Washington Post: Aramco IPO invested in brutal system

WASHINGTON (Reuters) - The Washington Post devoted an editorial on Tuesday to warn investors against investing in Saudi Aramco, which has announced the start of its IPO, saying every investor who buys shares in Saudi Arabia should be prepared for reckless adventures and the powerful arm tactics of the 34-year-old crown prince.

There are economic and political risks to invest in Aramco's shares. Economic risks include offering only the first stocks on the small Saudi bourse, local investors being pressured to buy, and last September's temporary loss of half of its production due to a missile attack on its facilities, said to be Iranian, as well as doubts about its ability to Protect itself in the future.

Before Western investors start subscribing, they should think about political risks as well as the dramatic change Saudi Arabia has experienced in the past five years since the death of its former king, Abdullah bin Abdul Aziz.

Bin Salman's rule
Repression and the arrest of peaceful critics in Saudi Arabia is not new to the kingdom, but what makes the current crown prince different from all previous eras is the size of the target population, the breadth of their affiliations and the introduction of new means of repression not seen in the periods of the former Saudi rulers. The Washington Post also noted the detention of women in secret prisons, flogging and sexual assault.

Foreign investors should not think they were immune from the treatment of Saudis, she said. Some of those arrested during successive waves of detention were US citizens, and one of the local detainees was among the most important investors in the world, Alwaleed bin Talal.

The newspaper did not forget to refer to Prince Salman's strong grip on all authorities, including the security, intelligence and judiciary, which has been under his direct control since 2017.

The editorial concluded that bin Salman is now confident that he has defeated the international community's violent response following the assassination of journalist Jamal Khashoggi 13 months ago.