The UAE and Saudi Arabia have signed an agreement to develop rail links and deepen energy co-operation between the Gulf neighbours.
Mohamed Alsuwaidi, the UAE Minister of Investment, and Prince Abdulaziz bin Salman, Saudi Minister of Energy and Minister of Industry and Mineral Resources, signed the preliminary agreement in Riyadh, state news agency Wam reported.
The agreement sets out a framework for rail links between the countries, with a focus on moving goods and cargo across borders. It provides for technical and economic studies to support logistics integration, improve supply efficiency and advance broader regional economic development.
The agreement also outlines measures to streamline cross-border trade and transport, with both sides committing to studies that will assess the feasibility of linking their rail networks.
The agreement reflects growing momentum behind Gulf-wide integration as the two countries seek to strengthen economic ties and reduce friction in bilateral trade corridors.
Beyond rail, the deal extends to energy infrastructure, covering co-operation on electricity interconnection and the exchange and sale of power between the two nations.
Technical, economic and environmental feasibility studies will be conducted to evaluate interconnection opportunities, with both parties agreeing to co-ordinate with other GCC member states on expanding the Gulf's broader system.
The inclusion of electricity co-operation indicates an ambition to enhance energy-system efficiency across the region, building on existing Gulf grid infrastructure. By aligning their energy networks more closely, the UAE and Saudi Arabia aim to bolster resilience and support the wider GCC's long-term connectivity goals.
