Trump administration proposes $5 billion investment to rebuild Middle East energy infrastructure
The Trump administration has proposed investing $5 billion in a new fund to help Middle Eastern countries rebuild energy infrastructure damaged in the war with Iran and reduce their dependence on the Strait of Hormuz for transporting oil and gas, The Wall Street Journal reported on Monday. According to the report, the proposal reflects an acknowledgment that the conflict, now in its seventh month, has shaken the global energy market and damaged pipelines and refineries across the region.
Under the plan, the United States would ask eight countries in the region – Saudi Arabia, the United Arab Emirates, Qatar, Bahrain, Kuwait, Oman, Iraq and Jordan – to contribute an equal amount, creating a $10 billion investment fund. U.S. officials said discussions over the fund are ongoing and that the terms of the agreement could change. It remains unclear when, or whether, additional countries will join the initiative.
Under the U.S. proposal, the fund would be managed by the U.S. International Development Finance Corporation (DFC), a federal agency that works with the private sector to advance U.S. national security policy, although its activities have historically focused on projects in developing countries rather than established Gulf monarchies.
