Saudi-US Relations Information Service

Keeping Track - Recently on SUSRIS











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Saudis Prepare for Haj Pilgrim Influx [Dec 15]
"A total of 11,000 doctors, nurses and paramedics will be on hand to provide medical care with 4,200 beds at 21 hospitals and 145 health centres in the holy sites of Makkah, Mina and Arafat, local media reported. According to the official news agency SPA, 85 ambulances have also been mobilized for the occasion and health awareness and alerts will be issued in case of any epidemic outbreaks. Al Jazeera news reported that the health ministry in the kingdom had been spraying pesticides on pilgrims’ tents and accommodation blocks to protect against mosquitoes. The precautions and security measures are to safety of pilgrims. Last year 364 people were killed in a stampede at the entrance of the Jamarat Bridge.. ..Nearly 2.4mn people flocked to Saudi Arabia to perform the last Haj, including more than 1.6mn from outside the kingdom.." [more]

Saudi Culls 13,500 Ostriches Amid New Bird Flu Outbreak [Dec 15]
"Saudi Arabia's agriculture ministry has ordered 13,500 ostriches to be destroyed following a new outbreak of bird flu in the kingdom, the Al-Watan newspaper reported on Saturday. The outbreak of the H5N1 strain of the disease that is dangerous to humans was reported on Thursday evening at a farm in the Al-Kharj region, 80 kilometers (50 miles) south of Riyadh, the Arabic language daily said. Last month, the Saudi authorities ordered nearly four million birds culled in the face of at least 14 separate outbreaks of avian influenza. There have been no reports of the disease spreading to humans in the
oil-rich desert kingdom.." [more]

Saudi Bourse Opens Up To Foreign Investors [Dec 15]
"Saudi Arabia's Tadawul All Share Index (Tasi) closed above 11,000 points in mid-December, the highest it has been in 14 months, and displaying a consistent recovery from its low point in 2006. The bounce back comes amid indications that the kingdom's stock market, which is the largest by capitalization in the Middle East, is heading for a big expansion as local companies increasingly seek to use initial public offerings (IPOs) as a vehicle for raising capital. The move to lift restrictions on GCC nationals investing in the kingdom's stocks is also playing a part. This and the market's expected
opening up to non-Gulf investors is expected to result in a steadily increasing flow of overseas capital into the Saudi market.." [more]

IEA Increases 2008 World Demand Growth Forecast [Dec 15]
" World oil demand will grow more quickly than expected next year fuelled by stronger consumption in the Middle East, the International Energy Agency said on Friday. The IEA, adviser to industrialized countries, said in its monthly Oil Market Report that demand will rise by 2.1 million barrels per day (bpd) next year, up 200,000 bpd from its previous forecast.. ..Oil inventories in the OECD fell by 22.4 million barrels in October to equal 52.6 days of demand, just below the five-year average, the IEA said. The agency also trimmed its forecast for growth in oil demand in the last quarter of 2007. It now expects consumption to rise by 1.3 million bpd, 200,000 bpd less than previously expected.." [more]

Haj: Symbol of Muslim Unity [Dec 15]
"Sheikh Osama Khayyat, an imam of the Grand Mosque in Makkah, yesterday described the annual pilgrimage as a symbol of Islamic unity and solidarity and urged Muslims to strengthen their unity by upholding the teachings of Islam. Delivering the Juma (Friday) sermon to nearly two million faithful including a large number of pilgrims, Khayyat decried sectarian violence.. ..The Haj is often described as the world’s biggest religious gathering, and men and women from more than 100 countries take part. Some of the largest contingents come from Indonesia, Iran, India, Pakistan, Bangladesh, Turkey and
Egypt.." [more]

Makkah Conference Opens Today [Dec 15]
"Prince Khaled Al-Faisal, the Emir of Makkah, launches Saturday the Muslim World League's 8th Makkah Conference. Sponsored by the Custodian of the Two Holy Mosque and held in Makkah the conference this year has the theme 'Islamic Discourse and Today's Challenges.' Several scholars, intellectuals and university professors will present research papers during the three-day conference.. ..The three main topics to be discussed are Islamic discourse and its importance, Islamic discourse
between right and wrong interpretation of the revealed texts, and Islamic discourse between reality and hope.." [more]

