After half a century of on-off discussions, the Gulf states are moving haltingly towards emulating Europe by establishing an Arab single currency. Four key states – Saudi Arabia, Kuwait, Qatar and Bahrain – have ratified a single currency treaty and are setting up a Monetary Council as a forerunner to a Gulf central bank.

There is a long way to go before they get there - and the Gulf states need to bear in mind some powerful lessons from European economic and monetary union if they are to reach their destination.