Saudi family 1 4 trillion Family values

FAMILY SAUDI, $1.4 TRILLION
Here it is, the richest dynasty in the world. Everything is clear here. Middle East, oil industry, money, money, money again. But. Bathing in luxury, family members do not forget about real life. Last year, one of the Sauds, Prince al-Walid ibn Talal ibn Abdul Aziz, made the decision to get rid of his personal fortune. The prince has $32 billion on his account. The monarch donated all these incredible funds to charity. Try to make sense of it.

WALTON, $152 BILLION
Unlike our top ten neighbors, the Waltons entered the business relatively recently - just over half a century ago. However, the idea to turn stores into a chain where you can buy everything from twine to TVs turned out to be simply golden. The Waltons are the owners of Wal-Mart, the world's number one retailer.
“I always told my parents that I was going to marry a man endowed with energy and pressure. It was important to me that he wanted to succeed. I found the one I was looking for. True, now I sometimes laugh that I overdid it a little, ”the wife of the founder of the Sam Walton dynasty, Helen, later admitted.

KOH, $80 BN
The Koch brothers, Charles and David, are the main brawlers and opponents of the current government and government in general. Their money is everywhere, from the production of pipes and the oil industry to toilet paper and shares in the same Mars. The Kochs supported opponents of Barack Obama in the presidential election, they are easily called pigs by popular TV presenters, and the media cast a shadow over the wattle about the secret organization run by the brothers. While enemies of the Democrats, the Kochs support LGBT people and advocate a peaceful foreign policy. How it all fits together is a mystery.

MARS, $60 BILLION
This name is definitely on everyone's lips. The transformation of a modest confectionery business into a delicious empire in every sense began in the late 20s of the 20th century, after Mars received a patent for a nougat recipe. It was she who formed the basis of those same bars, whether it was Milky Way or Snickers, or, of course, Mars. Another super hit of the family business is M&M's. The assets of Mars also include Pedigree and Whiskas dog and cat food. One does not interfere with the other.

JOHNSONS, $39 BILLION
A century and a half ago, the Johnsons took up the manufacture of parquet, and then - a means for caring for it. Cleaning liquids and powders ended up being the Johnson family business and have been feeding (ahem) them all these years. However, the clan is not alien to the beautiful: it is for this reason that Ziploc, a brand of bags, is in the line of their assets. The Johnsons are one of richest families 2016.

PRICKERS, $29 BILLION
The Pritzker family closes more than an honorary list with 29 billion dollars. Now the clan has only one asset - the Hyatt hotel chain, but it seems that this is enough for them. Three years ago, the Pritzkers made a splash in the States after one of the members of the family, 62-year-old James, a professional soldier, lieutenant colonel of the National Guard, announced his intention to change sex. And for starters, he changed his name, turning himself into Jennifer.
“These changes reflect how Jennifer feels about her identity. Now she identifies herself as a woman in both business and personal affairs, ”the official release noted. The words were followed by deeds, and Jennifer outwardly also ceased to be James. Otherwise, everything remains as before: she is engaged in Hyatt, actively supports the transgender military, donating decent amounts. Well, except that in the Forbes list of the 400 richest Americans, she is now listed among women.

The Kingdom of Saudi Arabia is the most big country in the Middle East. And the country with the largest oil reserves. Unfortunately, ordinary people do not manage to enjoy oil money - they all end up in the pockets of members of the ruling Saudi dynasty (Al Sauds). The family is big: about 25,000 people. But "only" 2,000 of them control all the power and all the wealth of the country. And what are they doing... As they say, absolute power corrupts absolutely.

459 tons of luggage for a 9 day trip

84-year-old Alman ibn Abdul-Aziz Al, the current king Saudi Arabia a very rich man. It seems that money for him does not mean anything at all - with such ease he throws them away. For example, in 2017 he had to go on a visit to Indonesia for 9 days, so he ordered to take 459 tons of luggage with him. That's why he needs 459 tons of luggage for 9 days? It is impossible to understand. Yes, and what was included in the luggage? A sofa, a suitcase, a bag… In fact, a lot of different equipment, including two Mercedes-Benz s600 limousines and two electric elevators. As if in Indonesia all this cannot be found.

Saudi throne game

Back in 1975, the people's favorite King Faisal ibn Abdul-Aziz Al Saud ruled. It was under him that oil production increased incredibly and huge wealth appeared in the country. He invested in the modernization of the country, took care of the needs of the population, under him Saudi Arabia became the leader of the Muslim world and began to dictate its rules to all countries (using the oil lever).

On March 25, 1975, Faisal was shot dead by his nephew, Prince Faisal ibn Musaid, who returned to the country after studying at an American university. The prince went up to the king, bent down for a kiss, pulled out a pistol and fired three times at point-blank range. He was found guilty of regicide and his head was cut off (although the dying King Faisal asked to spare his nephew). Faisal ibn Musaid Al Saud was beheaded with a gilded sword, after which his head on a wooden stake was exposed to the crowd for 15 minutes. Such are the passions.

Hypocrisy and alcohol at parties

The consumption of alcohol in Saudi Arabia is prohibited and severely punished by law. Of course, if you belong to the royal family and you really want to, then you can do everything - including alcohol. People who worked at parties hosted by Saudi princes said that there was alcohol and drugs in use, and what not. The two-faced Al-Said are having fun at alcohol parties, and the next day they are talking frantically and zealously about the importance of observing Sharia law.

