Manama slams Israeli aggression

Bahrain Prime Minister Sheikh Khalifa bin Salman Al Khalifa severely criticised the brutal Israeli invasion of Palestinian territories and emphasised the need for urgent peaceful solution to the crisis.

At the inaugural session of the Gulf Investment Forum yesterday, Sheikh Khalifa said "peace and development go hand in hand and there will be no development without peace.

The region is witnessing the most savage form of violence and destruction as a result of the oppressive policies and activities of the Israeli occupation forces against the unarmed Palestinian people.

"Therefore we appeal to all friendly governments and people and exert maximum efforts to stop these savage actions and work towards easing the suffering of the Palestinian people and to find a just solution for the Palestinian question in line with international legitimacy and the United Nations resolutions so all the people in the region can live in peace and security".

Sheikh Khalifa also spoke about the economic policy of Bahrain and the sustained economic, social development and a growth in productivity achieved by the country besides creating a conducive environment to attract foreign investment.

"The recent political and economic initiatives undertaken in Bahrain have in fact enabled the government to provide still more suitable ground for a modern economic environment which is based on the comprehensive rehabilitation for investment and other economic sectors" said the prime minister who called on other GCC countries to follow the suit to confront the new challenges in the global economy which is paving the way for new economic blocs.

He also called to provide support for private sector and encourage it to merge in order to be strong and competitive.

Sponsored by a group of leading banks and hosted by the Bahraini Finance and National Economy Ministry the two-day Gulf Investment Forum began yesterday at Le Royal Meridien under the theme Strength through diversity - Changing economies of the GCC.

In his opening speech Abdullah Saif, Finance and National Economy Minister, also spoke about the continuing Israeli oppression in the occupied Palestinian territories and urged the international community to support the peace initiatives of Saudi Crown Prince Abdullah bin Abdulaziz Al Saud to bring peace and justice and end the conflict in the Middle East to allow the region to reach its full economic potential.

On the economic scene in the region Abdullah Saif said in Bahrain and, throughout the GCC, the outlook for continued economic reform remains sanguine and there are signs of substantial investment interest arising from both foreign direct investment and repatriation of some regional capital.

Tracing the economic progress of Bahrain he said "the island's economy is the most diversified one in the GCC with oil contributing only 18 per cent of the GDP and a strong record of annual economic growth averaging around 5 per cent in real terms over recent years.

He expressed his confident that the GCC countries will offer an increasingly attractive environment owing to the economic reforms being introduced in each country and to the commitments to form a single Gulf economic and financial market, buttressed by a single currency linked to the US dollar.

Dismissing the media campaign against the Gulf as baseless Padraic Fallon, Chairman of EuroMoney Institutional Invest-or said, "It is true that the Gulf region is passing through a difficult time.

But he urged the people to ignore the media campaign as the Gulf region, with its centuries old commercial expertise, has great potential and a stable future.