UK trade minister to meet Gulf state officials in Saudi Arabia
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Alarabiya | 16 September 2024
UK trade minister to meet Gulf state officials in Saudi Arabia
by Bloomberg
UK Trade Secretary Jonathan Reynolds will meet Gulf state officials in Saudi Arabia on Monday as the government seeks to boost ties with the cash-rich region ahead of a critical investment summit next month.
Reynolds will discuss ambitions for a trade deal with members of the Gulf Cooperation Council in Riyadh on Monday. The bloc is made up of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates. Talks began in July for a deal that would boost the UK economy by £1.6 billion ($2.1 billion), the Department for Business and Trade said.
The meeting will be with representatives of some of the UK’s largest foreign investors and comes as the government looks to drum up funds for its ambitious growth plans. Labour wants Britain to grow at the fastest sustained rate of the G7 major economies.
It plans to generate growth by attracting private capital and is hosting an International Investment Summit on Oct. 14, when it hopes to be able to announce billions of pounds of commitments.
Reynolds and Trade minister Douglas Alexander will stress that the UK is a prime investment destination with expertise in technology, life sciences, creative industries, financial services and renewable energy.
The Gulf states have been keen investors in the UK. Saudi Arabia’s sovereign wealth fund is currently buying a stake in Heathrow airport, which is already 20 percent owned by Qatar. But relations in the region have been more fraught recently.
Abu Dhabi, which committed £10 billion of investment through its Mubadala wealth fund into the UK in 2021, was blocked from buying the Telegraph newspaper earlier this year and has written off its entire stake in Thames Water, the UK’s largest water operator, amid tensions with the regulator.
Manchester City, the Premier League football champions owned by Abu Dhabi’s Sheikh Mansour bin Zayed Al Nahyan faces a potentially costly hearing over alleged breaches of fair play rules.
“Economic growth is this government’s driving mission and boosting trade and investment with some of the world’s biggest economies is crucial to that,” Reynolds said.
