For the first time in the history of the Sultanate of Oman, a former minister has been sentenced to three years in prison for corruption, while the main opposition leader in Kuwait and a member of the royal family have accused former ministers and magistrates of fraud, money laundering and conspiracy audience. 

The fight against corruption characterized a slogan of demonstrations during the Arab Spring in 2011. The Gulf monarchies, then touched by the protests, must contend with a public increasingly aware and intolerant of crimes against the public administration.

Unemployment, rising cost of living and social inequalities make now the phenomenon of corruption intolerable, perhaps considered – for too long – the structural pact of power between the merchant class and entrepreneurial dynasties.

Anti-corruption measures of the Sultan Qaboos 

Former minister of trade, Mohamed bin Nasir al-Khusaibi was sentenced at first instance, as he would have paid a bribe in order to win a tender for the Muscat International Airport: there are many government officials who simultaneously occupy roles in private companies (especially construction and energy). 

Last February, the CEO of the Omani Oil Company, Ahmad al-Wahaibi, was sentenced to twenty years in prison for bribery, money laundering and abuse of authority. Beyond the considerations of merit (which could be expressed only by studying the papers of processes), the interesting political fact is that these verdicts nourish the climate of popular indignation and encourage anti-corruption measures promised by Sultan Qaboos bin al-Said.

The sultanate, which now needs to ensure the effective application of the law, has just signed the Framework Convention of the United Nations Convention against Corruption (UNCAC), while it has not yet acceded to the Organization for Economic Cooperation and Development (OECD) .

Protests in Kuwait

In July, for six consecutive nights, hundreds of Kuwaitis have raised the slogan Karamat Watan (dignity of the Nation) manifesting in the heart of the capital – near the historic souq of Al-Mubarakeya- against the detention of opposition leader Musallam al-Barrak, arrested on charges of insulting the judiciary.

After the revelations of a former deputy of fraud and bribery, the Emir has instructed the newly formed anti-corruption public authority to open an investigation. The national scene has quickly overheated, especially after the release of a controversial video – that the family of Al-Sabah has unsuccessfully tried to block – in which adjacent areas to the royal court discussed a hypothesis of a coup.

Patronage power

In the Gulf monarchies, the social contract is based on the relationship between the economic elite and the ruling dynasty, in other words the formula is “political loyalty in exchange for economic opportunities”: is it really possible to engage in a fight, authentic and rooted into such a system, against corruption, which lurks right in the patronage of the power system?

After the decline of pearling and the discovery of oil, the discontent of tujjar of Kuwait (merchants, especially Shiites) pushed the Emir to grant a National Assembly elected in 1962. The support of the merchant class is still a pillar of the monarchy and the diwaniyyat (lounges) formed by merchants play a central role in the informal political socialization, as well as for the formation and maintenance of consensus.

In Oman, the commercial oligarchy that monopolizes economic affairs, is an essential link into the Sultan’s gear, holding positions of government and participating in the redistribution of income.

Faced with the adoption of anti-corruption laws, the financial community of the Gulf Cooperation Council (GCC) expresses its concern that such measures may inhibit, in part, the economic development; after all, it is precisely the incidence of financial crime to make it less attractive foreign direct investment to the monarchies of the Arabian Peninsula.

Free trade with the EU and the GCC

Unlike Kuwait, Oman’s nascent civil society is not yet in a position to influence the policy choices of the Sultanate, also in terms of transparency and public financial management. The Kuwaiti opposition (Islamists, liberals, nationalists), outside parliament after a boycott of the elections of 2013, are calling for a constitutional monarchy: a government which can be elected by the National Assembly and no longer appointed by the king.

The Al-Sabah, however, are reacting with yet another security-tight. Many local NGOs have been closed (in the particulate Islamist charities); the Emirate is also revoking the citizenship to those who “threaten national security”, as in the case of Ahmad Jabr al-Shammari, the owner of the television station and newspaper Al Youm, media covering opposition protests since 2012.

The process of self-reform intra-GCC also passes through timely and credible in terms of public accountability; in this regard, the European Union – which aims to create a free trade area with the GCC – could identify and propose opportunities for practical cooperation on these issues, focusing on the transfer of know-how and best practices.

Source: Affari Internazionali

Image: ArabiaBusiness.com