02:20
It's the first anniversary of Egypt, Saudi Arabia, UAE and Bahrain placing sanctions on Qatar. The four countries have accused Doha of supporting extremist groups, armed militias, and Iran-affiliated militants that aim to destabilize the region. Qatar has denied these accusations. But the four countries insist they will not lift their sanctions until Doha changes its policies.
One year on, the effects of the embargo are mainly economic. The foreign reserves have dropped by around 15% and expenses have risen significantly.
MUSTAFA HAMZA, HEAD CENTER FOR POLITICAL ISLAM STUDIES, CAIRO "Qatar is not an industrial or agricultural nation, so it depends solely on importing its food - and oil as well. It exports natural gas, but needs to import petroleum products from the Gulf countries. The closure of Salwa border crossing with Saudi Arabia has shot all prices up in the Qatari markets, because now it imports what it needs from other countries like Turkey and Iran through expensive air freights."
State-owned companies such as Qatar Airways have announced major losses and need continuous funding from the government to remain afloat. The Emirate had to establish several industries to produce local goods but it's still ineffective.
YASSER HAKIM CAIRO "Though it's been a year, the Arab quartet say Qatar has not changed its policies of destabilising the region and supporting extremist groups. Now they are trying to take a different approach."
MUSTAFA HAMZA, HEAD CENTER FOR POLITICAL ISLAM STUDIES, CAIRO "The escalation (of sanctions) will put political pressure on Qatar in the international community, because the economic approach has been all used up. They are escalating cautiously because the four countries are targeting the leadership in Qatar without trying to harm the Qatari people."
Saudi Arabia has called on France to intervene and foil an arms deal between Russia and Qatar. Doha has been cast aside at the recent Arab League meetings. And the Gulf neighbours are also digging a canal along the borders to isolate Qatar and turn it into an island. Meanwhile, Kuwait announced this week that it will intensify efforts to mediate between the two sides. Maybe the second year will see a breakthrough for the former friends turned foes. Yasser Hakim, CGTN, Cairo.