In the next episode of the Game of the Saudi Throne, we will see how Prince Abdul Aziz ibn Fahd kidnaps his cousin Sultan ibn Turki because he wanted to tell the world the whole truth about the royal family. No joke, the Saudi royal family is corrupted to the limit and, one might say, rotten from the inside. However, they have a lot of money and opportunities to get rid of anyone who is stupid enough to open his mouth on this subject.

During a visit to Geneva in 2004, Prince Sultan ibn Turki announced that he was going to reveal the secret plans (or rather, evil intentions) of the Saudi government. The next day, his cousin Prince Abdul Aziz ordered the Turks to be sent back to Saudi Arabia immediately. More Sultan ibn Turki never complained about the family and did not talk about its crimes. After all, he who talks a lot does not live long.

In 1977, 19-year-old Saudi princess Mishaal bint Fahd al Saud, niece of the then King Khalid, was accused of adultery and shot. At the same time, her lover - the son of the ambassador of the kingdom in Lebanon - was beheaded (moreover, they chopped off his head with a saber and this was only possible with the fifth blow). The execution was led by the princess's own grandfather. So the Saudis are very, very cruel to their own.

It seems that the members royal family and so chickens do not peck money, why should they try to earn more, and at the same time in an illegal way? However, in 2004, Prince Nayef ibn Fovaz Al Shelaan tried to smuggle 2 tons of cocaine from Colombia to Europe in his private Boeing. He planned to launder the money through Kanz Bank (which he owns).

In general, the plan was quite cunning, but failed, because the French police caught Nayef red-handed. But this is not the most interesting. When he was caught, the Al Saud intervened and ordered France to release the prince. They even threatened to reject several important commercial deals with France if she did not comply. Therefore, Prince Nayef's accomplices are still rotting in prison, and the prince himself is calmly walking free and enjoying the sun of Saudi Arabia.

When Prince Saud ibn Abdulaziz ibn Nasir al Saud brutally murdered his gay lover in a London luxury hotel in 2010, his biggest concern at trial was proving he was not gay. After all, homosexuality in Saudi Arabia is one of the worst crimes and can be punished death penalty.

Before the fatal attack on his servant, the prince drank champagne, as well as six Sex on the Beach cocktails, according to police. It happened on February 14, when the couple celebrated Valentine's Day. Shortly before midnight, the lovers returned to the hotel, where there was a quarrel between them, which ended in murder. Everything happened in the UK and it was not possible to get out of the court. The prince was sentenced to life imprisonment, but was soon sent to Saudi Arabia in exchange for five Britons. There is no doubt that he is free.

The people of Saudi Arabia are obliged to obey all the laws of their country, no matter how absurd or strict they may be. The main thing is to obey, pray and not try to adopt something from the rotten West. Here's a typical example: in 2013, 21-year-old Abdulrahman Al-Khayal watched a YouTube video of a man who went out into the street and began to offer random passers-by a hug - if they wanted to. Abdulrahman decided that this was a great idea and that he should try to do the same at home in Saudi Arabia. He wrote a poster "Hugs", went outside with it and began to hug passers-by. Very soon he was arrested for criminal activity. What happened to him next is unknown. I would like to hope that he was still not imprisoned, but released.

Anything related to the world's oldest profession is naturally prohibited in Saudi Arabia. And there is nothing special about it. However, it would be nice if members of the royal family also followed this law. But, alas, this is not the case.

For example, in Saudi Arabia it is illegal to celebrate Halloween due to its "anti-Islamic" nature. But Prince Faisal Al-Thunayan threw a massive Halloween party at his residence. Approximately 150 men and women came to the party. With one single difference: the men came there of their own free will, and the women had no other choice. They were brought there for sale.

And how did the royal family react when it turned out that Prince Faisal had broken several laws at once that night? And in any way - they ignored the event. And they even threatened to deal with anyone who spoke on this topic.

WikiLeaks has revealed the secrets of thousands of the most influential people around the world, including members of the ruling Al Saud dynasty. Many have tried to fight WikiLeaks and somehow censor the information posted there, but no one has succeeded in this more than the Saudis. They just banned WikiLeaks in their country. You can't even pronounce the name of this organization if you don't want problems.

Yes, we are talking about one of the richest countries in the world in the 21st century. In Saudi Arabia, there is simply no such thing as freedom of speech. The royal family controls everything there. It is interesting that family members are not completely free either: before doing something, they must consult and ask permission from King Salman. He's still the boss.

With their own money, they could probably buy up the whole world. But from large companies Few want to deal with them. Why? Yes, because it is not clear what to expect from these people. And also because they are the type of customers who don't always pay their bills. For example, Princess Maha al-Ibrahim refused to pay $1.5 million to a limousine rental company in Geneva (despite the fact that all the requirements of the princess were fully satisfied). Well, it ended up being that the representatives of the company said: "We are no longer working with this family for obvious reasons." And there are many such cases.

In total, the Al Saud family has 25-30 thousand people. And all the boys need to be assigned to the most prestigious job, so that they “earn” a lot of money there and maintain the honor of the family. It is clear that they are taken without any interviews to wherever they want. Their knowledge and experience is irrelevant. Last name is everything. It's a pity worthy people who, because of this, cannot get a job, and it is a pity for a country in which inexperienced specialists are allowed to solve important issues.

