KUWAIT, Nov 5 (KUNA) -- Gulf Cooperation Council (GCC) Secretary General Jassem Al-Budaiwi affirmed on Wednesday that Gulf relations with the European Union are historic and embody the spirit of true partnership between the two sides.
This came in a speech during the opening of the 9th EU-GCC Business Forum, held under the theme "Together for Shared Prosperity," under the patronage and in the presence of His Highness Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah, Prime Minister. The forum is scheduled to conclude on Thursday.
Al-Budaiwi said that Gulf-European relations were framed in the Cooperation Agreement signed in 1988, noting that it established a solid framework for economic and political dialogue between the two sides and opened broad horizons for cooperation in the fields of development, trade, investment, energy, environment, and education.
He explained that, with the aim of expanding this partnership, the Joint Ministerial GCC-EU Council approved in 2022 the Joint Action Plan for Cooperation for the period 2022-2027. This plan encompasses a wide range of political, economic, developmental, security, counter-terrorism, and cybersecurity fields.
He noted that in 2024, the GCC-EU Summit was held in Brussels, reaffirming the shared commitment to building a strategic partnership in trade and investment between the two sides and moving forward towards a comprehensive free trade agreement between the GCC and the EU.
He emphasized that the GCC countries, with their unique strategic location, established political stability, and strong and growing economies, are determined to continue strengthening their position as a promising economic power at both the regional and international levels.
Al-Budaiwi reviewed some economic indicators that reflect the progress and prosperity achieved by the GCC countries, including the GCC's GDP at current prices, which reached approximately USD 2.3 trillion in 2024, ranking it 9th globally in terms of GDP size. He noted that the GCC countries contribute about 63 percent of the total Arab GDP at current prices.
He also pointed out that the assets of the GCC sovereign wealth funds are estimated at approximately USD 4.8 trillion, representing more than 32 percent of the total assets of the world's 100 largest sovereign wealth funds.
He added that the GCC countries rank first globally in oil production, with crude oil production exceeding 16 million barrels per day. They also hold the world's largest proven crude oil reserves, exceeding 510 billion barrels. He noted that the volume of marketed natural gas produced in the GCC countries exceeded 440 billion cubic meters, placing them third globally in natural gas production, while their natural gas reserves exceeded 44 trillion cubic meters, ranking them second globally.
Al-Budaiwi explained that economic relations between the GCC and the EU have witnessed steady growth in recent years, reflecting mutual trust and the significant potential of both sides.
In this regard, he pointed out that the trade volume between the two sides reached approximately USD 197 billion in 2024, representing about 12 percent of the GCC's total merchandise trade volume of approximately USD 1.5 trillion. This makes the European Union one of the most important trading partners of the GCC countries, with GCC imports from the European Union amounting to approximately USD 117 billion and exports to the EU reaching about USD 79 billion.
He noted that the GCC countries are among the most prominent export markets for the European Union in the energy, petrochemical, metals, and technology sectors, adding that European direct investments in the GCC countries recorded a growing balance of approximately USD 285 billion in 2023, reflecting the depth of economic interdependence and increasing confidence in the Gulf business environment. (end)