After both the Gulf Cooperation Council and the Arab League have declared Hizbollah a terrorist organization at the beginning of March 2016, Saudi Arabia takes one step further and cuts military aid to the Lebanese military as well as cancels the residency permits of Lebanese residing in the Gulf. It seems that the Kingdom of Saudi Arabia wants to exert pressure on the various political parties in Lebanon to end their association with Hezbollah. However, there are speculations that see the latest Saudi move as just another piece of the all-embracing Saudi-Iranian rivalry in the Gulf region. Seeing in this vein, the gradual deterioration in the Saudi Arabia-Lebanon relationship is a rational consequence of Saudi foreign policy, which understands countering any Iranian influence and ambitions in e.g. Iraq, Lebanon, Syria, and Bahrain as a key pillar of its security and stability calculations.