Newsletter - May 2-8, 2005 - #107

In This Issue

A Special Report from SUSRIS

United States - Saudi Arabia Summit

Joint Statement 
by President Bush and Saudi Crown Prince Abdullah

Summit Press Briefing: National Security Advisor Stephen Hadley and
Secretary of State Condoleezza Rice

Summit Press Briefing: Adel Al-Jubeir

Saudi-American Forum Item of Interest

US-Saudi Milestone
by Robert W. Jordan

"..But our own society evolved from now-forgotten days of witch hunts, slavery, civil war, women's suffrage and violent civil-rights struggles. A society that has only recently seen the rise of skyscrapers and paving of superhighways can also evolve in its own way to an Islamic state prepared to lead the Muslim world in the 21st century. Neither they nor we have another 60 years to wait for that day."

 Saudi-American Forum Item of Interest

Will We Ever Come of Age?
by Abeer Mishkhas
"The curtain has gone down on the elections in Jeddah and for all interested and cynical people, they are over. For those who do not like how things ended, they’ll have to keep talking about it. It was no surprise, even if it had a bitter taste, that the result of the elections was so diligently pre-decided and predictable. The seven candidates on the so-called “Golden List” swept to victory. The Golden List appeared a few days before the election, was circulated in text messages and on the Internet and bore the signatures of well-known religious scholars who supported the seven candidates. The difference between those who won and those who did not has provoked plenty of thoughts among people. Someone said that Jeddah people were cynical about the elections. And I cannot help but believe that they were. During the voter registration period, over and over, we heard the comment: “What elections? No thanks, not for me.” The comments confirmed a basic skepticism that has sadly become part of our character.."

Event of Interest

2005 Saudi Trade Mission
Expanding Strategic Trade Partnerships
May 9-18, 2005
New York / Atlanta / Houston / 
Chicago / San Francisco

Committee for the Development of International Trade of the Council of Saudi Chambers of Commerce and Industry

Trade Mission Web Site:  www.SaudiTradeMission.com 

• Business Forum Agenda

• Trade Mission Itinerary

• Registration

• Business Opportunities

• Sponsors

• Hotel Information

News of Interest

Saudi Prince Reaffirms Rapport with U.S.
DALLAS - Crown Prince Abdullah, the de facto leader of Saudi Arabia, told North Texas business leaders Tuesday night that his oil-rich kingdom is overcoming "the suffocating days" of internal terrorism and urged them to invest in Saudi Arabia's expanding markets.  "The Saudi-American partnership is a unique success story," the Saudi leader said. "The strong political ties which bind the United States and the kingdom of Saudi Arabia must be accompanied by strong economic ties between our countries."

News of Interest

Saudi Arabia Top U.S. Crude Supplier Once Again
"Saudi Arabia was the largest crude supplier to the United States in February at 1.514 million barrels per day (b/d). The Kingdom was also the largest crude exporter to the U.S. during the month of January and has averaged 1.560 million b/d over the two month span, 200,000 b/d more than during the first two months of 2004. From a regional perspective, Latin America delivered 35% of all crude oil, while the market share of the Middle East was 24%. Africa came in at 20%, Canada at 15%, Europe at 5% and Asia at 1%, according to the International Oil Daily.."

In the News

Abdullah, Bush Advance Relations
"Despite a light drizzle and cool temperatures, the meeting between Crown Prince Abdullah and US President George W. Bush [Apr 25] at his Texas ranch radiated with the warmth of a reunion between two peoples who vowed to renew their ties with one another. Both countries intend to increase the number of students, visitors and business travelers between the two nations, and the United States is pledging to advance Saudi Arabia's entrance into the World Trade Organization.."

Kingdom Weighs Visas on Arrival
"Saudi Arabia is studying the possibility of issuing business and tourist visas at airports as part of its efforts to attract foreign investment and tourists, according to Abdul Rahman Al-Jeraisy, chairman of the Council of Saudi Chambers of Commerce and Industry.. ..Jeraisy hoped that the committee would adopt recommendations that would enable businessmen and tourists to get visas at airports instead of from Saudi missions abroad.."

Kingdom Set to Post 8.7% Growth
"Saudi Arabia's economy is expected to grow 8.7 percent this year, fueled by high oil prices and production levels, as well as strong private sector growth. Riyad Bank said in a report released on [Apr 25] that the Saudi economy, in stark contrast to the global economy, continued to set and break new records throughout last year. During the "Third Oil Boom" in Saudi Arabia, which started in 2003, the Saudi stock market more than quadrupled its value.."