Тhe Real World: Global Energy Transformed [Dec 14]
"The world is on the eve of a new energy order that is going to change the way that Middle Eastern suppliers and consumers around the world do their business. This is not the opinion of a radical environmentalist or even of prominent ecological activist and former U.S. Vice President Al Gore.. ..Saudi Arabia maintains the world's largest crude oil production capacity, estimated to be around 11.3 million barrels a day. The kingdom plans to increase its oil production capacity to 12.5 million barrels a day by 2009. Saudi Arabia is seeking to stay ahead of the demand curve, with a policy that seeks to
maintain excess capacity. However, its swing producer power is declining as it currently has only between 1-2 million barrels a day of excess capacity. In Birol's opinion there are some serious transparency issues with the Saudi reserves.." [more]

Kingdom to Spend $15bn on Education Sector in ’07 [Dec 14]
"Saudi Arabia is set to spend $15 billion in 2007 on the education sector, primarily to fund existing and open new universities in the Kingdom as part of its movement toward giving top priority to the development of higher education. In line with this, Edutech Middle East, a leading provider of technology-enabled learning solutions, has announced that it has completed the implementation of an extensive eLearning system for the Prince Mohammad Bin Fahd University (PMU) in Saudi Arabia.. ..In the recent years, there have been widespread concerns regarding the large-scale movement of Saudi students overseas in pursuit of a higher quality educational experience.." [more]

Special Haj Delegation From India Leaves for Saudi Arabia [Dec 14]
" A special goodwill delegation left for the Haj pilgrimage from here today. The delegation includes Ministers, political leaders, lawmakers and prominent members of the Muslim community.Minister of State for External Affairs E. Ahamed saw off the delegation led by Minority Affairs Minister A R Antulay at the Indira Gandhi International Airport. Ahamed said the delegation is visiting on behalf of Prime Minister Manmohan Singh as ‘unofficial ambassadors’ of India. 'The delegation will be carrying the message of goodwill and fraternity from India and they are going to participate in the greatest and
most important international Islamic congregation and international Islamic community. India’s presence will definitely be felt because India is sending the second largest contingent of Hajjis (Haj pilgrims) after Indonesia'.." [more]

Gulf Arms: Complex Motives [Dec 14]
"The US is pushing ahead with plans for a major boost in arms sales to Gulf states as it seeks to draw them into an alliance against Iran while protecting its regional strategic predominance against competing powers. The Pentagon notified Congress on 5 December of the potential sale of up to US$10.4 billion in arms and military systems to the UAE and Kuwait. President George W Bush's administration pledged up to US$20 billion in military aid to its Gulf allies in July. Arab Gulf militaries have been progressively expanding and improving their armaments since the first Gulf War, but this process appears to have picked up pace with Iranian nuclear and missile developments and the descent of Iraq into civil war.. ..Asked by ISN Security Watch if Gulf states are resisting incorporation in a regional defense pact, Chatham House's Dr Gareth Stansfield replied: 'I would say that there has been some opposition to that. I think that one thing that has happened with this recent standoff with Iran is that the Arab Gulf states have become much more aware of their own regional interactions and relations'.." [more]

Kingdom, UK Bodies Sign Heritage Accord [Dec 14]
"The British-based Prince’s Foundation for the Built Environment and the Prince’s School of Traditional Arts signed with Al-Turath Establishment an agreement of cooperation aimed at the promotion and preservation of traditional arts and architecture in London on Tuesday. Prince Charles and Secretary-General of Supreme Commission for Tourism Prince Sultan ibn Salman, who is also chairman of the Al-Turath Establishment, were present at the signing of the agreement.. ..Speaking on
the occasion, Prince Sultan said: “Al-Turath Establishment adopted a strategy based on active cooperation and partnership with all the parties interested in the preservation and development of heritage.." [more]

Ministry to Build More Girls’ Schools [Dec 14]
"The Ministry of Education launched a new SR5 billion project to build 1,000 girls' schools in big cities and rural areas. Abdul Rahman Ibrahim Al-Ahmad, undersecretary of the building agency at the ministry, said they aim to further lessen the number of student applicants who are turned down by schools due to lack of classroom space and facilities. The population capacity of the school buildings will be on a case-to-case basis. "That's because the number of students in big cities like Jeddah or Riyadh is greater than the number of students in the rural area," said Al-Ahmad. He added that 440 schools with a total cost of SR2 billion were built this year.." [more]

