RIYADH, 3 April 2006 — Saudi Arabia and Switzerland signed an investment promotion and protection agreement here Saturday in a renewed move to boost economic links. Amr Al-Dabbagh, governor of Saudi Arabian General Investment Authority (SAGIA) signed the accord on behalf of the Saudi government. The Swiss side was represented by the country’s visiting minister of economy, Joseph Deiss.

“The agreement provides protection as well as promotion of investments for citizens of both nations through a series of measures,” said Al-Dabbagh, after signing the accord. The accord also allows free flow of investments and returns without restrictions. The bilateral accord will also boost a climb in the value of licensed Swiss investments, which comes at a time when the value of non-oil Saudi exports to Switzerland has jumped some 11-fold.

SAGIA, according to Al-Dabbagh, was entrusted by Custodian of the Two Holy Mosques King Abdullah to sign investment promotion agreements on behalf of the Saudi government as of 2005. Negotiations with its counterparts in 13 nations have resulted in SAGIA’s finalizing 10 such accords including the one signed on Saturday. SAGIA believes that such agreements will shore up investments in the Kingdom and its partner countries , said a SAGIA statement.

Referring to the investment protection agreement, Minister Deiss said, “It will serve the interests of the two countries and their businesses.” Saudi-Swiss ties have already experienced a healthy growth lately as reflected in the steady increase in the value of Swiss investments licensed by SAGIA during the last two years.

The value of these licenses has reached $530 million. Deiss, who is on a four-day visit to Saudi Arabia and Kuwait, seeks to boost bilateral ties, especially with Riyadh. “While both countries are flush with funds and trade ties are healthy, Swiss investors have had little impact on local markets,” said Saudi officials, while calling on the two sides to boost trade and investment relations. They said that this was the right time to join hands as economic growth in Saudi Arabia and Kuwait has recently been impressive.

Last year, Saudi Arabia saw its economy grow by 6.5 percent, while Kuwait’s gross domestic product increased by 8.5 per cent.