In a significant move to strengthen international trade and investment relationships, Saudi Arabia has inked agreements worth approximately $10 billion with Italy. This development is part of a broader effort to enhance strategic partnerships and foster economic cooperation between the two nations.
Nature of Investments and Cooperations
The agreements signed between Saudi Arabia and Italy cover a wide range of sectors, including infrastructure, energy, defense, sport, entertainment, and tourism. One of the key deals involves Italy’s credit export agency SACE providing loan guarantees worth $3 billion for Saudi Arabia’s NEOM real estate project. NEOM, a massive urban and industrial development project, is central to Saudi Crown Prince Mohammed bin Salman’s Vision 2030 plan to diversify the Saudi economy beyond oil.
READ MORE: Saudi Arabia’s $12.8 billion data center at Oxagon, NEOM to boost regional data infrastructure
Additionally, Italian gas grid operator Snam has signed a deal with ACWA Power to explore partnerships and joint investments in the supply of green hydrogen to Europe. Italian defense group Leonardo has also signed a Memorandum of Understanding (MoU) to boost cooperation with Saudi partners in aerospace and defense.
Broader International Cooperations
Saudi Arabia has also been actively expanding its trade and investment relationships with other countries. In Brazil, the Kingdom signed 25 investment deals to boost economic ties and explore new opportunities in various sectors. Similarly, Saudi Arabia has forged agreements with France to enhance cooperation in areas such as energy, sustainability, and technology.
The agreements with Italy, Brazil, and France highlight Saudi Arabia’s commitment to diversifying its economy and fostering international cooperation. These partnerships are expected to bring mutual benefits and contribute to the economic growth of all involved countries.
