WEEK OF JANUARY 28, 2002

o   NEWS
  ·   REGION
      - ARABS TO TELL U.S. ITS INTERESTS AT RISK
      - ARAB LEAGUE CHIEF WARNS AGAINST US “ALIGNMENT” WITH ISRAEL
      - DOUBTS OVER NEW IRAQI INITIATIVE
      - US ANXIETY DRIVES SADDAM TO SEEK NEW ARAB ALLIES
      - NEW TALKS ON IRAQ SANCTIONS IN PROSPECT
      - IRAQ AND IRAN TO ‘FORGET PAST’
      - ARAB WOMEN’S MEDIA FORUM TO BE HELD
      - ARAB PRESS FINDS ROOTS OF TERRORISM CLOSER TO HOME
      - IDB AID FOR AFGHAN RECONSTRUCTION
      - SHARON MULLS PLAN TO REOPEN HOLY SITE TO NON-MUSLIMS
      - US ‘PROVES’ PALESTINIAN ARMS LINK
      - ARAB ALLIES URGE US NOT TO ABANDON ARAFAT
  ·   BAHRAIN
      - PANEL TO HELP BOOST EFFICIENCY IN BAHRAIN
  ·   KUWAIT
      - KUWAIT SKEPTICAL OVER IRAQI PROPOSALS
      - KUWAIT HAS RIGHT TO EXPRESS POW VIEWS: MOUSSA
  ·   QATAR
     - QATAR CALLS FOR US HELP
   ·   SAUDI ARABIA
      - COMMENTARY: FIX OUR SAUDI PARTNERSHIP
      - WHITE HOUSE POSITION ON FORCE REDUCTIONS
      - ARMY CHIEF DENIES US TROOPS ASKED TO LEAVE
      - ABDULLAH SAYS SAUDI-U.S. TIES ARE EXCELLENT
      - US AND SAUDI TO SHARE DATA ON SUSPECT GROUPS
      - SAUDIS SEEK OWN GUANTANAMO PROBE
      - CENTRAL COMMAND RELAXES ABAYA RULE IN SAUDI ARABIA
      - SAUDI SOUGHT BY FBI MAY HAVE DIED YEARS AGO, RELATIVES SAY
      - SAUDIS DUPED INTO AL-QAEDA: PRINCE SAUD
      - JEDDAH BUSINESSMEN FRUSTRATED BY TENSE RELATIONS WITH US
      - CLINTON SHOULD NOT HAVE BEEN INVITED TO JEF: PRINCE TALAL
      - SAUDI ARABIA PLEDGES $220 MILLION FOR THE RECONSTRUCTION OF
        AFGHANISTAN
      - SAUDI WOMEN CARVE A PLACE IN THE FUTURE OF THEIR COUNTRY
      - SPEAKER OF SAUDI “PARLIAMENT” DIES IN RIYADH
  ·   UAE
     - ANTI-MONEY LAUNDERING LAW SIGNED
      - BANKS ASKED TO REPORT DEALS ABOVE DH40,000
      - MULTI-MILLION DOLLAR CIGARETTE RACKET BUSTED
      - UAE PLEDGES $30M FOR AFGHAN PROJECTS
      - GOVERNMENT NOT TO FINE ILLEGAL EXPATS
o   LINK OF THE WEEK –  RESOURCES FOR THE WAR ON TERRORISM
o   BUSINESS & FINANCE NEWS
  ·   REGION
      - ENERGY FUTURES – 01.25.02
     - STEPS UNDER WAY TO INTEGRATE BANKING SYSTEM IN GCC STATES
      - UK TRADE TEAM FOCUSING ATTENTION ON EASTERN PROVINCE
      - GLOBAL SCRUTINY TRIGGERS NEW INTEREST IN ISLAMIC BANKING
      - FUJAIRAH, OMAN CHAMBERS IN PACT
      - GULF STATES TO SPEND OVER $2B IN AIRPORT EXPANSION PLAN
      - ARABS MAY INVEST $29B IN REFINING, PETROCHEMICALS
      - BOEING SEES FRESH ORDERS FROM GULF
      - GCC IN TALKS TO CHECK HAWALA DEALS
      - DHL TO INVEST $10M IN MIDDLE EAST
      - KUWAIT, QATAR TO SIGN GAS PROTOCOL PACT
  ·   BAHRAIN
     - BAHRAIN STUDYING TELECOM DEREGULATION
      - BAHRAIN BANS JAPANESE BEEF OVER MAD COW FEARS
  ·   KUWAIT
      - KUWAIT SETS FEB DEADLINE FOR NEW OIL MAJOR INTEREST
      - KUWAITI MPS GET ACQUAINTED WITH IRAN’S OIL EXPERTISE
  ·   OMAN
      - OMAN OFFERS FOREIGNERS 40PCT STAKE IN PETCHEM PLANT
      - OMAN NEEDS TO REVISE ITS COPYRIGHT LAWS
      - AMERICAN EXPRESS PLANS EXPANSION IN OMAN
  ·   QATAR
      - SHIFT IN THE LIST OF WEALTH OF NATIONS
  ·   SAUDI ARABIA
     - SAUDIS MUST REFORM ECONOMY, PRINCE WARNS
      - SAUDI DEFICIT MYSTERY SYMBOLIZES FRUSTRATION
      - DUTCH FIRM FACES PROBE FOR TROUNCING SAUDIZATION LAW
      - KINGDOM TO IMPORT RAW SUGAR FROM SUDAN
  ·   UAE
      - PLAN TO PROMOTE ABU DHABI AS IDEAL INVESTMENT CENTER
      - UAE TO MAINTAIN DEVELOPMENT SPENDING
      - BOEING INKS MEGA DEAL WITH THURAYA
      - THURAYA SAYS NO NEED FOR INDIA STATION
      - NAVY SHIP CONTRACT
      - DIC CHIEF CALLS FOR COMPETITION LAW
      - ADNOC ANNOUNCES OUTPUT INCREASE
      - ENOC UNIT TO TAP FUJAIRAH BUNKER MARKET
      - EMIRATES SKYCARGO AND MAERSK LOGISTICS SIGN DEAL
      - ADWEA RECEIVES LETTER OF INTEREST FOR UMM AL NAR UTILITY PROJECT
      - KERALA IT EXPORT PROCESSING ZONE PROPOSED
      - UAE LIKELY TO RECORD [$4.3B] TRADE SURPLUS
      - UAE ACHIEVES RECORD STEEL CONSUMPTION
o   CALENDAR - A LOOK AHEAD
o   LAST LINES
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*************************
NEWS
*************************

