Investors see new opportunities in Saudi education projects

Education Minister Ahmad Al-Isa, Commerce and Investment Minister Majid Al-Qassabi and Tatweer CEO Fahad Al-Hammad at the inauguration of the Investment and Finance in Educational Buildings Conference in Riyadh. (AN photo)
Updated 11 January 2017
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Investors see new opportunities in Saudi education projects

RIYADH: Saudi Arabia is stepping up private sector participation in education projects, officials said on Tuesday.
The government has allocated SR200 billion for education in its new budget, said Education Minister Ahmed Al-Isa.
He made these remarks as he opened the Investment and Finance in Educational Buildings Conference in Riyadh.
In addition to Commerce and Investment Minister Majid Al-Qassabi and Deputy Finance Minister Hamad bin Suleiman Al-Bazee, around 35 speakers representing different government agencies, and employees of the banking sector were present at the inauguration.
The Ministry of Education and the Tatweer Building Company are organizing the conference at the ministry’s headquarters with the aim of boosting partnership between the public and private sectors to develop infrastructure services and facilities.
He said the conference aims at seeking the private sector’s cooperation by launching an executive program to construct new facilities and buildings to promote education.
The program, which will be carried out in line with Vision 2030, opens new opportunities for investors.
Tatweer signed nine agreements with various private sector organizations for the construction of new complexes.
In his speech, Al-Qassabi said the government has allocated 22.4 percent of its national budget to education, which is a larger proportion compared to countries such as Germany and South Korea that spend less than 5 percent of their budgets for education.
Tatweer CEO Fahad Al-Hammad outlined the gigantic development made in Saudi Arabia in the field of education.
He recalled that some 5,000 buildings have been constructed during the past 10 years to promote education.
Al-Isa also opened an exhibition, which was attended by more than 20 local companies.
The conference comes to complement efforts made in promoting partnerships with the private sector to provide educational buildings.
Discussions will take place over on opportunities for investment and financing educational buildings, and the attractive environment for investors in the educational field, in accordance with Vision 2030, and the role of education development companies in fostering an investment environment.
The conference aims to increase the amount of rapid financing by the private sector, reduce the operating expenses of the Kingdom, and reduce public debt.
It will also strive to provide a quality experience in the practices and experiences of local, regional and international initiatives of public-private partnerships.
Ahmad Al-Enzi, head of the organizing committee for the conference, said the conference will open new investment channels to provide educational buildings. The aim is to utilize the resources of the Education Ministry by targeting several categories of investors and developers in the education and property sectors in addition to companies and financial institutions. They are expected to provide long-term solutions and programs with appropriate returns, he added.
Al-Enzi said the most important investment opportunities presented by the conference include school construction financing mechanisms through existing rented educational buildings in exchange for advanced sums and then re-leasing these buildings in exchange for annual installments.
The conference will discuss programs for renting and leasing and mechanisms for partnerships with the private sector.


Saudi crown prince signs raft of cooperation agreements with China

Crown Prince Mohammed bin Salman signs an agreement between the Kingdom and China in Beijing on Friday. (SPA)
Updated 23 February 2019
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Saudi crown prince signs raft of cooperation agreements with China

  • the crown prince headed the Saudi delegation at the third session of the China-Saudi Arabia High-Level Joint Committee

BEIJING: Crown Prince Mohammed bin Salman on Friday met with Chinese Vice Premier Han Zheng to discuss ways of further developing relations between the Kingdom and China.

The meeting took place in the grand surroundings of the Great Hall of the People in the Chinese capital Beijing. After their talks, the crown prince headed the Saudi delegation at the third session of the China-Saudi Arabia High-Level Joint Committee which he co-chaired with Zheng.

Delegates at the meeting discussed moves to strengthen cooperation between the two countries on trade, investment, energy, culture and technology, as well as the coordination of political and security matters. The committee also reviewed plans for greater integration between China’s Belt and Road development strategy and the Saudi Vision 2030 reform program.

After agreeing on the minutes of the meeting, the Saudi royal and Zheng took part in the signing of a range of agreements, memorandums of understanding (MoU), investment projects and bilateral cooperation accords between the Kingdom and China:

The cooperation agreement in maritime transport between the Chinese and Saudi governments, signed by Saudi Minister of Commerce and Investment Majid Al-Qassabi and Chinese Minister of Transport Li Xiaopeng.

MoU between the Kingdom’s Ministry of Energy, Industry and Mineral Resources and the National Development and Reform Commission in China, signed by Saudi Energy Minister Khalid Al-Falih and Ning Jizhe, vice chairman of the National Development and Reform Commission.

MoU between the Chinese Ministry of Commerce and Saudi Ministry of Commerce and Investment to form a working group to facilitate trade, signed by Abdul Rahman Al-Harbi, the Kingdom’s deputy minister of commerce and investment, and Qian Keming, Chinese vice minister of commerce.

Loan agreement between the Saudi Fund for Development (SFD) and the Chinese Ministry of Finance to build and equip three hospitals in Yanbian city in Jilin Province, signed by Saudi Minister of State for Foreign Affairs Adel Al-Jubeir and the Chinese deputy finance minister.

Rehabilitation

Loan agreement between the SFD and Chinese Ministry of Finance to reconstruct and rehabilitate areas affected by earthquakes in Sichuan Province, signed by Al-Jubeir and the Chinese deputy finance minister.

Agreement between the Saudi Ministry of Interior and the Chinese Ministry of Public Security to cooperate in fighting cybercrime, signed Nasser Al-Dawood, undersecretary of the Saudi Ministry of Interior, and China’s deputy minister for public security.

MoU between the Public Investment Fund (PIF) of Saudi Arabia and China’s National Committee for energy to invest in renewable energy, signed by PIF head Yasir Al-Rumayyan, and the committee’s vice chairman.

Minutes of the meeting about cooperating in combating terrorism between the Saudi Presidency of State Security and Chinese Ministry of Public Security, signed by Lt. Gen. Abdullah Al-Qarni, deputy director-general of General Investigation for the Kingdom, and the Chinese minister.

MoU between the Saudi Authority for Intellectual Property and the Chinese National Committee for Intellectual Property Rights, signed by Dr. Abdul Aziz Al-Swailem, the authority’s executive chairman, and committee chairman Xin Xiangyu.

MoU to participate in investing in renewable energy projects, signed by the chairman of ACWA Power, Mohammed Abunayyan, and president of the Silk Road Fund, Wang Yanzhi.

Cooperation agreement for Saudi Aramco to acquire 9 percent of Chinese project Zhejiang Petrochemical, signed by Saudi Aramco CEO Amin Nasser and Xung Wi, mayor of Zhushan.

Agreement between Saudi Aramco with NORINCO Group and Panjin Sincen to develop a fully integrated refining and petrochemical complex, located in the city of Panjin in China’s Liaoning province, signed by Nasser and Tang Yijun, governor of Liaoning province and chairman of NORINCO.