BBC: Gulf states face hard economic truth about subsidies

 

The security and stability of the six-member states of the Gulf Co-operation Council (GCC) rests on a basic assumption. Their governments, run by royal families, have a social contract with the people that in its simplest terms effectively says: “In return for your acquiescence we will provide health, education, water, energy and other services virtually free… That question has caught the attention of Jim Krane, a Gulf analyst at the Judge Business School of the University of Cambridge. He was drawn to an astonishing figure about the price of electricity in Kuwait…”

Read the full article [bbc.co.uk]