Security, Aerospace & Defence

Saudi Arabia has long been a major investor in its military, with defence outlays representing a significant portion of the national budget. Despite the drop in oil prices since mid-2014, which in the short term is having a noticeable impact on the government’s military spending, defence outlays are likely to continue to grow, with multi-billion-dollar contracts still being signed. While contracts with foreign military suppliers will remain a key part of the Saudi military composition, an increased emphasis has been placed on developing a domestic defence sector, with strategic partnerships and the funding of research facilities. There is currently a growing industry of domestic defence-related firms in Saudi Arabia, many of them tied to the aeronautics segment.

This chapter contains an interview with Ghassan Al Shibl, Senior Advisor to the Board of Directors and Former CEO, Advanced Electronics Company.