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Economy

Qatar crisis presents both threat and opportunity for Japan

Escalation of terrorism row masks high-stakes proxy battle

| Japan

In early June, Saudi Arabia and its allies -- the United Arab Emirates, Bahrain and Egypt -- sent ripples through financial markets and global diplomatic circles by blacklisting Qatar, accusing the state of sponsoring and nurturing ties with terrorists.

Another five countries in the Middle-East and North Africa have also severed diplomatic ties with Doha, sparking a wider regional crisis and prompting concerns that the tiny gas-rich state is being used as a proxy in a wider battle for regional dominance between Saudi Arabia and Iran.

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