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US looks East for a helping hand

Nov 20 2008 15:13

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Kuwait City - The United States has asked four oil-rich Gulf states for close to $300bn to help it curb the global financial meltdown, Kuwait's daily Al-Seyassah reported on Thursday.

Quoting "highly informed" sources, the daily said Washington has asked Saudi Arabia for $120bn, the United Arab Emirates for $70bn, Qatar for $60bn and was seeking $40bn from Kuwait.

Al-Seyassah said Washington sought the amount as "financial aid" to face the fallout of the financial crisis and help prevent its economy from sliding into a painful recession.

The daily said the United States plans to use the funds to help the ailing automobile industry, banks and other companies suffering from the global financial turmoil.

The four nations, all members of Opec, produce together 14 million barrels of oil per day, around half of the cartel's production and about 17% of world supplies.

The four states are estimated to have amassed close to $1.5 trillion in surplus in the past six years due to high oil prices that rocketed above $147 in July before sliding to just above $50.

The daily also said that the United States has asked Kuwait to forgive its Iraqi debt estimated at around $16bn.

- AFP

 
 
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