Global collaborations crucial to address global challenges, says Saudi official

The Kingdom’s vice minister of economy and planning, Ammar Nagadi. (AN photo by Abdulrahman Bin Shalhoubh)
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Updated 30 April 2024
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Global collaborations crucial to address global challenges, says Saudi official

  • Ammar Nagadi, vice minister of economy and planning, talks to Arab News on the sidelines of World Economic Forum Special Meeting in Riyadh

RIYADH: Global collaborations are a crucial element in efforts to tackle economic and social challenges, especially given the current state of the world, a leading Saudi official said.

In an interview with Arab News on the sidelines of the two-day World Economic Forum Special Meeting on Global Collaboration, Growth and Energy for Development, which concluded on Monday in Riyadh, the Kingdom’s vice minister of economy and planning, Ammar Nagadi, spoke about the important role such gatherings can play in advancing economic cooperation to address global challenges.

He believes the world is going through a “unique” time, with economic and social challenges worldwide and human development at a critical stage.

“Because of this, global collaboration and the world convening together becomes more and more important,” Nagadi said.

“We have seen that over the last few years Saudi Arabia is becoming a platform that brings together different people from different parts of the world to discuss challenges and to address these challenges” and the World Economic Forum special meeting is a continuation of that process, he added.

“We have more than 1,000 leaders today from different sectors (attending the meeting). We have heads of states, private sector and public sector leaders, and entrepreneurs from more than 70 countries across the globe.

“I think this diverse group, coming together to discuss and address global challenges is a unique opportunity and we are very happy to have it here in Riyadh today.”

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Describing the economic landscape in the Kingdom, Nagadi said the Saudi economy is going through a very strong period of transformation that is reflected in the progress the country has made in terms of growth and diversification.

“Last year, Saudi Arabia’s non-oil activities grew by 4.4 percent but I think the most important thing to realize is that non-oil activities, as a percentage of total gross domestic product, have reached, for the first time in history, 50 percent of the total GDP,” he added.

This represents a significant milestone that reaffirms the progress made in efforts to diversify the national economy, he added, which have created numerous benefits, including investment opportunities and improved job prospects for Saudis.

“If I take one example, you will see that unemployment last year in the last quarter has reached an all-time low of 7.7 percent and we hope to see that momentum continuing,” Nagadi said.

He believes this momentum will also continue in terms of growth and diversification.

“We target to grow around 5 percent for non-oil activities this year but we have seen recent forecasts by the IMF (International Monetary Fund) where they’re expecting Saudi Arabia to further grow in 2025 by around 6 per cent,” he added.

Saudi Arabia is also making progress toward achieving sustainability goals, which Nagadi said is another important topic.

“What we have today is Vision 2030, which is very ambitious, and sustainability is an integral part of that vision,” he added.

“We have economic goals, social goals, environmental goals. If I were just to take the environmental part of the sustainable development goals, you will see that Saudi has put in a lot of efforts as part of Vision 2030.”

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The Saudi Green Initiative, announced in March 2021, is a great example of what the Kingdom is doing not only to drive economic growth but also protect the planet, Nagadi said.

“The aim is to achieve net-zero emissions by 2060, and the goals are to increase the renewable energy mix to 50 percent of the total energy mix and plant 10 billion trees by 2030 as well as protecting land and sea,” he said, adding that 50 million trees have already been planted.


Closing Bell: Saudi main index slips to close at 11,438 

Updated 18 May 2025
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Closing Bell: Saudi main index slips to close at 11,438 

  • Kingdom’s parallel market Nomu lost 185.50 points, or 0.67%, to close at 27,655.56
  • MSCI Tadawul Index lost 6.21 points, or 0.42%, to close at 1,456.55

RIYADH: Saudi Arabia’s Tadawul All Share Index slipped on Sunday, losing 46.11 points, or 0.40 percent, to close at 11,438.94. 