· REGION

ARABS TO TELL U.S. ITS INTERESTS AT RISK
Arab states plan to send a strongly worded message to the United States that
its interests in the Arab world are at risk if it does not stop Israeli
attacks on Palestinians, a Saudi newspaper reported on Monday. The
Arabic-language al-Watan quoted what it described as a high-ranking
Jordanian source as saying that King Abdullah, now visiting Saudi Arabia,
will carry the message to U.S. President George W. Bush when he visits
Washington this week.
Source: Khaleej Times (Jan. 28)

ARAB LEAGUE CHIEF WARNS AGAINST US “ALIGNMENT” WITH ISRAEL
Arab League Secretary General Amr Mussa warned of “bad consequences” from
“the injustice and (US) alignment” with Israel which “provoke the Arab
 world”, in an interview published on Saturday by the Arab Al-Hayat daily.
Source: Khaleej Times (Jan. 27)

DOUBTS OVER NEW IRAQI INITIATIVE
A Saudi newspaper said yesterday a new Iraqi initiative to return to the
Arab fold would fail unless Baghdad abandoned hostility towards its Gulf
neighbors and complied with United Nations resolutions…  Complete report…

US ANXIETY DRIVES SADDAM TO SEEK NEW ARAB ALLIES
“What is motivating Saddam is fear of destruction; it’s the wrong motivation
if you want to win friends in the region,” said an official in Riyadh. “He’s
trying to create momentum before the Arab summit and the perception of
progress to delay what someone else might be contemplating.”   Complete
report…

NEW TALKS ON IRAQ SANCTIONS IN PROSPECT
Russian and American negotiators are reported to have agreed to hold another
round of consultations early next month on the issue of sanctions against
Iraq…  Complete report…

