EU Investigates after 3 Countries Ban Ukraine Grain Imports

Commercial vessels including vessels which are part of Black Sea grain deal wait to pass the Bosphorus strait off the shores of Yenikapi during a misty morning in Istanbul, Türkiye, October 31, 2022. (Reuters)
Commercial vessels including vessels which are part of Black Sea grain deal wait to pass the Bosphorus strait off the shores of Yenikapi during a misty morning in Istanbul, Türkiye, October 31, 2022. (Reuters)
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EU Investigates after 3 Countries Ban Ukraine Grain Imports

Commercial vessels including vessels which are part of Black Sea grain deal wait to pass the Bosphorus strait off the shores of Yenikapi during a misty morning in Istanbul, Türkiye, October 31, 2022. (Reuters)
Commercial vessels including vessels which are part of Black Sea grain deal wait to pass the Bosphorus strait off the shores of Yenikapi during a misty morning in Istanbul, Türkiye, October 31, 2022. (Reuters)

Slovakia became the third European Union country to ban food imports from Ukraine on Monday, deepening the challenge for the bloc as it works to help Ukraine transport its grain to world markets.

Slovakia followed Poland and Hungary, both of which announced bans Saturday on Ukrainian food imports through June 30. They did so in response to rising anger from farmers who say that a glut of grain in their countries is causing them economic hardship.

The EU’s executive branch, the European Commission, manages trade on behalf of the 27 member countries and objects to them taking unilateral or uncoordinated measures.

At a briefing in Brussels, two spokespeople stressed gratitude to Poland and other Central European countries for supporting Ukraine, but said a solution must be found that respects the EU legal framework.

"We are dealing with a war, right? And this war has consequences, obviously, on farmers and more generally, the population in Ukraine and the European Union and its member states," said Eric Mamer, chief spokesperson.

He acknowledged that Poland and other countries "have been doing their utmost in order to help Ukraine," adding: "So this is not about sanctioning. This is about finding solutions based on EU law in the interests at the same time of the Ukrainians and of the EU."

Five EU countries that neighbor Ukraine have asked the EU to treat the matter of Ukrainian food with urgency. Poland, Bulgaria, the Czech Republic, Hungary and Slovakia argue that they can’t allow their own farmers to bear the cost of disruption that Ukrainian grain and other agriculture products are causing to their markets.

"The Hungarian government will always stand by Hungarian farmers and will protect Hungarian agriculture," the agriculture minister, Istvan Nagy, said. He said the surge in Ukrainian products on European markets had made it "impossible" for Hungarian farmers to remain competitive.

Bulgaria is reportedly mulling a similar ban. Meanwhile, a delegation of Ukrainian officials visited Warsaw on Monday for government consultations on the issue.

Nagy also said that low production costs in Ukraine, owing to practices being used that are not permitted in EU countries, had allowed Ukraine to export large quantities of poultry, eggs and honey to the European market, driving costs down to unsustainable levels.

The Slovak Agriculture Ministry announced last week that tests of 1,500 tons of grain from Ukraine in one mill in Slovakia revealed it contained a pesticide banned in the EU. As a result, the Slovak authorities decided to test all Ukrainian grain in the country and temporarily banned its processing.

Ukraine and Russia are both major global suppliers of wheat, barley, sunflower oil and other affordable food products that developing nations depend on. The war upended those supplies to Africa, the Middle East and parts of Asia where people were already going hungry and helped push millions more people into poverty or food insecurity.

After Russia's full-scale invasion of Ukraine, it became too dangerous for ships to sail in the Black Sea, disrupting the flow of large ships carrying food to distant markets. Shipments resumed under a deal brokered by the United Nations and Turkey.

The EU reacted to the crisis by lifting tariffs and other trade duties on Ukraine to help keep its economy afloat. That helped to divert Ukraine’s grain flows destined for Africa and the Middle East through Europe — but much of this food has instead remained in the bordering countries, creating a glut that has caused high losses for local farmers.

The EU measures expire in June, but the EU is expected to renew them.

Ukraine's EU neighbors are, with the exception of Hungary, allies of Ukraine who favor their neighbor’s future membership in the EU.

Yet already the EU’s decision to banish tariffs for Ukrainian goods as a result of Russia’s invasion of its neighbor underlines the challenges that would come with integrating a huge food producer with the rest of the bloc.

