CAIRO: The visit by Crown Prince Mohammed bin Salman to Egypt comes as Saudi investment in the country continues to grow, boosted by easing trade restrictions, a weak Egyptian pound and plans for a bridge linking the two countries.
The Egyptian government is pushing to make foreign investment in the country easier to help the economy recover from the tumultuous period that followed the Arab Spring.
Saudi Minister of State Essam bin Saad bin Saeed said last week that the Kingdom is keen to enhance economic relations with Egypt and intends to pump money into new investments in the country.
According to the Egyptian state news agency MENA, Saudi investments in Egypt top those of other Arab countries.
At the Saudi-Egyptian Business Council last month in Cairo, Egyptian Minister of Trade and Industry Tariq Qabeel said the volume of trade exchange between the two countries in 2017 amounted to about $2.1 billion and that the volume of Saudi investments in Egypt exceeded $6 billion — about 11 percent of all foreign investments in Egypt.
President of the General Federation of Egyptian Chambers of Commerce Ahmed Al-Wakil, said the total Saudi investments in Egypt are worth up to $27 billion, which are spread across 2,900 projects in a huge variety of product and service sectors.
The Kingdom is also the second largest in terms of tourism — accounting for millions of dollars a year, according to Egyptian Ministry of Tourism figures.
The UAE and Kuwait have also been big investors in Egypt since Abdel Fattah El-Sisi became president.
The scale of Saudi Arabia’s investment is expected to increase after officials from Egypt and the Kingdom said they wanted to reduce the number of obstacles between the two countries by standardizing rules and making it easier to transport goods and services between the two.
Egypt has also become a more attractive prospect for investors since the central bank liberalized the exchange rate in November 2016 as part of a $12 billion International Monetary Fund reform program. The pound lost half of its value after the float.
The improved investment environment in Egypt means some major Saudi companies are considering establishing more projects in the Egyptian market.
A number of Saudi businessmen view some of the new cities being built in Egypt as strong investment opportunities.
The most important Saudi investments in Egypt are in the service sector, including energy, transport, logistics, health and education.
The Egyptian-Saudi Electricity Exchange Project, a scheme agreed in 2011 to connect the two countries’ power grids, is probably the most important investment to date.
Minister of Electricity and Renewable Energy, Dr. Mohammad Shaker, said in December that work is ongoing on the project but that the electrical connection lines between the two countries are expected to run in early 2021.
The King Salman Bridge project, which Egyptian sources said would be discussed during Prince Mohammed’s visit, will link Sharm El-Sheikh to the Tabuk region of northern Saudi Arabia.
Construction of the 50-kilometer bridge was announced during King Salman’s visit to Egypt in 2016. The bridge will help pilgrims, tourists and expatriate workers to travel easily between the countries and offer a significant improvement in trade between the two countries.
The bridge is also expected to boost energy links. Dr. Jamal Al-Kalioubi, a professor of petroleum and energy engineering, said the bridge would be one of the important ways to secure the oil and gas needs of neighboring Arab countries.
The visit is also expected to boost energy cooperation. The Egyptian government announced on Thursday that it had agreed with Saudi Aramco to supply 500,000 barrels per month of crude oil to the Egyptian refineries for six months from January to June. The Saudi National Oil Company had already provided oil to the Egyptian refineries in November and December 2017 on a trial basis.
During King Salman’s 2016 visit to Egypt, Riyadh agreed to supply Cairo with 700,000 tons of refined oil products per month for five years.
King Salman witnessed the signing of 21 agreements and investment memorandums of understanding between the two countries, most notably for the establishment of a free trade area in northern Sinai, which is the first important economic project linked to the construction of the bridge.
Saudi Arabia’s economic investments in Egypt run deep
Saudi Arabia’s economic investments in Egypt run deep
Japanese envoy bids farewell, reflects on Saudi Arabia’s transformation, cultural legacy
RIYADH: As he prepares to leave Saudi Arabia, Japan’s ambassador to the Kingdom, Iwai Fumio, affectionately known as “Abu Kuji” among his Saudi friends, reflects on the sweeping transformations he witnessed during his tenure.
“Saudi Arabia feels like a second home,” he said.
“The connection I feel to this country and its people is truly unique,” Iwai added.
Under the ambitious Vision 2030 framework, he observed the Kingdom evolving at an unprecedented pace, blending progress with the preservation of its cultural legacy.
“Vision 2030 isn’t just about change — it’s a complete reimagining of what Saudi Arabia can be,” he said, emphasizing how the initiative reshaped the Kingdom’s economy and expanded its influence.
As Saudi Arabia emerged as a regional hub, attracting investment and establishing global partnerships, the ambassador noted the Kingdom’s growing role on the world stage.
From the bustling streets of Riyadh to the awe-inspiring landscapes of AlUla and the towering peaks of Asir, he has seen firsthand the beauty and spirit of a nation embracing change while honoring its heritage.
“Each place tells a story of resilience and pride,” he said, noting how the Kingdom’s diverse regions reflect the harmony of tradition and progress.
Iwai spoke with deep appreciation of the hospitality he encountered throughout his time in Saudi Arabia. “The warmth here is unmatched,” he said, recalling how Saudis welcomed him not just as a diplomat but as part of their extended community.
The title “Abu Kuji” itself, bestowed upon him by his Saudi friends, symbolizes a personal connection and affection that goes beyond formal diplomacy.
