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Turkey & Saudi Arabia to Develop Connections in Construction

Saudi Arabian Investments Growing in Turkey

Turkey and Saudi Arabia authorized an MoU (memorandum of understanding) in Riyadh for assistance in the construction division, according to Zafer Caglayan, the Economy Minister of Turkey.

The Turkish Economy Minister also requested businessmen of Saudi Arabia to invest more in Turkey and sought the help of Saudi Arabia to quicken discussions in order to support an FTA (free trade agreement) with the GCC (Gulf Cooperation Council) at once.

The Turkish Economy Minister, addressing following his meeting with senior officials of Saudi Arabia including Jobara Al-Suraisry, the transport minister; Ibrahim Al-Assaf, the finance minister; and Dr. Tawfiq Al-Rabiah, the commerce and industry minister, stated that the private division of memorandum in understanding in construction will support both sides in order to build closer connections in this area.

The Turkish Economy Minister along with officials of Saudi Arabia attended the signing ceremony. Approximately 30 Turkish companies such as leading companies in the country like Gama and Yuksel are active in Saudi Arabia.

On the field of the free trade agreement, Zafer Caglayan requested Saudi Arabia to advocate the immediate free trade agreement's conclusion with the Gulf Cooperation Council.

The Turkish Economy Minister said that his country extremely appreciates the contribution of Saudi Arabia in the procedure since the Kingdom is the instrument of development in the Gulf Cooperation Council. He added that he brought up the concern in the discussions he had with the ministers of Saudi Arabia. Zafer Caglayan stated that he mentioned the concern of boosting visa requirements for the Turks with the officials of Saudi Arabia.

In his address at the discussions of Turkish and Saudi Arabia officials co-led by Dr. Tawfiq Al-Rabiah, the Turkish Economy Minister said that the Kingdom needs to boost visa requirements for businessmen of Turkey.

He added that Turkey expects to draw sizeable investments in Saudi Arabia in major companies and also sees a better cut in the substantial multi-billion dollar construction and infrastructure projects in Saudi Arabia.

The Turkish Economy Minister, who was along with superior representatives and executives of approximately 100 Turkish companies, stated that companies in Saudi Arabia have Turkish investments which are equal to $1.4 billion. Zafer Caglayan mentioned that his country is primed to free up property and land sales to foreign investors, including Saudi Arabians. The draft regulation is in the legislative body, and will be adopted in a little while, allowing better flexibility concerning this matter, said Zafer Caglayan.

On the concern of trade and investments, Zafer Caglayan stated that the two-way deal grew 30% in 2010, attaining $4.5 billion. In the primary 10 months of 2011, the amount had already attained $5.1 billion. Caglayan concluded that he assumes the amount to get to $6 billion next year, emphasizing that he likes to eye a larger part of Turkish goods in Saudi Arabia's imports. He said that his country - with an active strong economy and firm government - is the ideal destination for having lasting investments. Zafer & Çağlayan has noticed that buying property in Istanbul will be the new trend in Gulf Countries.

That is the reason why several European Union companies go to Turkey to make investments in order to maximize the active economy, use the new workforce and develop to third industries in nearby countries.

See investment in Turkey page

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Created: 01.01.2012, 00.00Updated: 08.09.2021, 07.19