Their bans come as Russia threatens to pull out of the Black Sea deal. Moscow is complaining that a separate agreement to facilitate exports of Russian food and fertilizers amid Western sanctions hasn’t worked.

Global food commodity prices surged to record levels after the invasion of Ukraine and have been falling steadily since, but food is still expensive for people in many places because of factors like droughts, trade restrictions and the high cost of buying imported food priced in dollars as some emerging economies’ currencies weaken.



Saudi EXIM Signs Line of Credit Agreement with Ziraat Bank of Türkiye

Saudi EXIM chief executive Saad bin Abdulaziz AlKhalb signed the agreement in Istanbul, Republic of Türkiye. - SPA
Saudi EXIM chief executive Saad bin Abdulaziz AlKhalb signed the agreement in Istanbul, Republic of Türkiye. - SPA
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Saudi EXIM Signs Line of Credit Agreement with Ziraat Bank of Türkiye

Saudi EXIM chief executive Saad bin Abdulaziz AlKhalb signed the agreement in Istanbul, Republic of Türkiye. - SPA
Saudi EXIM chief executive Saad bin Abdulaziz AlKhalb signed the agreement in Istanbul, Republic of Türkiye. - SPA

The Saudi Export-Import Bank (Saudi EXIM) announced it signed a line of credit agreement worth $100 million with the Turkish Ziraat Bank, which aims at financing the export activities of Saudi non-oil products and services to Turkish markets.
The agreement comes within the EXIM’s efforts to empower the non-oil national economy and enhance the competitiveness of Saudi products in international markets, according to SPA.
Saudi EXIM chief executive Saad bin Abdulaziz AlKhalb signed the agreement in Istanbul, Republic of Türkiye.
AlKhalb explained that the agreement comes within the framework of the bank’s efforts to strengthen international trade relations to open new markets for Saudi exporters to expand their activities and increase Saudi products and services to global markets, underlying the bank’s endeavor to achieve the targets of the Saudi Vision 2030 in creating a diversified and sustainable economy, maximizing the economic impact of export activities, and increasing Its contribution to non-oil gross domestic product (GDP) to 50% by 2030.


Saudi Aramco Signs MoUs with US firms Aeroseal, Spiritus and Rondo

 (FILES) This picture shows Aramco tower at the King Abdullah Financial District (KAFD) in Riyadh on April 16, 2023. (Photo by Fayez Nureldine / AFP)
(FILES) This picture shows Aramco tower at the King Abdullah Financial District (KAFD) in Riyadh on April 16, 2023. (Photo by Fayez Nureldine / AFP)
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Saudi Aramco Signs MoUs with US firms Aeroseal, Spiritus and Rondo

 (FILES) This picture shows Aramco tower at the King Abdullah Financial District (KAFD) in Riyadh on April 16, 2023. (Photo by Fayez Nureldine / AFP)
(FILES) This picture shows Aramco tower at the King Abdullah Financial District (KAFD) in Riyadh on April 16, 2023. (Photo by Fayez Nureldine / AFP)

Saudi Aramco signed three memorandums of understanding (MOU) with US companies Aeroseal, Spiritus and Rondo, the state-owned oil giant said on Friday.

Under the MoU the companies will develop potential lower-carbon energy solutions, Aramco's statement said.

Aramco and Aeroseal agreed to deploy Aeroseal’s technology to expand its fleet and commercialize the technology in novel applications such as gas pipelines, the statement said.

With Spiritus, Aramco has agreed to explore opportunities in direct air capture to reduce energy needs.

The statement added that Aramco and Rondo agreed to explore deployment of heat batteries in Aramco’s global facilities to reduce operating costs and cut emissions.

The MoUs were signed during the visit of US Secretary of Energy Jennifer Granholm to Saudi Arabia.


Morocco to Impose Anti-dumping Duty on Turkish Electric Ovens

A man waves a Turkish flag - REUTERS/Vincent Kessler
A man waves a Turkish flag - REUTERS/Vincent Kessler
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Morocco to Impose Anti-dumping Duty on Turkish Electric Ovens

A man waves a Turkish flag - REUTERS/Vincent Kessler
A man waves a Turkish flag - REUTERS/Vincent Kessler

Morocco's trade ministry plans to introduce an anti-dumping duty on electric ovens imported from Türkiye that would amount to 62% to protect the local market, a ministry source said on Friday.

