Turkey and Saudi Arabia Ink Historic Drone Contract

• Financial

In an unprecedented move bolstering Middle Eastern defense dynamics, Turkey and Saudi Arabia have inked multiple profitable contracts today. At the center of these agreements lies the noteworthy purchase of Turkish unmanned combat aerial vehicles, or drones, by Saudi Arabia.

A Record-Breaking Contract

The signing ceremony, overseen by Turkish President Recep Tayyip Erdogan and Saudi Crown Prince Mohammed bin Salman, saw the intersection of Turkey's drone industry magnate, Baykar, and the Saudi Defense Ministry.

Saudi state news agency SPA broadcasted the event, signaling a shift in defense cooperation between the two nations. Highlighting the magnitude of this deal, Baykar CEO Haluk Bayraktar announced it as the largest defense and aviation export contract in Turkey's history. "We signed a contract with the Saudi Arabian defense ministry for the Bayraktar Akinci (unmanned combat aerial vehicle) export and cooperation," Bayraktar tweeted, shedding light on the historic moment.

In alignment with this historic procurement, Saudi Arabia outlined its strategic objectives. The kingdom is set to harness these drones to amplify the preparedness of its armed forces and fortify its defense and production capabilities, according to Defense Minister Prince Khalid bin Salman bin Abdulaziz Al Saud.

Regional Finances and Investments in Focus

Beyond defense, the spotlight of the meetings also falls on regional investments and finances. A hopeful Erdogan conveyed to reporters his high expectations for the visit before his departure.

In a demonstration of financial solidarity, Qatar and the United Arab Emirates have lately fortified Turkey with approximately $20 billion in currency swap agreements. Notably, Saudi Arabia injected a hefty $5 billion deposit into Turkey’s central bank this past March.

Shortly after Erdogan's triumphant re-election last month, the UAE and Turkey further consolidated their relations by signing a potentially $40 billion worth trade deal to be executed over the next five years. As the regional ties strengthen, Erdogan is scheduled to meet with Qatar’s Emir Sheikh Tamim bin Hamad Al Thani in Doha on Tuesday.

He will subsequently visit the UAE leader in Abu Dhabi on Wednesday, further fostering ties in an increasingly interconnected Middle Eastern landscape.