COP16: Saudi Arabia urges private sector to bridge land restoration funding gap

COP16: Saudi Arabia urges private sector to bridge land restoration funding gap
The appeal, made during Land Day, the first of the seven thematic days at COP16, aligns with the Kingdom’s vision to address the interconnected challenges of land degradation, desertification, and drought on a global scale. Supplied
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Updated 05 December 2024
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COP16: Saudi Arabia urges private sector to bridge land restoration funding gap

COP16: Saudi Arabia urges private sector to bridge land restoration funding gap

RIYADH: Saudi Arabia’s UN Convention to Combat Desertification COP16 Presidency has called on the private sector to increase funding for land restoration efforts, highlighting a critical shortfall in private investment. 

The appeal, made during Land Day, the first of the seven thematic days at COP16, aligns with the Kingdom’s vision to address the interconnected challenges of land degradation, desertification, and drought on a global scale. 

According to a recent UNCCD report, only 6 percent of financial commitments for land resilience and drought restoration come from private sector sources. This underlines a funding gap, which threatens global efforts to combat land degradation.  

Deputy Minister for Environment and Advisor to the UNCCD COP16 Presidency, Osama Faqeeha, said: “If the international community is to deliver land restoration at the scale required, then the private sector simply must ramp up investment.”

He said that the latest UNCCD findings show a worrying funding gap in the efforts to combat land degradation, desertification, and drought.  

UNCCD findings have highlighted the cost of inaction, with the potential for the global economy to lose $23 trillion by 2050 due to land degradation, desertification and drought. 

Faqeeha underscored the responsibility of the private sector, adding: “For decades, businesses have profited from land. Now is the time to embrace restoration and invest in future-proofing the foundations of businesses, industries, and whole economies.” 

At COP16 in Riyadh, Faqeeha highlighted that Saudi Arabia is working to mobilize both the public and private sectors to further “incentivize investment, and ultimately, help unlock a potential trillion-dollar restoration economy.” 

During the COP16 opening press conference on Dec. 2, Faqeeha stated that businesses could help by investing in infrastructure and integrating drought resilience, sustainable land management, and climate resilience into their operations. 

The deputy minister emphasized that environmental protection must become a core element of business strategy: “That needs to be a visible and tangible financial contribution of the private sector in land conservation.” 

His calls for greater private sector involvement align with Saudi Arabia’s growing environmental initiatives, emphasizing the need for collaboration between government and businesses in addressing pressing ecological challenges.   

Delivering the keynote address at the Business for Land forum, Saudi Arabia’s Minister of Environment, Water, and Agriculture and COP16 President, Abdulrahman Al-Fadli, said: “Through our Presidency of COP16, we will work to make this COP a launchpad to strengthen public and private partnerships and create a roadmap to rehabilitate 1.5 billion hectares of land by 2030.”  

The Business for Land forum, held as part of Land Day, brought together leaders from business, government, and civil society to explore the role of finance, policy, and private enterprise in addressing land degradation.  

“We really need to look at the entire spectrum of capital that is available, from philanthropic, corporate social responsibility, development finance, blended, looking at subsidies, and also private equity, mainstream capital, and look at how we can continue to grow new opportunities,” said Gim Huay Neo, managing director of the World Economic Forum. 

The discussions on Land Day also highlighted the unique challenges facing rangelands — natural grasslands that sustain livestock and wildlife while serving as a crucial carbon reservoir.  

According to the UNCCD, rangelands account for 54 percent of all land cover but are facing acute degradation, with over 50 percent already degraded. 

Speaking on the importance of preserving these ecosystems, Faqeeha said: “Rangelands are a vital ecosystem for people around the world, nurturing lives and livelihoods.” 

He added: “The continued depletion of these vital lands is driving food insecurity, climate change, biodiversity loss, and forced migration.” 

Discussions on the theme Protecting and Restoring Rangelands provided participants with insights into science-backed solutions for combating land degradation, emphasizing the role of finance in the circular economy. 

Rio Conventions Synergies 

Land Day also featured the Rio Convention Synergies dialogue, which built upon progress made earlier this year at global events, including the UN General Assembly, CBD COP16 in Colombia, and COP29 in Azerbaijan.  

The dialogue focused on the interconnected challenges of land degradation, biodiversity loss, and climate change, exploring shared solutions to address these critical issues. 

Local efforts in sustainability 

The Kingdom’s Agricultural Development Fund is showcasing its commitment to environmental sustainability and sustainable agriculture at COP16. 

Through active participation in conference sessions and the exhibition, the ADF highlights its focus on vegetation cover restoration, water efficiency, and energy optimization.  

