RIYADH – President William Ruto arrived in Riyadh on Thursday for the inaugural Saudi Arabia-Africa Summit that starts on Friday.
President Ruto was received by Riyadh Deputy Governor Prince Mohammed bin Abdulrahman at King Khalid International Airport.
He joins other leaders, among them Nigeria President Bola Tinubu, Eritrea President Isaias Afwerki, Gabon leader Brice Clotaire Oligui Nguema, Mauritanian President Mohamed Ghazouani, Mauritius President Prithvirajsing Roopun, Malawi President Lazarus Chakwera, Tanzania President Samia Suluhu Hassan and Niger Prime Minister Ali Mahamane Lamine Zeine.
The inaugural Saudi-Africa summit aims to enhance political coordination, address regional security threats, promote economic transformation through research and the local development of new energy solutions, and boost investment cooperation.
Speaking at a joint conference on Thursday, Saudi Finance Minister Mohammed Al-Jadaan said the Saudi Fund for Development will sign agreements worth $533 million with African states, while his investment counterpart Khalid Al-Falih later said Saudi’s more than $700 billion Public Investment Fund will make some “game changing” investments on the continent.
Trade volume between Saudi Arabia and African countries reached $20 billion in 2023, with $14 billion exports, while imports accounted for $5.8 billion.
Saudi, Kenya G-to-G oil deal
President Ruto will seek to review the March Saudi Arabia –Kenya G-to-G oil deal that was extended in September, according to Mukurweini legislator John Kagucia (UDA) amid the high cost of fuel in the country.
In September, Kenya extended by one year the deal to purchase fuel on credit directly from state-owned Gulf firmsSaudi Aramco, Emirates National Oil Co. and Abu Dhabi National Oil Co.
The companies will continue to supply Kenya with gasoline, diesel, kerosene and jet fuel until the end of December 2024, Energy and Petroleum Regulatory Authority Director-General Daniel Kiptoo told Bloomberg in September.
Oil prices, however, continue to increase in Kenya, despite global prices reducing to a three-month low.
Trade relations between Kenya and Saudi have increased in the recent past since the first session of the Joint Commission for Cooperation in Riyadh on March 9 -12, 2022.
Former Trade Minister Moses Kuria (currently in Public Service) in January signed two agreements to increase bilateral trade and investments that stand at $1.5 billion: The establishment of a joint business council and an e-commerce platform.
In July, Kenya hosted the Kenyan-Saudi Business Forum that brought together government officials from both sides, and representatives from the public and private sectors.
On the sidelines of that forum, President Ruto hosted Saudi Minister of Investment Khalid Al-Falih and the accompanying delegation at State House Nairobi, where trade and investments were discussed.
Using Kenya as a platform
In October, Ruto held talks with Crown Prince Mohammed Bin Salman at the King Abdul Aziz International Conference Centre in Riyadh, where he said Saudi Arabia will use Kenya as a platform to broaden its forays into Africa.
“Kenya is a pillar of stability and growth in Africa. We have to pay closer attention to it; Kenya is a country with a tremendous future,” State House quoted Bin Salman as saying, adding that Saudi Arabia was committed to pushing for more investments in Kenya.
President Ruto will also discuss the Jeddah mediation process on the Sudan crisis after the Sudanese Armed Forces and Rapid Support Forces failed to agree on a ceasefire in the first round of talks.
Through a press statement on Tuesday, the Intergovernmental Authority on Development said the co-facilitators regretted that the parties were unable to reach a deal.
During the Riyadh talks, Ruto, the chairman of IGAD Quartet leading regional mediation efforts in Sudan, said Kenya welcomes Saudi Arabia’s “bold commitment” to intervene and help tame conflicts in the region.
During his State of the Nation Address before flying to Riyadh on Thursday, President Ruto said given the regional interconnectedness, together with Saudi Arabia and the US, IGAD has engaged in the Jeddah process to fashion a framework that is best placed to successfully deliver peace in the Sudan.
Infrastructure financing
Saudi Arabia is also interested in infrastructure development financing in Africa.
Mozambique, for instance, on Thursday announced it had signed a financing agreement of $158 million with the Saudi Development Fund for the construction of hospitals and a dam, among other infrastructure projects.
It will also support some African countries struggling with debt such as Ghana, Al-Jadaan said.
President Tinubu’s office on Wednesday said he will be seeking to attract foreign direct investment to Nigeria, Africa’s largest economy, and mobilize capital for infrastructure development.
The Saudi Public Investment Fund has also launched $4 billion investment projects in energy, mining, communications, and food security sectors in Africa.
Saudi Energy Minister Prince Abdulaziz bin Salman on Thursday signed preliminary agreements with Nigeria, Senegal, Chad and Ethiopia on energy-related cooperation.