According to WikiLeaks, using their name, the princes receive money different ways- for example, borrowing from banks and not returning loans. Learned from bitter experience, Saudi banks routinely turn down loan applications from members of the royal family unless they have a decent credit history.

Another favorite method of taking money is the confiscation of land on which something is planned to be built and which can be resold at a great profit. So when the royals don't have enough money for hardcore parties, they just go and take it from banks or take it from the population.

Saudi Arabia is one of the most repressive regimes in the world. There are no elections, political parties or parliament. The country belongs to King Salman and his family. They can do whatever they want with complete impunity. The rest of the world is afraid to interfere and somehow try to limit the power of the Saudis, because Saudi Arabia is control over the distribution of oil. Everyone knows that people there have a hard time, but no one can do anything about it. In terms of civil and political freedoms, Saudi Arabia is the worst country in the world and can only be compared with North Korea and a couple of African dictatorships.

Everyone in Saudi Arabia is afraid of the Islamic morality police "Khayaa", which is supposedly supposed to protect the country and people from moral decay, etc. For example, the guardians of morals once invaded the house of a local resident and found dancing youths there. Just. However, by the standards of "Hayaa", these men were caught in a "compromising situation in the dance, making shameful gestures." This definition was enough for everyone to be immediately arrested. Moreover, the parents of these "criminals" were told to take better care of their children "because this could lead to immorality and even homosexuality." Well, you understand, right? Dancing means gay.

Today, the names of billionaires such as Bill Gates, Warren Buffett, Carlos Slim are heard. But the success of one person is nothing compared to what a whole family can achieve.

Rothschild family

How did you get rich: banking (for the most part).

Family status: cannot be assessed. According to rumors, from 350 billion to 3-4 trillion dollars (the last figure is closer to the truth).

Heine once said: "Money is the god of our time, and Rothschild is its prophet." Today, the names of the Rothschilds are rarely found on the list. the richest people planets according to Forbes. The wealth of the clan is evenly distributed among its many members, so that the wealth of one family member is not something outstanding (compared to, say, the wealth of Gates). However, the strength of the Rothschild family lies in its unity, and here it has no equal, including in terms of capital.

The clan originates from the end of the 18th century. It all started with Mayer Amschel, who founded a bank in Frankfurt am Main, Germany. His business quickly went uphill, Mayer's business was continued by his five sons, who managed to significantly increase their capital. The dynasty quickly gained strength and power. It soon spread throughout the world. It is known about the branches of the Rothschild family in Austria, Italy, Britain, France, etc. The clan has influenced the fate of entire states for two centuries, using its wealth and connections to manipulate.

The family was able to rise thanks to the unswerving adherence to the rules set by its founding father. Firstly, in the financial world of the Rothschilds, all key positions are occupied only by family members. Secondly, disputes and conflicts within the clan remain there. The Rothschilds do not take dirty linen out of the hut. Thirdly, the property accumulated by the family is preserved within the family, so marriages between Mayer's cousins ​​are not uncommon.

Today there are many conspiracy theories associated with the Rothschilds. Someone says that the clan no less secretly rules the world. Rumors are fueled in no small measure by the relatively secretive lifestyle of Mayer's heirs, who do their business discreetly, adhering to the principle "money loves silence."

Rockefeller family

How did you get rich: trade, oil business.

State: cannot be estimated, according to official data - about 10 billion dollars.

All the same conspiracy theories put the Rockefellers on the same scale with the Rothschilds. The “modest” figure of $10 billion, which is estimated by the family’s fortune, hardly reflects the true size of the capital.

The history of the family began with John Davison Rockefeller. He was born in 1839 in the family of a small merchant. John was modest and thrifty. The guy from childhood got used to work. He raised domestic animals, which he then sold, tried himself in the accounting field, but achieved real success in commerce. Rockefeller made his fortune in oil. At one time, he invested in a promising resource, which soon brought him unprecedented income. At the end of the 19th century, Rockefeller's Standard Oil Company controlled 90 percent of the US oil industry. John became the first dollar billionaire in human history. At the time of his death in 1937, his fortune was about 200 billion dollars (in modern money, adjusted for inflation).

Rockefeller's heirs continued the work of their ancestor. Among them were not only well-known businessmen, but also politicians. Nelson Rockefeller was Vice President of the United States in the 1970s and 1980s.

The success of the Rockefeller family is in the ability not only to make money, but also to save it. The clan practices regular family meetings. John attached great importance to the opinion of his wife.

Saud family

How did you get rich: sale of oil.

Family status: about 1.4 trillion dollars.

The Saudis are the ruling royal dynasty in Saudi Arabia. The history of the family dates back to the 18th century. It played a huge role in the fate of the Arabian Peninsula. The great fortune of the current Saudis cannot be regarded as the greatest achievement of the clan, which was realized primarily in the political arena. Since 1720, the Saudis have been a dynasty of emirs (princes). Emir Muhammad ibn Saud in the 18th century supported the theologian Muhammad ibn Abd al-Wahhab and adopted his religious teachings, which today is known as Wahhabism. Throughout the centuries of bloody wars, the Saudi family has managed to expand its possessions and strengthen its influence in the region. The Kingdom of Saudi Arabia was founded in 1932. At the end of the 30s of the 20th century, gigantic oil reserves were found in the country, which today is the basis of the state's well-being.

