Commercial and Economic Affairs Office, Riyadh
Peter Moisov
KSA, Riyadh 12512, Assafarat District, Dareen street 4067 building B-53
mobile phone: +966551890349email: p.moysov@mi.government.bg
Head of Department “Asia, Africa, America and Australia” Adelina Kyoseva 12 “Knyaz Alexander I” st. phone: +359 2 940 7688; fax: +359 2 987 4008 a.kioseva@mi.government.bg Referent for Saudi Arabia Mehmed Myuhtar 12 “Knyaz Alexander I” str., phone: +359 2 940 76 52 fax +359 2 987 40 08
I. Trade and economic relations between the Republic of Bulgaria and the Kingdom of Saudi Arabia
II. Business compass
I. TRADE-ECONOMIC RELATIONS BETWEEN THE REPUBLIC OF BULGARIA AND THE KINGDOM OF SAUDI ARABIA
Diplomatic relations between the Republic of Bulgaria and Saudi Arabia were established in 1995. In October 2015, the Kingdom of Saudi Arabia opened its embassy in Sofia.
Trade and economic relations between the two countries have a traditionally good character, as Bulgaria attaches great importance to the opportunities for their development.
Since 2007, there has been an activation of bilateral relations in the commercial and economic field, expressed in the realization of a number of meetings and visits in both countries and an increase in trade.
Bilateral Trade:
in million USD
| Years | Trade (million USD) | growth/decline, % | Export | growth/decline% | import | growth/decline, % | Balance |
| 2017 | 82.2 | -5.2 | 49.5 | -24.8 | 32.7 | 56.5 | 16.8 |
| 2018 | 77 | -6.3 | 48.4 | -2.2 | 28.6 | -12.5 | 19.8 |
| 2019 | 109.2 | 41.8 | 77.7 | 60.5 | 31.5 | 10.1 | 46.2 |
| 2020 | 165.5 | 51.6 | 119 | 53.2 | 46.5 | 47.6 | 72.5 |
| 2021 | 313.2 | 89.2 | 233.8 | 96.5 | 79.4 | 70.8 | 154.4 |
| I-VII 2022 | 149.4 | -31.0 | 114.2 | -29.0 | 35.2 | -32.0 | 79.0 |
In the first seven months of 2022, bilateral trade reached USD 149.4 million, which is a significant drop from nearly 31% in the same period of 2021. Bulgarian exports for the specified period were worth USD 114.2 million, which is a decrease of 29% compared to the same period in 2021. Imports from Saudi Arabia for the specified period were worth 35.2 million USD, and here a decrease of 32% is reported.
In 2021, bilateral trade reached 313.2 million USD, which is a significant growth of nearly 90% compared to 2020. Bulgarian exports are worth 233.8 million USD, which is a growth of 96% compared to 2021. Imports from Saudi Arabia for 2021 are worth 79.4 million USD, with a growth of 71% reported here.
For 2020, exports from Bulgaria reached USD 119.0 million. e., which is a significant increase of over 53% compared to the previous year. Imports from Saudi Arabia are worth 46.5 million USD. e., with a growth of 47% compared to 2019. The trade between the two countries is worth 165.5%, and here too the statistics report a growth of over 51% compared to the previous year.
In 2019, bilateral trade reached USD 109.2 million. accounting for a growth of about 40% compared to the same period of 2018. Bulgarian exports were worth 77.7 million USD, which is an increase of over 37% compared to the same period of 2018. Imports from Saudi Arabia for the previous year were worth USD 31.5 million
In 2017, Bulgarian exports were mainly made up of fittings and similar devices for pipelines, boilers, etc., liquid crystal devices, electrical transformers, static electrical converters, copper sheets, sheets and strips, bed springs and mattress supports , chocolate, and over 70 types of other products, and imports from Saudi Arabia – from copper waste and scrap, propylene polymers, non-woven textile materials, other plates, sheets, foils, strips, ethylene polymers in primary forms, ice cream for consumption and others.
