Saudi investment licenses for Egyptian firms double in 2024, says minister
Updated 16 September 2024
Reem Walid
RIYADH: Saudi Arabia’s issuance of investment licenses to Egyptian businesses more than doubled in 2024, reflecting a significant boost in economic collaboration between the two nations, according to a senior minister.
At a meeting with Egyptian Prime Minister Mostafa Madbouly, organized by the Federation of Chambers in Riyadh, Saudi Investment Minister Khalid Al-Falih underscored Egypt’s increasing role as a key economic partner for the Kingdom. This follows Saudi Arabia’s exports to Egypt totaling $6.44 billion in 2022, while Egypt’s exports to the Kingdom reached $2.35 billion, as reported by the Observatory of Economic Complexity.
“During 2024, it (investment licenses) grew by more than 100 percent over the previous year, and Egyptian investors created more than 80,000 jobs in the Saudi economy,” the minister said.
He further emphasized the importance of the Egyptian market to the Kingdom, noting its broad involvement in sectors such as tourism, transportation, infrastructure, real estate development, agriculture, energy, and information technology.
“We, in the Kingdom, believe that strengthening cooperation with Egypt will benefit both the Saudi and Egyptian economies, which are, as I mentioned, the nucleus and heart of the Arab economy,” Al-Falih added.
The minister also pointed out that collaboration and integration between the two countries, along with leveraging their competitive advantages, would accelerate regional economic growth. He highlighted the relevance of this cooperation in light of global economic shifts supporting global supply chains, environmental preservation, and emerging sectors like information technology and artificial intelligence.
“The Saudi investor will not only provide Egypt with his investments but will be a partner with international companies that invest with him in the Kingdom and in all countries of the world. We aspire for Egypt to be an extension of investments in the Kingdom, giving us the weight of the large strategic market and the free trade agreements that Egypt enjoys,” he concluded.
During the meeting, Prime Minister Madbouly noted that Saudi Arabia remains the primary destination for Egyptian expatriates. “Our goal is to raise Egyptian exports from $35 billion to $145 billion,” he said.
Madbouly also emphasized Egypt’s efforts to resolve issues faced by Saudi investors, stating that many problems have been addressed, with ongoing work to tackle remaining challenges. He highlighted Egypt’s aim to attract more Saudi investments, especially with new incentives such as the golden license.
Egypt’s Minister of Investment and Foreign Trade, Hassan El-Khatib, who also attended the meeting, stressed the importance of listening to investors. “We know the challenges that the investor faces and find solutions to them,” he stated.
El-Khatib added: “The goal in this field is for me to have a clear investment policy that puts the competitiveness of the Egyptian economy at the heart of this strategy.”
Lucid says it is on track to enter midsize electric SUV market next year
Updated 26 sec ago
REUTERS
RIYADH: Lucid is on track to launch its midsize electric SUV in 2026, company executives said on Tuesday, as the EV maker looks to tap an increasingly competitive segment dominated by rival Tesla’s bestselling Model Y crossover.
“There are a lot of crazy things going on in the world that can affect that (timeline). But currently we are on track,” said Derek Jenkins, senior vice president at Lucid.
The company targets a $50,000 price point, which will pit the model against contenders such as the Ford Mustang Mach-E, Hyundai Ioniq 5 and the upcoming Rivian R2.
Teams at Lucid have been preparing assembly lines and working with vendors to move ahead with the launch, said Emad Dlala, senior vice-president at the electric-vehicle maker.
TARIFF IMPACT
Lucid is not immune to the Trump administration’s tariffs but is working to mitigate its effects, interim CEO Marc Winterhoff told Reuters.
While the EV maker does not plan any price hikes, it has signed agreements with battery cell and graphite suppliers to bring production to the US, Winterhoff said.
“We have those agreements already. The plants are being built right now, so it’s not something that we can switch on today, but it's in the near future,” he said.
Former Tesla engineer Peter Rawlinson, who was the CEO of Lucid for more than five years, resigned in February.
The company, backed by Saudi Arabia’s sovereign wealth fund PIF, plans to launch the less-expensive Touring variant of the Gravity SUV later this year, starting at $79,900. It expects strong demand for the premium model to help double its 2025 vehicle production to around 20,000 units.
Lucid started producing its Gravity SUV at its Arizona factory last year, with customer orders for the Grand Touring trim opening in November.
