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Significance Riyadh has prioritised the pursuit of regional de-escalation, largely to boost its economic prospects as the kingdom pursues foreign investments to support diversification away from oil. A history of mutual mistrust and Saudi interest in formalising a US defence pact is prohibiting deeper or more transformative Saudi-Iranian ties. Impacts Yemen's Iran-backed Huthis will refrain from attacking Saudi assets. Saudi Arabia will postpone efforts to normalise relations with Israel until a ceasefire in Gaza is in place. Saudi Arabia could mediate more prisoner exchange deals between Russia and Ukraine.
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