The Organization of the
Petroleum Exporting Countries (OPEC) was established following a conference in
Baghdad from September 9-14, 1960, spearheaded by Saudi Arabia, Iran, Kuwait,
Iraq, and Venezuela. The primary goal was to raise low oil prices and protect
the rights of producing nations through cooperation. However, the true turning
point for the organization was the Arab-Israeli Wars. Failing to achieve their
goals after the 1967 conflicts, the Arab states decided to use oil as a
weapon against the West, monopolizing prices.
The 1973 Oil Crisis: Following the 1973 Yom
Kippur War, OAPEC (Organization of Arab Petroleum Exporting Countries) imposed
an embargo on Western countries supporting Israel and cut production. The
decision to reduce oil production by 5% each month until Israel withdrew from
the occupied territories caused prices to quadruple, sending a massive economic
shockwave across the globe.
In response, Western
countries, led by the US, established the International Energy Agency (IEA) in
1974 to secure energy supplies. By the 1980s, as the West adapted its industries
to the new conditions, OPEC’s influence began to wane. Ultimately, the heaviest
toll of this crisis, intended to punish the West, was sadly paid by
impoverished and developing Muslim nations left without assistance.
Regime Change in Iraq and the Ba’ath Party
Iraq transitioned to a
republic following a military intervention in 1958, but the real political
breaking point occurred on July 17, 1968, when the Ba’ath Party seized full
control in a bloodless coup. Meaning “resurrection” in Arabic, the Ba’ath Party
was founded in Damascus in 1940, aiming to establish a socialist, united, and
secular Arab state in the Middle East. Amid internal disputes following the
coup, a group of officers led by Saddam Hussein came to prominence and took
over the government. During this period, Iraq’s growing closeness with the
Soviet Union and Iran’s desire to solely dominate the Persian Gulf
significantly raised tensions between the two countries.
The 1975 Algiers Agreement: This escalating tension was temporarily resolved through an agreement mediated by Algeria, establishing the deepest point of the Shatt al-Arab waterway as the border and briefly calming the waters.

Michel Aflaq (left) and Salah al-Din Bitar (right) with Egyptian President Gamal Abdel Nasser (centre) in 1958. The three leaders were prime advocates for a pan-Arab union
Regime Change in Iran (The 1979 Islamic Revolution)
The “White Revolution”
reforms initiated in 1962 by Shah Mohammad Reza Pahlavi, who came to power in
1953, created massive social unrest in Iran. While steps like women’s suffrage
angered the clergy (ulema), poorly planned industrialization drove millions of landless
peasants into the cities. When economic hardship and political suppression
evolved into a massive popular uprising led by the ulema, nationwide strikes
paralyzed the country, forcing the Shah to flee in early 1979. Subsequently,
Ayatollah Khomeini, who had been exiled to France for opposing the reforms,
returned to the country with immense popular support.
Declaration of the Islamic Republic and the Hostage Crisis: On February 11, 1979, the Shah's regime collapsed completely, and the
Islamic Republic of Iran was established under Khomeini's religious leadership.
The new administration's uncompromising stance against the US and the hostage
crisis at the US Embassy in Tehran irreparably severed relations between the
two nations.

Arrival of Khomeini on 1 February 1979, escorted by an Air France pilot.
The Iran-Iraq War (1980-1988)
The revolution in Iran
completely upended the regional balance of power within the tense atmosphere of
the Cold War. Khomeini's rise to power alarmed Iraqi leader Saddam Hussein,
whose country had a large Shia majority. When Saddam unilaterally annulled the
1975 Algiers Agreement with dreams of capturing Iran’s Arab-majority Khuzestan
region, war broke out on September 22, 1980. Although Iraq seemed to have the
upper hand initially, the conflict quickly devolved into a bloody and devastating
war of attrition. Fearing the war would spread, regional countries formed the
Gulf Cooperation Council in 1981.
The Irangate Scandal (1986): This was
the most striking diplomatic crisis of the war. It was revealed that the US
(particularly the Reagan administration) had secretly sold weapons to Iran via
Israel to serve its national interests, sparking a massive international
scandal.
The Devastating Aftermath of the War: Lasting
eight full years, the war cost approximately 1 million lives and did not shift
the borders by a single inch. However, the economies of both nations collapsed
entirely. Driven into a deep swamp of debt, Iraq's desperate move to invade
Kuwait in 1990 led to Saddam Hussein’s total international isolation and paved
the way for his ultimate downfall.
With
this, we leave behind a heavy block full of regime wars that cost millions of
lives and energy crises that shook global balances, affecting the fate
of the Middle East.
We steer our course slightly away from the conflicts and turn to a new era where the sharp ice of the Cold War began to melt, and the world took on a different complexion. Our new topic is: Developments in the World During the Détente Period. In this section, we will likely explore the space race, technological leaps, the generation of '68, and the socio-cultural changes of the era.
