The Saudi Fund for Development and the Tunisian Ministry of Development, Investment, and International Cooperation have reached an agreement to finance the construction of a power station in Monragia, Tunisia, reported Al Arabiya.

Earlier, Tunisian Company for Electricity and Gas and the Islamic Development Bank had signed an agreement worth $200m to co-finance the Monragia power plant, Arab News informed.

Tunisia and Saudi Arabia concluded the deal during a high profile bilateral meeting in Riyadh in the presence of Saudi King Salman and Tunisian President, Beji Caid Essebsi. In addition, the two countries signed a Memorandum of Understanding and two other agreements in the field of civil protection and civil defense, and regulations of transport of persons and goods by roads.

Tunisian President, Beji Caid Essebsi, has called for increased Saudi investments to strengthen the bilateral economic ties that were unsatisfactorily low. Essebsi added that Tunisia needed investments, especially from Saudis and other Arabs, and insisted that the investment climate in his country was becoming favorable by the day, according to Arab News.