Kuwait wants Gulf currency union delayed
11 Oct 2009
KUWAIT CITY (AP) - Kuwait wants the start date of a currency union it agreed to with three other Gulf states delayed beyond January.
The official Kuwait News Agency quotes a statement by the Ministry of Finance as saying Sunday the project should be delayed until its "technical" studies are completed.
It did not provide further details but said Kuwait was committed to the plan, which is seen as a major step toward setting up a Gulf equivalent of the European Union.
An agreement paving the way for the currency union was signed in June by Saudi Arabia, Kuwait, Bahrain and Qatar. Oman opted out, and the United Arab Emirates withdrew from it after it was passed over as the headquarters of the precursor to the region's new central bank.
http://news.bbc.co.uk/2/hi/business/8301620.stm
Kuwait wants Gulf currency delay
Kuwait is one of four Gulf nations to join the union
Kuwait has called for the launch of a Gulf monetary union and single currency - due in 2010 - to be delayed so it could address "technical issues".
Kuwait, Saudi Arabia, Qatar and Bahrain signed an accord in June to create a joint monetary union council as a prelude to a Gulf central bank.
This would be followed by the launch of a single currency, though observers said the target date was optimistic.
United Arab Emirates and Oman withdrew from the project earlier this year.
These withdrawals dealt a blow to further economic integration in the oil-rich region.
The UAE objected to the Saudi capital Riyadh being chosen to host the future central bank, and said it would be keeping its own currency, the dirham, which would remain pegged to the dollar.
Meanwhile Oman said it was not ready to meet the preconditions.
http://news.bbc.co.uk/2/hi/business/8301620.stm