The total trading turnover of the benchmark index was SR3.68 billion ($983 million), as 85 of the stocks advanced and 153 retreated.

The Kingdom’s parallel market Nomu lost 185.50 points, or 0.67 percent, to close at 27,655.56. This comes as 26 of the listed stocks advanced while 52 retreated.

The MSCI Tadawul Index lost 6.21 points, or 0.42 percent, to close at 1,456.55.

The best-performing stock of the day was Etihad Atheeb Telecommunication Co., whose share price surged 6.44 percent to SR102.40.

Other top performers included Miahona Co., with its share price rising 4.59 percent to SR26.00, and Middle East Paper Co., which surged 4.55 percent to SR29.85.

SICO Saudi REIT Fund recorded the most significant drop, falling 5.72 percent to SR4.45.

Saudi Advanced Industries Co. also saw its stock prices fall 5.11 percent to SR26.95.

Jabal Omar Development Co. also saw its stock prices decline 3.38 percent to SR24.00.

On the announcements front, Bank Albilad raised $650 million from its US dollar-denominated additional tier 1 sukuk issuance. According to a Tadawul statement, the total number of sukuk stands at 3,250 with a par value of $200,000, a return of 6.5 percent per annum, and perpetual maturity. 

Bank Albilad ended the session at SR27.10, down 0.74 percent.

Sadara Basic Services Co. reported a net loss of SR1.26 billion for the first quarter of 2025, marking a 48 percent increase from the same period last year, according to a bourse filing.

The company attributed the deeper loss primarily to planned turnaround activities during the quarter, though this was partially offset by lower feedstock consumption and reduced interest expenses.

Rawasi Albina Investment Co. announced the completion of the memorandum of association and commercial registration of its new wholly owned subsidiary, Nemo Al Jazirah Co., with a capital of SR5,000. 

According to a Tadawul statement, the limited liability company will begin operations after finalizing all administrative and technical incorporation requirements. 

Shares of Rawasi Albina Investment Co. closed at SR4.00, gaining 2.25 percent. 

Middle East Pharmaceutical Industries Co. has renewed a Shariah-compliant credit facility agreement with Alinma Bank for SR50 million. 

According to a stock exchange disclosure, the one-year financing is backed by a promissory note worth SR55 million. The facility will be used to support the company’s working capital and asset financing needs.

Shares of the company ended the session at SR126.60, down 0.32 percent. 


Qatar’s FDI projects jump 110% in 2024, says investment agency chief

Updated 18 May 2025
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Qatar’s FDI projects jump 110% in 2024, says investment agency chief

  • Number of FDI projects reached 241 in 2024, up from 115 in 2023
  • Most of the investments were concentrated in key sectors, particularly wholesale and retail trade

RIYADH: Qatar saw a 109.6 percent year-on-year increase in foreign direct investment projects in 2024, more than doubling the 2023 total, reflecting growing global confidence in its economy, according to a top official. 

Speaking to Qatar News Agency, Sheikh Ali bin Alwaleed Al-Thani, CEO of the Investment Promotion Agency, said the number of FDI projects reached 241 in 2024, up from 115 in 2023. 

He attributed this growth to strong investor confidence in Qatar’s economic resilience and long-term strategic direction. 

“This growth is attributed to targeted investment policies, a supportive business environment, and the state’s commitment to economic diversification in line with Qatar National Vision 2030," the QNA report stated. 

Most of the investments were concentrated in key sectors, particularly wholesale and retail trade, which accounted for 77 undertakings, and administrative and support services, which had 41. 

Greenfield projects, involving new ventures rather than expansions, comprised 74 percent of the total, highlighting Qatar’s appeal as a destination for sustainable, long-term investments. 

Al-Thani stated that these developments were driven by recent reforms, including simplified licensing procedures and enhanced digital services, aligned with the economic diversification objectives of the Third National Development Strategy. 