Spokesperson Habib Abdullah Al-Shammari emphasized the fund’s support for initiatives like the Sustainable Agricultural Rural Development Program, which finances rural farmers to optimize the sustainable use of agricultural and water resources, the Saudi Press Agency reported. 

Al-Shammari also noted the ADF’s backing for modern agricultural technologies, organic farming, and food processing to reduce waste and enhance local food security. 

With investments in cutting-edge technologies like artificial intelligence and robotics, and projects producing native tree seedlings using reclaimed water, the ADF’s efforts align with the broader sustainability and innovation themes of COP16. 

UNCCD COP16, taking place from Dec. 2–13, 2024, at Boulevard Riyadh World, marks the 30th anniversary of the UNCCD under the theme Our Land. Our Future. The conference aims to foster multilateral action on critical issues, including drought resilience, land tenure, and sand and dust storms.


Oman’s Asyad Group plans to sell at least 20% of shipping unit via IPO

Oman’s Asyad Group plans to sell at least 20% of shipping unit via IPO
Updated 22 January 2025
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Oman’s Asyad Group plans to sell at least 20% of shipping unit via IPO

Oman’s Asyad Group plans to sell at least 20% of shipping unit via IPO
  • Offering will be made in two tranches, with 75% made to eligible investors in Oman and qualified institutional and other foreign investors
  • Remaining 25% will be sold to retail investors in Oman

DUBAI: Oman’s state-owned logistics firm Asyad Group plans to sell shares in its shipping subsidiary through an initial public offering, it said on Wednesday, as part of the Gulf country’s privatization drive.
The group, owned by Oman’s sovereign wealth fund, plans to sell a stake of at least 20 percent in Asyad Shipping Co. and float it on the Muscat stock exchange, it said in a document detailing its intention to float.
“The intended listing would provide investors with the opportunity to invest in one of the world’s largest diversified maritime shipping companies and a key player in the Omani economy,” the company said.
Oman is pushing forward with a privatization drive to attract foreign investors.
That strategy, along with fiscal reforms, has helped the sultanate pay down debt and turn its large fiscal deficit of recent years into a surplus since 2022.
Asyad Shipping focuses on transporting liquefied natural gas, crude oil and other products. It lists energy firms BP and Shell, as well as trading firm Trafigura among its customers and partners.
Reuters reported in July last year that Asyad was planning an initial public offering of the subsidiary and had selected Jefferies Group and EFG Hermes as advisers.
The offering will be made in two tranches, with 75 percent made to eligible investors in Oman and qualified institutional and other foreign investors. Of the 75 percent tranche, 30 percent of shares have been earmarked for anchor investors, the firm said, without naming them.
The remaining 25 percent will be sold to retail investors in Oman.
The subscription period is expected to start next month, after the company has received regulatory approval.
Asyad Shipping plans to pay dividends semi-annually, beginning in September 2025 for the first six months of this year.
The company posted an adjusted core profit margin of 69 percent for the first nine months of last year, up from 65 percent over the same period in 2023.
Oman Investment Bank, EFG Hermes, JP Morgan and Jefferies are acting as joint global coordinators. Sohar International is acting as joint global coordinator and as issue manager.
Credit Agricole and Societe Generale are joint bookrunners.


Closing Bell: Saudi Arabia’s main market dips slightly to 12,362

Closing Bell: Saudi Arabia’s main market dips slightly to 12,362
Updated 22 January 2025
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Closing Bell: Saudi Arabia’s main market dips slightly to 12,362

Closing Bell: Saudi Arabia’s main market dips slightly to 12,362

RIYADH: Saudi Arabia’s Tadawul All Share Index was steady on Wednesday, as it marginally shed 7.21 points or 0.06 percent to close at 12,362.39.

The total trading turnover of the benchmark index was SR7.62 billion ($2.03 billion), with 109 of the listed stocks advancing and 122 falling.

The Kingdom’s parallel market Nomu also declined 317 points to close at 31,000.87, while the MSCI Tadawul Index edged down by 0.26 percent to 1,545.02.

The best-performing stock on the main market was Naseej International Trading Co. The firm’s share price surged by 9.96 percent to SR108.20.

Naseej was one of the three Tadawul-listed firms, alongside Saudi Cable Co. and Middle East Specialized Cables Co., to hit their highest levels in a year.

Saudi Cable Co. peaked today at SR128, compared to SR62.9 in March, a 103.58 percent increase.

Middle East Specialized Cables Co. share price jumped from SR21.28 in January 2024 to close at SR47.2 today.

Naseej International Trading Co.’s share price increased 55.7 percent from January last year to close at SR98.4 on Wednesday.