The Saudi clan is one of the largest in the world. The exact number of its members can hardly be counted. The men of the clan had no shortage of love affairs, they usually had many children. For example, the founder and first king of Saudi Arabia Abdulaziz ibn Abdurrahman Al Saud had more than ten wives, he left behind 45 legitimate sons. The 25th son, Salman, rules the country today.

Walton family

How did you get rich: retail trade, namely: a network of hypermarkets WalMart.

Family status: about $130 billion

The Waltons traditionally top the list of the richest family clans in the United States according to Forbes. The brightest pages of family history were written by the American Sam Walton (1918-1992). He was born into a family of farmers. The future billionaire was not a good boy, his “university” was the street. As a child, Walton helped his parents a lot with the housework, while looking for opportunities to earn money. Sam raised pigeons for sale, distributed the latest press. In 1942, he was drafted into the army, after which Walton went into the retail business. He started from scratch and soon reached unprecedented heights. The secret of Walton's success is a personal approach to the client. He worked with every customer who came to him, and ensured that people wanted to return to his store. One of the first businessmen used a strategy of low prices - he refused intermediaries and purchased goods directly from the manufacturer. The father's business is now continued by Walton's four children.

Today, the names of billionaires such as Bill Gates, Warren Buffett, Carlos Slim are heard. But the success of one person is nothing compared to what a whole family can achieve.

Rothschild family

How they got rich: Banking (for the most part).

Family status: not assessable. According to rumors, from 350 billion to 34 trillion dollars (the last figure is closer to the truth).

Heine once said: "Money is the god of our time, and Rothschild is its prophet." Today, the names of the Rothschilds are rarely found in the list of the richest people in the world according to Forbes. The wealth of the clan is evenly distributed among its many members, so that the wealth of one family member is not something outstanding (compared to, say, the wealth of Gates). However, the strength of the Rothschild family lies in its unity, and here it has no equal, including in terms of capital.

The clan originates from the end of the 18th century. It all started with Mayer Amschel, who founded a bank in Frankfurt am Main, Germany. His business quickly went uphill, Mayer's business was continued by his five sons, who managed to significantly increase their capital. The dynasty quickly gained strength and power. It soon spread throughout the world. It is known about the branches of the Rothschild family in Austria, Italy, Britain, France, etc. The clan has influenced the fate of entire states for two centuries, using its wealth and connections to manipulate.

The family was able to rise thanks to the unswerving adherence to the rules set by its founding father. Firstly, in the financial world of the Rothschilds, all key positions are occupied only by family members. Secondly, disputes and conflicts within the clan remain there. The Rothschilds do not take dirty linen out of the hut. Thirdly, the property accumulated by the family is preserved within the family, so marriages between Mayer's cousins ​​are not uncommon.

Today there are many conspiracy theories associated with the Rothschilds. Someone says that the clan no less secretly rules the world. Rumors are fueled in no small measure by the relatively secretive lifestyle of Mayer's heirs, who do their business discreetly, adhering to the principle "money loves silence."

Rockefeller family

How did they get rich: trade, oil business.

Status: not estimable, according to official figures - about 10 billion dollars.

All the same conspiracy theories put the Rockefellers on the same scale with the Rothschilds. The "modest" figure of $10 billion, at which the family's fortune is estimated, hardly reflects the true size of the capital.

The history of the family began with John Davison Rockefeller. He was born in 1839 in the family of a small merchant. John was modest and thrifty. The guy from childhood got used to work. He raised domestic animals, which he then sold, tried himself in the accounting field, but achieved real success in commerce. Rockefeller made his fortune in oil. At one time, he invested in a promising resource, which soon brought him unprecedented income. At the end of the 19th century, Rockefeller's Standard Oil Company controlled 90 percent of the US oil industry. John became the first dollar billionaire in human history. At the time of his death in 1937, his fortune was about 200 billion dollars (in modern money, adjusted for inflation).

Rockefeller's heirs continued the work of their ancestor. Among them were not only well-known businessmen, but also politicians. Nelson Rockefeller was Vice President of the United States in the 7080s of the 20th century.

The success of the Rockefeller family is in the ability not only to make money, but also to save it. The clan practices regular family meetings. John attached great importance to the opinion of his wife.

Saud family

How did they get rich: selling oil.

Family fortune: about 1.4 trillion dollars.

The Saudis are the ruling royal dynasty in Saudi Arabia. The history of the family dates back to the 18th century. It played a huge role in the fate of the Arabian Peninsula. The great fortune of the current Saudis cannot be regarded as the greatest achievement of the clan, which was realized primarily in the political arena.

Since 1720, the Saudis have been a dynasty of emirs (princes). Emir Muhammad ibn Saud in the 18th century supported the theologian Muhammad ibn Abd al-Wahhab and adopted his religious teachings, which today is known as Wahhabism. Throughout the centuries of bloody wars, the Saudi family has managed to expand its possessions and strengthen its influence in the region. The Kingdom of Saudi Arabia was founded in 1932. At the end of the 30s of the 20th century, gigantic oil reserves were found in the country, which today is the basis of the state's well-being.

The Saudi clan is one of the largest in the world. The exact number of its members can hardly be counted. The men of the clan had no shortage of love affairs, they usually had many children. For example, the founder and first king of Saudi Arabia Abdulaziz ibn Abdurrahman Al Saud had more than ten wives, he left behind 45 legitimate sons. The 25th son, Salman, rules the country today.

