TAIF, 2 October - Saudi Arabia's accession to the World Trade Organization (WTO) is still some way off as the country has to do a lot to fully liberalize the economy, according to Commerce Minister Osama Faqeeh.

"In spite of the efforts made in this respect, many steps still have to be taken" to fulfill conditions set for joining the international body, Faqeeh told the sixth Saudi businessmen's conference which concluded here on Saturday.

"For example, Saudi Arabia is not prepared to open up the telecom sector, audio-visual and some other sectors because they are not ready for foreign competition," he asserted.

But the minister stressed that obstacles preventing the world's top oil supplier from becoming a WTO member were "purely procedural", adding that huge efforts were being made to revise the country's trade and investment laws.

The Kingdom has categorically stated that it will not compromise its "unique status" as the home of Islam's holiest sites for the sake of joining the WTO.

Riyadh has already signed bilateral agreements over WTO membership with 11 countries, but not with the European Union or the United States.

All five other Gulf Arab states are already WTO members.

To facilitate WTO membership, Saudi Arabia has stepped up measures to liberalize its economy and attract foreign investors into the Kingdom, which is seeking to diversify its sources of income and boost the private sector's role.

Saudi businessmen at the two-day conference in the summer resort city of Taif called for modernizing and facilitating procedures for foreign investment in the country, as well as government support for the shares market.

Faqeeh pledged that foreign investors will be treated on an equal footing with local investors and that they will have the option of whether to appoint a local agent.

The conference, which was opened by Makkah Governor Prince Abdul Majeed on Friday, also proposed the establishment of a higher authority to promote exports.

The businessmen urged a new mechanism to deal with WTO affairs, coordination between various government departments while taking development policies, enforcement of laws to protect consumers and unification of regulations to nationalize jobs.

The conference, which was attended by more than 1,000 businessmen, economists and government officials, called for the establishment of a database with correct information on the Kingdom's economy. It also called for expediting the introduction of the new taxation system.