INTERNATIONAL

Saudi Arabia Slashes Public Spending: Saudi Arabia, the world’s largest exporter of crude oil, has announced it will cut public spending in 1994 to make up for losses in revenue caused by weakening crude prices. King Fahd projected government spending in 1994 at $42.6 billion, down from $52.5 billion set for 1993. “The world economic conditions and surplus oil supplies have affected prices and imports from our country, so the (oil) prices dropped,” Fahd said. “We expect the situation to change in the not-too-distant future if all (oil) producers sincerely cooperate, which we hope will be attained.” That was a clear reference to an offer by Saudi Arabia and its five partners in the Gulf Cooperation Council to lower their oil output if other oil-producing nations did the same. The GCC nations are Saudi Arabia, Kuwait, Qatar, the United Arab Emirates, Oman and Bahrain.