US Competes with Russia Over Saudi Nuclear Reactors

US Energy Secretary Rick Perry delivers a speech during the general conference of the International Atomic Energy Agency in Austria, September 18, 2017.Ronald Zak/AP
US Energy Secretary Rick Perry delivers a speech during the general conference of the International Atomic Energy Agency in Austria, September 18, 2017.Ronald Zak/AP
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US Competes with Russia Over Saudi Nuclear Reactors

US Energy Secretary Rick Perry delivers a speech during the general conference of the International Atomic Energy Agency in Austria, September 18, 2017.Ronald Zak/AP
US Energy Secretary Rick Perry delivers a speech during the general conference of the International Atomic Energy Agency in Austria, September 18, 2017.Ronald Zak/AP

It seems that competition will be fierce on building Saudi nuclear reactors, in which the United States shows great interest after Russia has applied an official tender to build them.

US Energy Secretary Rick Perry will travel to London to discuss the Saudi nuclear energy project with his Saudi counterparts, primarily Saudi Arabia's Oil Minister Khalid al-Falih, reported Bloomberg on Tuesday. Perry scrapped a trip to New Delhi to accommodate meetings at the White House this week, creating an opening for him to lead an inter-agency delegation to London.

The administration is considering permitting Saudi Arabia to enrich and reprocess uranium as part of a deal that would allow Westinghouse Electric Co. and other American companies to build nuclear reactors in the Middle East kingdom.

Some American agreements with other countries have prohibited the enrichment and reprocessing of uranium in exchange for the use of nuclear technology, and that had scuttled negotiations for Saudi projects during the Obama administration.

Two weeks earlier, Russian Energy Minister Alexander Novak announced, during a joint news conference with his Saudi counterpart, that the state-owned nuclear company Rosatom had applied for a tender to construct two power plants in Saudi Arabia.

Media reports quoted a source from King Abdullah City for Atomic and Renewable Energy as saying that the kingdom received tenders from five international companies from China, France, US, South Korea and Russia to carry out engineering and construction works of the two nuclear reactors.

Constructions are anticipated at the beginning of next year, with a joint funding from the Saudi government and the executing company. The two reactors are expected to have a capacity of 2.8 gigawatts



IMF Grants Egypt Initial Approval of $1.2 Bln Fourth Review

Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)
Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)
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IMF Grants Egypt Initial Approval of $1.2 Bln Fourth Review

Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)
Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)

The International Monetary Fund said on Wednesday it reached a staff-level agreement with Egypt on the fourth review under its Extended Fund Facility arrangement, potentially unlocking a $1.2 billion disbursement under the program.

Egypt, grappling with high inflation and shortages of foreign currency, agreed to the $8 billion, 46-month facility in March. A sharp decline in Suez Canal revenue caused by regional tensions over the last year compounded its economic woes.

The IMF said Egypt's government had agreed to increase its tax-to-revenue ratio by 2% of gross domestic product over the next two years, with a focus on eliminating exemptions rather than increasing taxes.

This would give it space to increase social spending to help vulnerable groups, the IMF said in a statement.

"While the authorities' plans to streamline and simplify the tax system are commendable, further reforms will be needed to enhance domestic revenue mobilization efforts," the statement said.

Egypt had agreed to make more decisive efforts to ensure the private sector became the main engine of growth and to sustain its commitment to a flexible exchange rate, the IMF statement added.

The staff-level agreement of the fourth review must still be approved by the IMF's executive board.