Ahmadinejad to Make Pilgrimage to Mecca [Dec 13]
" Iranian president Mahmoud Ahmadinejad will become the first Islamic Republic Head of State to make a pilgrimage to Saudi Arabia. His advisor Mojtaba Samareh Hashemi said that Ahmadinejad had accepted King Abdullah's invitation to go to Mecca and Medina for the next Hajj, the annual pilgrimage of Muslims. A date has not yet been set for the visit, but the climax of the Hajj is next Tuesday.. ..King Abdullah's invitation, to the leader of a Shia country which has often had tense relations with Riyadh, is without precedent and particularly meaningful in a period seeing a high level of tension in the region between Sunni and Shia Muslims. Ahmadinejad spoke of an 'important event in relations between the two countries'.." [more]

A State Department Official Praises Saudis on Terror [Dec 13]
"A Saudi Arabian re-education program that treats terrorists as victims of a misguided ideology and not criminals to be warehoused for life in a cell is winning praise from America's top ambassador for counterterrorism.. ..'The Saudi program is about the best program in existence today. ... It is geared for the Saudi people, it is focused on their people and treats them as a victim, not a criminal'.. ..When asked yesterday about the fact that a recent cache of Al Qaeda in Iraq documents found disclosed that more than 50% of foreign fighters in Iraq came from Saudi Arabia, the ambassador urged limited patience. 'This effort for the hearts and minds, to go to the root causes is a generational challenge,' he said. He later added, 'We have to give them some time. But not too much time.'.." [more]

Red Cross Demands Mid-East Action [Dec 13]
"The International Committee of the Red Cross has called for immediate political action to contain the 'deep crisis' in the West Bank and Gaza. The statement was an unusual departure from its normally non-political stance. The ICRC said the measures imposed by Israel had denied the Palestinian population the right to live a normal and dignified life. The organisation says humanitarian assistance cannot possibly be the solution in Gaza and the West Bank.. ..'Why do we call for political action? Because actually we do not think that humanitarian aid can solve the problem,' said Beatrice Megevand
Roggo, ICRC director of operations for the Middle East. 'In Gaza the whole Strip is being strangled, economically speaking, life there has become a nightmare. And for that there is no solution that can be provided by humanitarian organisations'.." [more]

Inflation to Quicken in Saudi, Plague Gulf in 2008 [Dec 13]
"Saudi Arabia alone among Gulf Arab oil producers faces accelerating inflation in 2008 with prices rising twice as fast as they did last year, spurred by rents and a dollar-pegged currency, a Reuters poll showed. Inflation in Saudi Arabia's five Gulf neighbours will ease only slightly in 2008, mostly from near record highs, with region's central banks constrained in the battle to contain rising prices by the need to maintain links to the weak dollar. 'The inflation outlook is bleak for the entire region,'.. ..Average inflation in Saudi Arabia, the world's largest oil exporter, will rise to a 4.1 percent in 2008, a 13-year high, from 3.8 percent this year, according to the poll. Inflation was 2.21 percent last year.." [more]

Saudi Stock Index Hits Above 11,000 [Dec 13]
"Saudi Arabia's Tadawul index closed above 11,000 points yesterday for the first time in 14 months, powered by gains by the banking sector. Trading ended yesterday on a bullish note, closing at 11,022.65 points or an increase of 2.07 percent from Tuesday's mark. Some 108 companies were traded yesterday, reaching a volume of 461,640,087 with a total value of SR18.79 billion.." [more]

Some Gulf States Slash Key Rates Following Fed’s Action [Dec 13]
"Gulf states moved to deter bets on the appreciation of their dollar-pegged currencies, with some member deciding to slash their key rates following the US Federal Reserve’s move yesterday to trim its federal funds rate by a quarter percentage point to 4.25 percent. Saudi Arabia, United Arab Emirates and Bahrain matched Tuesday’s 25 basis point US Federal Reserve rate to ensure investors in their dollar-pegged currencies would not benefit from higher returns than they would get in US deposits. The Saudi and Bahraini central banks tried not to make credit cheaper. Saudi Arabia cut its reverse repurchase rate, which guides the return on bank deposits, but left the benchmark repo, the rate at which it lends to banks, unchanged.." [more]

Saudi Baja Organisers Offer Generous Concessions to Overseas Competitors [Dec 13]
"The Saudi Motor Sports Committee has confirmed that the Saudi Arabian Hail Baja has moved back a few days in the 2008 FIA calendar and will now take place on February 11th-14th, 2008. The Hail-based event is the opening round of the 2008 FIA International Cup for Cross-Country Bajas and generous concessions are on offer to overseas competitors keen to take part in the Kingdom's premier motorsport event and the first FIA event of this stature from Saudi Arabia to be included in a global series.. ..Saudi organisers will oversee visa formalities for team management, drivers, co-drivers and mechanics and
organise the customs operation.." [more]

