Saudi Arabia's non-oil exports increase by 26.4% to $7bn in July: GASTAT

Update Saudi Arabia's non-oil exports increase by 26.4% to $7bn in July: GASTAT
Saudi Arabia’s non-oil exports were driven by chemical and allied industries. (Shutterstock)
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Updated 21 September 2022

Saudi Arabia's non-oil exports increase by 26.4% to $7bn in July: GASTAT

Saudi Arabia's non-oil exports increase by 26.4% to $7bn in July: GASTAT

RIYADH: Saudi Arabia's non-oil exports increased by 26.4 percent to SR26.7 billion ($6.94 billion) in July 2022 compared to the same period last year, according to the latest data released by the General Authority for Statistics.

The Kingdom’s non-oil exports were driven by chemical and allied industries that accounted for 35.9 percent of non-oil merchandise exports in July, GASTAT report stated.

The report further added that overall merchandise exports increased by 58.8 percent in July to SR140.8 billion, up from SR88.7 billion in July 2021.

The Kingdom's merchandise imports increased by 18.3 percent in July to SR55.1 billion compared to SR46.6 billion in the same period last year.

The report further added that the most imported merchandises were machinery and mechanical appliances, along with electrical equipment parts, which accounted for 17.8 percent of total merchandise imports.

Saudi Arabia witnessed a bigger increase of 26.4 percent in nonoil exports in July than imports of 18.3 percent over that period. This helped the Kingdom increase its ratio of non-oil exports to imports to 48.3 percent in July 2022 from 45.2 percent in July last year. 

However, the ratio inched lower than its 50 percent value recorded in the previous month, in addition to recording its lowest number in the past six months.

China was on the top of the list of both exports and imports amongst Saudi Arabia's trading partners, according to the report. 

In July, Saudi exports to China were worth SR22.1 billion, making up 15.7 percent of its total exports.

It was followed by South Korea and India, with both countries taking imports of SR16 billion and SR14 billion, respectively, from Saudi Arabia. Some other key countries that are featured in the list include Japan, the US, and the UAE. 

Moving on to imports, Chinese goods amounted to SR12 billion or 21.8 percent of Saudi’s total imports in July.

The report added that the Kingdom's second and third highest imports came in from the US and the UAE, with the value of imported goods reaching SR4.2 billion and SR3.8 billion respectively. 

Moreover, India, Germany, Switzerland, and Oman were among the top ten countries from where Saudi imported goods in July.  

During this time, Saudi imports mainly came through the Jeddah Islamic Port, with other major ports being Dammam and Riyadh.  

 


Oil Updates — Crude up; OPEC+ cancels technical meeting; Norway posts soldiers at oil plants

Oil Updates — Crude up; OPEC+ cancels technical meeting; Norway posts soldiers at oil plants
Updated 16 sec ago

Oil Updates — Crude up; OPEC+ cancels technical meeting; Norway posts soldiers at oil plants

Oil Updates — Crude up; OPEC+ cancels technical meeting; Norway posts soldiers at oil plants

RIYADH: Oil prices edged up on Tuesday as expectations that the Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, may agree to a large cut in crude output when it meets on Wednesday outweighed concerns about the global economy.

Brent crude futures rose 46 cents, or 0.5 percent, to $89.32 per barrel by 0629 GMT after gaining more than 4 percent in the previous session.

US crude futures rose 30 cents, or 0.4 percent, to $83.93 a barrel. The benchmark gained more than 5 percent in the previous session, its largest daily gain since May.

OPEC+ cancels technical meeting ahead of key meeting of ministers

OPEC+ canceled a meeting of its Joint Technical Committee set for Oct. 4 ahead of a key gathering of ministers from the producer group to set policy, three OPEC+ sources told Reuters on Monday.

The JTC advises the OPEC+ Joint Ministerial Monitoring Committee and the overall OPEC+ ministerial meeting on market fundamentals.

One of the sources said the decision to scrap the JTC meeting came from the JMMC, without elaborating.

Norway posts soldiers at oil, gas plants after Nord Stream leaks

Norway’s military said on Monday it had posted soldiers to help guard major onshore oil and gas processing plants, part of a wider effort to boost security amid suspicion that sabotage caused leaks in the Nord Stream gas pipelines last week.

Russia’s Nord Stream 1 and 2 pipelines burst on Sept. 26, draining gas into the Baltic Sea off the coast of Denmark and Sweden. Seismologists registered explosions in the area, and police in several countries have launched investigations.

Norway, Europe’s largest gas supplier and a major oil exporter, last week deployed its navy and air force to patrol offshore petroleum fields and announced it would receive assistance from Britain, Germany and France in doing so.

At the request of Norwegian police, the Norwegian Home Guard, a rapid mobilization force, on Monday began to deploy troops at plants responsible for processing and exporting oil and gas.

Although the Norwegian government has said it was not aware of any specific threats to oil and gas infrastructure, it still found it prudent to beef up security and sought to calm concerns among workers.

