The Persian Gulf is a geographical area in the Middle East. It is located in the Western Asia between Iran (Persia) and the Arabian Peninsula. The basin countries include: Iran, Iraq, Kuwait, Saudi Arabia, Qatar, Bahrain, United Arab Emirates, Oman and the Musandam Governorate. This land is well-known because of the oilfields and natural gas fields but also for different good fishing grounds, extensive coral reefs, and abundant pearl oysters even though this activities are now affected by the industrialisation and the wars that occurred in the area for many years. Therefore the economy is manly based on the exploitation of petroleum and gas. In 2006, the Persian Gulf countries produced about 28% of the world's oil, while holding 55% (728 billion barrels) of the world's crude oil reserves. Regarding the natural gas this area owns more than 40% of the world’s total reserve of gas. This report will analyse the main economic powers in the Persian Gulf, as a consequence an analysis of the main three airports and airway companies will be presented in order to understand the current increase of traffic in the Persian Gulf area despite the world recession trends.
Analysis of the countries:
Before to get into further details about the eight countries (excluding from our study the Musandam Governorate because of its less relevant influence in the economy of the area) it would be interesting to have a glance at the GDP and GDP per capita adjusted for Purchasing Power Parity in order to have comparable figures as they were using the same currency. | GDP per capita| Total GDP (Billion)|
Iran| 13.072$| 1006.540$|
Iraq| 4.272$| 150.676$|
Kuwait| 58.080$| 163.671$|
Saudi Arabia| 31.275$| 906.806$|
Qatar| 102.943$| 182.004$|
United Arab Emirates| 48.158$| 258.825$|
Oman| 26.519$| 81.767$|
Bahrain| 27.556$| 31.101$|
The total GDP is the gross domestic product of a country and therefore the market value of all goods and services produced by a country in a year. The GDP per capita gives us the answer if the wealth is well distributed as it is the measure of personal income and therefore is often considered an indicator of the standard of living of a country. As you can see the in the table above countries as Iran have a very high total GDP because of the size and as a consequence of the population of the country but a low GDP per capita. This means that the wealth is not equally distributed. On the other hand the GDP and GDP per capita in countries such as Qatar is almost even. This is a signal of very good standard of living. The countries of the Persian Gulf are not very homogeneous economically speaking and it is caused by their differences in culture, economic apparatus, size, and inhabitants.
Iran or Persia is officially the Islamic republic of Iran. The country is bordered on the north by Armenia, Azerbaijan and Turkmenistan. In the north of the country there is the Caspian Sea which Russia and Kazakhstan ‘share’ with Iran. Iran is bordered on the east by Afghanistan and Pakistan, on the south by the Persian Gulf and the Gulf of Oman, on the west by Iraq and on the northwest by Turkey. Iran is a very big country; with an area of 1,648,195 km2 it is the 18th-largest country in the world. Population is 77,356,669 according to the census in 2013 and the density is 48/km2. The capital is Teheran, the country's most populous city and the political, cultural, commercial and industrial centre of the nation. Iran is considered a developing country and a regional power in the Middle East as it had one of the oldest civilisations in the world BC. It holds an important position in the in international energy security and world economy because of its oil reserves, as a matter of fact Iran has the second largest proven natural gas reserves in the world and the fourth largest proven petroleum reserves Iran can be defined as a non-Arabic...