Other top gainers were Jahez International Co. for Information System Technology and Middle East Healthcare Co., whose share prices grew by 6.09 percent and 4.75 percent, to SR33.95 and SR79.40, respectively.

National Medical Care Co. and Al Jouf Cement Co. also saw a positive change, with their share prices surging by 4.12 percent and 4.01 percent to SR161.6 and SR11.92, respectively.  

Elm Co. saw the steepest decline of the day, with its share price dropping 4.03 percent to close at SR1,176.2.  

United International Transportation Co. and Etihad Atheeb Telecommunication Co. declined, with their shares slipping 2.72 percent and 2.66 percent to SR82.30 and SR102.60, respectively. 

On Nomu, Armah Sports Co. was the best performer, with its share price rising by 7.34 percent to reach SR95.  

Quara Finance Co. also delivered a strong performance as its share price rose by 5.26 percent, reaching SR20, while Arabian Food and Dairy Factories Co. recorded a 2.99 percent increase at SR99.  

WSM for Information Technology Co. shed the most on Nomu, with its share price dropping by 6.33 percent to reach SR53.3.  

Saudi Parts Center Co. experienced a 6.25 percent decline in share prices, closing at SR60, while First Avenue for Real Estate Development Co. 6.04 percent to settle at SR9.02. 


Saudi crude output up 1.21% to hit 8.92m bpd: JODI 

Saudi crude output up 1.21% to hit 8.92m bpd: JODI 
Updated 22 January 2025
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Saudi crude output up 1.21% to hit 8.92m bpd: JODI 

Saudi crude output up 1.21% to hit 8.92m bpd: JODI 

RIYADH: Saudi Arabia’s crude oil production rose to 8.92 million barrels per day in November, a 1.21 percent annual increase according to the latest release from the Joint Organizations Data Initiative. 

The report showed a 2.05 percent drop in crude exports, which fell to 6.21 million bpd, although this figure marks the highest level in eight months. 

Refinery crude exports surged 36 percent year on year to 1.14 million bpd in November but declined by 18.65 percent compared to October. 

Key refined products included diesel, motor gasoline, aviation gasoline, and fuel oil.

Diesel exports accounted for 38 percent of refined product shipments, while motor and aviation gasoline made up 24 percent, and fuel oil comprised 11 percent. 

Notably, motor and aviation shipments rose 63 percent annually to 272,000 bpd in November. Diesel exports also increased by 27 percent reaching 439,000 bpd. 

Saudi Arabia’s refinery output reached 2.35 million bpd, a 13 percent year-on-year increase, with diesel representing 40 percent of total refined products, followed by motor and aviation gasoline at 25 percent and fuel oil at 19 percent. 

Domestic demand for refinery products increased by 210,000 bpd year on year, reaching 2.56 million bpd. 

OPEC+ has decided to delay the start of oil output increases by three months until April, and extend the full unwinding of cuts by a year, now set to finish by the end of 2026. 

This decision was made in response to weak global demand and rising production from countries outside the group. OPEC+, which controls around half of the world’s oil production, had initially planned to begin unwinding cuts in October 2024, but delays were caused by global demand slowdowns and growing non-OPEC+ output. 

Direct crude usage 

Saudi Arabia’s direct crude oil burn fell by 119,000 bpd in November to 382,000 bpd, a 24 percent year-on-year decline and a 5.5 percent increase from October. 

The annual reduction can be attributed to the global shift toward cleaner energy sources, such as natural gas, renewables, and electricity, which are gradually replacing crude oil in sectors like power generation and shipping. 

Additionally, improved energy efficiency and stricter environmental regulations have led to further reductions in crude oil use. 

By 2030, the Saudi government plans to phase out the use of crude oil, fuel oil, and diesel in power generation, replacing them with natural gas and renewable energy sources. 

This transition is a key component of the Kingdom’s Vision 2030 initiative, aimed at diversifying its energy mix and reducing dependence on oil, both domestically and in global markets. 

As Saudi Arabia moves toward this objective, natural gas demand is anticipated to rise sharply, driving increased investments in the natural gas supply chain, including exploration and infrastructure development. 


Ogero resumes telecom expansion in Lebanon, boosting connectivity and major upgrades

Ogero resumes telecom expansion in Lebanon, boosting connectivity and major upgrades
Updated 22 January 2025
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Ogero resumes telecom expansion in Lebanon, boosting connectivity and major upgrades

Ogero resumes telecom expansion in Lebanon, boosting connectivity and major upgrades
  • Ogero connected 221,000 households to fiber-optic Internet in 2024 and plans to add 406,000 new subscribers this year
  • It is is also upgrading from Wi-Fi 5, currently used at Beirut Rafic Hariri International Airport, to Wi-Fi 7

RIYADH: Lebanon’s state-owned telecom company Ogero is working to restore and expand the country’s connectivity after experiencing damages due to the Israeli conflict.

