US Treasury Secretary urges MENA countries to use oil revenues "wisely"

23/05/2006

[File] Snow

US Treasury Secretary John Snow has urged oil exporters from the Middle East and North Africa (MENA) to spend soaring revenues "wisely" to help expand their economies. Speaking at a press conference following a weekend Sharm al Sheikh meeting with his MENA counterparts, Snow said oil revenue should be used to pay long-term dividends for their countries.

The IMF found that MENA countries are tending to save most of the revenue rather than spend it on schools, roads and ports. The report indicates 14 Middle Eastern and Central Asian oil exporters used more than half of the $400 billion increase in their budget surpluses between 2003 and 2005 to build up their foreign exchange reserves. (Reuters, Bloomberg)