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Oil as a Weapon: How Aramco’s $27.3B Profit Funds Saudi Arabia’s Global Ambitions

Oil as a Weapon: How Aramco’s $27.3B Profit Funds Saudi Arabia’s Global Ambitions
  • PublishedMay 12, 2025

Behind Aramco’s earnings report lies a geopolitical chess game: The 29.4 billion dividend is quietly financing Saudi Arabia′s expanding global influence, with (185.3B) funneled to defense and foreign policy initiatives in Q1 alone.

Funding Flows:

  1. Military Expansion

    • $2.1B to SAMI for missile systems

    • Drone tech JV with China (Project Falcon)

  2. Economic Statecraft

    • $1.7B for African infrastructure loans

    • $800M Pakistan bailout package

  3. Great Power Balancing

    • Maintained $6B U.S. arms purchases

    • Secret oil discounts to China (-$2.50/bbl)

The New Oil Diplomacy:
“Every Aramco dividend check buys Saudi Arabia more geopolitical bandwidth,” said CSIS Middle East expert Jon Alterman. “They’re monetizing energy dominance into hard power.”

Controversies:

  • U.S. lawmakers probe “oil-for-security” deals

  • EU investigates African loan strings

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