The Estonian Ministry of Foreign Affairs is working to finalize a revised cooperation agreement with Saudi Arabia, emphasizing economic collaboration in educational technology. Previous concerns about internal security led to revisions aimed at mitigating risks while exploring Gulf markets. The agreement aims to strengthen Estonian companies’ presence in the region and diversify trade partners beyond the EU.
The Estonian Ministry of Foreign Affairs is renewing its pursuit to finalize a bilateral cooperation agreement with Saudi Arabia, initially proposed last summer. The agreement aims to enhance economic collaboration and improve diplomatic relations. During a visit by Saudi Foreign Minister Faisal bin Farhan Al-Saud in July, issues regarding internal security raised by the Ministry of the Interior prevented the signing of the agreement, particularly concerning the inclusion of education and youth work cooperation.
Officials from the Ministry of the Interior expressed concerns that Estonia could inadvertently adopt extreme Islamic ideologies linked to Saudi Arabia’s Wahhabism, questioning the implications of the proposed cooperation on educational and youth institutions. In response, the Ministry of Foreign Affairs has now revised the agreement to focus solely on economic cooperation, specifically in educational technology, recognizing Saudi Arabia’s keen interest in collaborating with Estonian companies in this sector.
Priit Kallakas, head of the economic diplomacy department, clarified that discussions on youth cooperation were removed, indicating that NGOs can strengthen their relations independently, noting that the government’s role had limitations concerning these coordinates. The revised agreement also reflects considerations from the interior ministry’s assessment of risks associated with cooperation with Saudi Arabia, especially regarding its economic interactions with Russia.
The amended agreement highlights a focus on the creative economy, alongside traditional sectors such as ICT, green technologies, and health projects. The Ministry of the Interior suggested incorporating clauses to prevent Saudi Arabia from circumventing sanctions imposed on Russia, yet Kallakas emphasized that this issue falls outside the scope of the agreement.
Kallakas highlighted an increase in Estonian exports to Saudi Arabia over the past year, with service exports rising by 40 percent, reflecting a burgeoning interest in Gulf markets following active engagement since the Dubai EXPO 2020. Estonia aims to leverage this partnership within the context of Saudi Vision 2030, a national program aimed at transforming the kingdom’s international image and economic capabilities.
To strengthen the Estonian presence in the Gulf, Kallakas pointed out the necessity of diversifying markets beyond the EU to reduce reliance on a limited number of trading partners. This agreement serves as a foundational step in establishing future treaties, such as investment protection and double taxation.
While the political landscape surrounding the cooperation has evolved since last summer, doubts previously expressed by members such as Riina Sikkut from the Social Democratic Party appear to have waned. The ongoing negotiations reflect an understanding that expanding economic ties with Saudi Arabia is essential for Estonia’s long-term growth strategy in a competitive global market.
In conclusion, Estonia’s foreign ministry is revitalizing efforts to finalize a cooperation agreement with Saudi Arabia, focusing on economic collaboration, particularly in educational technology. The revised agreement reflects sensitivity to internal security concerns while addressing the need for Estonia to diversify its international economic relationships. The political dynamics surrounding the negotiations have shifted, with a growing recognition of the potential benefits of engaging more deeply with the Gulf markets. Ultimately, this agreement represents an important step towards expediting Estonia’s economic ambitions in a rapidly changing global landscape.
Original Source: news.err.ee
