OPEC+ has proven to be oil markets’ central bank, says Saudi energy minister

Head of the Russian Direct Investment Fund Kirill Dmitriev and Saudi Arabia’s Minister of Energy Prince Abdulaziz bin Salman arrive at the St. Petersburg International Economic Forum in Saint Petersburg, Russia on Thursday. Reuters
Head of the Russian Direct Investment Fund Kirill Dmitriev and Saudi Arabia’s Minister of Energy Prince Abdulaziz bin Salman arrive at the St. Petersburg International Economic Forum in Saint Petersburg, Russia on Thursday. Reuters
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Updated 19 June 2025
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OPEC+ has proven to be oil markets’ central bank, says Saudi energy minister

OPEC+ has proven to be oil markets’ central bank, says Saudi energy minister

RIYADH: OPEC+ has proven to be the “central bank” and regulator of the global oil market, providing much-needed stability, Saudi Arabia’s energy minister said.

Speaking at the annual St. Petersburg International Economic Forum in Russia, Prince Abdulaziz bin Salman praised the alliance’s role in balancing oil markets amid global economic uncertainties.

“I would have to say that OPEC+ had proven to be an instrument that if it wasn’t invented by us and Russia and our colleagues, it should have been invented a long time ago because this is what OPEC+ had achieved in terms of bringing stability to the market and had proven that it is the central bank and the regulator of oil markets,” the energy minister said.

Prince Abdulaziz also highlighted the ongoing partnership between Saudi Arabia and Russia through the Saudi-Russian Joint Committee, noting plans for Russian Deputy Prime Minister Alexander Novak to visit the Kingdom later this year with a high-level business delegation.

“I’m looking forward to host Alexander — the co-chair of our joint committee — to Saudi Arabia this year, with the biggest, most sizable business community participation,” he said.

Prince Abdulaziz emphasized that the collaboration seeks to deepen bilateral economic ties and foster diversified investment opportunities.

“We have a lot to showcase that bonding together. It will allow us to have a much more diversified relationship, and we are, as a government, working together to provide the right environment for those who want to invest in Saudi Arabia or in Russia or in any type or form of joint venturing that we should facilitate that and ensure that the investment environment is congenial for it to happen,” he added.

The minister described the energy alliance as a flexible mechanism responsive to changing global conditions, reaffirming Saudi Arabia’s commitment to cooperation with partners to maintain market stability.

Acknowledging the challenges facing Russia, Prince Abdulaziz noted the Kingdom’s support amid external restrictions.

“It’s been a challenging time what Russia is going through, but we have shown a great deal of understanding of the situation, and we’re trying to maneuver with the restrictions that are existing today,” he said.

“That has been the discharge of our leadership willingness to accommodate with this current situation and hopefully helping to support Russia in mitigating these exterior most daunting issues.”

On whether Saudi Arabia and Russia would compensate for any loss of Iranian crude supplies, the minister stressed that such scenarios are hypothetical and that OPEC+ decisions are collective.

“You give me a question that is not evidently seen happening, I don’t have an answer for you. Again, we only react to realities. But if anybody gives a question that is not relating to the reality today, I fail to see where we could predict things and how we would relate to it,” he said.

The minister clarified that OPEC+ consists of 22 member states and is not dominated by Saudi Arabia and Russia alone. A core group of eight countries is tasked with engaging the full membership to ensure coordinated responses to market changes.

“To respond to a hypothetical question by giving a hypothetical answer, which none of us two here have the right to speak on behalf of everybody without knowing their opinion, is too much of an ask,” he added.

He concluded by highlighting OPEC+’s reputation as a reliable and adaptive organization.

“What we know and what Alexander was saying just a while ago is that we have, as OPEC even before, an OPEC+ attending to so many circumstances since its first, it was in sequence, even inception, that we have been a reliable organization, a serious organization, an effective organization, and attentive to circumstances when they prevail,” he said.


