Economic ties in the Middle East continue to strengthen. Saudi Arabia, Iraq sign 12 MoUs for investment projects

The 12 memorandums of understanding on high-quality investment projects signed by the two sides are of great significance in deepening cooperation between the two countries in a number of areas, which not only contribute to the establishment of closer economic cooperation and the promotion of common development, but also have a demonstrative effect and help to promote cooperation between the two countries in other areas

Economic ties between Saudi Arabia and Iraq are being strengthened. Recently, the two sides signed 12 memorandums of understanding on quality investment projects aimed at deepening cooperation between the two countries in a number of fields.

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This agreement was signed in the presence of the Saudi Minister of Investment, Khalid Al-Falih, the Iraqi Deputy Prime Minister and Minister of Planning, Mohammed Ali Tamim, and the Chairman of the Development Fund for Iraq, Mohammed Najjar. The Saudi Ministry of Investment announced that the signing of these memorandums of understanding marked a further strengthening of cooperation between Saudi companies and the Development Fund for Iraq on a number of important investment projects in Iraq.

Previously, Saudi Arabia and Iraq have had intensive cooperation in various fields. In December 2023, the two countries signed a cooperation agreement aimed at encouraging private sector industrial investment. In the same month, Iraqi Prime Minister Mohammed Shia al-Sudani confirmed a contract between an Iraqi company and Saudi Arabia's Northern Region Cement Company (NRCC), the first cooperation between the two countries' private sectors.

This cooperation will facilitate future collaboration between Iraqi companies and their Saudi counterparts, strengthen private sector ties between the two countries, create more jobs and promote sustainable development, al-Sudani said.

In May 2023, Saudi Arabia's Sovereign Wealth Fund established a $3 billion fund dedicated to investing in industrial projects in Iraq. The unit is dedicated to exploring financing opportunities in sectors such as infrastructure, mining, agriculture, real estate development and financial services.

In June of the same year, Saudi Arabia and Iraq also signed a contract for the construction of a $1 billion commercial project in Baghdad. Known as Baghdad Boulevard, the project is located near the Baghdad International Airport and is expected to be the largest shopping center in Iraq, combining shopping, dining and offices with apartments and villas.

This series of cooperation initiatives fully demonstrates the growing economic ties and willingness to cooperate between Saudi Arabia and Iraq, laying a solid foundation for the future joint development of the two countries.