Saudi foreign assistance
Encyclopedia
Since the 1970s Saudi Arabia
Saudi Arabia
The Kingdom of Saudi Arabia , commonly known in British English as Saudi Arabia and in Arabic as as-Sa‘ūdiyyah , is the largest state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab World...

has provided foreign assistance to many countries and organizations.

Between 1976 and 2006, Saudi developmental aid amounted to US$49 billion, second only to the United States of America. The ODA
Official development assistance
Official development assistance is a term compiled by the Development Assistance Committee of the Organisation for Economic Co-operation and Development to measure aid. The DAC first compiled the term in 1969. It is widely used by academics and journalists as a convenient indicator of...

/GNP
Measures of national income and output
A variety of measures of national income and output are used in economics to estimate total economic activity in a country or region, including gross domestic product , gross national product , and net national income . All are specially concerned with counting the total amount of goods and...

 ratio averaged 4.2% over this period, well above the highest amount provided by Development Assistance Committee
Development Assistance Committee
The Organisation for Economic Co-operation and Development's Development Assistance Committee is a forum for selected OECD member states to discuss issues surrounding aid, development and poverty reduction in developing countries...

 countries (the DAC average is 0.35%). On a per-capita basis, the country is the biggest worldwide donator though the aid has only been given to Muslim countries.

Saudi fund for development

The Saudi Fund was set up by royal decree in October 1974, to stimulate economic growth in developing nations. In the next four years it gave soft loan
Soft loan
A soft loan is a loan with a below-market rate of interest. This is also known as soft financing. Sometimes soft loans provide other concessions to borrowers, such as long repayment periods or interest holidays. Soft loans are usually provided by governments to projects they think are worthwhile...

s totaling $3.1 billion to 51 countries, many of them with the lowest per-capita income bracket in the world. Almost 60 percent of approved loans earmarked for transport, power and water projects. By 1979, the fund accounted for about 30 percent of the kingdom's foreign economic aid.

Middle East

Saudi Arabia pledged $1 billion in export guarantees and soft loans to Iraq. For Lebanon, it pledged a total of $1.59 billion in assistance and deposits to the Central Bank of Lebanon in 2006 and pledged an additional $1.1 billion in early 2007. Of that aid, $500 million dollars were intended for reconstruction.

After the Iranian earthquake, Saudi Arabia pledged more than $200,000 to the victims.

Saudi Arabia is one of the largest providers of aid to the Palestinian people
Palestinian people
The Palestinian people, also referred to as Palestinians or Palestinian Arabs , are an Arabic-speaking people with origins in Palestine. Despite various wars and exoduses, roughly one third of the world's Palestinian population continues to reside in the area encompassing the West Bank, the Gaza...

. Since 2002, Saudi Arabia has given more than $480 million in monetary support to the Palestinian Authority, and has supported Palestinian refugee
Palestinian refugee
Palestinian refugees or Palestine refugees are the people and their descendants, predominantly Palestinian Arabic-speakers, who fled or were expelled from their homes during and after the 1948 Palestine War, within that part of the British Mandate of Palestine, that after that war became the...

s by contributing to the UN Relief and Works Agency (UNRWA). Through the Arab League it has provided more than $250 million for the Palestinians, and pledged $500 million in assistance over the next three years at the Donors Conference in Dec 2007. Unlike aid from other nations, Saudi Arabian aid to Palestinians was not disrupted by the election of Hamas
Hamas
Hamas is the Palestinian Sunni Islamic or Islamist political party that governs the Gaza Strip. Hamas also has a military wing, the Izz ad-Din al-Qassam Brigades...

.

South Asia

After the 2004 Indian Ocean earthquake
2004 Indian Ocean earthquake
The 2004 Indian Ocean earthquake was an undersea megathrust earthquake that occurred at 00:58:53 UTC on Sunday, December 26, 2004, with an epicentre off the west coast of Sumatra, Indonesia. The quake itself is known by the scientific community as the Sumatra-Andaman earthquake...

 and the resulting massive tsunamis, the Saudi government gave $30 million in aid to aid the victims, including a $5 million private donation by King Fahd (Saudis in total, including citizens, donated more than $80 million).

In the aftermath of the 2005 Kashmir earthquake
2005 Kashmir earthquake
The 2005 Kashmir earthquake was a major earthquake centered in Pakistan-administered Kashmir known as Azad Kashmir, near the city of Muzaffarabad, affecting Gilgit-Baltistan and Khyber Pakhtunkhwa province of Pakistan. It occurred at 08:52:37 Pakistan Standard Time on 8 October 2005...

