RIYADH: Saudi Arabian Military Industries inked three agreements with Turkish firms to localize defense businesses in the Kingdom’s aviation, space and technology fields.

The Public Investment Fund-owned group signed the memorandum of understandings with Turkiye’s drone maker Baykar, tech firm Fergani Space, and aerospace and defense company Aselsan, according to a statement.

This falls in line with SAMI’s aim to contribute to the localization of 50 percent of the Kingdom’s total government defense spending, in alignment with Saudi Vision 2030. 

It also aligns well with the company’s efforts to be among the world’s top 25 defense industry companies by 2030.

The deals were signed in the presence of Saudi Arabia’s Minister of Defense Prince Khalid bin Salman bin Abdulaziz, and SAMI CEO Waleed Abukhaled said the agreements “will contribute to enhancing our capabilities and contributing to the continued development of the national defense industry.” 

He added: “These strategic agreements will contribute to increasing the percentage of the gross domestic product through international cooperation and working with local supply chains.”

The deal with drone maker Baykar includes establishing manufacturing capabilities and developing systems for the firm’s unmanned aerial vehicles in the Kingdom. 

It will also see joint development and the transfer of technology and intellectual property to Saudi Arabia. 

The MoU with Fergani Space entails establishing a center of excellence for the development of emerging technologies in the Kingdom to serve the global space sector. 

The agreement with Aselsan seeks to explore opportunities for transferring, localizing, and developing advanced electronics technologies to enhance and build domestic capabilities in this field.

In a post on X, Prince Abdulaziz said: “During my visit to Turkiye, I had the opportunity to see the capabilities of several leading companies in the space and defense industries. I explored their innovative technological projects and latest products, as well as their future plans and strategies.”

He further noted: “Additionally, I met with President of the SSB, Dr. Haluk Görgün, and CEOs of major industrial companies to discuss opportunities for defense cooperation in line with Saudi Vision 2030. We also witnessed the signing of several MoUs between Saudi companies and Turkish companies.”

The deals were signed as the Kingdom’s Minister of Municipal, Rural Affairs and Housing Majid Al-Hogail was also in Turkiye to attend a special forum focused on boosting ties between businesses in the country and Saudi Arabia.

The Saudi-Turkish Contracting Forum in Istanbul, organized by the Saudi Contractors Authority, has the aim of “enhancing cooperation and creating partnerships to achieve the Kingdom’s 2030 vision in supporting the private sector and attracting and transferring international investments and experiences,” the minister said in a post on X.

He added: “During the forum, I listened to representatives of Saudi and Turkish companies in an open dialogue to discuss the best solutions and enablers to advance the contracting sector, employ global expertise in developing Saudi city services, and create the appropriate investment environment for successful partnerships with Saudi companies in the contracting sector in the Kingdom.”

RIYADH: Saudi Arabia is set to establish an energy sub-sector fund to benefit the not-for-profit sector, thanks to a new agreement signed between the government and the Associations Support Fund.

The memorandum of understanding signed with the Ministry of Energy is part of an effort to support associations that specialize in this field.

The MoU also underscores the government’s commitment to advancing energy initiatives through targeted support.

Saudi Arabia is making steady progress in developing its energy sector, as this contributes toward the Kingdom’s goal of achieving carbon neutrality by 2060.

The newly established fund will focus on several key areas of cooperation. First, it will create developmental sub-portfolios designed to provide support for entities.

It will also seek to empower non-profit associations that specialize in various aspects of energy, and build high-quality initiatives that will activate and enhance the role of these organizations that focus on the sector.

Established by the Ministry of Human Resources and Social Development, ASF has an independent financial liability that is strategically linked to the development strategy and the strategy of the non-profit sector.

The fund aims to increase the number of associations that implement sustainable and influential development programs.

It also seeks to provide supportive and enabling programs that contribute to building a distinguished business model for the associations.

In addition, it provides financial tools and facilities for the associations that contribute to supporting them and enabling them to achieve their vision and fulfill their mission.

In December last year, ASF signed an agreement with Sekaya Charitable Foundation to enhance joint cooperation in water irrigation projects in the Kingdom, Saudi Press Agency reported.

The agreement aims to establish a sub-fund, the Water Associations Support Fund, to develop and empower entities working in the water irrigation sector, aligning with the objectives of Vision 2030.