However, Turkish brand ITIMAT will be subject to an import duty of 34%, the source said.

The dumping margin of Turkish oven makers stood at up to 71.4%, while that of ITIMAT was at 34%, the ministry said on its website.

Morocco and Türkiye signed a free trade agreement in 2004, Reuters reported.

The deal was amended in 2020 to introduce import duties on some Turkish goods following complaints by Moroccan textile manufacturers.


Gold Heads for Second Weekly Gain, Extending Support to Silver and Platinum

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)
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Gold Heads for Second Weekly Gain, Extending Support to Silver and Platinum

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)

Gold prices were on track for a second consecutive weekly gain on Friday due to improved interest rate cut expectations, providing support to silver and platinum, which are up 5.6% and 6.3%, respectively, this week.

Spot gold rose 0.5% to $2,387.85 per ounce by 1141 GMT. Bullion prices are up 1% so far this week after hitting a one-month high on Thursday.

"Signs that inflation may be slowing down raise the prospect of interest rate cuts in the coming months, which tend to support gold and silver prices," said Frank Watson, market analyst at Kinesis Money, Reuters reported.

On the demand side, expectations of continuing strong demand in China got a boost after the country announced more efforts to stabilize its crisis-hit property sector.

Demand in China, which contributed to the gold price rally in recent months, is becoming more crucial as the market is waiting to see if high gold prices prompt some central banks to slow down purchases and as outflows from physically backed gold exchange-traded funds continue.

Global central banks actively bought gold in 2022-2023, but the largest purchaser among them, China's central bank slowed down buying in April when spot gold prices hit a record high of $2,431.29.

"Central banks these days are much more nuanced in their buying behaviour and will alter the programme to be more opportunistic - that is to say buying on dips and scaling back on rallies," independent analyst Ross Norman said.

In the physical market, dealers were offering lower premiums in China and deeper discounts in India this week.

On the supply side, the 15% increase in gold price since the start of 2024 keeps margins robust for gold miners. According to the World Gold Council, gold miners' global average total expenses were at $1,342 per ounce in the last quarter of 2023.

Meanwhile, silver and platinum got support from higher prices for gold and base metals.

Spot silver rose 0.5% to $29.74 per ounce after hitting a more than three-year high and flirting with a major resistance level of $30 in the previous session.

Platinum lost 0.3% to $1,054.54, after hitting a one-year high on Thursday. The metal is up 6.3% so far this week due to continued structural deficits.

Palladium dropped 0.8% to $985.50, under pressure from rising market share of electric vehicles.


Red Sea Int’l Airport in Saudi Launches 8 Weekly Flights

Group CEO of Red Sea Global John Pagano. (Asharq Al-Awsat)
Group CEO of Red Sea Global John Pagano. (Asharq Al-Awsat)
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Red Sea Int’l Airport in Saudi Launches 8 Weekly Flights

Group CEO of Red Sea Global John Pagano. (Asharq Al-Awsat)
Group CEO of Red Sea Global John Pagano. (Asharq Al-Awsat)

The Red Sea International Airport in Saudi Arabia’s western region, which opened last year, is now buzzing with eight weekly flights connecting Riyadh, Jeddah, and Dubai.

The airport is a key part of Saudi Arabia’s national transformation plan, “Vision 2030,” led by Prince Mohammed bin Salman, Crown Prince and Prime Minister.

It is meant to serve projects in the region developed by Red Sea Global (RSG).

RSG is one of the world’s most visionary developers, wholly owned by the Public Investment Fund (PIF) of Saudi Arabia.

The company is spearheading a new model of development, putting people and planet first and leveraging the most innovative concepts and technologies to deliver projects that actively enhance the well-being of customers, communities and environments.

Its portfolio includes two world-leading destinations announced by Crown Prince Mohammad, The Red Sea and Amaala.

Collectively, these responsible and regenerative tourism destinations will aim to enhance Saudi Arabia’s luxury tourism and sustainability offering, going above and beyond to not only protect the natural environment, but to enhance it for future generations to come.

