Saudi crown prince praises ‘fundamental achievements’ on Vision 2030 journey
Saudi crown prince praises ‘fundamental achievements’ on Vision 2030 journey/node/2571996/business-economy
Saudi crown prince praises ‘fundamental achievements’ on Vision 2030 journey
Saudi Arabia’s Crown Prince Mohammed bin Salman delivering the annual royal address after inaugurating the first year of the ninth session of the Shoura Council. SPA
Saudi crown prince praises ‘fundamental achievements’ on Vision 2030 journey
Updated 19 September 2024
Nirmal Narayanan
RIYADH: Saudi Arabia’s Crown Prince Mohammed bin Salman highlighted the progress made by the Kingdom in tourism and employment as he delivered an update on the Vision 2030 initiative.
In the annual royal address after inaugurating the first year of the ninth session of the Shoura Council, the crown prince said that Saudi Arabia’s economic diversification efforts are progressing steadily, with non-oil activities recording the highest contribution to the Kingdom’s real gross domestic product at 50 percent in 2023.
Bolstering this sector is crucial for Saudi Arabia as it seeks to reduce its dependence on oil revenues, and the crown prince described praised the Kingdom for its “many fundamental achievements during this great journey,” according to the Saudi Press Agency.
Reflecting on the progress of Vision 2030, which was announced in 2016, he said: “In the field of tourism, achievements preceded the target date, as the national tourism strategy, which was launched in 2019, set a target of 100 million tourists in 2030, and this target was exceeded and reached 109 million tourists in 2023.”
The Kingdom’s tourism ambition has now been altered to attracting 150 million visitors by 2030 as a result of hitting this target.
The crown prince highlighted that unemployment among Saudi citizens, both male and female, recorded its lowest level in history in the first quarter of 2024, reaching 7.6 percent, compared to 12.8 percent in 2017.
He added: “The Public Investment Fund continues its role in achieving its goals to be a driving force for investment.”
The crown prince added that the percentage of homeownership among Saudi nationals increased from 47 percent in 2016 to more than 63 percent.
According to the crown prince, Saudi Arabia has also achieved an advanced position in the field of renewable energy, becoming one of its most active players in the sector, regionally and internationally.
Highlighting the growth of the mining sector in the Kingdom, he said that Saudi Arabia is now the world’s largest repository of natural resources.
The crown prince added that the country is emerging as a top destination for mega events, with the nation gearing up to host Expo 2030 and FIFA World Cup 2034.
“The Kingdom enjoys global confidence that has made it one of the first destinations for global centers and major companies, most notably the opening of the International Monetary Fund’s regional office and a center for multiple international activities in sports, investment, and culture, serving as a gateway to cultural communication,” he said.
Saudi Arabia adopts international public sector accounting standards
Updated 11 sec ago
Nour El-Shaeri
RIYADH: Saudi Arabia has achieved a major milestone in public financial management by successfully transitioning to International Public Sector Accounting Standards on an accrual basis.
The move underscores the Kingdom’s commitment to modernizing its public sector financial practices as part of Vision 2030.
The adoption of these global standards reflects Saudi Arabia’s efforts to enhance transparency, accountability, and decision-making within its government operations.
The announcement came during the Saudi Public Sector Accounting Forum, held on Dec. 8 in Riyadh under the patronage of the Minister of Finance, Mohammed Al-Jadaan.
Speaking at the event, Abdulaziz Al-Furaih, chairman of the steering committee at the Ministry of Finance, said: “What we have achieved today is a significant milestone, thanks to the unwavering support of our visionary leadership, which has provided full backing to this strategic national project.”
The forum highlighted Saudi Arabia’s journey toward accrual-based accounting and the adoption of international public sector accounting standards.
Ian Carruthers, chairman of the International Public Sector Accounting Standards Board, stated that the Kingdom’s success was driven by Vision 2030 and the Ministry of Finance’s leadership.
Abdullah Al-Mehthil, assistant deputy minister of finance for policies and governance, added: “Accrual accounting enhances the Kingdom’s ability to make strategic decisions by providing detailed insights into long-term financial obligations and improving the quality of accounts.”