Walton family

How they got rich: retail, namely: the WalMart hypermarket chain.

Family Net Worth: Approximately $130 billion

The Waltons traditionally top the list of the richest family clans in the United States according to Forbes. The brightest pages of family history were written by the American Sam Walton (1918-1992). He was born into a family of farmers. The future billionaire was not a good boy, his "university" was the street.

As a child, Walton helped his parents a lot with the housework, while looking for opportunities to earn money. Sam raised pigeons for sale, distributed the latest press. In 1942, he was drafted into the army, after which Walton went into the retail business. He started from scratch and soon reached unprecedented heights. The secret of Walton's success is a personal approach to the client. He worked with every customer who came to him, and ensured that people wanted to return to his store. One of the first businessmen used a low price strategy - he refused intermediaries and purchased goods directly from the manufacturer. The father's business is now continued by Walton's four children.

Oil prices and the future of global energy are in the hands of the most powerful monarchy in the world. And even the changes that Saudi Arabia, the most striking example of a rentier state, will inevitably face in the near future will not change the situation.

ALEXANDER ZOTIN

A rentier is a person who lives on income from capital or property. There are also rentier states that have an abundance of a valuable resource that is rare in other countries. Its price depends more on external demand than on extraction costs. The economy and politics of such a country are special. The labor theory of value does not work here (the price of a commodity does not depend on the labor expended). The state does not depend on the labor and taxation of citizens. And the population lives on the redistribution of income (rent) received from exports. Instead of institutions of taxation and political representation in the state-rentier, a system of control and redistribution of rent is being formed.

The extraction of the resource does not require large labor costs, therefore it is controlled by a small group of people who combine power and commercial functions. In fact, these people are the state. However, the elite does not necessarily ignore the people: fearing rebellion, they provide them with the benefits left after satisfying their own needs (ensuring security and a hedonistic lifestyle). Human capital in a rentier state is excessive and does not determine the wealth of citizens. The latter are not interested in education and work, but in a good place in the group that controls the resource. In such a state, the government is a philanthropist, and the population is a matter of concern. And it lives until other countries replace a scarce resource with a less rare one. This has not yet happened with oil.

Saudi Arabia is one of the typical examples of a rentier state. In the structure of exports, oil occupies 91% ($320 billion in 2013, more than 75% of the budget revenue), about $10.8 thousand per capita per year (without migrant workers permanently living in the country - $16 thousand). It is not an ultra-rental state, like Qatar, with oil and gas revenues of $70,300 per capita per year (excluding labor migrants, $455,000), but it is also not a non-rental state like Russia, with oil and gas revenues of $2,400 per capita per year.

Path of the Bedouins

Al-Saud is the ruling family of Saudi Arabia, the group that controls the oil rent. Now, according to various estimates, it has 7-15 thousand people (the most influential - about 2 thousand). Calculating the total wealth of the family is almost impossible: many assets are difficult to assess, others are hidden. However, it is clear that they are huge; American The Borgen Project gives the figures of $1.4 trillion (about 60% of Russia's GDP per year). “A fairly adequate figure, given that the Aramco oil company is actually considered an asset of the family, and its valuation is about $700 billion, and this is far from the only asset,” agrees Andrey Korotaev, an employee of the Institute of Oriental Studies of the Russian Academy of Sciences.

It all started modestly. In 1744, the ruler of the Arabian city of Ad-Diriya (now a suburb of the capital of Riyadh), Muhammad ibn Saud, and the Islamic preacher Muhammad Abdel-Wahhab united to create a state. The union marked the beginning of the Saudi dynasty, as well as the dynasty of Saudi clerics, descendants of Abdel-Wahhab. The first Saudi state existed for 73 years and was defeated by the Ottoman Empire in 1817. Seven years later, a second state was founded. It lasted 67 years and was destroyed by the rivals of the Saudis - the ar-Rashid dynasty.

The date of birth of the current Saudi Arabia is considered to be 1902. Then Prince Abdulaziz from the Saud family captured Riyadh, knocking out the Rashidites from there. Successes continued: by the beginning of 1930, he captured almost the entire Arabian Peninsula. By 1932, Abdelaziz united the disparate regions into a state and became the king of Saudi Arabia.

The poor kingdom in the barren desert would have remained on the periphery of the world if in 1938 the American California-Arabian Standard Oil (later renamed Arabian American Oil, or Aramco) had not discovered colossal oil fields. Second World War prevented their immediate development, but by the end of the 1940s, the first thin stream of petrodollars flowed into the country.

Wealth descended upon the tribal country. The rent rose steadily (from $10.4 million in 1946 to $56.7 million in 1950). In 1950, Abdelaziz threatened to nationalize oil production, and Aramco agreed to a 50-50 profit sharing (the process of gradual nationalization with the purchase of the American share was completed by 1980). The oil crisis of 1973 greatly increased the state's revenues. When all the Arab countries - members of OPEC stopped supplying oil to countries that supported Israel in the conflict with Syria and Egypt (the United States and its allies in Western Europe), the price for it has risen over the year from $3 to $12 per barrel. The revolution in Iran in 1979 and the subsequent Iran-Iraq war provoked a new rise in prices, above $30 per barrel (over $100 per barrel in 2014 dollars).

