EILAT: Israeli environmentalists are warning that a UAE-Israeli oil pipeline deal threatens unique Red Sea coral reefs and could lead to “the next ecological disaster.”
The agreement to bring Emirati crude oil by tanker to a pipeline in the Red Sea port of Eilat was signed after Israel normalized ties with the Gulf Arab nation late last year and should come into force within months.
With experts warning of possible leaks and spills at the aging Eilat port, and the Israeli environmental protection ministry demanding “urgent” talks on the deal, activists mobilized last week.
They held a protest in a parking lot overlooking Eilat’s oil jetty against what they see as a disaster waiting to happen, chanting that profits will be made “at the expense of corals.”
“The coral reefs are 200 meters (yards) from where the oil will be unloaded,” said Shmulik Taggar, an Eilat resident and founding member of the Society for Conservation of the Red Sea Environment.
“They say the tankers are modern and there won’t be any problem,” he said, warning however that “there’s no way there won’t be a malfunction.”
He predicted that with the projected arrival of two to three tankers a week, traffic will be “back-to-back.”
This, he said, would also impact the aesthetic of a city promoting ecological tourism.
“You can’t sell green tourism when you have oil tankers by the dock,” he said.
The Jewish state and the UAE established ties last year as part of the US-brokered “Abraham Accords.”
One of the deals that followed was a Memorandum of Understanding between Israel’s state-owned Europe-Asia Pipeline Company (EAPC) and a new entity called MED-RED Land Bridge Ltd. — a joint venture between Abu Dhabi’s National Holding company and several Israeli firms.
In October, EAPC announced a “binding MoU” with MED-RED to bring crude from UAE to Eilat and then transport it by pipeline to Israel’s Mediterranean city of Ashkelon for onward export to Europe.
Taggar argued that deals benefitting the fossil fuel industry at the expense of the environment are “not in the spirit of our times.”
“It might have been appropriate in the 1960s and 1970s, before we were a developed state,” he said.
Activists argue the deal evaded tough regulatory scrutiny because of EAPC’s status as a state-owned firm working in the sensitive energy sector.
While coral populations around the world are under threat from bleaching caused by climate change, the reefs in Eilat have remained stable due to their unique heat resistance.
Eilat’s coral beach reserve extends some 1.2 kilometers (almost a mile) off the city’s coast, protecting reefs that are home to a rich variety of marine life.
But their proximity to the EAPC port puts them at grave risk, Nadav Shashar, professor of marine biology at Beersheba’s Ben Gurion University, told AFP.
The infrastructure is not set up to prevent accidents and only designed “to treat pollution once it’s already in the water,” said Shashar, who is also head of marine biology and biotechnology at Eilat’s Interuniversity Institute for Marine Science.
Shashar, one of 230 experts who petitioned Prime Minister Benjamin Netanyahu against the deal, argued that with the increase of shipments, “the result will be a constant leak of oil pollution.”
After the agreement was struck in October, EAPC said it could increase oil flow through Eilat by “tens of millions of tons per year.”
Contacted by AFP, the company declined to discuss the deal’s specifics but stressed that its equipment was “state of the art” and up to international standards.
The environmental protection ministry said it had fulfilled its oversight role but also called for an “urgent discussion of all relevant governmental bodies” to review the deal.
The talks, a statement said, “would examine all angles — including the environmental ones — of increasing the volume of crude oil being transported.”
Shashar said the goal was not to close down EAPC but to “limit the extent of its use to something that can be handled.”
Some activists have voiced more militant views, including Michael Raphael of the international Extinction Rebellion movement.
Raphael, who came to the recent rally armed with a bullhorn, said he was aiming to set up an Extinction Rebellion chapter in Eilat to resist the UAE deal.
“If the problem isn’t solved, we’ll have to get in the way of things,” he said. “We don’t just demonstrate ... we disrupt the work of those who pollute.”
Red Sea coral reefs ‘under threat’ from Israel-UAE oil deal
https://arab.news/vwm6v
Red Sea coral reefs ‘under threat’ from Israel-UAE oil deal
- Activists held a protest in a parking lot overlooking Eilat’s oil jetty against what they see as a disaster waiting to happen
- Eilat’s coral beach reserve extends some 1.2 kilometers (almost a mile) off the city’s coast, protecting reefs home to rich marine life
Saudi Arabia’s Matarat, Thales sign deal to transform air travel experience
RIYADH: Matarat Holding, the state-owned company responsible for managing Saudi Arabia’s airports, has signed a strategic agreement with French aerospace and defense giant Thales to advance the Kingdom’s aviation sector through cutting-edge digital technologies.
The agreement, formalized during the Passenger Terminal Expo 2025 in Madrid, Spain, focuses on enhancing innovation, operational efficiency, and the overall passenger experience across the Kingdom’s 27 airports.
