JEDDAH: The Council of Ministers emphasized on Monday that Saudi Arabia would continue its policies and reforms aimed at strengthening the national economy and increasing public confidence in its ability to deal with global financial crisis.
The Cabinet meeting, chaired by Custodian of the Two Holy Mosques King Abdullah, reaffirmed this commitment while reviewing a report of International Monetary Fund on the Kingdom's economic performance.
The IMF report confirmed that Saudi Arabia was able to confront the current global crisis thanks to its strong economic basis. The Kingdom has implemented structural reforms to boost growth driven by the private sector, it added.
This has enabled Saudi Arabia to occupy the first position among Arab countries for the fourth consecutive year and the 16th global position in a World Bank report on business practices, the Cabinet said.
The IMF report also noted that nonoil GDP is projected to grow by 3.3 percent in 2009, supported by an expansionary fiscal stance. Inflation is expected to retreat to about 4.5 percent, it said.
At the outset of the Cabinet meeting, King Abdullah congratulated Muslims all over the world on the advent of the holy month of Ramadan.
He urged all Muslims to make use of the blessed month to promote mutual love, brotherhood, cooperation, tolerance and sympathy and give priority to the higher interests of the Ummah above all other considerations.
"We should also use the holy month for reflection and self evaluation," the king told Muslims. King Abdullah earlier briefed the ministers on the outcome of his talks with world leaders and their envoys on different political and economic issues.
The Cabinet, meanwhile, commended King Abdullah for approving the establishment of four new universities in Dammam, Alkharj, Shaqra and Majmaa and said it would contribute to enhancing the capabilities of younger generations to take part effectively in the development process.
The Cabinet heard a report from Second Deputy Premier and Minister of Interior Prince Naif about the ongoing efforts for the return of Al-Ais residents to the quake-prone region and the measures taken by the government for their protection.
"King Abdullah instructed the concerned government departments to make all-out efforts to ensure the safety and peace of Al-Ais people," Culture and Information Minister Abdul Aziz Khoja said.
The Cabinet commended Saudi security forces for their efforts in arresting 44 Al-Qaeda suspects who tried to undermine the Kingdom's security and stability.
Khoja said the Cabinet took a number of other important decisions. It endorsed the Kingdom's security agreement with Germany; and authorized Health Minister Dr. Abdullah Al-Rabeeah to sign a memorandum of understanding with Qatar for cooperation in the health sector.
The president of King Abdulaziz City of Science and Technology has been assigned to hold talks with his French counterpart to reach an agreement with Paris on peaceful use of nuclear energy.
The Cabinet also agreed to import Palestinian products without charging any customs tariff for another year, beginning from Sept. 1, 2009.
The Cabinet appointed Fahd bin Abdul Rahman Al-Rajih, ambassador, Muwaffek bin Mahmoud Hafiz, minister plenipotentiary, Abdul Rahman bin Gharman Al-Shahri, minister plenipotentiary at the Foreign Ministry and Abdul Aziz bin Abdul Rahman Al-Muqbil, director of administrative and financial affairs at the Ministry of Commerce and Industry.
