Global leaders call for binding agreements, increased renewable energy investments at COP28 

Global leaders call for binding agreements, increased renewable energy investments at COP28 
In the High-Level Segment National Statements, German Chancellor Olaf Scholz outlined a tripartite proposal to reinforce the gathering’s recurring themes.  Supplied
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Updated 02 December 2023
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Global leaders call for binding agreements, increased renewable energy investments at COP28 

Global leaders call for binding agreements, increased renewable energy investments at COP28 

DUBAI: The call for a significant increase in renewable energy investments resonated strongly on the third day of COP28, with various leaders advocating for a binding agreement at the Dubai event.     

In the High-Level Segment National Statements, German Chancellor Olaf Scholz outlined a tripartite proposal to reinforce the gathering’s recurring themes.     

“I propose three initiatives today. Firstly, making renewable energy expansion a top global energy policy priority. Here in Dubai, let’s set two binding goals, tripling renewable energy expansion and doubling energy efficiency by 2030,” Scholz stated.    

“My second point addresses international collaboration. We require platforms for developing collective solutions to transformation challenges.”      

He added: “Thirdly, I wish to discuss solidarity and responsibility. In 2022, Germany exceeded its goal of providing €6 billion ($6.5 billion) annually for international climate finance.”     

Norway’s Prime Minister Jonas Gahr Store also highlighted his country’s commitment to the event’s ambitious renewable energy targets.     

On the other hand, Iceland’s Prime Minister Katrin Jakobsdottir reaffirmed her nation’s dedication to advancing global energy transition.     

“We must drastically reduce emissions. Accelerating the green energy transition, scaling up green solutions, enhancing nature-based solutions, and ensuring polluters pay are essential. However, we also need to reduce our focus on maximizing production and consumption, shifting toward sustainability and well-being,” Jakobsdottir remarked.     

Other leaders underscored the critical need for financial support to assist developing countries in their transition efforts.     

“The world must honor its financial pledges. In 2022, the IMF (International Monetary Fund) reported $7 trillion spent on fossil fuel subsidies, yet the global commitment to the Paris Agreement’s $100 billion annual target remains challenging,” stated Mark Brown, prime minister of Cook Islands.     

Liberia’s President George Weah also emphasized the importance of improved global financing mechanisms, highlighting the country’s need for support to strengthen its climate action initiatives.     

Additionally, leaders from developing countries have called out other nations’ commitments to lack of action.  

“The Paris Agreement was a beacon of hope, a promise made by the world to safeguard our planet and its inhabitants. However, the reality falls shorter than the commitments made, and the burden of climate action continues to disproportionately fall on the shoulders of developing nations despite our minimal contribution to the crisis while the big polluters do their best to lecture us but not to stop themselves,” Edi Rama, prime minister of Albania, said.  

Eswatini’s Prime Minister Russell Mmiso Dlamini further stressed these points, stating “The commitments made remain just words. Fossil fuels remain high, much against the initial plans.”  

“In Eswatini, trucks are queuing in large numbers in borders carrying hundreds of tons of coal in transit to the developed world. While this continues, the use of nature-based mitigation is being promoted. With such practices, reaching net zero by 2050 will be impossible and developing countries should not be made to pay through the use of carbon markets,” he added.  

Despite some nations being short of their commitments, the US has continued to demonstrate action with the announcement of a new pledge to the global climate fund.  

“Today, I’m proud to announce a new $3 billion pledge to the green climate fund, which helps developing countries invest in resilience, clean energy, and nature-based solutions,” said Kamala Harris, US vice president.  

She added: “Today, we are demonstrating in action how the world can and must meet this crisis. This is a pivotal moment, our action collectively, or worse our inaction, will impact millions of people for decades to come.”   

Moreover, global leaders have also laid out their accomplishments as well as future strategies for combating climate change.     

“We have cut our coal use by over 80 percent. We are growing our economy at a much faster pace than the eurozone average while reducing emissions. In total, our emissions are down by 43 percent from 2005 as we turn to renewable energy, the best performance among European countries,” Kyriakos Mitsotakis, prime minister of Greece, said.     

“Burundi has committed via the Nationally Determined Contributions to protect the environment, to strengthen resilience toward climate change, and to boost food security. This is infused in our national policies and our vision for Burundi. An emerging country by 2040, and a developed country by 2060,” Evariste Ndayishimiye, president of Burundi, said. 


