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Sunday, February 16, 2025

Saudi Arabia Pledges $600B Investment in US

Riyadh (TDI): Saudi Arabia’s Crown Prince Mohammed bin Salman told President Donald Trump that he intends to increase the kingdom’s investments and trade with the United States by at least $600 billion over the next four years.

The call was the first Trump took with a foreign leader after beginning his second term as US president.

Mohammad Bin Salman congratulated the newly inaugurated president by telephone on Wednesday, wishing “the friendly US people more progress and prosperity under the Trump’s leadership”, the Saudi Press Agency (SPA) reported.

The Crown Prince stated he expected Trump’s promised reforms to create economic opportunities in which the kingdom would seek to participate.

The leaders also discussed collaboration on peacemaking efforts, regional stability and combatting terrorism.

US goods and services trade with the kingdom was worth $46.6 billion in 2022, with Saudi exports accounting for $23.3 billion, mostly driven by oil sales.

Also Read: US-Saudi close to finalizing Strategic Alliance Agreement

The Office of the United States Trade Representative estimates the size of Saudi investment stock in the US at $6.8 billion in 2022, up 7% from the previous year.

The kingdom is investing billions of dollars at home and abroad to diversify its economy away from oil.

On Wednesday, finance minister Mohammed Al-Jadaan told a crowd at the World Economic Forum in Davos that Saudi Arabia has set a target of $100 returns for every dollar invested.

So far, he added, Saudi Arabia has received closer to $200 for every dollar invested.

Kingdom Holding Open to TikTok Investment

Also in Davos, CEO of Kingdom Holding Talal al-Maiman said on Wednesday that the company would consider investing in TikTok “if Musk, or others, offered”.

Since becoming president, Trump has suspended a law, inked by President Joe Biden last April with bi-partisan support, mandating the sale or closure of the popular social media app.

Trump has continued to express support for a change in TikTok’s ownership, suggesting that he would be pleased if Musk were to buy it.

Also Read: Campbell met with Saudi NSA Al-Aiban and Minister Al-Swaha

Kingdom Holding became the joint second-biggest shareholder of X, following Musk’s takeover in 2022.

It also acquired a $400 million stake in xAI, an artificial intelligence company supported by Musk, in December.

On Tuesday he told jouranlists in the Oval Office that while US presidents tend to use their first foreign trip to travel to the United Kingdom, “I did it with Saudi Arabia last time because they agreed to buy 450 billion dollars’ worth of our product.”

Asked if he would make Riyadh his first foreign visit in his second term as well, Trump responded “I don’t know”, but indicated that he might if Riyadh agreed to spend another $400 billion or $500 billion.

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