Financial Times FT.com

Speculation grows of Saudi revaluation

By Simeon Kerr and Peter Garnham

Published: September 24 2007 21:32 | Last updated: September 24 2007 21:32

The Saudi Arabian Monetary Agency’s decision to keep interest rates on hold after the Federal Reserve cut rates last week has sparked speculation that the kingdom might revalue the riyal for the first time in 21 years.

There has even been talk that the Saudis might abandon the riyal’s peg to the dollar, which has stood at SR3.75 since December 1986.

You have viewed your allowance of free articles. If you wish to view more, click the button below.

Read this