BERLIN, July 3: In a new, stinging critique of US Middle East policy, Saudi Prince Al Walid bin Talal accused Washington in an interview made available on Saturday of being unhelpful in the cause against terrorism because of its support of Israel.

A similar charge made by the prince two years ago led then New York mayor Rudy Giuliani to reject a 10 million dollar (eight million euro) donation to the victims of the Sept 11 attacks on the World Trade Center in New York in 2001.

"There is a lot of frustration in the Islamic world" as a result of US policy in the Middle East, said the billionaire prince, a nephew of King Fahd and one of the world's wealthiest men. He said the policy "needs to be entirely thought anew".

"Most Saudis and most Arabs think that America does too little in Palestine and is too favourable to Israel," Al Walid said. "America could force Israel to find a peaceful solution and thus reduce an essential cause of the terrorist acts that assail us."

In an interview to appear in the weekly Der Spiegel, Al Walid said terrorist acts in Saudi Arabia are the work of "a small, isolated group. The majority of the Saudi people do not support their actions.

"We have been too soft on the question of terrorism," he added. "But today, our survival depends on the elimination of these terrorists."

The US-educated Al Walid , whose business empire includes major investments in Eurodisney and a number of five-star hotels, said the departure of foreign nationals from Saudi Arabia because of the terrorist threat would not affect oil production.

"Our production does not depend on foreigners," he said. "Ninety-seven percent of the jobs in this sector are held by Saudis. Don't be afraid. Oil will continue to flow, since the only thing in which the West is interested is that the cursed oil supply continues to flow."-AFP