Saudi signs $50bn deals at key forum

RIYADH: Saudi Arabia signed deals worth $50 billion yesterday, the first day of a prestigious investment conference dubbed ‘Davos in the Desert’.

His Royal Highness Prince Salman bin Hamad Al Khalifa, Crown Prince, Deputy Supreme Commander and First Deputy Premier, is heading Bahrain’s high-level delegation to the Future Investment Initiative 2018.

The conference is being held under the patronage of Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud and is chaired by Crown Prince Mohammed bin Salman.

The Crown Prince, who arrived in Riyadh yesterday, is attending the conference at the invitation of Crown Prince Mohammad bin Salman.

Bahrain-Saudi relations are a model of how partnerships can drive innovation and shared growth, said the Crown Prince on his arrival in Riyadh.

He was welcomed by Riyadh’s Deputy Governor Prince Mohammed bin Abdulrahman bin Abdulaziz Al Saud and senior officials.

The Crown Prince is accompanied by Shaikh Isa bin Salman bin Hamad Al Khalifa, senior government officials and representatives from the private sector.

He emphasised that the three-day prestigious investment conference represents a unique platform to discuss how the region’s economic transformation can be accelerated through inter-regional collaboration.

Among the dignitaries attending the conference are King Abdullah of Jordan and Pakistan Prime Minister Imran Khan.

Crown Prince Mohammed bin Salman, who will attend the conference today, arrived at the event yesterday to cheers and declared it a success.

Earlier, Energy Minister Khalid Al Falih assured the investment conference that the world’s top crude exporter would power ahead with economic reforms.

The chief executive of Saudi Aramco said the government remained committed to a partial flotation of the oil giant but that the timing would depend on market conditions and other factors.

Hundreds of bankers and company executives joined officials at Ritz-Carlton Riyadh hotel for the conference.

Russia has sent a large delegation led by Direct Investment Fund head Kirill Dmitriev, who said the Saudi drive for economic and social reform could not be ignored.

“Saudi Arabia’s reforms are important and they are worth supporting,” he said.

Saudi Arabia signed 25 deals worth $50bn in the oil, gas, industries and infrastructure sectors with firms such as Trafigura, Total, Hyundai, Norinco, Schlumberger, Halliburton and Baker Hughes.

Saudi Aramco said it signed 15 memoranda of understanding worth $34bn.

Total chief executive Patrick Pouyanné, a panelist yesterday, said the French oil and gas producer would announce a retail network in the kingdom with Saudi Aramco.

The managing director of the kingdom’s sovereign wealth fund, the main backer of the event, said the Saudi Public Investment Fund continued to develop new industries under economic reforms launched by the Crown Prince.

Yasir Al Rumayyan said the fund has invested in 50 or 60 firms via SoftBank Group’s Vision Fund and would bring most of those businesses to the kingdom. PIF has committed to invest $45bn in Vision Fund.

Separately, Saudi Arabia agreed to give Pakistan $3 billion in foreign currency support for a year and allow it to defer payments for oil imports, Pakistan’s government said. The agreement came as the new Pakistani Prime Minister attended the investment conference.

“It was agreed Saudi Arabia will place a deposit of $3bn for a period of one year as balance of payment support,” Pakistan’s foreign ministry said in a statement. “It was also agreed that a one year deferred payment facility for import of oil, up to $3bn, will be provided by Saudi Arabia. This arrangement will be in place for three years, which will be reviewed thereafter.”

Source: http://www.gdnonline.com/Details/427345