Leading positions in trade with Saudi Arabia for 2021.
| Export from Bulgaria | % of total exports | Imported from Saudi Arabia | % of total imports |
| Woven carpets and other floor coverings of textile materials, not tufted or flocked, whether or not made up, including carpets called ‘Kelim’ or ‘Kilim’, ‘Schumacks’ or ‘Soumak’, ‘Karamanie’ and similar carpets, handwoven:
| 23.0 | Copper waste and scrap | 35.0 |
| Carbonates; peroxycarbonates (percarbonates); technically ammonium carbonate containing ammonium carbamate
| 14.0 | Raw aluminum | 15.5 |
| Petroleum oils and oils from bituminous minerals, other than crude; products not elsewhere specified or included, containing by weight 70% or more of petroleum oils or oils of bituminous minerals, of which these products are the main component | 12.4 | Polymers of propylene or other olefins in primary forms | 14.7 |
| Electric accumulators, including their separators, whether or not square or rectangular in shape | 5.1 | Acrylic polymers in primary forms | 12.8 |
| Sunflower, safflower or cottonseed oil and their fractions | 4.0 | Turbojet engines | 9.2 |
Leading positions in trade with Saudi Arabia for 2020.
|
Export from Bulgaria | % of total exports | Imported from Saudi Arabia | % of total imports |
| Petroleum oils and oils from bituminous minerals, other than crude; products not elsewhere specified or included, containing by weight 70% or more of petroleum oils or oils of bituminous minerals, of which these products are the main component | 24.5 | Copper waste and scrap | 64.2 |
| Electric accumulators, including their separators, whether or not square or rectangular in shape | 10.9 | Derrick cranes; cranes and cable cranes; overhead cranes, gantry cranes for unloading or lifting and transport operations, transshipment bridges, container handling (walk-on) trucks and truck-cranes | 12.9 |
| Carbonates; peroxycarbonates (percarbonates); technically ammonium carbonate containing ammonium carbamate | 10.2 | Propylene polymers | 7.3 |
| Chocolate and other food products containing cocoa | 4.2 | Other machines and devices for terracing, leveling, preparing land, digging, tamping, drilling or extracting soil, ores or minerals; pile driving hammers and pile pulling machines; snow plows (non-self-propelled)
| 2.7 |
| Electrical transformers, static electrical converters (eg rectifiers), inductive coils and chokes | 4.1 | Parts for apparatus of NN 8801 or 8802 | 2.2 |
| Boards, panels, consoles, counters, cabinets, etc. | 4.1 | Other articles of natural or reconstructed leather | 1.3 |
Leading positions in trade with Saudi Arabia for 2019.
|
Export from Bulgaria | % of total exports | Imported from Saudi Arabia | % of total imports |
| Barley | 15.2 | Copper waste and scrap | 64.0 |
| Electric accumulators | 13.5 | Propylene polymers | 28.2 |
| Carbonates | 6.6 | Electric motors and generators, excluding power generating units | 6.9 |
| Boards, panels, consoles, counters, cabinets, etc. | 5.2 | Acrylic polymers in primary form | 1.2 |
| Electric transformers | 4.4 | Polymers of ethylene in primary forms | 0.9 |
| Sheets, sheets and strips of copper of a thickness exceeding 0.15 mm | 4.4 |
|
Leading positions in trade with Saudi Arabia for 2017:
| Export from Bulgaria
| % of total exports | Imported from Saudi Arabia
| % of total imports |
| Fittings and similar devices for pipelines, boilers, etc. | 15.8 | Copper waste and scrap | 85.9 |
| Liquid crystal devices | 8.8 | Propylene polymers | 11.6 |
| Electrical transformers, static electrical converters | 7.2 | Non-woven textile materials | 0.5 |
| Sheets, sheets and strips of copper | 5.1 | Other plates, sheets, foil, strips | 0.4 |
| Bed springs and mattress supports | 4.8 | Polymers of ethylene in primary forms | 0.4 |
| Chocolate and other food. products | 4.4 | Ice cream for consumption | 0.4 |
CHRONOLOGY OF EVENTS THAT CONTRIBUTED TO THE CURRENT DEVELOPMENT OF TRADE-ECONOMIC RELATIONS BETWEEN THE REPUBLIC OF BULGARIA AND THE KINGDOM OF SAUDI ARABIA
In April 2007 , an official Bulgarian delegation, led by Deputy Prime Minister and Minister of Foreign Affairs Ivaylo Kalfin, visited Riyadh and signed the General Cooperation Agreement between the Government of the Republic of Bulgaria and the Government of the Kingdom of Saudi Arabia.
On July 1, 2009 , at the invitation of Vice President Angel Marin, H.C.V. Prince Al-Waleed Bin Talal Bin Abdul Aziz Al-Saud (a member of the Saudi royal family), who was received by the Minister of Economy and Energy, Petar Dimitrov. During the meeting, investment opportunities in the modernization and construction of hotels were discussed.
