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Saudi Arabia’s Ministry of Defense is set to ink SAR 3.75 billion worth of military agreements with the Saudi Arabian Military Industries (SAMI), Al Arabiya TV reported, citing SAMI chief executive Andreas Schwer.
“I hope these deals are signed ahead of next summer; they will extend for 5-6 years,” Schwer said, speaking at an armed forces exhibition in the Kingdom.
SAMI seeks to undertake some huge projects with a Saudization rate of 20-30 percent, he noted.
Last May, Saudi Arabia’s Public Investment Fund (PIF) set up SAMI, a new national military industries company to manufacture products and provide services across four business units: Air Systems, Land Systems, Weapons and Missiles, and Defense Electronics.
Wholly owned by the government, SAMI aims to become one of the world’s top 25 defense companies by 2030, contributing around SAR 14 billion to the Kingdom’s GDP by the same year.
The company has signed key deals with international players since its inception last year. These include a memorandum of understanding (MoU) with Russia's state-owned Rosoboronexport in October to manufacture high-grade military equipment in the Kingdom, and a deal with Raytheon in May to cooperate on defense-related projects.
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Saudi Arabia to establish military industries firm |
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