LONDON: Bank HSBC on Monday announced the surprise departure of CEO John Flint after just 18 months, saying new leadership was needed amid increasing economic uncertainty, and that it was cutting some 4,000 jobs to reduce costs.
London-based HSBC Holdings said Flint stepped down by mutual agreement. Noel Quinn, the chief executive of global commercial banking, will serve as interim CEO while the bank looks for a permanent replacement.
Flint, 51, spent almost 30 years at the bank before he became CEO with the promise to “continue to innovate and accelerate the pace of change” needed to meet the demands of shareholders and customers. HSBC shares have fallen almost 14% since Flint took over, compared with a less than 1% drop in the FTSE 100 Index.
The bank on Monday reported second quarter profits of $4.4 billion, up 7% compared with the same period last year, but it warned that “geopolitical issues could impact a significant number of our major markets.” Economic growth is expected to slow in the US and China amid a trade war between the world’s two biggest economies. Asia accounts for 80% of HSBC’s profits. And Britain is preparing to leave the European Union on Oct. 31, raising uncertainty for the London-based business.
HSBC confirmed that on top of the leadership reshuffle, it plans to cut 4,000 jobs globally, or around 2% of its total workforce.
“With macroeconomic and geopolitical headwinds mounting, the HSBC board could be looking for more radical reform,” Nicholas Hyett, an analyst at Hargreaves Lansdown, said in a note to investors. “What that will look like remains to be seen.”
HSBC has sought to boost earnings by streamlining operations, cutting costs and increasing its focus on fast-growing Asian economies.
Chairman Mark Tucker said that while the bank is in a strong position to deliver on strategy, a change of leadership is necessary.
“In the increasingly complex and challenging global environment in which the bank operates, the board believes a change is needed to meet the challenges that we face and to capture the very significant opportunities before us,” he said.
Flint will be available to assist in the transition, HSBC said.
In the latest round of the trade dispute between the US and China, President Donald Trump last week announced plans to impose a 10% tariff on an additional $300 billion of imports from China.
“Trade tensions between the US and China are progressively affecting the growth output in both markets,” HSBC Chief Financial Officer Ewen Stevenson told investors.
HSBC says its CEO to leave after just 18 months
HSBC says its CEO to leave after just 18 months
- London-based HSBC Holdings said John Flint stepped down by mutual agreement
- Noel Quinn, the chief executive of global commercial banking, will serve as interim CEO
Saudi Arabia to offer 5k sq. km of mining exploration opportunities in 2025: Alkhorayef
RIYADH: Saudi Arabia is promoting upcoming exploration opportunities across 5,000 sq. km mineralized belts in 2025 as the Kingdom continues its steadfast growth in the mining sector, according to a minister.
Speaking at the Future Minerals Forum in Riyadh on Jan. 15, Saudi Arabia’s Minister of Industry and Mineral Resources Bandar Alkhorayef said that the Kingdom’s mining sector is the fastest growing globally, with a mineral potential estimated at $2.5 trillion.
This allocation of new exploration sites to tap mineral wealth is part of Saudi Arabia’s efforts to establish mining as the third pillar of the Kingdom’s industrial economy.
Earlier this month, Saudi Arabia allocated five sites for establishing mining complexes in the Makkah and Asir regions as part of the nation’s strategy to attract quality investments, enhance transparency, and support local communities.
“Guided by our Vision 2030, Saudi Arabia’s mining sector has become the fastest growing globally, with a mineral potential estimated at $2.5 trillion. Our focus on regulatory frameworks, innovation, and infrastructure development has helped the Kingdom to become the top-tier destination for mining investment and exploration,” said Alkhorayef.
He added: “This year also, we are promoting upcoming exploration opportunities across 5,000 sq. km of promising mineralized belts. Our exploration incentives program, launched only last year, is already giving results with six companies receiving funding.”
Alkhorayef said that Saudi Arabia has also launched the Mining Innovation Studio aimed at turning Riyadh into a global hub for the industry and accelerating cutting-edge technologies.
“This is just one step toward realizing Riyadh’s vision of becoming the Silicon Valley of mining,” added the minister.
During the speech, Alkhorayef said that events like FMF are crucial to elevating the mining sector and ensuring sustainable growth of the industry.
Highlighting the progress of the forum, the Saudi minister added that the FMF has evolved and grown, with the number of attendees increasing from 3,500 in 2022 to over 20,000 in 2025.
“Within a few years, we could make FMF the most prominent international platform for minerals around the world, contributing to forming the future of the sector and achieving sustainable growth,” said Alkhorayef.