Youth-led businesses in Saudi Arabia account for over a third of all commercial registrations

Youth-led businesses in Saudi Arabia account for over a third of all commercial registrations
Updated 9 sec ago
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Youth-led businesses in Saudi Arabia account for over a third of all commercial registrations

Youth-led businesses in Saudi Arabia account for over a third of all commercial registrations

RIYADH: Saudi youth-owned businesses now represent 38 percent of the Kingdom’s total active commercial registrations as of the second quarter of this year, according to the Ministry of Commerce.

The fastest-growing sectors among the 474,000 youth-led businesses include app development, which led the way with 28 percent annual growth resulting in 18,780 commercial permits. Artificial intelligence technologies closely followed, with a 34 percent increase, reaching 14,409 registrations.  

The e-gaming industry also showed remarkable progress, expanding by 32 percent to 8,260 permits, while film, video, and TV production grew by 20 percent, totaling 5,752 registrations by mid-2025.

Saudi Arabia has a predominantly young population, with the latest census data indicating that individuals under the age of 30 constitute 62.8 percent of the population.

Through public-private partnerships and targeted programs, the nation is equipping young Saudis with digital literacy, entrepreneurial skills, and industry-specific expertise in high-growth sectors like AI, renewable energy, and tourism. 

Private sector giants, including PwC, NEOM, Aramco, and Red Sea Global, are collaborating with government initiatives to equip Saudi youth with industry-relevant expertise.

Programs such as PwC’s Hemam training, Red Sea Global’s leadership programs, and vocational training schemes ensure hands-on experience, aligning education with labor market demands.

Incubators like The Garage foster startup innovation.

However, challenges persist in aligning education with labor market needs, necessitating ongoing cooperation between businesses and academia to sustain this talent pipeline. 

PwC’s Riyadh Al-Najjar emphasized in an interview with Arab News in January that an “entrepreneurial mindset” is critical for private sector growth, while Red Sea Global’s Zehar Filemban highlighted the need for adaptability in a fast-evolving job market. 

The government is addressing these needs through vocational training, Saudization programs, and incentives to attract and retain skilled professionals.


Egypt’s mineral revenues rise 131% to $446m on strong gold output, says minister

Egypt’s mineral revenues rise 131% to $446m on strong gold output, says minister
Updated 7 min 23 sec ago
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Egypt’s mineral revenues rise 131% to $446m on strong gold output, says minister

Egypt’s mineral revenues rise 131% to $446m on strong gold output, says minister
  • Gold and silver output reached 640,000 ounces
  • Ore and mineral production rose to 26 million tonnes

RIYADH: Egypt’s revenues from mineral wealth development jumped 131 percent year on year to nearly $446 million in fiscal year 2024/2025, driven by strong growth in gold and silver production. 

Speaking at the Egypt Mining Forum 2025, Minister of Petroleum and Mineral Resources Karim Badawi said, gold and silver output reached 640,000 ounces during the year, a 14 percent increase from the previous period, generating $1.54 billion in sales, up 57 percent annually. 

The gains were attributed to higher production volumes and stronger export performance, according to his statement on Facebook. 

Egypt’s mining sector is undergoing a major transformation under the Vision 2030 agenda, as the government seeks to position the country as a regional hub for mineral exploration while boosting its gross domestic product contribution through sustainable and environmentally responsible practices. 

“Egypt is a nation distinguished by its unparalleled strategic location and expansive infrastructure. Our rich legacy of mineral resources includes gold, copper, silver, zinc, platinum, as well as a diverse range of other precious and base metals,” Badawi said. 

The Ministry of Petroleum and Mineral Resources signed a framework agreement for mine exploitation with the Mineral Resources and Mining Industries Authority and Canada’s Barrick Mining Corporation on the sidelines of the Egypt Mining Forum 2025 in Cairo. Egypt’s State Information Service

He added: “These enormous potentials are backed by the Egyptian government’s economic reform program, aimed to achieve economic stability, attract investments, and enhance market attractiveness, thus contributing to strengthening Egypt’s position as a distinctive and exceptional destination for international investors and placing it on the global mining investment map, in line with the Sustainable Development Strategy.” 