Israel Settlement Move Against Annapolis: Saud [Dec 12]
"Foreign Minister Prince Saud Al-Faisal said that a conference of donor states will be held in Paris tomorrow to raise funds for the Palestinians and help them develop their infrastructure and other facilities. During a press conference held at the Foreign Ministry yesterday, Prince Saud blasted the Israeli government’s decision to expand settlements in East Jerusalem soon after the Annapolis Peace Conference on Nov. 27. He said it was contrary to the principles of the peace conference, which called for addressing the key issues of the Palestinian-Israeli conflict, including Israeli settlements on the occupied territories.." [more]

Saudis Battle Bin Laden's Jihad With 150 Clerics, Art Classes [Dec 12]
"..The detention center is on the front line of Saudi Arabia's battle to assimilate 3,200 militants returning from Iraq and the U.S. military prison at Guantanamo Bay, Cuba, or who were caught trying to leave the country to fight. Detainees attend courses on Islam taught by 150 clerics, whose goal is to discredit Osama bin Laden's radical teachings. They also see psychiatrists, train for new jobs and take art classes. Saudi authorities are trying to prevent the returnees from undermining the regime with attacks at home. They may fail because the government isn't fighting extremism in the school system, which churns out people willing to carry out terrorist attacks, says Rochdi Younsi, the Saudi analyst for Eurasia Group, a New York-based political risk advisory group.. ..There are about 1,700 men in the program, run by the Interior Ministry, and 1,500 have completed it. Most detainees stay three months, though the length varies with each case.." [more]

Economic Impact of Pilgrimage Huge: Study [Dec 12]
"Haj and Umrah, which are important Islamic rituals and among the five pillars of Islam, have had, for a millennium and a half, a major economic impact on what is now Saudi Arabia. Pilgrims are considered to be the Kingdom’s second economic backbone. Dr. Ali Hassan Al-Nagur, the head of the Transport Committee at the Jeddah Chamber of Commerce and Industry, in his recent book 'The Economy of Haj and Umrah,' writes that private sector revenues from the pilgrimage industry in 1425AH (2004-05) reached SR30.6 billion ($8.2 billion). The Haj generated SR14 billion, with the Umrah season generating SR16.6 billion. According to Haj Ministry figures, the Kingdom hosted more than six million Umrah pilgrims and more than 2.3 million Haj pilgrims in 1425AH.." [more]

Chevron Phillips to Raise $1.8 bln by First Quarter for Saudi Plant [Dec 12]
"Chevron Phillips Chemical Co. plans to raise as much as $1.8 billion in project finance by the first quarter of 2008 as part of plans to build a large petrochemicals complex in eastern Saudi Arabia, the company's chief executive said Wednesday. The funds will be used for the construction of an estimated $5-billion petrochemicals complex known as National Chevron Phillips, or NCP, a 50:50 joint venture between Chevron Phillips and Saudi Industrial Investment Group.. ..NCP is the third petrochemical complex planned by Chevron Phillips and Saudi Industrial at Jubail, an industrial city located at
the Persian Gulf.." [more]

Saudi Arabia's Spending to Cross $118b This Year [Dec 12]
"The Saudi Arabian Ministry of Finance said in a statement that the country's spending is expected to reach $118.1 billion, up from $105 billion last year, Arab News reported. According to economists, Saudi Arabia plans to continue its spending spree for a fourth year running after unveiling a massive expenditure bill in its 2008 surplus budget, spurred by soaring oil revenues. The world's top oil exporter and producer on projected spending in 2008 at $109.3 billion, the second highest in the Kingdom's history. The sharp rise in year-on-year spending comes on the back of high oil revenues that have resulted in a huge surplus amounting to $220 billion between 2003 and 2007.." [more]

Saudi Pumps $3.62bn Into Pension Scheme [Dec 12]
"The Saudi pension fund will pump 10 billion riyals ($3.62 billion) into a scheme for providing housing loans to early retired public sector workers, the fund announced on Monday in a statement carried by the official Saudi Press Agency (SPA). President of the Public Pension Agency (PPA) the Saudi minister of finance Ibrahim Al-Assaf on Monday approved the increase in funds available for the Masakin scheme, after the agency reported a huge increase in the number of people wanting to join the programme. PPA said that the initial 2 billion riyals allotted for Masakin on its launch earlier this
year did not meet the demand of the 3,360 retired employees of the kingdom’s public workforce.." [more]

