RIYADH: The Egyptian Cotton & Textile Industries Holding Co. has signed contracts with Orascom Construction to build seven new factories at an estimated construction cost of 2.6 billion Egyptian pounds ($165.9 million), Asharq Business reported.
Under the contracts, three new factories will be established in the Misr Spinning and Weaving Company in El-Mahalla El-Kubra City, on an area of about 102,000 square meters. They include a textile factory, another for textile preparations and recycling, and a third for dyeing, to produce cotton and terry fabrics.
The other four factories will be established in the Damietta for Spinning & Weaving Company to produce jeans fabrics.
Cotton, spinning and weaving companies developments are being implemented in parallel with developments in the existing factories, said Hisham Tawfik, minister of the Egyptian public enterprise sector, the business news site reported.
Egypt establishes 7 new spinning and weaving factories
https://arab.news/y5ht8
Egypt establishes 7 new spinning and weaving factories
- Under the contracts, three new factories will be established in the Misr Spinning and Weaving Company
Saudi Arabia’s date exports rise 15.9% in 2024, reaching $451m
RIYADH: Saudi Arabia’s date exports saw a 15.9 percent year-on-year increase in 2024, reaching SR1.695 billion ($451.7 million), according to newly released data from the National Center for Palms and Dates.
In the same year, the Kingdom produced more than 1.9 million tonnes of dates, underscoring its significant role in the global date industry, the Saudi Press Agency reported.
Home to over 33 million palm trees—representing approximately 27 percent of the world’s total—Saudi Arabia maintains around 123,000 palm agricultural holdings across the country, further solidifying its position as a global leader in date production.
Looking ahead, the global date market is expected to grow from $120 million in 2023 to $220 million by 2032, with a projected compound annual growth rate of 5.22 percent, according to Market Research Future.
The SPA statement said: “Saudi dates have achieved notable expansion across global markets, reaching consumers in 133 countries. The export value represents a 15.9 percent increase compared to 2023.”
It added: “The growth is attributed to sustained efforts aimed at enhancing the quality of Saudi dates and broadening their global marketing presence, highlighting the increasing importance of the palm and date sector in bolstering the national economy and diversifying revenue streams.”
The Kingdom’s date industry has undergone a remarkable transformation since the launch of Vision 2030 in 2016 — a strategic initiative aimed at diversifying Saudi Arabia’s non-oil economy.
According to recent data, the value of Saudi date exports has surged by 192.5 percent over the past eight years, reflecting an impressive compound annual growth rate of 12.7 percent.
This upward trajectory underscores Saudi Arabia’s continued progress in establishing itself as a key player in the global date market, while also highlighting the sector’s growing role in contributing to global food security.
The sector’s success can be attributed to the unwavering support of the Kingdom’s leadership, recognizing the palm and date industry as a cornerstone of Saudi heritage and cultural identity.
This support is complemented by the collaborative efforts of producers, exporters, and government agencies working to streamline export processes and expand international market reach through strategic partnerships with the private sector.
The cultural and economic importance of dates is symbolized by the inclusion of a date palm flanked by crossed swords in the Saudi national emblem. As a symbol of Arab hospitality and a staple in the daily lives of Saudis, the fruit holds deep-rooted significance in the Kingdom.
In recent years, a range of local and international initiatives have helped elevate the market value of Saudi dates. Notably, the establishment of the National Center for Palms and Dates and the International Dates Council—which brings together 11 date-producing countries—reflects the Kingdom’s leadership in shaping the future of the global date industry.
Saudi Arabia, Indonesia sign key agreements to boost trade and mining cooperation
RIYADH: Saudi Arabia and Indonesia have signed a series of memoranda of understanding aimed at enhancing bilateral trade and expanding cooperation in the mining sector.
As part of an official visit to Jakarta, Saudi Arabia’s Minister of Industry and Mineral Resources, Bandar Alkhorayef, signed an MoU with Indonesia’s Minister of Energy and Mineral Resources, Bahlil Lahadalia, to promote strategic collaboration and the exchange of expertise in mining and mineral resources.
According to a joint press statement, the agreement will foster cooperation in areas including mineral exploration, geological surveying, sustainable mining practices, mineral production and processing, and the development of modern technologies for the mining and metallurgical industries.
The deal was signed during Alkhorayef’s official trip to Indonesia, which also saw discussions on deepening industrial ties and enhancing knowledge transfer between the two nations.
In a parallel move, the Saudi Export-Import Bank signed an MoU with Indonesia Eximbank to establish a framework for strengthening trade relations and promoting joint investment initiatives, the Saudi Press Agency reported.