Distribute and Conquer

As a result of the oil abundance in the 1950s and 1970s, a bizarre system of clientelism (dominance of patron-client relationships, often based on kinship) developed in the country. The redistribution of petrodollars between rival branches of the al-Saud family, according to the American orientalist Stefan Herzog, caused "an uncontrolled Byzantine expansion of the bureaucracy based on patronage." Balancing power and money was expressed in the creation of ministries and departments in which Abdel-Aziz and his sons-kings (Saud, Faisal, Khaled, Fahd and Abdallah, there were 37 sons in total, thanks to polygamy) seated relatives and representatives of influential clans, and sometimes lucky commoners who also grew a network of clients. It was not always possible to balance: Saud fled to Geneva in 1964, and Faisal was killed by his nephew in 1975.

The bureaucracy in the monarchy went ahead of the needs of the subjects, especially during the reign of Abdulaziz and Saud. It was created to formalize the receipt of oil rent, and then to provide services to the population.

It is understandable. In the 1950s, the national income was still tiny by international standards. However, the needs were modest: the economy was not much different from a subsistence economy, the subjects were ruled through the mediation of tribal leaders. There was no public space for discussing issues such as the budget, taxes were practically the same (which is still the case), the budget itself grew by leaps and bounds due to external factors. There was no constitution in the country, no formal mechanisms for political participation, no experience foreign policy. There was also no working class, with the exception of the Aramco workers in the Eastern Province, whose demonstrations were suppressed in the 1950s and 1960s. Slavery was only abolished in 1962.

In a place where there was nothing but oil, the state apparatus predictably grew. “Saudi Arabia’s institutional idiosyncrasy would have been unthinkable without oil rents, which have allowed many surplus institutions to emerge. Petrodollars have in some cases allowed islands of very efficient bureaucracy to emerge, such as the Saudi Central Bank, where selected commoners and foreign consultants played a significant role, but in In other cases, they have bred inefficiency and neo-patrimonialism.The oil rent has given a huge boost to the free design of institutions, and not necessarily inefficient and corrupt ones," Herzog notes.

In addition to the distribution of bread positions in the state apparatus, the rent was also distributed through a system of lifetime scholarships to members of the al-Saud family and other associates. According to the diplomatic correspondence of the American embassy in Riyadh, published by WikiLeaks, in 1996 (the period of ultra-low oil prices), the senior members of the dynasty received a monthly stipend of $ 270 thousand. The most influential had other sources of income, including from oil production, about $ 7 billion a year, distributed among five or six princes. Numerous representatives of the younger branches of the dynasty and other families close to the al-Sauds got several thousand dollars a month. One of the scholarship holders secured his own security by presenting an old family gun with a stamp indicating that his ancestor fought on the side of the future king Abdulaziz. Interestingly, the scholarship system motivates the al-Saud family to reproduce: each new baby brings in income.

The distribution of rent pushed private business into the background (unless the latter was associated with the rentier state). Labor is generally valued low, losing the competition to the distribution of petrodollars. Private sector formed only 20-30% of GDP in the 1960s-1970s, its role grew slightly during the period of low oil prices in the 1980s-1990s, only to return to the current 20-30% of GDP again.

Jobs in the private sector are mostly low-paid, hard and not prestigious. It is carried out by labor migrants (builders and laborers from India, Pakistan and Bangladesh, service personnel and maids from the Philippines, foremen from Egypt, top managers from Europe - about 8 million people out of 29 million population). In the public sector, wages are higher, working conditions are better. The Saudis work there. The share of salaries of migrants and Saudis in the private sector (70% of all jobs) is only 7% of GDP (of which Saudis are responsible for 3% of GDP, migrants for 4%). This is despite the fact that the share of migrants among all employed in the private sector is 85% (about 60% of all employed in the economy), and Saudis - only 15% (about 10%).

In other words, if a Saudi is working in private company, then most often the boss. However, the vast majority of Saudis work in the public sector (30% of all jobs), in which the share of wages in GDP is twice as high as in the private sector - 14% of GDP. By the way, in other countries of the Persian Gulf, this phenomenon is even more pronounced: for example, in neighboring Qatar, 94% of all employed are labor migrants, 5% of all employed are Qataris in the civil service, another 1% of employed are Qataris who lead hordes of migrants in the private sector.

Civil servants in a rentier state either protect the Saud family, or pour out concern for fellow citizens. The state provides free education in the country and abroad, healthcare, provides interest-free mortgages and other benefits (a liter of gasoline, for example, costs $0.16). All this against the background of the virtual absence of taxes (exceptions are the Islamic zakat tax of 2.5% and social insurance of 9% from the employer and employee, the rest of the taxes apply to non-residents).

Intellectual ability in the rent-seeking state is not particularly important. Connections and proximity to rent are important. Saudi schoolchildren, despite huge investments in education, according to the results of international educational tests such as TIMSS and PISA, are far behind their peers in other countries in knowledge (Russia, by the way, looks relatively good). They probably don't have motivation. Knowledge of mathematics and other sciences does not competitive advantage. Yes, and you don’t need to keep yourself in shape: according to WHO, 35% of the adult population of Saudi Arabia is obese, 20% is diabetic. This is one of the most high performance in the world.

oil conservation

Big money can be not only a catalyst for innovation and technological progress, as in the West, but also a preservative of a traditional society.

