Saudi Arabia’s PIF signs MoU with Brookfield to launch $2bn investment platform

The MoU was finalized during the Future Investment Initiative summit currently underway in Riyadh. Photo/Supplied
The MoU was finalized during the Future Investment Initiative summit currently underway in Riyadh. Photo/Supplied
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Updated 30 October 2024
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Saudi Arabia’s PIF signs MoU with Brookfield to launch $2bn investment platform

Saudi Arabia’s PIF signs MoU with Brookfield to launch $2bn investment platform

RIYADH: Saudi Arabia’s Public Investment Fund and Brookfield Asset Management Ltd. have signed a non-binding memorandum of understanding for the wealth fund to become a strategic anchor investor in Brookfield Middle East Partners.

According to a press release, this new platform, BMEP, will serve as Brookfield’s private equity vehicle for investments in Saudi Arabia and the broader region.

The MoU was finalized during the Future Investment Initiative summit currently underway in Riyadh.

BMEP aims to raise $2 billion from various investors, focusing on buyouts, structured solutions, and other investment opportunities across key sectors, including industrials, business and consumer services, technology, and healthcare.




Saudi Arabia is hosting the eighth edition of the Future Investment Initiative summit in Riyadh. AN/Abdulrahman bin Shalhuob

At least 50 percent of the capital will be directed toward investments in Saudi Arabia, as well as into leading international companies looking to expand in the local market, facilitating foreign direct investment into the Kingdom.

This partnership seeks to combine the strengths of PIF and Brookfield to enhance local private equity investment opportunities and promote economic development in Saudi Arabia, further supporting the country’s vision of becoming a leading hub for global investment and economic growth.

Yazeed A. Al-Humied, deputy governor and head of MENA investments at PIF, stated: “PIF’s collaboration with Brookfield demonstrates our continued efforts to foster international partnerships that enhance local markets.”

He added: “This MoU represents a step toward achieving PIF’s vision of attracting global capital and expertise to the region while facilitating knowledge transfer and capacity-building within Saudi Arabia.”

PIF has been actively promoting Saudi Arabia’s economic transformation and diversification, driving local growth and impacting global industries. Since 2017, PIF has launched 95 new companies within the Kingdom and has generated over 1.1 million direct and indirect jobs globally.




Saudi Arabia is hosting the eighth edition of the Future Investment Initiative summit in Riyadh. AN/Abdulrahman bin Shalhuob

Expressing enthusiasm over the partnership, Brookfield Asset Management CEO Bruce Flatt said: “We are honored to partner with PIF on this landmark private equity fund. Saudi Arabia is core to the region’s economic transformation, and we look forward to contributing to its growth by investing at scale in market-leading companies that will benefit from our deep operating capabilities.”

He added: “With our expanding presence in Riyadh, we are excited to bring our global expertise to participate in the development of the local private markets ecosystem.”

Brookfield, one of the largest foreign investors in the GCC, has been present in the region since 1997, making direct investments since 2015. Its portfolio, valued at $12 billion, encompasses private equity, real estate, and infrastructure. Brookfield’s strategy focuses on fostering long-term partnerships with leading local institutions, which sets it apart in the region.

As part of the MoU, the asset management company will expand its Riyadh office and make Brookfield Academy available locally, enabling skill development for investment professionals and supporting PIF’s commitment to fostering local talent.

This non-binding MoU is subject to obtaining regulatory and internal approvals and is contingent upon the satisfaction of specific conditions, the press release said.


Tadawul defies global IPO slump as Saudi listings thrive

Tadawul defies global IPO slump as Saudi listings thrive
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Tadawul defies global IPO slump as Saudi listings thrive

Tadawul defies global IPO slump as Saudi listings thrive
  • While traditional financial centers struggle, the Kingdom continues to attract listings, underscoring a potential shift in how and where global capital is deployed

RIYADH: The Saudi Exchange is proving resilient amid a global initial public offerings downturn, highlighting the strength and dynamism of its diverse issuer base. 