“This MoU marks a significant step toward improving export and import efficiency and facilitating bilateral trade. It also reflects our commitment to enhancing partnerships and commercial exchange between the two countries,” said Saad Al-Khalb, CEO of Saudi EXIM, as quoted by SPA.
He added: “The agreement will serve as a catalyst for trade development and joint investment projects across various sectors. We are committed to encouraging Saudi exporters to seize promising investment opportunities, and are fully dedicated to enabling the export of Saudi non-oil products to the Indonesian market.”
The agreement includes provisions for exchanging best practices related to export credit policies and developing new export products, while also encouraging collaboration between Saudi and Indonesian companies.
Sukatmo Padmosukarso, acting executive director of Indonesia Eximbank, described the agreement as “more than a ceremonial step,” adding: “It marks the beginning of real, actionable cooperation. We hope to soon realize joint projects in renewable energy, co-financing, and export ventures, supported by dedicated teams from both sides.”
During the visit, Saudi EXIM officials also held meetings with Indonesian financial institutions, export credit agencies, and trade organizations to explore opportunities for expanding trade, strengthening economic ties, and supporting local exporters in scaling their international operations.
Trade between Saudi Arabia and Indonesia remains robust. In January alone, Saudi Arabia exported non-oil goods to Indonesia worth SR202.7 million ($54 million), underlining the growing importance of economic collaboration between the two countries.
Mortgage securitization can offer Saudi banks funding boost: Fitch
RIYADH: Saudi banks could unlock additional funding and expand the Kingdom’s debt market by converting home loans into investment products, according to a recent report by Fitch Ratings.
The rising securitization of residential mortgage loans would represent a major shift in financing strategies, with Saudi banks’ combined mortgage portfolio now totaling around SR0.7 trillion ($186.7 billion) — approximately 23 percent of gross loans.
Securitization involves pooling loans — such as mortgages or unpaid debts — and converting them into tradable securities that investors can purchase. This process enables banks to raise capital, reduce risk exposure, and support the development of deeper capital markets.
“Saudi Arabian banks’ liquidity profiles and capital ratios may benefit if potential bad debt securitisations go ahead, but probably not enough to trigger Viability Rating upgrades,” Fitch Ratings said.
“Securitisations, which some banks are reportedly considering, could also help to develop the Kingdom’s debt capital markets,” it added.
Some financial institutions have already begun to take steps in this direction, including the issuance of mortgage-backed securities by the Saudi Real Estate Refinance Co. However, Fitch noted that “the use of mortgage securitizations is still low,” with SRC’s loan book amounting to only SR29 billion.
The report noted that impaired loans in the banking sector have declined, reaching SR41 billion, or 1.4 percent of gross loans, by the end of 2024 — down from SR49 billion in 2022 — driven by write-offs and a healthier operating environment. Newly impaired loans also fell to SR10 billion in 2024, from SR16 billion in 2022.
Should banks proceed with securitizing impaired loans, the agency added that the resulting bonds would likely be issued at the loans’ net balance sheet value, which stood at SR17 billion at the end of 2024.
However, Fitch cautioned that “the uplift to core capital ratios from impaired loans securitizations would be limited,” as these loans represent just 0.5 percent of risk-weighted assets.
While securitization is unlikely to significantly narrow the Kingdom’s SR0.3 trillion deposit gap or alter Fitch’s 12–14 percent credit growth forecast for 2025, it could offer banks an alternative source of funding.
This is especially relevant as lending continues to outpace deposit growth, and Saudi banks play a pivotal role in financing the Kingdom’s giga-projects.
Ultimately, the shift toward greater securitization — whether of impaired loans or mortgages — could prove instrumental in diversifying bank funding and strengthening Saudi Arabia’s capital markets.
The push also aligns with the Kingdom’s Vision 2030 goals to transform the financial sector into a key engine of economic growth. Developing deep, liquid capital markets through instruments like mortgage-backed securities supports the broader strategy to diversify funding sources beyond traditional banking and position Riyadh as a regional financial hub.
China says it will ignore US ‘tariff numbers game’
BEIJING: China will pay no attention if the US continues to play the “tariff numbers game,” China’s foreign ministry said on Thursday, after the White House outline how China faces tariffs of up to 245 percent due to its retaliatory actions.
In a fact sheet released on Tuesday, the White House said China’s total duties include the latest reciprocal tariff of 125 percent, a 20 percent tariff to address the fentanyl crisis, and tariffs of between 7.5 percent and 100 percent on specific goods to address unfair trade practices.
