MISA, GAMI Signs 11 Agreements in Military Industries
The Ministry of Investment of Saudi Arabia (MISA) and the General Authority for Military Industries (GAMI) signed 11 cooperation agreements with global military industry companies. These companies include Airbus and Lockheed Martin. Moreover, they signed a joint memorandum of understanding (MoU).
Notably, Minister of Investment Engineer Khalid Al-Falih and Governor of the General Authority for Military Industries Engineer Ahmed Al-Ohali signed these agreements.
Sectors Included in Agreements
MISA and GAMI signed agreements on the sidelines of the World Defense Exhibition 2024 in several important areas that enhance qualitative capabilities in targeted fields. These sectors included:
- Technology transfer and localization
- Establishing local production lines
- Training national cadres in the sector.
Why Did MISA, GAMI Sign Agreements, (MoU)?
The agreements and memoranda of understanding are very important as they achieve the strategic objectives of the military industries in KSA. They aim to:
- Localize the defense manufacturing system
- Enhance military readiness
- Promote industrial participation
- Create a wide range of promising investment opportunities that support the targets of Saudi Vision 2030
- Localize 50% of military equipment and services spending by 2030
- Achieve targets of the national investment strategy to increase investment contribution to the gross domestic product.
- Support investment in local content
- Expand opportunities for qualified national workforce
- Transform KSA into a regional and global logistics hub in the defense industries sector.
Al-Ohali’s comment about MISA, GAMI Agreements in Military Industries
Al-Ohali stated that signing these agreements reflects the Authority’s efforts to develop, empower, and localize the military industries sector.
Moreover, he affirmed that the agreements enhance the competitiveness of its capabilities and global trust in its products.
He mentioned that the Authority strengthened this effort through the Industrial Participation Program, coordinating with government entities and local/international manufacturers.
Furthermore, he said that the aim is to localize the sector by stimulating the participation of small and medium-sized companies. Additionally, the Authority seeks to enhance exports, build new industrial capabilities, and transfer technology.
Moreover, it targets to implement research and technology programs, train national cadres, and establish global partnerships and industrial participation agreements.
Saudi-American Cooperation in Defense Sector
Lockheed Martin announced agreements with Saudi firms, according to Reuters, to produce THAAD missile defense system components.
These contracts are anticipated to improve production capacities and transfer knowledge to assist the Kingdom’s defense sector.
Leonardo Signs MoU with KSA for Defense, Aerospace Cooperation
Along with the Saudi-American cooperation in the military area, KSA is witnessing cooperation with Italy in the defense area. Italian group Leonardo has signed MoU with KSA to explore and develop potential investment and cooperation opportunities in the defense and aerospace sectors. Notably, the memorandum covers a wide range of sectors, including space, helicopters, electronic systems, and sensing devices.
Related Topics:
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US “Lockheed Martin” announces that it plans to manufacture a combat ship in Saudi Arabia