Saudi Arabia is a prime example. The law of the country is constituted by the norms of Islamic law - Sharia, and in the most radical interpretation, dating back to the ideological ally of the founder of the al-Saud dynasty, Mohammed ibn Abdel-Wahhab. The official interpretation of Islam in Saudi Arabia, the Sunni Wahhabism of the Hanbali madhhab (the most orthodox school of Islamic law), is sometimes called the Protestantism of Islam. Simplicity and a return to the roots of religion. In a practical sense, it is an ultra-conservative puritanical Islamic ideology, rejection of the popular worship of relics and saints, a sharp opposition to all Western influences of the modern world.

However, not only Western. Some Saudi theologians perceive Shiite Muslims (the majority of the population of Iran) as heretics. There is also a Shia diaspora in Saudi Arabia (about 10% of the population): they live mainly in the oil-producing Eastern Province and already raised an uprising in 1978.

"The Shia issue in Saudi Arabia is part of the urgent reforms that the country is facing," notes Grigory Kosach, an employee of the Middle East Institute, in one of the monitoring. the composition of the Advisory Council and executive authorities However, these changes are partial, and their slowness cannot eliminate the problem of discrimination: the army, the police and the service state security remain closed to Shiites, the anti-Shia fatwas of Wahhabi theologians, as well as the limited religious freedom, are a reality.

Conservative ideology has many socio-economic manifestations. For example, strong opposition to women's work and women's participation in public life. In today's Saudi Arabia, modernization and openness is about debating whether women should be allowed to drive or work alongside men (women can't go to in public places unaccompanied by male relatives).

The work of women is regulated, for example, by such restrictions. "Instructions of the League for the Promotion of Virtue and Aversion from Sin (Saudi Religious Vice Police.— "Money") require the owners of shopping centers and shops to strictly separate the places of work of men and women (thus, the principle of non-mixing of sexes in public space, which is common for Saudi Arabia, is put into practice), which dictates the construction of special dividing shields. The height of these boards should be at least 160 cm, which will avoid visual contact between working women and men from other departments, as well as visitors to these departments (thus, as noted in the instructions of the league, the possibility of "exchanging views in which there is lust)", notes Kosach.

The ultra-orthodox regulation of life would hardly have been possible without the oil rent. In poor countries, statistics show World Bank, women are forced to work - without this, they simply cannot feed their families. Only wealthy states can afford to take women out of economic activity. However, as some observers note, limitations are important for public sphere, V privacy, outside the gates of your own home, much is permissible.

However, social and economic reforms are impossible without the approval of the clerics. “For Saudi Arabia, this is natural: any significant undertaking by the authorities requires their support,” notes Kosach. “Only then can this undertaking acquire the shade of legality it needs. Both intra-Saudi centers of power (the political establishment, on the one hand, and the theological corps, on the other) not only demonstrate unity, but first of all, within the framework of this unity, they solve their own tasks, which do not always coincide.

With some stretch, Saudi Arabia can be called a dynastic duumvirate: the ash-Sheikh family (descends from an ally of the founder of the dynasty, Abdel-Wahhab) has religious power, and al-Saud has political and economic power. The ulema, the theological elite of Saudi Arabia, are often more conservative than the al-Saud family. The latter is almost the “only European” there, in any case, she more than once had to fight with motley Islamic radical terrorists, from the group of Juhayman al-Utaibi (who considered television, banknotes and football to be terrible sins), which captured the Forbidden Mosque in 1979 in Mecca, to Al-Qaeda.

Reforms from the Gerontes

How this "only European" will react to the changing world around Saudi Arabia is a question. The custodian of the two shrines, King Abdullah, is very elderly (according to some sources, the seriously ill monarch can no longer do without an oxygen bag), and the question of a successor is becoming more and more urgent. There are no strict rules of succession to the throne. Under these conditions, many analysts name the eldest son of Abdullah, the "young" 62-year-old Prince Mutaib, who was recently appointed commander of the national guard, as the heir. By tradition, he must let his uncle, Crown Prince Salman and his deputy Mukrin, go ahead. However, the scheme may be violated, given the advanced age of the king's brothers.

Whoever the future monarch is, the course of slow reforms is likely to continue. Perhaps women will be allowed to drive. In addition, for example, Prince Muqrin sees promise in diversifying sources of income from oil, reducing domestic oil consumption and expanding opportunities for young people.

Stability in the middle of spring

The latter is important, because the kingdom is one of the fastest growing demographic countries. “Unlike other Arab countries, Saudi Arabia was able to competently absorb the excess of educated youth,” notes Korotaev. “Its flow is a consequence of the demographic boom of the 1980s, fueled by petrodollars. They were invested, including in perinatal medicine, which sharply reduced infant mortality. Subsequently, the authorities used many methods social adaptation youth, for example, began to employ young people as teachers in schools, so now there are 10-11 students per teacher in the classroom.

As long as it works: the monarchy has avoided turmoil similar to the "Arab Spring". In 2011, however, there were minor unrest, and the authorities decided to allocate an additional $130 billion to the needs of the population. Money is spent wisely. “Another policy is to subsidize the marriage of young people, help with the purchase of housing,” says Korotaev. “The authorities rightly believe that a settled family man, with a wife, children and a house, is less prone to rebellion than sexually and property-preoccupied youth.”

