While most Americans get busy betting on NFL odds, the current government is busy reevaluating its alliances and business ties with the Kingdom Of Saudi Arabia. As part of the United States’ response to a recent Saudi-led push by oil-producing countries to cut global production, officials in the Biden administration are considering whether or not they should try to discourage American companies from expanding their business ties with Saudi Arabia. This is according to three current and former United States officials who are familiar with the discussions.
A senior administration official stated that the decision was made before the OPEC+ alliance announced on October 5 that it would cut oil production by 2 million barrels per day. In addition, the administration will not send any U.S. official to Saudi Arabia’s annual Future Investment Initiative conference in Riyad the following week, officials said.
It has been a prized event for Saudi Arabia’s de facto leader, Crown Prince Mohammed bin Salman, to attend the high-profile conference, which is sometimes referred to as “Davos in the desert.” According to the official, the administration was unable to make the scheduling work in order to send a government official from the United States to the conference.
President Joe Biden has stated that he is reevaluating his administration’s relationship with the kingdom and considering how to retaliate against Riyadh over the oil production decision. The present and past authorities of the United States have said that there has been no decision taken about whether or not to proceed with such an initiative. This is a side of the story that isn’t often detailed on the news, so busy people, such as those busy enjoying Vegas NFL odds, might miss them.
According to those sources, this is just one of the options that Vice President Biden is mulling over as he considers how to respond to the situation in a way that does not jeopardize fundamental American goals in the Middle East, namely bringing Israel and its Arab neighbors together in opposition to Iran. There is a possibility that the Biden administration may attempt to dissuade American companies from extending their operations in Saudi Arabia.
The idea behind reducing the amount of money that American companies invest in Saudi Arabia is that it will allow the United States to exert some influence on the Saudi government without adversely affecting the country’s security in the region. However, there is a possibility that American companies will ignore the request.
The American business community is expected to be well represented at the Future Investment Initiative conference, which will take place one week from today. The meeting will bring together company leaders, investors, and government officials. The event has served as a stage upon which the crown prince, popularly known as MBS, has presented an overview of the commercial potential available in the country.
Even if the current administration intended to influence the participation of American corporate leaders at this year’s conference, which will begin on October 25 in Riyadh, it has been admitted by officials that it is now too late to do so. This year’s conference will focus on “Investing in Humanity: Enabling a New Global Order” as its overarching subject.
The amount of involvement that the United States would have in the conference during the Biden administration was already down from the level that it had under the Trump administration. In contrast to the current administration under Biden, which sent Deputy Commerce Secretary Don Graves to the conference, the government under Trump sent the Secretary of the Treasury.
According to a statement released by Watson, they are not reaching out to firms to make such requests at this time. Just as they do in every other region of the world, American companies will make their own decisions regarding their presence and where to invest, taking into consideration a wide range of factors. These factors include legal constraints, the business environment, and reputational concerns that can arise from the public policy choices made by host countries.
A senior administration official stated that the Biden administration plans to immediately dial back diplomatic and military engagements with Riyadh. This official described a cooling of relations that would likely last until the OPEC+ leadership holds its next official meeting on December 4, which is the 34th OPEC and non-OPEC Ministerial Meeting. While betting on NFL lines is a lot of fun, one should also keep updated on the political and economic news of the nation.