An economic report issued by the Federation of Saudi Chambers of Commerce on the occasion of the visit of Prince Muhammad bin Salman bin Abdulaziz, Crown Prince, Deputy Prime Minister and Minister of Defense to the Arab Republic of Egypt, stated that Saudi-Egyptian economic relations are based on a solid foundation of institutional frameworks represented in economic cooperation agreements, in addition to the Council of Ministers. The joint Saudi-Egyptian business, which represents important tools for developing areas and opportunities for cooperation between the two countries at all levels.
The report of the Federation of Saudi Chambers indicated that the Kingdom and Egypt are bound by more than 160 bilateral agreements that support the growth of economic relations. The volume of trade exchange reached about 54 billion riyals in 2021, its highest value in history, achieving a growth of 87% compared to 2020, when the volume reached Saudi exports to the Egyptian market are 38.6 billion riyals, and Egyptian imports to the Saudi market are 15.7 billion riyals, with a record growth of 60%.
While the volume of Saudi investments in Egypt amounted to more than 32 billion dollars, through more than 6800 Saudi companies, while the Egyptian investments in Saudi Arabia amounted to 5 billion dollars through more than 802 Egyptian companies, according to the Saudi Press Agency “SPA”.
Saudi investments in Egypt are mainly distributed in the sectors of industry, construction, tourism, finance, services, agriculture, communications and information technology, while Egyptian investments in the Kingdom are concentrated in the sectors of industry, construction, communications, information technology, wholesale and retail trade, and technical, scientific and professional services.
According to these figures, Egypt is the largest Arab trading partner for the Kingdom, as it is the seventh partner in terms of exports, and the ninth in terms of imports at the level of countries in the world. Egypt also ranked second in the list of the largest countries for which investment licenses were issued in the Kingdom in 2020, with a total of 160 investment licenses And it came in second place in terms of new projects in the Kingdom, as the number of investment deals concluded during the first quarter of 2022 reached 11 investment deals, while the Kingdom ranked second in terms of investments in Egypt.
The report pointed to the mutual economic importance between the two countries, as the Kingdom represents an economic importance to Egypt, as it is considered a market for many Egyptian agricultural, industrial and service exports, an absorber of Egyptian labor, and a major source of tourism, as Saudi investments play an important role in diversifying and supporting the Egyptian economy. To represent an entry gate for Egyptian products to the Gulf markets, and a fertile ground for Egyptian investments in many sectors, while Egypt represents a special economic importance to the Kingdom, given that it is a depth for the Saudi and Gulf markets and a high-consumption market, and it can also represent an important gateway for Saudi products to reach the countries of the African continent It is a supplier of many agricultural and industrial products, and a major source of employment and scientific, technical and professional expertise.