Saudi Arabia Says Will Not Revalue Currency [Dec 11]
"Saudi Arabia will not revalue its currency, Foreign Minister Prince Saud Al Faisal said on Tuesday. Gulf finance ministers meet regularly to discuss 'all aspects" of interest, but "there was no decision' to revalue their dollar-pegged currencies, Prince Saud said. Asked whether Saudi Arabia would revalue its riyal, Prince Saud said 'No'.." [more]

Foreign Oil Companies Building Texas-size Refinery in Port Arthur [Dec 11]
"Two foreign companies broke ground Monday on construction of the largest oil refinery in the U.S. in the Gulf Coast town of Port Arthur. Motiva Enterprises LLC, owned by Royal Dutch Shell and Saudi Aramco, will invest $7 billion to expand an existing refinery. That's the biggest capital investment Texas has ever received, and it comes at a time when refiners are enjoying fat profits.. ..Saudi Aramco is also building refineries outside of the U.S., but the Port Arthur project is massive. The expansion will more than double the capacity for the existing refinery to 600,000 barrels a day. It will make enough fuel to fill about 700,000 cars a day. The project should be finished in 2010.." [more]

Arab Stocks Lure BlackRock, Goldman, Blair as Europe, U.S. Fall [Dec 11]
"Arab stocks, the world's best- performing equity markets this quarter, are luring BlackRock Inc., Deutsche Asset Management and William Blair & Co. with the cheapest shares since at least 2005. Funds run by the firms that together oversee about $100 billion are investing in Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, Bahrain and Oman for the first time because Middle East economies may expand at twice the global pace next year, according to Morgan Stanley. Profit growth will exceed the biggest emerging markets as revenue from oil sales spurs construction and increases consumer demand.. ..Benchmark indexes in Saudi Arabia, the U.A.E. and Oman have risen at least 25 percent this quarter.." [more]

Saudi Budget Surplus to Fall [Dec 11]
"Saudi Arabia expects its budget surplus to shrink by a third to $48 billion and economic growth to slow this year after the world's top oil exporter cut output to follow Opec policy, raised spending and paid off debt. The finance ministry forecast a surplus for next year, the sixth in a row, after two decades in which low oil prices left the government struggling to fund its welfare system. Last year's surplus was $77 billion, according to revised ministry figures. Government debt would fall to 19 per cent of gross domestic product by the end of this year compared with 28pc of GDP last year, the finance ministry said yesterday. A near five-fold increase in oil prices since 2002 has allowed Saudi Arabia to slash public debt - all of which is owed to local institutions - from a peak of 119pc of GDP in the late 1990s.." [more]

Saudi to Splash $54bn on Water [Dec 11]
"Saudi Arabia plans to spend up to $54 billion by 2020 on expanding and operating its water network, a minister said yesterday. Deputy water & electricity minister Loay Al-Musallam told the Meed Wastewater Treatment & Reuse conference in Abu Dhabi “We plan to spend $37 billion on capital projects and $17 billion on operating the network”. A further $40 billion will be spent on desalination projects.. ..The National Water Company will launch with $6 billion capital, rising to $20 billion as privatisation develops and it takes on more systems across the country.." [more]

Cameras to Ensure Security of Pilgrims [Dec 11]
"More than 2,000 policemen were assigned to organise the entry and exit of worshippers at the holy places in Makkah, said a Saudi security source. The source added that hundreds of surveillance cameras were installed at the Grand Mosque and its surrounding area to detect pickpocketing and those who may try to undermine the security and stability of pilgrims.. ..Last year, pilgrims complained that the security personnel deployed at the site were not working enough to direct crowds and ensure pilgrims are obeying regulations. The Saudi authorities denied this.. ..Major General Sulaiman Al Amro said that his personnel are ready for this year's Hajj season. 'About 12,000 civil defence personnel along with their equipment, machines and helicopters are in full readiness for the Haj season,'.." [more]

Arafat Day on Dec. 18 [Dec 11]
"The Arafat Day, when pilgrims will stand in prayer in the plain of Arafat at the peak of Haj this year, will be on Dec. 18, the Supreme Judiciary Council announced yesterday. Eid Al-Adha will be on Dec. 19.." [more]