IRAQ AND IRAN TO ‘FORGET PAST’
Thirteen years after they ended an eight-year war, Iran and Iraq have taken
steps to resolve some of the outstanding issues hampering closer relations -
primarily the fate of prisoners of war…  Complete report…

ARAB WOMEN’S MEDIA FORUM TO BE HELD
Preparations are underway to host the Arab Women’s Media Forum, on February
2-3 in Abu Dhabi… …The media event is one of the forums which was
recommended to be held by the Extraordinary Arab Women’s Summit held in
Cairo in November 2000.  Complete report...

ARAB PRESS FINDS ROOTS OF TERRORISM CLOSER TO HOME
…the fact that a debate on such sensitive issues is being aired at all
reflects a sea change in the regional atmosphere, which could also help
promote a genuine dialogue between Islamic and Western civilizations…
Complete report…

IDB AID FOR AFGHAN RECONSTRUCTION
The Islamic Development Bank (IDB) has approved a $50 million financial aid
package to help the reconstruction of war-shattered Afghanistan…  Complete
report…

SHARON MULLS PLAN TO REOPEN HOLY SITE TO NON-MUSLIMS
For the first time since the start of the Palestinian uprising 16 months
ago, Israeli authorities are considering reopening Islam’s third holiest
site to non-Muslims. At a time when the conflict is escalating with Tuesday’
s shooting in Jerusalem, Islamic spokesmen and Israeli critics have
denounced the idea of extending access to the Temple Mount-Haram al-Sharif
complex in Jerusalem as a recipe for disaster. Complete report…

US ‘PROVES’ PALESTINIAN ARMS LINK
US President George Bush has provided some of his Arab allies with evidence
he says proves the Palestinian Authority’s involvement in trying to smuggle
50 tons of weapons to the Gaza Strip.  He sent the information in letters to
the leaders of Saudi Arabia, Jordan and Egypt.  Complete report…

ARAB ALLIES URGE US NOT TO ABANDON ARAFAT
“The US’s three main Arab allies are speaking with one voice and saying to
the US that it’s extremely dangerous to think of suspension of ties with the
PA or alternatives to Yassir Arafat,” said a senior Arab official…  Complete
report…

· BAHRAIN

PANEL TO HELP BOOST EFFICIENCY IN BAHRAIN
A high-powered committee with sweeping powers to reorganize and improve the
efficiency, integrity and the overall performance of government
establishments was set up this week…  Complete report…

· KUWAIT

KUWAIT SKEPTICAL OVER IRAQI PROPOSALS
The Kuwaiti Foreign Minister, Sheikh Sabah al-Ahmad al-Sabah, says there was
nothing new in the reconciliation proposals the Arab League
Secretary-General, Amr Moussa, passed on from Iraq last week…  Complete
report…

KUWAIT HAS RIGHT TO EXPRESS POW VIEWS: MOUSSA
Secretary General of the Arab League Amr Moussa on (Jan. 28) affirmed that
the State of Kuwait has the right to express its views on the question of
prisoners as it is a crucial issue.  Moussa, in a statement to journalists,
said that he understands Kuwait’s “sentiments of bitterness and caution in
light of what has happened.”  Expressing his belief that it is necessary to
address the issue of the “situation between Iraq and Kuwait in light of Arab
and international decisions and new developments.”  Source: Kuwait News
Agency

· QATAR

QATAR CALLS FOR US HELP
Qatar’s Foreign Minister said [Jan. 23 in Washington] that Arabs could not
help the Palestinians and that their only option was to “beg” the United
States to intervene for an end to the violence in the Middle East according
to Gulf Times on January 24. “We have no strength. We are currently a nation
that cannot help the Palestinians,” HE Sheikh Hamad bin Jassim bin Jabor
al-Thani told the Al Jazeera satellite network.  The minister said he
stressed to the American officials during his current visit to the United
States, that “peace is a paramount issue” and that given “US active
involvement, backing and guarantor of the peace process… it should activate
its efforts in this track and continue with Zinni’s mission.”  Source: Gulf
News

