Saudi municipalities offer 57 investment opportunities across commercial and residential sectors
Initiatives intended to enhance service levels, improve quality of life, boost regional investment and increase municipal revenues
Interested investors can review the details of these opportunities at Furas
Updated 04 August 2024
Arab News
RIYADH: Saudi Arabia’s Hail, Qassim, and Asir municipalities have unveiled 57 new investment opportunities across entertainment, sports, commercial and residential sectors, aimed at boosting economic growth and supporting the private sector.
These initiatives are intended to enhance service levels, improve quality of life, boost regional investment and increase municipal revenues, the Saudi Press Agency reported.
The move is part of the municipalities’ ongoing efforts to stimulate economic activity, enhance regional development, improve urban landscapes and boost tourism and entertainment attractions.
It also highlights Saudi Arabia’s commitment under Vision 2030 to foster a more resilient and inclusive economy by promoting growth in areas beyond major cities like the capital, Riyadh, and the Red Sea port city of Jeddah.
In Hail, the municipality has announced 33 investment opportunities through the Saudi Cities Investment Gate, known as Furas, during the third quarter of 2024.
These opportunities include two commercial complexes, a fuel station, and a commercial kiosk. They also cover a store, multipurpose locations, a site for second-hand clothes, and two residential-commercial sites. Additionally, the projects include four car maintenance centers, three pedestrian bridges, and 12 cash dispensers.
The Qassim Municipality, through its branch in Riyadh Al-Khabra, has announced six investment opportunities via Furas. These opportunities are available for private sector entities in the commercial, sports and entertainment, and industrial sectors.
Representing the Asir Municipality, the Dhahran Al-Janoub branch has announced 18 investment opportunities via the municipal investment portal, spanning commercial, sports and entertainment, and industrial sectors as well.
Interested investors can review the details of these opportunities at Furas and contact the relevant investment departments through the portal.
Apple committed to user privacy, says director at Global AI Summit
Device owners at center of Apple policy, says Gary Davis
Firm supports Saudi Arabia’s personal data protection law
Updated 7 sec ago
Arab News Japan
RIYADH: Apple remains committed to protecting the data and privacy of its users, according to a senior executive speaking at the third Global AI Summit in Riyadh on Wednesday.
Gary Davis, global senior director of privacy and regulatory matters, said: “Apple’s privacy commitments are built into our products and features by design because at Apple, we believe that privacy is a human right.”
“That’s why Apple has, for many years, supported the introduction of data privacy laws globally. And that is why we support the introduction of your personal data protection law here in Saudi Arabia.”
Davis said the company’s approach will remain the same even as it integrates artificial intelligence into its products.
“Apple's approach to emerging technologies, like AI, is no different,” he said. “As we deeply integrate Apple Intelligence into iOS, iPadOS and macOS, we will not veer from our whole commitment to user privacy.”
Davis said the use of AI must encompass respect for human values. “It’s not only a possibility, it’s a responsibility,” he said. “We’ve been guided by our belief that great artificial intelligence and great privacy standards are not mutually exclusive, but rather mutually reinforcing.”
He added that Apple operates from four basic principles: collecting as little data as possible; device owners have the rights to their data; users will have the final say in data collection; and there is no privacy without security.
“Time and again, we’ve introduced many exciting cutting-edge features that are built from the bottom up to protect user privacy,” he said, citing the firm’s browser, Safari, its cloud storage and Apple Intelligence as examples.
“Safari blocks third-party cookies by default and has undertaken many new innovations to continue to ensure that, as you use it, you remain completely in control of your data,” he said.
“Apple Intelligence is built from your experiences across your device. That includes your photos, your messages, your files, and calendar events. So that it can provide you, and only you, with information and assistance based on what matters to you.”
He said that even if some companies say they will not misuse people’s data, the users have no way of checking or verifying if this is true.
“Our basic principle is that no one, not even Apple, perhaps even especially Apple, should have visibility into your requests, even if your data is leaving your device and going to a cloud.
“To mitigate entire classes of privacy risk, we omitted persistent data storage, we replaced the tools normally used to manage servers, and we took steps to prevent privileged access.
“The result is an unprecedented cloud security foundation based on Apple Silicon. With Private Cloud Compute, user data is never available to Apple. It’s never stored,” he said.
Saudi Arabia increasingly attractive to investors: BlackRock official
Updated 11 September 2024
MOHAMMED AL-KINANI
JEDDAH: Saudi Arabia is drawing attention from local and international investors as the Kingdom continues to prosper, according to a top global asset management company official.
In an interview with Arab News, BlackRock’s Managing Director, Head of Middle East Client Business and CEO Saudi Arabia Yazeed Al-Mubarak, said that the global client base has shown a growing interest in gaining exposure to Middle Eastern assets.
