German Investment in Saudi Mining Sector Discussed in Meeting with Industry Minister
Saudi Arabia is looking to boost its industrial and mining sectors as part of the country’s Vision 2030 initiative, which aims to diversify the economy away from oil and attract foreign investment. Among the key topics discussed during a recent visit to Germany by Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef was German investment in the Saudi mining sector. Alkhorayef met with Roland Weigert, vice minister in the Bavarian Ministry of Economic Affairs, Regional Development and Energy, to discuss ways to enhance the Saudi-German partnership and exchange expertise, as well as focusing on promising investment opportunities between the two countries.
Mining is one of the 13 strategic sectors in the Saudi Vision 2030 plan, and there is an estimated $1.3tn worth of resources to be excavated in the Kingdom. During his visit to Germany, Alkhorayef also visited the Technical University of Munich, where he was briefed about its engineering, artificial intelligence, and Fourth Industrial Revolution technologies. The minister discussed cooperation and partnership with the university’s officials in academic research, specialized in the industrial and mining sectors.
Saudi Arabia has been working to transform its mining industry into the third pillar of its national strategy, and in March it issued 27 new licenses in the sector, bringing the total to 2,314. The Kingdom boasts over 20 distinct mineral types, including gravel, gold, iron, copper, granite and marble. It also features 35 specific geological formations, known as mineral belts, with abundant deposits.
Saudi Arabia’s Drive to Attract Foreign Investment
Alkhorayef’s Germany visit came a week after he held similar meetings in France as part of Saudi Arabia’s drive to attract foreign investment into its economy. The minister met with leading business figures at the headquarters of the Chamber of Commerce in Paris, where he emphasized the Kingdom’s keenness to facilitate investment.
The Saudi government is committed to attracting foreign investment to help diversify the economy and reduce its reliance on oil. The country has already made significant progress in this area, with foreign direct investment (FDI) increasing by 10% in 2020, despite the impact of the COVID-19 pandemic. The government has also introduced a number of measures to make it easier for foreign investors to do business in the country, including the introduction of a new investment law in 2019.
Saudi Arabia’s Mining Industry
Saudi Arabia’s mining industry is set to play a key role in the country’s economic diversification plans. The government has identified mining as a priority sector and has set ambitious targets for growth. The country aims to increase the mining sector’s contribution to GDP from $17bn to $64bn by 2030, and to create 200,000 jobs in the sector.
The Kingdom’s mining industry is still in its early stages, but it has huge potential. In addition to the mineral types mentioned above, Saudi Arabia also has significant deposits of phosphate, bauxite, zinc, lead, and nickel. The country is also home to the world’s largest single-site phosphate mine, which is operated by Ma’aden Phosphate Company.
Conclusion
Saudi Arabia is looking to attract foreign investment into its mining sector as part of its Vision 2030 initiative to diversify the economy away from oil. The country has identified mining as a priority sector and has set ambitious targets for growth. The government has introduced a number of measures to make it easier for foreign investors to do business in the country, and it is committed to facilitating investment. With an estimated $1.3tn worth of resources to be excavated in the Kingdom, there is huge potential for investors in the Saudi mining sector.