When a delegation of Caribbean dignitaries boarded private jets from Barbados and Miami to Riyadh, they returned with a promising $2.5 billion investment commitment for the Caribbean’s development. This remarkable pledge, announced by Guyana’s President Irfaan Ali, was a standout achievement from the first-ever CARICOM-Saudi Arabia Summit.
Simultaneously, the 15-member CARICOM bloc extended their support for Saudi Arabia’s successful bid to host the World Expo 2030. This collaboration marks the beginning of a new era of cooperation, as Saudi Arabia continues to explore further investment opportunities across Latin America.
Forging Strong Ties in Latin America
Saudi Arabia is ambitiously seeking to expand its presence in Latin America, as evidenced by its first Priority Summit in the region held in Rio de Janeiro. The event, organized by the Future Investment Initiative (FII) Institute, brought together industry leaders, government officials, and former Latin American heads of state. This summit is part of Saudi Arabia’s broader vision to establish itself as a key player in the Latin American business landscape.
Gerald Feierstein, former U.S. ambassador to Yemen, noted, You see the Saudis being much more aggressive in strengthening ties around the world, and Latin America is certainly part of that.
This strategic move includes potential investments in Brazil’s Embraer airliners and the opening of an embassy in Colombia. Additionally, Aramco, Saudi Arabia’s national oil company, has acquired a Chilean fuel retailer, further solidifying its interest in the region.
Saudi Arabia’s efforts in Latin America align with its Vision 2030 initiative, which aims to diversify its economy beyond oil. The kingdom is actively seeking to secure raw materials, expand market access, and explore new investment opportunities.
Deepening Relations with Brazil
The relationship between Saudi Arabia and Brazil dates back to the 1970s, and trade between the two countries currently stands at $8 billion. It is projected to reach $20 billion by 2030. Brazil is a major player in the global halal meat market, and a joint venture between Brazilian company BRF and Saudi Arabia’s Public Investment Fund exemplifies the growing ties in this sector.
Elcineia de Castro, a professor at Universidade Anhembi Morumbi, highlights Saudi Arabia’s strategic plan to leverage Brazil’s resources for national growth. During a visit to Riyadh, Brazilian President Luiz Inácio Lula da Silva emphasized the potential for Brazilian entrepreneurs to invest in Saudi Arabia, signaling a mutual interest in fostering economic cooperation.
The mining sector also presents significant opportunities, as evidenced by the $2.5 billion investment by Manara Minerals, a joint venture between Saudi Arabian Mining Company and the PIF, in Brazilian mining giant Vale. Moreover, Brazilian aviation company Embraer has entered into agreements with Saudi Arabia, further strengthening ties between the two nations.
Ambitions in the Global South
Saudi Arabia’s ambitions extend beyond bilateral relations, as it seeks to forge partnerships across the Global South. The kingdom’s Vision 2030 aims to diversify its economy and create job opportunities for its youthful population, with 63% of Saudis under 30. As part of this vision, Saudi Arabia’s national oil company has made its first investment in South America by acquiring Chilean fuel distributor Esmax.
With another Saudi Arabia-CARICOM summit planned for 2026, the kingdom’s interest in Latin America and the Caribbean remains strong. Investment Minister Al-Falih expressed optimism, stating that aligned strategic interests and strong private sectors could lead to Saudi Arabia becoming a top investor in the region’s economies.
Saudi Arabia’s regional approach is evident, as it seeks not only to strengthen ties with Brazil but also to engage with all of Latin America. This strategy aligns with its broader goal of becoming a leader in the Global South, alongside countries like Brazil and India.
