Riyadh airport wins Skytrax award for most improved airport

Riyadh airport wins Skytrax award for most improved airport
The airport was also ranked third on the list of the top 10 airports in the Middle East. (Shutterstock)
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Updated 20 June 2022

Riyadh airport wins Skytrax award for most improved airport

Riyadh airport wins Skytrax award for most improved airport
  • The survey was based on key performance indicators such as check-in, arrivals, transfers, shopping, security and immigration, and departure

JEDDAH: King Khalid International Airport in Riyadh has won a Skytrax award for being the most improved airport, ranking 29th out of the world’s top 100 airports.

People from more than 100 countries completed questionnaires, with their answers collected to evaluate the customer experience across airport services.

The survey was based on key performance indicators such as check-in, arrivals, transfers, shopping, security and immigration, and departure.

KKIA, which was established in 1983, came third in the top 10 Middle East airports.

It operates over 51 international and domestic airlines traveling to more than 105 destinations, more than 217,000 flights take off from its runway, and its facilities serve more than 28.5 million passengers annually.

Mohammed Al-Maghlouth, CEO of Riyadh Airports Company, said he was honored to receive the award as it came from passengers who had participated in the Skytrax survey and shared their traveling experiences in the Saudi capital's airport.

“This milestone demonstrates our ongoing commitment to the aspirations of Vision 2030 and the national aviation strategy,” he said. “I would like to thank our wise leadership for their vision and guidance, without which none of this would be possible. I would further like to thank the General Authority of Civil Aviation, Matarat Holding Company, and our partners for helping us enhance and develop our services and facilities. With their support, King Khalid International Airport provides a second-to-none travel experience that rivals some of the most established airports around the world.”

The company was established in 2016 as part of Saudi Arabia’s plan to privatize the aviation sector.


Closing bell: Oil prices weigh down Saudi stocks

Closing bell: Oil prices weigh down Saudi stocks
Updated 9 sec ago

Closing bell: Oil prices weigh down Saudi stocks

Closing bell: Oil prices weigh down Saudi stocks

RIYADH: Saudi Arabia’s Tadawul All Share Index dropped by 125.85 points or 1.13 percent to close at 11,014.13, driven by a fall in oil prices that affected investors’ morale. 

While parallel market Nomu lost 335.24 points to 21,278.26, the MSCI Tadawul Index fell 1.31 percent to 1,464.41. 

The total trading turnover of the benchmark index was SR11.79 billion ($3.14 billion) as 58 stocks advanced, while 155 retreated. 

Brent crude futures for August delivery were down $1.69, or 2.30 percent, to $71.85 a barrel at 3:15 p.m. Saudi time, while US West Texas Intermediate crude fell $1.99, or 2.87 percent, to $67.47. 

The top stock of the day was Jarir Marketing Co., as its share price advanced 6.02 percent to SR17.60. 

Jarir Marketing Co., on Wednesday, said that its shareholders had approved the board’s proposal for reducing the stock’s par value from SR10 to SR1 during the extraordinary general meeting conducted on May 30. 

Jadwa REIT Saudi Fund and Saudi Fisheries Co. were other top gainers of the day, whose share prices rose by 3.76 percent and 3.06 percent, respectively. 

Saudi Pharmaceutical Industries and Medical Appliances Corp. was the worst performer as its share price dropped 4.76 percent to close at SR38.05. 

Meanwhile, the board of directors of Al-Baha Investment and Development Co. recommended splitting the stocks par value from SR10 to SR0.1 while keeping the company’s capital intact. 

In a bourse filing, the company said that the number of its shares following the split would be 2.97 billion. 

On Wednesday, Filing and Packing Materials Manufacturing Co. announced that its board of directors approved to transform the legal entity of its subsidiary FPC Industrial Co. from a limited liability company to a joint stock company. 

“This transformation will support FPC’s objectives aiming for future expansions. Also, it will maintain its stability and sustainability and will support the company’s financial position, which supports increasing export sales and improves the credit relationship with some large foreign clients to increase the company’s export share and in line with the needs of global markets,” said FIPCO in a statement to Tadawul. 

The statement added that FIPCO’s board of directors also decided to set an authorized capital of SR100 million and raise the paid-up capital from SR18 million to SR70 million. 

According to the statement, the capital hike will be financed using some current account balances between partners. The company’s share price dropped by 1.57 percent to SR43.90. 


