LONDON/BRUSSELS: The EU made clear on Monday that Britain could not expect a zero-tariffs and zero-quotas deal trade with the bloc unless London agrees to terms that ensure there is fair competition with the European single market.
European Union Brexit negotiator Michel Barnier, laying out his mandate for negotiations with the UK following its exit from the EU last week, said there should be a level playing field over the long term on social, state aid and environmental standards.
He told a news briefing that all sides needed to prepare for the prospect of a “cliff edge” no deal at the end of the year.
Barnier was speaking shortly before British Prime Minister Boris Johnson was due to lay out his negotiating terms for talks with the EU. He is expected to say that Britain will prosper even if he cannot strike his preferred trade deal.
After marking Britain’s departure from the EU at a party in his Downing Street residence on Friday, Johnson will use a speech to ram home his message that Brexit, for him, means that sovereignty trumps the economy.
The sides have until the end of the year, when a transitional period expires, to try to secure a deal on trade and future relations — something London and Brussels both say they want to do, but on very different terms.
Trade talks will begin in March. After criticizing his predecessor Theresa May’s approach in negotiating a divorce deal with the EU, Johnson is striking a much tougher tone, saying Britain will not adhere to the bloc’s rules and regulations.
And he will say that, if the EU fails to grant a trade deal allowing for tariff- and quota-free trade in goods, similar to the terms the bloc now has in place with Canada, Britain will pursue a much looser arrangement, like one Australia has.
“There is no need for a free trade agreement to involve accepting EU rules on competition policy, subsidies, social protection, the environment, or anything similar, any more than the EU should be obliged to accept UK rules,” Johnson will say, according to excerpts of his speech distributed by his office.
Promising to maintain “the highest standards,” Johnson will suggest the EU has already offered a free trade deal along the lines of the one it has with Canada, which does not have to follow the bloc’s rules.
“We have made our choice: we want a free trade agreement, similar to Canada’s, but in the very unlikely event that we do not succeed, then our trade will have to be based on our existing Withdrawal Agreement with the EU,” he will tell businesses, think tanks and ambassadors.
“The choice is emphatically not ‘deal or no-deal’. The question is whether we agree a trading relationship with the EU comparable to Canada’s – or more like Australia’s.”
At the moment, much of EU-Australia trade runs along basic World Trade Organization rules, though there are specific agreements for certain goods. Australia is in the process of negotiating a trade deal with the EU, however.
One British source who declined to be named has said UK negotiators are furious because they believe the EU, Britain’s biggest trading partner, is going back on the divorce deal by suggesting that London would have to adhere to the bloc’s rules to secure a free trade agreement.
Post-Brexit: EU sets out red lines as UK’s Johnson talks tough on trade deal
https://arab.news/bj3ah
Post-Brexit: EU sets out red lines as UK’s Johnson talks tough on trade deal
- After criticizing his predecessor’s approach in negotiating a divorce deal with the EU, Boris Johnson is striking a much tougher tone
- ‘We have made our choice: we want a free trade agreement, similar to Canada’s’
MENA startup funding ends year on the rise
- Startups raised $279 million in what was an 8 percent rise from November
RIYADH: Funding for startups across the Middle East and North Africa ended 2024 on an upward trajectory, raising $279 million in what was an 8 percent rise from November.
The investment was spread across 42 deals, yet when debt financing — which accounted for 44 percent of the total — is excluded, the amount falls to $156 million.
Despite the month-on-month increase, the total sum marks a significant 76 percent drop compared to the same period in 2023, highlighting a challenging environment for the region’s startups.
The UAE emerged as the top destination for investments, attracting $217 million across 18 deals. A substantial portion of this came from ALLO’s $100 million debt financing round.
Saudi startups followed with $30 million raised by 11 companies, while Bahrain secured third place with $25 million, led by Calo’s $25 million series B round. Bahraini startup Unipal also closed a funding round during the month, though the value was undisclosed.
Egypt’s startup ecosystem experienced weak performance, raising just $2 million across five transactions. Meanwhile, startups in Morocco, Jordan, Tunisia, and Qatar collectively raised $4.4 million, indicating limited funding activity across these markets in December.
The web 3.0 sector led in overall funding, but fintech emerged as the most funded area when debt financing was excluded. Fintech startups raised $93.5 million across seven deals, maintaining strong investor interest in the region.
Food tech ranked among the top three funded sectors, raising $25.1 million across two transactions, with Calo accounting for the majority of this total. Education tech startups also saw a modest recovery, raising $16 million through five funding rounds.
Investment at early stages remained a priority for investors. Seed-stage startups attracted $59 million, while pre-seed rounds raised $7.7 million across seven deals.
Six startups in the series A stage raised $53 million, further showcasing sustained interest in startups transitioning from early stages. Later-stage funding activity was minimal, with Calo’s Series B round being the only notable deal in this category.
Business-to-consumer startups led funding activity, with 18 companies collectively raising $128.4 million. Meanwhile, 22 startups focused on business-to-business solutions raised a combined $124.6 million. This distribution reflects a strong focus on consumer-facing innovations, even as B2B models continued to attract significant investment.