While traditional financial centers struggle, the Kingdom continues to attract listings, underscoring a potential shift in how and where global capital is deployed.

Across the US, Europe, and much of Asia, 2025 has seen subdued IPO activity, affected by volatile macroeconomic indicators, persistent inflation, and shifting investor sentiment. Could Saudi Arabia’s divergence signal a broader reshaping of investor priorities and market leadership?

Equity markets showed early signs of recovery in the first quarter, but geopolitical tensions and tariff shocks in April disrupted momentum, prompting issuers to delay offerings and adopt a cautious stance, according to Haitham Aljabry, capital markets consulting partner at PwC Middle East.

In contrast, the Saudi Exchange is charting its own path. As of August 2025, 33 new listings have been completed across its main market, Nomu – parallel market, and sukuk and bonds market, bringing the total number of listed securities to more than 460.

“The Saudi Exchange’s resilience amid the global IPO slowdown underscores the strength and dynamism of our diverse issuer base,” Nasser Alajaji, chief of listing at the Saudi Exchange, told Arab News.

Alajaji added: “Recent listings from new sectors such as aviation and e-commerce have further deepened market breadth and enhanced its appeal.” 

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He highlighted the launch of the Kingdom’s first ESG-focused exchange-traded fund and two corporate sukuk as signs of ongoing innovation aligned with the Financial Sector Development Program under Vision 2030.

“Global IPO activity paused, as some companies chose to delay their IPO processes due to the level of uncertainty associated with the various tariff announcements,” Aljabry explained. “However, the gradual reopening of selective IPO markets is now underway, with sentiment largely tied to macroeconomic and geopolitical stability.”

Aljabry said Saudi Arabia’s sustained IPO performance reflects strong macroeconomic management, regulatory clarity, and ongoing reforms across sectors. The government’s commitment to economic diversification through megaprojects such as Neom and the Red Sea is bolstering investor confidence and stimulating activity across industries. Capital inflows have also remained consistent in 2025, supported by a stable riyal-dollar peg and Saudi Arabia’s status as a regional safe haven amid wider geopolitical instability.

Structural advantages boosting Tadawul’s appeal

Tadawul offers structural advantages that distinguish it from global peers.

“Tadawul is the largest stock exchange in the MENA region by market capitalization. Its high free-float requirement ensures liquidity, and Tadawul’s inclusion and weighting in MSCI EM and FTSE indices boosts demand from passive global funds,” Ibrahim Soumrany, partner at Gibson Dunn in Riyadh, noted.

Soumrany also cited strong valuation premiums, robust institutional demand, and consistent oversubscription levels in retail tranches, with new listings often leaving individual investors with as few as ten shares. Additional drivers include state asset privatizations, Public Investment Fund divestments, and IPOs by large family conglomerates seeking succession planning and liquidity.

“The level of capital inflow into the Saudi market since the beginning of the year suggests that investors, both local and international, continue to view the Kingdom as a stable and growth-oriented investment destination, even as global capital markets remain cautious,” Aljabry said.

Regulatory momentum

Saudi capital markets benefit from a deepening institutional investor base and growing digital engagement, particularly among younger retail investors accessing equities via trading apps.

“The Saudi capital market continues to play a pivotal role in driving economic diversification and attracting global capital,” Alajaji said. “We continue to observe steady IPO activity across all our platforms… Investor demand remains robust, supported by a favorable regulatory environment and active participation from both institutional and retail investors.”

According to Aljabry, IPOs in Saudi Arabia during 2025 have predominantly involved well-established or strategically significant companies aligned with Vision 2030, appealing to long-term investors. Despite fluctuations in crude oil prices, the Kingdom has attracted significant capital inflows, reflecting confidence in its long-term growth strategy and stable economic management.

In terms of liquidity and market-making, Saudi capital markets stand out. Soumrany emphasized that market-making regulations support tighter bid-ask spreads and consistent trading activity, enhancing the investor experience and reducing market volatility.

