Stronger GCC-Singapore relations in sight as officials meet in Saudi Arabia

Economic relations between the Gulf Cooperation Council countries and Singapore are set to receive a substantial boost as officials from the two sides recently held discussions in the Saudi capital on ways to improve cooperation in several areas of mutual interest.

According to the Saudi Press Agency, GCC Secretary-General Jasem Al-Budaiwi met with Singapore Ambassador Wen Zhao Ming in Riyadh to bolster multilateral trade relations. The promising ties between the two parties, especially in the economic field, were part of the talks.

GSFTA In Focus

Highlighting the latest developments on the GCC-Singapore Free Trade Agreement (GSFTA) signed in Qatar in 2008, Al-Budaiwi stressed the need to enhance cooperation between the GCC and the Association of Southeast Asian Nations, which counts Singapore as a member.

The agreement covers issues concerning trade and services. It allows Singapore’s domestic exports into GCC countries on a tariff-free concession, while offering Gulf goods duty-free access to the Asian country’s market.

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Some of the key GCC sectors benefiting from the treaty include machinery, jewellery, petrochemicals, and iron and steel-related industry. In June 2023, the GCC official also held discussions with Malaysia’s deputy minister of foreign affairs in the Saudi capital.

Major Economic Opportunity In Sight For GCC And UK

Following the completion of the fourth round of negotiations in London, the GCC is now getting closer to signing a free trade agreement with the UK. The agreement presents a substantial economic opportunity as it’s set to push commerce between both sides by 16%.
While the fourth round of negotiations took place from July 17 – 28 with virtual and in-person attendees, the GCC is expected to host the fifth round later this year. So far, the two parties have engaged in 44 meetings, including 23 technical discussions on policy issues.