A cornerstone of Vision 2030, RSG will help transform the nation, creating significant economic opportunities for the people of Saudi Arabia and actively enhancing the Kingdom’s rich environmental and cultural heritage.

By 2030, the airport is expected to serve a million passengers annually, with a peak capacity of 900 passengers per hour for both domestic and international flights.

Domestic flights started in September 2023, followed by international flights from Dubai International Airport on April 18, 2024.

John Pagano, Group CEO of RSG, disclosed to Asharq Al-Awsat at the sidelines of the “GREAT FUTURES” conference in Riyadh that the company has already opened three tourist resorts.

He revealed plans for two more resorts to open later this year.

Pagano explained that RSG has made significant investments and struck diverse deals.

According to the group CEO, around 17 billion riyals ($4.5 billion) in funding and partnerships for infrastructure projects worth 20 billion riyals ($5.3 billion) have been secured.


Saudi PIF Leads Integrated Effort to Build National Car Sector

Saudi PIF launched Saudi Arabia’s first electric car brand, “CEER,” in November 2022. (PIF)
Saudi PIF launched Saudi Arabia’s first electric car brand, “CEER,” in November 2022. (PIF)
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Saudi PIF Leads Integrated Effort to Build National Car Sector

Saudi PIF launched Saudi Arabia’s first electric car brand, “CEER,” in November 2022. (PIF)
Saudi PIF launched Saudi Arabia’s first electric car brand, “CEER,” in November 2022. (PIF)

Saudi Arabia’s Public Investment Fund (PIF) is making big moves to kickstart the Kingdom’s own car industry.

It launched Saudi Arabia’s first electric car brand, “CEER,” in November 2022 and is backing the National Automotive and Mobility Academy (NAFAM) while investing heavily in the car and mobility sector.

In one of its reports, PIF emphasized how this sector can create jobs, boost the economy beyond oil, and fill skill gaps regionally. The fund also aims to create opportunities for private businesses and push forward research and development.

Following Saudi Arabia’s national transformation plan, Vision 2030, the Kingdom’s investments are driving economic growth and diversification.

PIF’s investment in the US electric vehicle company, Lucid, is a prime example. Lucid opened its first electric car factory in Saudi Arabia in September 2023, coinciding with CEER’s launch.

CEER recently announced a major deal worth about $1.3 billion for a new industrial complex.

According to CEER CEO Jim DeLuca the complex will set new industry standards both locally and globally. It will feature top-notch technologies, equipment, and staff, backed by partnerships with leading industry players like Durr, Schuler, and Siemens.

Mohammed Al-Shiha, who heads the Automotive and Mobility Sector at the Middle East and North Africa division of the fund, underscores their focus on future-ready tech. For cars, this means prioritizing electric and hydrogen vehicles for a greener future.

He noted that Saudi Arabia has laid a strong foundation for its car industry and is now shifting towards building its own suppliers. Examples include partnering with global giant Pirelli for top-notch tires and teaming up with Hyundai Motor to set up an advanced car plant.

Alongside global brands, the fund is launching a joint venture with the Saudi Electricity Company to establish “Electric Vehicle Infrastructure Company.” Their aim is to provide fast charging services across the Kingdom by 2030.


Saudi Arabia Launches Training Program to Combat Money Laundering, Terrorism Financing

Director-General of Saudi Arabia’s Financial Academy Mana bin Mohammed Al-Khamsan. (Asharq Al-Awsat)
Director-General of Saudi Arabia’s Financial Academy Mana bin Mohammed Al-Khamsan. (Asharq Al-Awsat)
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Saudi Arabia Launches Training Program to Combat Money Laundering, Terrorism Financing

Director-General of Saudi Arabia’s Financial Academy Mana bin Mohammed Al-Khamsan. (Asharq Al-Awsat)
Director-General of Saudi Arabia’s Financial Academy Mana bin Mohammed Al-Khamsan. (Asharq Al-Awsat)

Saudi Arabia has unveiled a new training program to fight money laundering and terrorism financing. The initiative targets leaders in financial and non-financial sectors across the country.

The announcement was made during the "Arab Forum for Anti-Corruption Agencies and Financial Intelligence Units," a two-day event sponsored by Prince Mohammed bin Salman, Crown Prince and Prime Minister of Saudi Arabia, in Riyadh.