One of the key topics discussed was the cultural transformation required within the public sector to sustain these changes.
Mohammed Al-Nwaiser, assistant deputy minister for financial affairs and accounts in the Ministry of Finance, emphasized the importance of shifting financial practices to ensure long-term sustainability after the transition.
Abdullah Majrashi, CEO of the Financial Skills Center, highlighted the role of the center in enhancing financial literacy and building capacity within the public sector workforce.
Ross Smith, program leader and technical director at IPSASB, pointed out that knowledge gaps in financial practices often create resistance to such transitions, but Saudi Arabia has made significant progress through its structured approach.
Hamad Al-Kanhal, deputy minister of finance for financial affairs and accounts, highlighted the broader significance of the transformation, saying, “This transformation is not merely an implementation of an accounting principle but a comprehensive change management process requiring continuous commitment and collaboration across all relevant entities.”
He emphasized that this shift enables the government to manage financial resources more efficiently and achieve its strategic objectives.
At the conclusion of the forum, several government entities were recognized under the “Pioneers of Accrual Accounting” award program.
The Ministry of Communications and Information Technology, King Saud University, and the Saudi Water Authority were honored with the Diamond Award for excelling in business continuity following the transition and issuing interim financial statements.
The Digital Government Authority was recognized for governance and project management, the National Center for Waste Management for innovative solutions, and the Ministry of Environment, Water, and Agriculture for technological enablement.
The forum, which coincided with Saudi Arabia’s hosting of the International Public Sector Accounting Standards Board meetings, welcomed over 600 attendees, including local and international experts, standard legislators, and leaders from Saudi government entities.
KAUST drives Vision 2030 with groundbreaking sustainability efforts
Updated 08 December 2024
Nadin Hasssan
RIYADH: With a vision that merges innovative research and practical solutions, King Abdullah University of Science and Technology is shaping the future of Saudi Arabia by tackling sustainability challenges and driving economic innovation.
Speaking to Arab News on the sidelines of UN Convention to Combat Desertification COP16 in Riyadh,
Sir Edward Byrne, president of KAUST.
, emphasized the university’s critical role in achieving the Kingdom’s ambitious goals.
“KAUST has two major contributions to make: brilliant science to validate the principles and the direction forward, and technology implementation to enable the journey,” he said.
KAUST’s Accelerating Impact Strategy focuses on translating research into practical innovations, directly aligning with Vision 2030.
The university’s initiatives are addressing pressing environmental challenges, fostering economic development, and positioning KAUST as a global research leader.
“We have several hundred projects currently geared to the environmental needs of the Kingdom,” Byrne said.
Turning vision into reality
KAUST is spearheading innovations in agriculture, energy, and water management, sectors vital to Saudi Arabia’s future.
The university’s Center for Sustainable Food Production is developing salt-resistant crops and advanced soil technologies to enhance dryland farming.
“Our researchers are making better soil that holds water, enabling efficient farming with minimal resources,” Byrne said.
In energy, KAUST is pioneering clean energy generation and battery storage solutions.
“We’ve signed a memorandum on cryogenic carbon capture with the Ministry of Energy, showing how we can safely store carbon while transitioning to a diverse energy mix,” Byrne said.
These innovations are not years away but are being developed and implemented now, benefiting both the Kingdom and the global community.
Water sustainability is another priority. KAUST is exploring methods to reduce the energy cost of desalination by up to 90 percent. “Generating water is incredibly energy-intensive,” Byrne said.
He added: “We’re looking at ways to make it far more efficient, which is crucial for the Kingdom’s sustainability goals.”
KAUST’s contributions extend beyond the lab and into real-world applications, as Byrne highlighted partnerships with key entities such as SABIC, Saudi Aramco, and the Saudi Electricity Co., which are leveraging KAUST’s expertise to scale transformative technologies.
Research backed by collaboration
Prof. Sami Al-Ghamdi, a leading expert in environmental impact research at KAUST, highlighted the importance of collaboration.
“Addressing sustainability and environmental issues requires partnerships,” Al-Ghamdi said.