On July 1, 2010 , a 15-member Saudi business delegation visited Bulgaria to participate in a bilateral Bulgarian-Saudi business forum organized by IANMSP. The forum was held at the Sheraton Hotel with the participation of more than 120 Bulgarian companies. During its stay in our country, the Saudi delegation held meetings at the headquarters of the Chamber of Commerce and Industry, BSK and the Association of Industrial Capital in Bulgaria. During the visit, the Saudi side made a proposal to establish a Bulgarian-Saudi business council .
In November 2010 the Bulgarian-Saudi Business Council (BSBS) was established at the BCCC, in which more than forty Bulgarian companies participate.
In the period February 19-23, 2011 , a delegation of MIET, led by ex-minister Traicho Traikov (with the participation of Deputy Minister Mariy Kosev), made an official visit to Riyadh, which took part in the International Energy Forum and held meetings with HE Ali Al Naimi – Minister of Petroleum and Mineral Resources , H.E. Abdullah Ahmed Youssef Zeinal Ali Riza – Minister of Trade and Industry, Dr. Fahad Saleh Al-Sultan – Secretary General of the Council of Saudi Chambers (of Commerce and Industry) and H.H. Prince Al-Waleed bin Talal bin Abdulaziz – Head of Financial Fund.During the meetings, the Saudi side expressed wishes for the opening of a Bulgarian embassy in Riyadh and an air line between the two capitals. At the same time, a Bulgarian business delegation (10 Bulgarian companies operating in the field of consulting/legal services, production of construction materials and equipment, software and IT solutions, real estate, grain trade, RES, etc.), organized by the Chamber of Commerce and Industry, visited Saudi Arabia and participated in a bilateral business forum. A Cooperation Agreement was signed between the Council of Saudi (Commercial-Industrial) Chambers and the Chamber of Commerce and Industry.
In June 2011 , BCCI, together with the Embassy of Saudi Arabia and the Bulgarian-Saudi Business Council at BCCI, organized a presentation on the topic: “Saudi Arabia – business and investments” . The ambassador of Saudi Arabia in Athens, accredited to Bulgaria, was also present at the presentation.
On September 27-29, 2011, the Saudi Minister of Agriculture, Dr. Fahd Abdulrahman Belgunaim, made an official visit to Sofia at the invitation of the Ministry of Foreign Affairs. A meeting of the Saudi minister with the Prime Minister Mr. Boyko Borisov was organized. The program of the visit also includes a business forum organized by the Bulgarian-Saudi Business Council at the BCCI and a visit to a dairy industry enterprise and a hunting farm.
In April 2012, former Minister of Agriculture and Food Miroslav Naydenov, accompanied by a Bulgarian business delegation, paid an official visit to Riyadh. It has been agreed that the president of the Saudi company for investments in agriculture and animal husbandry “SALIC” and the president of the Agricultural Development Fund, Mr. Abdullah Al Rubiyan, will visit Bulgaria.
In the period October 4-8, 2012, Bulgaria was visited by a Saudi business delegation led by Mr. Mosaid Al Hokair, Chairman of the Board of the Saudi conglomerate “Al Hokair Group “ and candidate for honorary consul of Bulgaria in S. Arabia. Meetings were held at MIET, MFA, MFA and BAI;
On November 26-27, 2013, the former Minister of Economy and Energy Krasin Dimitirov took part in the meeting of the Governing Council of the International Energy Forum (IEF) in Riyadh, S. Arabia and was received in the Saudi Ministry of Trade and Industry by Deputy .-minister Walid Abdulkhaled. The meeting discussed initiatives to intensify trade and investment cooperation between Bulgaria and Saudi Arabia;
On May 29-30, 2014, the visit of a Saudi business delegation led by Mr. Abdulaziz Alnahdi, adviser to the Ministry of Water and Electricity of Saudi Arabia, took place in Sofia, at the invitation of the Bulgarian-Saudi Business Chamber. The Saudi delegation also visited the “WATER SOFIA 2014” exhibition in order to get acquainted with effective technologies for water extraction, water supply, rehabilitation and construction of water supply and held meetings in BTPP and MIE.
In the period 28-30 November 2017an official delegation led by the Prime Minister, Mr. Boyko Borisov, visited Riyadh. A wide range of talks was held in the field of bilateral trade and economic cooperation, incl. on trade, investment processes, staff training, etc. The possibilities for investing in infrastructure and agriculture were discussed. A business meeting was held on approx. 20 representatives of the Council of Saudi Chambers with 12 Bulgarian businessmen, incl. the heads of 3 chambers (BTPP, KRIB and AIKB), with the presence of the Bulgarian ministers of transport and agriculture. The Ministry of Economy was represented by Mr. Alexander Manolev, Deputy Minister of Economy, who held meetings with the Deputy Ministers of Economy, Trade and Energy, and also with the Deputy Governor for attracting investments from the organization ” SAGIA”.
