Projects worth $ 620 billion from Riyadh to Washington

Saudi Arabia intends to propose investment projects to the American business sector estimated at a value of $ 620 billion. This will be during a visit by a Saudi trade delegation to the USA today.

This figure, however, represents the total value of investments the Kingdom intends to carry out until 2020.

The projects include the sectors of the infrastructure, the petrochemicals, telecommunications, agriculture and Information technology.

Saudi Arabia expects these projects to ensure half a million job opportunities annually in the kingdom.

Saudi Arabia seeks to reinforce investments in non oil sectors so as not to place the economy under the mercy of the changes in the world oil prices.

Though the industrial sector contributes to more than 67% of the GNP in Saudi Arabia, against 4% for agriculture and 28% for services, however, oil still contributes to 75% of export revenues.

Unemployment rate in Saudi Arabia reached in 2004, according to unofficial estimated more than 25%. This, however, is among other factors that open the way before the escalation of poverty phenomenon.

Analysts say that the American companies will most evidently show reservations before their approval to pump all these billions of dollars because Riyadh has not settled many of its differences with the World Trade Organization WTO, especially in regard to issues like liberating the service sector and amending customs fees and protecting the intellectual property and amending labor work.

Worthy mentioning that the visit of the Saudi crown prince Abdullah to Washington by the end of April contributed to the process of debating these projects.