US President Donald Trump announced additional tariffs on all countries two weeks ago, before suddenly rolling back higher “reciprocal tariffs” for dozens of countries while keeping punishing duties on China.
Beijing raised its own levies on US goods in response and has not sought talks, which it says can only be conducted on the basis of mutual respect and equality. Meanwhile, many other nations have begun looking at bilateral deals with Washington.
Last week, China also filed a new complaint with the World Trade Organization expressing “grave concern” over US tariffs, accusing Washington of violating the global trade body's rules.
China this week unexpectedly appointed a new trade negotiator who would be key in any talks to resolve the escalating tariff war, replacing trade tsar Wang Shouwen with Li Chenggang, its envoy to the WTO.
Washington said Trump was open to making a trade deal with China but Beijing should make the first move, insisting that China needed “our money.”
Trump hails ‘big progress’ in Japan tariff talks
WASHINGTON: President Donald Trump touted “big progress” in tariff talks with Japan on Wednesday, in one of the first rounds of face-to-face negotiations since his barrage of duties on global imports roiled markets and stoked recession fears.
Japan had not expected the president to get involved in Wednesday’s talks, viewing them as a preliminary, fact-finding mission, a sign that Trump wants to keep tight control over negotiations with dozens of countries expected over coming days and weeks.
Tokyo had also been hoping to limit the scope of the talks to trade and investment matters. But announcing his involvement early Wednesday, Trump said thorny issues including the amount Japan pays towards hosting US troops were among discussion topics.
“A Great Honor to have just met with the Japanese Delegation on Trade. Big Progress!” Trump said in a social media message that contained no details of the discussions.
Opposite Trump was Ryosei Akazawa, a close confidant of Japanese Prime Minister Shigeru Ishiba who serves in the relatively junior cabinet position of economic revitalisation minister.
Speaking to reporters after the talks, Akazawa gave few details but said the parties had agreed to hold a second meeting later this month and that Trump had said getting a deal with Japan was a “top priority.”
Exchange rates, which the Trump administration has said Japan and others manipulate to get a trade advantage, were not part of the talks, Akazawa added.
The dollar strengthened against the yen after his remarks on forex, up around 0.5 percent on the day. Tokyo denies it manipulates its yen currency lower to get make its exports cheaper.
Akazawa held a 50-minute meeting with Trump at the White House before another session with his Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer that stretched to almost an hour and a half, according to Japanese readouts of the talks.
Japan’s prime minister, who has previously said he won’t rush to reach a deal and does not plan to make big concessions, sounded a more cautious tone speaking to reporters later in Tokyo.
“Of course, the negotiations will not be easy going forward, but President Trump has stated that he wants to give top priority to the talks with Japan,” Ishiba said.
Italian Prime Minister Giorgia Meloni heads to the White House on Thursday to discuss tariffs imposed on the EU with Trump, while Bessent has invited South Korea’s finance minister to Washington for talks next week.
FIRST MOVER ADVANTAGE
Trump has long complained about the US trade deficit with Japan and other countries, saying US businesses have been “ripped off” by trade practices and intentional efforts by other countries to maintain weak currencies.
Japan has been hit with 24 percent levies on its exports to the US although these rates have, like most of Trump’s tariffs, been paused for 90 days. But a 10 percent universal rate remains in place as does a 25 percent duty for cars, a mainstay of Japan’s export-reliant economy.
Bessent has said there is a “first mover advantage” given Washington has said more than 75 countries have requested talks since Trump announced sweeping duties on dozens of countries — both friend and foe — earlier this month.
Akazawa declined to comment on the matter, adding only that he strongly requested a revocation of the tariffs and that he believed Washington wanted to secure a deal in the 90-day window.
Washington is hoping to strike deals with countries that would cover tariffs, non-tariff barriers and exchange rates, Bessent has said, though Tokyo had lobbied to keep the latter separate.
Trump earlier this month lambasted Japan for what he said was a 700 percent tariff on rice, a figure Tokyo disputes. Levies on autos are particularly painful for Japan as they make up nearly a third of shipments to the US, its biggest export market.
Japan hopes that pledges to expand investment in the US will help to convince the US that the allies can achieve a “win-win” situation without tariffs.
Possible Japanese investment in a multi-billion-dollar gas project in Alaska could also feature in tariff negotiations, Bessent said before Wednesday’s talks.
“It sounds like the Trump administration really does want a quick deal, which suggests it will be a less substantive deal,” said Tobias Harris of Japan Foresight, a political risk advisory.
“My baseline is that if the US really starts making demands on agriculture and maybe also on some of the auto regulations, it becomes a lot more contentious and hard to do quickly.”
