Giga-projects Neom brands its 12 Red Sea resorts as ‘Magna’ Saudi Arabian giga-project Neom said this week that 12 Red Sea coastal resorts for the ultra-rich that it has rolled out over the past year would be branded collectively under the name Magna. Last month Neom announced its twelfth project, Jaumur, the latest in a series of separate announcements of futuristic resorts inside Neom, an […] June 6, 2024
Tech Saudi Arabia campaign aims to attract chipmakers Saudi Arabia has launched a National Semiconductor Hub in a bid to attract international chipmakers. The kingdom is targeting at least 50 semiconductor design companies to set up business by 2030, aiming to cut its reliance on imported computer chips. The global semiconductor industry, once plagued by shortages, is now showing signs of recovery and […] June 6, 2024
Trade Saudi Arabia to set up logistics centre in Djibouti A delegation of 100 Saudi investors visited Djibouti this week to sign a contract for a logistics centre in the country’s free zone, the latest development in Saudi Arabia’s efforts to extend trade ties with Africa. Saudi Logistics City will cover 120,000 sq m in the first phase on a 92-year lease, and will include […] June 6, 2024
Aviation India’s Akasa Air to start Jeddah and Riyadh flights Saudi Arabia has licensed Indian low-cost airline Akasa Air to begin flights this week as the Hajj pilgrimage begins, giving a further boost to the kingdom’s tourism plans. The flights into Jeddah include two from Ahmedabad and 12 from Mumbai per week starting from 8 June, and seven into Riyadh from Mumbai per week starting […] June 5, 2024
Analysis Economy Saudi new mortgage approvals rebound A greater supply of affordable housing and a growing resignation among prospective house buyers that interest rates are unlikely to fall substantially is helping to propel a rebound in new residential mortgages in Saudi Arabia. Under Vision 2030, Saudi Arabia set a target to increase home ownership among the kingdom’s adult citizens to 60 percent […] June 5, 2024
Oil & Gas Saudi Aramco targets two US natural gas producers Saudi Aramco, the world’s biggest oil exporter, has initiated talks with two liquefied natural gas (LNG) producers in the United States to bolster its overseas expansion strategy. The oil major is negotiating with Tellurian and NextDecade, Reuters reported, quoting informed sources. Aramco is considering buying a stake in Tellurian’s Driftwood LNG plant in Louisiana, which […] June 5, 2024
Analysis Economy 642 million votes counted … now India can get back to business Narendra Modi has claimed victory in India’s election – and many in the Gulf will be delighted at the prospect of a third Modi term. The prime minister’s pro-business credentials and economically liberalising tendencies remain credible, if battered, after 10 years in office. His Bharatiya Janata Party did not perform as well as expected, however, […] June 5, 2024
Real Estate Trump’s convictions no problem in Gulf, says Saudi partner Donald Trump’s felony convictions in New York last week are not a deterrent to his potential business interests in the Gulf, a leading Saudi developer has said. Trump became the first former US president to be convicted of felony crimes on May 30 when a New York jury found him guilty of all 34 charges […] June 4, 2024
Economy Saudi point-of-sale transactions on course for record high Growing consumer confidence should lift the value and volume of Saudi Arabia’s point-of-sale transactions to record highs this year, the latest central bank data indicates. Point-of-sale transactions are typically made in person using cash, credit or debit cards, but also include online purchases. As such, point-of-sale data can be interpreted as a proxy for the […] June 4, 2024
Infrastructure STC weighs bid for Dutch telecom operator Saudi telecoms conglomerate STC Group has initiated talks to buy the Dutch telecom and pay-TV operator United Group. British private equity firm BC Partners has enlisted advisors to start the sale of United Group, Reuters reported, quoting unnamed sources. STC has begun early discussions regarding a potential transaction, the report added. NewsletterGet the Best of AGBI […] June 4, 2024
