JEDDAH, 10 September 2005 — A delegation of Saudi businessmen took part in the Damascus International Exhibition, which opened last week, with announcements of participation in projects related to steel, construction, air-conditioning, power transmission towers, and petrochemical industries in Syria.
Local participants included Dr. Abdul Rahman Al-Zamil, CEO, Saudi Exports Development Center and chairman of the board of directors of Al-Zamil Industrial Group, and Basil Al-Ghalayini, CEO of BMG Financial Advisors and head of the Saudi-Syrian Businessmen’s Council (SSBC).
Al-Zamil said that the Kingdom considered Syria as a strategic market for trade and investment. “Saudi participation in the Damascus international fair has continued for the last 52 years. This reflects the strategic relationship between the two countries and their markets,” he added.
The bilateral trade totaled SR1.53 billion and imports SR2.17 billion in 2004.
The size of Saudi investments in Syria exceeds $800 million through 42 projects, according to Al-Ghalayini. The Syrian investments in the Kingdom are around SR1.61 billion through 420 projects. “This is considered ‘low’ given the liquidity of the Saudi market, and so Saudi investments should have a bigger chance to penetrate into the emerging Syrian market,” he added.
Al-Ghalayini reminded Syria that Saudi investors were considered to be the strongest in the world in terms of financial capabilities and resources. “Syria should work toward directing Saudi investments to its market,” he said.
Emphasizing that there is an increased interaction between the two countries, especially through related ministries and the SSBC, Al-Ghalayini said that efforts are being made to find solutions to issues like custom duties and repatriation of profits. “There are lots of obstacles related to Saudi exports to Syria,” he said and indicated that there is a plan to stage the first Saudi-Syrian forum in early 2006.
“Currently, through BMG office in Damascus, our team on the ground is advising, conducting due diligence and facilitating all investment affairs on behalf of Saudi and other GCC merchant families in sectors such as tourism, financial services, insurance, foodstuff, to name a few. Those merchant families are eyeing the Syrian market as a sizable (22 million people), green field, skilled labor, inexpensive and under reforms regional market” Al-Ghalayini Added.
On the future activities of the Saudi Syrian Businessmen Council, Al-Ghalayini said: “With high level participation from both sides, there is a plan to organize the first Saudi Syrian Investment Forum (SSIF) early next year. We will be approaching the Syrian leadership to invite the Syrian president to be our guest of honor as a keynote speaker and to have an open discussion with leading Saudi businessmen. As for timing, we had initial discussions with the Jeddah Economic Forum organizers with a view to host the SSIF on the last day of the JEF.”