He added: “We work with ministries, companies like NEOM, and stakeholders to ensure our research translates into actionable solutions.”
Al-Ghamdi stressed KAUST’s role in bridging the gap between science and implementation stating: “We don’t just create academic papers. We develop solutions that can be applied locally, nationally, and internationally.”
For example, KAUST is advancing the Red Sea research agenda, previously underexplored, to tackle global challenges related to energy, water, and food security.
Through startups and innovations, the university is driving real-world applications of its research.
“We’re transforming lab research into market-ready solutions, addressing issues like climate and environmental sustainability,” Al-Ghamdi said.
He pointed out that KAUST is also playing a significant role in promoting green jobs, aligning with global trends in sustainability-focused employment.
Monitoring sustainability
Prof. Matthew McCabe is at the forefront of KAUST’s Earth Observation Dashboard, a tool that monitors land degradation and restoration in real-time.
Prof. Matthew McCabe.
“We are looking for planetary variables that we can turn data into actionable intelligence. And that’s going to be of use for things like the Saudi Green Initiative and the African Forest Restoration Project,” McCabe said.
The dashboard provides independent verification of restoration efforts, a critical need as global agreements like the Kunming-Montreal Protocol call for restoring 30 percent of land by 2030.
“You will be aware that in COP there’s a number of targets and policies that have been signed by representative countries. The Kunming-Montreal Protocol, for instance, calls for the restoration of 30 percent of land by 2030,” McCabe said.
He continued: “Their targets and signatures on pages. What we actually need is independent verification that these activities and actions are actually happening. The beauty of having a platform in space is that it can see everything. It sees everywhere. There’s no country that it’s not passing over at some point in time.”
McCabe underscored the economic benefits of restoring ecosystems noting: “I think having a healthy environment is the centerpiece of a prosperous economy. Full stop, so certainly there's going to be a huge explosion in green jobs.”
The platform’s capabilities extend beyond Saudi Arabia. “We’re using lessons learned here to support large-scale projects like Africa’s AFA100, which aims to restore 100 million hectares,” McCabe stated.
He added: “We have shown we can get these actionable insights, turning data into knowledge. We’ve shown that we can do that here in the Kingdom. What we want to do is translate and scale that to everywhere, and we’re working with partners around the world.”
This scalability ensures that innovations developed at KAUST can benefit global environmental restoration initiatives.
Addressing land degradation
In another interview with Arab News, Prof. Fernando Maestre’s work focused on land conservation through SAUDINet, a network dedicated to sustainable land management, stressed that land is fundamental for achieving sustainability.
“Our projects improve restoration activities and monitor biodiversity and carbon sequestration across Saudi ecosystems,” Maestre said.
One critical gap Maestre’s team is addressing is the lack of data on soil organic carbon in arid regions.
“There is a lack of data from Saudi Arabia, for instance, and for many other arid and hyperactive regions. One of the key objectives of our research program is to contribute to fill this gap, providing reliable data obtaining and standardize manner across major Saudi ecosystems on soil carbon,” he said.
Maestre added: “Another key component for research is to provide the ground data that are needed to validate remote sensing approaches that are currently being used to monitor biodiversity and to characterize vegetation productivity, to achieving land degradation neutrality.”
By combining advanced satellite technology with ground data, Maestre’s research supports both local and global sustainability efforts.
However, Maestre emphasized the importance of local engagement. “Satellites won’t plant trees or move camels,” he said,
He added: “We listen to local stakeholders and integrate their knowledge with cutting-edge science to create effective solutions.”
Maestre’s approach involves building partnerships with local and international collaborators.
“Collaboration is key to addressing global challenges. By working with over 200 scientists from 25 countries, we bring a global perspective to local issues,” he added.
His team’s efforts are helping bridge the gap between research and real-world application, ensuring that science informs policy and practice effectively.
A bright future ahead
Since its founding 15 years ago, KAUST has established itself as a global research powerhouse.
“KAUST is only 15 years old in an incredibly short period of time, it’s recognized globally as one of the world’s truly great research universities that draws incredible engineering and scientific talent into the kingdom, and that’s happening in an ongoing way,” Byrne said.
