Ebrahim Hashem, former adviser to the chairman of the Abu Dhabi Executive Office and former head of the Abu Dhabi National Oil Company's strategy division, said, "The fact that (Saudi Arabia and Iran) have accepted China as their trusted broker shows that both sides believe in China's capacity and genuine intentions to help reduce the temperature in the region."

By approaching Beijing and officially referring to the "noble initiative" of President Xi Jinping, Saudi Arabia and Iran are "giving credit to China, and the way the agreement was announced shows that both sides "believe in China's positive contribution to regional and global stability", Hashem said.

"The agreement that has been brokered by and announced from Beijing sends a clear message to the world that the Middle East is not the exclusive sphere of influence of anybody and that regional players have the agency and ability to hold their fate in their own hands," said Hashem, who is also a visiting scholar at the University of Hong Kong's Asia Global Institute.

Farhan Mujahid Chak, associate professor of political science at Qatar University, said China played a crucial role in bringing the two countries together by "acting as an honest broker and pragmatically offering incentives to both nations".

"China's Belt and Road Initiative is ambitious and extraordinary. It can only get stronger with Iran and Saudi Arabia on board," Chak said, adding that the initiative also shows the "increasingly global leadership role exemplified by China".

"The zero-sum and prejudicial policies that plague the region (the Middle East) have not contributed to peace, prosperity or progress. Therefore, it was only a matter of time for the leaderships of both countries (Saudi Arabia and Iran) to realize that despite all their differences, they have much in common, and working together will benefit everyone," Chak said.