, Saudi Arabia donated over US$3.3 million, more than any other country, and promised an additional $573 million, also the maximum amount of money pledged. Saudi Arabia also provided 4000 pre-fabricated houses to Pakistan through the Saudi Public Assistance for Pakistan Earthquake Victims (SPAPEV). The houses, which were to be equipped with all required facilities, cost over $16.7 million. The SPAPEV also distributed 230,000 blankets, 150,000 quilts, 10,000 ordinary tents, 2,500 special winterized water proof tents, 100,000 stoves, 100,000 food.

The Saudi government pledged $230 million to development in Afghanistan. It has also pledged $133 million in direct grant aid, $187 million in concessional loans, and $153 million in export credits for Pakistan earthquake relief.

In the aftermath of the 2010 Pakistan floods
2010 Pakistan floods
The 2010 Pakistan floods began in late July 2010, resulting from heavy monsoon rains in the Khyber Pakhtunkhwa, Sindh, Punjab and Balochistan regions of Pakistan and affected the Indus River basin. Approximately one-fifth of Pakistan's total land area was underwater, approximately...

, Saudi Arabia has donated more than US $361.99 million for the relief operation, topping the list of all donating countries. Saudi royal family donated $20 million on the first day whereas Saudi citizens donated more than $107 million were collected in the first three days. Saudi Arabia started the largest air relief bridge in the history and also donated two hospital consisting of 100 beds.

Other

According to Washington Post, Saudi Arabia provided $300 million in weapons to government forces in Bosnia with the knowledge and tacit cooperation of the United States, a claim denied by officials.

The Saudi Joint Committee for the Relief of Kosovo used $5 million to finance projects in rehabilitation, foodstuffs, relief materials, educational and religious programs, sponsorship of orphans, health care programs and development. Freights from Jeddah
Jeddah
Jeddah, Jiddah, Jidda, or Jedda is a city located on the coast of the Red Sea and is the major urban center of western Saudi Arabia. It is the largest city in Makkah Province, the largest sea port on the Red Sea, and the second largest city in Saudi Arabia after the capital city, Riyadh. The...

 took 400,000 liters of milk
Milk
Milk is a white liquid produced by the mammary glands of mammals. It is the primary source of nutrition for young mammals before they are able to digest other types of food. Early-lactation milk contains colostrum, which carries the mother's antibodies to the baby and can reduce the risk of many...

 as well as 900 cartons of clothing, 1,000 blanket
Blanket
A blanket is a type of bedding, generally speaking, a large piece of cloth, intended to keep the user warm, especially while sleeping. Blankets are distinguished from sheets by their thickness and purpose; the thickest sheet is still thinner than the lightest blanket. Blankets are generally used...

s, 25 water cisterns, medical supplies and surgical appliances such as wheelchairs to Pristina. Saudi citizens donated $20 million to Kosovo in cash as well as food and medical supplies, and the Saudi Red Crescent sent medical volunteers.

In 2006, the Saudi government gave $10 million in aid to the horn of Africa
Horn of Africa
The Horn of Africa is a peninsula in East Africa that juts hundreds of kilometers into the Arabian Sea and lies along the southern side of the Gulf of Aden. It is the easternmost projection of the African continent...

, through the World Food Programme
World Food Programme
The World Food Programme is the food aid branch of the United Nations, and the world's largest humanitarian organization addressing hunger worldwide. WFP provides food, on average, to 90 million people per year, 58 million of whom are children...

, of which Kenya received $2 million. Saudi prince Al-Walid bin Talal donated $1 million to help feed 3.5 million Kenyans during the drought.

Views

In 2005, IMF Managing Director Rodrigo de Rato appreciated Saudi Arabia's role in providing economic and financial support to regional nations and developing countries in general.

A Saudi philanthropist is lobbying the Saudi government to give for the first time aid to a non-Muslim country by offering £250,000 in aid to purchase rice
Rice
Rice is the seed of the monocot plants Oryza sativa or Oryza glaberrima . As a cereal grain, it is the most important staple food for a large part of the world's human population, especially in East Asia, Southeast Asia, South Asia, the Middle East, and the West Indies...

 for Cambodia
Cambodia
Cambodia , officially known as the Kingdom of Cambodia, is a country located in the southern portion of the Indochina Peninsula in Southeast Asia...

n children.

Saudi Arabia was also criticized for giving too little in response to the 2004 tsunami, considering its large oil reserves. Al-Jazeera described its contribution (along with that of other gulf states) as "shameful."

External links

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