According to a statement by Matarat, the partnership will leverage Thales’ expertise in artificial intelligence, biometrics, automation, and data-driven systems to develop safer, smarter, and more efficient travel journeys.
As part of the collaboration, advanced digital platforms and next-generation infrastructure will be deployed throughout Saudi Arabia’s airport network.
“This collaboration with Matarat Holding represents a revolutionary step in reimagining the future of the Saudi aviation sector,” said Bernard Roux, CEO of Thales in Saudi Arabia and Central Asia.
“By combining Thales’ digital transformation capabilities with Matarat’s operational excellence, we aim to build a smart and secure aviation ecosystem.”
Roux emphasized that the integration of AI, cybersecurity solutions, and connected systems will not only improve passenger experience and boost efficiency, but also enhance national security— contributing directly to the Kingdom’s Vision 2030 goal of becoming a global aviation leader.
In addition to technology deployment, the agreement includes knowledge-sharing initiatives, operational streamlining, and joint innovation efforts aimed at future-proofing the Kingdom’s aviation infrastructure.
Cairo plans economic independence as IMF program nears end
RIYADH: Egypt is preparing to transition away from its current economic reform program with the International Monetary Fund, which is scheduled to conclude by late 2026 or early 2027, according to the country’s prime minister.
Speaking during his weekly press conference, Mostafa Madbouly stated that the government is developing a long-term national economic strategy that will extend to 2030 and focus on sustaining growth without relying on international institutions, according to an official release.
The comments come as Egypt attempts to stabilize an economy that has struggled with record inflation, a depreciating currency, and mounting debt. Over the past few years, authorities have pushed through reforms to unlock external funding, including a major IMF deal, Gulf-backed investments, and a record sale of state assets.
In a release on its official social media handle, the Egyptian Cabinet quoted the prime minister as saying: “We are aiming to develop a national program for the Egyptian state without relying on other international institutions. This will be linked to submitting, for the first time next year, a three-year budget.”
In response to a question about the government’s vision beyond the current IMF program and its efforts to preserve the gains reflected in recent positive economic indicators, the release added: “Madbouly confirmed that the government is drafting a detailed plan extending to 2030. This reflects a broader outlook beyond the IMF program, which ends by late 2026 or early 2027.”
Egypt’s current $8 billion program with the IMF began as a $3 billion agreement in late 2022 and was expanded by $5 billion in March 2024.
The deal includes major reforms such as currency devaluation, sharp interest rate hikes, tighter fiscal policy, and privatization of state-owned assets.
So far, Egypt has received about $3.3 billion, with a fifth program review conducted in early May 2025.
The IMF continues to stress the importance of accelerating structural reforms and managing debt levels.
In the release, Madbouly emphasized that the government is prioritizing macroeconomic stability and social development.
He pointed to the growing importance of social support programs, saying they would continue to expand annually.
He also underlined the importance of technological advancement, industrial development, and greater reliance on digital transformation and artificial intelligence in the country’s future economic model.
Regarding Egypt’s ongoing IMF program, Madbouly clarified that the reform agenda was created and implemented by the Egyptian government itself, with the IMF acting in a supportive role.
He said the presence of the IMF and similar institutions in Egypt serves as a confidence signal to foreign investors and the global financial community, and that the IMF’s involvement does not entail new conditions or burdens on citizens.
Madbouly also addressed developments in the Future of Egypt agricultural project, which he said is designed to rely on modern, mechanized farming and industrial methods.
Unlike traditional high-density agricultural zones in the Nile Delta, the new areas will be less labor-intensive and structured to attract large-scale private sector participation.
He said the aim is to preserve agricultural productivity by avoiding the fragmentation of land that has affected other regions.
On technical education reform, Madbouly announced that the government is reviewing plans to convert outdated commercial diploma schools into modern technological schools that align with labor market needs.
This reform will also involve private sector partnerships and follow successful models such as the WE School for ICT Education.
He noted that graduates from current vocational tracks will be eligible to join digital transformation initiatives like the state-supported Digital Pioneers Program.
In the health sector, the prime minister confirmed that the second phase of Egypt’s universal health insurance scheme will expand to five additional governorates.
He added that one densely populated governorate might also be included in this phase, bringing the total number of covered regions to 12.
Madbouly said the system’s financial viability has been reassessed and extended to ensure it can remain sustainable for up to 50 years.
He also spoke about the government’s plan to support the local production of infant formula, describing it as a capital-intensive industry that requires significant investment.
The state is encouraging private sector participation in this strategic initiative and is ready to act as a partner to ensure long-term success and stability in production.
Savings deposits hit highest share in 16 years as Saudi money supply climbs to $815bn
RIYADH: Saudi banks’ money supply rose 8.22 percent year on year to SR3.06 trillion ($815 billion) in March, driven by a sharp surge in time and savings deposits, recent data showed.