The clashes have significantly disrupted Lebanon’s telecom infrastructure, impeding connectivity and slowing the nation’s digital advancement.

Ogero’s Chairman and Director General Imad Kreidieh announced in a live broadcast that the company’s expansion plans will resume, supported by funding from multiple donors.

According to Kreidieh, Ogero connected 221,000 households to fiber-optic Internet in 2024 and plans to add 406,000 new subscribers to the network this year.

The company is also upgrading from Wi-Fi 5, currently used at Beirut Rafic Hariri International Airport, to Wi-Fi 7. The upgrade will provide speeds of up to 3,500 megabits per second with ultra-low latency of 2—4 milliseconds. 

The network’s backhaul capacity is being upgraded from 20 gigabits per second to 40 Gbps to support enhanced connectivity, according to Kreidieh.

Ogero is also expanding its LTE infrastructure, increasing the number of stations from 97 to 219 by the end of 2025 and 390 by 2026, which translates to better and wider coverage nationwide. 

The LTE-Advanced capacity will be quadrupled from 10 Gbps to 40 Gbps to enhance performance and service quality.

The top official also said that Ogero will build 215 new stations in the southern and Baalbek regions, which were heavily damaged by Israeli strikes, over the next 24 months, allowing users to regain connectivity.

In a move toward sustainability, Ogero is also implementing solar energy solutions for 358 sites, with a 4-megawatt production capacity and 463 kiloampere-hours storage capacity. The $9.6 million project is expected to generate $8.5 million in annual savings, according to Kreidieh.

Ogero serves as the core of the Ministry of Telecommunications, providing essential infrastructure for all telecom networks, including mobile operators, data service providers, and Internet service providers.


Up to 40 Canadian firms eyeing investment in Saudi Arabia’s healthcare sector

Up to 40 Canadian firms eyeing investment in Saudi Arabia’s healthcare sector
Updated 22 January 2025
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Up to 40 Canadian firms eyeing investment in Saudi Arabia’s healthcare sector

Up to 40 Canadian firms eyeing investment in Saudi Arabia’s healthcare sector

RIYADH: Up to 40 Canadian firms are eying investment in Saudi Arabia’s healthcare sector amid efforts to strengthen economic ties between the countries.

The interest was highlighted at a healthcare event organized by the Federation of Saudi Chambers at its headquarters in Riyadh, which showcased various investment opportunities within the sector, the Saudi Press Agency reported.

This aligns with Saudi Arabia’s objective to boost private sector participation in healthcare to 25 percent by 2030, reflecting the rapid growth and expansion of the industry, along with attractive investment incentives. It also underscores the Kingdom’s broader efforts to strengthen ties with Canada, highlighted by the restoration of diplomatic relations in May 2023 after a five-year hiatus.

During the gathering, Chairman of the Saudi-Canadian Business Council Mohammed bin Nasser Al-Duleim highlighted the body’s pivotal role in boosting trade relations and fostering investment between the Kingdom and the North American country.

Al-Duleim also provided an overview of Vision 2030 initiatives and talked up the incentives and support offered by Saudi Arabia to foreign investors.

The Ambassador of Canada to the Kingdom Jean-Philippe Linteau commended the efforts to strengthen economic ties between countries. 

He emphasized the joint business council’s contributions and highlighted the strong interest of Canadian firms in Saudi Arabia’s healthcare sector.

In December, economic cooperation was the focus of a high-level meeting between a senior Saudi official and the Canadian ambassador, reflecting the ongoing progress in relations between the two nations.

The Kingdom’s Minister of Economy and Planning Faisal Al-Ibrahim held talks with Linteau at his department’s headquarters in Riyadh, SPA said at the time. 

Since normalizing relations, Canada is keen to build a “great relationship” with the Kingdom, Linteau said during an interview with Arab News in February. 

His commets came a month after Saudi Arabia and Canada agreed to re-exchange trade delegations, aiming to improve economic relations and increase trade and investment volumes. 

Hassan Al-Huwaizi, president of the Saudi Chambers of Commerce, emphasized at the time that establishing a joint business council would provide a platform for business leaders to promote activities and engage in partnerships, facilitating continuous interaction and information exchange about market opportunities.

In 2022, Saudi exports to Canada stood at $2.5 billion, with imports valued at $959 million, according to online data visualization and distribution platform Observatory of Economic Complexity.