Trump terms Saudi Arabia the greatest nation in the world

US President Donald Trump on Tuesday praised Saudi Arabia as “the greatest nation in the world,” in remarks at the Saudi–US Investment Forum in Riyadh that underscored deepening ties and shared ambitions between Washington and Riyadh.

Speaking at the high-profile forum, Trump lauded Saudi Arabia’s leadership, economic transformation, and growing role on the world stage.

“You are among the most prosperous nations in the world,” he told the audience, adding, “Riyadh will become a global business hub. The future of the Middle East begins here.”

Trump heaped special praise on Crown Prince Mohammed bin Salman, calling him a tireless leader. “He works hard — I don’t think he even sleeps at night,” the president said, crediting both King Salman and the Crown Prince with leading a “remarkable and profound transformation in the region.”

The president described his visit to the Kingdom as historic, saying: “It is a great honor to be welcomed in Saudi Arabia in this way,” and pledged to further strengthen US–Saudi ties. “We will make our relationship with Saudi Arabia even stronger,” he declared.

Trump also thanked the Kingdom for its “constructive role” in facilitating talks on Ukraine and emphasized the importance of diplomacy in addressing regional tensions. He reiterated his readiness to engage Iran, “I want to strike a deal with Iran to make the world a safer place.”

In a major policy announcement, Trump said the United States would lift sanctions on Syria, citing discussions with Crown Prince Mohammed bin Salman. “I decided to lift sanctions on Syria after discussing the matter with the Saudi Crown Prince,” he revealed.

On defense and security, Trump stressed the strength of US commitments to its allies. “Anyone who threatens America and its partners will be met with force,” he warned. “I will not hesitate to use military force to defend Saudi Arabia.”

Saudi Arabia and United States: Building safer, interconnected and sustainable world

For over nine decades, Saudi Arabia and the United States have cultivated a deep-rooted relationship defined by mutual respect, shared interests, and strategic alignment. What began in 1933 with the signing of a cooperation agreement has evolved into one of the most enduring and multifaceted partnerships in modern international relations.

Founding ties and a historic encounter

The signing of the 1933 oil concession agreement marked the formal beginning of bilateral relations, soon followed by joint ventures such as the California Arabian Standard Oil Company (CASOC), which later became Aramco. However, the symbolic cementing of this relationship came with the historic meeting between King Abdulaziz Al Saud and President Franklin D. Roosevelt on board the USS Quincy on February 14, 1945. That unprecedented encounter laid the foundation for decades of strategic partnership built on trust, stability, and mutual benefit.

Strategic alignment across generations

Throughout the decades, successive Saudi monarchs and American presidents have worked to strengthen this partnership. The bilateral relationship has been pivotal to global energy security, regional stability, and economic cooperation.

In September 2015, Custodian of the Two Holy Mosques King Salman visited Washington, DC, where he met with President Barack Obama at the White House to reinforce bilateral ties.

Under the guidance of King Salman, Crown Prince Mohammed bin Salman further deepened relations through high-level visits and strategic dialogues. His official visit to the United States in March 2017, during which he met President Donald Trump and senior officials, laid the groundwork for expanding cooperation in defense, investment, and regional affairs.

In May 2017, Riyadh hosted President Trump in his first foreign visit since taking office. The visit culminated in the signing of the Saudi-US Strategic Vision Declaration and economic agreements worth over US$280 billion. The deals were designed to localize technology, create jobs in both nations, and foster long-term cooperation in energy, industry, and security.

A shared vision for peace and prosperity

That same summit witnessed the launch of the Global Center for Combating Extremist Ideology (Etidal) and the hosting of both the GCC-US Summit and the Arab-Islamic-American Summit. These gatherings underlined shared leadership of Saudi Arabia and America in the fight against extremism and terrorism.

Furthering these efforts, Crown Prince Mohammed bin Salman visited Washington in March 2018. During that visit, both leaders affirmed the strength of the US-Saudi partnership and explored opportunities under Vision 2030 to diversify the Kingdom’s economy and deepen trade and defense collaboration.

Reinforcing ties in a changing global landscape

In July 2022, President Joe Biden visited Saudi Arabia and met with King Salman and Crown Prince Mohammed bin Salman. Their discussions focused on regional stability, climate cooperation, and energy security. The leaders also signed 18 memoranda and agreements in sectors including energy, health, technology, space, and clean power.

