In continuation of cooperation between the Kingdom of Saudi Arabia and the Republic of Iraq, and based on the historical brotherly ties between the two brotherly countries, and according to the directives of His Royal Highness Prince Mohammed bin Salman bin Abdulaziz, Crown Prince and Prime Minister, and Prime Minister of the Republic of Iraq Mohammed Shiaa Al-Sudani, and out of the importance of bilateral action in boosting these ties and the desire to enhance fruitful cooperation in all fields, the fifth session of the Saudi-Iraqi Coordination Council was held on Thursday Dhul Qadah 5, 1444 Hijri, corresponding to May 25, 2023, in Jeddah Governorate, Saudi Arabia. The meeting was held in the presence of several princes, ministers and members of the Council and heads of the sub-committees from the Saudi and Iraqi sides.
The Saudi side was headed by Minister of Commerce Dr. Majid bin Abdullah Al-Qasabi, while the Iraqi side was headed by Deputy Prime Minister, Minister of Planning, and Chairman of the Council Prof. Dr. Muhammad Ali Tamim.
The final communique of the fifth session of the Saudi-Iraqi Coordination Council confirmed the two sides’ intention to boost relations in all fields, reviewing the work of the fifth session of the Council and the agreements and memorandums of understanding that have been signed in the previous four sessions to strengthen brotherly relations between the two countries.
The two sides approved the outcomes of the Council at its fifth session and the outcomes of the subcommittees: the Energy and Transformative Industries Committee; Political, Security and Military Committee; Cultural, Media and Islamic Affairs Committee; Agricultural Committee; Economic, Trade, Investment, Development and Relief Committee; Education, Youth and Sports Committee; Transport, Border Crossings and Ports Committee; and Finance and Banking Committee. The outcomes reiterated the importance of expanding and enhancing bilateral cooperation in order to serve the interests of the two brotherly countries and peoples in various fields, mainly at the political, security, trade, investment, cultural, educational, tourism and energy levels, and to build on the positive results achieved in the exchange of visits between the two countries officials over the past period.
The two countries praised the successful efforts of the countries of the OPEC+ Group in promoting the stability of the global oil market, stressing the significance of continuing such cooperation and the need for all participating countries to adhere to the OPEC+ agreement in a way that serves the interests of producers and consumers alike to support the growth of the global economy.
The two sides commended the progress in the work of the joint team for implementing the Saudi-Iraqi electricity connectivity project with a capacity of 1,000 megawatts (MW) per the principles of the agreement signed between the two sides, stressing their keenness and aspiration to expedite the completion of a tender for the implementation of the project, in order to meet the aspirations of the leaders and peoples of the two countries. The two sides also stressed the importance of providing the requirements for implementing renewable energy projects at a capacity of 1,000 (MW) and continuing consultations and meetings for implementing the Nibras Al-Sharq Petrochemical Project.
They affirmed their determination to increase the pace of economic and investment cooperation to upgrade investment relations to the level of promising investment opportunities and projects through joining efforts to create a fertile and catalyst investment environment, provide appropriate investment conditions, intensify delegations’ mutual visits, periodically hold joint investment events to explore promising investment opportunities and stimulate the government and private sectors to access qualitative trade and investment exchanges in order to realize the aspirations of the two peoples by launching a range of joint initiatives and supporting companies to join government competitions.
Iraq renewed its invitation to Saudi companies to invest in promising opportunities provided in various fields in Iraq.
The meeting discussed establishing the Saudi-Iraqi investment company, wholly owned by the Public Investment Fund and reviewed opportunities to build investment partnerships in Iraq and various investment opportunities in several sectors.
The two sides commended the intra-trade growth between the two countries, which reached USD 1.5 billion in 2022, an increase of 50% compared to 2021, reflecting the depth and sustainability of economic relations between Saudi Arabia and Iraq. The two sides agreed to continue to enhance exchange trade relations, benefiting from the opening of the new port of Arar and accelerating the opening of the Jumaima border crossing.
The Kingdom also praised the economic reforms pursued by the Iraqi Government. The two sides reiterated their keenness to enhance joint economic cooperation, which aims to achieve stability and economic prosperity for their citizens, which enhances their ability to overcome the challenges posed by the recent international crises.
The two sides also praised the role of the Saudi Commercial Attaché and the Saudi Companies Center in Baghdad, which contributed to the development of intra-trade and investments by enabling Saudi companies to open branches in Iraq and facilitating access to investment opportunities and projects.