Further contributing to market dynamism is the growing role of Qualified Foreign Investors. As of August, over 4,400 QFIs were registered with the Saudi Exchange, highlighting rising international institutional interest, Alajaji told Arab News.

The evolution of environmental, social and governance and sustainability-linked products is also adding new dimensions to the market. Alajaji noted that the introduction of new asset classes and sustainability-driven instruments reflects the exchange’s commitment to long-term innovation.

Retail investor enthusiasm remains a key pillar. Soumrany noted: “High oversubscription levels in retail tranches. Retail investors are unlikely to receive more than 10 shares due to high oversubscription levels.” 

Some IPOs have been so oversubscribed that retail investors received only a fraction of their applications, demonstrating grassroots engagement in Saudi capital markets.

Outlook

Looking ahead, Aljabry believes the momentum of Saudi IPOs is unlikely to slow. With a predictable pipeline shaped by PIF exits, state divestments, and family business listings, the exchange is well-positioned to maintain its upward trajectory.

The alignment between economic diversification objectives and capital market development ensures that listings will continue to be both strategic and impactful. Soumrany said this alignment results in IPOs that are not only financially attractive but integral to the broader national transformation.

Tadawul’s strength amid global weakness underscores its evolution into a leading regional financial hub. As global investors seek resilient, growth-oriented markets, Saudi Arabia is increasingly viewed as a compelling alternative to traditional financial centers. With robust infrastructure, regulatory foresight, and strategic positioning, the Kingdom is not just weathering the global IPO slump — it is defining a new benchmark for emerging-market exchanges.

 


How Saudi Arabia’s Humain is pushing Arabic AI to the global frontier

How Saudi Arabia’s Humain is pushing Arabic AI to the global frontier
Updated 05 September 2025
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How Saudi Arabia’s Humain is pushing Arabic AI to the global frontier

How Saudi Arabia’s Humain is pushing Arabic AI to the global frontier
  • Homegrown AI system Humain is building a full-stack ecosystem designed to drive innovation, infrastructure, and technology leadership in the region
  • Its Arabic-first AI models are being developed to integrate language, culture, and specialized knowledge for consumer and enterprise applications

ALKHOBAR: Saudi Arabia has set its sights on becoming a global artificial intelligence powerhouse, and one company is at the center of that mission.

Humain, launched in May 2025 with backing from the Public Investment Fund, is building what many describe as the Arab world’s most ambitious AI ecosystem.

Unlike firms that focus narrowly on single models, Humain delivers full-stack capabilities, from sovereign data centers to advanced large language models, all designed in and for the Kingdom.

At the heart of this vision is Humain Chat, a consumer app powered by the ALLaM 34B foundation model.

The HUMAIN Chat app interface, designed for over 400 million Arabic speakers. (Supplied)

Built as an Arabic-first system, it represents a decisive shift: Instead of adapting foreign technologies, Saudi Arabia is now creating innovation rooted in its own language and culture.

Developing ALLaM 34B was Humain’s first major challenge and its greatest statement of intent. 

The model was trained on more than 500 billion Arabic tokens, making it the largest Arabic language dataset ever used. Independent evaluations have already ranked it as the world’s most advanced Arabic-first AI system.

Yaser Al-Onaizan, deputy CEO and president of data and AI models at Humain, explained why this matters.

“ALLaM is set apart by its deep cultural integration and comprehensive understanding of Arabic nuances, from regional dialects to religious and historical contexts,” he said.

The design choice was not cosmetic. By building the model in Arabic from the ground up, Humain gave it the ability to understand and reflect everyday speech while also handling specialized contexts like finance, government services, and education.

This dual focus allows ALLaM to power Humain Chat for millions of consumers while being robust enough for enterprise deployments.

Humain Chat is more than just a demo of Saudi AI capability. Available for free in the Kingdom on iOS, Android, and web, it is designed to serve more than 400 million Arabic speakers globally.