The United States welcomed Saudi Arabia’s initiatives such as the Saudi Green and Middle East Green programs, its leadership in climate forums, and its aim to generate 50% of its electricity from renewable sources by 2030. Washington also recognized the importance of Vision 2030 and commended Riyadh’s economic reforms, women’s empowerment, and efforts to promote religious dialogue.

Economic stellar pillar

Trade and investment remain central to the bilateral relationship. In 2024, bilateral trade totaled approximately us$32 billion, with Saudi exports to the US reaching US$13 billion—including key non-oil exports such as metals, fertilizers, and organic chemicals. US exports to the Kingdom stood at US$19 billion, led by industrial equipment, vehicles, and medical instruments.

American companies have long played a vital role in the Saudi market, and vice versa. In 2024, US foreign direct investment in Saudi Arabia totaled US$15.3 billion, while the US remained one of the Kingdom’s most significant economic partners.

Opportunities are also growing under Vision 2030, particularly in sectors like mining, clean energy, tourism, health, finance, and space. The U.S.-Saudi Business Council has played a key role in facilitating commercial projects between companies from both nations.

Clean energy, climate action, and digital infrastructure

In September 2023, both governments signed a memorandum of understanding to develop cross-continental “green corridors” enabling the transmission of renewable electricity and clean hydrogen via cables, pipelines, and rail links. This effort also aims to enhance digital trade through fiber optic networks and improve global energy resilience.

Saudi Arabia’s goal of becoming a leading exporter of clean hydrogen by 2030 is aligned with US interests in energy innovation. Both nations are working together to define hydrogen standards, share technologies, and develop commercial models that support a cleaner future.

Defense, innovation, and outer space collaboration

Security cooperation continues to anchor bilateral ties. Agreements signed in recent years include defense modernization plans, joint manufacturing of Black Hawk helicopters, and military industry partnerships.

In space, Saudi Arabia and the US signed strategic cooperation agreements in 2023 and 2024 aimed at joint exploration, peaceful use of space, and commercial partnerships in earth sciences, navigation, and research. A comprehensive legal framework now supports this expanding frontier.

In higher education, a memorandum of understanding signed in 2024 promotes academic exchange and collaborative research. Over 14,800 Saudi students are enrolled in US universities in 2025, part of a broader legacy of over 500,000 Saudi students educated in America since 2006.

Culture, diplomacy, and people-to-people ties

Cultural cooperation has expanded significantly. The Ministry of Culture and its affiliates have launched multiple exchange programs in cinema, music, visual arts, and performance arts. American artists regularly participate in Saudi events, and vice versa, fostering deeper mutual understanding.

American citizens continue to live and work in the Kingdom, drawn by its vibrant economy and reforms. Thousands of Americans reside in Saudi Arabia, contributing to business, education, and scientific research.

The opening of the American Chamber of Commerce in Saudi Arabia in 2021 reflects the private sector’s confidence in the Kingdom’s economic transformation and business opportunities.

A forward-looking alliance

In November 2024, Saudi leadership congratulated President Donald Trump on his electoral victory, reaffirming the strength of bilateral ties. Crown Prince Mohammed bin Salman followed with a congratulatory call upon President Trump’s inauguration in January 2025, during which both leaders discussed advancing peace in the Middle East, enhancing security cooperation, and expanding investment.

In early 2025, Saudi Arabia hosted quiet rounds of dialogue between the United States and the Russian Federation, reaffirming its commitment to global stability and diplomacy.

A legacy of partnership, a future of opportunity

The Saudi-US relationship, born in the sands of economic necessity and nurtured by decades of diplomatic foresight, stands today as a beacon of global cooperation. From the historic meeting of King Abdulaziz and President Roosevelt to the strategic visits of modern leaders, the two nations have consistently reaffirmed their shared commitment to peace, prosperity, and progress.

As Saudi Arabia advances toward Vision 2030 and the US adapts to new global challenges, both countries remain united by a common goal: building a safer, more interconnected, and more sustainable world.