According to figures by the Saudi Central Bank, also known as SAMA, this category increased by 27.55 percent during the period to reach SR1.07 trillion, the greatest growth rate in over 14 months. It now accounts for 35.2 percent of the total money supply, marking its highest share in 16 years.
The notable shift reflects changing behavior among depositors, increasingly favoring interest-bearing accounts amid ongoing global monetary tightening.
While the US Federal Reserve kept rates steady in recent months following 100 basis points of cuts last year, the risk of renewed inflation, partly due to rising import tariffs, may have delayed further easing.
Given that SAMA typically mirrors Fed rate decisions to maintain the riyal’s dollar peg, this has reinforced the appeal of yield-generating instruments like term deposits among Saudi savers.
Term deposits, which offer higher returns than conventional bank accounts in exchange for holding funds over a fixed period, have become more attractive to Saudi savers seeking to lock in interest income amid volatile economic signals.
Despite this surge, demand deposits, accounts that allow immediate access to funds, still hold the largest share at 47.84 percent, or SR1.46 trillion. However, this marks their lowest proportion in nearly five years.
Growth in this category slowed to 3.9 percent year on year, reflecting a broader migration toward savings products.
Meanwhile, quasi-money deposits, which include foreign currency deposits and marginally liquid instruments, declined by 22.85 percent to SR266.87 billion, representing 8.73 percent of the total.
Currency outside banks rose by 10.57 percent to SR251.53 billion.
Credit to businesses in the Kingdom has witnessed robust growth in recent quarters, underpinned by increased demand from key sectors such as real estate, construction, manufacturing, and broader non-oil economic activities.
According to data from SAMA, corporate lending grew by over 22 percent year on year in March, reflecting the banking sector’s critical role in financing Vision 2030-linked projects and supporting economic diversification.
This strong lending momentum has contributed to a tightening liquidity environment. As loans continue to grow at a faster pace than deposits, reflected in the rising loan-to-money supply ratio, which climbed from 95 percent in March 2024 to 101.51 percent in March 2025, banks have increasingly turned to capital markets to maintain liquidity.
In particular, Saudi banks have ramped up their sukuk issuances and other debt instruments to meet financing demand while preserving balance sheet stability.
For example, several major financial institutions, including Al Rajhi Bank and Saudi National Bank, have recently raised multibillion-riyal sukuk to bolster their funding base.
Saudi Arabia’s expanding reliance on debt markets to fund its ambitious development agenda has been met with continued confidence from major credit rating agencies, reflecting the Kingdom’s robust fiscal position and commitment to economic diversification.
In 2024, the total value of listed sukuk and debt instruments in the Kingdom rose by more than 20 percent year-on-year, reaching SR663.5 billion, up from SR549.8 billion in 2023, according to data from the Capital Market Authority. This marks a significant acceleration in domestic debt issuance, underscoring the sector’s growing dependence on capital markets to maintain liquidity amid sustained loan expansion.
Moody’s Investors Service upgraded Saudi Arabia’s credit rating to “Aa3” from “A1” in November, citing the country’s efforts to diversify beyond its oil economy.
The agency noted that these diversification efforts would mitigate the Kingdom’s vulnerability to oil market fluctuations and the global carbon transition over time.
Similarly, S&P Global Ratings revised Saudi Arabia’s outlook to positive in September, affirming its “A/A-1” ratings.
The agency highlighted the Kingdom’s strong non-oil growth outlook and economic resilience, expecting an acceleration of investments to develop newer industries, such as tourism, and diversify the economy away from its primary reliance on the upstream hydrocarbon sector.
These affirmations by major credit rating agencies underscore the nation’s solid creditworthiness and the effectiveness of its economic reforms under Vision 2030, even as it increases borrowing to finance its transformative projects.
Saudi Arabia, Spain sign MoU to boost SME sectors and deepen economic ties
- Deal to back SMEs through partnerships and initiatives
- Saudi-Spanish Joint Commission meeting focused on focused on strengthening economic, social, and cultural ties
RIYADH: Saudi Arabia and Spain are set to strengthen cooperation between small- and medium-sized enterprises thanks to a wide-ranging agreement across key sectors.
The memorandum of understanding, signed by Saudi Minister of Economy and Planning Faisal Alibrahim and Spanish Minister of Economy, Trade and Business Carlos Cuerpo in Riyadh, outlines joint efforts in economic modeling and policy-making.
It aims to back SMEs through partnerships and initiatives, as well as facilitating joint projects and bilateral participation in economic events, according to a statement by the Ministry of Economy and Planning.
The agreement comes as the Kingdom’s Vision 2030 plan aims to further elevate the SME sector’s contribution to 35 percent of the gross domestic product by the end of the decade as part of its economic diversification initiative.