He also pointed to the Ministry of Commerce and Industry’s Strategy for 2024–2030, which aims to boost the investment environment further by achieving 3.4 percent annual growth in non-oil sectors. 

The establishment of the National Statistics Centre was also highlighted as a milestone in enhancing data-driven policymaking and transparency, key enablers of a healthy investment climate, the official noted. 

Qatar’s global competitiveness continues to strengthen, Al-Thani said, citing its rise to 11th place in the International Institute for Management Development World Competitiveness Index for 2024. 

In terms of logistics and infrastructure, the country ranked 14th for logistics competence and 19th for infrastructure in the World Bank’s Logistics Performance Index. 

According to the agency, the new investment projects generated 9,348 jobs in 2024, a 122.7 percent increase from 4,197 jobs in 2023. 

These roles were largely in the same sectors that attracted the most FDI, including retail and wholesale trade, support services, accommodation and food services, and scientific research and development.

“Our strategy is firmly centered on attracting high-quality, knowledge-based investments that align with Qatar’s long-term economic diversification goals. We focus on sectors where Qatar offers a strong competitive advantage, and where innovation, technology and sustainability can generate real value for both investors and the local economy,” he was quoted as saying by QNA.

He added: “A core component of this strategy has been the development of strategic partnerships with leading global organisations. These collaborations go beyond job creation — they are focused on transferring knowledge, introducing cutting-edge technologies and embedding international best practices across key industries.” 

He said this investment approach supports key national objectives, including achieving an average annual economic growth rate of 4 percent, increasing labor productivity, and attracting $100 billion in FDI by 2030. 

Qatar’s achievements have also been recognized globally. The country ranked first worldwide for tax policy and basic infrastructure in the IMD World Competitiveness Ranking 2024, second for general infrastructure in the Global Innovation Index, and fourth for information and communications technology development in the ITU ICT Development Index. 

Its commitment to entrepreneurship and innovation was underlined in the 2024–2025 Global Entrepreneurship Monitor, where it ranked first globally in entrepreneurial intentions and employee activity, and ninth for start-up opportunities. 


Saudi Arabia’s Hail region signs $2.27bn in investment deals 

Updated 18 May 2025
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Saudi Arabia’s Hail region signs $2.27bn in investment deals 

  • 125 investment opportunities, including 14 strategic projects worth more than SR34.2 billion, were presented at the forum
  • More than 100 investment opportunities worth SR50 billion were showcased and listed on the “Invest Saudi” platform

JEDDAH: Saudi Arabia’s Hail region signed investment agreements worth SR8.5 billion ($2.27 billion) during its flagship investment forum, as the Kingdom intensifies efforts to unlock regional growth and attract private sector capital. 

The deals, signed across key sectors including agriculture, mining, tourism, and logistics, are part of a broader package of more than SR50 billion in identified investment opportunities unveiled at the Hail Investment Forum, the Saudi Press Agency reported. 

Saudi Arabia has been focusing on the untapped potential of smaller towns and regional municipalities, attracting investors and entrepreneurs. This shift from traditional urban centers marks a new era of diversification as the country pursues a more resilient and inclusive economy, reflecting the evolving priorities of Saudi Vision 2030. 

“The emir of Hail region witnessed the launch of a package of agreements, initiatives and projects amounting to SR8.5 billion, in qualitative partnerships between government agencies and investment entities to enhance the region’s growth and stimulate its economic environment,” the SPA report stated. 

Inaugurating the forum, Prince Abdulaziz bin Saad bin Abdulaziz, governor of Hail region, spoke about the unwavering support the region receives from the wise leadership.  

In his speech, Prince Abdulaziz emphasized that the Hail region holds competitive and strategic advantages that make it an attractive environment for investment across various sectors, marking the beginning of a new phase of investment and sustainable development throughout the region and its governorates. 

