Saudi central bank deploys blockchain technology to deposit money into local banks

Saudi central bank deploys blockchain technology to deposit money into local banks
The Kingdom Center Tower is seen in Riyadh, Saudi Arabia, November 5, 2017. (Reuters)
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Updated 10 June 2020

Saudi central bank deploys blockchain technology to deposit money into local banks

Saudi central bank deploys blockchain technology to deposit money into local banks
  • SAMA’s move was “a huge step in the right direction,” a financial expert said

RIYADH: The Saudi Arabian Monetary Authority (SAMA) used blockchain technology to deposit part of a SR50 billion funding package for the banking system.
It comes as the regulator seeks to boost the role of technology in the financial sector as it invests heavily in digital banking services.
Earlier it established a regulatory sandbox as a testing ground for local and international firms wanting to test new digital solutions.
Michael O’Loughlin, a financial expert and Forbes contributor, said SAMA’s move was “a huge step in the right direction”, adding that many central banks around the world were engaged in blockchain-related research.
“Blockchain technology if implemented properly has the potential to improve banking operations significantly,” he said. 
The benefits of deploying blockchain in banking operations range from increased security to the ability to track and trace money.
Blockchain can also contribute to reducing costs and increasing the speed of transactions.
“Reduced fraud, increased security and quick and hassle-free transactions are what banks want, customers want the same thing too. Blockchain promises to deliver just that, after 10 years of proofs of concept, the world is ready to see financial services embrace the tech” O’Loughlin added.


UAE’s Mubadala Petroleum signs Red Sea oil exploration deal with Egypt

The agreement, signed by Egyptian Minister of Petroleum and Mineral Resources Tarek El-Molla, allows the company to explore in a 3,084 square kilometer area of the Red Sea. (Shutterstock/File Photo)
The agreement, signed by Egyptian Minister of Petroleum and Mineral Resources Tarek El-Molla, allows the company to explore in a 3,084 square kilometer area of the Red Sea. (Shutterstock/File Photo)
Updated 23 January 2021

UAE’s Mubadala Petroleum signs Red Sea oil exploration deal with Egypt

The agreement, signed by Egyptian Minister of Petroleum and Mineral Resources Tarek El-Molla, allows the company to explore in a 3,084 square kilometer area of the Red Sea. (Shutterstock/File Photo)
  • It will own 27 percent of the stake as part of the agreement, while Shell will own 63 percent

CAIRO: The UAE’s Mubadala Petroleum Company has signed an agreement with Egypt to explore for oil and gas in the Red Sea.

The agreement, signed by Egyptian Minister of Petroleum and Mineral Resources Tarek El-Molla, allows the company to explore in a 3,084 square kilometer area of the Red Sea and was a result of a bidding round in 2019.

It will own 27 percent of the stake as part of the agreement, while Shell will own 63 percent. Egypt’s Tharwa Petroleum Company owns the remaining 10 percent.

The agreement refers to an area known as Sector 4, located in the north of the Red Sea in an area adjacent to the Gulf of Suez Basin, which is rich in natural resources. 

Parties will commit to conducting exploration studies in this sector and collecting seismic data for the area, using three-dimensional techniques, during the first three years of the exploration phase.

“The addition of Sector 4 in the Red Sea represents a new extension of our operations in Egypt, while providing a valuable opportunity to expand our activities, and by working with a strategic partner such as Shell,” said Mubadala Petroleum CEO Bakheet Al Katheeri. “The search and exploration operations in this sector, if successful, will support our strategy of extracting and manufacturing hydrocarbons, in order to contribute to supporting the stability and expansion of the Egyptian market, while providing growth opportunities for our operations in the country.”

Mubadala Petroleum owns a 10 percent stake in the offshore Shurooq gas field concession that includes the Zohr natural gas field, in addition to 20 percent in the concession area of Noor Gas Company. Both are located in the Mediterranean Sea off the coast of Egypt.