The Ministry of Defense signs 28 contracts at the World Defense Show in Riyadh
In a strategic move reflecting the Kingdom of Saudi Arabia’s commitment to developing its defense capabilities and localizing military industries, the Ministry of Defense announced the signing of 28 contracts with a group of leading local and international companies in the defense sector, as part of the activities of the World Defense Show hosted by the capital, Riyadh.
Details of the contracts and the companies signed
The signing ceremony was attended by high-ranking officials, including Assistant Minister of Defense for Executive Affairs, Dr. Khalid bin Hussein Al-Bayari, who signed four major contracts with the CEOs of leading international companies. These agreements included those with MBDA, the leading French missile systems company; Raytheon Saudi Arabia, a subsidiary of the American defense giant; Hanwha Aerospace of South Korea; and Leonardo, the Italian aerospace, defense, and security company.
In a related development, Dr. Al-Bayari witnessed the signing of eight additional contracts by the Undersecretary of the Ministry of Defense for Procurement and Armament, Ibrahim bin Ahmed Al-Suwaid, with a select group of local, French, Turkish, Korean, and Italian companies. The package also included sixteen additional contracts signed by the executive directors general of the Ministry's Procurement and Armament Agency, reflecting the comprehensive approach to meeting the diverse needs of the armed forces.
Enhancing combat readiness and localizing industry
These contracts are part of a comprehensive strategy aimed at raising the military readiness of all branches of the Saudi Armed Forces. Through these partnerships, the Ministry seeks to enhance defense capabilities, improve combat efficiency, and ensure the sustainability of military systems through advanced maintenance and technical support contracts.
This step is particularly significant in light of the objectives of Saudi Vision 2030, which prioritizes the localization of military industries. The Vision aims to localize more than 50% of government spending on military equipment and services by 2030. These contracts represent a practical implementation of this approach, as they include provisions for technology and knowledge transfer and support for local factories, thus contributing to the creation of a diversified and sustainable national economy.
World Defence Exhibition: An international platform in Riyadh
The World Defence Exhibition, where these agreements are being signed, is a prominent global event that brings together leaders in the defense and security industry from around the world. The exhibition provides an ideal environment for networking between manufacturers, investors, and decision-makers, reinforcing the Kingdom's position as a regional and international hub in this vital sector. The signing of such a large number of contracts during the exhibition underscores international confidence in the Saudi market and the stimulating investment environment that the Kingdom offers its international partners.
