Saudi Arabia and Turkey herald new era in diplomatic relations

In order to be able to deliver on his campaign promise to get the economy back on track, Erdoğan needs foreign capital. Gulf countries are his preferred choice.

SPA

Saudi Arabia's Crown Prince Mohammed bin Salman meets Turkish President Tayyip Erdogan in Jeddah, Saudi Arabia, July 17, 2023.

Saudi Arabia and Turkey herald new era in diplomatic relations

Omer Onhon

last update on 18 Jul 2023

Turkish President Recep Tayyip Erdoğan kicked off his three-day Gulf tour on Monday accompanied by a number of his ministers, around 200 Turkish businesspeople and journalists.

Erdoğan’s first stop was Saudi Arabia, with whom diplomatic relations were established in 1929. He will then travel to Qatar and the United Arab Emirates.

Turkey endured a period of tense relations with Saudi Arabia and other Gulf countries in 2013. However, as Erdoğan has adopted realistic and pragmatic approaches, a new page has seemingly turned.

Turkish-Saudi relations have generally been described as “well below potential”. According to Turkish Statistical Institute figures, the trade volume between the two countries has been $5.198bn and the number of Saudi tourists visiting Turkey is around half a million as of July 2022.

These figures could potentially be much higher.

In June 2022, the visit of Crown Prince Mohammad Bin Salman to Turkey gave a strong boost to the renewed relations between the two countries.

President Erdoğan stated before the Turkish elections in May 2023 that after the elections, if he won— which he did — he would visit Gulf countries to express his appreciation for their support and explore new cooperation opportunities.

Before his departure, Erdoğan stated at his press conference at the airport that mutual investment and finance will be two major topics of the talks in Riyadh, pointing to Saudi Arabia's special position in the areas of trade, investment and contracting services.

The total value of projects undertaken by Turkish contractors in Saudi Arabia in the last 20 years stood at approximately $25bn but Erdoğan emphasised his wish for Turkish companies to play an even greater role in Saudi Arabia's large-scale projects.

Economic headwinds

His visit comes as the Turkish economy is going through a very difficult period. Erdoğan made a campaign promise to put Turkey's economy back on track.

In order to be able to deliver on his promise, he needs to do many things. He also needs foreign capital. Saudi Arabia and other Gulf countries seem to be his preferred options.

Erdoğan's visit comes as the Turkish economy is going through a very difficult period. In order to be able to deliver on his campaign promise to get the economy back on track, Erdoğan needs foreign capital. Saudi Arabia and other Gulf countries seem to be his preferred options.

AFP/Majalla — A Turkish protester holds pans as she takes part in a protest against the cost of energy and economic crises at Kadikoy in Istanbul, on February 13, 2022.

Limitless potential

This fits in well with Saudi Arabia's strong, innovative and pioneering Vision 2030 which aims to diversify, develop the non-oil economy, promote tourism and attract investment. High-profile mega projects such as Neom are examples of this bold vision.

The geo-strategic location of Turkey and its position as a bridge between different geographies is an asset.

For example, Turkey is not an oil or — despite some recent discoveries — a gas-producing country. But it serves as a hub of pipeline passing through its territory from east and north to the west.

The already built and functioning network of pipelines in Turkey is ready to be connected to those which could come from the Middle East and the Gulf.

Regional stability

However, Turkey and Saudi Arabia's relationship is not only centred on economic incentives as both countries understand that meaningful and sustainable economic and social progress in the Middle East can only be achieved in the presence of peace and stability.

Turkey and Saudi Arabia's relationship is not only centred on economic incentives as both countries understand that sustainable economic and social progress in the Middle East can only be achieved in the presence of peace and stability.

The region is strewn with various challenges and risks, including ongoing conflicts, as well as dormant and potential ones. The Syrian crisis, the Palestinian problem, the situation in Iraq and the conflict in Yemen are at the forefront.

In recent years, Saudi Arabia and Turkey have adopted a pragmatic approach to reaching diplomatic solutions to long-standing problems in the region.

Recent Saudi engagement with Iran and Syria, Turkey's rapprochement with Egypt and its attempt to turn a new page with Syria are some leading examples in this respect.

Just a few weeks ago, Egypt and Turkey jointly announced that they had upgraded their diplomatic relations back to the ambassadorial level. This has been a very welcome development.

Security cooperation is another area of common interest.

Terror organisations are waiting for the right moment to crawl out of their holes and strike again. Combatting terrorism is in the interest of both countries and the entire Gulf region.

Foreign interference in the region has, undoubtedly, complicated matters and worsened the situation. This is why regional ownership and solutions from within are better than externally-imposed solutions.

Cooperation between Turkey and Gulf countries will place the region in a much better position to confront challenges.

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