KAUST’s groundbreaking contributions are already transforming Saudi Arabia’s view on global science.
Byrne emphasized the university’s role as a beacon for attracting scientific talent to the Kingdom. “KAUST’s success shows that Saudi Arabia can develop a world-class research university from the ground up, inspiring other initiatives like NEOM,” he said.
Looking ahead, KAUST’s commitment to sustainability and innovation will continue to drive progress.
By addressing challenges in energy, water, food, and land management, the university is ensuring that Saudi Arabia not only meets its Vision 2030 goals but sets an example for the world.
“KAUST is the third great university I've led, and it is by far the most aligned with the world's needs. The work going on there at the moment to help develop a sustainable future for the planet is in my mind just incredible,” Byrne concluded.
As the Kingdom advances its Vision 2030 goals, KAUST’s role in sustainability, economic development, and innovation is more vital than ever.
With its unique combination of cutting-edge research, strategic partnerships, and actionable solutions, KAUST is not just shaping the future of Saudi Arabia but also setting a global benchmark for scientific excellence and sustainability.
Egypt advances 36 positions in global aviation rankings amid $626m investment outlay
Updated 08 December 2024
Miguel Hadchity
RIYADH: Egypt’s aviation sector has risen 36 positions in the Air Transport Infrastructure Index, reaching 27th place globally in 2024, highlighting significant progress in the industry.
A report from the Cabinet’s Media Center emphasizes that the country’s rise from 63rd place in 2015 underscores the nation’s commitment to establishing itself as a global air transport hub and improving its aviation infrastructure.
The analysis, released on Dec. 7, International Civil Aviation Day, stated that Egypt’s Civil Aviation Ministry had earmarked 31.3 billion Egyptian pounds ($626.7 million) for projects aimed at enhancing airport facilities, modernizing navigation systems, and strengthening safety measures, with completion targeted by June 2027.
“The Egyptian state is committed to enhancing the air transport system, a vital sector that supports the national economy,” the Cabinet said in a statement.
The report highlighted improvements in Egypt’s aviation sector. In the Air Transport Services Efficiency Index, Egypt rose to 23rd in 2024, compared to 40th in 2019. Similarly, the country advanced to 31st in the Airport Connectivity Index in 2024, up from 38th in 2019.
Since 2014, Egypt has increased its airport capacity by 28.5 percent, accommodating 66.2 million passengers in 2023, up from 51.5 million. The addition of four new travel facilities has further bolstered this growth.
Sphinx International Airport has a capacity of 900 passengers per hour, while Berenice International Airport can handle 600 passengers per hour. Both Bardawil and Capital International Airports accommodate 300 passengers per hour.
Several key projects are transforming Egypt’s aviation landscape. At Cairo International Airport, the baggage handling capacity was increased from 4,800 to 12,000 bags per hour.
Borg El Arab Airport saw the opening of a new terminal, expanding its capacity from 1.2 million to 6 million passengers annually. Sharm El Sheikh Airport’s capacity was also increased to 10 million passengers annually.
Additionally, radar systems now cover 83 percent of Egypt’s airspace, with investments totaling €206.6 million.
As part of its strategy to boost operational efficiency, Egypt began transferring the management of its airports to the private sector in March.
Civil Aviation Minister Mohamed Abbas Helmy announced plans to issue an international tender for operating major airports, including Cairo International Airport, marking a broader effort to enhance private sector involvement in logistics and transportation assets.
Egypt’s aviation development plan reflects a strategic vision to improve infrastructure, strengthen its global air transport network, and support economic growth.
Saudi Arabia opens 22 gravel, sand quarry sites for bidding
Updated 08 December 2024
MOHAMMED AL-KINANI
JEDDAH: Saudi Arabia has launched a competitive bidding process for 22 gravel and sand quarry sites to ensure a steady domestic supply of essential materials to support the country’s expanding construction sector.
The Ministry of Industry and Mineral Resources announced on Sunday that the sites are located in the Eastern Province and the Tabuk region.
