Forum further enhances Vietnam-Saudi Arabia trade links

The Vietnamese Government leader’s attendance at the forum is part of his trip to attend the Association of Southeast Asian Nations - Gulf Cooperation Council (ASEAN - GCC) Summit and a visit to the host country.

Recent times have seen economic - investment - trade links play an important role in the relationship between the country and Saudi Arabia, with both sides paying close attention to promoting development.

By September, Saudi Arabia had run seven investment projects in Vietnam with a total registered capital of US$8.27 million, ranking 79 out of 144 countries and territories with investment projects in the Vietnamese market.

Bilateral trade turnover during the past nine months reached over US$2 billion, with the Vietnam and the Saudi Arabia Foundation signing more than 10 projects with a total ODA capital of more than US$165 million.

The participants used the occasion to introduce and discuss the potential for trade, industry, and energy ties between both sides, along with policies to attract foreign investment into the country, as well as the current trade and investment situation between the two nations.

They put forward a range of proposals aimed at promoting investment ties and complementing each other for the cause of mutual development between the two countries and their respective businesses, especially in areas where one side has needs and the other side has strengths.

Appreciating the Vietnamese investment environment, Hassan Al Hwaiziy, chairman of the Federation of Saudi Chambers of Commerce, said Saudi businesses are keen to invest in the nation in the fields of urban development and petrochemical industry, minerals, tourism, entertainment, steel production, renewable energy, food industry, information technology, and garments and textiles in order to double the scale of investment ties compared to their current levels.

In his speech outlining information about the nation’s situation after nearly 40 years of following the Doi Moi (renovation) process, PM Chinh said the country boasts the fourth largest economy in ASEAN, and is among the 20 largest economies in the world.

Furthermore, the country is the world's leading exporter of rice and many agricultural products, participating in 16 free trade agreements (FTAs) with most of the world's major countries and economies.

With regard to mutual relations, the Vietnamese cabinet leader assessed that the friendship and co-operation between the two countries in recent times has seen strong, profound, substantive, and effective developments towards reaching new heights based on sincere trust, shared benefits, co-operative achievements, and a solid friendship.

The two sides have strived to maintain high-level contact whilst regularly supporting each other at multilateral forums. They have built many legal frameworks and co-operation mechanisms, creating an important foundation that contributes to boosting economic - investment - trade ties between the two countries in the spirit of mutual benefit.

PM Chinh highlighted Saudi Arabia as the nation’s most important partner in the Middle East region, while Vietnam is also an important partner and a bridge to the ASEAN region for Saudi Arabia.

The co-operation results achieved between the two countries can be viewed as very respectable. However, they have yet to reach their potential. The two sides still have ample room for broader co-operation with a lot of potential and strengths that can complement and support each other, PM Chinh stressed.

PM Chinh said that the country aims to attract selective investment, thus creating a pervasive connection between the FDI sector. Accordingly, priority is given to the fields of green growth, infrastructure, energy, high-tech industry, innovation, and startup support in order to create motivation to help restructure the economy and innovate growth model.

He proposed that ministries, sectors, associations, and the Saudi Arabia Chamber of Commerce and Industry continue to support Vietnam in activities which promote the investment environment and co-operation between Vietnamese and Saudi Arabian businesses. This will enable them to work together in order to implement effective and successful business activities, thereby bringing practical benefits to the two countries.

Stating that with favourable geographical positions, both countries play an important role in the ASEAN and GCC regions, with PM Chinh stating his hopes that the two sides will co-ordinate closely and become a bridge together helping their businesses not only become involved in each other's markets, but also to expand into the vast potential region of ASEAN and GCC.

PM Chinh emphasized that in the spirit of "harmonious benefits, shared risks", the nation is fully committed to ensuring the legal and legitimate rights of businesses. He also affirmed the country’s readiness to accompany, support, and create favourable conditions for foreign businesses in general and Saudi Arabian businesses in particular to do effective, long-term, and sustainable investment in Vietnam.

As part of the occasion, PM Chinh and leaders of ministries and sectors  of the two countries witnessed Vietnamese and Saudi Arabian businesses sign a number of memoranda of understanding on co-operation.