Saudi Arabia wants economic output to reach $1.7tr, says Al-Falih

Saudi Arabia wants economic output to reach $1.7tr, says Al-Falih
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Updated 13 October 2021

Saudi Arabia wants economic output to reach $1.7tr, says Al-Falih

Saudi Arabia wants economic output to reach $1.7tr, says Al-Falih
  • World Bank raises Kingdom’s 2022 growth forecast to 4.9 percent

RIYADH: Saudi Arabia wants its economic output to reach 6.4 trillion riyals ($1.71 trillion), Saudi state TV cited Investment Minister Khalid Al-Falih as saying on Wednesday.

The minister was speaking about the Kingdom’s economic development strategy to year 2030, the channel said.

He said the Kingdom aims to boost annual total investments to over SR2 trillion by 2030, compared to the current SR650 billion.

Al-Falih said Saudi Arabia plans to boost the investment rate to 30 percent as compared to the current 22 percent and seeks to achieve GDP target of 10 percent.

The minister said this leap requires efforts to empower the private sector by providing an integrated investment environment in the Kingdom.

He said five economic zones will be established in the Kingdom, including fencing a part of King Abdullah Economic City in Rabigh, and offering special incentives, including an exception to some legislation that is compatible with international agreements.

The statement comes on the heels of the launch of the National Investment Strategy, which aims to increase net foreign direct investment flows to the Kingdom to SR388 billion ($103.5 billion) annually by 2030.

The strategy will contribute to the growth and diversification of the Kingdom’s economy, which, in turn, will achieve many of Vision 2030’s goals, including raising the private sector’s contribution to GDP to 65 percent while increasing the contribution of foreign investments to GDP to 5.7 percent.

World Bank forecast

On Tuesday, the World Bank revised Saudi Arabia’s 2022 growth forecast from 3.3 percent to 4.9 percent. Its October’s economic update for the Middle East and North Africa region said the Kingdom’s growth will partly be driven by a significant rebound in the oil sector in 2022 following OPEC+ production cuts that are in place until December 2021.

The World Bank report upgraded Saudi Arabia’s exports growth by more than double from 4.7 percent to 9.6 percent.

The Kingdom’s industrial output is now expected to grow by 5.4 percent, up from April’s forecast of 2.4 percent.

Improving vaccination rates, elimination of pandemic-related restrictions and resumption of religious tourism will likely boost Saudi non-oil output, which is expected to grow by 4 percent in 2021 and 3.3 percent in 2022.


Aramco and TotalEnergies launch first two service stations in Saudi Arabia

Aramco and TotalEnergies launch first two service stations in Saudi Arabia
Updated 17 sec ago

Aramco and TotalEnergies launch first two service stations in Saudi Arabia

Aramco and TotalEnergies launch first two service stations in Saudi Arabia

RIYADH: Saudi Aramco and TotalEnergies have launched the first two service stations of their joint retail network in Riyadh, Saudi Arabia’s capital, and Saihat, in the country’s Eastern Province.

"It follows the signing of a 50:50 Joint Venture (JV) Agreement between Aramco and TotalEnergies in 2019, with plans to  significantly upgrade a network of 270 service stations and expand the range of quality retail services available across the Kingdom," Aramco said in a statement.

 


Saudi mining company, Maaden, turns into profit in first 9 months of 2021

Saudi mining company, Maaden, turns into profit in first 9 months of 2021
Updated 37 min 27 sec ago

Saudi mining company, Maaden, turns into profit in first 9 months of 2021

Saudi mining company, Maaden, turns into profit in first 9 months of 2021

RIYADH: Saudi Arabian Mining Co. (Maaden) has reported a net profit of SR3.1 billion ($826 million) in the first nine months of 2021, compared to a net loss of SR780 million a year ago, it said in a filing. 


Softbank Vision Fund, Mubadala invest in European mobility company TIER

Softbank Vision Fund, Mubadala invest in European mobility company TIER
Updated 46 min 57 sec ago

Softbank Vision Fund, Mubadala invest in European mobility company TIER

Softbank Vision Fund, Mubadala invest in European mobility company TIER

DUBAI: TIER, Europe’s micro-mobility company, announced the first close of its $200 million Series D funding round led by previous investors SoftBank Vision Fund 2, Mubadala Capital and adds new partners like M&G Investments, a green impact fund, and Mountain Partners, a diversified global investment holding.

The company, which entered the UAE market in 2020 after being selected as a leading service provider by the Roads & Transport Authority (RTA), said in a statement that the funding provides TIER with additional resources to fulfil its mission to "change mobility for good by providing the safest, most equitable and sustainable mobility solution in the market."


Telecom Zain KSA profits drop 36% for first 9 months of 2021

Telecom Zain KSA profits drop 36% for first 9 months of 2021
Updated 25 October 2021

Telecom Zain KSA profits drop 36% for first 9 months of 2021

Telecom Zain KSA profits drop 36% for first 9 months of 2021
  • The decline is due to a 1 percent drop in revenue, as well as rising revenue costs by 19 percent, the company said in a bourse filing. 

DUBAI: Saudi telecom firm Zain KSA posted a net profit of SR143 million ($38.1 million) in the first nine months of 2021, a 36 percent drop from the same period last year. 

The decline is due to a 1 percent drop in revenue, as well as rising revenue costs by 19 percent, the company said in a bourse filing. 

Lowering operating expenses and the results of the capital restructuring last year helped compensate for the fall, it added. 


Saudi non-oil exports rose by 26.8 percent in August, official data shows

Saudi non-oil exports rose by 26.8 percent in August, official data shows
Updated 48 sec ago

Saudi non-oil exports rose by 26.8 percent in August, official data shows

Saudi non-oil exports rose by 26.8 percent in August, official data shows

CAIRO: Saudi Arabian non-oil exports rose by 26.8 percent in August from a year ago, rising to 23.0 billion riyals from 18.1 billion riyals in August 2020 when international trade was impacted by Covid-related lockdowns and travel bans in numerous countries according to data posted by General Authority for Statistics (GaStat) this morning.

Growth was driven mainly by higher exports of plastics and chemicals, which surged by 56.6 percent and 66.2 percent year-on-year, accordingly.  

Non-oil exports including re-exports increased from 18.9 billion riyals in July 2021 by 1.9 billion riyals or 8.9 percent, GasStat said in a press release.