HONG KONG: Hongkong Post said on Wednesday it had suspended goods mail services by sea to the US and will suspend its air mail postal service for items containing goods from April 27 due to “bullying” US tariffs.
When sending items to the US, Hong Kong people “should be prepared to pay exorbitant and unreasonable fees due to the US’s unreasonable and bullying acts,” Hongkong Post said in a statement.
Other postal items containing documents only without goods would not be affected.
“The US is unreasonable, bullying and imposing tariffs abusively. Hongkong Post will definitely not collect any so-called tariffs on behalf of the US,” it said.
Hong Kong, a special administrative region of China, has been subjected to the same tariffs as China, according to a US government notice.
The former British colony has long been known as a free and open trading hub, but China’s imposition on Hong Kong of a sweeping national security law in 2020 drew criticism from the US and led it to end the financial hub’s special status under US law.
Hongkong Post said its suspension was due to the US government's elimination of the “de minimus” exemption and the increase in tariffs for postal items from Hong Kong containing goods to the US from May 2.
Trump orders tariff probe on all US critical mineral imports
Updated 29 min 56 sec ago
REUTERS
RIYADH: US President Donald Trump on Tuesday ordered a probe into potential new tariffs on all US critical minerals imports, a major escalation in his dispute with global trade partners and an attempt to push back on industry leader China.
The order lays bare what manufacturers, industry consultants, academics and others have long warned Washington about: that the US is overly reliant on Beijing and others for processed versions of the minerals that power its entire economy.
China is a top global producer of 30 of the 50 minerals considered critical by the US Geological Survey, for example, and has been curtailing exports in recent months.
Trump signed an order directing Commerce Secretary Howard Lutnick to begin a national security review under Section 232 of the Trade Expansion Act of 1962. That is the same law Trump used in his first term to impose 25 percent global tariffs on steel and aluminum and one he used in February to launch a probe into potential copper tariffs.
US dependency on minerals imports “raises the potential for risks to national security, defense readiness, price stability, and economic prosperity and resilience,” Trump said in the order.
Within 180 days, Lutnick is required to report his findings to the president, including whether to impose tariffs. Were Trump to then impose a tariff on a nation's critical minerals, the rate would supersede the reciprocal tariffs Trump imposed earlier this month, according to the White House.
The review will assess US vulnerabilities for the processing of all critical minerals — including cobalt, nickel and the 17 rare earths, as well as uranium — how foreign actors could be distorting markets, and what steps could be taken to boost domestic supply and recycling, according to the order.
The US currently extracts and processes scant amounts of lithium, has only one nickel mine but no nickel smelter, and has no cobalt mine or refinery. While it has several copper mines, the US has only two copper smelters and is reliant on other nations to process that key red metal.
The order takes a broad view of processing as all the steps after rock is taken out of the ground and where they are done. It also directs a review of US capabilities to produce so-called semi-finished goods, including battery cathodes and wind turbines.
The move is the latest in Trump’s effort to jumpstart US minerals production and processing. The president last month signed an order directing federal agencies to create a list of US mines that could be quickly approved and federal lands that could be used for minerals processing.
Still, it takes years to build a new mine and processing facility, a timeline that has sparked concern about where the US could procure minerals were tariffs broadly imposed.
“Ultimately the US gets certain minerals from China because there are not alternative supplies elsewhere,” said Gracelin Baskaran, director of the critical minerals security program at the Center for Strategic and International Studies.
‘FULL SCOPE’
Beijing earlier this month placed export restrictions on rare earths in response to Trump’s tariffs, a move that further exacerbated supply concerns amongst Trump officials.
Rare earths are a group of 17 elements used across the defense, electric vehicle, energy and electronics industries. The US has only one rare earths mine and most of its processed supply comes from China.
The restrictions from China were seen as the latest demonstration of the country’s ability to weaponize its dominance over the mining and processing of critical minerals after it put outright bans on the export of three other metals last year to the US and slapped export controls on others.
Chinese mining companies across the globe have been flooding markets with cheap supplies of many critical minerals in recent years, fueling calls from industry and investors for Washington to support US projects.
The White House also said Trump is focused on closing tariff loopholes. As with other products, the supply chain for critical minerals processing involves multiple countries.
“An effective policy should take into account the full scope of the supply chain to level the global playing field,” said Abigail Hunter, executive director of SAFE’s Center for Critical Minerals Strategy.
