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Iran Brings the War’s Economic Cost Into Sharp Focus for Gulf Leaders

Iranian President Masoud Pezeshkian has brought the economic cost of the war into sharp focus for Gulf leaders, warning them that their development prospects are directly tied to their decision about hosting enemy military operations. His message, delivered more than a month into the Iran-US conflict, frames the war in terms of economic consequences that Gulf governments cannot afford to ignore. Tehran is clearly seeking to use the language of economics as well as security to press its case.

Gulf economies in countries including Saudi Arabia, the UAE, Kuwait, Qatar, and Oman have been significantly disrupted by the ongoing conflict. The combination of US military activities, Iranian retaliatory strikes, and general regional instability has created economic uncertainty across the Gulf. Gulf governments are now confronting the economic costs of a war they did not choose to start.

In a post on X, Pezeshkian affirmed Iran’s non-preemptive military stance while making the economic argument for change. He warned Gulf leaders that allowing enemies to use their territory for military operations against Iran would cost their nations both development and security. The economic framing was deliberate and targeted at the practical concerns of Gulf governments.

Pakistan’s diplomatic engagement has been sustained and effective, with Prime Minister Shehbaz Sharif serving as a credible intermediary. His meeting with Pezeshkian confirmed that Iran sees trust as the foundational requirement for any formal peace process. Pakistan’s contributions have been praised by Tehran, enhancing Islamabad’s standing as a neutral actor.

A key multilateral diplomatic consultation in Pakistan is drawing together foreign ministers from Saudi Arabia, Egypt, and Turkey. Their discussions with Pakistani Foreign Minister Ishaq Dar and Prime Minister Sharif aim to produce a coordinated approach to de-escalation. The talks represent a significant opportunity to advance the diplomatic effort to end the conflict.

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