King Salman’s challenges

King Salman of Saudi Arabia is facing many internal and external challenges. Saudi Arabia is a very important country for the region and for the world. I wish the new King well to handle such challenges.

The internal challenges include high unemployment and underemployment of the youth. There are many young Saudis who have sinecures, jobs that give them money, but little honor or chance for real personal improvement. There is poverty in Saudi Arabia and a considerable amount of inequality. There are also many angry young men who could be a source of trouble in the future. Just handing them money is not the solution. The education system needs to be further reformed to direct learning in way that helps Saudis get jobs, be productive and add more to their economy and to their country. King Abdallah did a lot on this. Much more needed to be done.

{mosads}The Eastern Province of Saudi Arabia, which is mostly Shia, is restive. Many there feel that Riyadh has not treated them fairly. This province is just across a causeway to Bahrain, another country with significant Sunni-Shia tensions. Many Saudi believe the Sunni-Shia tensions in the country are being enflamed by the Iranians. Iran is seen as a grave threat to Saudi Arabia by many in the country. It is not only seen as a military threat, but also an ideological one. Saudi Arabia and Iran are vying for power balances in the region and beyond – even into Central Asia and Afghanistan. Iran and Saudi Arabia are also competitors for leverage in Syria, Iraq, Lebanon, and many other places in the region. Iran is also a threat via the Houthi rebellion in Yemen. The collapse of Yemen into a failed state is also a threat to Saudi Arabia.

The so-called “Islamic State”, is seen as a major threat by Saudi Arabia. One of the goals of this nefarious group is the toppling of the Saudi royal family and the capturing of Mecca and Medina. They also want to increase their power within Saudi Arabia to create instability and violence. They are also a source of violence and threat to the Saudi’s via Iraq. This group is also a source of a growing drugs trade in Syria, Iraq and the rest of the region, especially of captagon, heroin, and other nightmarish drugs. This is also a threat to Turkey, the entire region and well beyond. “IS” also is smuggling weapons, which eventually could end up in the streets of Saudi Arabia. “IS” is an imminent danger to Saudi Arabia. Amphetamines use in Saudi Arabia is a growing problem, especially amongst the underemployed and unemployed youth. Drugs also make the terrorists of “IS” fight like mentally lost zombies. This is a global threat.

The Muslim Brotherhood is also seen as a threat by the Saudi leadership. Saudi Arabia is supporting the new leadership in Egypt to make sure that the Muslim Brotherhood does not come back to power there. The UAE also holds this anti-brotherhood view. Both countries see them as a threat to their way of life and to their regimes.

Saudi Arabia is facing low and declining oil prices. This has considerably lowered its export revenues, give that it is the largest exporter of oil in the world. Government revenues have also been hit hard. Some projects may have to be put on hold for a while until prices go back up again, which they eventually and inevitably will. King Salman may have to rethink some projects in the country even with its very large sovereign wealth fund of close to 800 plus billions of dollars – maybe.

These are just a few of the many challenges facing the new King of Saudi Arabia. It is important for Saudi Arabia, the region and the world that he meets these challenges correctly and keeps Saudi Arabia on a stable and straight path towards prosperity and peace.

Sullivan is professor of Economics for the Energy Industry Study at the National Defense University and an adjunct professor of Security Studies at Georgetown University.