It is proved by the several studies that Interest rates and oil prices have mixed reviews, because these both terms has little correlation according to their movements. The direction of the interest and prices can be affect by the many factors. The interest rate and declined in oil prices have inverse relationship. It is stipulated by the several theories eth consumer’s manufacturing cost can be increase by increasing the interest rate which reduce the amount of money for peoples by which they can drive their needs. In this situation the decrease in world oil prices can enhance the interest rates. It is proposed by another economic theory the value of the dollar against the currency of the Saudi become strength by increasing the interest rate and the interest rate will be increase by decreasing the oil prices. This theory shows the currency of the Saudi Arabia will be decrease against to the US dollar by declining the oil prices (Blanchard, . Why are the 2000s so different from the 1970s? A structural interpretation of changes in the macroeconomic effects of oil prices. 2013).

References of  Interest rates of Saudi Arabia’s Currency and the U.S. Dollar

Blanchard, O. J., & Riggi, M. 2013. ". Why are the 2000s so different from the 1970s? A structural interpretation of changes in the macroeconomic effects of oil prices." Journal of the European Economic Association 11 (5): 1032-1052.

SRSROCCO. 2017. Low Oil Prices Continue To Decimate Saudi Arabia’s Currency Reserves. IN ECONOMY, ENERGY, NEWS.

Wilson, P. W., & Graham, D. F. 2016. Saudi Arabia: The Coming Storm: The Coming Storm. Routledge.