Furthermore, they hailed what has been achieved in the financial sector, as the branch of the National Bank of Iraq will contribute to facilitating the process of intra-trade, as well as the branch of the Trade Bank of Iraq when it starts its operations and the Saudi-based Arab National Bank’s announcement with the strategic partner “Arab Bank” to establish an Arab Bank branch in Iraq”, to support the promotion of joint investments, and the agreement to avoid double taxation, which is expected to enter into force soon.
Cooperation between the two central banks in the two countries includes providing training courses for employees of the Central Bank of Iraq in several banking fields. The two sides also agreed on cooperation between the two central banks in financial technologies and the existing coordination between other financial agencies such as ministries of finance and financial market authorities.
The two sides stressed the importance of discussing prospects for cooperation and opportunities for integration and striving to build strategic partnerships in the special economic zones between the Kingdom and Iraq by establishing a special economic zone on the borders of the two countries.
Iraq appreciated the Kingdom’s announcement of allocating USD 1.5 billion for the reconstruction of Iraq during the International Conference for Reconstruction of Iraq, held in Kuwait from 12-14 February 2018, and its pledges and contribution to it.
The two sides also discussed the existing development projects presented by the Saudi Government through the Saudi Fund for Development (SFD), which aim to contribute to achieving sustainable development in Iraq, in addition to discussing the challenges facing the development process and how to overcome them to achieve the development goals of growth and prosperity, praising the SFD funded development projects that have been launched.
The two sides reviewed the active role played by the Saudi-Iraqi Business Council in developing economic relations and cooperation between the business sectors of the two sides and supporting small and medium enterprises, stressing the importance of continuing these efforts in coordination with government agencies on both sides to overcome any challenges facing the business community.
The two countries agreed to continue cooperation in confronting the threat of extremism and terrorism as an existential threat to the regional countries and the world, and to support Iraq’s efforts in cooperation with the international coalition to combat terrorism and extremism, stressing the importance of cooperation in securing the borders between the two countries.
They also stressed the continuation of cooperation in transport and logistical services between the two countries, facilitating the movement of land, air, and seaports, travel procedures, and the transportation of goods between them, as direct flights between the two countries were resumed via the Saudi national air carriers.
They stressed the intensification of cooperation and the exchange of views on matters and issues of concern to the two countries in the regional and international arenas in a way that contributes to supporting and strengthening security and stability in the region and the world and the need to spare the region any tensions and seek to establish sustainable security.
The two sides agreed to continue communication and exchange visits to complement bilateral consultations at the highest levels, to expand and follow up areas of cooperation in a way that serves the interests of the two countries, in addition to enhancing coordination in mutual support within the framework of multilateral diplomacy, especially for positions in international organizations.
The two sides called for intensifying scientific, knowledge and educational cooperation between the two countries, maximizing the benefit from previous programs and initiatives, establishing academic and research partnerships among the universities and higher education institutions in the two countries, and building 20 educational buildings in the Republic of Iraq, with the Iraqi side readiness to overcome all direct obstacles to implement the project. The Council’s secretariat of both sides has been assigned to follow up on the implementation in coordination with the relevant authorities.
The Republic of Iraq valued the gift of the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, to the brotherly Iraqi people regarding establishing a sports stadium and the Kingdom’s support for the Iraqi sports sector. The two sides agreed to enhance cooperation in the sports field by holding various sporting events between the two countries. The Saudi side praised Iraq’s hosting of the Gulf 25, which resulted in increased relations among the region’s peoples.
The two sides agreed to develop a vision and a mechanism for cooperation and investment encouragement in the field of tourism between the two countries. They also agreed on a joint action plan for 2023-2024 and to start working on it through the sub-committees emanating from the Council and following it up directly by the two secretariats of the Council.
The two sides also stressed the importance of following up with the Council secretariats on implementing the results of the meetings of the Council’s previous sessions and its sub-committees and the agreements resulting from them. They also stressed the importance of completing the regular procedures for ratifying the agreements in order to entry into force, which will contribute to expanding and strengthening the scope of cooperation in several fields. The two sides signed memorandums of understanding in tourism, culture, media and news.
At the end of the meeting, the Council Chairmen from the Saudi and Iraqi sides stressed the importance of strengthening the relations that bind the two peoples in all fields and moving them forward to meet the aspirations and visions of the two countries’ leaderships in order to achieve common interests, enhance the security and stability of the region, and push the development for the benefit of the two peoples and achieve their well-being.
Source: Saudi Press Agency