Abdullah and Bush Reaffirm Historic Ties
"[Apr 26th] historic meeting between Crown Prince Abdullah and US President George W. Bush was successful in bringing back warmth to Saudi-US relations, Foreign Minister Prince Saud Al-Faisal said.. .. Asked whether the Crawford discussions had touched on Saudi Arabia's domestic issues and reforms, he said the Kingdom's internal issues weren't covered. However, he noted that Riyadh would go ahead with its political and economic reforms.."

Bush-Abdullah Meeting Focused on Oil Prices
"President Bush's meeting with Saudi Crown Prince Abdullah at his ranch in Crawford, Texas on Monday focused on soaring global oil prices as well as political reform in Saudi Arabia, the Israeli-Palestinian conflict, and the so-called 'war on terror.'.. ..But it was the price of oil that topped the agenda.."

Al-Assaf Hopes for Speedy WTO Accession
"Finance Minister Dr. Ibrahim Al-Assaf yesterday expressed his optimism about Saudi Arabia's speedy accession to the World Trade Organization and said the remaining technical issues related to WTO agreement with the United States could be resolved within weeks. Speaking to Saudi Television on the outcome of Crown Prince Abdullah's meeting with US President George W. Bush at his Crawford ranch on Monday, Al-Assaf said the US assurance to help Saudi Arabia win WTO membership before the end of this year was a significant achievement.."

Saudi Businessmen Seek $1.5 Billion Investments in Jordan
"The Jordanian government is currently considering applications from Saudi businessmen to conduct investments in Jordan amounting to $1.5 billion, mostly in the housing sector, Jordanian Minister of Trade and Industry Sharif Zoabi said.. ..He underscored the importance of the Saudi export program in extending credit facilities with competitive terms to Saudi exporters and importers, including periods of grace ranging between one and seven years.."

Bush - Saudi Talks Focus on Long - Range Oil Plan
"President Bush pressed Saudi Arabia on [Apr 26] to take steps to relieve record-high oil prices, but the world's largest exporter insisted global supplies were adequate and offered a long-term plan to increase production. Bush met Saudi Crown Prince Abdullah at his Texas ranch as consumer worries about soaring U.S. gasoline prices weighed on the president's job approval ratings.."

Crude Oil Falls as Saudi Arabia Pumps More, Boosting Supplies
"Crude oil fell in New York and London on anticipation that OPEC member countries are producing enough crude to satisfy demand for gasoline this summer in the U.S., when demand from motorists peaks. Markets are adequately supplied, Saudi Arabian Crown Prince Abdullah's Foreign Policy Adviser Adel al-Jubeir said after meeting with U.S. President George W. Bush in Texas yesterday. Saudi crude output probably rose to 9.6 million barrels a day this month from 9.05 million in March, according to PetroLogistics, a Geneva-based company that assesses supply by tracking oil tankers.."

Al-Qaeda in Saudi Arabia Returns to the Internet with Release of Sawt al-Jihad 29
"After an absence of several months, al-Qaeda in Saudi Arabia returned to the Internet this week with the release of its magazine, Sawt al-Jihad, issue 29. The latest issue, fifty pages in length, contains articles written by late al-Qaeda militants, including Saud al-Otaibi, who was killed in a shootout with Saudi forces earlier this month in the Al-Qassim region.."

Saudis Call for Meeting on Oil Issues
"Saudi Arabia's Crown Prince Abdullah on [Apr 27] said the kingdom will host a meeting in Riyadh during the fourth quarter to discuss oil and other energy issues between oil producing and consuming nations. Speaking at a dinner hosted by the U.S.-Saudi Arabian Business Council, the crown prince said the meeting was necessary ``because of the great importance we attach to the stability of the world energy markets and the contribution of these markets to world economic growth.''

Saudi Arabia: Police Arrest 1,000 In Jeddah
"Saudi police have arrested more than 1,000 people in raids on an area of the Red Sea port city of Jeddah, in the west of the Kingdom. Those detained include people who had outstayed their visas, a group of women and child beggars and common criminals. During the operation, police confiscated large quantities of drugs, stolen cars and other stolen items.."

