Saudi vows to hit back at threats
SAUDI Arabia warned yesterday it will respond to any “threats” against it as its stock market plunged following US President Donald Trump’s warning of “severe punishment” over the disappearance of Washington Post contributor Jamal Khashoggi.
Trump made a point of visiting the kingdom on his first overseas trip as president and has touted arms sales to Saudi Arabia. But both the White House and the kingdom are under mounting pressure as concern grows over the fate of the veteran journalist, who hasn’t been seen since he entered the Saudi Consulate in Istanbul on October 2.
Already, international business leaders are pulling out of the kingdom’s upcoming investment forum, a high-profile event known as “Davos in the Desert”.
“The kingdom affirms its total rejection of any threats and attempts to undermine it, whether by threatening to impose economic sanctions, using political pressures or repeating false accusations,” the statement read.
“The kingdom also affirms that if it receives any action, it will respond with greater action, and that the kingdom’s economy has an influential and vital role in the global economy.”
The statement from the world’s top oil exporter came after the Tadawul exchange in Riyadh dropped by 7% at one point during the week’s first day of trading, with 182 of its 186 listed stocks showing losses by the early afternoon. The market clawed back some of the losses, trading down over 4% later on.
Turkish officials say they fear Saudi agents killed and dismembered Khashoggi after he entered the consulate, saying they have audio and video recordings of it that they have not released. The kingdom has called the allegations “baseless”, but has offered no evidence the writer ever left the consulate.
Trump told CBS’ 60 Minutes that the consequences of Saudi Arabia being involved would be “severe”.
Saudi Crown Prince Mohammed bin Salman has aggressively pitched the kingdom as a destination for foreign investment. But Khashoggi’s disappearance, and suspicions he may have been targeted over his criticism of the crown prince, have led several business leaders and media outlets to back out of an upcoming high-profile investment conference in Riyadh.
Khashoggi, who was considered close to the royal family, had become a critic of the current government and Prince Mohammed, the 33-year-old heir apparent who has shown little tolerance for criticism.
As a contributor to the Post, Khashoggi has written extensively about Saudi Arabia, including criticism of its war in Yemen, its recent diplomatic spat with Canada and its arrest of women’s rights activists.
Trump once suggested Saudi Arabia’s king “might not be there for two weeks” without US military support.