The Hong Kong Monetary Authority and Saudi Arabia’s sovereign wealth fund are starting a $1 billion fund to help companies in the Guangdong-Hong Kong-Macao Greater Bay Area expand into the Middle Eastern country.

The initiative between the HKMA and the Public Investment Fund will contribute to the development of non-oil economic sectors in Saudi Arabia, Hong Kong Financial Secretary Paul Chan Mo-po said in a speech at a conference Tuesday.

Hong Kong’s government has been seeking to deepen cross-border collaboration in the Middle East in recent years. Chan led a delegation to visit Saudi Arabia last month, while the city’s chief executive made trips to Qatar and Kuwait in May.

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Saudi Arabia, meanwhile, has been trying to diversify its economy to reduce its dependence on oil revenue.

A major Saudi development company is hosting a roadshow in Hong Kong next month to look for strategic partners and professional service providers to support infrastructure development, according to Chan.

Last week, Hong Kong saw the first Middle Eastern company to list on its stock exchange, Chan said.

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Hong Kong’s IPOs have revived this year, reaching about $28 billion as of October, making the financial hub the global leader in new listings so far this year, according to Chan’s statement.