UK, Saudi Arabia target £65B of mutual investment, trade
london — The UK and Saudi Arabia agreed a goal of £65 billion ($90 billion) of mutual trade and investment in the coming years, with Prime Minister Theresa May’s office calling it a “vote of confidence” in the economy before Britain leaves the European Union.
The target was set at a meeting between May and Saudi Crown Prince Mohammed bin Salman in London on Wednesday, the prime minister’s office said in an e-mailed statement. The prince also met Queen Elizabeth II as he embarked on a three-day visit aimed at burnishing his overseas credentials as a leader in waiting. He will also travel on to meet US President Donald Trump in Washington.
The prince, who announced plans for a rapid economic overhaul and oversaw a crackdown on corruption since his appointment in June, won praise from the British prime minister for his reform programme known as Vision 2030.
The programme is “an ambitious blueprint for internal reform that aims to create a thriving economy and a vibrant society — conditions that we agree are essential to the kingdom’s long-term stability and success,” a spokesperson for May said in the statement.
Memorandums of Understanding for 14 trade deals are due to be signed during the visit, but British officials don’t expect a decision on who will host the initial public offering of state oil company Aramco. London has been vying with New York for the listing but an announcement is not imminent, according to a person familiar with plans for the visit.
Aramco plan
Saudi Arabia’s energy minister hinted the initial public offering of the state oil company Aramco could be delayed until 2019.
Khalid Al Falih also said the IPO, potentially the largest ever, would be “anchored” by a listing on Saudi Arabia’s local exchange and any international listing would be announced in due course, if at all.
“Between December 31st and January 1st there is no value lost for the kingdom,” Al Falih said in an interview in London. “So, I don’t see this artificial deadline that you refer to as being significant.”
Al Falih, who also serves as Aramco’s chairman, insisted the company had made all the necessary preparations for a share sale of the world’s largest oil producer. —