Sustainability $4bn set aside for Saudi water projects Saudi Arabia will spend $4 billion by the end of the decade on recycling over 2 billion cubic metres of water, about 70 percent of the country’s renewable water sources, an official said this week. Speaking at the World Water Forum in Indonesia, Mohammed bin Zaid Abuhid, head of the General Authority for Irrigation, outlined […] May 23, 2024
Trade Saudi Arabia ‘close’ to US defence pact and arms deal Saudi Arabia could be close to a security pact with the United States that would enable the kingdom to buy arms, potentially including the sought-after F-35 fighter jet, and obtain some form of US defence guarantee, White House officials said this week. John Kirby, the president’s national security spokesperson, said on May 20 that the […] May 23, 2024
Artificial Intelligence IBM to help Saudi Arabia train AI models in Arabic Saudi Arabia has signed a deal with US tech giant IBM to develop the kingdom’s generative artificial intelligence (AI) capabilities. The Saudi Data and Artificial Intelligence Authority (SDAIA) said on Tuesday that its Arabic language AI model, ALLaM, will be trained on IBM’s platform to run more efficiently. This will also add new language skills […] May 22, 2024
Business of Sport PIF to sponsor women’s world tennis rankings Saudi Arabia’s Public Investment Fund (PIF) is giving its name to the women’s world tennis rankings, the latest sponsorship deal in the kingdom’s drive to dominate global sports. “The PIF WTA Rankings will track players’ journeys, and PIF will work with the WTA to celebrate and support players’ progress,” PIF said, calling the deal “multi-year”. […] May 22, 2024
Analysis Tourism Pressure on Saudi tourism exposes mixed feelings about AI Saudi Arabia is trying to limit the use of artificial intelligence technology in its expanding tourism industry in an effort to boost job numbers, despite strides being made elsewhere in the sector to make the kingdom a leader in digitalisation. Speaking at an economic forum in Doha last week, tourism minister Ahmed Al-Khateeb expressed concerns […] May 22, 2024
Energy Sabic to pay $1.4bn dividend despite profit drop Saudi Basic Industries Corporation (Sabic) has declared a cash dividend of more than SAR5 billion ($1.4 billion) for the first six months of 2024. The board of the company, which is wholly owned by oil giant Saudi Aramco, announced the dividend payout this week, paying SAR1.7 per share. The dividend payout will take place on […] May 22, 2024
Analysis Oil & Gas Oil keeps Russia and China close, but analysts warn it won’t last Russia was China’s biggest oil supplier once again in April, according to official figures, staying ahead of Saudi Arabia thanks to its cheaper crude. However, crude flows from Riyadh to Beijing are expected to increase as the kingdom strengthens its presence in the Chinese energy sector, analysts have told AGBI. Russia’s crude oil exports to […] May 21, 2024
Construction Retal wins $770m contract to build in Dhahran The Saudi builder Retal has signed a SAR2.9 billion ($770 million) contract to design and build nearly 2,000 residential units in Dhahran, Eastern Province, for the giga-project developer Roshn. Retal “will develop and design the detailed master plan, design and execute the infrastructure, landscape, construct 1,962 residential units and public amenities building in Aldanah project,” […] May 21, 2024
Aviation More low-cost airline routes planned for Saudi Arabia Plans to privatise domestic airports have been announced by Saudi Arabia as part of an aviation expansion strategy, which includes imminent licences for more low-cost airline routes, the kingdom’s civil aviation authority said this week. The General Authority of Civil Aviation has signed an agreement with a consortium led by the Turkish airport operator TAV […] May 21, 2024
Opinion Trade Kingdoms hope to usher in a new era of UK-Saudi trade A change of UK government should not affect a flourishing relationship May 21, 2024
Tech Aramco to use Saudi Arabia’s first quantum computer Saudi Arabia plans to deploy its first quantum computer, after an agreement between the state oil company, Saudi Aramco, and the French computing company Pasqal. Pasqal will install, maintain and operate a 200-qubit quantum computer, due for deployment in the latter half of 2025, Aramco said in a statement. Quantum computers use the principles of […] May 20, 2024
Finance Saudi listed companies report Q1 profit rise Businesses listed on the Saudi stock exchange, excluding the state energy giant Aramco, reported an 8 percent rise in first-quarter profits this year, highlighting the continued strength of the non-oil sector as hydrocarbon output is cut. Net profit gains in the banking sector, and for telecoms operator STC and state mining company Maaden, helped to […] May 20, 2024
Aviation Saudia announces ‘largest deal in Saudi aviation history’ Saudia, one of Saudi Arabia’s national carriers, has ordered 105 aircraft from Airbus, with the first batch due for delivery in early 2026. Saudia director general Ibrahim Al-Omar told an aviation industry forum in Riyadh that it is “the largest deal in Saudi aviation history”. A similarly large order has been made by new carrier […] May 20, 2024
Tourism Pilgrim air terminal planned for Kuala Lumpur airport Saudi Arabia and Malaysia are planning to build a pilgrimage air terminal in Kuala Lumpur to increase tourism numbers in both countries. Malaysia’s transport minister Anthony Loke told an aviation industry forum in Riyadh that it was looking with the Saudi Arabian government into “building and establishing a Hajj and Umrah hub” in Kuala Lumpur […] May 20, 2024
Real Estate Foreign companies push up cost of Riyadh’s scarce office space Rental rates in Riyadh’s office sector rose by up to 36 percent in the first quarter of this year as a result of increased demand from foreign companies and occupancy rates approaching 100 percent. Three quarters of all enquiries for office space directed to the real estate company Savills in the first three months of […] May 20, 2024
Real Estate Dar Al Arkan Q1 profit rises 31% on higher property sales The net profit of Saudi Arabian real estate company Dar Al Arkan rose 31 percent in the first quarter of 2024 to SAR154 million ($41 million). The earnings increase was driven by higher property sales, a fall in operating expenses, and higher non-operating income from Islamic deposits. Property sales increase drove revenue higher by 13 […] May 20, 2024
Markets Smasco market cap to hit $800m on Saudi listing Smasco, the Saudi Manpower Solutions Company, has set its final initial public offering (IPO) price at SAR7.50 per share, giving it a market capitalisation of SAR3 billion ($800 million) at listing. The company will offer 120 million shares, or a 30 percent stake, raising SAR900 million from the listing. This month, the indicative price range […] May 20, 2024
Analysis Energy Saudi Arabia’s nuclear plans stall while UAE pushes on The UAE is moving ahead with its second nuclear power plant, but plans for Saudi Arabia’s first facility remain bogged down in controversy and delay. The kingdom is attempting to win US approval to enrich its own uranium and use US technology. Saudi Arabia said last year it would allow inspections of future nuclear facilities, […] May 19, 2024
Finance PIF slashes Starbucks stake as it cuts US stocks by $15bn Saudi Arabia’s Public Investment Fund (PIF) has slashed its US equity holdings by 42 percent to $20.6 billion, including its stake in Starbucks, the global coffee chain that has suffered calls for a boycott as a result of the Gaza conflict. The latest US government data highlights funding challenges facing the Saudi giga-projects. The filing […] May 17, 2024
Finance Aluminium producer Talco announces Saudi IPO Aluminium producer Al Taiseer Group Talco Industrial Company (Talco) is the latest entity to reveal initial public offering (IPO) plans in Saudi Arabia. The Riyadh-based company, which was set up in 2009, is offering 12 million shares, a 30 percent stake, on the Saudi Exchange (Tadawul) at a nominal value of SAR10 ($2.67) per share. […] May 17, 2024