Officials from Slovenia’s Ministry of Finance and Saudi Arabia met to discuss bilateral relations, including the ongoing negotiations for an income tax treaty on 16 January 2025.

This announcement was made by the Ministry of Finance on 17 January 2025.

Minister of Finance Klemen Boštjančič attended the signing of an agreement on 16 January 2025 in Riyadh between SIJ Group and the Saudi Arabian government, enabling SIJ to carry out a EUR 1.5 billion investment in the Gulf nation. This marks the largest single Slovenian investment abroad to date.

The project involves establishing the production of electrical steel and premium hot-rolled strips in Ras Al-Khair, a rapidly growing industrial hub in southeastern Saudi Arabia. Valued at EUR 1.5 billion, the investment will be primarily funded by Saudi Arabia due to its strategic importance for the country’s economy, while SIJ will contribute high-tech solutions and expertise. The project is expected to be operational from 2029. It aligns with Saudi Arabia’s Vision 2030 and its national industrial strategy.

Following SIJ, other companies from Slovenia’s automotive cluster, under the GREMO (Green Mobility) Mission, are expected to enter the Saudi market, further globalising their reach beyond the EU. The memorandum was signed by SIJ CEO Andrey Zubitsky and Wahaj representative Saeed Al Zahrani, with Dr. Iztok Seljak, the GREMO Mission coordinator, also present.

Deputy Prime Minister and Finance Minister Klemen Boštjančič, who actively supported and facilitated the project during his visit to Saudi Arabia in late October last year, joined several Saudi ministers at the signing ceremony.

The signing took place on the sidelines of the Future Minerals Forum, one of the largest global conferences focused on key raw materials, which are increasingly strategic in modern supply chains due to soaring demand. Over 3,000 representatives from governments and industries worldwide attended the event.

During his visit to Riyadh, Minister Boštjančič held bilateral discussions. With Deputy Minister of Finance Abdulmuhsen Al-Khalaf, he confirmed strong relations and assessed progress on negotiations for a double taxation avoidance agreement. Discussions on the Wahaj/SIJ project continued with Deputy Minister of Investment Dr. Abdullah Aldubaikhi, who also suggested both sides organise business roundtables.

Additionally, Minister Boštjančič discussed the Wahaj/SIJ project and broader bilateral cooperation with Minister of Industry and Mineral Resources Bandar Ibrahim Alkhorayef. Talks with Minister of Economy and Planning Faisal bin Fadhil Alibrahim focused on accelerating collaboration, building on the recent visit of Slovenia’s Minister of Economy, Tourism, and Sports, Matjaž Han, to Saudi Arabia. Both sides acknowledged the strong foundation and trust established, which is expected to lead to increased activities and trade between the two countries.