France, Saudi Arabia Expand Economic Ties as Investment Grows
French foreign direct investment stock in Saudi Arabia reached €16.3 billion in 2024, as France and the Kingdom use the latest high-level visit to broaden economic cooperation and encourage greater two-way investment.
France and Saudi Arabia are expanding their economic partnership, with French foreign direct investment stock in the Kingdom reaching €16.3 billion ($19 billion) in 2024, more than doubling over five years and making France the fourth-largest source of foreign direct investment in Saudi Arabia.
The figure was presented by Saudi Investment Minister Fahad bin Abduljalil Al-Saif at the French-Saudi Investment Roundtable in Paris on August 24, held during the official visit of Saudi Crown Prince and Prime Minister Mohammed bin Salman. French investors currently hold 651 investment licences across 18 sectors in the Kingdom.
The investment figures highlight the scale of an economic relationship that the two governments are seeking to broaden. While French investment remains strongly linked to established industries, opportunities are expanding into energy, financial services, digital infrastructure, advanced manufacturing, transport and logistics, gaming and tourism, according to the Saudi Investment Ministry briefing presented at the roundtable.
The Paris meeting brought together government officials, business leaders and chief executives from both countries. The Saudi Press Agency said discussions covered energy, industry, financial services, transport and logistics, healthcare, culture, tourism and artificial intelligence, with the two sides examining joint projects and further private-sector cooperation.
Investment becomes more reciprocal
The relationship is also developing beyond French capital entering Saudi Arabia. France and Saudi Arabia have agreed to strengthen economic ties and cross-investments, while increasing cooperation between financial institutions and insurance and financing organisations, according to the joint statement issued after the leaders’ meeting.
A major example is the planned development by Qiddiya Investment Company of a mixed-use, multi-park destination at Cergy-Pontoise in France’s Île-de-France region. The project is expected to combine entertainment, leisure, hospitality, culture and sport, with investment of around €6 billion over its development lifecycle, according to the French-Saudi joint statement.
The two governments are also establishing a financing framework to support projects delivered by French companies in Saudi Arabia. Separately, Saudi Arabia’s Ministry of Finance and Bpifrance Assurance Export signed a statement establishing a credit line of up to $5 billion to finance or refinance contracts involving French companies in the Kingdom.
The financing mechanism could provide additional support for French companies seeking to participate in Saudi projects as the Kingdom continues to attract international expertise and capital under its economic diversification programme.
Technology and industry broaden the relationship
The latest talks indicate that the bilateral economic relationship is becoming broader in sectoral terms. France and Saudi Arabia agreed to deepen cooperation in artificial intelligence, quantum computing, emerging technologies and capacity building, according to the joint statement.
For French companies, Saudi Arabia is already an important market across a range of industries. France’s Ministry for Europe and Foreign Affairs identifies urban and high-speed rail, tourism, agriculture, healthcare, renewable energy, civil nuclear energy and defence among the principal areas of opportunity, while also highlighting prospects for smaller French companies in consumer goods, agrifood and telecommunications equipment.
The industrial component remains significant. Around 60% of French investment stock in Saudi Arabia is concentrated in manufacturing, according to the investment briefing, although French companies are increasingly pursuing opportunities in emerging sectors linked to Vision 2030.
Trade provides another link
Investment is developing alongside a substantial trade relationship. The French-Saudi joint statement said bilateral trade reached approximately $11.8 billion in 2025. France Diplomatie’s latest published economic data, which is based on an earlier reporting period, records €10.7 billion in bilateral goods trade, with French exports reaching €4 billion.
Saudi Arabia is also continuing to attract foreign capital more broadly. Al-Saif said foreign direct investment inflows reached approximately €6.1 billion in the first quarter of 2026, up 2.4% year on year, according to figures presented at the Paris roundtable.
The wider economic relationship is being supported by a more formal strategic framework. During the latest visit, Macron and Mohammed bin Salman chaired the first meeting of the French-Saudi Strategic Partnership Council, which launched new initiatives aimed at strengthening cooperation between the two countries.
The two sides also agreed to extend their cooperation on AlUla through 2035, continuing collaboration in archaeology, heritage and culture, while further agreements and memoranda covered areas including defence, healthcare, artificial intelligence, emerging technologies and entertainment. The Élysée said more than 22 agreements and memoranda of understanding were announced in connection with the visit.
For France, the €16.3 billion stock of investment already established in Saudi Arabia provides an existing platform for companies to pursue new opportunities in the Kingdom. For Saudi Arabia, greater investment in France offers another channel for deploying capital and building commercial links in Europe.
The latest visit therefore adds new investment projects, financing mechanisms and areas of cooperation to an economic relationship that is already substantial. With both governments seeking greater cross-investment and broader private-sector participation, the next stage will depend on how effectively the agreements announced in Paris translate into projects and long-term commercial activity.