Rise in Nonoil Exports a Positive Step [Dec 11]
"Robust oil prices gave a record boost in oil revenues for Saudi Arabia in 2007. Oil revenues stood at a historical high of SR754.4 billion ($201.1 billion). In regional terms the size of the Kingdom’s oil revenues are staggering. The Kingdom’s oil revenues for 2007 were more than 118 percent of the UAE’s GDP in 2006 and four times bigger than the size of Qatar’s GDP. However, nonoil exports rose close to 25 percent, which is a positive step and indicative of the efforts to diversify away from simply producing oil. In fact, nonoil exports in 2007 represented a 12.4 percent out of total exports whereas in 2006 in was a bit more than 10 percent. This is a slow but important advancement.." [more]

UK Group Offers Scholarships to Aviation Students [Dec 11]
"The UK’s Royal Aeronautical Society (RAeS), the world’s only professional body dedicated to the global aerospace community, launched a new branch in Riyadh on Sunday, and announced a scholarship program to help Saudis pursue further education in aviation. The group’s Riyadh branch was launched in a ceremony that was attended by former British Prime Minister Tony Blair, members of the Saudi royal family, aviation personnel and diplomats.. ..Marshall said that the RAeS had created a “Centennial Scholarship Fund” to provide assistance to prospective students. Keith Mans, chief executive of the society’s Riyadh branch, said the branch would support and supplement all its initiatives.." [more]

Saudi King Names Members to a Commission Entrusted With Picking Future Kings [Dec 10]
"King Abdullah has issued a royal decree naming 35 sons and grandsons of Saudi Arabia's founder to a commission that would help select future kings, the kingdom's official news agency reported Monday. In October, Abdullah issued a decree that detailed how he would choose members of the Allegiance Commission and how it would pick future successors in an effort to help ensure a smooth transfer of power and defuse any rifts within the ruling Al Saud family.. ..A 2006 law that established the Allegiance Commission was aimed at quelling internal power struggles over which of the younger generation of royals will be appointed crown prince when the last son of Abdul-Aziz becomes king. Abdullah is believed to be in early 80s and his designated successor, Crown Prince Sultan, is in his late 70s. The 35-member commission includes 16 of Abdul-Aziz's sons and 19 of his grandsons.." [more]

Pressure Needed for ME Peace: Blair [Dec 10]
"Middle East envoy and former British Prime Minister Tony Blair said last night that his talks with Custodian of the Two Holy Mosques King Abdullah focused on the Middle East peace process with special reference to the security situation in the region.. ..'We feel the need to keep the pressure to get action and to get the changes we need to make the peace process work,' said Blair, speaking during a reception hosted by the Riyadh branch of the Royal Aeronautical Society (RAeS), which was inaugurated here amid great fanfare. The London-based RAeS, which is the world’s only professional body dedicated to the entire aerospace community, has set up a branch in Riyadh to locally support the society’s projects.." [more]

Saudi's Size Hampering Terror Clamp [Dec 10]
"Saudi Arabia has admitted that it cannot prevent all of its home-grown terrorists leaving the country to launch attacks overseas due to the sheer size of its borders. Deputy Chief of General Intelligence Prince Faisal bin Abdullah al Saud said tough measures were in place to control the movement of people at its boundaries, but said their sheer size meant it was impossible to scrutinise everyone. 'No one can give any guarantees,'.. ..'This (terrorism) is a disease that has been planted and unfortunately is part of our nation.' 'The best guarantee we can give is that we are working very hard on our youth, their education and creating prosperity.'.." [more]

Nato-Model Security Alliance Sought for Gulf Region [Dec 10]
"Failure to make concerted efforts to combat terrorism and extremism in the region will have dire consequences, senior security and military officials have warned. In this regard, Iraq's top security advisor called for the formation of an effective Nato-like security alliance.. ..'In today's interdependent world, we must face our challenges together. We must not underestimate the challenges ahead. We must seize the opportunities we have and we must work collectively to secure the future for Iraq and this most vital region of the world,'.. ..'The countries should put aside political issues, focus on
security and set up a regional security organisation, like Nato or the Baghdad Pact to combat extremism and drug trafficking,'.." [more]

Kingdom to Open IPOs, Stocks for Foreigners [Dec 10]
"Abdul Rahman Al-Tuwaijri, chairman of the Capital Market Authority, has said that Saudi Arabia will soon allow foreigners to invest in its stocks and initial public offerings (IPOs). Al-Tuwaijri said in an interview with Al-Arabiya television that the CMA would allow investment through domestic funds which will be established by licensed firms. SABB chief economist Dr. John Sfakianakis said, 'This is an excellent step in line with the commitments of the Kingdom toward liberalizing its economy. The partial liberalization of the capital market is an essential component of the economy..." [more]

