UK Government Ministers are in the Gulf this week on a joint visit to boost trade and investment, one month out from the International Investment Summit.
Trade Secretary Jonathan Reynolds and Trade Policy Minister Douglas Alexander will meet counterparts in the Gulf Cooperation Council (GCC) today [Mon 16 September] in Riyadh to discuss how to grow the UK and Scottish economies by boosting trade with the region.
The GCC is made up of six countries – Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates (UAE). The UK’s trade relationship with the group is already worth £57 billion.
The UK Government announced in July it plans to deliver a high-quality trade deal with the bloc, along with other countries including India, Switzerland and South Korea.
The GCC is an important trading partner for Scotland. A UK-GCC FTA could provide further support to businesses in Scotland who already exported goods worth around £1.4 billion to the GCC in 2023.
Business and Trade Secretary Jonathan Reynolds said:
“Economic growth is this government’s driving mission and boosting trade and investment with some of the world’s biggest economies is crucial to that.
“I want to see a high-quality trade deal that supports jobs, helps UK companies sell their products to the region and increases choice for consumers so it’s great to be here to discuss exactly that.”
Ahead of the International Investment Summit on 14 October, the Trade Secretary and Minister will make clear Britain is back as a prime investment destination. They will highlight the UK’s expertise as a world leader across a wide variety of industries including technology, life sciences, creative industries, financial services and renewable energy.
A UK-GCC Free Trade Agreement could give the Scottish economy a significant boost,
allowing Scottish companies to take advantage of this booming market and giving Scottish consumers access to more high-quality goods and services. Ministers will emphasise to GCC leaders that securing the deal is a top priority for the UK.
Following his visit to Riyadh, Minister Alexander will travel to Oman to meet counterparts, including the Minister of Commerce, and some of the UK businesses who are already enjoying great success in the country.
Minister for Trade Policy Douglas Alexander said:
“We are excited about the opportunities this vibrant region has to offer Scottish and UK businesses and consumers.
“We want our trading partners in the Gulf and around the world to know that the UK is open for business and keen to negotiate trade deals that help businesses across sectors and all parts of the UK to prosper.”
According to Oman’s official data, the UK accounts for more than half of the entire foreign direct investment in Oman creating jobs and opportunities on both sides.
Oman is a valued investor in the UK in turn, signing major deals in areas like green energy with UK companies.
Adam Gagen, Global Head of Government Affairs at Revolut, said:
“We see the UK GCC FTA as a potential game changer for fintechs, enabling UK companies to expand into the fast growing region whilst also making the UK the natural place for the innovative companies emerging across the Gulf to begin to go global’.
“The GCC and the UK are leading the way in a number of key areas – notably open banking, AI and blockchain – and an FTA can only serve to reinforce cooperation and supercharge growth”