Honest Money

Secretary of the US of A treasury Timothy F. Geithner’s said on Tuesday at the Jeddah Chamber of Commerce that
he thinks the world has yet to fully appreciate the scale of ambition [...] we are seeing in the Kingdom [of Saudi Arabia] and the Gulf region to lay the foundation for future growth,  (1)

It would appear that by saying that, Geithner was actually
praising the ambition of the Kingdom of Saudi Arabia
to break free from the dollar peg
in order to
solve the huge bad debt problem at the Saudi business groups Saad and Algosaibi. (2)

Ivo Cerckel
honestmoney@maktoob.com
http://twitter.com/ivocerckel/

NOTES

(1)
Secretary of the US of A treasury Timothy F. Geithner’s Speech at Jeddah Chamber of Commerce
The State of the Global Economy and the Relationship between the United States [DOLLAR] and the Gulf Region
EMAILWIRE.COM, July 14, 2009
http://www.emailwire.com/release/24660-Treasury-Secretary-Timothy-F-Geithners-Speech-at-Jeddah-Chamber-of-Commerce.html

(2)
Geithner skirts issue of bad debt crisis in KSA
By Ramesh Balan
Wednesday, 15 July 2009  -  22 Rajab 1430 H
http://www.saudigazette.com.sa/index.cfm?method=home.regcon&contentID=2009071543732
SNIPS
JEDDAH – US Treasury Secretary Timothy Geithner spoke here Tuesday of aggressive efforts that were helping arrest the global economic crisis, but he backed off when asked for his response to Saudi Arabia’s biggest financial crisis since the global economic meltdown – involving a huge bad debt problem of two Saudi conglomerates because of the credit crunch.
“The force of the global recession is now receding,” Geithner said after outlining to Saudi businesspeople at the Jeddah Chamber of Commerce the Obama administration’s moves to confront the crisis
“For the first time in several quarters, the IMF and a range of private analysts are starting to revise up their forecasts for growth in the second half of this year and the next,” the Treasury Secretary said. “Global trade is starting to expand again.”
+
Geithner refused to comment on the specific case and said he doubted “that there will be a specific subject of our conversations today.”

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