After the delegation’s return, a number of actions were taken to implement the agreements reached in the field of bilateral trade and economic cooperation:
– An invitation to visit Sofia to the Minister of Trade and Investments of Saudi Arabia, Dr. Majid Bin Abdullah Al Kasabi,
– Visit to Sofia of the Minister of Agriculture of Saudi Arabia, carried out in February 2018. ,
– Bulgarian-Saudi business forum in Sofia with the participation of 17 businessmen from the Saudi Council of Chambers of Commerce ( February 15-16, 2018 ), organized by the Chamber of Commerce and Industry.
From August 4 to 6, 2018, the Deputy Minister of Agriculture, Food and Forestry, Mr. Atanas Dobrev, visited Riyadh. According to the program of the visit, the Deputy Minister met with the Saudi Minister of Environment, Water and Agriculture, Eng. the Deputy Minister of Trade and Investments Mr. Majid bin Abdullah Al-Bawardi.
On July 8, 2020, the Executive Agency for the Promotion of Small and Medium Enterprises and the Saudi Arabia General Investment Authority (SAGIA) organized for the first time an online seminar on the business climate in Saudi Arabia under the title Saudi Arabia is open for business. The event was opened by the executive director of IANMSP, Mr. Boyko Takov and Mr. Petar Moisov, STIV-Riyadh, and Mr. Rakan Algaravi from the General Investment Agency of Saudi Arabia, and more than 40 companies took part in it.
On 29.01.2020, Prime Minister Boyko Borisovmet with the Minister of Foreign Affairs of the Kingdom of Saudi Arabia, Prince Faisal bin Farhan Al Saud, who was visiting Sofia. Prime Minister Borissov and His Highness Prince Faisal bin Farhan Al Saud paid special attention to the good energy cooperation between the two countries. Prime Minister Borissov expressed his satisfaction with the participation of Consortium Arcade in the construction activities for the expansion of the gas transmission infrastructure of Bulgartransgaz EAD from the Bulgarian-Turkish border to the Bulgarian-Serbian border. During the meeting, the prime minister pointed out that the already functioning Bulgarian embassy in Riyadh is proof of the definite will to raise the level of relations between the two countries.
The Deputy Prime Minister and Minister of Tourism Marijana Nikolova was on a working visit to the Kingdom of Saudi Arabia in the period January 26-29, 2021.During his visit to the capital city of Riyadh, Deputy Prime Minister Nikolova spoke with H.E. Ahmed Bin Aqeel Al-Khatib, Minister of Tourism of the Kingdom of Saudi Arabia, Chairman of the Board of Directors of the Saudi Tourism Agency and Chairman of the Board of Directors of the Tourism Development Fund, with whom they discussed bilateral relations in the field of tourism. In Riyadh, Deputy Prime Minister Nikolova also held meetings with the manager of the Public Investment Fund H.E. Yaasir Al-Rumayan, with Jerry Inzerillo, CEO of the Diriya Historic Site Development Agency. During his meeting with Abdulhad Almansoori, President of GACA – General Authority of Civil Aviation of Saudi Arabia it was reported,
INVESTMENTS
According to BNB data, at the end of 2021, the total amount (cumulative) of investments from the Kingdom of Saudi Arabia in the Republic of Bulgaria is EUR 34 million.
CONTRACTUAL-LEGAL BASIS OF TRADE-ECONOMIC RELATIONS BETWEEN THE REPUBLIC OF BULGARIA AND THE KINGDOM OF SAUDI ARABIA
- 2016, October 5, signed in Sofia Memorandum of Understanding on cooperation in the field of tourism between the Government of the Republic of Bulgaria and the Government of the Kingdom of Saudi Arabia. On the Bulgarian side, the document was signed by the Minister of Tourism Nikolina Angelkova, on the Saudi side – by the President and Chairman of the Board of Directors of the Commission for Tourism and National Heritage of Saudi Arabia H.V. Prince Sultan bin Salman bin Abdulaziz Al Saud
- 2007, April 14, signed in Riyadh General Agreement on Cooperation between the Government of the Republic of Bulgaria and the Government of the Kingdom of Saudi Arabia, approved by the Government Decree No. 516/31.07.2007. Promulgated in no. 53/11.07.2009 of DV. Effective from June 11, 2009. The document is from the Bulgarian side