Air France eyes daily Paris-Riyadh flights amid soaring demand

The announcement follows the launch of the carrier’s first direct route between Paris-Charles de Gaulle and King Khalid International Airport. Supplied
The announcement follows the launch of the carrier’s first direct route between Paris-Charles de Gaulle and King Khalid International Airport. Supplied
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Updated 22 June 2025
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Air France eyes daily Paris-Riyadh flights amid soaring demand

Air France eyes daily Paris-Riyadh flights amid soaring demand
  • New route reflects airline’s ambition to reestablish presence in Saudi market
  • It comes in response to growing demand to access Kingdom’s expanding economic opportunities

RIYADH: Air France is planning to operate daily flights between Paris and Riyadh, a senior airline official told Arab News in an exclusive interview.

The announcement follows the launch of the carrier’s first direct route between Paris-Charles de Gaulle and King Khalid International Airport.

Stefan Gumuseli, the airline’s general manager for India and the Middle East, outlined the importance of the new route for the Air France-KLM Group and said it reflects the airline’s ambition to reestablish its presence in the Saudi market.

The decision comes in response to growing demand from travelers and investors eager to access the Kingdom’s expanding economic opportunities.

The new route marks a strategic step for Air France as it expands operations in the region and aligns with the growing connectivity between Europe and Saudi Arabia.




As part of its sustainability strategy, Air France is adopting a comprehensive approach across its operations. Supplied

Talking to Arab News, Gumuseli said: “We’re starting with three weekly flights in mid-June, then gradually increasing to five. Our first major goal is to move to a daily service.”

He added that the market is not only outward-looking; the airline is also responding to rising inbound demand for Saudi Arabia, noting that it is experiencing almost exponential year-on-year growth.

Gumuseli also pointed to the Kingdom’s Vision 2030, which reflects a strong commitment to developing tourism, hospitality, and culture, supported by substantial ongoing investments. He said: “All these megaprojects are a clear sign that tourism is booming. We have a strong relationship with Saudi Arabia and are expanding our cooperation.”

His comments were echoed by Air France’s Senior Vice President for Benelux, Asia, India, the Middle East, and East Africa Bas Gerressen, who told Arab News: “Tourism is a very important factor, but we also need traffic, which has grown significantly over the past two years.

“The more connectivity there is between the two countries, the more economic exchange will flourish in both directions,” Gerressen added. 

Air France-KLM has entered into codeshare agreements to strengthen its network connectivity.

“We also place our code on these flights. So, when you consider all that connectivity from both sides, demand can only grow,” Gerressen said.

He added: “I believe Saudi Arabia has many premium travelers, and we need to reach them in specific markets. We already have strong demand across our business, premium and economy classes.”

At the same time, the airline is leveraging its distinctive French identity.




The new route marks a strategic step for Air France as it expands operations in the region. Supplied

‘We position ourselves as a truly French brand — luxury, elegance, sophistication ... The French Touch. You can feel it the moment you board,” said Gerressen.

High-end products, gourmet in-flight dining, La Premiere lounges, and exclusive cabin experiences all reinforce this premium positioning. “We offer one of the best cabins in the region with our new first class, featuring a seat with five windows and just four seats in the entire cabin. It’s a revolution in the industry,” Gerressen added.

He emphasized the cabin crew’s vital role in shaping the passenger experience, highlighting their attentiveness and approachable demeanor.

As part of its sustainability strategy, Air France is adopting a comprehensive approach across its operations.

“Each new generation of aircraft reduces CO₂ emissions by up to 25 percent. Today, 28 percent of our fleet consists of these new aircraft, and our goal is to increase this figure to 80 percent by 2030,” Gerressen said. 

The airline is also the world’s leading buyer of sustainable aviation fuel. 

Gumuseli said: “We account for nearly 16 percent of global SAF usage, despite representing only 3 percent of total global kerosene consumption.”

Air France is investing in technology to enhance the passenger experience.

“We’ve decided to install high-speed Wi-Fi on board. In the event of a delay, passengers will receive updates about their connecting flights directly on their screens. With data and technology, we can truly personalize the service,” Gumuseli said.