Korea Seeks to Sell Air Defense System to Saudi Arabia [Dec 10]
"Saudi Arabia is considering dispatching a military attache to its embassy in Seoul as part of efforts to improve bilateral defense ties, the Ministry of National Defense said Monday. The plan was proposed during talks between Defense Minister Kim Jang-soo and his Saudi Arabian counterpart Crown Prince Sultan bin Abdul Aziz, minister of defense and aviation, in Riyadh, Sunday.. ..Minister Kim proposed South Korea participate in Saudi's bid to modernize its military as part of efforts to nhance cooperation in the defense industry, the officer said. Sources said the South Korean defense minister asked his
Saudi Arabian counterpart to consider purchasing South Korea's indigenous Chunma air defense missile system.." [more]

Security Tightened to Ensure Safety of Haj Pilgrims [Dec 10]
"More than 2,000 policemen have been assigned near Makkah to ensure the smooth movement of pilgrims, said a Saudi security source. Hundreds of surveillance cameras have been installed near the mosque and its surrounding areas to ensure the safety of pilgrims, said the source. More than 850 students from the Saudi military colleges have been also been posted to manage pilgrims.." [more]

Saudis Give Big to U.S. Colleges [Dec 10]
"Two years ago this month, a Saudi prince caused a media splash — and raised eyebrows — when he donated $20 million each to Georgetown and Harvard universities to fund Islamic studies. Although few details have been released about how the money has been spent, at Georgetown, the money helped pay for a recent symposium on Islamic-Western relations held in the university's Copley Formal Lounge.. ..Some call the Saudi gift Arab generosity and gratitude for the years American universities have educated the elite of the Arab world. Others say the sheer size of the donations amounts to buying influence and creating bastions of noncritical pro-Islamic scholarship within academia.. ..The $40 million gift from the Saudi donor, Prince Alwaleed bin Talal, was the latest in a tradition that started in the 1970s.." [more]

Saudi Market Continues to Surge [Dec 10]
"GCC stock markets witnessed selling pressure as the investors tried to book profits. Four regional indices ended the month in red, led by Kuwait which reported a monthly decline of 6.1% in Nov-07. However, Saudi market continued its surge as its benchmark index recorded monthly gain of 9.8% in Nov-07 on the back on 10.1% gain registered in the previous month. Oman markets received strong buying support as it was up by 5.3% which led it to record the highest YTD growth of 51.3% in
the region.." [more]

Saudis Must Wage Battle of Minds [Dec 9]
"Saudi arrests of hundreds more Al-Qaeda suspects for plotting attacks shows that Riyadh's security crackdown is not enough to vanquish them and that the authorities also need to combat the extremist thinking that drives them, analysts said. 'By focusing on the security approach, the state has eliminated the visible threat' by foiling a series of attacks, Sheikh Mohsen al-Awaji, a prominent Saudi Muslim cleric, told AFP. 'But the latent threat is there, and it is a big one. There is no guarantee that (the crackdown) will always succeed' unless it is accompanied by an effort to 'confront the deviant thinking' of the militants.. ..Saudi Arabia has often reported arrests of "deviant" cells despite its success in thwarting attacks such as those that shook the oil powerhouse in 2003-2004.." [more]

Iraq Calls for Gulf Security Pact Including Iran [Dec 9]
"Iraq's National Security Advisor on Sunday called on Gulf states to form a regional security pact, which would include Iran, while he reassured the area's US allies that Baghdad is 'heading West' in its foreign policies. But Mouaffak al-Rubaie also criticised Saudi Arabia and Iran for what he called settling scores on Iraqi soil and called for regional reconciliation that put sectarian differences aside. 'It is extremely important to have a regional reconciliation rather than having this heightened sectarian tension in the region,'.. ..In a strongly-worded address, Rubaie complained of an Iran-Saudi proxy conflict raging in Iraq and accused some regional countries of meddling in Iraq's internal affairs. 'From where we sit in Baghdad and from an Iraqi prespective..we see competition turned into conflict between Saudi Arabia and Iran on the soil of Iraq'.." [