· SAUDI ARABIA

COMMENTARY: FIX OUR SAUDI PARTNERSHIP
Op-ed by Dr. Anthony H. Cordesman
…a US presence - vital in helping Saudi Arabia modernize its forces,
containing Iraq, and defending a region with two-thirds of the world’s
proven oil reserves - is well worth keeping… …the US and Saudi Arabia need
to reassert the primacy of their mutual interests by ending their
counterproductive public feuding and working together to fight terrorism…
Complete column…

WHITE HOUSE POSITION ON FORCE REDUCTIONS
Saudi Arabian officials have asked the United States to reduce its military
presence in their country, White House Chief of Staff Andrew Card told CNN
on [Jan. 27]… …Card said planning for a pullback has been in the works for
some time and was not a recent development… …”Ever since the Gulf War ended,
we’ve been working to try to minimize the amount of time and the size of the
footprint that U.S. forces have in Saudi Arabia,” Card said. “They’ve been
asking a long time, and we’ve been working with them for a long time -- not
just during this administration but during previous administrations -- to
reduce the footprint…  Complete report…

ARMY CHIEF DENIES US TROOPS ASKED TO LEAVE
Chief of Staff Gen. Saleh ibn Ali Al-Mohayya denied in remarks published
[Jan. 22] that the Kingdom has changed its stand on military cooperation
with the United States and asked the US troops to leave its territory. “The
reports that were published in the press are not accurate,” Gen. Mohayya
told Okaz Arabic daily. “There is no change in the policy of military
cooperation between Saudi Arabia and the United States, especially in the
fields of programs and training.”  Complete report…

ABDULLAH SAYS SAUDI-U.S. TIES ARE EXCELLENT
Saudi Crown Prince Abdullah has dismissed reports of strained ties with the
United States, saying relations between Washington and Riyadh were
‘excellent’… …Prince Abdullah slammed the ‘mercenary media’ which he said
were trying to poison Saudi-U.S. relations…  Complete report…

US AND SAUDI TO SHARE DATA ON SUSPECT GROUPS
The US has sought to win greater Saudi co-operation on terrorism financing
through quiet joint investigations of suspect charities and individuals
before they are listed on the US Treasury list of banned organisations…
Complete report…

SAUDIS SEEK OWN GUANTANAMO PROBE
… to conduct their own investigation of Saudi citizens suspected of being
Al-Qaeda or Taleban members, among prisoners being held at an American naval
base at Guantanamo Bay in Cuba.  The Saudi Interior Minister, Prince Nayef
bin Abdul Aziz, said his country was discussing the issue with the
Americans…  Complete report…

CENTRAL COMMAND RELAXES ABAYA RULE IN SAUDI ARABIA
…relaxed the requirement that female service members wear the Muslim abaya
when off-base in civilian clothes… …The command still “strongly advises”
female service members to wear the abaya… …Central Command officials said
the requirement was put in place as a force protection measure… …Officials
said that wearing the abaya allows American women to blend in with the
population better and shows American cultural sensitivity… …The issue has
received a lot of attention because of a suit brought by Air Force Lt. Col.
Martha McSally against Defense Secretary Donald Rumsfeld. The pilot objected
to having to wear the abaya off-base. She contended that the rule to wear
the traditional Muslim abaya is a violation of her religious rights and
gender discrimination. Source: U.S. Defense Department
SAUDI DRESS CODE FOR FEMALE TROOPS REVISED

SAUDI SOUGHT BY FBI MAY HAVE DIED YEARS AGO, RELATIVES SAY
A Saudi national wanted by the United States for suspected Al-Qaeda links
may have died in Afghanistan three years ago and a videotape used by the FBI
to identify him appears a few years old, his relatives were quoted as saying
[Jan. 21].  The newspaper Al-Watan quoted the family of Khalid ibn Muhammad
Al-Juhani as casting doubt on US assertions that the suspects were involved
in planning terrorist attacks…  Al-Juhani was one of five suspects shown on
a videotape and in photos released by the FBI last week as part of a public
appeal for help in tracking down terrorists…  Complete report…

