Abstract

This paper will in depth offer some extensive insight and comprehensively analyze the Gulf Cooperation Council common market whose member states in common all share analogous traditions and customs underpinned  on Islamic belief combined to form an economically cohesive body that shares same administrative and legislative processes. The Gulf Cooperation Council which was at first intended for a regional block to help combat the potential threat posed by the Islamic Revolution  in the war between Iran and Iraq, the Gulf Cooperation Council expanded its banks to allowing for free  movement of labor, goods and services, and capital among the member states. The geographical proximity of the member states in conjunction with the facilitation of use of resources accelerated for the harmonization of trade policies and prosperous economic growth for the member states (Ramazani & Kechichian, 1988).

Introduction

Generally, the Gulf Cooperation Council is presently considered as one of the best beneficial union and provides for gains that considerably outdo the losses. With some anticipated decline in the consumption of oil, the need for expansion of the industrial margin is of paramount importance. The Gulf Cooperation Council harbors a very huge potential for the economies of the member states if particular measures are implemented. This paper is divided into subsections including: the abstract, introduction, hypothesis, theoretical part, practical part and conclusion (Ramazani & Kechichian, 1988).

Hypothesis

The Gulf cooperation Council is primarily one of those unions that have made accolades for its member states. Though at first found for a different purpose, the Gulf Cooperation Council has established a rebirth towards lifting the economic status of the member states that are of close proximity coined together by the Islamic belief of expanding the region economically through free labor movement, cheap availability of goods and services and availing of capital (Ramazani & Kechichian, 1988).

Theoretical part

The immediate dynamic that encourages the Gulf Cooperation Council between the six member states was aimed at confronting security challenges. The other primary elements that resulted to the formation of the Gulf Cooperation Council were the close proximity geographically of the countries. In addition, their sharing of close and identical customs and traditions under the Islamic belief, led to the production of similar legislative and administrative processes (Ramazani & Kechichian, 1988).

The GCC embodies the economic integration arrangements of a common market which goes to an extra mile of free movement of labor and capital among member states. In specific, the principal objective of the member states is the formation of an effective economic bloc through the Gulf Cooperation Council (Ramazani & Kechichian, 1988).

Practical Part

Primarily, the GCC is concerned with free trade and establishing trade customs and tariffs for goods and services. Secondly the GCC establishes a custom union with a common policy on international trade tariffs with a joint market where goods and services, labor and capital market are free flowing across the boundaries of the member states and within them. The agreement between the member states enjoys common tariffs under a customs union which enables flat rates in trade across the borders. The GCC cooperation facilitates broad cooperation towards achieving unity among its members with cohesion from the similarities and the common beliefs (Ramazani & Kechichian, 1988).

Conclusion

In a nut shell, the GCC forms one of the most successful unions in the Islamic Nations. It affords its members a remarkable growth in economy and trade. the GCC has helped the member states collaboratively engage in economy-boosting exchanges as good, services, capital market, and revenue are easily shared cross-border. The cooperation since its formation has therefore changed economic status and thus the supremacy of its member’s status over the world (Ramazani & Kechichian, 1988).