Al Akaria inks deal with Marriott to introduce Autograph hotel brand in Riyadh 

Al Akaria inks deal with Marriott to introduce Autograph hotel brand in Riyadh 
Updated 22 February 2024
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Al Akaria inks deal with Marriott to introduce Autograph hotel brand in Riyadh 

Al Akaria inks deal with Marriott to introduce Autograph hotel brand in Riyadh 

RIYADH: Riyadh is set to welcome a new 280-key luxury hotel following an agreement signed by Saudi Real Estate Co., also known as Al Akaria.      

The deal with Marriott International will introduce the Autograph Collection brand to the Saudi capital, paving the way for the opening of the new hotel, according to a statement.   

Scheduled to commence construction in 2025, the hotel is anticipated to welcome visitors by 2028 upon its completion, the release added.   

Ibrahim Al-Alwan, CEO of Al-Akaria Real Estate Co., said: “We are confident that this collaboration will set new standards in luxury hotel hospitality in the region.”    

This step reflects Al Akaria’s commitment to promoting tourism and hospitality in Riyadh, aligning with the goals of the Kingdom’s Vision 2030 to create appealing destinations for residents and visitors.   

It also contributes to Saudi Arabia’s aspiration to strengthen its position as a recognized international tourist destination.  

Moreover, the new hotel will contribute to the development of a mixed-use destination, featuring commercial facilities, restaurants, and entertainment areas. 

According to Chadi Hauch, regional vice president of lodging development in the Middle East at Marriott International, the tourism industry in the Kingdom is currently undergoing a rapid and visually striking transformation, providing them with various opportunities to expand their presence accordingly.  

In December, Marriott International announced the commencement of construction for a Ritz-Carlton in the historic town of Diriyah.  

Preceding this, in November, the hotel operator inked an agreement with Saudi's Sela Sport to develop two new luxury hotels in the country. 

In September, the hospitality firm revealed plans for hotels from two of its brands in NEOM’s mountain destination, Trojena. The development includes a W Hotel and a JW Marriott facility, solidifying the partnership between the hospitality giant and the giga-project, according to a statement released at the time.


WTO’s Ministerial Conference in Abu Dhabi to address decentralization of global supply chains

WTO’s Ministerial Conference in Abu Dhabi to address decentralization of global supply chains
Updated 22 February 2024
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WTO’s Ministerial Conference in Abu Dhabi to address decentralization of global supply chains

WTO’s Ministerial Conference in Abu Dhabi to address decentralization of global supply chains

RIYADH: Abu Dhabi is set to host the World Trade Organization’s Ministerial Conference focused on reshaping global trade dynamics, according to the intergovernmental body’s director general.

Ngozi Okonjo-Iweala highlighted in an interview with the Emirates News Agency from Geneva the importance of this discussion slated to take place from Feb. 26 to 29.

She said that this gathering will see talks on various topics, such as decentralizing global supply chains, fostering a more inclusive international trade landscape, and ensuring the participation of marginalized communities in multinational development efforts.

Okonjo-Iweala stressed that many private-sector investors currently adopt the “China+1” model, where they diversify supply chains beyond the Asian economic giant to countries like Vietnam, Indonesia, or India.

“We have no problems with that. But we are saying there is also China plus Morocco, China plus Brazil, China plus Senegal, China plus Bangladesh. So, there are many countries that are ripe for investment,” Okonjo-Iweala said.

The focus on decentralization aims to encourage investors to reshape global supply chains and drive employment opportunities. Okonjo-Iweala underlined that for the world to enhance resilience, the private sector must invest in developing countries with conducive investment environments.

She highlighted the multifaceted benefits of such investments, stating: “You can help deal with the resilience of supply chains. You can help deal with inequality by investing in developing countries. You can help create jobs.”

Reflecting on the significance of the WTO’s 13th Ministerial Conference being hosted in Abu Dhabi, Okonjo-Iweala expressed gratitude to the UAE for its commitment to multilateralism and global solidarity. 

She added that collaboration with the Emirati authorities in organizing a meeting that will bring together more than 7,000 people in Abu Dhabi has been highly positive.

MC13’s agenda includes pioneering discussions on various contemporary issues ranging from trade and environment to climate change, sustainability, and inclusion. 

Okonjo-Iweala stressed the importance of addressing the challenges faced by marginalized populations and integrating developing countries, especially women and small enterprises, into the global supply chain.

Additionally, MC13 will celebrate the accession of new WTO members – Timor-Leste and Comoros – for the first time in eight years. Discussions will also revolve around reforms in the dispute settlement system and negotiations on digital trade, fisheries subsidies, and more.

