Saudi Crown Prince Sultan laid to rest

Sultan's body, swathed in a brown cloth, was carried through the throng of mourners on a bier amid the flashes of cameras in the sprawling Imam Turki bin Abdullah mosque in Riyadh for funeral prayers before burial. The funeral of Saudi Arabia s Crown Prince Sultan set the stage for King Abdullah to name a new heir, widely expected to be veteran Interior Minister Prince Nayef, a move that would emphasise stability in the world s top oil-exporting country. At stake in the transition is the direction of a major U.S. ally with an ageing leadership trying to reconcile its conservative traditions with the needs of a modern economy and a young, increasingly outward-looking population. "In the political system this is an important event, but the system is designed to ensure continuity," said Jarmo Kotilaine, Chief Economist at National Commercial Bank in Jeddah. "Economic policy is put in place over a much longer period and is not likely to change at all." In his six-year-old reign, King Abdullah has pushed changes aimed at creating jobs by liberalising markets and loosening the grip of religious hardliners over education and social policy. The death of Crown Prince Sultan, who was also defence minister, might also lead to a wider cabinet reshuffle. Saudi Arabia, which dominates world oil markets and holds profound influence over Muslims through its guardianship of Islam s holiest sites in Mecca and Medina, faces turbulence in its neighbours and a confrontation with regional rival Iran.