SR150 million Al-Fursan industrial complex company established

Updated 15 December 2012
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SR150 million Al-Fursan industrial complex company established

Riyadh: Minister of Commerce and Industry, Tawfiq bin Fawzan Al-Rabiah approved today the establishment of Rabigh-based Al-Fursan International Industrial Complex Company with a capital of SR 150 million as a joint stock company.
The company deals in the production of ceramics, porcelains, sanitary wares, and table wares.
The capital is split into shares; the nominal value of a share is SR 10. The company’ shares have been subscribed by partners.
The Minister’s approval came within the framework of the State’s policy to enhance economic activities in various sectors.
--SPA


Saudi Arabia’s economy in a ‘sweet spot’, says US bank

Updated 2 min 31 sec ago
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Saudi Arabia’s economy in a ‘sweet spot’, says US bank

  • Bank of America Merrill Lynch Global Research: “With a more entrenched current account surplus possible this year, FX reserves could increase.”
  • “Reforms are likely to broadly proceed, even at these levels of oil prices, although spending may increase further above baseline expectations.”

LONDON: The Saudi Arabian economy is in a “sweet spot”, with higher oil prices allowing the Kingdom to boost spending while not having a significant impact on the country’s fiscal balance, according to Bank of America Merrill Lynch Global Research.

“Our meetings on Saudi Arabia comfort us in our view that the economy is in a sweet spot. Higher oil prices are allowing the focus on boosting activity not to materially impact fiscal balances,” the note said, published following the IMF and World Bank Spring meetings held in Washington DC this month.

“With a more entrenched current account surplus possible this year, FX reserves could increase this year,” the note said.

The bank forecasts the country will continue to push forward with its reform process regardless of the rising price of oil. Many of Saudi Arabia’s reforms are part of its Vision 2030 that aims to diversify the country’s economy away from its reliance on oil.

Brent oil reached a three-and-a-half year high on 19 April, hitting $74.74 a barrel.

“Reforms are likely to broadly proceed, even at these levels of oil prices, although spending may increase further above baseline expectations,” the note said.

The bank was also upbeat about Egypt’s economic prospects, noting that the country’s “macro stablization” is continuing and that its reform program, which includes cutting fuel subsidies and reforming the tax system, remains “intact”.

“Authorities are on track to achieve a small 0.2 percent of GDP primary surplus this fiscal year. The target is to bring the primary surplus to 2 percent of GDP next fiscal year, and maintain it there going forward,” it said.