Saudi HR development fund spends $590m in Q1 on job growth, facilitates hiring of 96k Saudis

Saudi HR development fund spends $590m in Q1 on job growth, facilitates hiring of 96k Saudis
Some 836,000 Saudi men and women benefited from the fund’s training and counseling in the first quarter of 2023 (Shutterstock)
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Updated 22 May 2023
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Saudi HR development fund spends $590m in Q1 on job growth, facilitates hiring of 96k Saudis

Saudi HR development fund spends $590m in Q1 on job growth, facilitates hiring of 96k Saudis

RIYADH: The unemployment rate among Saudis, which dropped to a record low of 8 percent in the fourth quarter of 2022, could fall even further if the Human Resources Development Fund continues its current momentum.

The contribution of the fund — concerned with resettling jobs in the private sector — in the first quarter of 2023 increased 26 percent to 96,000 people from 76,000 during the same period last year, according to a press release.

The release stated that it also spent SR2.2 billion ($590 million) in the first quarter of 2023 on its supporting programs.

The note further pointed out that 836,000 Saudi men and women benefited from the fund’s training and counseling in the first quarter of 2023, up 29 percent compared to 646,000 beneficiaries during the same quarter of 2022.

Turki Al-Jawini, director general of the HRDF, lauded the Saudi government’s efforts to develop human capital in the Kingdom and contribute to localization.

Localization is a critical agenda in Saudi Arabia’s Vision 2030 initiative, as the Kingdom is on course to diversify its economy by developing non-oil private sector firms.

Al-Jawini further noted that almost 73,000 establishments operating across various sectors in Saudi Arabia had benefited directly and indirectly from the fund’s programs during the first quarter of this year.

On May 21, the fund partnered with King Saud University to launch the Vocational Counselors Qualification Program to improve and develop national competencies in the educational and vocational sectors.

Last January, the Saudi Press Agency reported that the fund helped 400,000 Saudis to get jobs in the private sector in 2022.

Quoting Al-Jawini, the SPA reported that over 1.49 million Saudis benefited from the fund’s training, empowerment and guidance programs and services last year.

It spent SR6 billion on training and support programs in 2022, Al-Jawini added.

The fund has been carrying out several initiatives, including training programs to drive employability among Saudis.

In May, Saudi Minister of Human Resources and Social Development Ahmad Al-Rajhi said the ongoing localization efforts have helped the private sector to employ over 500,000 Saudi nationals since 2019.


COP28 president hails global leaders’ practical initiatives at final dialogue

COP28 president hails global leaders’ practical initiatives at final dialogue
Updated 16 sec ago
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COP28 president hails global leaders’ practical initiatives at final dialogue

COP28 president hails global leaders’ practical initiatives at final dialogue

RIYADH: COP28 President Sultan Al-Jaber has applauded world leaders for their practical initiatives during the final dialogue, expressing optimism for the continued “open mindset” throughout the remainder of COP.  

This comes as high-level dialogues between the COP28 Presidency and the International Energy Agency received a strong endorsement of practical actions. 

The conclusion of the dialogues, co-chaired by Al-Jaber and the executive director of the IEA, Fatih Birol, marked a significant achievement, bringing together over 40 high-level leaders, including four heads of state and 18 heads of delegation and ministers from diverse regions.  

Al-Jaber said: “I am encouraged by the practical actions brought forward by world leaders today at the final dialogue, and I hope that you take this open mindset and optimism throughout this COP.” 

Addressing the significance of the dialogues, Al-Jaber emphasized the need for collaboration, stating: “This series of dialogues has allowed us to converge on the critical elements of the just energy transition. The transition will not be straightforward, but it will be harder if we cannot agree on its central components.”  

Birol echoed this sentiment, expressing satisfaction at the alignment and support for the IEA’s five goals for COP28.  

These goals include tripling renewable capacity and doubling energy efficiency by 2030, a structured decline in fossil fuel use, commitment from the oil and gas industry to align with 1.5 degrees, and financing mechanisms for clean energy in developing countries. 

The leaders showed strong support for the COP28 presidency’s Global Renewables and Energy Efficiency Pledge, with over 110 countries signing up to the initiative.   