Gulf States Plan Currency Revaluation Talks Within Days [Dec 9]
"Gulf Arab states are considering revaluing their dollar-pegged currencies together and will hold talks on a change in the exchange rates 'in the next few days', Bahrain's foreign minister said on Saturday. Saudi Arabia and five neighbours preparing for monetary union as early as 2010 ruled out dropping pegs to the tumbling dollar after a summit last week and said any talks on revaluation would be kept secret. 'We are going to take the appropriate decision, but only as the GCC,'.. ..The dollar pegs force the region to shadow US interest rates.." [more]

872 Smugglers Arrested, Explosives and Weapons Seized [Dec 9]
"Saudi Arabia has arrested 872 alleged smugglers between July and October and confiscated explosives, weapons, mines and drugs, a newspaper reported Sunday. The daily Okaz quoted General Talal bin Mohsen Anqawi, Saudi's border guards chief, as saying border guards seized 45 kilograms of explosives, 16 rocket propelled grenades, 20 different types of weapons, five mines, 240 binoculars, 703 cell phones and a large amount of munition during the three months period.. ..The newspaper, which is deemed close to the government, did not say where the smugglers were from and did not provide more details on the weapons, explosives and drugs the guards seized.." [more]

Pilgrimage Revenues Likely to Touch Dh8b [Dec 9]
"Revenues from this year's Haj and Umrah season are expected to range between 5.234 billion Saudi riyals (Dh5.14 billion) and 9.018 billion Saudi riyals (Dh8.856 billion), according to a study. The recently-published study noted that according to some forecasts, the revenues might reach around 18.035 billion riyals in the coming decade. The study said the average of Umrah sector revenues constitutes 1.22 per cent of the kingdom's Gross National Product (GNP). 'This means that it is equivalent to 7.75 billion Saudi riyals,' the study added.." [more]

Saudi Court to Hear Appeal of Condemned Sri Lankan [Dec 9]
"An appeal hearing was set to take place on Saturday in the case of a Sri Lankan housemaid condemned to death in Saudi Arabia, the Arab News reported. A three-judge panel will hear the appeal of Rizana Nafeek, who was convicted of strangling to death her employer's four-month old baby in 2005, the English language daily reported.'There is every possibility of Rizana being acquitted and for her to be free from this case once and for all,'.. ..Around 550,000 Sri Lankans live and work in oil-rich Saudi Arabia, many of them as domestic helpers or drivers. They are a key source of foreign currency for
Sri Lanka.." [more]

Saudi Arabia Hikes Subsidies of Rice, Baby Milk [Dec 9]
"Saudi Arabia yesterday announced plans to subsidize sales of rice in the country at the rate of SR1,000 per ton. The subsidy for baby milk will go from SR2 to SR12 per kilogram as part of efforts to reduce the financial burden on public caused by soaring consumer prices.. ..Since coming to the throne in August 2005, King Abdullah has made several decisions for the welfare of Saudis and expatriates. He increased the salaries of government employees by 15 percent and cut fuel prices by 30 percent. He ordered the release of thousands of prisoners, including expatriates, who had been jailed for petty crimes. The announcement made both Saudis and expatriates happy and they expect the government to take further steps to reduce the additional burden caused by increasing prices of essential commodities.." [more]

Saudi Pushes to Get Poor on Property Ladder [Dec 9]
"The World Bank and a group of Saudi Arabian companies on Saturday launched an Islamic mortgage lender in an effort to get more people on the property ladder. Saudi Home Loans Company (SAHL) will be based in Riyadh and provide home ownership for the country’s middle- and lower-income population, which is currently underserved in housing finance.. ..The kingdom’s booming economy has seen the cost of accommodation soar over the last few years, with house prices now too expensive for many Saudis. Rents jumped 11% in September, contributing a rise in inflation of 4.8%, the highest level in at least a decade.." [more]

Western Families Face Eviction [Dec 9]
"Western families are being told to leave their compound accommodation in Jeddah at very short notice. Some families have been given no notice period whatever; others have as little as two weeks to arrange new accommodation and there is no recourse to appeal. The landlords usually refuse to give any reason to the tenant for the move. However, one informed source said that the reason for the evictions is that the law requires compounds housing Western families to be guarded by personnel of the armed forces, often the elite National Guard. Compound owners are then required to finance the guards — either directly or indirectly — and they do not wish to bear this expense for only a few families.. ..'Concentrating Westerners in compounds makes for less dispersed and larger targets,' said one Western manager of a retail complex. 'It seems to decease security for the individual rather than increase it.' Other Westerners adopt a more phlegmatic view. 'It’s a knee jerk response to the arrest of 208 individuals in the recent security sweep,' said one.." [more]
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