He also underlined that regional investors are increasingly seeking more appealing opportunities within the local market.
“As Vision 2030 and its accompanying capital investment comes to life, Saudi Arabia has become an increasingly attractive destination for local and international investment,” Al-Mubarak said.
In August, BlackRock signed a memorandum of understanding in New York with the Saudi Real Estate Refinance Co., fully owned by the Kingdom’s sovereign wealth fund.
The signing occurred during an official visit to the US by Saudi Arabia’s Minister of Municipalities and Housing Majid Al-Hogail.
The deal seeks to develop the real estate finance sector in the Kingdom and increase the share of businesses in the industry’s capital markets.
The agreement was signed by SRC CEO Majid Al-Abduljabbar and Al-Mubarak in the presence of BlackRock President Robert Kapito.
Al-Mubarak said that SRC is leading the way in developing mortgage refinancing solutions for Saudi banks and housing finance companies, enabling global institutional investors to engage with this expanding and high-quality fixed-income asset class.
Commenting on his company’s memorandum with SRC, the CEO said the announcement is an agreement to develop a high-quality fixed-income asset class of mortgage-related securities.
Providing insight on how BlackRock foresees this partnership impacting the real estate finance market in the Kingdom, he said that the Saudi housing sector is experiencing rapid growth due to population expansion, urbanization, and proactive government initiatives.
“Central to this growth is the Housing Program under Vision 2030 that aims to increase homeownership to 70 percent by 2030,” he said.
He added: “The mortgage market has quadrupled in size over the last five years, exceeding $150 billion and expected to further grow to nearly $200 billion. Prior year’s momentum slowed in 2022-2023 due to house price appreciation, rising mortgage rates, and a significant reduction in historical subsidy programs.”
Al-Mubarak further said that to support this growth and bank lending, SRC is looking to issue securitizations locally and internationally to provide additional funding capacity and contribute to the development of the Saudi debt capital markets.
Larry Fink, chairman and CEO of BlackRock, with Yazeed Al-Humied, deputy governor and head of MENA investments at PIF, in April at the launch of BlackRock Riyadh Investment Management. PIF
Commenting on how this collaboration aligns with the Kingdom’s Vision 2030 and what role his firm sees itself playing in achieving these goals, the managing director pointed to BlackRock Riyadh Investment Management, or BRIM – launched in April with an initial investment mandate of up to $5 billion from PIF.
The company – dubbed the first-of-its-kind in the Kingdom by BlackRock’s CEO Larry Fink when it was announced – will further develop Saudi Arabia’s asset management sector, including the housing capital markets, and provide a broad range of attractive backing strategies for Middle Eastern and global clients.
“BRIM will encompass investment strategies across a range of asset classes for the Saudi market, including both public and private markets, managed by a Riyadh-based investment team,” Al-Mubarak told Arab News.
He added that the guarantee offering provided by the Saudi Mortgage Guarantee Services Co., or Damanat, fully owned by the Saudi Real Estate Development Fund, will now act as an enabler for BRIM’s mortgage-focused fixed income strategies.
Speaking of the long-term goals of this partnership, Al-Mubarak said that these include the development of the Kingdom’s mortgage securitization framework, as well as related investment strategies to enable investors to access this market.
Al-Mubarak discussed his company’s initial partnership with SRC and the Ministry of Municipalities and Housing, stating that while there are no firm plans at this stage, his company is enthusiastic about working with both entities on future projects.
Aramco enhances cooperation with China’s Rongsheng, Hengli in new deals
Updated 11 September 2024
Miguel Hadchity
RIYADH: Saudi oil giant Aramco has unveiled new agreements with its Chinese partners, Rongsheng Petrochemical Co. and Hengli Group Co., during Chinese Premier Li Qiang’s visit to the Kingdom.
According to a press release, these agreements underscore Aramco’s ongoing dedication to bolstering China’s long-term energy security and development while enhancing its strategic relationship with key regional partners.
The agreements include preliminary documentation for a development framework agreement with Rongsheng and a strategic cooperation agreement with Hengli Group. These collaborations occur as Saudi Arabia and China deepen their engagement in the energy and petrochemical sectors, reinforcing Aramco’s role in advancing mutual objectives in these critical industries.
The development framework agreement with Rongsheng involves the potential joint expansion of the Saudi Aramco Jubail Refinery Co. facilities. This follows an announcement in April 2024, when Aramco and Rongsheng signed a cooperation framework agreement that set the stage for a joint venture in SASREF and significant investments in the Saudi and Chinese petrochemical sectors.
