VZCZCXYZ0004
PP RUEHWEB

DE RUEHRH #0226/01 0350434
ZNR UUUUU ZZH
P 040434Z FEB 09
FM AMEMBASSY RIYADH
TO RUEHC/SECSTATE WASHDC PRIORITY 0038
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY

UNCLAS RIYADH 000226 
 
SENSITIVE 
SIPDIS 
 
DEPT FOR NEA/ARP AND EEB 
DEPT PASS TO SMALL BUSINESS ADMINISTRATION 
DEPT PASS TO FTC/OFFICE OF INTERNATIONAL AFFAIRS 
DEPT PASS TO CONSUMER PRODUCT SAFETY COMMISSION/OFFICE OF 
INTERNATIONAL PROGRAMS 
 
E.O. 12958: N/A 
TAGS: ECON ETRD ECIN ETTC PREL SA
SUBJECT: SAUDIS ANXIOUS TO COLLABORATE ON CONSUMER 
PROTECTION 
 
¶1. (U) This is an action request:  please see paragraph 8. 
 
¶2. (SBU) Summary:  The DCM met with officials at the Ministry 
of Commerce and Industry to discuss the Minister of 
Commerce's interest in visiting Washington DC in the coming 
months.  The Minister is particularly interested in 
cooperation in the areas of consumer protection and small 
business promotion.  Deputy Minister Akeel highlighted 
several recent improvements in the Kingdom that promote 
investment, including the creation of a new center to assist 
in corporate registration and changes to the Public 
Investment Fund's loan parameters.  End summary. 
 
Minister of Commerce goes to Washington 
--------------------------------------- 
 
¶3. (SBU) On January 28, the DCM met with Deputy Minister for 
Internal Trade Hassan Akeel at the Ministry of Commerce and 
Industry to discuss a proposed upcoming visit by Minister of 
Commerce and Industry Abdullah Alireza to the United States 
(probably to occur in April).  In particular, the Minister is 
interested in meetings with USG agencies involved in consumer 
protection and small business promotion.  The Minister has 
been very active in these two areas in recent months, 
creating a new deputy minister position for consumer affairs 
and establishing a "one-stop" center within the Ministry for 
the registration of new businesses. 
 
Cooperation on consumer protection and commercial law 
--------------------------------------------- -------- 
 
¶4. (SBU) The DCM and Akeel also discussed the possibility of 
establishing a memorandum of understanding between the 
consumer protection arm of the Ministry of Commerce and 
Industry (MoCI) and both the U.S. Consumer Products Safety 
Commission and the Federal Trade Commission's Bureau of 
Consumer Protection similar to MOUs these two agencies have 
with numerous other countries.  The Deputy Commerce Minister 
seemed receptive to this idea, suggesting the Embassy send a 
letter to the Minister mentioning this possibility.  Finally, 
the DCM suggested the Ministry consider working with us on a 
technical cooperation agreement to help facilitate commercial 
law training for judges. 
 
Improvements in the investment climate 
-------------------------------------- 
 
¶5. (SBU) Akeel seemed eager to mention several recent 
improvements in the Kingdom's investment climate.  In 
particular, the MoCI has set up a "one-stop" center for new 
businesses to register.  This center includes representatives 
from MoCI for commercial registration, from the Ministry of 
Justice for the notarization of contracts, and from other 
ministries to make additional start-up arrangements.  He also 
mentioned that the Public Investment Fund had recently 
changed the maximum size of its loans from SAR 4 billion to 
SAR 5 billion; and increased the maximum share of project 
financing it was allowed to provide from 30% to 40%.  Also 
they now allow 20 years to pay off the loan as opposed to the 
previous 15. 
 
Comment 
------- 
 
¶6. (SBU) The Minister's strong interest in working with the 
U.S. in these key areas is a significant opportunity to 
strengthen bilateral ties with a key energy supplier and 
financial partner and to encourage the development of good 
regulations and strong institutions in this country that has 
at times (and in some sectors) lacked both.  This should be a 
key U.S. objective. 
 
¶7. (SBU) Moreover, outside of efforts to promote Saudi 
students studying in the U.S., direct 
government-to-government cooperation and training provides 
the USG with its most tangible means of ensuring the next 
generation of Saudi leaders will continue to prefer working 
with the U.S. over others.  We should do everything possible 
to facilitate his travel to Washington and to see that 
officials at the appropriate level are available to meet with 
him.  End comment. 
 
Action request 
-------------- 
 
 
 
¶8. (SBU) Post requests the Department's assistance in 
identifying appropriate officials at the Consumer Products 
Safety Commission, the Federal Trade Commission's Bureau of 
Consumer Protection, the Small Business Administration, and 
the Commercial Law Development Program in the Department of 
Commerce's Office of General Counsel who would be prepared to 
meet with the Minister of Commerce in the event he visits 
Washington in the coming months.  Post also would welcome 
advice on potential additional USG partners in Washington. 
FRAKER