The American orientalist Michael Herb, in his book All in the Family: Absolutism, Revolution, and Democracy in the Middle Eastern Monarchies, points out another feature of the Saudi regime that makes it resistant to revolution. In this and some other states of the Persian Gulf, a system of dynastic monarchy developed. The stability of the regime is based on the fact that representatives of the ruling family occupy all key power and administrative posts, and the actual power of the monarch is limited by intra-family consensus.

Herb notes that in all successful cases of revolutions in the Muslim East, the monarch was isolated from the elites, that is, his relatives were not represented in the power bureaucracy. The last king of Libya, Idris, and the Persian Shah, Mohammed Reza Pahlavi, did not have family representatives in key positions. They gave preference to their own favorites, not related to the dynasty, and as a result, at critical moments, they lost the support of the elite (it seems that Gaddafi also finished). In a dynastic monarchy, the ruling family is huge due to polygamy, all power is permeated by it, and any upheaval in the country will most likely become a relatively peaceful family showdown.

For the global economy, this is an unconditional positive. "Arab spring" in Saudi Arabia would lead to a rise in oil prices and a global recession.

global player

Oil has long been not only the basis of domestic prosperity, but also an instrument of the foreign policy of the monarchy. The Bedouin primitivism of the 1950s had to be abandoned: the largest oil exporter to the world market cannot but be a global player. In tandem with a long-time ally, the United States, Saudi Arabia has learned over the decades of oil dominance to defend its own geopolitical interests.

After the introduction of Soviet troops into Afghanistan in 1979, Saudi Arabia morally and financially supported the Islamists in this state. And perhaps she participated in the collapse of the USSR, knocking down oil prices. The latter in the late 1970s and early 1980s were very high due to the Iranian revolution and the Iran-Iraq war. However, since 1982, OPEC began to artificially maintain high prices by reducing quotas at the expense of the main exporter, Saudi Arabia. The monarchy reduced production from 10.2 million barrels per day (mbd) in 1980 to 3.6 mbd in 1985 (now it is producing about 10 mbd again, including gas condensate - 11.5 mbd, exports - about 8.7 mbd ) and contributed to the maintenance of high oil prices, in which huge investments in new fields became profitable North Sea, Alaska and Mexico (analogous to today's shale revolution).

The effect was felt in the mid-1980s. After that, Saudi Arabia sharply increased production and brought down prices: in 1986, the price of oil fell from $27 to $10 (from $57 to $21 in current prices).

Conspiracy theorists claim that the monarchy deliberately collapsed prices in order to undermine the USSR, because the collapse coincided with the beginning of its economic agony (the USSR did not reduce production in the 1980s, it kept around the level of 12 mbd). Korotaev does not share this point of view. “The decline in Saudi production in the early 1980s was because the monarchy was the most honest player in OPEC,” he argues. “While all the small producers violated quotas, trying to sell as much oil as possible at high prices, actually compensated for the irresponsibility of other members of OPEC by reducing its own production.But by 1986, the monarchy was tired of this role, it was necessary to fulfill the budget obligations assumed in the fat years, and Saudi Arabia responded to the decline in prices with a sharp increase in production.Prices from this fell even lower, but production growth partly compensated for this effect. We could not keep the price, we tried to take it in volume - there was simply nowhere to go."

The kingdom nevertheless suffered greatly: GDP per capita fell from $18.7 thousand to about $7 thousand in the late 1980s. The 1990s were also gloomy: the decline in oil prices turned out to be long-term. I had to cut costs. "The situation was difficult, almost like ours," Korotaev notes. "The country was close to default on its foreign debt."

However, the fat 2000s compensated for these failures, by 2014 the IMF predicts GDP per capita at $25.2 thousand (in Russia - $15 thousand) - the level of a poor Western European country or, for example, South Korea.

Oil Poker

Can Saudi Arabia play with prices now? The monarchy has idle production capacity of 3.5 mbd (80% of all OPEC idle capacity). There is a physical opportunity for production growth. There is motivation too. For example, dissatisfaction with Russia's position on the issue of Syria. Another is the possible influence of the United States in order to increase pressure on Russia with a low oil price (Russian production is now at the level of 10 mbd, including gas condensate - 10.5 mbd, exports - about 7.2 mbd).

Finally, as the former head of the Italian oil giant Eni, Leonardo Maugeri, argues in the report "Oil: The Next Revolution", the world in the coming decades will not have a shortage, but an abundance of oil due to the shale revolution (by 2020 world production oil could rise by 20% from the current level, from 91 to 110 mbd). To stop it, according to Maujeri, could be a long collapse in prices. Production of most unconventional oil reserves is profitable at $50-65 per barrel, so a long-term decline in prices to less than $50 (and for some low-margin projects even up to $80) could stop the development of new fields. In addition, progress in energy saving (for example, in the development of electric vehicles) would stop. In the long run, this would play into the hands of Saudi Arabia, and the country would survive a drop in the price of oil to $50, despite a possible budget deficit (the budget for 2014 is balanced, according to Platts, at a price of $81 per barrel of Brent oil). Huge reserves of the central bank of the monarchy - $ 738 billion would help.

However, there are arguments against: having unwittingly participated in the collapse in oil prices in the mid-1980s, the monarchy could not return them to their previous level for almost 20 years. "Riyadh was very frightened by the decline in prices in the 1980s and will not take any drastic steps," Korotayev said. What will prevail in this poker is unknown. However, the August OPEC report shows production growth in July 2014 mainly due to the increase in production in Saudi Arabia (10 mbd vs. 9.8 mbd in June).