(With input from Reuters)


Saudi IT firm solutions by stc acquire Egypt’s Giza Systems

Saudi IT firm solutions by stc acquire Egypt’s Giza Systems
Updated 5 min 12 sec ago

Saudi IT firm solutions by stc acquire Egypt’s Giza Systems

Saudi IT firm solutions by stc acquire Egypt’s Giza Systems

RIYADH: Arabian Internet and Telecommunication Co., known as solutions by stc, has completed all necessary procedures to acquire a $158 million stake in Egypt's Giza Systems Co., a bourse filing revealed.

The Saudi-listed company had earlier entered a binding deal for the takeover of an 89.49 percent stake in Giza Systems in addition to 34 percent of its unit, Giza Arabia.

However, the acquisition percentage decreased to 88.19 percent, mainly due to executive management shares, it said.

The financial impact will appear in the company’s financial statements from the fourth quarter of 2022.

solutions by stc saw its share price increase 2.85 percent at the opening of bell of Tuesday to reach SR252 ($67), at 10:10 a.m. Saudi time. 


Japan energy minister emphasizes importance of Saudi and Arab suppliers

Japan energy minister emphasizes importance of Saudi and Arab suppliers
Updated 37 min 37 sec ago

Japan energy minister emphasizes importance of Saudi and Arab suppliers

Japan energy minister emphasizes importance of Saudi and Arab suppliers
  • Japan depended on the Middle East for 95 percent of its oil in August and 98 percent in July

TOKYO: Japan’s Minister of Economy, Trade and Industry NISHIMURA Yasutoshi requested Saudi Arabia and other Arab countries to guarantee stable supply of oil.

Nishimura said he had met with executives from Aramco and has proposed talks with Saudi Arabia’s Energy Minister Abdulaziz bin Salman Al Saud.

He also met recently with Sultan Al-Jaber, UAE Minister of Industry and Advanced Technology and CEO of Abu Dhabi National Oil Company (ADNOC), as well as Talal Al-Awfi, Oman’s Minister of Energy and Minerals.

“I requested a stable supply of oil and LNG,” Nishimura said at a press conference at the ministry in reply to a question from Arab News Japan. “I got the reply that they will continue to cooperate with us.”

In the absence of imports from Iran and Russia due to sanctions enforced by the US, more than 90 percent of Japan’s supplies now come from Arab sources.

“It is important for Japan, which lacks resources, to promote a stable supply of crude oil,” Nishimura said. “It is true that oil imports from Russia have stopped and dependence on the Middle East is increasing. We are making decisions on specific sources of crude oil from the perspective of the market.”

“Japan depended on the Middle East for 95 percent of its oil in August and 98 percent in July, so we recognize the region as extremely important in terms of energy security and a stable supply of crude oil.”

Japan is looking to expand its energy business with the Middle East to include clean energy as well as oil and gas.

“We believe that the Middle East is also playing an important role in building the hydrogen and ammonia supply chain,” Nishimura said. “I hope such cooperative relationships will also be strengthened. Furthermore, Japan will strive to diversify its supply sources from the viewpoint of stable supply and security, and domestically also pursue all options, including the utilization and diversification of renewable energy and nuclear energy.”


Anaam International's shares rise as it plans $42m capital increase

Anaam International's shares rise as it plans $42m capital increase
Updated 26 min 41 sec ago

Anaam International's shares rise as it plans $42m capital increase

Anaam International's shares rise as it plans $42m capital increase

RIYADH: Saudi poultry processing firm Anaam International Holding Group’s board recommended an increase in capital of SR158 million ($42 million) through a rights issue, resulting in a rise in its share price.

Anaam International's share price climbed 3.53 percent to reach SR24.66, at 10:06 a.m. Saudi time.

The capital increase is aimed at boosting the working capital, lowering the loan rates, and supporting the business growth of the company, according to a bourse filing.

The capital hike is subject to the approval of the relevant official authorities and the company’s shareholders.

Wasatah Capital was appointed to act as the financial advisor to the offering.


Egypt’s non-oil economy under strain as inflationary pressure grows: S&P Global

Egypt’s non-oil economy under strain as inflationary pressure grows: S&P Global
Updated 04 October 2022

Egypt’s non-oil economy under strain as inflationary pressure grows: S&P Global

Egypt’s non-oil economy under strain as inflationary pressure grows: S&P Global

RIYADH: Business conditions in Egypt’s non-oil economy continue to be under strain with the country’s Purchasing Managers’ Index staying unchanged at 47.6 in September compared to the previous month, according to S&P Global.

According to S&P Global, a PMI above 50.0 marks growth, while those below 50.0 signals contraction.

Egypt’s PMI signals a solid deterioration in business conditions, albeit one that was the joint-weakest for seven months, as inflationary pressures, energy rationing, import restrictions, and weak demand continue to impact the country’s non-oil economy.  

“Non-oil activity in Egypt continued to suffer from weak demand, geopolitical tensions and surging inflation in the final month of the third quarter,” said Shreeya Patel, an economist at S&P Global Market Intelligence.

She added: “Firms nevertheless remain hopeful that macroeconomic conditions would improve in the medium-term, but for now, non-oil Egyptian businesses are challenged to operate in an environment which includes persistently high prices, weak demand and growing uncertainty.”