SAUDIS DUPED INTO AL-QAEDA: PRINCE SAUD
Saudi nationals implicated in the Sept. 11 attacks on the United States were
unwitting victims of Osama Bin Laden, Foreign Minister Prince Saud Al-Faisal
was quoted as saying [Jan. 26]. “The Saudis who perpetrated the attacks of
Sept. 11 were betrayed. You can see it in the second video cassette from Bin
Laden where you can see him laughing”…  Complete report…

JEDDAH BUSINESSMEN FRUSTRATED BY TENSE RELATIONS WITH US
While Osama bin Laden is hunted by the US, the family that disowned him is
joining other Saudi businesspeople to try to safeguard Saudi business
relations with the west, particularly the US… …In the city where Osama bin
Laden grew up, businessmen have been struggling to prevent political strains
from contaminating commercial ties with the west, while accusations remain
that some Saudis have financed terrorism…  Complete report…

CLINTON SHOULD NOT HAVE BEEN INVITED TO JEF: PRINCE TALAL
Prince Talal ibn Abdul Aziz has criticized the organizers of last week’s
Jeddah Economic Forum for inviting Bill Clinton to address the gathering
saying the former US president has lost his influence and could not serve
Arab causes now that he is out of office. Several Saudi papers criticized
the invitation especially when Clinton flew the same day to Israel to have
lunch with Israeli Prime Minister Ariel Sharon and receive an honorary
doctoral degree from a Jewish university. Clinton snubbed Palestinian leader
Yasser Arafat during the trip.  Clinton was paid SR1 million ($267,000) for
the 40-minute speech at the forum. Complete report…

SAUDI ARABIA PLEDGES $220 MILLION FOR THE RECONSTRUCTION OF AFGHANISTAN
The Kingdom of Saudi Arabia, one of the co-chairs of the Tokyo International
Ministerial Conference on Afghan Aid, has pledged $220 million for the
reconstruction of Afghanistan…  Complete press release…

SAUDI WOMEN CARVE A PLACE IN THE FUTURE OF THEIR COUNTRY
Dressed in smart suits a group of Saudi women took copious notes as
prominent speakers lined up on the podium. They asked questions, often
challenging the speakers more than the predominantly male audience… Complete
report…

SPEAKER OF SAUDI “PARLIAMENT” DIES IN RIYADH
The speaker of Saudi Arabia’s consultative Shura council, Sheikh Mohammad
bin Jubair, a leading cleric, died on Thursday aged 76, the official SPA
news agency reported.
Source: Khaleej Times, SPA, SaudiEmbassy.net

· UAE

ANTI-MONEY LAUNDERING LAW SIGNED
President His Highness Sheikh Zayed bin Sultan Al Nahyan yesterday signed a
federal law, criminalizing money laundering in the country. The 25-article
law will come into force from the day of its appearance in the official
gazette…  Complete report…

BANKS ASKED TO REPORT DEALS ABOVE DH40,000
Banks in the UAE are required to record details of those who transfer or
receive Dh40,000 ($10,890) or above…  Complete report…

MULTI-MILLION DOLLAR CIGARETTE RACKET BUSTED
Dubai Police recently foiled an attempt to smuggle counterfeit cigarettes
worth millions of dollars…  Complete report…

UAE PLEDGES $30M FOR AFGHAN PROJECTS
The UAE has pledged $30 million for infrastructure projects in Afghanistan
through an arrangement with the Abu Dhabi Development Fund, Sheikh Fahim bin
Sultan Al Qasimi, Minister of Economy and Commerce, announced at the two-day
international conference on reconstruction assistance to Afghanistan being
held here.  In a speech at the conference, Sheikh Fahim said that the UAE
has also contributed $6 million in the form of humanitarian assistance.
Complete report...

GOVERNMENT NOT TO FINE ILLEGAL EXPATS
The government will soon announce a three-month amnesty for illegal
immigrants to leave the country…  Complete report…

============================================================================
                         ~~ LINKS OF THE WEEK ~~
The war on terrorism launched by the United States after 9.11 touched many
aspects of the U.S.-Arab world relationships, especially with America’s
friends in the Gulf.  Here are two very good resources to keep up with
terrorism issues and background.

