DUBAI, June 5 (Xinhua) -- The United Arab Emirates (UAE) on Monday announced its decision to cut diplomatic ties with Qatar, following a similar move by Saudi Arabia, Bahrain and Egypt.

The move came as Saudi Arabia accuses Qatar of supporting "terrorism" and financing "groups" linked to Iran.

The UAE said in a statement it will "sever relations with Qatar, including diplomatic relations, and the country's diplomatic mission has a grace period of 48 hours to leave the country," UAE state news agency WAM reported.

Qatari nationals in the UAE would have 14 days to leave while Qatari nationals would be prevented from entering the UAE.

The UAE has taken these steps "as a result of the failure of the Qatari authorities" to stop funding "terrorist organizations, ... especially the Muslim Brotherhood," it said.

The Muslim Brotherhood, which has been outlawed in Egypt, is labeled as a terrorist organization in the UAE, Bahrain and Saudi Arabia.

The UAE also accused Qatar of "harboring extremists."

The UAE and Qatar are both members of the six-country Gulf Cooperation Council (GCC), to which Saudi Arabia and Bahrain also belong. Founded in 1981, the GCC is a leading political and economic bloc in the Arab world.

Egypt also announced its decision to cut diplomatic ties with Qatar earlier on Monday.