The 18-month program aims to train personnel to better prevent, analyze, and report illegal activities. It also seeks to improve information sharing between financial institutions and regulatory bodies, bolstering the overall integrity of the financial system.

The program, presented by Mana bin Mohammed Al-Khamsan, Director-General of Saudi Arabia’s Financial Academy, is a joint effort with the Kingdom’s state security and an international consultancy.

Al-Khamsan stressed the importance of combating financial crimes and highlighted the academy’s commitment to providing specialized training and certifications.

Aligned with Saudi Arabia’s national transformation plan, Vision 2030, the academy aims to support entities combating corruption and financial crimes. It has conducted over 500 training programs benefiting thousands of professionals from various sectors.

Al-Khamsan emphasized the value of professional certifications in boosting workforce efficiency, noting partnerships with respected international associations and institutions.


Saudi Arabia Tops G20 Countries in Financial Regulation Compliance

The Arab Forum for Anti-Corruption Agencies and Financial Intelligence Units was held over two days in Riyadh. (X)
The Arab Forum for Anti-Corruption Agencies and Financial Intelligence Units was held over two days in Riyadh. (X)
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Saudi Arabia Tops G20 Countries in Financial Regulation Compliance

The Arab Forum for Anti-Corruption Agencies and Financial Intelligence Units was held over two days in Riyadh. (X)
The Arab Forum for Anti-Corruption Agencies and Financial Intelligence Units was held over two days in Riyadh. (X)

Saudi Central Bank Governor Ayman Al-Sayari announced that Saudi Arabia has the highest compliance in supervision and regulation among G20 countries. He warned that financial crimes are costly for countries, harming their financial stability and investment levels.

Al-Sayari spoke at the “Arab Forum for Anti-Corruption Agencies and Financial Intelligence Units,” a two-day event sponsored by Prince Mohammed bin Salman, Crown Prince and Prime Minister of Saudi Arabia and held in Riyadh.

The forum aimed to strengthen cooperation and build capacity among agencies fighting financial crimes, money laundering, and terrorism financing in the Middle East and North Africa.

Al-Sayari highlighted that Saudi Arabia’s compliance with international anti-corruption and organized crime standards has strengthened the Kingdom’s financial system and increased trust.

He pointed out the effective measures taken against financial crimes and corruption, including preventive steps.

The Saudi Central Bank uses a comprehensive approach to balance growth with acceptable risk levels, ensuring financial stability and integrity, asserted the governor.

Al-Sayari stressed the importance of working closely with regulatory bodies and authorities, especially in combating financial crimes and corruption.

He also noted that Saudi Arabia’s financial regulators provide specialized training to employees, equipping them with the technological tools needed to detect crimes.

At the end of its sessions on Thursday, the forum issued recommendations for Arab countries to adopt a model agreement to boost local cooperation between anti-corruption agencies and financial intelligence units.

The forum suggested Arab countries promote this model agreement in international forums to showcase their efforts in fighting money laundering, terrorism financing, and related crimes, especially corruption.

The recommendations also called for stronger local and international cooperation to combat money laundering, terrorism financing, and corruption.

This includes effectively implementing the UN Convention against Corruption and other relevant agreements.

The forum emphasized working with the private sector and building partnerships to protect societies from these crimes. It also highlighted the need for capacity building and knowledge enhancement through specialized courses, workshops, and the exchange of expertise.


IMF Expects Iraq’s Economy to Grow by 1.4% in 2024, 5.3% in 2025

The International Monetary Fund (IMF) said on Thursday that Iraq’s economy contracted by 2.2% in 2022, projecting a growth by 1.4% in 2024 and 5.3% in 2025. (AFP)
The International Monetary Fund (IMF) said on Thursday that Iraq’s economy contracted by 2.2% in 2022, projecting a growth by 1.4% in 2024 and 5.3% in 2025. (AFP)
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IMF Expects Iraq’s Economy to Grow by 1.4% in 2024, 5.3% in 2025

The International Monetary Fund (IMF) said on Thursday that Iraq’s economy contracted by 2.2% in 2022, projecting a growth by 1.4% in 2024 and 5.3% in 2025. (AFP)
The International Monetary Fund (IMF) said on Thursday that Iraq’s economy contracted by 2.2% in 2022, projecting a growth by 1.4% in 2024 and 5.3% in 2025. (AFP)

The International Monetary Fund (IMF) said on Thursday that Iraq’s economy contracted by 2.2% in 2022, projecting a growth by 1.4% in 2024 and 5.3% in 2025.

