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As the Economy Undermines the Saudi Social Contract, Riyadh Finds Other Ways to Keep Order

May 22, 2020 | 11:00 GMT

Saudi currency.

Saudi currency.

(Shutterstock)

Highlights

  • Saudi Arabia's social contract hinges upon a welfare-for-loyalty tradeoff, but low energy prices are forcing cuts to welfare benefits; fortunately for Riyadh, nationalism will increasingly hold together the Saudi social contract in 2020.
  • Where nationalism fails, the Saudi state can turn to its economic and security tools to tamp down dissent.
  • But while nationalism, economic control and the security forces will work for the government for a while, the longer austerity persists, the less effective they will prove.

While nationalism, economic control and the security forces will work for the government for a while, the longer austerity persists, the less effective they will prove....

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