Date: 2011/3/11
Subject: DRBST400SAVES@GMAIL.COM BLOGGERI SITE Re: [TechRepublic] Emerald City Comicon 2011: Highlights
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In 1967, as the Arab-Israeli conflict intensified prior to the Six-Day War, King Faisal expressed full support for Egyptian President Gamal Abdel Nasser and dispatched 20,000 troops to Jordan to face Israeli forces. On June 6 all Saudi oil exports to Britain and the United States were suspended, but diplomatic ties were not broken; the oil trade was resumed after the Arab defeat. An Arab summit conference later in the year resulted in Egyptian withdrawal from Yemen, and the Saudis extended large-scale aid to Egypt to compensate for the loss of revenue caused by the closing of the Suez Canal during the war. King Faisal continued to call for pan-Islamic action against Israel and, under internal pressures, criticized alleged United States complicity with Israel. He remained unwilling, however, to articulate a militant anti-Western position, and in 1971 Saudi Arabia and five other Persian Gulf states concluded a five-year pact with 23 Western oil companies, including 17 U.S. firms. In July 1970, Saudi Arabia formally recognized the republican government of Yemen after seven years of intermittent border fighting.
BalasHapusSaudi Arabia sent a small number of troops and weapons (notably aircraft) to aid the Arab states in 1973 during the Yom Kippur War with Israel. In the aftermath of that conflict the government played a leading role in organizing a short-term oil boycott against countries that had supported Israel and quadrupling the international price of petroleum. The latter development, and Saudi Arabia's 1974 takeover of controlling interest in the huge Aramco, greatly increased government revenue, thus providing funds for a massive economic development plan.
Financial Strength and Military Preparedness
In March 1975 King Faisal was assassinated by a nephew and was succeeded by Prince Khalid. Khalid, however, was in poor health and his half brother, Crown Prince Fahd, became the power behind the throne. The country remained conservative, and its influence kept OPEC from raising its prices to the extent most member countries wanted. In 1980 it was announced that the Saudi government had taken full control of Aramco's assets retroactively from January 1976. Much of the petroleum money that poured into the country was reinvested in the West or spent on arms, but domestic inflation and a barely manageable pace of development were continuing problems.
Saudi Arabia, still considered a moderating force in the Arab-Israeli conflict, took a dim view of the conciliatory overtures by Egyptian president Anwar al-Sadat to Israel in 1977,