Saudi Arabia, Egypt, UAE and Bahrain sever ties with Qatar over 'terrorism'

Dubai

SAUDI Arabia, Egypt, the United Arab Emirates (UAE) and Bahrain severed their ties with Qatar on Monday, accusing it of supporting terrorism and opening up the worst rift in years among some of the most powerful states in the Arab world.

The economic fallout loomed immediately, as Abu Dhabi's state-owned Ethihad Airways, Dubai's Emirates Airline and budget carrier Flydubai said they would suspend all flights to and from Doha from Tuesday morning until further notice.

Qatar Airways said on its official website it had suspended all flights to Saudi Arabia.

Qatar's stock market index sank 7.5 per cent with some of the market's top blue chips hardest hit.

The measures are more severe than during a previous eight-month rift in 2014, when Saudi Arabia, Bahrain and the UAE withdrew their ambassadors from Doha, again alleging Qatari support for militant groups. At that time, travel links were ma…