RIYADH, 15 July — Saudi Arabia and Germany are working toward two major agreements — one dealing with avoidance of double taxation and the other on maritime shipping — in a new move to boost bilateral relations, especially in commercial and shipping sectors.

This was disclosed by German Ambassador Dr. Harald Kindermann here yesterday. Dr. Kindermann said that Saudi Arabia and Germany have prepared a draft of the treaty called "the avoidance of double taxation of air transport enterprises." The signing of this accord, he said, will boost business links between the two countries which have set up some 89 joint venture projects so far at a cost of SR4.2 billion.

On the trade front, Riyadh and Berlin have reported strong ties with two-way trade exceeding SR11 billion annually. The two countries are also working to finalize a maritime shipping agreement, said the diplomat.

The draft accord, currently being examined within the framework of the provisions of the European Union, proposes regulations on the treatment of shipping companies, the use of ports and territorial waters, legal provisions for both sides, facilitation of maritime traffic by the Kingdom and Germany and reciprocal recognition of shipping documents.

Asked about the recent visit of Prince Abdullah ibn Faisal, governor of Saudi Arabian General Investment Authority (SAGIA), to Germany, Dr. Kindermann said that the prince’s wide-ranging talks with German Foreign Ministry officials and with a panel of experts of international relations associated with Atlantic Bridge, an organization responsible for US-German relations, have added a new dimension to existing Saudi-German relations.

He said the prince also held talks with several scholars at the Berlin-based Foundation of Science and Politics. These three rounds of talks mainly focused on how to promote bilateral relations, economic ties and cultural as well as political relations.

The two sides also discussed a range of important regional and international issues including terrorism, the Middle East peace process and relations between the six-nation GCC and the European Union.

In education sector, Dr. Kindermann said that the two countries have forged closer cooperation following the signing of a memorandum of understanding (MoU) recently.

This MoU calls for promoting cooperation in the area of higher education and research.

This would involve exchange of scholars, scientists, professors and students besides joint research projects, joint academic events and regular consultations.

The cooperation in the field of education was translated into reality when a group of students pursuing Arabic courses from the Institute of Oriental Studies of Leipzig University visited a number of Saudi institutions of higher education recently. Also, the Bonn-based King Fahd Academy has been playing an important role in fostering a better understanding of Islam.

Germany is home to over 2.3 million Muslims out of a total of 14 million Muslims living in Western Europe. These Muslims have built hundreds of mosques and Islamic centers across that country including the oldest one built way back in 1732.

Asked about rumors about the possible closure of the Jeddah-based German consulate, he said there was no plan to close the consulate, especially now when bilateral relations are so strong and cordial.

On the contrary, he said, the Riyadh-based German mission has been upgraded with the addition of more staff and injection of fresh funds.