            COUNCIL ON FOREIGN RELATIONS – TERRORISM ANSWERS
                    
   A CHANGED WORLD – COMBATTING TERRORISM – THE CHRISTIAN SCIENCE MONITOR
             
============================================================================

============================================================================
         FORWARD THIS NEWSLETTER TO YOUR FRIENDS AND COLLEAGUES
============================================================================
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BUSINESS AND FINANCE NEWS
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·   REGION

[GulfWire] ENERGY FUTURES – 01.25.02
Light Crude (NYM)         $19.93 bbl UP from $18.60 bbl on 01.18.02
Brent Crude (IPE)         $19.40 bbl UP from $18.45 bbl on 01.18.02
Heating Oil (NYM)         $.537 gal UP from $.516 gal on 01.18.02
Natural Gas (NYM)         $2.09 mmbtu DOWN from $2.23 mmbtu on 01.18.02
Unleaded Gas (NYM)        $.589 gal UP from $.550 gal on 01.18.02
Source: CNNfn

****************************************************************************
ENERGY COMMODITY INFORMATION (Oil Futures, Heating Oil, Unleaded and Natural
Gas price charts and tables) - Data from July 1999 through January 2002 -
go to: http://www.arabialink.com/Resources/EnergyPriceInfo.htm 
****************************************************************************
     ENERGY INFO RESOURCE - - > DOE/EIA COUNTRY ANALYSIS BRIEFS… GO TO:
            http://www.eia.doe.gov/emeu/cabs/contents.html 
****************************************************************************

STEPS UNDER WAY TO INTEGRATE BANKING SYSTEM IN GCC STATES
Steps are under way to extend the SARIE system, through which Gulf banks
could settle inter-bank transactions in real time through online banking. A
technical committee has been set up to study the issues involved and
formulate measures in this regard…  Complete report…

UK TRADE TEAM FOCUSING ATTENTION ON EASTERN PROVINCE
The UK has been quite busy this week in the region with the business of
doing business. They are participating in the Saudi-European Trade Mission
making its way across the Kingdom. They also have the British Trade Mission
to Saudi Arabia, Qatar and Abu Dhabi traveling in the GCC…  Complete report…

GLOBAL SCRUTINY TRIGGERS NEW INTEREST IN ISLAMIC BANKING
Islamic banking provides a huge potential for investment in the GCC states’
infrastructure development, which needs $100 billion over the next ten
years. This was the assessment of Razi Fakih, head of Islamic Banking
Services at the Saudi British Bank. He said the Sept. 11 events had brought
the Islamic banking sector under international scrutiny as a result of which
there was a growing interest in the area of Islamic finance…  Complete
report…

FUJAIRAH, OMAN CHAMBERS IN PACT
The Fujairah Chamber of Commerce, Industry and Agriculture yesterday signed
a cooperation agreement with the Oman Chamber of Commerce and Industry to
boost trade ties… …the total value of UAE-Oman trade through Fujairah was
Dh96.8 million in 2000…  Complete report...

GULF STATES TO SPEND OVER $2B IN AIRPORT EXPANSION PLAN
THE Gulf states are estimated to spend over $2 billion to expand their
airports facilities within the next three years and major airport expansion
programs are afoot in the UAE, according to John Hodge, general manager,
ENOC International Sales LLC. Source: Khaleej Times

ARABS MAY INVEST $29B IN REFINING, PETROCHEMICALS
Arab states are expected to pump at least $29 billion to set up new
refining, gas and petrochemical projects and expand existing plants as they
push ahead with plans to develop their industrial sector and diversify
oil-reliant revenue…  Complete report…

BOEING SEES FRESH ORDERS FROM GULF
The GCC countries remain a lucrative market for Boeing, which hopes to get
more than 10 new orders from the Gulf this year against the backdrop of the
global slowdown…  Complete report…

GCC IN TALKS TO CHECK HAWALA DEALS
Monetary authorities in the GCC have begun discussions to devise a common
system to ensure that the hawala system is not abused for illegal purposes…
Complete report…

