SAUDI ECONOMIC OUTLOOK IMPROVED, MINISTER SAYS
Saudi Arabia's economy is
showing signs of picking up after problems last year caused by
the steep fall in oil prices, Commerce Minister Suleiman
Abdulaziz al-Salim said.
    Salim told a conference of Saudi businessmen the government
had taken a bold step to stimulate the economy by drawing down
more than 50 billion riyals of reserves in its 1987 budget.
    Salim said one tangible sign of that optimism had been a
strong rise in the price of Saudi shares. Some have gained by
more than 35 pct since last November.
    But the keynote speaker, Prince Khaled al-Faisal, accused
Saudi businessmen of ingratitude because they preferred to
invest abroad rather than in Saudi Arabia.
    The need to increase private investment in Saudi Arabia is
expected to be a major theme of the conference.
    Saudi Arabia's economic planners have long recognised the
need to stimulate the private sector and diversify the
oil-dependent economy.
    But despite the encouraging signals cited by Salim, some
businessmen and bankers said they are still sceptical about
prospects for the economy.
 REUTER