Courtesy: Saudi Gazette

 

Luxury jet for Trump from Qatar attracts criticism

Senate Republicans on Monday indicated they have multiple concerns with President Donald Trump potentially being gifted a new luxury jet from Qatar, ranging from safety to legal to ethical.

Trump on Monday defended his potential acceptance of a new Boeing 747-8 airplane from the government of Qatar to serve as a replacement for the current pair of Air Force One aircraft, saying that it would be “stupid” not to do so.

But Senate Republicans made clear they are uneasy about the potential arrangement for many reasons, including over Qatar’s alliances in the region. 

“I’m not flying on a Qatari plane. They support Hamas,” said Sen. Rick Scott, an ardent Trump supporter. “I don’t know how you make it safe.”

Some Republicans also seemed worried about the president flying on an aircraft purchased by another nation-state. 

“It would be better if Air Force One were a big, beautiful jet made in the United States of America,” said Sen. Josh Hawley. “That would be ideal.”

The move comes amid ongoing delays and budget overruns at Boeing, which has been contracted to build two new jets to serve as Air Force One.

The Qatari jet, valued at roughly US$400 million, would be transferred to Trump’s presidential library following his term, the president said.

While Republicans were not quick to criticize, they indicated they have broad concerns and also warned the Trump administration that it must have all of their I’s dotted and T’s crossed to go ahead with the deal. 

“I think they should run the legal challenges to see [if it’s OK]. I’d be checking for bugs, is what I’d be checking for,” Sen. Shelley Moore Capito said. ”We need to look at the constitutionality of it, sure.”

Democrats, meanwhile, were quick to heap criticism on the move, arguing that it amounts to blatant corruption and would put the nation at risk.

Using the plane as Air Force One “would pose immense counterintelligence risks by granting a foreign nation potential access to sensitive systems and communications,” Sen. Jack Reed, the ranking member of his chamber’s defense panel, said in a statement.

“This reckless disregard for national security and diplomatic propriety signals a dangerous willingness to barter American interests for personal gain,” Reed said, adding that “it is an affront to the office of the presidency and a betrayal of the trust placed in any US leader to safeguard the nation’s sovereignty.”

 

 

Saudi Arabia welcomes Trump's visit

The Council of Ministers welcomed on Monday the official visit of US President Donald Trump to Saudi Arabia, expressing optimism that the visit would strengthen and expand cooperation and the strategic partnership between the two friendly countries across various sectors, in a way serving their mutual interests and visions. Crown Prince and Prime Minister Mohammed bin Salman chaired the Cabinet session in Riyadh.

At the outset of the session, the Crown Prince briefed the Cabinet on the outcomes of recent talks with leaders of several friendly nations, focusing on bilateral relations and issues of mutual interest.

In a statement to the Saudi Press Agency following the session, Minister of State, Cabinet Member for Shoura Council’s Affairs and Acting Minister of Media Dr. Essam bin Saad bin Saeed said that the Cabinet reviewed regional and international developments and reiterated its firm condemnation of the Israeli occupation authorities' announcement regarding their incursion into and control of the Gaza Strip and Palestinian territories, as well as their ongoing violations of international humanitarian law. The Cabinet reaffirmed the Kingdom's unwavering support for the Palestinian cause and the rights of the Palestinian people.

The Cabinet welcomed the ceasefire agreement between Pakistan and India, and affirmed the Kingdom’s continued commitment to working with international partners to achieve lasting peace between the two nations.

The Cabinet discussed progress in cooperation with international organizations and forums, emphasizing that the Kingdom's hosting of the Munich Security Conference Leaders' Meeting in the last quarter of 2025 reflects its commitment to supporting multilateral approaches that promote international peace and security and address global challenges.

The Cabinet regarded the Kingdom’s election as the Arab Group’s representative to the International Civil Aviation Organization (ICAO) Council as a testament to its leading role and ongoing efforts in advancing the aviation sector at the local, regional, and international levels, in accordance with the highest standards of safety and efficiency.

The Cabinet approved the guidelines for green investments. It approved the regulations to organize the General Authority of Civil Aviation. The Cabinet endorsed formation of a working group, headed by the General Directorate of Civil Defense and including members from several entities, to implement a program to raise awareness of meteorological phenomena, the mechanism for avoiding their risks, and the implications of alerts and warnings.

