Published on: March 14, 2023

Saudi Arabia-Iran deal

Saudi Arabia-Iran deal

Why in news? The rival Saudi Arabia and Iran have signed an agreement brokered by china in Beijing have significant ramifications for geopolitics in West Asia.


  • According to the statement, Saudi Arabia and Iran will resume diplomatic relations that were snapped in 2016 and reopen their embassies and missions within two months.
  • The two countries further agreed to revive the Security Cooperation Agreement signed in 2001 and another 1998 pact for cooperation in trade, investment, technology and culture.
  • China’s role in facilitating the agreement was a surprise for many since it had never played such a role in the region’s diplomacy.
  • An agreement has been welcomed by the United Nations, France, Jordan and West Asian countries, it is also seen as a counter to the U.S.-brokered Abraham Accords, and will be greeted with some concern in the U.S., Israel and the UAE.

What are Impact on India?

  • Saudi Arabia and Iran have reached a deal with Beijing’s influence is disquieting, given India’s current tensions with China after LAC incident
  • India’s focus on the I2U2 quadrilateral along with Israel, the U.S. and UAE, which may have taken the spotlight away from its ties with Iran and Saudi Arabia
  • For India, it is a wake-up call as Pakistan, a Chinese ally, gains from the Saudi-Iran detente.

What does it mean to the world ?

  • The deal helps Saudi and Iran to discuss regional security in middle east region especially in Iraq, Lebanon, Syria and Yemen.
  • Beijing maintains ties with both Middle Eastern countries, and the breakthrough highlights its growing political and economic clout in the region, which has long been shaped by the influence of the United States.
  • China wants stability in the region, since they get more than 40 percent of their energy from the Gulf, and tension between the two threatens their interests
  • The announcement also reflects China’s desire to play a bigger diplomatic role on the world stage.