Urgency on the coal front emerged as a key consensus, with a focus not only on preventing new unabated coal plants but also on accelerating the retirement of existing facilities. 

As the final dialogue unfolded during the World Climate Action Summit as part of COP28 in Dubai, heads of state, government leaders, and international organizations convened to solidify their commitment to an orderly energy transition.  

Al-Jaber urged participants to carry the open mind and optimism demonstrated during the final dialogue throughout COP28, reinforcing the importance of collective action in addressing the pressing challenges of our time.  

This positive momentum sets the stage for further deliberations and collaborative efforts at COP28 UAE, hosted at Expo City Dubai till Dec. 12. 


Global Leadership Summit: Top decision-makers discuss real estate trends in Riyadh

Global Leadership Summit: Top decision-makers discuss real estate trends in Riyadh
Updated 26 min 22 sec ago
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Global Leadership Summit: Top decision-makers discuss real estate trends in Riyadh

Global Leadership Summit: Top decision-makers discuss real estate trends in Riyadh

RIYADH: Real estate leaders and decision-makers from over 110 countries have assembled in Riyadh to exchange knowledge, share best practices, and explore the latest domestic and international developments in the sector.

The International Real Estate Federation’s 42nd edition of the Global Leadership Summit brought together over 30 speakers under the theme “Resilience for Growth,” featuring high-level sessions with keynote presentations and roundtables addressing critical issues affecting the industry.   

Endorsed by FIABCI and organized by the Eyes of Cities, the event is scheduled to run from Dec. 4 to 7 in Riyadh.

Saudi Minister of Municipal and Rural Affairs and Housing Majel Al-Hogail used his address to the gatherting to highlight the Kingdom’s pioneering real estate initiatives.

“In Saudi Arabia, we are working to develop two segments. We aim to develop our human (capital) and our real estate. Humans are the building blocks for a great nation and transformation,” Al-Hogail said. 

He further explained that the Kingdom’s human capital serves as a catalyst for the ongoing development and initiatives reshaping the economy. 

“In the heart of this transformation, the Kingdom witnesses a flourishing real estate sector across different projects anticipated on a global level,” the minister added.  

Al-Hogail emphasized that the Kingdom’s ongoing transformative agenda, Vision 2030, is already underway, thanks to grand real estate projects like NEOM, the Line, and Oxagon. 

Furthermore, Mohammad Al-Suliman, the CEO of Saudi Arabia’s Real Estate Registry, highlighted Vision 2030’s impact on the Kingdom’s sector. 

“Vision 2030 is mapping a new era of real estate, which can be navigated by elevating home ownership, achieving investment attractiveness, streamlining digital services, and securing investments,” Al-Suliman said during the event.  

Moreover, Abdullah Al-Hammad, CEO of Saudi Arabia’s Real Estate General Authority, shed light on the Kingdom’s approach to boosting its property industry. 

“The Kingdom’s real estate sector holds immense potential, supported by robust legislation and governmental support. This framework, along with the sector’s ability to promptly address challenges, makes it highly promising,” Al-Hammad said.  

During the discussion, other international leaders, including Budiarsa Sastrawinata, the president of FIABCI, highlighted the significant impact of real estate on national development. 

Sastrawinata further applauded the Kingdom’s developments and its hosting of such an event, which is set to bolster investment opportunities and prosperity in the sector. 

Tony Blair, former UK prime minister and founder of the Tony Blair Institute for Global Change, also highlighted the Kingdom’s developments. 

“Saudi Arabia can become a demonstration of what strong leadership with a clear sense of direction can achieve. The developments here show the potential for real change,” Blair said during the event.  


Closing Bell: Saudi main index loses 48 points to close at 11,144 

Closing Bell: Saudi main index loses 48 points to close at 11,144 
Updated 48 min 23 sec ago
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Closing Bell: Saudi main index loses 48 points to close at 11,144 

Closing Bell: Saudi main index loses 48 points to close at 11,144 

RIYADH: Saudi Arabia’s Tadawul All Share Index turned red on Tuesday, as it shed 47.56 points, or 0.42 percent, to close at 11,143.83.  

The total trading turnover of the benchmark index was SR5.86 billion ($1.56 billion) as 98 of the stocks advanced, while 119 declined.  