DHL TO INVEST $10 MILLION IN MIDDLE EAST
With a focus on expanding its infrastructure, DHL is investing $10 million
in the Middle East region while directing a large part of the investment at
the company’s operations in the GCC states according to Khaleej Times on
January 25.  Source: Khaleej Times

KUWAIT, QATAR TO SIGN GAS PROTOCOL PACT
Kuwaiti Oil Minister Adel al-Subaih will head to Qatar on [Jan. 30] to sign
a protocol agreement to import Qatari natural gas…  Complete report…

·   BAHRAIN

BAHRAIN STUDYING TELECOM DEREGULATION
Bahrain has recently appointed a consultant to examine deregulation of the
telecom sector…  Complete report…

BAHRAIN BANS JAPANESE BEEF OVER MAD COW FEARS
Bahrain imposed on [Jan. 23] a ban on beef imports from Japan because of
fears of the spread of mad cow disease…  Complete report…

·   KUWAIT

KUWAIT SETS FEB DEADLINE FOR NEW OIL MAJOR INTEREST
Kuwait said on Sunday it would accept until mid-February additional
applications from firms interested in developing the OPEC member’s domestic
oilfields…  Complete report…

KUWAITI MPS GET ACQUAINTED WITH IRAN’S OIL EXPERTISE
A delegation of the Finance and Economy Committee of the Kuwaiti Parliament
held talks with Chairmen of Iran’s Shura Council’s Committees in Tehran on
January 28 according to KUNA.  Kuwaiti MP Abdulwahhab Al-Haroun, Chairman of
the Committee and delegation, hoped in a statement to KUNA that both
countries would execute more integration steps.  Al-Haroun said Kuwait could
supply Iran with oil by-products and Tehran could export its surplus of gas
production to Kuwait.  The lawmaker said the talks focused on making a good
use of Iranian expertise to cooperating with international oil companies to
develop oil industry.
Source: Kuwait News Agency

·   OMAN

OMAN OFFERS FOREIGNERS 40PCT STAKE IN PETCHEM PLANT
Oman plans to offer international investors a 40 percent stake in a proposed
project to build a $200 million polypropylene plant in the northern city of
Sohar…  Complete report…

OMAN NEEDS TO REVISE ITS COPYRIGHT LAWS
Oman needs to revise its copyright laws to take into account recent industry
developments, Jawad Al Redha, regional director, Business Software Alliance
(BSA), told Gulf News…  Complete report…

AMERICAN EXPRESS PLANS EXPANSION IN OMAN
American Express, the credit card and travelers’ check giant which reported
a 50 per cent increase in business in the Middle East and North Africa
(MENA) region last year, yesterday announced it was going ahead with plans
to expand operations in the Sultanate according to Khaleej Times on January
27.  Source: Khaleej Times

·   QATAR

SHIFT IN THE LIST OF WEALTH OF NATIONS
Mega gas projects have catapulted Qatar to the throne of the wealthiest Arab
countries to overtake the UAE and become one of the richest nations in the
world…  Complete report…

·   SAUDI ARABIA

SAUDIS MUST REFORM ECONOMY, PRINCE WARNS
…solve its economic problems or be “left behind by time,” the billionaire
investor Prince Alwaleed bin Talal warned [Jan. 20].  Alwaleed, a nephew of
Saudi King Fahd, told an economic conference in the Red Sea port of Jiddah
that the kingdom faces three main challenges: diversification of national
revenue, increasing the growth rate, and increasing job opportunities --
especially for the young…  Complete report…

SAUDI DEFICIT MYSTERY SYMBOLIZES FRUSTRATION
…The debate over economic change has also been driven by post-September 11
questions that failure to reform the Saudi economy and create sufficient
jobs for a young population was contributing to radicalization of Saudi
youth…  Complete report...

