[iwar] [fc:SAUDIS.PULL.BILLIONS.OUT.OF.U.S..ECONOMY]

From: Fred Cohen (fc@all.net)
Date: 2002-08-21 07:53:33


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Date: Wed, 21 Aug 2002 07:53:33 -0700 (PDT)
Subject: [iwar] [fc:SAUDIS.PULL.BILLIONS.OUT.OF.U.S..ECONOMY]
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SAUDIS PULL BILLIONS OUT OF U.S. ECONOMY

Roula Khalaf, FINANCIAL TIMES, 21 August - Disgruntled Saudis have 
pulled tens of billions of dollars out of the US, signaling a deep 
alienation from America. One analyst said the total funds withdrawn 
by individual investors amount to $200 billion. Other bankers put the 
figure nearer to $100 billion . . .

Accusations that Saudi Arabia's austere brand of Islam breeds 
terrorism and its charities finance Osama bin Laden's al-Qaeda 
network have been perceived in the kingdom as attacks on Saudi 
society and its religion. An analyst from the Rand Corporation said 
at a Pentagon briefing this month that Saudi Arabia was the "kernel 
of evil", exacerbating concerns among the country's elite that they 
have become demonized in the US and their money is no longer safe 
there.

Details of Saudi investments in the US are sketchy but financial 
analysts believe they range between $400bn and $600bn. The funds are 
invested in private equity, the stock and bond markets and real 
estate. The figures include investments by members of the royal 
family.

Investors are not thought to be closing down their US accounts. 
Instead they are moving money into European accounts. Bankers in 
London said the largest established Saudi investors did not yet seem 
to be following the trend.

<a href="http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT/FullStory&c=StoryFT&cid=1028185908113&p=1012571727088">http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT/FullStory&c=StoryFT&cid=1028185908113&p=1012571727088> 

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