The Kingdom’s parallel market, Nomu, also slipped with the index shedding 97.22 points to close at 24,003.59.  

The MSCI Tadawul Index edged down by 0.46 percent to close at 1,433.85.  

The top performers on the main index were mainly insurance firms, with the best-performing stock being Saudi Enaya Cooperative Insurance Co. The company’s share price soared by 9.90 percent to SR15.32. 

Other top performers on the main index were LIVA Insurance Co. and Amana Cooperative Insurance Co. whose share prices surged by 8.56 percent and 8.32 percent, respectively.  

The worst performer of the day was Development Works Food Co., as its share price tumbled by 9.79 percent to SR118.  

Meanwhile, the share price of Riyadh Cement Co., which started its trading on the main market today, went up by 0.14 percent to SR34.85.  

The best performers on the parallel market were Naseej for Technology Co. and Bena Steel Industries Co. whose share prices edged up by 11.86 percent and 8.78 percent, respectively.  

On the announcements front, KEIR International Co. said it has signed a 21-month contract worth SR48 million with National Grid SA to connect Al-Aridh Bulk Supply Point with the 132-kilovolt network in Riyadh.  

According to a Tadawul statement, KEIR International will carry out tasks related to high-voltage 132 kV underground cable installation, station protection, communications, and the implementation of remote-control systems.  

The company further noted that the financial impact of this deal will be visible from the first quarter of 2024 until the fourth quarter of 2025.  

KEIR International added that there are no related parties to the deal.  


ROSHN targets doubling energy efficiency of homes

ROSHN targets doubling energy efficiency of homes
Updated 51 min 7 sec ago
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ROSHN targets doubling energy efficiency of homes

ROSHN targets doubling energy efficiency of homes

DUBAI: Saudi Arabia’s national real estate developer ROSHN is targeting a 50 percent reduction in its homes’ energy bills, according to a company head.

The firm’s Director of Sustainability Waleed Al-Ghamdi spoke with Arab News on the sidelines of the 2023 UN Climate Change Conference, noting that the company is averaging 18 percent less energy consumption compared to the required building code in the Kingdom.

As a subsidiary of the Public Investment Fund, the entity has been mandated to develop sustainable urban communities with about 400,000 homes as part of the Vision 2030 plan laid by Crown Prince Mohammed Bin Salman.

Al-Ghamdi said: “Our typical buildings or typical homes that we design, our customers save on average about 18 percent energy compared to the Saudi building code. 

“So, we are above and beyond what the legal requirements are. The same applies to water. The same applies to our accessibility to public spaces and proximity to daily services.” 

To attain a 50 percent decrease goal, the company is facilitating purchasing agreements for new technologies and partnerships while ensuring that the purchasing price for the customer remains unaffected.

The company’s presence at COP28, as part of the region’s delegation, serves as a means to “keep abreast of what is happening on the global scene,” said the director.

“We build communities within existing cities. So our integration is important in addition to scouting and understanding what’s happening with friends and peers and vendors and suppliers, and also being abreast of what the trends are moving forward, specifically when it comes to decarbonization and also financing of those,” Al-Ghamdi added.

The company is mandated to build infrastructure and public amenities alongside the homes within its developments. This leads to a large supply chain that depends significantly on multiple vendors, and enforcing sustainability standards down the supply chain proves to be a challenge, he explained.

“Sustainability in the supply chain is not something easy for any company globally to manage. But one of the ways that we try to manage that is through signing certain partnerships with the suppliers and vendors within the region and helping them improve,” said Al-Ghamdi.


ENOWA to develop world’s first high-voltage smart grid

ENOWA to develop world’s first high-voltage smart grid
Updated 05 December 2023
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ENOWA to develop world’s first high-voltage smart grid

ENOWA to develop world’s first high-voltage smart grid

DUBAI: NEOM’s water and electricity subsidiary ENOWA has developed a blueprint for the world’s first renewable, high-voltage smart grid, Peter Terium, the company’s CEO, told Arab News.

In an interview on the sidelines of the 2023 UN Climate Change Conference, Terium said that the “grid of microgrids” will allow ENOWA to supply the NEOM region with sizable, 100 percent renewable electricity that simultaneously provides a 50 percent reduction of the corridor footprint.