He added: “This year, under the theme, ‘The Year of Impact,’ we gather with a shared commitment to tackle some of the most pressing challenges of our times; ensuring a sustainable energy transition, addressing critical mineral shortage, and fostering economic prosperity for all.”
During the talk, the minister added that this year’s FMF will also witness the launch of the first-ever regional leadership roundtable focussing on Africa, Central Asia, and Latin America to create a “powerful global minerals impact.”
He further said the forum will also witness several debates featuring industry leaders tackling issues such as resource depletion, sustainability, and stakeholder engagement.
“Future Minerals Forum 2025 is promising to be a catalyst for actionable solutions and transformative change,” said Alkhorayef.
Saudi Arabia’s annual inflation rate rises by 1.7% in 2024: GASTAT
- Inflation rate remained among the lowest in the Middle East and globally,nflation rate remained among the lowest in the Middle East and globally
- GASTAT highlighted a 0.8 percent year-on-year increase in food and beverage prices in 2024
RIYADH: Saudi Arabia’s annual inflation rate for consumer prices increased by 1.7 percent in 2024 compared to the previous year, driven primarily by higher housing costs, official data revealed.
According to the General Authority for Statistics, housing rental prices rose by 10.6 percent year on year in 2024, significantly contributing to the overall rise in inflation. Costs for housing, water, electricity, gas, and other fuels collectively increased by 8.8 percent last year compared to 2023.
Despite the uptick, Saudi Arabia’s inflation rate remained among the lowest in the Middle East and globally, reflecting the Kingdom’s effective measures to ensure economic resilience and mitigate global price pressures.
The rate also fell short of projections made by the World Bank in October 2024, which had estimated Saudi Arabia’s inflation to remain steady at 2.1 percent last year and 2.3 percent in 2025, both below the Gulf Cooperation Council average.
In its latest report, GASTAT highlighted a 0.8 percent year-on-year increase in food and beverage prices in 2024. Costs for restaurants and hotels rose by 2 percent, while education expenses increased by 1.3 percent over the same period.
The report noted declines in several categories. Clothing and footwear prices dropped by 3.4 percent, led by a 5.8 percent decrease in ready-made clothing prices. Similarly, furnishing and household equipment costs fell by 3.4 percent, and transport prices declined by 2.4 percent.
Prices for entertainment and culture decreased by 1.3 percent, largely due to a 5.9 percent decline in audio-visual equipment prices, further emphasizing the nuanced shifts in consumer price indices across different sectors.
Annual inflation holds steady in December
In a separate report, GASTAT noted that Saudi Arabia’s annual inflation rate remained stable at 1.9 percent in December 2024 compared to the same month in 2023.
Housing rents increased by 10.6 percent yearly in December, with villa rental prices rising by 9.9 percent during the same period.
“The increase in this section (housing) had a significant impact on the continuation of the annual inflation pace for December 2024 due to the weight formed by this section, which amounted to 25.5 percent,” GASTAT stated.
Costs for housing, water, electricity, gas, and other fuels rose 8.9 percent compared to the previous year, underscoring the sector’s influence on inflation. Food and beverage prices increased by 0.8 percent year on year in December, driven by a 2.8 percent rise in meat and poultry costs.
Personal goods and services expenses grew by 2.2 percent in December, influenced by a 20.2 percent surge in jewelry, watches, and precious antiques prices. Education costs also rose by 1.1 percent, primarily due to a 1.8 percent increase in fees for intermediate and secondary education.
Furnishing and home equipment prices dropped by 2.8 percent in December, while clothing and footwear expenses declined by 2.2 percent. Transportation saw a 2.5 percent decrease year on year, largely attributed to a 3.9 percent reduction in vehicle purchase prices.
Oil Updates — crude inches up, but uncertainty over sanctions impact caps gains
SINGAPORE: Oil prices rose on Wednesday trimming losses from the previous day, as the focus turned back to potential supply disruptions from sanctions on Russian tankers, though gains were capped as the market awaited more clarity on their impact.
Brent crude futures edged up 11 cents, or 0.1 percent, to $80.03 a barrel by 8:15 a.m. Saudi time, after dropping 1.4 percent in the previous session. US West Texas Intermediate crude climbed 23 cents, or 0.3 percent, to $77.73 a barrel after a 1.6 percent decline.
Prices slipped on Tuesday after the US Energy Information Administration predicted oil would come under pressure over the next two years as supply would outpace demand.
“The dominant driver has been all about the Russian oil sanctions lately, compounded by a streak of stronger US economic data,” said Yeap Jun Rong, market strategist at IG.
“The key question remains on how much Russian supply will be lost in the global market and whether alternative measures can offset the shortfall,” said Yeap, adding that in the near term oil may give up some of its sharp gains from the past week.
