Last Updated October 14, 2008
King Abdullah keeps faith in the dollar
Saudi Arabia has been pegged to the dollar since 1986. But the kingdom is coming under more and more pressure to de-peg in order to tackle domestic inflation.
There’s a little-known Jane Fonda film, made in 1981, called Rollover. It’s a rather far-fetched financial-romantic thriller, in which Saudi Arabian investors quietly try to pull their capital out of the falling dollar without instigating a global panic and financial meltdown. In the film’s conclusion, this attempt fails, an enormous run on the dollar ensues, and the world financial system collapses.
