IMF head praises Saudi Arabia’s role

RIYADH - Agence France-Presse

The International Monetary Fund (IMF) Managing Director Lagarde says Saudi Arabia’s policies have had a positive impact on the region and the global economy. REUTERS photo

Saudi Arabia has played an “important role” in stabilizing the oil market and supporting the global economy, International Monetary Fund (IMF) Managing Director Christine Lagarde said in a statement Saturday.

Lagarde’s comments came at the conclusion of her two-day visit to the kingdom, the first since her appointment as head of the world body.

“This constructive global and regional engagement reflects Saudi Arabia’s role as a leader in not only the oil market but also the region and the global economy,” said Lagarde.

The IMF chief held talks with Saudi’s King Abdullah, the finance minister, the governor of the central bank and representatives of the private sector and civil society.

Lagarde commended the Saudis for “preserving financial stability” in the wake of global economic crisis and said the kingdom’s “strong economic policies” and oversight of the financial sector mitigated the effects of the global crisis on the Saudi economy.

“Saudi Arabia’s policies had an important positive impact on the region and the global economy,” said Lagarde, adding that the country has made “significant progress in social development and is now close to the Group of 20 average for most indicators.”

According to state news agency SPA, the IMF chief’s meetings with Finance Minister Ibrahim al-Assaf on Saturday focused on “efforts to resolve” Europe’s debt crisis.

The IMF aims to raise another $500 billion (380 billion euros), on top of the nearly $390 billion it has available now, to help countries in financial distress.