Oil Updates — crude slides as markets assess impact of US-China trade war
Updated 47 min 7 sec ago
REUTERS
SINGAPORE: Oil prices fell about 1 percent on Wednesday, as shifting US tariff policies fuelled uncertainty, prompting traders to weigh the potential impact of the US-China trade war on economic growth and energy demand, according to Reuters.
Brent crude futures fell 66 cents, or 1.0 percent, to $64.01 per barrel by 09:30 a.m. Saudi time, while US West Texas Intermediate crude dropped 69 cents, or 1.1 percent, to $60.64. Both benchmarks fell 0.3 percent on Tuesday.
Global oil demand is expected to grow at its slowest rate for five years in 2025 and US production gains will also taper off, due to US President Donald Trump’s tariffs on trading partners and their retaliatory moves, the International Energy Agency said on Tuesday.
“Investors continue to struggle in finding a catalyst to drive a more meaningful rebound, as global growth is widely expected to slow ahead with US tariffs, which puts oil demand in jeopardy,” said Yeap Jun Rong, market strategist at IG.
“The downward trend for oil prices remains intact and we may expect initial optimism around tariff rollbacks to fade, and the underlying macro headwinds on upcoming economic data could bring markets back to a more sobering reality,” Yeap said.
World oil demand this year is expected to rise by 730,000 barrels per day, the IEA said, sharply down from the 1.03 million bpd it expected last month. The reduction is larger than a cut in demand estimates made on Monday by the OPEC.
The tariff dispute between the US and China remains the most significant threat to the global economy and oil demand, said Imad Al-Khayyat, a research lead at London Stock Exchange Group.
“Each passing week without signs of easing in this standoff increases the likelihood of a global recession and lowers the price ceiling,” Al-Khayyat said.
Concerns over Trump’s escalating tariffs, combined with rising output from OPEC+, a group comprising OPEC and its producing allies such as Russia, have already dragged oil prices down roughly 13 percent so far this month.
The uncertainty surrounding trade tensions has led several banks, including UBS, BNP Paribas and HSBC, to cut their crude price forecasts.
Trump has ratcheted up tariffs on Chinese goods to eye-watering levels, prompting Beijing to slap retaliatory duties on US imports in an intensifying trade war between the world's two biggest economies that markets fear will lead to a global recession.
Meanwhile, US crude oil stocks rose 2.4 million barrels in the week ended April 11, while gasoline inventories fell 3 million barrels and distillate stocks dropped 3.2 million barrels, market sources said, citing American Petroleum Institute figures on Tuesday.
Regional leaders rally for sustainable development goals at Beirut forum
Updated 15 April 2025
Miguel Hadchity
RIYADH: Regional leaders and development experts gathered in Beirut for the 2025 Arab Forum for Sustainable Development to assess progress on the UN’s global goals and explore strategies to speed up their implementation.
Held under the patronage of Lebanese President Joseph Aoun, the three-day event—titled “Restoring Hope, Raising Ambition”—is organized by the UN Economic and Social Commission for Western Asia, in collaboration with the League of Arab States and other UN agencies.
The forum focuses on advancing the Sustainable Development Goals across the Arab region, highlighting both achievements and persistent challenges.
As a vital platform ahead of two key global gatherings — the Second World Summit for Social Development in Doha this November and the Fourth International Conference on Financing for Development — the forum helps shape regional priorities around inclusive growth, social equity, and financial inclusion.
Financial inclusion
A central theme of the forum was the urgent need to advance financial inclusion in the Arab region, where approximately 197 million adults — representing 64 percent of the population— remain unbanked, the highest rate globally.
In a panel titled “Advancing Financial Inclusion in the Arab Region,” experts emphasized that true inclusion goes far beyond opening bank accounts—it’s about transforming lives and building economic resilience.
Nasser Al-Kahtani, executive director of the Arab Gulf Program for Development, underscored the need to view financial inclusion as a strategic investment, not just a policy goal.
Sherif Lokman, sub-governor of Egypt’s Central Bank, highlighted the need for national commitment, stating: “Every head of state should look to financial inclusion as something top important. A central bank cannot alone make financial inclusion happen.” He detailed Egypt’s efforts, including training 12,000 bank employees in sign language to better serve people with disabilities.