IEA Says Saudi Arabia's Plans To Increase Oil, Gas Production "Very Convincing"
"The head of the International Energy Agency (IEA), Claude Mandil, on [Apr 28] said that Saudi Arabia's plans to increase its oil and gas production capacity are 'extremely convincing'. Mandil said at a news conference that the comments made by Saudi Oil Minister Ali al-Naimi last week in Paris that Saudi Arabia would use its excess capacity if necessary and that it planned to double investment in new gas and oil projects over the next five years were 'extremely interesting and convincing.'.."

Major Saudi Group to Launch School
"A state-of-the-art school with English as the medium of instruction for science and mathematics will be launched here by a major Saudi group this September on the occasion of the Kingdom's National Day.. ..The school will start enrolling students, both boys and girls, for Kindergarten to grade IX from the new academic year. The candidates will have to go through admission tests that will determine their ability.."

Kingdom's Money Supply Grows 5% to SR506.6 Billion
"Saudi Arabia's M3 money supply grew five percent in the first quarter of this year to SR506.6 billion ($135.1 billion), central bank statistics showed, extending last year's sharp rise fueled by oil export revenues. M3 grew 3.46 percent in March after a slight fall of 0.47 percent in February and a 1.99 percent rise in January, figures on the Saudi Arabian Monetary Agency (SAMA) website showed.."

SAGIA Governor Meets Microsoft's CEO
"Amr Abdullah Al-Dabbagh, the governor of the Saudi Arabian General Investment Authority (SAGIA), and Microsoft's CEO, Steve Ballmer, discussed possible investment opportunities for the corporation in Saudi Arabia during their meeting in Dubai recently. 'Saudi Arabia is already the largest market for ICT in the Middle East. Our tech-friendly and financially fluid population, when combined with the existing level of infrastructural development and invested capital, means that the Saudi market is destined to continue growing'.."

Kempinski Eyes Pilot Project in Saudi Arabia
"Kempinski Hoteliers, founded in Germany over a hundred years ago, which is targeting Saudi vacationers for its 40 luxurious properties around the world, is studying the prospects for establishing its presence in Saudi Arabia. "While our study for opening hotels across the Kingdom is an ongoing process, we're targeting Saudi vacationers for our properties of distinction spread across the Middle East.."

Flash Floods Leave 30 Saudis Dead
"More than 30 people have been killed in flash floods in Saudi Arabia, say newspaper reports. Heavy rains and high winds combined to sweep cars off roads and destroy houses in the southern Asir province and the city of Jeddah, the reports say. Jeddah was reportedly pelted with hail, power lines collapsed and metre-deep waters surged through the streets.."

Lincoln Blocks Nominee Over Arkansas Girl Held in Saudi Arabia
"Senator Blanche Lincoln gave an impassioned speech on the floor of the U.S. Senate into the early morning hours in hopes of drawing attention to her quest to bring the 12-year-old daughter of an Arkansas woman back from Saudi Arabia. Lincoln had put a ceremonial hold on President Bush's nominee for U.S. Trade Representative and she spoke for about an hour before Representative Robert Portman of Ohio was confirmed as the country's top trade representative.."

Insurance Market to Cross SR15bn Within Four Years
"Saudi Arabia's insurance market is expected to cross SR15 billion by 2009 as a result of growing demand for medical and car insurance policies, says Ali Abdul Rahman Al-Subaiheen, executive president of the National Company for Cooperative Insurance (NCCI).. ..Subaiheen's statement comes after the Saudi Arabian General Investment Authority (SAGIA) licensed 13 new insurance companies with a total capital of SR2.5 billion. The licensees included well-known insurance companies from Britain, Germany, Switzerland, Japan, India, Holland, the United States, Bahrain, Jordan, Lebanon and France.."

Riyadh to host 7th Iran-Saudi Joint Economic Commission Session
"The 7th Iran-Saudi Arabia Joint Economic Commission Session will be held here on May 16-17.. ..Iran's Commerce Minister Mohammad Shariatmadari and Saudi Minister of Commerce and Industry Hashim A. Yamani will preside over the commission. Expansion of bilateral trade exchanges, holding exhibitions, boosting bank cooperation and joint investment in industrial, service and transportation projects are among the subjects to be discussed at the meeting.."

Expo Organizers Complain About Inflexible Visa Rules
"Organizers of international conferences and exhibitions in Saudi Arabia have complained about the Kingdom's inflexible visa laws. The organizers say that the laws make their lives difficult when they want to hold a conference or an exhibition. According to them, it affects not only their business but also the growth of the Saudi economy. The organizers maintain that a more flexible visa procedure would attract more exhibitions to the Kingdom.."

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