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A major diplomatic rift that has broken out between Canada and Saudi Arabia over the past week or so is showing no signs of abating so far but escalating further. The rift began with Canada criticizing the Saudi government for detaining civil society activists. In response to Canada’s criticism, on Sunday, Saudi Arabia recalled its ambassador to Canada and expelled Canadian Ambassador to Saudi Arabia by giving a 24-hr deadline. As Canada refused to back down from its demands, Saudi Arabia suspended any new investments in Canada, both direct and via financial markets. Insiders say that Saudi Arabia is considering a selloff of Canadian assets held by the Kingdom, whatever the cost may be.
According to Canadian officials, while Prime Minister Justin Trudeau refused to back down and stand firm on the human rights issue, Canada is seeking the help of allies such as the U.S. and the UK to diffuse the tensions. Canada is even reportedly reaching out to the United Arab Emirates to solve the problem.
According to reports, while Washington has refused to get involved, London has called on both sides to show restraint.
By taking a hardline stance against Canada, Saudi Arabia is sending an unprecedented message not only to Canada but rest of the world that the new Saudi government led by King Salman and crown prince Mohammad bin Salman will not tolerate any interference in the Kingdom’s actions and affairs even in the name of human rights. The kingdom has not sent a strong message like this since the oil embargo of the 70s.