“There is a sincerity here, a tradition of openness and generosity that is incredibly touching,” he remarked. “It’s rare to find such genuine warmth in the world.”
The ambassador also praised the Arab News Japanese edition, a key initiative fostering closer ties between Saudi Arabia and Japan.
He acknowledged the publication’s vital role in promoting mutual understanding, enabling Japanese readers to appreciate the breadth and depth of Saudi Arabia’s transformation.
“Arab News Japan has allowed people back home to witness this journey of growth and ambition,” he said. “It has been instrumental in bridging our cultures and deepening the friendship between our nations.”
Reflecting on his years in Saudi Arabia, he expressed admiration for the rapid advancements in technology, infrastructure and economic diversification under Vision 2030.
From newly developed hotels and infrastructure projects to the ease of new digital visa services, he noted the strides the Kingdom has made to attract international businesses and tourists alike.
“These developments show Saudi Arabia’s readiness to welcome the world,” he said.
The ambassador highlighted how Japan, with its experience and technological expertise, is well positioned to collaborate with Saudi Arabia on these fronts.
Yet beyond the visible changes, it is the people and their shared pride in tradition that left the most indelible mark on him. From experiencing the energy of Saudi cities to the tranquil beauty of its historical sites, the ambassador described his journey through the Kingdom as transformative on a personal level.
“It’s not just the landscapes or the cities,” he said, “but the people, their warmth, their traditions — these are the true treasures of Saudi Arabia.”
As he bid farewell, Iwai voiced optimism for a future of strengthened collaboration, particularly in fields such as energy, technology, and cultural exchange, where Japan’s expertise aligns with Saudi Arabia’s goals under Vision 2030.
He leaves with a sense of gratitude and hope, confident that the friendship between Saudi Arabia and Japan will continue to deepen.
Reflecting on his next chapter, the ambassador shared his excitement for his upcoming assignment in Egypt, a country he believes will offer new opportunities to deepen Japan’s ties in the region.
“Each country has its unique story and path, and I am grateful for the opportunity to carry forward the spirit of partnership I’ve cherished here in Saudi Arabia,” he said.
“Saudi Arabia will always hold a special place in my heart,” he added, “for the incredible transformations I witnessed, but most of all, for the friendships and warmth of its people, who welcomed me like family.”
Saudi foreign minister meets with French president’s MENA advisor
- Discussions focused on the strong relations between their two nations and explored ways in which these could be further enhanced
RIYADH: Saudi Arabia’s Minister of Foreign Affairs Prince Faisal bin Farhan bin Abdullah met with the French president’s advisor for the Middle East and North Africa region, Anne-Claire Legendre, this week.
Discussions focused on the strong relations between their two nations and explored ways in which these could be further enhanced, reported Saudi Press Agency.
They also reviewed regional issues, with a particular focus on Gaza and Lebanon and ongoing efforts to address the issues there.
KSrelief chief, Palestinian education minister discuss university research partnership
- KSrelief implement sanitation project in Yemen’s Marib governorate
RIYADH: The advisor to the Royal Court and supervisor general of the Kingdom’s aid agency, KSrelief, met with the Palestinian education minister this week to discuss cooperation on educational projects and programs for schools and universities.
Dr Abdullah Al-Rabeeah and Amjad Barham also talked about ways in which research collaboration between Saudi and Palestinian higher education institutes could be enhanced, reported Saudi Press Agency.
The Palestinian minister also expressed his gratitude to the Saudi government for the Kingdom’s ongoing support for his people.
Meanwhile, KSrelief has implemented a project to improve sanitation services for internally displaced persons and the host community in Yemen’s Marib governorate, in partnership with the UN International Organization for Migration.
The project entails the construction of 200 new latrines and rehabilitation of 600 sewage pits and will directly benefit 47,598 individuals facing tough living conditions.
KSrelief delivers food and dates in Yemen, Chad
- This assistance is part of the relief and humanitarian efforts provided by Saudi Arabia, represented by KSrelief
RIYADH: The Kingdom’s aid agency KSrelief has been distributing food and dates to thousands of people in Yemen and Chad, according to the Saudi Press Agency.
Volunteers distributed 3,000 cartons of dates to displaced people in Yemen’s Al-Jawf governorate, benefiting 18,000 individuals, the SPA reported on Wednesday.
In Chad this week, as a part of its Food Security Support Project, KSrelief distributed 1,200 food parcels in the Batha region, benefiting 7,200 vulnerable people.
Saudi Arabia’s aid arrives in northern Gaza to assist Palestinians
- Wednesday’s delivery of essential food and other supplies is a part of KSrelief’s ongoing campaign to provide support for Palestinians
RIYADH: Several trucks with aid, provided by Saudi Arabia’s humanitarian agency KSrelief, have arrived in the northern Gaza Strip via Jordan.
Wednesday’s delivery of essential food and other supplies is a part of KSrelief’s ongoing campaign to provide support for Palestinians, the Saudi Press Agency reported.
The aid was scheduled to be distributed through the Saudi Center for Culture and Heritage, which serves as the executive partner of KSrelief in the area.
The campaign to assist Palestinians, initiated by King Salman and Crown Prince Mohammed bin Salman, has raised over $186.3 million from over 2 million donors.
The northern Gaza Strip is currently facing severe challenges because of Israel’s ongoing war on the Palestinians, which includes the closure of border crossings.
