RIYADH: It was in February 1932 that Saudi Arabia and Italy signed a Treaty of Friendship that marked the origin of the bilateral relationship between the 2 nations — and 90 years on the partnership is extra fruitful than ever.

In 2021, the commerce trade between Saudi Arabia and Italy exceeded $8 billion, larger than the pre-pandemic interval, exhibiting an accelerating financial relationship between the 2 nations. 

Italy is presently the seventh largest exporter to Saudi Arabia and the second throughout the EU, whereas the Kingdom is Italy’s twenty first highest exporter, supplying about 9 % of Saudi Arabia’s oil imports.

As Saudi Arabia leapfrogs within the enterprise sector via financial diversification, a powerful strategic accomplice like Italy may additionally reap advantages. 

In keeping with the objectives outlined in Imaginative and prescient 2030, Saudi Arabia is now steadily diversifying its economic system, which has been depending on oil for a number of many years. The Kingdom now eyes changing into one of many world’s prime vacationer locations by 2030, together with accelerating the circulate of overseas direct investments to the nation.

With a number of regulatory reforms and by making a business-friendly atmosphere, Saudi Arabia is attracting overseas corporations to the Kingdom.

These companies are actually having fun with all the advantages, ensures, assist and incentives supplied to Saudi entities, and the federal government even permits full overseas possession in most industries.

Till now, Italy’s capital expenditure in Saudi Arabia centered primarily on manufacturing and wholesale and retail commerce, however these regulatory reforms may assist Italian entrepreneurs to discover extra sectors within the Kingdom.

In the meantime, Saudi Arabian companies are additionally establishing a foothold in Italy, with SABIC being essentially the most distinguished one working within the European nation.

Different notable companies from the Kingdom working in Italy embody Saudi Arabian Airways within the logistics and storage sectors and Gulf Infonet within the telecommunications sector.

Earlier in June, in an unique interview with Arab Information on the sidelines of the Italian-Saudi Joint Fee, Luigi Di Maio, Italy’s then-foreign minister, burdened the significance of consolidating his nation’s historic relations with the Kingdom.

Di Maio mentioned: “Italy was one of many first nations to ascertain diplomatic relations with the Kingdom of Saudi Arabia within the early Thirties and 2022 marks a vital anniversary in our longstanding friendship.”

Di Maio additional famous that high-tech Italian corporations may contribute to Saudi Arabia’s financial diversification journey, particularly within the fields of sustainability and vitality transition. 

On the sidelines of the occasion, the Saudi Area Fee signed a memorandum of understanding with the Italian Area Company (ASI) to collaborate on initiatives of frequent curiosity in Earth commentary, know-how and communication in deep area, scientific missions and human exploration packages, in addition to joint efforts in satellites and coaching. 

“ASI and SSC conform to cooperate via the trade of data and scientific knowledge, the joint group of seminars and workshops and the event of joint initiatives and analysis actions,” a spokesman for ASI advised Arab Information.

Saudi Arabia and Italy have already got sturdy bilateral exchanges on vitality, innovation, equipment and area. Because the nations have fun the ninetieth anniversary of diplomatic relations, these ties may very well be additional prolonged to different sectors like tradition and tourism.