Saudi Arabia’s Ministry of Energy, Ministry of Communications and Information Technology and Ministry of Investment have backed two agreements to facilitate establishment of a new data centre project in the Kingdom.

The first agreement was signed between Saudi Energy and Private Sector Partnership Programme (Shareek), and the second between Dawiyat Integrated Telecommunications & Information Technology Company, wholly-owned by Saudi Energy, and Ministry of Investment.

The planned data centre is intended to enhance reliability of digital services, ensure business continuity and support growth in data-driven industries, the Ministry of Energy said in a post on Tuesday.

Authorities said the project aims to develop advanced digital infrastructure, strengthen Saudi Arabia’s position as a regional data centre hub, accelerate transition toward an integrated digital economy and attract high-value investment into the information technology sector.

Details about project location, size and construction timelines weren't disclosed.

Zawya Projects had reported in April that Tadawul-listed Edarat Communication and Information Technology Company secured a framework agreement with Saudi Energy to provide design, construction supervision, testing, and commissioning services for data centre projects in the Kingdom.

(Writing by Majda Muhsen; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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