The disappearance of the journalist: the economic consequences

Исчезновение журналиста: экономические последствия

The mysterious disappearance and possible murder of a Saudi journalist in Turkey to make the big businessmen and corporate executives worldwide to rethink their relationship with Saudi Arabia.

So, the British billionaire Richard Branson said his Virgin Group suspends negotiations with the Arabian Public investment Fund of financial participation in space projects of the company in the amount of $ 1 billion.

His example was followed by the Executive Director of the Uber Drahonovsky and the head of Viacom Robert Bakish. They decided to distance themselves from the Riyadh conference on investment at the end of this month.

Media company CNN, Financial Times, New York Times, as well as journalists and editors of the Economist and CNBС refused to participate in the economic forum in Saudi Arabia, which is called “Davos in the desert”.

At the same time a diplomatic row between Saudi Arabia and Turkey could affect economic ties between the two countries.

Hilal Khashan, Professor of political science at AUB: “Turkey is in a very difficult economic situation, and the Saudis know it. Turkey is also experiencing difficulties with the administration of the trump and the sanctions that it imposed in recent weeks. Therefore Turkey does not wish to add new issues to their troubles. Turkey wants to minimize that, the more that the Saudis have large investments in Turkey. And, it is important to note that the bilateral trade balance in favour of Turkey”.

Saudi Arabia is a major market for Turkish companies, a Saudi company has invested in Turkish companies. In addition, each year Turkey is visited by over half a million tourists from Saudi Arabia.

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