Smarter, context-aware answers from HUMAIN Chat. (Supplied)

Users can switch between Arabic and English, dictate in multiple dialects, and even search the web in real time without leaving the app.

“Our model’s real-world adaptability is unmatched,” said Al-Onaizan. “While powering Humain Chat for consumers, it is also enterprise-ready, capable of seamless integration into government services, financial systems, and customer platforms.”

Where Humain differs from most regional players is its scale. The company describes itself as a full-stack AI provider, delivering not just large language models but also infrastructure, cloud platforms, and data governance systems.

This makes it one of the few firms globally attempting to control the entire AI value chain.

App icon for HUMAIN Chat, available on iOS and Android.

Its portfolio includes hyperscale data centers, cloud-native services, and a sovereign data platform capable of managing the full lifecycle from ingestion to visualization.

On top of this sit its models, from ALLaM to advanced voice-enabled systems, and finally consumer and enterprise applications such as Humain Chat.

The company’s ambitions are reinforced by major partnerships.

AWS is investing $5 billion in a new AI Zone in the Kingdom. NVIDIA is working with Humain to build AI factories with hundreds of thousands of graphics processing units.

Instant, reliable information with HUMAIN Chat. (Supplied)

Qualcomm, AMD, Cisco, and Groq are also aligned with the effort, ensuring Humain has both the software and hardware ecosystem to scale.

One of the biggest challenges in AI is training data, and for Arabic it has always been a limiting factor. High-quality corpora are scarce, fragmented, and inconsistent. Humain chose to tackle this head-on by designing its own data curation and governance pipeline.

“Building advanced Arabic language models presents unique data challenges that we’ve systematically addressed at Humain,” said Al-Onaizan.

“The scarcity of high-quality Arabic training data has historically been a significant barrier. However, we turned this challenge into an opportunity through our innovative approach to data curation and governance, which was a built-from-scratch solution.”

Dr. Yaser Al-Onaizan, deputy CEO and president of data and AI models at HUMAIN, who spearheaded the development of ALLAM 34B. (Supplied)

To achieve this, Humain mobilized a network of more than 600 domain experts and 250 evaluators who validated and refined the training sets. The result is a model tuned for accuracy, relevance, and compliance with Saudi Arabia’s Personal Data Protection Law.

The Humain story is also the Saudi story.

Vision 2030 has made AI a national priority, and Humain reflects that ambition. By combining sovereign control with global partnerships, the Kingdom is positioning itself not just as a user of technology but as a leader shaping its direction.

“We are confident that Saudi Arabia is taking all the necessary steps to become a global AI powerhouse,” said Al-Onaizan. “Our vision aligns strategically with the Kingdom’s ambitious national strategy, where we are not just participants, but we are actively shaping the future of AI.”

DID YOU KNOW?

Humain is building the Arab world’s most ambitious full-stack AI ecosystem and infrastructure.

Humain Chat is powered by ALLaM 34B, the world’s largest Arabic-first large language model.

ALLaM 34B was trained on over 500 billion Arabic tokens, integrating cultural nuances.

This confidence is not without basis. Humain’s rapid growth, global alliances, and independent recognition have already placed it on the map as a serious competitor to established tech giants.

If scale is one pillar of Humain’s strategy, responsibility is the other. The company emphasizes that its infrastructure is hosted entirely in the Kingdom, under national jurisdiction, to ensure sovereignty and trust.

“When we discuss AI deployment at scale, data protection and privacy are not optional considerations, they are fundamental requirements,” said Al-Onaizan.

Smarter Arabic voice interactions with HUMAIN Chat. (Supplied)

“At the core of our approach is full compliance with Saudi Arabia’s Personal Data Protection Law. While we meet all regulatory requirements, our true focus is establishing trust and maintaining the highest standards of data governance.”

