“Saudi Arabia should use its massive foreign exchange reserves to defend the riyal, amid fears the world is descending into a new phase of global currency wars, the World Bank has said. The kingdom’s shaky currency peg with the dollar has come under record pressure this week as the price of oil has plummeted to near 12-year lows. Central bank reserves have dropped from a peak of $735bn to around $635bn this year – a pace of spending which will exhaust the kingdom’s fiscal buffers within five years The monarchy has vowed to stick by the exchange regime and is instead planning to strengthen its coffers through the unprecedented flotation of its state-owned oil giant, Aramco.”
Related posts:
CDC calls rising E-cigarette among teens ‘deeply troubling’
2013 was a year for American rule breakers
U.S. criticizes ‘unnecessary’ EU rules on genetically modified crops
Audit finds NSA violated ‘thousands’ of its own privacy rules
Saudi prince sues Forbes after it says he's only worth $20 billion
Former Chicago cop admits role in Latin Kings case
Cuba cracks down on goods transported in travelers' luggage
North and South Korea prepare to negotiate directly after years of mistrust
Police Chief Caught On Video Assaulting Shackled Inmate
Banks, at Least, Had a Friend in Geithner
Virginia vintners taste the police state
Greek Stocks Fall After Failed Gas Company Sale
See which bigwig insiders are cashing in
Chinese court compensates rape victim’s mother after labor camp sentencing
Ageing population pushes welfare bill to crisis point