Number of SMEs in Saudi Arabia rises 4.8% in Q1, exceeds 1.2m

Number of SMEs in Saudi Arabia rises 4.8% in Q1, exceeds 1.2m
Updated 59 min 10 sec ago

Number of SMEs in Saudi Arabia rises 4.8% in Q1, exceeds 1.2m

Number of SMEs in Saudi Arabia rises 4.8% in Q1, exceeds 1.2m

RIYADH: Saudi Arabia is witnessing increased entrepreneurial activity as the total number of small and medium enterprises exceeded 1.2 million in the first quarter of 2023.

According to a report released by the Small and Medium Enterprises General Authority, also known as Monsha’at, this figure reflects a 4.8 percent surge compared to the final quarter of 2022.

The report further revealed that 88,858 new businesses were launched across the Kingdom in the first quarter of 2023.

“Saudi Arabia’s robust SME ecosystem passes new milestones every quarter,” Mohammed Al-Belwe, Monsha’at vice governor for communications, told Arab News.

“More than 88,000 new SMEs were launched in Q1 alone, bringing consumers a new array of goods and services and spurring growth across key sectors such as tourism, e-commerce, retail, food and beverage, and fintech,” Al-Belwe said.

“Behind these numbers is an exciting new generation of entrepreneurs who are striking out on their own, and as the Kingdom’s non-oil economy surges, the growth of SMEs will continue to kindle unprecedented private sector growth,” he added.

Riyadh was home to 41.4 percent of the Kingdom’s total SMEs, followed by Makkah at 18.1 percent, the Eastern Province at 11.1 percent and the other cities accounted for 28.6 percent of the total.

SME financing reached its highest level in the first quarter of 2023, touching SR1.35 billion ($359 million).

The e-commerce and retail sectors emerged as the most active sectors in terms of financing during the first quarter of 2023, the report revealed.

It also highlighted the initiatives of the Small and Medium Enterprises Bank, which provided six financing products, including credit cards for enterprises and e-commerce financing.

The products also include financing working capital, microfinance, financing with a revolving credit line, and term financing.

Also noteworthy were the achievements of the Biban 2023 Forum, an event held in Riyadh in March and attended by an estimated 145,000 visitors from all over the world.

The event generated over $13.8 billion in agreements and announcements for SMEs in the Kingdom.

Under the Vision 2030 goals, the SME sector aims to contribute 35 percent of the gross domestic product by 2030.

Moreover, SMEs are set to play a significant role in achieving the Kingdom’s objectives of lowering the unemployment rate from 11.6 percent to 7 percent and increasing women’s participation in the workforce from 22 percent to 30 percent.


Amazon eyes 40,000 online sellers in Saudi Arabia by 2025

Amazon eyes 40,000 online sellers in Saudi Arabia by 2025
Updated 6 min 26 sec ago

Amazon eyes 40,000 online sellers in Saudi Arabia by 2025

Amazon eyes 40,000 online sellers in Saudi Arabia by 2025
  • New fulfillment center to help transform the economy of Riyadh, says top official

RIYADH: The opening of Amazon’s new fulfillment center in Riyadh will help boost selling opportunities for small and medium-sized businesses by providing them a platform to showcase their products and expand their reach, a top official of the e-commerce giant said.

In an interview with Arab News, Prashant Saran, director of operations for Amazon in the Middle East and North Africa region, said that the new facility will provide sellers with more storage options and help them expand their online businesses to new markets.

“Whenever a new fulfillment center opens, it has a transformative impact on the economy of the host city by contributing to expanding product selection and availability, growth of e-commerce sales, talent development, and the acceleration of entrepreneurship,” said Saran.

He added: “The majority of products sold on Amazon.sa come from small and medium-sized businesses. In fact, many SMBs venture into e-commerce for the first time using our simple and convenient services.”

Saran noted that Amazon has been working closely with Saudi Arabia’s General Authority for Small and Medium-Sized Enterprises, also known as Monsha’at, to host 40,000 sellers on Amazon.sa by 2025.

Amazon’s fulfillment centers are hubs that enable the e-commerce firm to store millions of units of inventory, and serve as distribution centers where associates store, pick, pack, and ship orders.

The new center was opened in Riyadh on Tuesday in the presence of Suliman Al-Mazroua, CEO of the National Industrial Development and Logistics Program, and officials of the Ministry of Transport and Logistics Services, the Transport General Authority; and Monsha’at.

“Amazon’s expansion supports Saudi Arabia’s logistics sector — one of NIDLP’s four key sectors — bringing the latest innovations and technologies in e-commerce operations to the country. The new fulfillment center in Riyadh will further unlock the value of the Kingdom’s resources by empowering local startups and entrepreneurs with improved global connectivity and access to new markets,” said Al-Mazroua, according to a press statement.