“Our target customers include expatriates living in Saudi Arabia and tourists wishing to travel to Europe, North America, South America or Africa. Businesses are also a key audience, given the strong commercial ties between France and Saudi Arabia. We aim to serve all these segments,” said Gumuseli.

“Religious tourism should not be overlooked. Pilgrims can now combine Umrah with a more tourist-oriented experience,” he added.

Gerressen stressed the importance of the eVisa: “It is crucial. Simplifying the visa process will be essential in convincing more people to visit Saudi Arabia.”


Ericsson to scale up graduate hiring, internships in Saudi Arabia, senior official reveals

Ericsson to scale up graduate hiring, internships in Saudi Arabia, senior official reveals
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Ericsson to scale up graduate hiring, internships in Saudi Arabia, senior official reveals

Ericsson to scale up graduate hiring, internships in Saudi Arabia, senior official reveals

RIYADH: Telecoms firm Ericsson is expanding its graduate hiring and internship programs in Saudi Arabia as it seeks to strengthen its regional footprint, a senior executive told Arab News.

In an interview on the sidelines of the inauguration of the company’s regional headquarters in Riyadh, Patrick Johansson, president and head of market area Europe, Middle East and Africa at Ericsson, said the Swedish firm is deepening its collaboration with Saudi universities and expanding hands-on training opportunities. 

The Swedish company officially unveiled its new office in the presence of Haytham Al-Ohali, vice minister at Ministry of Communications and Information Technology, Abdullah Al-Dubaikhi, assistant minister at the Ministry of Investment, and Petra Menander, Swedish Ambassador to Saudi Arabia.

This move aligns with Saudi Arabia’s Regional Headquarters Program, which aims to attract multinational companies to establish their Middle East and North Africa bases in the Kingdom by offering tax incentives, regulatory support, and preferential government contracting. 

Global firms such as PepsiCo, Siemens, and Unilever have already set up offices in Riyadh, supporting the Vision 2030 goal of making Saudi Arabia a regional hub for innovation and decision-making. 

Reflecting on Ericsson’s goal to develop a local workforce, Johansson said: “The joint collaboration with universities and bringing on new graduate students and training them on the ground has been part from the very beginning.” 

He added: “Now we’re expanding that even greater while having the regional headquarters here, so it is about bringing even broader numbers of students doing internships.” 

Emphasizing collaboration, talent development, and fifth-generation network leadership, Ericsson highlighted the importance of cross-sector partnerships and technological progress in building an inclusive digital infrastructure for Saudi Arabia and the broader region. 

As part of its long-term commitment to local talent development, Ericsson has been running the Gen-E graduate program at the 5G Innovation Hub in Riyadh since 2018. 

The initiative has trained more than 190 Saudi graduates from both local and international universities, with women making up 50 percent of the participants. 

The program includes technical workshops and hands-on training in Ericsson’s tools and methodologies, led by subject matter experts and the company’s Saudi leadership. 

It has contributed to the development of a range of 5G and Internet of Things applications in areas such as robotics, edge computing, and mixed reality — aligning with the Kingdom’s broader digital transformation agenda. 

Ericsson is scaling up its talent development efforts, which now include broader engagement with students across the region. 

“It is about bringing even broader numbers of students doing internships, but also the graduate programs as part of the activities here in Saudi Arabia,” Johansson said. 

He noted that Saudi Arabia’s rapid digital evolution under Vision 2030 is providing fertile ground for innovation and cross-sector collaboration, saying it has taken “an exponential leap. 

The Ericsson official added: “And of course, we’re leveraging our technology… also working across with academia, and then also into new areas, which is part of the vision.” 

The company's partnerships with major Saudi telecom operators remain central to its operations. “We’re working mainly with the two big operators — with stc and with Mobily — and again, it is about providing the connectivity that builds beyond.” 

He also highlighted that the move to establish its base in the Kingdom was a “very simple choice to make.” 

Johansson pointed to new initiatives extending beyond traditional connectivity. “It’s also about introducing new ways of having technology for good,” he said, referring to the Connected Recycling platform project launched with stc’s IoT subsidiary in February, aimed at improving the efficiency and impact of recycling through digital tools. 

Looking ahead, he stressed the importance of ecosystem-driven progress, stating: “We put the foundation here by opening our real headquarters, but then it’s what we do and achieve together … because it is all about the ecosystem.” 

