ABU DHABI ø Arab states require international funding to finance
A report said Arab governments will continue to rely on Western banks
to finance crude oil, natural gas and petrochemical projects. The study,
prepared by the Arab Petroleum Investments Corp., cited the limited
financial capabilities of Arab banks. Arab Petroleum Investments was
established in 1975 with the participation of 10 Arab governments.
The study, authored by the corporation's director of projects
management, Abdullah Ibrahim, estimated energy and petrochemical investments
in the Arab world to reach $63.5 billion from 2002 to 2006. The report said
$36.5 billion would be invested in gas projects.
The investments would take place in Algeria, Egypt, Kuwait, Libya, Oman,
Qatar, Saudi Arabia and the United Arab Emirates. The study said the Arab
states would require $49 billion from 2002-2006 to increase oil output.
About $5.5 billion would be required to increase oil production in Iraq.