The facility which spans 390,000 sq. feet across five floors is expected to double Amazon’s total storage capacity in Saudi Arabia. With 2.7 million cubic feet capacity the center can store more than 9 million products, the statement added.

“Led by a diverse cohort of talented Saudi nationals in managerial positions, we expect this fulfillment center to support the Kingdom’s digital economy goals,” said Abdo Chlala, country manager of Amazon in Saudi Arabia.

According to the press release, the facility is powered 100 percent by electricity, including its heating and hot water systems, avoiding the use of fossil fuel combustibles and with energy efficiency as a top priority, in line with the company’s goal to turn net-zero by 2040.

Saran added that Amazon has been always cooperating with the Kingdom to support its localization efforts, and with Amazon Academy announced earlier this year, the e-commerce giant is providing training to 30,000 Saudi citizens in cloud technology, retail, and logistics.

“We have been making steady progress and today, Saudi women at the new fulfillment center occupy a variety of leadership positions within operations, human resources, learning and development, IT, among other departments,” he said. 


Saudi banking sector growth driven by mortgages: report

Saudi banking sector growth driven by mortgages: report
Updated 31 May 2023

Saudi banking sector growth driven by mortgages: report

Saudi banking sector growth driven by mortgages: report

RIYADH: Saudi Arabia’s banking sector has experienced rapid growth over the past few years, primarily driven by mortgages and thanks to continued government support, according to a new report from S&P Global Ratings.

The US-based agency pointed out that the Saudi government “has created the infrastructure for banks to divest their mortgage portfolios and improve the structure of their balance sheets” to boost home ownership to 70 percent, a key Vision 2030 objective.

Private sector deposit growth averaged about 5 percent over the past five years, compared with 14 percent growth in deposits from the government and its related entities. 

The rating agency noted that the government still held significant deposits with the Saudi Central Bank, also known as SAMA, amounting to SR637.5 billion ($170 billion) at the end of 2022.

“This means that it can theoretically ease liquidity constraints by placing more deposits with the banking system. In 2022, SAMA reacted to liquidity stress by intervening and injecting SR50 billion, and we expect it to continue providing banking system liquidity when required,” it added.

Dr. Mohamed Damak, senior director and head of Islamic Finance at S&P Global Ratings, said: “We expect the Saudi banking system will continue to play a key role in financing Vision 2030 projects, with high single-digit percentage loan growth in the next couple of years.”

He added: “Banks can achieve this by mobilizing additional resources in the form of deposits or local and international issuances.”


UAE’s healthcare sector sets global benchmark in medical services and innovation

UAE’s healthcare sector sets global benchmark in medical services and innovation
Updated 31 May 2023

UAE’s healthcare sector sets global benchmark in medical services and innovation

UAE’s healthcare sector sets global benchmark in medical services and innovation

RIYADH: The UAE’s healthcare sector continues to lead regionally and globally in medical services and scientific achievements this year, according to a study.

The Legatum Institute Prosperity Index Report ranked the UAE in the top position in three key global competitiveness indexes in the healthcare sector: early detection programs, scope of medical coverage and antenatal care coverage.

The Gulf country also secured the second global rank and the top regional spot in the Health Outcomes Index, according to the 2022 Open Data Inventory report by Open Data Watch. 

Furthermore, it emerged as a regional leader in the Middle East and Africa, topping the list in drug innovation and regulatory approval processes, reported the state-run news agency WAM. 

But that is not all. The country also leads the Gulf Cooperation Council countries’ healthcare spending growth rate with a projected investment of $30.7 billion in the sector by 2027, marking an annual growth rate of 7.4 percent, according to the international investment banking advisory firm Alpen Capital.

In its ongoing commitment to the sector, Emirates Health Services launched in March the Innovation Strategy, which aims to ensure the sustainability of the healthcare sector and contribute toward the National Strategy for Wellbeing 2031 and We the UAE 2031 vision, in line with the UAE Centennial 2071. 

In February, the nation’s healthcare authorities, including the Ministry of Health and Prevention, the Department of Health Abu Dhabi and the Dubai Health Authority, launched Tatmeen, a platform that aims to safeguard and secure the healthcare supply chains, underscoring the UAE’s strategic approach toward drug assessment and approval processes. 

The UAE’s healthcare expenditure has been on a steady rise, increasing from 3.8 billion dirhams ($1.03 billion) in 2016 to 4.8 billion dirhams in 2023. 

The growth of the country’s healthcare infrastructure remains a top priority, while developing its healthcare workforce is a key focus area, highlighting the UAE’s commitment to fostering a robust healthcare system.