SALIC considers Russian grain investment

Updated 06 October 2017
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SALIC considers Russian grain investment

MOSCOW: Saudi Arabia’s SALIC is considering investing in a Russian grain producer owned by Russian conglomerate Sistema and members of the Louis-Dreyfus family, Sistema said on Thursday.
Saudi Arabia began scaling back its domestic wheat-growing program in 2008, planning to rely completely on imports by 2016 to save water. Russia, one of the world’s top grain exporters, is expected to harvest a record grain crop in 2017.
The Saudi Agriculture and Livestock Investment Company (SALIC) was formed in 2011 to secure food supplies for the kingdom mainly through mass production and foreign investments.
RZ Agro, a joint venture between Sistema and Louis-Dreyfus family members, was created in 2012. It produces grain and has a land bank of 106,000 hectares in Russia’s southern regions.
“The parties will discuss the structure and parameters of the potential deal after the due diligence of RZ Agro Holding Ltd,” Sistema said in a statement.
The memorandum of understanding was one of several signed at the Russian-Saudi Business Investment Forum in Moscow. Saudi Arabia’s King Salman is meeting Russia’s President Vladimir Putin in the Russian capital on Thursday.


Green light for crown prince-led Saudi privatization program

Updated 25 April 2018
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Green light for crown prince-led Saudi privatization program

  • The Privatization Program is one of 12 key elements of the Saudi Arabia’s Vision 2030
  • The program is aimed at increasing job opportunities for Saudi nationals

RIYADH: Saudi Arabia’s Council of Economic and Development Affairs on Tuesday approved the Privatization Program that is one of 12 key elements of the Kingdom’s Vision 2030. 

The program is aimed at increasing job opportunities for Saudi nationals, attracting the latest technologies and innovations, and supporting economic development.

It encourages both local and foreign investment in order to enhance the role of the private sector, with government entities adopting a regulatory and supervisory role. The aim is to increase the private sector’s contribution to GDP from 40 percent to 65 percent by 2030. 

The program will aim to reach its objectives through encouraging the private sector to invest in establishing new schools, universities and health centers, while the government pursues its organizational and supervisory role in health and education.

The privatization program aims to benefit from previous success stories, with the private sector’s collaboration in the development of infrastructure, and its involvement on a large scale in sectors such as energy, water, transport, telecommunications, petrochemicals and finance.

The program sets out a series of objectives in three areas: Developing a general legal framework for policies related to privatization; establishing organizational foundations and dedicated institutions to execute the policies; and setting a timescale for their delivery. 

The Council of Economic and Development Affairs is headed by Crown Prince Mohammed bin Salman.