Gulf and Red Sea Regions

The UAE emirate of Dubai has announced that it has scrapped the 30% tax on alcohol, and will no longer charge for personal alcohol licences.

Known as the Gulf's "party capital", where expatriates outnumber nationals by nine to one, Dubai has historically been more attractive to tourists and wealthy foreign workers than its neighbours, partially because of its tolerance of a more liberal lifestyle.

Despite this, the high alcohol tax had led to residents often driving to Umm al-Quwain and other emirates to buy alcohol in bulk.

It appears that the principles of the free market now dominate the international system, not only in areas of trade, but also in defence, security and foreign policy, writes Dennis Sammut in today's Monday Commentary on commonspace.eu. Bigger countries are wooing smaller countries, unashamedly displaying their goods, and dismissing those of others. China’s president Xi was in Saudi Arabia last week, to seal China’s new partnership with the Arabs. This week, it will Joe Biden’s turn to host African leaders at the White House. "For the moment small countries are making the most out of this new free market atmosphere in the international system. But they must also keep in mind that, as in the market, demand sometimes slumps abruptly. It is at this point countries will not need just customers, but also friends."