Ergün was on an official visit to Jeddah, Saudi Arabia, where he delivered a speech at a meeting at the Jeddah Chamber of Commerce and Industry late Sunday evening. Voicing displeasure over the low level of trade between the two countries, he noted that Saudi Arabia receives most of its imports from the US, China and Japan instead of Turkey, despite the proximity of the two countries. “While the province of Gaziantep’s annual exports to Iraq are currently worth $1 billion, we cannot accept that Turkey’s exports to Saudi Arabia total $1.7 billion,” the minister said. However, he also recalled that the annual trade volume between the two countries was around $5.5 billion in 2008, before falling due to the adverse impact of the global financial crisis. Still, he said, this figure was far from being satisfactory for two G-20 member countries. “We can set the target of increasing the trade volume to $10 billion within two years, while increasing it to $20 billion in the medium term,” Ergün stated, adding that visas between Turkey and Saudi Arabia should also be abolished.
Pointing out that Saudi Arabia is among the countries with the highest current account surpluses in the world thanks to revenue from its petroleum resources, Ergün noted that for this reason the country has enjoyed a significant accumulation of capital. The business environment in Saudi Arabia seeks to transform this savings into investment, he said, calling on Saudi businessmen to invest in Turkey. “Domestic and foreign investors do not face any differences in terms of incentives and facilities provided to them in Turkey,” he said.
Turkey managed to draw $18.8 billion in foreign direct investment in 2008 despite the economic meltdown, which took its toll around the world, the minister stated. He recalled that Saudi Arabia announced an investment budget of $600 billion for the coming 20 years. All Industrialists and Businessmen’s Association (TÜMSİAD) President Hasan Sert, also speaking at the event, stated that Turkish businesspeople want to launch more projects in Saudi Arabia.