This approach is designed to reassure both government and enterprise clients that advanced AI can be deployed without compromising security or cultural values.

Saudi Arabia’s AI ambitions are no longer abstract policy goals. Through Humain, the Kingdom is building an end-to-end ecosystem that combines infrastructure, models, and applications in one stack.

With ALLaM 34B as its foundation and Humain Chat as its first showcase, the company is proving that Arabic-first innovation can set global standards.

The road ahead will be about scale, global expansion, and ensuring that AI speaks not only in Arabic but with the values and vision of the Arab world.



 


Saudi-Jordanian forum targets stronger private sector ties 

Saudi-Jordanian forum targets stronger private sector ties 
Updated 04 September 2025
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Saudi-Jordanian forum targets stronger private sector ties 

Saudi-Jordanian forum targets stronger private sector ties 

RIYADH: Private sector cooperation between Saudi Arabia and Jordan is set to strengthen as more than 250 business leaders and officials convened in Amman for a business forum. 

Organized by the Federation of Saudi Chambers and the Jordan Chamber of Commerce, the Saudi-Jordanian Business opened on Sept. 3 with the aim of developing a joint economic vision and unlocking new trade and investment opportunities, the Saudi Press Agency reported. 

The Saudi delegation, led by Federation Chairman Hassan Al-Huwaizi, included prominent business figures, investors, and officials from the ministries of economy and planning, industry and mineral resources, investment, and the General Authority for Foreign Trade. 

This comes as trade between the two countries continues to grow, with Jordanian exports to Saudi Arabia reaching 612 million Jordanian dinars ($863 million) in the first half of 2025, up from 513 million dinars a year earlier. Imports from the Kingdom also rose to 1.4 billion dinars, compared with 1.3 billion dinars in the same period of 2024. 

Al-Huwaizi highlighted that the forum’s role in stimulating economic initiatives and creating new investment opportunities in the region, noting that this year’s edition aims to mark a qualitative shift in relations between the Saudi and Jordanian private sectors, the SPA report stated. 

Jordanian Industry, Trade and Supply Minister Yarub Qudah said economic relations between the two countries should be translated into practical partnerships that serve mutual interests.  

He added that Jordan’s trade with Saudi Arabia is nearly on par with its trade with the US. 

Referring to Jordan’s free trade agreements with the EU, US and Canada, Qudah said joint efforts between Jordanian and Saudi businesses could maximize their benefits, the Jordan News Agency, Petra, reported.  

He also underscored the need to tap new regional and global markets, pointing to reconstruction in Syria as a key opportunity for direct cooperation. 

Jordanian Investment Minister Tareq Abughazaleh highlighted the importance of joint sectoral committees in easing business operations and stimulating capital flows.  

Jordan Chamber of Commerce Chairman Khalil Al-Haj Tawfiq praised Saudi Arabia’s support for Jordan’s economy, noting that Saudi investments in the kingdom have surpassed $15 billion. 

On the sidelines, the Saudi-Jordanian Joint Business Council held a meeting to explore ways to deepen trade ties.  

Jordan Industrial Estates Co. invited Saudi investors to benefit from incentives across nine industrial cities, which host 975 firms with investments exceeding 3.5 billion Jordanian dinars. The zones currently house 16 Saudi projects worth 133 million dinars. 

The forum also featured presentations from the Saudi side on investment opportunities under Vision 2030, covering entry procedures and institutional support for foreign investors.


Bahrain’s non-oil re-exports rise 3% in July, led by UAE

Bahrain’s non-oil re-exports rise 3% in July, led by UAE
Updated 04 September 2025
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Bahrain’s non-oil re-exports rise 3% in July, led by UAE

Bahrain’s non-oil re-exports rise 3% in July, led by UAE

RIYADH: Bahrain’s non-oil re-exports grew 3 percent year on year in July to 63 million Bahraini dinars ($166 million), driven by strong demand from the UAE, which accounted for 35 percent of the total.