Maher Mahrouq, director general of Jordan’s Association of Banks, outlined Jordan’s target to raise financial inclusion to 65 percent by 2028 and reduce the gender gap to 12 percent.
Meanwhile, Fatma Triki from Tunisia’s Enda Inter-Arabe noted that her country had already achieved 75 percent financial inclusion in 2021.
The UN Special Rapporteur on Disability Rights, Heba Hagrass, called for at least 80 percent inclusion to ensure marginalized groups are not left behind. “One of the main obstacles to full financial inclusion are policies,” she said, urging reforms to dismantle barriers.
The forum focuses on advancing the Sustainable Development Goals across the Arab region. AN photo
Lebanon’s reform agenda and call for Arab unity
During a ministerial discussion on the road to the Fourth International Conference on Financing for Development, Lebanon’s Finance Minister Yassine Jaber urged the adoption of a unified Arab strategy to fund sustainable development.
“We need a combined effort between governments and international funders,” he said, as he outlined Lebanon’s reform program aimed at recovery from years of economic crisis.
Speaking to Arab News on the sidelines of the forum, Jaber elaborated on the country’s efforts to rebuild trust in its banking sector after a prolonged financial collapse. He identified the appointment of new leadership at the central bank as a crucial first step in restoring public confidence and promoting financial inclusion.
“During the coming weeks, we’ll be appointing a new vice governor and the new bank control commission, so that the whole team will be there to start preparing for a solution to this banking crisis,” Jaber told Arab News.
Lebanon’s Finance Minister Yassine Jaber urged the adoption of a unified Arab strategy to fund sustainable development. AN photo
He added: “Also, we just passed two laws. One amends the Bank Secrecy Law to allow the Bank Control Commission to have more access. The second law regulates the banking system to ensure banks are healthy, have good capital adequacy, and can operate in a trustworthy way.”
Jaber also noted the central bank’s plans to implement a gradual approach to returning deposits, prioritizing smaller account holders. “There’s no banking system in the world that can give back all the deposits to all the people at the same time. So we’ll start with the smaller depositors, then move to higher amounts.”
Reflecting on regional economic collaboration, Jaber expressed frustration over long-standing obstacles. Recalling his role in the 1990s as economy minister, he said: “I still remember how hard we worked … and always had obstacles that actually a lot of them still exist. With globalization falling apart, the Arab world has to create its own regional cooperation system.”
He also underscored the significance of Lebanon hosting the Arab Forum for Sustainable Development, despite the country's ongoing challenges. “The important thing is that this is happening here, in spite of everything, we still have this conference happening. We still have ESCWA here. Lebanon is stretching its hand out for cooperation.”
Jaber concluded by noting Lebanon’s plans to participate in the upcoming IMF-World Bank meetings in Washington, signaling its readiness to re-engage with the international financial community.
Challenges and commitments
The forum also featured remarks from Ahmed Aboul Gheit, secretary-general of the Arab League, who acknowledged that conflict and instability continue to obstruct sustainable development across the region. Yet, he struck an optimistic tone: “Despite these challenges, we see a strong and determined Arab will to transform obstacles into opportunities.”
Echoing this call for resilience, ESCWA Executive Secretary Rola Dashti stressed the need for tangible results over rhetoric. “Hope is not restored through words and promises—it is restored through action, accountability, and justice,” she said.
The Arab Forum for Sustainable Development comes at a critical juncture, as preparations ramp up for the Second World Social Summit in Doha, which will address longstanding gaps in social development. The UN has positioned the summit as an opportunity to “reaffirm our dedication to social progress” and ensure that no one is left behind.
ESCWA’s Annual SDG Review 2025, released during the forum, shed light on persistent inequalities in financial access across the Arab world. The report revealed that only 29 percent of Arab women have access to bank accounts—the lowest rate globally—while just 36 percent of adults use digital payments, compared to a global average of 67 percent.
The review also highlighted Lebanon’s acute banking trust crisis. Despite relatively moderate access to financial services, actual usage drops to just 10 percent, reflecting widespread public mistrust in the financial system.
As the forum’s second day wrapped up, participants emphasized the importance of digital finance, regulatory reform, and stronger regional cooperation to close these gaps. With Lebanon working to restore its financial footing and Arab nations seeking unified solutions, the AFSD has laid the groundwork for meaningful dialogue ahead of November’s global summit.
