The General Authority for Military Industries (GAMI) signed in Riyadh two Memoranda of joint cooperation with the Saudi Ministry of Industry and Mineral Resources and The Royal Commission for Jubail and Yanbu (RCJY) to stimulate, enable and localize military industries in the Kingdom of Saudi Arabia.
This comes through the implementation of comprehensive governance of supply chains in military and civil industrial sectors, the pursuit of establishing military industrial clusters; and supporting the Kingdom’s direction in achieving the goals of the Kingdom’s Vision 2030, by localizing 50% of military spending and making it an important tributary to economic and social development.
The signing ceremony was attended by the Minister of Industry and Mineral Resources, Chairman of the Board of Directors of the Royal Commission for Jubail and Yanbu Bandar bin Ibrahim Al-Khorayef, Chairman of the Royal Commission for Jubail and Yanbu Engineer Abdullah bin Ibrahim Al-Saadan, Governor of the General Authority for Military Industries Eng. Ahmed bin Abdulaziz Al-Ohali and a number of officials, the Saudi Press Agency (SPA) reported.
It is worth mentioning that this strategic cooperation seeks to empower local and international manufacturers in this promising sector, by providing the appropriate investment environment to build industrial capabilities that target it, and to build a large supply chain that serves industrial sectors, both military and civil, as well as the Royal Commission for Jubail and Yanbu and what it will provide of Competitive investment incentives, which are among the best options for enabling and localizing this sector.
The General Authority for Military Industries (GAMI) was established in accordance with the resolution of the Saudi Council of Ministers in August 2017. It embodies Saudi Arabia’s aspiration to develop national military manufacturing capabilities. The Authority is the regulating body for the military industries sector in the Kingdom and is responsible for its development and monitoring its performance.
GAMI aims to achieve 50 percent localization of the Kingdom’s spending on military equipment and services by developing industries, facilitating research and technologies, developing national human capital, and enhancing exports through enabling the sector by long-term planning of military purchases and providing incentives to local manufacturers.
GAMI also seeks to enable the domestic military industries sector to become a key component of the Kingdom’s economy, contribute in the creation of job opportunities for Saudi youth, and propel the country’s development, in addition to achieving five key national priorities:
- Increase military readiness
- Enhance strategic autonomy
- Enhance interoperability within and across entities
- Develop a sustainable local military industries sector
- Increase transparency and efficiency of spend