As the world navigates complex economic and environmental challenges, MC13 stands as a platform for fostering dialogue, cooperation, and inclusive trade policies to drive sustainable global development.


Saudi Fund for Development set to enhance Tunisia’s railway network with loan

Saudi Fund for Development set to enhance Tunisia’s railway network with loan
Updated 22 February 2024
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Saudi Fund for Development set to enhance Tunisia’s railway network with loan

Saudi Fund for Development set to enhance Tunisia’s railway network with loan

RIYADH: Tunisia’s railway network is set to improve as the Saudi Fund for Development is expected to finalize a loan agreement during its visit to the African country’s capital.

The development came as Sultan Al-Marshad, CEO of SFD, and Saudi delegates initiated their Tunisia visit on Feb. 21, focusing on discussions to enhance development collaboration between the two sides. 

SFD’s visit to the country aims to finalize a development loan agreement for the renovation and development of the phosphate transport railway, the Saudi Press Agency reported. 

Welcomed by Tunisian Prime Minister Ahmed Al-Hachani, Al-Marshad engaged in talks to strengthen cooperation, and support social and economic growth in various Tunisian regions.  

During his visit, the CEO also participated in a housing unit handover ceremony in Zaghouan governorate. 

SFD has been extending financial aid and development loans to Tunisia since 1975. 

In July 2023, Saudi Arabia granted $400 million as a soft loan and $100 million as a grant to bolster Tunisia’s economy.  

Established in 1974, SFD has funded over 800 development projects valued at $20 billion across more than 100 countries globally. 

In December 2023, during the Tunisian-Saudi Joint Commission held in Tunis, Finance Minister Sihem Boughdiri Nemsia said that her country is ready to consolidate constructive cooperation with the Kingdom to achieve the development goals of both nations.  

During the same event, Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef noted that the Kingdom wishes to become an active partner in Tunisia’s economic activities.  

“Given that Tunisia enjoys important mineral resources such as iron, copper, lead, and a significant phosphate reserve, we hope to explore more investment opportunities in these areas and obtain operational concessions in Tunisia,” said Alkhorayef, as reported by the Tunisian News Agency, Tunis Afrique Presse. 

During the December visit, Alkhorayef engaged in meetings with Tunisian officials, including Minister of Trade and Export Development Kalthoum ben Rejeb. The discussions focused on exploring avenues to boost Saudi non-oil exports to Tunisia. 

He also met with Tunisia’s Minister of Agriculture, Water Resources, and Fisheries, Abdelmonem Belati, to discuss plans for formalizing a memorandum of understanding in the field of water resources. 


PIF to acquire stake in Saudi construction giant Binladin Group – reports

PIF to acquire stake in Saudi construction giant Binladin Group – reports
Updated 22 February 2024
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PIF to acquire stake in Saudi construction giant Binladin Group – reports

PIF to acquire stake in Saudi construction giant Binladin Group – reports

RIYADH: Saudi Arabia’s Public Investment Fund is set to take a 36 percent stake in the Kingdom’s construction giant Binladin Group, according to Bloomberg. 

While PIF did not offer an official response to the report, Bloomberg said the fund is “working with Morgan Stanley on a potential deal to buy into Saudi Binladin Group,” citing people with knowledge of the matter. 

“The PIF, as the $700 billion wealth fund is known, is considering acquiring part or all of the 36 percent stake owned by the ministry of finance, the people said, asking not to be identified because the discussions are private,” reported Bloomberg. 

It added that the sovereign wealth fund is looking to local firms to build the infrastructure needed to host showcase events such as the World Expo. Spokespeople for Morgan Stanley and PIF declined to comment. 

Representatives for Binladin couldn’t be reached for comment, according to the outlet. The Kingdom’s fund is helping Saudi Arabia boost its transition from oil and overseeing several giga-projects such as NEOM. 

Bloomberg said PIF spent $1.3 billion last year to acquire stakes in four local construction companies to bolster the Kingdom’s domestic construction industry.

Saudi Binladin Group operates in three categories, including construction, power, and industrial.

On the construction side, SBG has worked on more than 15 building projects in Saudi Arabia, including the expansion of the Holy Mosque in Makkah and Al-Faisaliah Tower in Riyadh.

Internationally, the group’s projects include Kuala Lumpur Airport, Sharm El-Sheikh Airport in Egypt as well as Sharjah International Airport and Fujairah International Airport in the UAE.

In the power generation sector, SBG worked on Al-Shoaiba Power Plant and Power Plant No.9, also known as PP9, which generates a capacity of 5,980 megawatts and was built on an area of 3.2 million sq. m.