The market also found some support on Wednesday from a drop in crude stockpiles in the US, the world’s biggest oil consumer, reported by the American Petroleum Institute late on Tuesday.
“Oil prices are trading firmer in early morning trading in Asia today after API numbers showed that US crude oil inventories fell more than expected over the last week,” said ING analysts.
The analysts added that while crude oil stocks in the country’s flagship storage hub Cushing, Oklahoma, increased by 600,000 barrels, inventories were still historically low. Cushing in the delivery location for WTI futures contracts.
The API reported US crude oil stocks fell by 2.6 million barrels in the week ended Jan. 10, according to market sources citing the API figures. They added that gasoline inventories rose by 5.4 million barrels while distillate stocks climbed by 4.88 million barrels.
A Reuters poll showed analysts expected US crude oil stockpiles fell by about 1 million barrels in the week to Jan. 10. Stockpile data from the Energy Information Administration, the statistical arm of the US Department of Energy, is due at 6:30 p.m. Saudi time.
On Tuesday, the EIA trimmed its outlook for global demand in 2025 to 104.1 million barrels per day, while expecting supply of oil and liquid fuel to average 104.4 million bpd.
It predicted Brent prices would fall 8 percent to average $74 a barrel in 2025, then fall further to $66 a barrel in 2026, while WTI would average $70 in 2025 and fall to $62 next year.
World Economic Forum adds Aramco facility to its Global Lighthouse Network
- The network recognizes industrial sites that use advanced technologies to boost performance, operations and sustainability
- North Ghawar Oil Producing Complex is the 5th Aramco facility to earn a place in the network
LONDON: The World Economic Forum has added Aramco’s North Ghawar Oil Producing Complex to its prestigious Global Lighthouse Network.
It is the fifth Aramco facility to earn a place in the network. The company said the addition honors its efforts to enhance operational and environmental performance.
Nasir K. Al-Naimi, the company’s upstream president, described the achievement as testament to the company’s focus on innovation and operational excellence.
“It validates our journey towards a truly digital and lower-carbon-emissions future, where technology empowers us to optimize our processes, reduce our environmental impact, and deliver exceptional value to our customers and shareholders.”
The Global Lighthouse Network, established by the forum in 2018 in collaboration with management consultancy McKinsey & Company, recognizes industrial facilities worldwide that have leveraged Fourth Industrial Revolution technologies to achieve measurable improvements in financial performance, operations and sustainability, and reduce environmental impacts.
The Aramco facility was one of 17 industrial sites worldwide added to the network on Tuesday. It now comprises 189 facilities worldwide, and Aramco is the only energy company represented by more than three facilities. The North Ghawar site is located in Al-Ahsa Governorate in the Eastern Province.
Four Seasons Beirut to reopen in 2026 after reconstruction
JEDDAH: The Four Seasons Hotel in Beirut is set to reopen in the first quarter of 2026 after undergoing a comprehensive rehabilitation, according to a statement from Kingdom Holding Co.
“On the occasion of a new era for Lebanon, and under the leadership of His Excellency President Joseph Aoun, I am pleased to announce that the Four Seasons Hotel, Beirut, which Kingdom Holding built, will be entirely reconstructed and refurnished by Kingdom Beirut S.A.L and will reopen to the public in Q1 of 2026,” Prince Alwaleed bin Talal, chairman of KHC, wrote on his X account on Tuesday.
Prince Alwaleed further noted that the hotel, located adjacent to Beirut’s Zaitunay Bay marina, would be upgraded to the highest international standards. The revamp is expected to position the property as one of the premier urban resorts worldwide.
The timing of the announcement follows recent diplomatic developments, including a call from Saudi Crown Prince Mohammed bin Salman to congratulate Lebanon’s new president, with an invitation to visit the Kingdom.
The Four Seasons Beirut was severely damaged in the 2020 Beirut Port explosion, which devastated much of downtown Beirut, an area once popular with Gulf tourists.
The region has since been affected by geopolitical tensions, including Hezbollah’s involvement in the Syrian war and its support for Houthis in Yemen.
Four Seasons, one of the world’s leading luxury hotel chains, has been privately owned by KHC and Cascade Investment, the investment vehicle controlled by Bill Gates, since 2007. Both KHC and Cascade own 47.5 percent stakes in the company, with the remaining 5 percent held by Triple Holdings, which represents Four Seasons’ founder, Isadore Sharp, according to KHC’s website.
KHC’s relationship with Four Seasons dates back to 1994, when the company first recognized the brand’s potential and invested in a minority stake through a private equity deal.