The inauguration event included discussions on the evolution of network technologies, the roadmap to sixth-generation connectivity, and the role of Vision 2030 in guiding long-term innovation strategies, according to a press release.


Jordan targets 80% debt-to-GDP ratio by 2028 as it backs IMF reforms

Jordan targets 80% debt-to-GDP ratio by 2028 as it backs IMF reforms
Updated 01 July 2025
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Jordan targets 80% debt-to-GDP ratio by 2028 as it backs IMF reforms

Jordan targets 80% debt-to-GDP ratio by 2028 as it backs IMF reforms

RIYADH: Jordan aims to lower its public debt-to-gross domestic product ratio to 80 percent by 2028 under an International Monetary Fund-backed reform program, according to a government official. 

Finance Minister Abdul Hakim Al-Shibli said the plan is designed to strengthen macroeconomic and financial stability, support sustainable growth, and maintain fiscal space without adding burdens on citizens, according to a statement reported by the Jordan News Agency, also known as Petra. 

This comes as the IMF completed the third review of Jordan’s Extended Fund Facility and approved a new 48-month, $700 million Resilience and Sustainability Facility on June 25. 

The new facility is intended to enhance long-term resilience in the energy, water, and health sectors while advancing climate and pandemic preparedness efforts. 

The Petra report stated: “Al-Shibli explained that the reform package aligns with Jordan’s Economic Modernization Vision and encompasses a broad array of structural measures, including enhancements to tax compliance, expansion of the tax base, fiscal sustainability in the electricity sector, improvements in public service delivery, and a more conducive environment for private sector-led job creation.” 

It added: “He underscored that the successful completion of the third review under the national reform program constitutes a strong vote of confidence in Jordan’s economic resilience and the effectiveness of its fiscal and monetary policies, especially amid regional instability.” 

The minister said completing the review will release $134 million from the IMF, helping improve liquidity and boost investor confidence. 

Addressing public concerns that IMF-backed reforms could lead to higher taxes or austerity measures, Al-Shibli emphasized that Jordan’s engagement with the fund is based on a collaborative, nationally driven framework. 

“From the outset, Jordan has insisted that the program’s objectives align with our national strategies particularly the Economic Modernization Vision while ensuring no additional financial burdens are placed on citizens,” he said. 

Al-Shibli noted that the $700 million Resilience and Sustainability Facility, approved by the IMF’s Executive Board, will fund priority capital projects while promoting energy efficiency, water resource management, and pandemic preparedness. 

These funds, deposited with the central bank, were strategically used to redeem maturing eurobonds, helping avoid costly new issuances. Al-Shibli noted that current market conditions could have pushed interest rates as high as 9 percent, compared to the 4.8 percent yield secured through a recent sukuk issuance. 

The IMF praised Jordan’s stronger-than-expected performance in 2024, with full-year GDP growth reaching 2.5 percent, exceeding projections of 2.3 percent. This helped maintain the country’s sovereign credit rating and reflected sound fiscal and monetary management amid geopolitical uncertainty. 

This comes after Jordan’s GDP grew by 2.7 percent at constant prices in the first quarter of 2025, up from 2.2 percent during the same period last year, according to the Department of Statistics, as reported by the Jordan News Agency. 

Addressing rising debt levels, Al-Shibli said public debt stood at 35.8 billion Jordanian dinars ($50.49 billion), or 93 percent of GDP, in early 2025. He attributed the increase to fiscal deficit financing, losses at state utilities, and the inflow of $1 billion in concessional loans. 

However, debt is expected to decline to 35.3 billion dinars by the end of June, with the debt-to-GDP ratio — excluding Social Security Investment Fund holdings — seen falling to about 91 percent. 

On the sectoral front, and according to data from the Department of Statistics, agriculture recorded the highest growth in the first quarter of 2025 at 8.1 percent, followed by the electricity and water sector at 5.8 percent, and manufacturing at 5.1 percent. 

The manufacturing sector made the largest contribution to overall GDP growth, followed by agriculture and the finance, insurance, and real estate sectors.