According to the CEO, the principle of smart grids is simple, as they are traditionally used on a small scale in buildings. However, the sheer size of the development and the scope of coverage needed for the nine to 10 million individuals who will be residing in NEOM adds to the difficulty of the undertaking.

“That’s a huge achievement given it’s the size that makes it complex. You know, one windmill, a refrigerator, and a television are all 100 percent renewable. But a NEOM within the Kingdom that eventually is going to have nine to 10 million inhabitants. That’s very sizable,” Terium said.

In order to ensure minimum disturbance to the natural terrain and minimize visual disruption, the CEO noted that this would require limiting the number of corridors and implementing part of the grid to operate underground.

To achieve 100 percent renewable electricity in NEOM, Terium emphasized the crucial role of an efficient grid, highlighting that individuals often underestimate that all solar and wind farms require connectivity to “bring the electrons to the customer.”

Another key element, the CEO underscored, is storage. In order to ensure the stabilization, backup, and security of its renewable supply, the giga-project is implementing a portfolio of storage solutions.

The development is investing “billions and billions of Saudi riyals” to ensure that its first customers have access to green electricity, sustainable water, and reliable quality electricity through its grid and storage.

“One example is already for sure and we are expanding into the market with that, which is the world’s largest closed-loop pump, hydro storage, and it combines the traditional form of water-based hydro storage, so a small upper lake and a lower lake,” Terium said.

“That has two effects. First of all, it reduces the evaporation of the water. So that’s an economic effect. But the second effect is that it is a great attractor for birds. Birds and wildlife. So we have a major positive solution for storage that is pretty sizable, the largest in the world,” he added.

Considering the challenges ahead, the CEO highlighted that the development isn’t exclusively centered on creating new technologies. Instead, their key focus is to ensure that the electricity supplied to the NEOM region is renewable, dependable, and affordable.

While not entirely cheap, mature large-scale solar and wind technologies remain affordable, underscored Terium, and will thus be primarily implemented into the framework of connectivity used by the futuristic city.

“The NEOM region has a combination of very intensive solar irradiation and very abundant wind profiling — the solar during the day and the wind mainly in the evening. That makes it a perfect combination to take these two cheapest renewable technologies and get as much as possible out of them,” he outlined.

While the existing infrastructure for electricity amounted to half a gigawatt to 1 GW, the company has “ramped that up” to 3 GW with the aim of 5-6 GW in the near future.

According to Terium, the first tenders of solar and wind power plants have already been established, and the large green hydrogen plant being built will amount to 5-6 GW of installed capacity for power generation by the year 2026.

Due to the size of the NEOM development, the executive underscored that ENOWA is currently at about 5 percent completion of its infrastructure, with the goal of accelerating to 10 percent in the coming 12 to 18 months.

He said: “NEOM is going to be a large undertaking. And what we do is build the infrastructure in line with the growth of NEOM. So that’s why the percentage of 5 or 10 percent sounds low, but it is connected to the size, eventually, of NEOM. And then again, five or 10 eventually of a massive undertaking is already a huge project.”

The company is working with the Kingdom’s Ministry of Energy and collaborating with entities like the King Abdullah University of Science and Technology in its energy-centric ventures. Alongside KAUST, ENOWA will be installing the first carbon capture capacity into a gas-fired plant in the Kingdom. The executive said: “That is one example, but there are many other ones and all the institutions that are there in the Kingdom we work with, but also outside of the Kingdom.”

Through collaboration, it hopes to bring some of its ideas on how to scale renewable energy to the region through its renewable energy approaches and Saudi Arabia’s green hydrogen strategy, a part of which is the NEOM green hydrogen plant.

Terium said: “The Kingdom has now embarked upon a hydrogen strategy and a renewable energy strategy, but it may take advantage of some of the lessons learned that we had in the early stage. And we can bring in some of our ideas of how you can do that bigger and at a larger scale.”

What is important, according to the CEO, is that hydrogen needs to reach its customers, and there are more cost-effective solutions than shipping it in the form of ammonia.

Thus the decision to build a pipeline corridor infrastructure to Europe is something “that only a country like Saudi Arabia can do because that’s a job and a size which is even way too big for even NEOM.”