DUTCH FIRM FACES PROBE FOR TROUNCING SAUDIZATION LAW
Authorities are investigating a Dutch company in the Kingdom for allegedly
violating Saudization regulations. This follows complaints by a Saudi
national.  Saud Al-Qahtani, who worked as a lawyer for the company before he
was sacked, charged that the company refused to recruit Saudis for higher
positions filled by expatriates. He also accused the company of forcing him
to justify the unjust dismissal of a Saudi before the labor disputes
committee.  Complete report…

KINGDOM TO IMPORT RAW SUGAR FROM SUDAN
Saudi Arabia and Sudan have agreed to build a $30 million factory in Sudan.
It will produce vegetable oil, officials from the Sudanese Ministry of
Industry and Investment and Saudi company executives have announced. Saudi
Arabia also agreed to import from Sudan raw sugar for a refinery in Jeddah,
they said…  Complete report…

·   UAE

PLAN TO PROMOTE ABU DHABI AS IDEAL INVESTMENT CENTER
The Abu Dhabi Chamber of Commerce and Industry is embarking on a five-year
plan (2002-2006) to project Abu Dhabi globally as an ideal investment and
business center of the region with a view to help the industrialization plan
of the Emirate…  Complete report…

UAE TO MAINTAIN DEVELOPMENT SPENDING
The UAE has no plans to shelve development projects despite the uncertainty
in the global oil markets… …Jouan Salim, undersecretary of Abu Dhabi Finance
Department, said he expected non-oil sectors this year to maintain the
strong momentum of the past two years despite the weakening of oil prices
and lower output by the UAE…  Complete report…

BOEING INKS MEGA DEAL WITH THURAYA
Thuraya [Jan. 21] announced it has signed a landmark agreement signaling its
full acceptance of the turnkey $1 billion Thuraya mobile satellite
telecommunications system built for it by U.S. aerospace giant Boeing.
Complete report...

THURAYA SAYS NO NEED FOR INDIA STATION
Thuraya’s satellite-based telecommunication services can work without the
need for a gateway in India, according to a top official with the UAE-based
company.  The official was reacting strongly to an Indian minister’s
comments that Thuraya must set up the station in India to sell its handsets…
Complete report…

NAVY SHIP CONTRACT
Public joint stock company Abu Dhabi Ship Building (ADSB) [Jan. 22]
announced it has won a contract of over Dh100 million from the UAE Armed
Forces to build 12 naval amphibious transport boats for the UAE Navy… …the
company invested over Dh180 million in quadrupling its facilities and
capabilities last year.  Complete report…

DIC CHIEF CALLS FOR COMPETITION LAW
Ahmed bin Byat, chief executive officer of Dubai Internet City, called for
the establishment of a competition law because it was the necessary backbone
for market liberalization... Complete report…

ADNOC ANNOUNCES OUTPUT INCREASE
The Abu Dhabi National Oil Company, ADNOC, has announced that it is planning
to increase its oil and gas output in Abu Dhabi and to expand its
petrochemical refinery industry. Complete report…

ENOC UNIT TO TAP FUJAIRAH BUNKER MARKET
Emirates National Oil Co (ENOC) has set up 51 per cent owned subsidiary ENOC
Bunkering (Fujairah) to tap the potential-rich Fujairah bunker market… …The
group intends to enter the Dubai bunker market as well within six months
through a new entity, ENOC Bunkering (Dubai)… Complete report…

EMIRATES SKYCARGO AND MAERSK LOGISTICS SIGN DEAL
Emirates SkyCargo and Maersk Logistics have signed a global agreement under
which both parties will support each other’s organizations and services…
Complete report…

ADWEA RECEIVES LETTER OF INTEREST FOR UMM AL NAR UTILITY PROJECT
…for Abu Dhabi’s fourth independent water and power project (IWPP)… …”Adwea
will first shortlist the companies individually, to be followed by
shortlisting consortiums. We will issue specifications in mid or late March
after detailed assessments”…  Complete report…

KERALA IT EXPORT PROCESSING ZONE PROPOSED
“We are now probing the proposal. Such a zone can allow IT companies here,
particularly Indian-owned, to come and invest in Kerala and extend their
activities there”…  Complete report…

UAE LIKELY TO RECORD [$4.3B] TRADE SURPLUS
The UAE is expected to record a trade surplus of Dh16.04 billion, equivalent
to 7 per cent of the GDP in 2001, according to a study…  Complete report…

UAE ACHIEVES RECORD STEEL CONSUMPTION
The UAE witnessed record consumption of steel in 2001 with the total figure
crossing 1.5 million tons…  Complete report…

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