The signing of the agreement coincided with the fourth session of the Saudi-Spanish Joint Commission, which convened in Riyadh. The meeting was co-chaired by Al-Ibrahim and Cuerpo, with senior officials from both countries in attendance.
“Officials from both sides joined the session to discuss ongoing and future initiatives aimed at enhancing economic, social, and cultural collaboration between the two countries,” the Ministry of Economy and Planning said on X.
The session focused on strengthening economic, social, and cultural ties, reflecting the deep-rooted partnership and shared ambitions between the Kingdom and Spain.
The MoU also includes the exchange of information and statistics related to industry, technology and innovation to achieve sustainable development goals within the framework of Saudi Vision 2030.
In an interview with Al Arabiya, Cuerpo described the relationship between Saudi Arabia and Spain as a strong and deepening economic partnership, highlighting the Kingdom’s central role as the European country’s primary trade partner in the region and noting the steady growth in bilateral trade in recent years.
“I say over the past three years, it’s grown by 13 percent. Investment has grown, also, heavily over the past few years. But there is still room for us to grow, for us to further collaborate and further diversify our relations, particularly in terms of investment, and particularly also in terms of the presence of Spanish companies here and also of Saudi companies in Spain,” Cuerpo said.
He continued: “Just look at the presence of Spanish companies in the Kingdom, it has grown by 60 percent over the past three years, and in particular in key sectors for the Vision 2030 like energy, infrastructure or others — water, for example.”
In October, Bandar Alkhorayef, minister of industry and mineral resources, discussed ways to develop economic relations with Cuerpo and increase Spain’s investments in Saudi Arabia.
Alkhorayef highlighted the goals of Saudi Vision 2030 to diversify the Kingdom’s economy and, through various incentives, attract foreign investment in the industrial and mining sectors.
Qatar tourism sector accounts for 8% of GDP, official says
- Qatar anks among the highest spenders on healthcare, allocating up to 12% of its annual budget
- Gulf nation welcomed over 1.5 million international visitors in the first quarter of 2025
RIYADH: Qatar’s tourism industry contributed 55 billion Qatari riyals ($15.1 billion) to the country’s gross domestic product in 2024, accounting for 8 percent of total economic output, according to a senior official.
The figure marks a 14 percent increase compared with 2023, Chairman of Qatar Tourism Saad bin Ali Al-Kharji said during a high-level business forum in Doha, the country’s news agency reported.
The uptick aligns with the Gulf nation’s broader Tourism Strategy 2030, which aims to boost the sector’s contribution to 12 percent of GDP and attract 6 million visitors by the end of the decade.
The report stated: “His Excellency highlighted some of 2024’s achievements, which saw international visitor arrivals reached 5 million, a 25 percent year-on-year increase, with in-destination spend totaling nearly QAR 40 billion.”
It added: “The hospitality sector also achieved a key milestone, recording 10 million room nights sold during the year.”
Speaking during a panel discussion titled “Tourism in Focus” at the 5th edition of the Qatar Economic Forum, Al-Kharji emphasized the global shift in travel demand toward lifestyle-oriented and purpose-driven experiences, such as wellness retreats, cultural immersion, and luxurious nature-based getaways.
He further noted that travelers are increasingly prioritizing experiences like personalized accommodations, culinary adventures, and curated cultural activities over traditional material purchases.
“Qatar’s strategy aligns with these trends, focusing on six high-potential demand spaces and delivering 54 strategic projects across product development, regulation, and visitor experience enhancement,” the QNA report stated.
The chairman highlighted that his organization is working closely with the Ministry of Public Health to develop a dedicated health tourism strategy, with several plans already approved.
The Gulf nation ranks among the highest spenders on healthcare, allocating up to 12 percent of its annual budget to the sector, and Al-Kharji added that further investments will boost tourism related to the industry.
Qatar is also gearing up to host several major international sporting events in the coming years, including the FIFA U-17 World Cup annually from 2025 to 2029, the FIBA Basketball World Cup in 2027, and the 2030 Asian Games.
The chairman underscored Qatar’s commitment to combining luxury with sustainability across all projects, citing examples such as the Ras Abu Aboud Resort and the Qatar National Convention Centre. The center was the first venue in the region to be certified for both luxury and sustainability, alongside Msheireb Downtown Doha, which was developed to embody both eco-consciousness and upscale living.
According to figures released in May, Qatar welcomed over 1.5 million international visitors in the first quarter of 2025, as the country continues to advance its tourism strategy built on major events, strategic partnerships, and diverse travel experiences.
While slightly below the 1.6 million visitors recorded during the same period in 2024, the latest figures underscore Qatar’s sustained momentum in attracting global travelers.