According to the minister, ore and mineral production rose to 26 million tonnes, marking a 39 percent increase from the previous year. Egypt also exported 1.4 million tonnes of ores and mining products in 2024/2025, generating $52.5 million in export revenues. 

During the forum, the ministry signed two agreements with major international mining companies to boost exploration efforts. 

One licensing contract was signed with Centamin Central, a subsidiary of South African-based AngloGold Ashanti, for the exploration of gold and associated minerals, according to Egypt’s State Information Service. 

The second agreement, signed with Canada-based mining giant Barrick, aims to pave the way for expanded collaboration and exploration activities in the country. 

“This step clearly demonstrates the strong desire of international companies to expand their investments in the Egyptian mining sector, which serves as global proof of major international companies’ confidence in Egypt’s investment climate, reflecting the success of the state’s policy in attracting foreign investments,” Badawi said. 


Hotel spending drives Saudi POS transactions to $3.5bn

Hotel spending drives Saudi POS transactions to $3.5bn
Updated 47 min 48 sec ago
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Hotel spending drives Saudi POS transactions to $3.5bn

Hotel spending drives Saudi POS transactions to $3.5bn

RIYADH: Hotel spending in Saudi Arabia increased by 8 percent in the week ending July 12, helping total point-of-sale transaction values reach SR13.12 billion ($3.5 billion).

The latest data from the Kingdom’s central bank, SAMA, revealed that the sector recorded SR281.56 million in transaction value, while the number of payments rose 4.6 percent to 839 million.

The overall POS value for the week dipped by 8.2 percent, with the number of transactions dropping by 3 percent to 223.57 million.

According to SAMA’s bulletin, the education sector saw the largest decrease, dropping by 27.6 percent to SR102.21 million. Spending on miscellaneous goods and services ranked next, decreasing 15.6 percent to SR1.51 billion, but still accounting for the third-largest share of the POS value.

Restaurants and cafes, the division with the most significant share of total POS value, recorded a 1.7 percent decrease to SR1.92 billion, while the food and beverages sector saw a 13 percent decrease, totaling SR1.84 billion and claiming the second-largest share of this week’s POS.

The top three categories accounted for approximately 40.2 percent of the week’s total spending, amounting to SR5.28 billion.

Other smallest spending drops were in gas stations, slipping by 2.6 percent to SR948.99 million, and spending on building materials, which decreased by 3.7 percent to SR330.83 million.

The health and furniture sectors also saw downward changes, decreasing by 7.6 percent and 4.9 percent to reach SR805.09 million and SR275.70 million, respectively. 

Spending on clothing and footwear dipped by 7.3 percent to SR827.14 million, followed by a 6.9 percent decrease in spending on transportation.

Expenditure on jewelry followed the trend, declining 7.9 percent to SR305.49 million.

Geographically, Riyadh dominated POS transactions, with expenses in the capital reaching SR4.47 billion, an 8.1 percent decrease from the previous week. 

Jeddah followed closely with a 7.9 percent dip to SR1.89 billion, while Dammam ranked third, down 7.9 percent to SR626.13 million.

Makkah saw the smallest decrease, inching down 1.1 percent to SR530.71 million, followed by Abha with a 3.6 percent decrease to SR209.73 million. 

Hail recorded 3.99 million deals in activity volume, down 5.3 percent from the previous week, while Tabuk reached 4.57 million transactions, dropping 15.5 percent.


Oil Updates — prices gain on summer demand expectations despite wider economy woes

Oil Updates — prices gain on summer demand expectations despite wider economy woes
Updated 16 July 2025
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Oil Updates — prices gain on summer demand expectations despite wider economy woes

Oil Updates — prices gain on summer demand expectations despite wider economy woes
  • China data proves to be less bearish
  • Some see uptrend as temporary on limited shifts in fundamentals

SINGAPORE: Oil prices rose on Wednesday, boosted by expectations of firm summer demand in the world’s two largest consumers, the US and China, though gains were capped by analysts’ caution about the wider economy.

