and Iran, Gulf countries this year reviewed their strategic options, writes Mohamed Darwish

Security considerations loomed large over Gulf politics this year, while inflation and eroding exchange rates suppressed optimism on the economic front.

The current year saw the two major powers in the Gulf threatening a showdown. The US, occupying Iraq and keeping military bases in various Gulf States, locked horns with Iran, a country that has considerable military and economic clout as well as many Shia co-religionists in the Gulf. The tug of war between the two powers spilled across Iraqi borders and rattled nerves across the region.

The six members of the Gulf Cooperation Council (GCC -- Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, Bahrain and Oman) watched in shock as the US and Iran made no secret of their desire to control the region. For the past six months, both Washington and Tehran placed immense pressure on Gulf countries through a mix of carrot and stick tactics. [article continues]

http://weekly.ahram.org.eg/2007/877/reg203.htm