The joint venture contemplates Rongsheng acquiring a 50 percent stake in SASREF, while Aramco would potentially acquire a 50 percent stake in Rongsheng’s affiliate, Ningbo Zhongjin Petrochemical Co. Additionally, the agreement includes participation in the expansion of ZJPC’s facilities and the development of a liquids-to-chemicals project at SASREF, representing a substantial enhancement in the petrochemical capabilities of both companies.
The strategic cooperation agreement advances discussions related to Aramco’s potential acquisition of a 10 percent stake in Hengli Petrochemical Co., contingent on due diligence and regulatory approvals.
This agreement follows a memorandum of understanding signed in April this year, which outlined the proposed transaction and set the foundation for further collaboration between Aramco and Hengli in the petrochemical sector.
Aramco’s Downstream President Mohammed Y. Al-Qahtani, emphasized the importance of these agreements, stating that they affirm the company’s belief in the long-term mutual benefits of close collaboration with Chinese partners.
“China is an important country in our global downstream growth strategy, and we look forward to building on a relationship that spans more than three decades to unlock new opportunities in this crucial market,” he said.
Al-Qahtani further said that these agreements reflect a shared intention to strengthen relationships in key sectors, advance Aramco’s downstream goals, and contribute to the vibrant energy and petrochemicals sectors in both China and Saudi Arabia.
These agreements are part of Aramco’s broader strategy to cement its position as a key player in the energy landscape while contributing to Saudi Arabia’s economic development. By fostering closer collaboration with Chinese partners and exploring innovative technological solutions, Aramco is positioning itself to meet the evolving energy needs of both nations.
The company’s relationship with China spans over three decades, and these latest agreements mark a continuation of this longstanding partnership, with a focus on future growth and innovation.
Saudi Arabia issues over 37k certificates of origin reinforcing export growth
Updated 11 September 2024
MANAL AL-BARAKATI
RIYADH: Saudi Arabia’s Ministry of Industry and Mineral Resources issued 37,730 certificates of origin in August, maintaining its strong focus on enhancing the country’s export sector.
This achievement marks the 16th consecutive month with certificate issuances exceeding 30,000, following July’s total of 40,588 and June’s 31,887.
These certificates play a vital role in confirming that exported goods are either of Saudi origin or have attained national origin status, thereby facilitating smoother international trade.
By streamlining the issuance process, the ministry seeks to boost the competitiveness of the Kingdom’s exports in international markets, strengthen trade relationships, and promote broader economic growth.
To accommodate the diverse needs of exporters, the certificates are offered in four distinct formats. One format is specifically designed for national products traded within Gulf Cooperation Council countries, facilitating regional commerce.
Another format caters to exports to Arab nations. Additionally, a preferential certificate is available for trade with countries that have free trade agreements with the GCC.
For exports to countries without preferential treatment, a general certificate is provided in both Arabic and English to ensure accessibility.
The enhanced ease of exporting goods bolsters the diversification of Saudi Arabia’s economy and reduces its reliance on oil revenues. This effort aligns with the Kingdom’s broader economic objectives outlined in Vision 2030, which focus on fostering sustainable, long-term growth through the expansion of non-oil sectors. Recently, Saudi Arabia has introduced several key initiatives designed to strengthen its export capabilities, particularly for non-oil products, as part of its broader diversification strategy.
A key initiative in this effort is the “Made in Saudi” program, spearheaded by the Saudi Export Development Authority. This initiative promotes locally manufactured goods on the international stage by helping companies secure the “Saudi Made” brand.
This branding not only increases the visibility of Saudi products in global markets but also emphasizes quality and credibility, thereby enhancing their competitiveness abroad.
SEDA has also launched several trade missions to bolster international trade relationships. In 2024, Saudi delegations took part in prominent global exhibitions, including the Big 5 Construct Egypt and events in India, where they highlighted Saudi non-oil exports.
These missions facilitate connections between Saudi exporters and international buyers, expanding market access for national products. Such efforts underscore the Kingdom’s strategic goal of increasing non-oil exports to 50 percent of gross domestic product, diversifying its economy, and diminishing its reliance on oil revenues.
Saudi flynas inks exclusive deal as Al-Hilal Club’s official air carrier
Updated 11 September 2024
MOHAMMED AL-KINANI
JEDDAH: Saudi budget airline flynas has made its debut in the sports sector by signing a sponsorship deal with Al-Hilal Club Co., becoming the team’s official air carrier.
The airline signed an exclusive agreement to support Al-Hilal for four seasons, running through the 2027-2028 period, the Saudi Press Agency reported.
As part of the deal, flynas will dedicate an aircraft featuring Al-Hilal’s logo on its fuselage. The airline will also gain commercial rights both on and off the field, and its logo will appear on the players’ jerseys as an official partner.
The sponsorship aligns with Saudi Vision 2030, which seeks to boost the sports sector as a driver of economic growth and tourism.