Prices have seesawed in a tight range as signs of steady demand from an increase in travel during the Northern Hemisphere summer have competed with concerns that US tariffs on trading partners will slow economic growth and fuel consumption.

Brent crude futures rose 36 cents, or 0.5 percent, to $69.07 a barrel by 8:46 a.m. Saudi time. US West Texas Intermediate crude futures were up 47 cents, or 0.9 percent, to $66.99.

That reversed two days of declines as the market downplayed the potential for supply disruptions after US President Donald Trump threatened tariffs on purchases of Russian oil.

Major oil producers are pointing to signs of better economic growth in the second half of the year while data from China showed consistent growth.

“Strong seasonal demand is currently providing upward momentum to oil prices, as summer travel and industrial activity peak,” LSEG analysts said in a note.

“Increased gasoline consumption, especially in the US during the Fourth of July holiday period, has signalled robust fuel demand, helping offset bearish pressures from rising inventories and tariff concerns.”

China data showed growth slowed in the second quarter, but less than feared, in part because of frontloading to beat US tariffs. That eased some concerns about the economy of the world’s largest importer of crude.

The data also showed that China’s crude oil throughput in June jumped 8.5 percent from a year earlier, indicating stronger fuel demand.
However, some analysts saw the price rebound as temporary.

Much of the steadying of crude markets after two volatile sessions resulted from a mild technical correction rather than any significant shift in underlying fundamentals, said Phillip Nova’s senior market analyst Priyanka Sachdeva.

“Investors should monitor inflation and interest rate expectations in the United States as Trump’s continued push for broader tariffs could be inflationary and could dampen fuel demand in the medium term,” she said.

OPEC’s narrative remained more optimistic, Sachdeva said, pointing to the grouping’s monthly report on Tuesday that forecast that the global economy would do better in the year’s second half, boosting the oil demand outlook.

Brazil, China and India are exceeding expectations while the US and EU are recovering from last year, it added.

“The technicals may offer short-term relief, but fundamentally, the market lacks momentum,” Sachdeva said.

“Until clarity emerges on global growth, policy direction, and real demand recovery, especially from Asia, the crude complex looks set to drift sideways.” 


Bahrain, US firms sign $17bn in deals to deepen economic ties, news agency BNA says

Bahrain, US firms sign $17bn in deals to deepen economic ties, news agency BNA says
Updated 16 July 2025
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Bahrain, US firms sign $17bn in deals to deepen economic ties, news agency BNA says

Bahrain, US firms sign $17bn in deals to deepen economic ties, news agency BNA says

LONDON: Bahraini and US companies signed a series of agreements worth approximately $17 billion, aimed at strengthening economic ties and advancing cooperation across key sectors, Bahrain’s state news agency BNA reported on Wednesday.

The deals span sectors such as aviation, technology, industry, and investment.

Among the agreements, Cisco Systems will provide digital solutions for Bahrain’s government information and telecommunications infrastructure. Separately, plans were announced to establish an 800-km, or 497-mile, multi-fiber submarine cable linking Bahrain, Saudi Arabia, Kuwait, and Iraq to global networks, according to BNA.

Bahraini financial institutions and private-sector firms also announced plans to invest $10.7 billion in the US, while sovereign wealth fund Mumtalakat signed deals with several US companies to invest $2 billion in downstream aluminum projects, with a focus on job creation.

The signing ceremony took place during Bahraini Prime Minister and Crown Prince Salman bin Hamad Al Khalifa’s visit to Washington late on Tuesday.

He emphasized that expanding cooperation with the US could help create new economic opportunities through investment and collaboration.

In 2023, Bahrain and the US signed a security and economic agreement, and Bahrain continues to host the US Navy’s Fifth Fleet and the headquarters of the US Naval Forces Central Command.