Part 7/11:
These investments extend beyond mere financial ventures—they are strategic footholds in energy, logistics, and infrastructure, aligning with Saudi Vision 2030, which aims to diversify the kingdom’s economy beyond oil dependence.
Geopolitical Challenges and Roadblocks
Despite the enthusiasm, the partnership faces several hurdles. A critical challenge is the absence of a bilateral investment treaty, which complicates business operations by adding bureaucratic layers for Saudi companies seeking to establish a presence in South Africa. Additionally, falling oil prices have exerted financial pressures on Saudi Arabia, leading to considerations of asset sales to maintain liquidity, although their vast reserves mitigate immediate concerns.