Qatar’s economy sees annual growth of 3.7% 

Qatar’s economy sees annual growth of 3.7% 
Updated 01 July 2025
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Qatar’s economy sees annual growth of 3.7% 

Qatar’s economy sees annual growth of 3.7% 

RIYADH: Qatar’s economy expanded by 3.7 percent in real terms in the first quarter of 2025 compared to the same period a year earlier, driven primarily by robust gains in non-hydrocarbon sectors. 

According to data released by the National Planning Council, gross domestic product at constant prices rose to 181.5 billion Qatari riyals ($49.8 billion), up from 175 billion riyals in the first quarter of 2024. 

The latest figures reflect the country’s ongoing efforts to reduce reliance on hydrocarbons and foster private sector growth, with the non-hydrocarbon economy accounting for 63.6 percent of real GDP, an increase from 62.6 percent a year earlier. 

Non-hydrocarbon activities grew by 5.3 percent year-on-year, supported by strong performances across manufacturing, construction, real estate, wholesale and retail trade, and services. 

This growth aligns with the ambitions set out in the Third National Development Strategy, which targets an annual 4 percent expansion in non-hydrocarbon GDP by 2030. 

More broadly across the region, Saudi Arabia’s economy grew by 3.4 percent year on year in the first quarter of 2025, driven by a 4.9 percent increase in non-oil GDP and a 3.2 percent rise in government activity.

Commenting on Qatar’s recent data, Secretary General of NPC Abdulaziz Al-Khalifa stated: “These indicators highlight the progress of Qatar’s economy, particularly in terms of non-hydrocarbon economic growth, whose activities have recorded remarkable growth demonstrating greater diversification and stability for Qatar’s economy as the State continues to strive to build a sustainable economy.” 

According to a report by the Qatar News Agency, Al-Khalifa added: “The current growth rates also indicate additional opportunities for development, as there remains significant potential that we seek to unlock through the Third National Development Strategy to continue to build sustainable economic growth that offers unique investment and entrepreneurial opportunities for the private sector.” 

The manufacturing sector expanded by 5.6 percent, while construction grew by 4.4 percent and real estate advanced by 7 percent. 

Wholesale and retail trade saw the sharpest increase, rising by 14.6 percent compared to the same period in 2024. 

Smaller segments of the economy also posted notable gains, including accommodation and food services, which grew by 13.8 percent, and transport and storage, which rose by 3.5 percent. 

These developments indicate broad-based momentum across diverse areas of economic activity. 

Service industries also contributed to the expansion, with professional, scientific and technical activities growing by 7.2 percent, human health and social work by 2.6 percent, and the education sector recording a marginal gain of 0.1 percent. 

The National Statistics Center noted that these trends reflect continued prioritization of human capital development and improvements in quality of life, both central objectives of national policy. 

To enhance the accuracy of economic measurement, the National Statistics Center implemented an updated methodology for calculating GDP and revised quarterly data covering the period from 2018 to 2024. 

The revisions included updated indicators and advanced calculations aligned with international standards. 

Despite persistent global economic uncertainty and fluctuations in energy markets, hydrocarbon activities continued to grow modestly, accounting for 36.4 percent of real GDP, equivalent to 66 billion riyals, and rising by 1 percent compared to the first quarter of 2024. 

The NPC emphasized that this performance demonstrates the resilience of Qatar’s hydrocarbon sector alongside expanding non-hydrocarbon contributions.


Morgan Stanley Saudi Arabia to act as market maker for 52 companies: Tadawul 

Morgan Stanley Saudi Arabia to act as market maker for 52 companies: Tadawul 
Updated 01 July 2025
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Morgan Stanley Saudi Arabia to act as market maker for 52 companies: Tadawul 

Morgan Stanley Saudi Arabia to act as market maker for 52 companies: Tadawul 

RIYADH: Morgan Stanley Saudi Arabia has been approved to conduct market-making activities for 52 companies listed on the Kingdom’s stock exchange, according to a statement on Tadawul.

The US-based multinational investment banking company’s applications are set to cover securities on the main and parallel markets, commencing on July 1.

Market makers are exchange members responsible for maintaining liquidity in listed securities by continuously posting buy and sell quotes during the market open session. They must adhere to market-making obligations set by Tadawul, which include requirements such as maximum spread, minimum order size, presence time, and daily traded value.

