Saudis to retrieve $360 billion abroad

United Press International. ^ | 8/7/2005 | United Press International.

[dila813]

RIYADH, Saudi Arabia, Aug. 7 (UPI) -- Saudi Arabia said Sunday it was working to bring back to the kingdom a total of $360 billion invested abroad in the last 18 months.

Foreign Minister Prince Saud al-Faisal told reporters the government was working on returning these "national assets" back to the oil-rich Arab country and to attract foreign investments in Saudi Arabia.

He said the kingdom has "established qualified institutions for that purpose," but did not elaborate.

The minister added that the "smooth way" in which power was handed over to new King Abdullah bin Abdul Aziz after King Fahd's death last week meant a continuation of stability.

"We hope these measures taken on the economic front will return the Saudi funds," Prince Saud said.

[Dark Skies]

Just curious but wouldn't the Islamic Dajjal, be the kuffar Messiah, and their Mahdi, our anti-Christ.

[weaver]

Let me get this straight. They are taking back their 360 BILLION DOLLARS so they can attract foreign investment? Hey, with that much money, they don't NEED foreign investment. Does this sound loopy to anybody else?

[dila813]

Yes, that is what caught my interest

It didn't compute

[RJL]

They are taking back their 360 BILLION DOLLARS so they can attract foreign investment? Hey, with that much money, they don't NEED foreign investment. Does this sound loopy to anybody else?

I wondered the same thing, what are they "investing" in that requires more than $360 Billion?

[UnbelievingScumOnTheOtherSide]

It is the islamic "anti-christ". Dajjal will occupy Arabia except for Mecca and Medina, which will be guarded by "angels".

When the U.S. occupies Saudi Arabia, the "angels" will be the politically correct Left which won't let Bush (or his successor, Tancredo?) occupy the "holy cities". That would be too inseeeeeensitive.


HADITH Sahih Bukhari [3:30:105] Narrated Anas bin Malik:
The Prophet said, "There will be no town which Ad-Dajjal [the Muslim "Anti-Christ"] will not enter except Mecca and Medina, and there will be no entrance (road) (of both Mecca and Medina) but the angels will be standing in rows guarding it against him, and then Medina will shake with its inhabitants thrice (i.e. three earth-quakes will take place) and Allah will expel all the nonbelievers and the hypocrites from it."

[Dark Skies]

They are taking back their 360 BILLION DOLLARS so they can attract foreign investment?

It depends on what kind of foreign investment they're talking about. I would imagine companies aren't rushing to invest in Saudi Arabia anyway and I would guess this money would be used to provide equity or even debt for projects they want (sweetening the pot for foreign investors).

[steve86]

The current credit bubble in the U.S. was/is financed by foreign investment (Japan in particular, but others as well). If that net inflow ends, for whatever reason or reasons, it will drastically alter the financial situation for businesses and individuals in the U.S.

[yankeedame]

that much money removed from the market would cause....what kind of damage economically, globally, and/or to the US, Europe, or Japan?

Humm...curiouser and curiouser...The Saudis want to sell off $360B worth of its world wide investments to bring the money back to Saudi...

Question:

If you were going to sell off a huge amount of your investment would you tell everyone? Or would you just quietly sell a little here and a littler there, over time, so as to get the best price for those assets up for sale?

Which leads to the next question: Just what is Saudi going to do with the cash it generates from the sale? Keep it in bags in the linen closet of the new kings' bathroom? Stuff it into mattresses? What? Or are they going to put it in the bank? Whose bank? A Saudi bank?

IMHO the poster was right on the mark who said that perhaps the Saudi family is pulling in their money, b/c they see the very real possibilities of it being frozen.

[Plutarch]

...returning these "national assets" back to the oil-rich Arab country and to attract foreign investments in Saudi Arabia.

Makes no sense. If the Saudi's retrieve $360 billion of capital, they will be sitting on a ton of unproductive money at home. Further money from without Saudi would only add more money without a productive investment. Coal to Newcastle.

Maybe by foreign investment they mean not money but expertise, management, etc.

[hershey]

We're closing the embassy in Riyadh, only for two days, though, for some reason.

[Dark Skies]

I wondered the same thing, what are they "investing" in that requires more than $360 Billion?

It might be used used to shore up the Saudi financial system during the transition to a new king.

[EBH]

The United States Must Not Neglect Saudi Arabian Investment
By Tanya C. Hsu
Executive Summary


Saudi Arabians have allocated an estimated 60% of their global investments to the United States through passive and direct investments. This commitment has enabled the United States to finance an ongoing trade deficit and produce new economic growth opportunities...

http://www.saudi-american-forum.org/Newsletters/SAF_Essay_22.htm

Factoid:Saudi investors have $750 billion in the US.

[Chode]

212112

[joesnuffy]

How to make governments sit up and beg

[Nick Danger]

Maybe they're going to get into the banking business. Makes sense... they're sitting on a river of cash.

[ConsentofGoverned]

"How to make governments sit up and beg"

the threat of pulling that much money is being used here no one announces this kind of money transfer unless they are making a threat ..just who are they threatening??
and WHY

[Marine_Uncle]

Think New York Stock Market. Time for a crash.

[Jabba the Nutt]

How does bringing money home "attract investment"?

Was that $360 billion Saudi 'government' money, Saudi 'Royal Family' money, Saudi 'Royal Family faction's money', Saudi dead King's money? Who the pickle's money is it?

[McGavin999]

a total of $360 billion invested abroad in the last 18 months.

I don't know but if it's only been in the last 18 months, chances are it isn't here in the US.

There is a distinct possibility that they have traced down the rich Saudis who are financing Al Qaeda. They may be buttoning up the kingdom.

[dakine]

Collectively, NYSE's listed companies represent about $18 trillion in market capitalization.