Saudi Arabia’s economic diversification strategy
In recent years, Saudi Arabia has intensified its presence in Latin America and the Caribbean, driven by its economic diversification strategy known as Vision 2030. This strategy aims to reduce the kingdom’s historic dependence on oil and expand the its global influence through various economic and diplomatic initiatives in strategic regions such as Latin America.
The economic presence of Saudi Arabia in Latin America
One of the pillars of Saudi strategy in the region is its growing economic presence. In recent years, there has been a notable increase in Saudi interest, reflected in the expansion of exports and imports. From 2019 to 2023, Saudi exports to Latin America have increased from US$2.803 billion to US$4.581 billion, while imports have grown from US$3.811 billion to US$4.993 billion in the same period.
Strategic investments and economic diplomacy
Saudi Arabia has made significant strategic investments in the region, demonstrating its commitment to economic development and bilateral cooperation. A prominent example is the investment of US$2.5 billion in Guyana, intended for the development of Caribbean countries. In addition, Aramco, the Saudi oil giant, has recently acquired a major fuel distributor in Chile, marking a crucial step in expanding its commercial presence in this country (https://correccioencatala.cat/com-estructura-text-catala /).
Saudi economic diplomacy has also been active. The Saudi Investment Minister has toured several countries in the region, strengthening investment partnerships and exploring new business opportunities. This approach not only seeks to boost economic presence, but also to establish strategic alliances in key sectors such as renewable energy and the technology industry.
Vision 2030 and economic diversification
Saudi Arabia’s Vision 2030 underlines its commitment to economic diversification, seeking not only to expand its presence in traditional sectors such as energy, but also to explore new frontiers in emerging areas such as renewable energy and technology. This strategy finds fertile ground in Latin America and the Caribbean, where the demand for investments and cutting-edge technology is growing.
The relationship with Brazil and the geopolitical implications
Brazil is positioned as a crucial partner for Saudi Arabia in the region, standing out as the main recipient of its exports and a strategic partner in several cooperation projects. The geopolitical implications of Saudi expansion in Latin America and the Caribbean are significant. Saudi Arabia seeks to consolidate its position as a key player in the global south, strengthening strategic alliances and diversifying its economic ties to ensure greater international influence (https://correccioencatala.cat/com-estructura-text-catala/).
