Saudis pour billions into `City of Knowledge` on holy site

Saudi Arabia is pouring billions of dollars into Medina, burial place of the Prophet Mohammed and the cradle of Islam, to turn the religion's second holiest site into a high-tech bastion.

The so-called Knowledge Economic City (KEC) is the fourth in a series of projects launched by the oil powerhouse in December 2005 aimed at attracting foreign investment and bolstering development.

It is being promoted by the Saudi Arabian General Investment Authority (SAGIA) and financed by the private sector a few miles from the centre of Medina and the Mosque of the Prophet, a top pilgrimage destination.

SAGIA governor Amr al-Dabbagh told AFP that the projects were inspired by some 3,000 "special economic zones" that exist around the world to promote investment.

"In our case we call them Economic Cities because they have more ingredients," he said. "They are places where people can work, enjoy life and make money."

KEC is the latest in a series of mammoth development schemes in the kingdom, where the first project known as King Abdullah Economic City is being built at Rabigh on the west coast.

The KEC is being built around a special theme to promote knowledge and sciences with through education, health and information technology.

The history of Medina was one of the reasons it was chosen to host the new city.

Medina is a cradle of Muslim civilisation and ...