The international monetary organization expected fiscal deficit to widen to 7.6% of GDP in 2024 from 1.3% in 2023, noting that Iraq requires an ambitious fiscal adjustment to stabilize debt in the medium term and rebuild buffers.

The findings came in the context of the 2024 Article IV consultation with Iraq. The IMF released documents showing that domestic stability in the country has improved since the new government took office in October 2022, facilitating the passage of Iraq’s first three-year budget, which entailed a large fiscal expansion starting in 2023.

This supported the strong recovery in Iraq’s non-oil economy after a contraction in 2022, while the country was largely unaffected by the ongoing conflict in the region.

“Domestic inflation declined to 4% by end-2023, reflecting lower international food prices, the currency revaluation as of February 2023, and the normalization in trade finance. However, imbalances have worsened due to the large fiscal expansion and lower oil prices,” the IMF said in a statement.

Moreover, it said the ongoing fiscal expansion is expected to boost growth in 2024, at the expense of a further deterioration of fiscal and external accounts and Iraq’s vulnerability to oil price fluctuations.

“Without policy adjustment, the risk of medium-term sovereign debt stress is high and external stability risks could emerge. Key downside risks include much lower oil prices or a spread of the conflict in Gaza and Israel,” the IMF added.

In Iraq, real GDP growth would reach 1.4% in 2024 and accelerate to 5.3% in 2025, the IMF said, also projecting deficit to widen from 1.3% in 2023 to 7.6% of GDP in 2024.

It noted that Iraq’s public debt-to-GDP ratio is expected to reach 48.2% in 2024 and 54.6% in 2025.

IMF directors emphasized that a gradual, yet sizeable fiscal adjustment is needed to stabilize debt in the medium term and rebuild fiscal buffers.

They encouraged the authorities to focus on controlling the public wage bill, phasing out mandatory hiring policies, and mobilizing non-oil revenues, while better targeting social assistance.

The Directors agreed that prompt implementation of customs and revenue administration reforms, a full implementation of the Treasury Single Account, and a strict control and limit of the use of extrabudgetary funds and government guarantees are key to support fiscal consolidation.

Limiting monetary financing and reforming the pension system are also important, they stressed.

They commended the central bank’s efforts to tighten monetary policy and enhance its liquidity management framework. Improving coordination between fiscal and monetary operations would help absorb excess liquidity and bolster monetary policy transmission.

They concurred that accelerating the restructuring of the large state-owned banks is also essential.

They also encouraged further modernizing the private banking sector, including by facilitating the establishment of correspondent banking relationships, reducing regulatory uncertainties, and promoting efficiency and competitiveness of private banks.

Furthermore, they emphasized the need for structural reforms to unlock private sector development. They encouraged leveling the playing field between public and private jobs, boosting female labor force participation, and reforming education and labor laws.

The directors agreed that improving governance and combatting corruption are also key, in addition to bolstering public procurement and business regulations, and addressing electricity sector inefficiencies.

They welcomed the renewed efforts toward the World Trade Organization (WTO) accession and encouraged the authorities to improve the coverage and timeliness of statistics.


Saudi Arabia, Slovenia Discuss Economic Cooperation

The Saudi Minister of Economy and Planning has met with Slovenian Deputy Prime Minister and Minister of Foreign and European Affairs. SPA
The Saudi Minister of Economy and Planning has met with Slovenian Deputy Prime Minister and Minister of Foreign and European Affairs. SPA
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Saudi Arabia, Slovenia Discuss Economic Cooperation

The Saudi Minister of Economy and Planning has met with Slovenian Deputy Prime Minister and Minister of Foreign and European Affairs. SPA
The Saudi Minister of Economy and Planning has met with Slovenian Deputy Prime Minister and Minister of Foreign and European Affairs. SPA

Saudi Minister of Economy and Planning Faisal Alibrahim has met with Slovenian Deputy Prime Minister and Minister of Foreign and European Affairs Tanja Fajon.

The two officials discussed their countries' ties, topics of mutual interest, and opportunities to strengthen cooperation.