Abu Dhabi: The US economy is in dire need of foreign capital and direct investments to recover from the severe slowdown that followed the subprime mortgage crisis, Henry Paulson said on Monday.

The US treasury secretary concluded his tour of the region by visiting Abu Dhabi after meeting officials in Riyadh and Doha where he delivered the message that the US welcomes all investments from the region, including sovereign wealth funds (SWFs).

“Surging oil prices have led to a massive accumulation of capital in the Gulf in a very short time. To put this in context, GCC countries will provide about 18 per cent of global capital exports in 2008 – more than double their share five years ago,” Paulson told an audience of officials and businessmen, including board members of the Abu Dhabi Investment Authority (ADIA)