ASSESSMENTS

Saudi Arabia: Buying Food Security With Petrodollars

Jun 16, 2008 | 19:04 GMT

Arif Ali/AFP/Getty Images

Summary

Gulf Arab countries, led by Saudi Arabia, are using their petrodollar wealth to secure food supplies via foreign agribusiness investments. However, if the countries in which the Gulf states are investing should experience their own food shortages, they are likely to backtrack on their business deals in order to feed their populations and maintain internal stability.

A plan by Gulf countries to use their current glut of petrodollars to buy food security via foreign agribusiness investments is not a foolproof strategy. ...

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