The forum, held under the theme “Be Part of the Promising Future,” was organized by the Hail Chamber in partnership with the regional governorate. It attracted senior officials, including Minister of Investment Khalid Al-Falih and Deputy Minister of Environment, Water and Agriculture Mansour Al-Mushaiti. 

A total of 125 investment opportunities, including 14 strategic projects worth more than SR34.2 billion, were presented in support of the local business sector. 

Hani Al-Khalifa, chairman of the Hail Chamber, said the forum promotes the region’s economic competitiveness and investment landscape. 

Hassan Al-Huwaizi, chairman of the Federation of Saudi Chambers, called the event a vital platform for presenting high-quality investment opportunities, adding that Hail’s appeal has grown due to government facilitation. 

In his remarks, Al-Mushaiti described Hail as a unique destination for agricultural investment due to its rich natural resources. He noted the Agricultural Development Fund has disbursed over SR7 billion in the region, helping raise Hail’s share of the Kingdom’s agricultural gross domestic product to more than 10 percent. 

The region also launched the Middle East’s first and largest trout salmon production project, expected to cut imports by 50 percent and generate SR5 billion in sales over the next decade, he said. 

A new red meat investment is set to boost self-sufficiency, which reached 61 percent by end-2024. Hail is also home to one of the largest poultry production projects, now valued at more than SR11 billion following a recent SR4.5 billion expansion.

Al-Mushaiti highlighted the SR800 million in support provided by the Saudi Reef program in Hail, helping smallholder farmers through local agricultural projects worth over SR40 million. He added that 14 water and environmental projects worth SR1.2 billion, along with seven vegetation projects worth SR116 million, are underway under the Saudi Green Initiative. 

Al-Falih, speaking at the event, reiterated government support for investors and pointed to Hail’s strategic advantages such as its location that connects five other regions, fertile land, diverse terrain, and developing infrastructure. 

He added that foreign direct investment in the region has reached SR1.44 billion, with 177 investment licenses issued to international companies across sectors such as construction, manufacturing, tourism, food, and retail. 

More than 100 investment opportunities worth SR50 billion were showcased and listed on the “Invest Saudi” platform, spanning agriculture, tourism, manufacturing, sports and more. 

A memorandum of understanding was signed between the Ministry of Investment and the Hail Region Development Authority to facilitate strategic investments and promote sustainable growth in the region. 

The forum also featured nine panel sessions covering 42 investment themes, focusing on tourism, quality of life, agriculture, logistics, energy, and education. 


Omani banking sector credit surges 7.4% in February

Updated 18 May 2025
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Omani banking sector credit surges 7.4% in February

  • Credit extended to the private sector rose by 6.1% annually to 27.3 billion rials
  • Total deposits in the Omani banking sector registered a 6.4% year-on-year growth to reach 32 billion rials

RIYADH: The total credit extended by Oman’s banking sector surged by 7.4 percent year on year to reach 32.9 billion Omani rials ($85.46 billion) by the end of February, new figures showed. 

Released by the Central Bank of Oman, the data indicated that credit extended to the private sector rose by 6.1 percent annually to 27.3 billion rials during the same period. 

This aligns with Oman’s projected economic growth of 3.4 percent in 2025, outpacing many global peers, according to Minister of Commerce, Industry and Investment Promotion Qais bin Mohammed Al-Yousef, who spoke at the International Investment Forum in Muscat in April. 

The February report said: “Non-financial corporations received the highest share of the total private sector credit at approximately 46.3 percent at end-February 2025, followed by the household sector at 44.3 percent.” 

Oman achieved a 6.2 percent budget surplus and a 2.4 percent current account gain in 2024, driven by prudent fiscal policies, high oil prices, and nonhydrocarbon export growth. Shutterstock

It added: “The share of financial corporations was 5.5 percent while other sectors received the remaining 3.8 percent of total private sector credit as at the end of February 2025.” 

