عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Saudi Arabia, Azerbaijan Agree to Establish Joint Business Council

Signing ceremony of an agreement to establish a joint Saudi-Azerbaijani business council to enhance trade and investment in the two countries (Asharq Al-Awsat)
Signing ceremony of an agreement to establish a joint Saudi-Azerbaijani business council to enhance trade and investment in the two countries (Asharq Al-Awsat)
TT
TT

Saudi Arabia, Azerbaijan Agree to Establish Joint Business Council

Signing ceremony of an agreement to establish a joint Saudi-Azerbaijani business council to enhance trade and investment in the two countries (Asharq Al-Awsat)
Signing ceremony of an agreement to establish a joint Saudi-Azerbaijani business council to enhance trade and investment in the two countries (Asharq Al-Awsat)

The Federation of Saudi Chambers (FSC) and the Small and Medium Business Development Agency in Azerbaijan signed on Monday an agreement to establish a joint business council in efforts to enhance intra-trade between the Kingdom and Azerbaijan and increase the volume of trade and investment cooperation.

The signing of the agreement coincides with the 17th session of the Saudi-Azerbaijani Joint Committee held in Baku, where the signing ceremony took place in the presence of the Minister of Investment Eng. Khaled Al-Falih.

This agreement reflects the keenness of the two countries and the business sectors to raise the volume of trade and investment exchanges.

The Joint Business Council will carry out a number of commercial and promotional activities in promoting and expanding Azerbaijani-Saudi trade and economic cooperation by focusing on the targeted sectors in the economic cooperation agenda in the two countries.

It will also provide a platform for Saudis and Azerbaijani businessmen to introduce and promote their activities and establish business partnerships.

The joint business council will be concerned with opening new qualitative areas for economic cooperation while facilitating continuous interaction between the Saudi and Azerbaijani business sectors.

The council will work to address challenges and obstacles, as well as exchange information on available markets and investment opportunities, and enable trade and investment partnerships.

The Kingdom's Vision 2030 and the environment and investment incentives it provides constitute promising investment opportunities for Azerbaijani business owners in various economic sectors.

The establishment of a Saudi-Azerbaijan Business Council provides a valuable opportunity for Azerbaijani companies to deal with the Saudi market, which is one of the fastest-growing markets in the world.

It will also provide a platform for Saudis and Azerbaijani businessmen to introduce and promote their activities and establish business partnerships.

The FSC also organized on Monday a meeting in Riyadh for the Public Investment Fund (PIF) with the heads and members of chambers of commerce, national committees, and business councils.

The meeting discussed ways to boost cooperation between the two parties and how to activate the role of the Saudi private sector in the PIF's current and future projects, in addition to increasing the local content in its projects and purchases.

The FSC stressed the effectiveness of the partnership between the public and private sectors, as well as the importance of communicating with the PIF as well as supporting the business sector, offering investment opportunities for it, and creating initiatives that contribute to achieving strong growth rates for the private sector, in line with Vision 2030.

The meeting also shed light on the PIF's projects and the opportunities available to the Saudi business sector, and how the sector can benefit from them.

Most Viewed

 
 
Business

IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
TT
TT

IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA

The International Monetary Fund (IMF) and the Arab Monetary Fund (AMF) signed a memorandum of understanding (MoU) on the sidelines of the AlUla Conference on Emerging Market Economies (EME) to enhance cooperation between the two institutions.

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki, SPA reported.

The agreement aims to strengthen coordination in economic and financial policy areas, including surveillance and lending activities, data and analytical exchange, capacity building, and the provision of technical assistance, in support of regional financial and economic stability.

Both sides affirmed that the MoU represents an important step toward deepening their strategic partnership and strengthening the regional financial safety net, serving member countries and enhancing their ability to address economic challenges.

Business

Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT
TT
TT

Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT

The Federation of Saudi Chambers announced the formation of the first joint Saudi-Kuwaiti Business Council for its inaugural term (1447–1451 AH) and the election of Salman bin Hassan Al-Oqayel as its chairman.