Saudi Arabia followed with 21 percent, and Singapore with 13 percent, according to data from the Information and eGovernment Authority cited by the Bahrain News Agency.

Key re-exported items included four-wheel drive vehicles valued at 7 million dinars, gas turbine parts at 4.8 million dinars, and jet turbine engines at 4.5 million dinars.

Analysts note that Bahrain’s expanding logistics sector, along with its strategic location, continues to support growth in re-export activity.

While non-oil exports of national origin dipped slightly by 1 percent to 333 million dinars in July, the country’s trade outlook remains positive. Saudi Arabia led as the top destination for national exports at 24 percent, followed by the US at 12 percent and the UAE at 9 percent.

Raw aluminum alloys topped the list of national exports at 93 million dinars (28 percent), followed by agglomerated iron ores and concentrates at 44 million dinars (13 percent) and non-alloy aluminum wires at 19 million dinars (6 percent).

Imports grew 17 percent to 544 million dinars, led by China (13 percent), Brazil (10 percent), and Australia (9 percent). The most imported goods included non-agglomerated iron ores and concentrates, aluminum oxide, and aircraft engine parts.

Despite a trade deficit of 148 million dinars in July, up from 66 million a year earlier, Bahrain’s economy is set for growth.

The World Bank forecasts GDP growth of 3.5 percent in 2025, up from 3 percent in 2024, driven by completion of BAPCO refinery upgrades and stronger non-oil activity in infrastructure, logistics, fintech, and tourism under Economic Vision 2030. Growth is projected to average 2.9 percent in 2026-27, supported by continued non-oil expansion and the Sitra refinery upgrade.

Overall, Bahrain’s non-oil trade, particularly re-exports, continues to demonstrate resilience and diversification, reflecting the Kingdom’s strategic efforts to expand its economic base beyond hydrocarbons.


Closing Bell: Saudi main market ends week in green 

Closing Bell: Saudi main market ends week in green 
Updated 04 September 2025
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Closing Bell: Saudi main market ends week in green 

Closing Bell: Saudi main market ends week in green 

RIYADH: Saudi Arabia’s Tadawul All Share Index closed Thursday’s trading session on a positive note, rising 36.51 points, or 0.34 percent, to 10,655.61. 

Trading turnover totaled SR3.24 billion ($864 million) with 153.19 million shares changing hands, as 123 stocks advanced and 117 declined. 

The MSCI Tadawul 30 Index also climbed, adding 6.24 points, or 0.45 percent, to 1,381.79.

In contrast, the parallel Nomu market edged down 113.44 points, or 0.44 percent, closing at 25,559.59, with 40 gainers and 48 losers. 

Leading the gains, Thimar Development Holding Co. rose 6.01 percent to SR45.50, while Saudi Fisheries Co. rose 4.21 percent to SR87.90. 

Al-Andalus Property Co., Cenomi Retail, and Saudi Enaya Cooperative Insurance Co. advanced 3.90 percent, 3.88 percent, and 2.86 percent, respectively. 

On the downside, Marketing Home Group for Trading Co. fell 5.66 percent to SR73.30, followed by Taiba Investments Co. down 4.37 percent and Alahli REIT 1 sliding 2.74 percent.

On the announcements front, Dr. Soliman Abdel Kader Fakeeh Hospital Co. secured two Islamic credit facilities totaling SR720 million to support operations and growth, including SR570 million with Saudi National Bank and SR150 million with Saudi Awwal Bank. Shares of Fakeeh Care closed slightly higher at SR39.86.

Ataa Educational Co. reported a 31 percent rise in net profit to SR82.8 million for the year ending July 31, 2025, up from SR63.4 million the previous year. 

Revenue grew 0.63 percent to SR640.7 million, while operational profit increased 6.57 percent to SR147.7 million, driven by higher student enrollment, increased non-recurring revenues, and a significant reduction in losses from discontinued operations. Shares of Ataa rose 1.46 percent to SR62.45.