The analysis further revealed that total deposits in the Omani banking sector registered a 6.4 percent year-on-year growth to reach 32 billion rials at the end of February. It added that total private sector deposits increased 8.2 percent to 21 billion rials. 

“In terms of sector-wise composition of private sector deposits, the biggest contribution is from household deposits at 50.3 percent, followed by non-financial corporations at 30.4 percent, financial corporations at 16.9 percent and other sectors at 2.4 percent,” the report concluded in that regard.

In January, the 2024 Article IV consultation issued by the International Monetary Fund disclosed that Oman achieved a 6.2 percent budget surplus and a 2.4 percent current account gain in 2024, driven by prudent fiscal policies, high oil prices, and nonhydrocarbon export growth. At the time, the IMF attributed these figures to effective economic management. 

Despite higher social spending under a new protection law, the nonhydrocarbon primary deficit as a share of nonhydrocarbon gross domestic product remained stable, highlighting the government’s commitment to financial discipline, the IMF release explained at the time. 

Government debt as a percentage of gross domestic product also declined further, reaching 35 percent in 2024, marking continued improvement in Oman’s economic fundamentals. 

The findings reflect the broader resilience across the Gulf Cooperation Council region, as highlighted in a December IMF report, which noted that GCC economies have successfully navigated recent shocks, thanks to robust non-hydrocarbon growth and continued reform efforts.


Saudi Arabia’s US Treasury holdings rise to $131.6bn in March

Updated 18 May 2025
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Saudi Arabia’s US Treasury holdings rise to $131.6bn in March

  • Kingdom maintained 17th place among the largest holders of such financial instruments in March
  • Saudi Arabia and UAE are the only GCC countries among the top 20 holders of US Treasury securities

RIYADH: Saudi Arabia’s holdings of US Treasury securities stood at $131.6 billion in March, reflecting an increase of $5.2 billion from February, according to the latest data.

The analysis, released by the US Treasury, represents a month-on-month increase of 4.11 percent following a marginal decrease of 0.39 percent from January to February.

The change reflects market fluctuations or potential portfolio rebalancing as the Kingdom navigates global economic conditions. Saudi Arabia’s accumulation of US Treasuries is part of its broader strategy to manage foreign reserves and diversify low-risk assets.

The data revealed that the Kingdom maintained 17th place among the largest holders of such financial instruments in March.

The study also shows that Saudi Arabia and the UAE are the only Gulf Cooperation Council countries among the top 20 holders of US Treasury securities.

In March, the Kingdom’s holdings of US Treasuries included long-term bonds worth $103.8 billion, representing 78.8 percent of the total, and short-term bonds amounting to $23.2 billion, accounting for 17.6 percent.

In its latest release, the US Department of the Treasury stated: “The sum total in March of all net foreign acquisitions of long-term securities, short-term US securities, and banking flows was a net TIC (Treasury International Capital) inflow of $254.3 billion.”

Of this, net foreign private inflows accounted for $259.2 billion, and net foreign official outflows reached $4.9 billion.

According to a press release, foreign residents increased their holdings of long-term US securities to $183.2 billion in March, with private investors purchasing $146.0 billion while foreign official institutions recorded net sales of $37.3 billion. US residents also raised their holdings of long-term foreign securities with net purchases of $21.5 billion.

Meanwhile, foreign residents also boosted their US Treasury bill holdings in March. “Foreign resident holdings of all dollar-denominated short-term US securities and other custody liabilities increased by $98.6 billion,” the release added.

Conversely, banks’ net dollar-denominated liabilities to foreign residents dropped by $6.1 billion.

The report said Japan was the largest investor in US treasury bonds in March, with holdings totaling $1.13 trillion, followed by the UK and China, with portfolios valued at $779.3 billion and $765.4 billion, respectively.

The Cayman Islands and Canada were ranked fourth and fifth on the list, with treasury holdings amounting to $455.3 billion and $426.2 billion, respectively.