Sunday, Sep 25, 2011
RIYADH (Zawya Dow Jones)--There is a real fear in financial markets of the global economy sliding back into recession as investors doubt the ability of major economies like the U.S. to handle their current fiscal problems, Al Arabiya television reported Sunday, citing Saudi Arabia's finance minister.
"There is real fear that the global economy will slide into recession. I think that there will be a drop in growth, but will not reach the stage of recession," Ibrahim Al Assaf told the Dubai-based channel, adding that the global economy is suffering from a "confidence crisis."
Emerging nations such as China, India and Brazil are currently in a much better financial position despite some inflationary pressures, he said.
Al Assaf added that Saudi Arabia will contribute to the $38 billion aid package pledged by Western and Middle Eastern governments to help Egypt, Tunisia, Morocco and Jordan all make the transition to democracy.
By Summer Said, Dow Jones Newswires; +966-546-842373; summer.said@dowjones.com
Copyright (c) 2011 Dow Jones & Co.
(END) Dow Jones Newswires
25-09-11 0825GMT
