SAMA Raises Rate on Riyal

RIYADH, 10 August 2005 — Saudi Arabian Monetary Agency (SAMA) raised interest rate on riyal by a quarter percent to 3.50 from 3.25 percent on deposits and on loans 4 from 3.75 percent. The new rates were effective starting yesterday. This decision preceded a decision by the US Reserve Federal Bank to raise the interest rate on the dollar by a quarter of a percent. This maintains the Saudi repo difference of half a percentage point above the US money interest rate.