Saudi Arabia makes major cabinet reshuffle

Saudi Arabia makes major cabinet reshuffle. May. 09, 2016 07:17. by 주성하기자 zsh75@donga.com. Saudi Arabia, which had announced a drastic economic development plan dubbed "Vision 2030" that calls for overcoming of "addiction to oil" late last month, made major reshuffle of its cabinet aimed at implementing the plan on Saturday, the New York Times reported. Most minister-level officials in the economy field have been replaced, which is interpreted as the Saudi government’s commitment to make a fresh start with a new economic team.

The ministers who have been replaced include Ali al-Naimi (81), who served as the oil minister for 21 years since 1995. The oil minister of Saudi Arabia, the world’s largest oil producer and exporter, is nicknamed "world oil czar," since he has big say in the Organization of Petroleum Exporting Countries’ oil production policy. The oil ministry has also been renamed the Ministry of Energy, Industry and Mining, and has seen its roles expanding to cover overall energy policy including oil.

Khalid al-Falih (56), the chairman of the state oil firm Saudi Aramco and member of the royal family, has been named the minister of the renamed ministry. Thus, the oil minister in his 80s, who would lead Saudi Arabia’s economy, has been switched to a 50-something man in a drastic generational shift. Riyadh, had appointed technocrats to the oil minister over the past 60 years to prevent a royal family personnel from failing the oil industry due to greed, but the government broke the tradition and chose to increase the royal family’s grip in the oil sector this time around.

The BBC reported the reshuffle reflects the intention of deputy crown price Mohammed bin Salman Al Saud (31), who is second in line to the throne and who is spearheading Saudi’s economic policy. Mohammed, who is known to be the top power elite in Riyadh, is the very person who announced "Vision 2030," an economic development plan devised in preparation for the "post-oil era," on April 25.