Saudi Arabia has significantly reduced investments in US public debt and decided to develop its own military industry

File photo of Biden and Mohammed bin Salman meeting

It became known that Saudi Arabia has significantly reduced its investments in US public debt. To date, the figures remain quite high - about 110-111 billion dollars, but this is an anti-record for the last 7 years.

At the peak of Saudi "trust" in American "partners" in the past decade, Riyadh's investment in US government bonds was estimated at about $190 billion. Now almost $80 billion less. Moreover, attention is drawn to the fact that the reduction in investments continues and may reach the level of 2015-2016 ($103-104 billion) in the near future.

Meanwhile, it became known that the General Directorate of Military Industry of Saudi Arabia (GAMI) introduced additional tools in the development of its own defense industry. The summary says the following:

The toolkit aims to create an attractive and stimulating investment environment for local and international investors in the military industry sector by creating a national digital platform that brings together all parties involved in the sector in the Kingdom.

Ahmad al-Ohali, head of GAMI, said that the agency has set itself the ambitious goal of achieving over 2030% defense industry localization by 50.

One of the tools is the creation of the Defense Industry Committee, which will oversee, control and develop the Saudi military-industrial sector. It was noted that the development of its own military industry will eventually make it possible to make a significant contribution to the GDP of Saudi Arabia.

Comments

[rusich]

And the Saudis turned in one place to the Americans. Everyone is tired of an exceptional nation with its dermocracy

[Andrey Andreev_2]

They also turned to us in the same place ... The East does not like the weak, and we are stuck in Ukraine, so they went to be friends with China ...

[Maz]

Libya, Muammar Gaddafi, Russian assets, German industry, the Saudis are not fools to keep golden eggs in one place, and that is dangerous. It's like trusting a chicken to a fox

[maxxavto]

A snowball began to form, you can’t hold it back by printing "green papers"

[tralflot1832]

And who bought these 80 billion? The United States does not issue bonds in order to pay for them later.

[parabyd]

The fact of the matter is that no one bought it. The bonds simply expired, they were redeemed, and no one bought new ones.

States need to print money, they used to be printed under the promise of GDP growth, issuing new bonds - treasuries.

Now growth is not expected, perhaps even a contraction of the economy. And other countries are in no hurry to buy bonds, investments in them have decreased from last year's peaks, even though interest rates are rising.

We have to sell them on the domestic market - to our banks.

[Arkadich]

I don't think everything is as rosy as it seems. The US Federal Reserve has switched to a policy of strengthening the dollar and is gradually raising the discount rate, during this period, investments in bonds, especially for a long period, become less profitable.

[tralflot1832]

And it is true, successful Americans are remote work, a developed business in the USA. They sell everything in the USA and go permanently to Southern Europe. Life is cheaper for them there, with a strong dollar.

[svp67]

Here is another "pole" that begins to position itself as a "center of power"... "Time for change"

[Mikhail Ivanov]

Let the mattresses now sleep around their Periots, in circles

[APASUS]

While it's hot, it's time for ours to improve relations. Under our supervision, create a military-industrial complex, create a couple of joint ventures. The Saudis are still the same allies, but at the moment there is no need to miss the opportunity

[Denis812]

It is necessary to open joint ventures with the Saudis.
They have money, we have technology.

[rocket757]

Saudi Arabia has significantly reduced investments in US public debt and decided to develop its own military industry

. If you read the analytical forecasts of BV specialists, they note that a regional center for cooperation and development has begun to form.
The question is, who will they target?
It will probably not work to pupate in themselves, which means you will have to look for partners outside ... but who will they choose specifically or will they be scattered along different vectors, is that a question ???

[75 Sergey]

Well, a seven year old is not a 100 year old, insanity is not an orgasm