Al-Oqayel said the council’s formation marks a pivotal milestone in economic relations between Saudi Arabia and Kuwait, reflecting a practical approach to enabling the business sectors in both countries to capitalize on promising investment opportunities and strengthen bilateral trade and investment partnerships, SPA reported.

He noted that trade between Saudi Arabia and Kuwait reached approximately SAR9.5 billion by the end of November 2025, including SAR8 billion in Saudi exports and SAR1.5 billion in Kuwaiti imports.

Business

Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
TT
TT

Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).

Harvard University economics professor Pol Antràs said Saudi Arabia represents an exceptional model in the shifting global trade landscape, differing fundamentally from traditional emerging-market frameworks. He also stressed that globalization has not ended but has instead re-formed into what he describes as fragmented integration.

Speaking to Asharq Al-Awsat on the sidelines of the AlUla Conference for Emerging Market Economies, Antràs said Saudi Arabia’s Vision-driven structural reforms position the Kingdom to benefit from the ongoing phase of fragmented integration, adding that the country’s strategic focus on logistics transformation and artificial intelligence constitutes a key engine for sustainable growth that extends beyond the volatility of global crises.

Antràs, the Robert G. Ory Professor of Economics at Harvard University, is one of the leading contemporary theorists of international trade. His research, which reshaped understanding of global value chains, focuses on how firms organize cross-border production and how regulation and technological change influence global trade flows and corporate decision-making.

He said conventional classifications of economies often obscure important structural differences, noting that the term emerging markets groups together countries with widely divergent industrial bases. Economies that depend heavily on manufacturing exports rely critically on market access and trade integration and therefore face stronger competitive pressures from Chinese exports that are increasingly shifting toward alternative markets.

Saudi Arabia, by contrast, exports extensively while facing limited direct competition from China in its primary export commodity, a situation that creates a strategic opportunity. The current environment allows the Kingdom to obtain imports from China at lower cost and access a broader range of goods that previously flowed largely toward the United States market.

Addressing how emerging economies should respond to dumping pressures and rising competition, Antràs said countries should minimize protectionist tendencies and instead position themselves as committed participants in the multilateral trading system, allowing foreign producers to access domestic markets while encouraging domestic firms to expand internationally.

He noted that although Chinese dumping presents concerns for countries with manufacturing sectors that compete directly with Chinese production, the risk is lower for Saudi Arabia because it does not maintain a large manufacturing base that overlaps directly with Chinese exports. Lower-cost imports could benefit Saudi consumers, while targeted policy tools such as credit programs, subsidies, and support for firms seeking to redesign and upgrade business models represent more effective responses than broad protectionist measures.

Globalization has not ended

Antràs said globalization continues but through more complex structures, with trade agreements increasingly negotiated through diverse arrangements rather than relying primarily on multilateral negotiations. Trade deals will continue to be concluded, but they are likely to become more complex, with uncertainty remaining a defining feature of the global trading environment.

Interest rates and artificial intelligence

According to Antràs, high global interest rates, combined with the additional risk premiums faced by emerging markets, are constraining investment, particularly in sectors that require export financing, capital expenditure, and continuous quality upgrading.

However, he noted that elevated interest rates partly reflect expectations of stronger long-term growth driven by artificial intelligence and broader technological transformation.

He also said if those growth expectations materialize, productivity gains could enable small and medium-sized enterprises to forecast demand more accurately and identify previously untapped markets, partially offsetting the negative effects of higher borrowing costs.

Employment concerns and the role of government

The Harvard professor warned that labor markets face a dual challenge stemming from intensified Chinese export competition and accelerating job automation driven by artificial intelligence, developments that could lead to significant disruptions, particularly among younger workers. He said governments must adopt proactive strategies requiring substantial fiscal resources to mitigate near-term labor-market shocks.

According to Antràs, productivity growth remains the central condition for success: if new technologies deliver the anticipated productivity gains, governments will gain the fiscal space needed to compensate affected groups and retrain the workforce, achieving a balance between addressing short-term disruptions and investing in long-term strategic gains.