Ziad Daoud Explains How War with Iran Will Reshape the Gulf

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Odd Lots 47 min 6 speakers 5 chapters transcribed 1 month ago
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Jennifer Zabasaja 0:00
A new chapter in global growth is being written, and much of it is happening in Africa.
Unknown 0:05
Africans need to invest. There are deals to be done and business to be won.
Jennifer Zabasaja 0:09
I'm Jennifer Zabasaja. Every week on the Next Africa podcast, we track capital flows and political shifts shaping the continent's future.
Unknown 0:17
The digitization of Africa is gonna power its growth.
Jason Kelly 0:23
Growth is so enormous in Africa.
Jennifer Zabasaja 0:25
Listen to Next Africa on Apple, Spotify, or wherever you get your podcasts.
Bloomberg Audio Intro 0:32
Bloomberg Audio Studios, Podcasts, Radio News.
Tracy Alloway 0:48
Hello and welcome to another episode of the Oddlots Podcast. I'm Tracy Alloway.
Joe Weisenthal 0:52
And I'm Joe Wiesenthal.
Tracy Alloway 0:54
Joe, it is currently April tenth.
Joe Weisenthal 0:56
That's right.
Tracy Alloway 0:56
It's a Friday. It's a beautiful Friday outside. We always say when we're recording things nowadays, because we never know what's gonna change in the next hour or day or week. But at the moment, there is some sort of ceasefire between the US and Iran. Israel is rather more uncertain at the moment, but it seems that whatever happens in the short term with this particular conflict. that the region, the Gulf region and the Middle East has already been vastly, vastly changed.
Joe Weisenthal 1:27
Yeah, it seems almost certain of that in many different dimensions. I mean, look, you know, first of all, there's just been the literal physical damage. You can have a ceasefire, but there's gotta be energy and time to get expended, etc. Then of course, and we already have done an episode, for example, about Dubai real estate in particular, or Dubai in particular, and the question of like, here's this country that was perceived really by people around the world as maybe one of the most stable places that you could live. And obviously some of that is being called into question. But then like, you know, here is just a it's just a giga a gigantic war and wars, even short ones potentially, have all kinds of ripple effects and scars and so forth.
Joe Weisenthal 2:11
And it'll change obviously the course of the region.
Tracy Alloway 2:13
Yeah, the way I think about it is the Gulf region was sort of a center of let's say three things. So energy,
Unknown 2:21
mm-hmm,
Tracy Alloway 2:22
oil and resulting petrochemicals, which we've talked a lot about. Capital. Capital. There's a lot of money emanating from the region because of its oil wealth. And that flows into all sorts of things from you know US tech stocks to infrastructure investments and all of that. And then thirdly, it's well, I guess I could add trade. It's a purveyor of trade routes for sure. But setting that aside, thirdly, it's also a capital of living standards and this idea of we're gonna build a diversified Gulf city state where Where people are. People can come and live. And we sort of talked about on the Dubai episode. But today we're going to be talking about maybe all three or four of those things and what this particular conflict actually means for them, for a region that has really built itself around this idea of energy, capital, living standards, and trade.
Joe Weisenthal 3:12
And then the one thing I would just point out is that obviously the region has almost a reputation for being in some version of constant war or there is constant tension, et cetera, right? So at various tim uh, do you disagree?
Tracy Alloway 3:26
I mean, the Iran threat has always been there, but one of the key themes of the UAE, for instance, becoming this haven of stability was that it wasn't expected to erupt in this way.
Joe Weisenthal 3:36
That is indisputable and that is part of why it's so shocking. But, you know, tensions in the Middle East on some level is almost like a cliche in the news, et cetera. And so the c you know, over years we have multiple Gulf Wars, et cetera, the war in Gaza that's been taking place over the last multiple years. I mean, there's just extraordinary a long history of uh conflict.
Tracy Alloway 4:01
Yes. So we are going to be talking about how the latest conflict is going to impact the region potentially forever. So we have the perfect guest. I'm very happy to say uh we are going to be speaking with the chief emerging markets economist over at Bloomberg Economics, Zia Daoud, someone we've spoken to before. Uh I think our last episode with with him was about Egypt, but someone I used to speak to a lot more when I was actually based in Abu Dhabi.

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