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Abstract
Saudi Arabia has shifted its relations with Iran. Since the death of Shia preacher Nimr al-Nimr in 2016, these two countries have cut their diplomatic ties and increased tension; however, up until 2023, Riyadh and Tehran had agreed to normalize their diplomatic ties. In regard to that dynamic, this research will analyze why Riyadh and Tehran decided to normalize their relations. It aims to understand the dilemmatic condition between these two countries. Using the qualitative method and Stag Hunt, this research collects data from books, journal articles, mass media articles, and other relevant sources, analyzes them, and results in the findings. Eventually, this research finds that the reason why Saudi Arabia and Iran decided to normalize their relations is due to the essential need for fostering economic development and ensuring socio-economic resilience in the face of external challenges. For Saudi Arabia, its decision to cooperate with Iran is in its national interest to avoid the cost of wars and to achieve its 2030 vision. Besides, for Iran, its conflict with Saudi Arabia has bothered their national interest amid Western countries sanctions.