Among the securities listed on the main index, Morgan Stanley Saudi Arabia will act as a market maker for Riyad Bank, where it will ensure a minimum presence of orders at 80 percent, maintain a size of SR250,000 ($66,660), and adhere to a maximum spread of 0.65 percent, with the lowest value traded of 5 percent.

It will also provide services for Saudi Awwal Bank, ensuring a minimum presence of orders of 80 percent, a minimum order size of SR250,000, a maximum spread of 0.65 percent, and a value traded of at least 5 percent.

Saudi Arabian Mining Co., Astra Industrial Group, and Etihad Etisalat Co. are also among the companies where those requirements will be met, along with Al Rajhi Bank, Saudi Arabian Oil Co., and Saudi Telecom Co.

Additionally, a range of firms will be subject to a minimum order presence of 80 percent, a minimum order size of SR150,000, and a maximum bid-ask spread of 0.65 percent, without any minimum value traded requirement. These include ACWA Power Co., Saudi Electricity Co., and Ades Holding Co.

Morgan Stanley Saudi Arabia will also cover several other securities on the main market, ensuring a minimum presence of orders at 50 percent, maintaining a minimum size of SR75,000, and a maximum spread of 2 percent.

On Nomu, the firm is responsible for guaranteeing a minimum presence of orders at 50 percent, maintaining a minimum size of SR50,000, and adhering to a maximum spread of 5 percent, with no minimum value traded requirements for a range of companies, including, Waja Co., Jana Medical Co., and Purity for Information Technology Co.

Morgan Stanley Saudi Arabia’s participation in market making is expected to contribute to greater liquidity and a more efficient trading environment, reinforcing the development of the country’s capital market.

Tadawul approved a similar move for the investment bank in March, where it served as a market maker for eight separate securities listed on both Saudi indices.

Morgan Stanley entered the Saudi market in 2007 and has since set up its regional headquarters in Riyadh in November as part of a program launched by the Kingdom to provide businesses with a range of incentives, such as a 30-year exemption from corporate income tax, withholding tax on headquarters operations, and access to discounts and support services.


Oil Updates — prices steady as investors watch OPEC+ decision

Oil Updates — prices steady as investors watch OPEC+ decision
Updated 01 July 2025
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Oil Updates — prices steady as investors watch OPEC+ decision

Oil Updates — prices steady as investors watch OPEC+ decision

SINGAPORE: Oil prices steadied on Tuesday after sliding earlier in the session, with the market weighing expectations of an OPEC+ output hike in August in an upcoming meeting.

Brent crude rose 10 cents, or 0.2 percent, to $66.84 a barrel by 8:35 a.m. Saudi time, while US West Texas Intermediate crude inched up 9 cents, or 0.1 percent, to $65.20 a barrel.

“The market is now concerned that the OPEC+ alliance will continue with its accelerated rate of output increases,” ANZ senior commodity strategist Daniel Hynes said in a note.

Four OPEC+ sources told Reuters last week that the group plans to raise output by 411,000 barrels per day in August, following similar hikes in May, June, and July.

If approved, this would bring OPEC+’s total supply increase for the year to 1.78 million bpd, equivalent to more than 1.5 percent of global oil demand. OPEC and its allies including Russia, together known as OPEC+, will meet on July 6.

“These larger supply increases should leave the global oil market well supplied for the remainder of the year,” ING commodities strategists said.

“Expectations for a comfortable oil balance, along with a large amount of OPEC spare production capacity, appear to be comforting the market,” ING added.

Uncertainty about US tariffs and their impact on global growth also kept a lid on oil prices.

US Treasury Secretary Scott Bessent warned that countries could be notified of sharply higher tariffs despite good-faith negotiations as a July 9 deadline approaches, when tariff rates are scheduled to revert from a temporary 10 percent level to President Donald Trump’s suspended rates of 11 percent to 50 percent announced on April 2.

Morgan Stanley expects Brent futures to retrace to around $60 by early next year, with the market being well supplied and geopolitical risk abating following the Israel-Iran de-escalation. It expects an oversupply of 1.3 million bpd in 2026.

A 12-day war that started with Israel targeting Iran’s nuclear facilities on June 13 pushed up Brent prices. They surged above $80 a barrel after the US bombed Iran’s nuclear facilities and then slumped to $67 after Trump announced an Iran-Israel ceasefire.