Finance PIF appoints banks for its sterling debt offering The Public Investment Fund (PIF), Saudi Arabia’s largest sovereign wealth fund, has appointed banks to handle its new debt offering. Barclays, BNP Paribas, HSBC and J.P. Morgan have been mandated as joint global coordinators for the sterling-denominated dual-tranche notes, fixed income news service IFR reported. The 5-year and 15-year senior unsecured notes are part of […] June 4, 2024
Real Estate Saudi HQ drive forces up Riyadh office rents A shortage of prime office space in Riyadh has pushed up B-grade office rents by 26 percent over the last year, a real estate report said this week, as companies rush to set up premises in the kingdom. Saudi Arabia says companies must base their regional headquarters in the kingdom if they want access to […] June 3, 2024
Analysis Oil & Gas Early demand is strong for Aramco’s $13bn share sale The Saudi oil giant Aramco’s secondary share offering opens to retail investors today in a sale that could bring huge dividend payouts if they set aside concerns over flagging oil prices and regional political tensions. Institutional investors covered the offer within a few hours on Sunday, but reports say Aramco is planning events in Britain […] June 3, 2024
Artificial Intelligence China’s OpenAI rival backed by Saudi fund Saudi Aramco’s venture capital fund Prosperity7 has joined a $400 million investment round for Chinese generative AI startup Zhipu AI. Prosperity7 is a minority investor in Zhipu, which is valued at nearly $3 billion, the Financial Times reported on Friday. This marks the first instance of foreign investment in China’s quest to establish a homegrown […] May 31, 2024
Transport Kuwait City and Riyadh take first steps towards rail link Kuwait and Saudi Arabia have approved a feasibility study to investigate building a rail link between Kuwait City and Riyadh. The study was approved during the sixth meeting of the Kuwait-Saudi higher steering committee, Kuwait’s minister of public works and minister of state for municipal affairs Noura Al-Meshaan told the Kuwait News Agency on Thursday. […] May 31, 2024
Business of Sport Brokers pin hopes on darts being Riyadh’s next big sporting target Darts could be the next major sport to be staged in Saudi Arabia, with strong family ties linking it to brokers who have already negotiated deals in the kingdom, according to a leading sports analyst. Veteran sports promoter Barry Hearn revealed that discussions have taken place with a view to moving the PDC Darts World […] May 31, 2024
Finance Ministry issues record Saudi business licences in Q1 Saudi Arabia’s Ministry of Investment issued a record number of business licences in the first quarter of 2024, as the country tries to drum up foreign investor interest for its economic expansion plans. The ministry issued 3,157 licences, a 9 percent rise from 2,884 issued in the last quarter of 2023, which was the previous […] May 31, 2024
Aviation Flyadeal confirms order of 51 Airbus narrowbody jets Flyadeal, Saudi Arabia’s low-cost airline, has ordered 51 narrowbody Airbus aircraft to fuel its expansion plans. The carrier confirmed on Thursday it will receive 12 Airbus A320neos and 39 A321neos as part of the announcement by its parent company, Saudia Group, for 105 aircraft, the “largest deal in Saudi aviation history”. Deliveries of the […] May 31, 2024
Banking and Finance Saudi Arabia issues $17bn Islamic bonds after early repayment Saudi Arabia has issued new sukuk (Islamic bonds) worth SAR64 billion ($17 billion) following the early purchase of over SAR63 billion of outstanding debt. The initiative aims to bolster the domestic market, the National Debt Management Centre (NMDC), which manages the Saudi government’s debt obligations and future maturities, said in a statement. The new sukuk […] May 31, 2024
Markets Aramco to raise up to $13bn from new share offering Saudi Aramco confirmed on Thursday that it aims to raise up to $13 billion in a secondary public offering next month, as Riyadh seeks out new sources of funding to finance its portfolio of giga-projects. The world’s largest oil producer will sell a 0.64 percent stake, or 1.545 billion shares, in an offering that will commence on […] May 31, 2024