The Cabinet decided that the state would bear the taxes and customs duties on live livestock shipments from Dhul Qada 11, corresponding to May 9, until the end of this year's Hajj season.

The Cabinet approved a memorandum of understanding (MoU) between the Saudi Ministry of Energy and the Italian Ministry of Environment and Energy Security for cooperation in the field of energy, and a general cooperation agreement between the governments of Saudi Arabia and Eswatini.

The Council authorized the minister of foreign affairs or his deputy to discuss and sign with the Vanuatuan side a draft general cooperation agreement between the two governments, in addition to authorizing the minister of education or his deputy to discuss and sign with the US side a draft MoU for cooperation in the field of education and training.

The Cabinet approved a MoU between the Saudi Food and Drug Authority and the Chinese National Medical Products Administration for cooperation in the field of regulating drugs, medical devices, and cosmetics, and another MoU between the Saudi Human Rights Commission and Tajikistan's Commissioner for Human Rights.

The Council approved a MoU between the Saudi Presidency of State Security and the Omani General Secretariat for Communications and Coordination in the field of combating terrorism crimes and their financing, and another MoU for cooperation and news exchange between the Saudi Press Agency and the Senegalese Press Agency.

 

PSX posts record rise after ceasefire with India

Pakistan Stock Exchange (PSX) witnessed a historic day on May 12, 2025 with benchmark KSE 100 index rising by 9.45% in a single day, highest rise after 26 years.

As per Bloomberg, KSE-100 index is the 3rd best performing market in last 12 months in the world.

Market capitalization rose to RKR14 trillion (US$49.8 billion), from RKR12.9 trillion (US$45.8 billion) an increase of 8.7%DoD.

According to Topline Securities, the unwavering optimism was led by immediate/ surprise ceasefire announced between Pakistan and India with mediation from United States on Saturday, May 10, 2025.

Along with this, approval of the first review of EFF program by IMF, unlocking US$1 billion tranche also boosted investors’ confidence.

Amidst Indo Pak turmoil starting from April 22, 2025 incident in Pahalgam, Kashmir, and the market had lost 12.5% in subsequent 12 sessions before recovering 3.5% on May 09, 2025.

The geopolitical tensions also clouded various positive developments of Pakistan market and economy including all time low inflation reading at 0.3%YoY, for April 2025 scheduling of Pakistan’s first review of EFF on IMF board meeting agenda for May 09, 2025 and a surprise cut of 100bps in policy rate to 11% by central bank of Pakistan.

Trading at PSX was halted within 5 mints of its opening, after the benchmark Index opened 9.26% positive. Based on exchange rule, trading is halted for an hour, if the benchmark index moves 5% in either direction and remains in that territory for five consecutive mints.

PSX witnessed trading value of PKR30.4 billion in ready market, up 5.3% higher than previous day.

Surprisingly, at the upper circuit, investor bids totaled PKR13 billion in both ready and future market, with the majority of interest seen in PPL, MLCF and PSO.

According to the brokerage house, local individual investors who had been net sellers in the recent past were aggressive buyers during the session directly and through local mutual funds.

Pakistan’s dollar denominated bonds maturing in 2025 and 2026 increased by 1.2% and 2.0%, respectively.

Similarly, yields on the 2025 and 2026 bonds have decreased to 9.93% and 10.19%, down from 13.27% and 12.56% on Friday.

Local bonds also posted a positive trend, with the 3-year bond yield falling by 8bps, while the 5-year yield also declined by 15bps.

According to annual strategy released in November 2024, Topline Securities had mentioned, approval of first review of IMF in March 2025 would be a key trigger in re-rating of market multiple to historic average.

The brokerage house maintains its base case Index Target of 127,000 for December 2025. However, with higher liquidity, index can cross 150,000 mark assuming successful IMF reviews and political/ geopolitical stability.

Gaza people dying of thirst

The Palestinian Water Authority (PWA) on Saturday warned of an imminent humanitarian catastrophe in the Gaza Strip, declaring that water and sanitation systems have nearly collapsed amid Israel’s ongoing offensive, reports Saudi Gazette.

The authority described the besieged enclave as “a region dying of thirst,” accusing Israel of committing a “grave and systematic war crime by using thirst and starvation as tools of genocide.”

