Minister of Investment: Saudi investments in Bahrain amount to 35 billion riyals

Eng. Khalid Al-Falih, Saudi Minister of Investment, revealed the imminent launch of a Saudi-Bahraini partnership in the field of transporting building materials from the Kingdom to Bahrain.

Al-Falih confirmed today, during the opening of the Saudi-Bahraini Investment Forum in Dammam with the participation of 400 participants, that the forum contributes to strengthening relations between private sector institutions and enhancing the growth of joint investments in the two countries, estimating the volume of direct Saudi investments in Bahrain at about 35 billion in 2023, which constitutes 20% of foreign investments in Bahrain, as 1,550 Saudi companies registered in Bahrain operate, while Bahraini investments in the Kingdom are estimated at 37 billion riyals in 2023, and the number of companies operating in the Kingdom is 700 companies.

He pointed out that the economic relations between Bahrain and the Kingdom include petrochemicals, transportation and logistics services from airports and ports, as well as electricity connection and mutual tourism, explaining that the Saudi and Bahraini economies have become almost one economy, indicating that the complementary relationship between the Kingdom and Bahrain in the energy sector is represented by Saudi Aramco and Bapco by providing crude transportation supplies to the Bapco refinery via the pipeline that was expanded and renewed to raise the production capacity to 400 thousand barrels per day. He added that the complementary relationship between the Kingdom and Bahrain in the petrochemical industries sector is represented by the partnership between SABIC and Bapco in addition to the Kuwaiti partner through the establishment of petrochemical industries in Bahrain, in addition to the integration between “Maaden” and “Alba” in the mineral industries, where “Maaden” owns a share exceeding 20% ​​of “Alba”, adding that the Saudi Telecom Company STC is considered the largest investor in the telecommunications sector in Bahrain after Bahraini companies, as STC’s investments exceed 15 billion riyals. Dr. Abdullah bin Ahmed Al Hanifa, Minister of Transportation and Telecommunications in the Kingdom of Bahrain, explained that the Kingdom is the largest economic partner in non-oil trade exchanges, as it approached 4 billion dollars during the past year, indicating that the volume of cumulative direct Saudi investments exceeded 9.2 billion US dollars, equivalent to 21% of total international investments in 2023.

He stressed that the Saudi-Bahraini Investment Forum represents an important opportunity to enhance this economic integration and continue progress in completing investment projects, noting that one of the outcomes of the Saudi-Bahraini Coordination Council was the establishment of an investment company in the Kingdom of Bahrain, working in the fields of infrastructure, transportation, communications and technology, which contributes to achieving the strategic goals of Bahrain’s Economic Vision 2030 and Saudi Vision 2030.

He explained that the Economic Development Board, in coordination with the Bahrain team from various ministries, government agencies and the private sector, is keen to highlight investment opportunities, whether legislation or financial and commercial incentives, in addition to the advanced economic, financial and monetary policy, in addition to the safe environment, indicating that his country looks forward to more cooperation and coordination and Exchange of expertise with our brothers in the Kingdom, and strengthening the bonds of strategic and investment partnerships in a number of vital fields such as energy, financial services, information and communications technology, cybersecurity, artificial intelligence, water and food security, and tourism. Bassem Ibrahim, Director of Investment Development at the Saudi Ministry of Investment, said that the investment volume of the new square, “a 400-meter-high cube-style skyscraper,” is estimated at $50 billion, while the investment volume of Diriyah, “a culture-led tourist destination,” is estimated at $60 billion, the investment of “Qiddiya, a sports and entertainment destination,” is $40 billion, the “NEOM” project is $500 billion, the “Al-Ula” project, “historical sites tourism,” is $20 billion, and the Jeddah Central Project is $20 billion. He stated that the state supports sectors to drive economic diversification, including advanced industries, environmental services, health services, energy, agriculture, food industry, transportation, logistics, financial services, real estate, construction, petrochemicals, manufacturing industries, biotechnology, medicine, mining, tourism, quality of life, communications, information technology, human capital, innovation, defense and space. Hamad Al-Amari, Executive Director of International Offices at the Bahrain Economic Development Board, explained that the contribution of non-oil sectors to the GDP and economic diversification amounted to $46 billion in 2023, compared to $11 billion in 2003, adding that the rate of foreign direct investment flow reached 7% in 2023, exceeding the global average of 5%, indicating that the flow of foreign investment increased by 161.8%, while the percentage of investment stock to the size of the gross domestic product amounted to 94.1%.