Also, Binladin Group’s industrial project encompassed the BCS Ready Mix Factory and the Bahra Industrial Complex.

In a press statement earlier this month, PIF revealed it had acquired a 40 percent stake in the Zamil Offshore Co., one of the largest Saudi-based offshore support vessel operators. 

According to the wealth fund, this transaction is a part of the fund’s wider strategy to contribute to the development of the Kingdom’s energy base. 

In January, PIF increased its stake in Japan-based video game firm Koei Tecmo to 6.60 percent from 5.56 percent. Similarly, in February 2023, PIF raised its stake in Nintendo Co. to 8.26 percent from 7.08 percent, making it the largest outside investor in the Japanese gaming company. 

Last month, the fund also acquired a 23.8 percent stake in Middle East Paper Co., one of the leading manufacturers specializing in producing and recycling paper products in the region.


Pakistan aiming to increase trade with Saudi Arabia to $20bn: minister

Pakistan aiming to increase trade with Saudi Arabia to $20bn: minister
Updated 22 February 2024
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Pakistan aiming to increase trade with Saudi Arabia to $20bn: minister

Pakistan aiming to increase trade with Saudi Arabia to $20bn: minister

RIYADH: Pakistan wants to increase its trade with Saudi Arabia to $20 billion, up from the current $5.7 billion, through enhancing business conditions, according to a top official.

The Saudi-Pakistani Business Forum kicked off in Riyadh on Feb. 22 under the patronage of Minister of Commerce Majid bin Abdullah Al-Qasabi, organized by the Federation of Saudi Chambers, according to the Kingdom’s official press agency. 

During the event, Pakistan’s Minister of Commerce Gohar Ejaz highlighted the role of the Free Trade Agreement between the Gulf Corporation Council countries and his nation in opening up opportunities for investors from both regions. 

He expressed his ambition to increase trade volume to $20 billion by improving the business environment between the two countries and encouraging the private sector, especially since Pakistan represents a significant market and opportunity for Saudi investors. 

Chairman of the Federation of Saudi Chambers Hassan Al-Huwaizi noted the leaps in trade exchange between the Kingdom and Pakistan, which reached $5.7 billion, adding that Pakistan now ranks 20th in the list of Saudi trading partners, with broader prospects for partnership and Pakistani investors in Vision 2030 projects. 

The Kingdom is home to over 2.7 million Pakistani expatriates, serving as the top source of remittances for the cash-strapped South Asian country. 

“Remittance inflows during Jan. 24 were mainly sourced from Saudi Arabia ($587.3 million), United Arab Emirates ($407.6 million), United Kingdom ($362.1 million) and United States of America ($283.4 million),” the State Bank of Pakistan said in a press release.

Ejaz pointed out that the agreement provides protection and guarantees for Saudi and Gulf investments, explaining that the forum comes within Pakistan’s interest in developing its relations with the Kingdom and benefiting from Vision 2030 projects.

The minister of commerce emphasized in a speech, conveyed by Acting Deputy Governor of the Foreign Trade Authority’s Deputyship of Private Sector Affairs and Global Presence Fawaz bin Rafaah, the significant role played by the private sectors of Saudi Arabia and Pakistan in developing the volume of trade exchange, as reported by the Saudi Press Agency. 

Fahd Al-Bash, president of the Saudi-Pakistani Business Council, revealed several initiatives and projects the council is working on in cooperation with investors from both countries. 

These include launching a portal for rice importers from Pakistan, establishing a technology center in Riyadh, a halal meat center in Makkah, as well as a market for Pakistani products in the Kingdom and joint petrochemical industries to meet the needs of the market. 

Forum participants discussed the opportunities and initiatives provided by Vision 2030 for Pakistani investors, as well as the investment options available to Saudi businessmen in Pakistan across various targeted economic sectors. 

During the forum, the ministry of investment screened a presentation titled “Invest in Saudi Arabia,” covering the financial environment and opportunities in the Kingdom.

The Agricultural Development Fund also presented its services and efforts in agricultural sector development. 

Additionally, the Saudi Export-Import Bank showcased its efforts and services in developing Saudi exports and serving exporters, while the Pakistani Investment Council reviewed the investment opportunities available in Pakistan.

Saudi Arabia’s Crown Prince Mohammed bin Salman has directed a study to increase the Kingdom’s investments in Pakistan to $10 billion. 

He also advised the Saudi Fund for Development to explore opportunities for enhancing the Saudi deposit to the Central Bank of Pakistan, aiming to reach $5 billion.