According to the PWA, water extraction in Gaza has declined by 70 to 80 percent since the war began. “Current water consumption has dropped to an alarming 3–5 liters per person per day—far below the World Health Organization’s emergency minimum of 15 liters,” it said.

An Interim Rapid Damage and Needs Assessment (IRDNA) found that 85% of Gaza’s water and sanitation facilities have suffered severe damage. The PWA added that power outages, fuel shortages, and military restrictions have paralyzed efforts to restore critical infrastructure.

“Wastewater systems are non-functional, resulting in the discharge of untreated sewage into residential areas and overflowing storm water basins—posing grave public health threats,” it stated.

With access to clean water dwindling, many Gazans are resorting to brackish agricultural wells, which the authority warned is leading to widespread exposure to waterborne diseases.

The PWA urged the international community to act immediately to stop what it called “a deliberate and systematic campaign to exterminate the civilian population of Gaza through thirst, hunger, and disease.”

Pedro Arrojo-Agudo, the UN special rapporteur on the human rights to safe drinking water and sanitation, told Anadolu Agency earlier this week that cutting off water to civilians is akin to “dropping a terrible silent bomb on them... silent but lethal.”

Citing UNICEF data, Arrojo-Agudo noted that cases of diarrhea among children under five in Gaza surged from 40,000 to more than 70,000 in a single week in early December.

Israel resumed its military campaign in Gaza on March 18, breaking a ceasefire and prisoner exchange agreement reached on January 19. Since the war began in October 2023, more than 52,800 Palestinians — mostly women and children — have been killed, according to health authorities in Gaza.

The International Criminal Court issued arrest warrants last November for Israeli Prime Minister Benjamin Netanyahu and former Defense Minister Yoav Gallant for alleged war crimes and crimes against humanity. Israel also faces a genocide case at the International Court of Justice.

Iran and Saudi Arabia review bilateral relations

According to media reports, Iranian Foreign Minister Abbas Araghchi arrived in Jeddah on Saturday, marking a new chapter in the ongoing rapprochement between the two countries.

During his visit, Araghchi met with his Saudi counterpart, Foreign Minister Faisal bin Farhan, for talks focused on bilateral relations, regional dynamics, and broader international developments.

The meeting, held in the Saudi port city of Jeddah, comes as both countries continue to build on the momentum of restored diplomatic ties.

According to official sources, the two foreign ministers reviewed the current state of Iran Saudi relations and reaffirmed their shared commitment to advancing the vision set by their respective leaders for broadening cooperation across political, economic, and cultural fields.

Araghchi emphasized the critical need for unity within the Islamic world in facing shared threats and challenges particularly in relation to the situation in occupied Palestine.

He called on Muslim countries to act decisively to stop Israeli campaign of genocide and to counter efforts aimed at the colonial erasure of Palestine.

In addition to regional concerns, Araghchi used the meeting as an opportunity to brief his Saudi counterpart on the status of ongoing indirect negotiations between Iran and the United States.

These talks, mediated by Oman, are aimed at reaching a mutual understanding over Iran s nuclear program and the lifting of sanctions on Tehran.

Speaking in an interview ahead of his trip, Araghchi said the visit to Saudi Arabia formed part of broader consultations between Iran and regional actors concerning both regional security and the Iran-US dialogue.

He stressed that Iran has maintained consistent communication with its neighbors since the talks began in April to ensure transparency and regional alignment.

The sustainability of any potential agreement depends largely on the regional countries  considerations regarding the nuclear issue and their shared interests with the Islamic Republic, Araghchi stated.

Iran and the United States have thus far conducted three rounds of indirect negotiations in Muscat and Rome in April.

Both sides have described the talks as constructive and progressing, though a fourth round scheduled for May 03 in Muscat was postponed due to what was reported as lo gistical and technical reasons.

On Tuesday, Foreign Ministry spokesperson Esmaeil Baghaei said that Iran remains committed to diplomacy as a tool to achieve its lawful and legitimate national interests, especially the lifting of unlawful economic sanctions that have targeted the human rights and welfare of every single Iranian.

Following his visit to Saudi Arabia, the Iranian foreign minister travelled to Doha on Saturday afternoon to participate in the Iran Arab World Dialogue Summit, where further discussions on regional cooperation and diplomacy are expected to take place.