The ministry stated that 10 of these sites are located in the Eastern Province, including five gravel licenses at the Al-Masnah Crushers Complex northeast of Hafar Al-Batin and five ordinary sand licenses at the Northwest Salwa Complex. Additionally, 12 gravel licenses are available at the South Wadi Amq Complex, situated southeast of Haql in the Tabuk region.
This initiative is part of Saudi Arabia’s broader plan to develop its mining sector into a third pillar of its industrial base, alongside oil and petrochemicals.
The Kingdom is home to more than 5,300 mineral sites, estimated to be worth approximately SR5 trillion ($1.33 trillion), and the Ministry of Industry and Mineral Resources is focused on tapping into these resources to drive economic growth.
To this end, the government has launched the Accelerated Exploration Program, which aims to effectively harness the Kingdom’s mineral wealth and support the development of the mining industry. This initiative aligns with Saudi Vision 2030 and the National Industrial Development and Logistics Program.
Applications for the quarry site licenses will be accepted from Dec. 10-19. Interested investors can visit the “Taadeen” platform for more details.
The competition will unfold in four stages: meeting qualification requirements, announcing qualified competitors, bidding on the sites, and revealing the winning bidders. This process is designed to ensure transparency and uphold high standards within the mining sector’s investment environment.
Last month, the ministry awarded 11 mining exploration permits to local and international companies for six exploration sites. These sites, covering a total area of 850 sq. km in Riyadh, Makkah, and Asir, were granted through a competitive licensing process aimed at strengthening the country's mineral sector.
The competition for exploration rights concluded with one national company and five alliances comprising 10 local and international firms securing permits. The ministry emphasized that these efforts are crucial for maximizing the value of Saudi Arabia’s mineral resources and positioning mining as a key pillar of the Kingdom’s economic future.
Retail space demand in Riyadh drives 4.2% rent increase in Q3: Knight Frank
Updated 08 December 2024
Nirmal Narayanan
RIYADH: The retail market in Riyadh saw a five-percentage-point increase in occupancy rates, reaching 92 percent by the end of the third quarter, according to a new report by Knight Frank.
The report also highlighted a 4.2 percent year-on-year rise in average rental rates, which reached SR2,845 ($757.24) per sq. meter.
This increase reflects the city’s growing appeal as part of Saudi Arabia’s Vision 2030, aiming to transform Riyadh into a leading business and tourist hub.
“Over the last 12 months, the retail market in Riyadh has experienced a steady rise in rental rates, particularly in well-located regional and super-regional malls,” Knight Frank stated.
The firm pointed to prime locations like Riyadh Park and Al Nakheel Mall, which have maintained near-full occupancy thanks to their strategic positions, diverse tenant mix, and entertainment offerings.
Meanwhile, the supply of retail space in Riyadh grew with the addition of 22,500 sq. meters, bringing the city’s total retail space to 4.3 million square meters by 2026, a 21 percent increase.
“Riyadh’s retail market is growing along key corridors like King Fahd Road, Olaya Street, and northern districts, driven by urban expansion and rising consumer spending,” Knight Frank said.
In comparison, Jeddah’s retail market saw a more modest increase in rental rates of 1.2 percent, reaching SR2,525 per sq. meter. However, occupancy in the city declined slightly by 1 percentage point to 86 percent.
The report noted that Jeddah’s retail market is undergoing shifts influenced by changing consumer preferences and an increased supply of retail space.
Jeddah’s retail stock is expected to grow by 475,000 sq. meters by 2026, bringing the total to 3.3 million sq. Meters.
In Dammam, occupancy remained stable at 90 percent, but rental rates saw a slight decline of 0.7 percent, reaching SR2,285 per sq. meter. Despite this, demand for high-traffic locations remains steady.
Retail stock in Dammam stands at 1.28 million sq. meters and is expected to reach 1.3 million sq. meters by 2026.
“Dammam and Al Khobar are seeing a rise in diverse entertainment options, reflecting the Kingdom’s goal to create engaging, family-friendly retail that incorporates both leisure and community interaction,” Knight Frank added.