Funding in December highlighted a persistent gender gap within the MENA startup ecosystem. Startups founded by men received $263 million, accounting for the vast majority of funds raised.
In contrast, four female-led startups secured $12.6 million, while two startups co-founded by both genders raised $1.5 million. These figures underscore ongoing challenges in bridging gender disparities in access to venture capital in the region.
Raseedi acquires Kashat to expand services for the underbanked
Egypt-based fintech Raseedi acquired Kashat, along with its subsidiary Pharos Microfinance S.A.E., in an equity deal aimed at expanding financial inclusion services.
Raseedi, founded in 2018, offers underbanked users tools to make cheaper calls, receive savings tips, and access microloans without requiring a credit history.
Kashat, also founded in 2018, specializes in providing instant small loans to financially excluded individuals.
The acquisition will enable both companies to scale their operations across Africa and Asia, delivering digital financial solutions to underserved communities.
TAP secures $1m to empower youth employment
Palestinian-Dutch company TAP raised $1 million in funding led by Invest International in the Netherlands, alongside contributions from impact angel investors.
Initially founded in 2018 to create job opportunities in Gaza, TAP has since evolved into a scalable tech platform that supports local job creation.
The funding will be deployed to strengthen TAP’s impact in Palestine, Jordan, and Lebanon, while also enabling the launch of its next-generation AI-powered platform in early 2025.
The platform will focus on providing mentorship networks, personalized coaching, and tools to help young people secure meaningful employment without needing to migrate.
TAP previously raised $1 million in October 2023 in a seed round led by Wamda Capital, with participation from the World Bank and other angel investors.
Opteam raises pre-seed round to enhance construction tech solutions
UAE-based construction technology startup Opteam raised an undisclosed pre-seed funding round led by Plus VC, with participation from Dar Ventures, SIAC Ventures, and Oraseya Capital.
Founded in 2020, Opteam provides tools to construction teams, including real-time dashboards, progress monitoring systems, and AI-powered schedule optimization.
The funding will be used to expand Opteam’s team, deepen its AI capabilities, and strengthen its market presence in the UAE and Saudi Arabia.
The company aims to address inefficiencies in the construction sector by offering technology that improves project tracking and resource allocation.
Jingle Pay partners with Bank Alfalah to expand digital remittances
UAE-based remittance fintech Jingle Pay secured investment from Pakistan’s Bank Alfalah in exchange for a 9.9 percent equity stake.
Founded in 2019, the business allows users to store, spend, and send money to more than 160 countries in over 99 currencies.
The platform currently operates in the UAE, Bahrain, Pakistan, and Egypt.
The partnership will enable Jingle Pay to launch its digital banking services in Pakistan in the first quarter of 2025 through a branchless banking mobile app.
This marks a significant step for the company, which previously secured a 12 percent investment from MoneyGram in 2022.
Teammates.ai raises funding to expand enterprise AI offerings
UAE-based AI solutions provider Teammates.ai, formerly known as Uktob.ai, raised an undisclosed funding round from Hustle Fund, Access Bridge Ventures, Oraseya Capital, Beyond Capital, and other angel investors.
Established in 2023, Teammates.ai provides enterprises with AI-powered “colleagues” that perform tasks such as customer support and email management in more than 50 languages.
The rebranding reflects the startup’s strategic shift toward offering enterprise-grade AI solutions, as well as an expanded portfolio of tools to help companies optimize operations. The funding will support scaling efforts and growth across MENA and international markets.
Raseedi acquires Kashat to expand services for the underbanked
Egypt-based fintech Raseedi acquired Kashat, along with its subsidiary Pharos Microfinance S.A.E., in an equity deal aimed at expanding financial inclusion services.
Raseedi, founded in 2018, offers underbanked users tools to make cheaper calls, receive savings tips, and access microloans without requiring a credit history.
Kashat, also founded in 2018, specializes in providing instant small loans to financially excluded individuals.
The acquisition will enable both companies to scale their operations across Africa and Asia, delivering digital financial solutions to underserved communities.
Sigma Capital launches $100m fund for Web3 startups
Global Web3-focused venture asset manager Sigma Capital launched a $100 million fund to accelerate blockchain and cryptocurrency innovation.
The fund will focus on early-stage Web3 startups, liquid tokens, and fund-of-fund investments.
Sigma Capital has offices in Dubai, Singapore, and the Cayman Islands and plans to use its extensive network to support portfolio companies.
The fund aims to drive Web3 innovation in the Middle East and globally, targeting projects that are pioneering advancements in blockchain technology.
Saudi foreign minister to lead Kingdom’s delegation at World Economic Forum in Davos
- This year’s forum, held under the theme of “Collaboration for the Intelligent Age,” takes place amid significant geopolitical tensions
LONDON: Foreign minister Prince Faisal bin Farhan will lead the Kingdom’s delegation attending the World Economic Forum annual meeting in Davos next week, a statement from the Ministry of Economy and Planning said on Saturday.
This year’s forum, held under the theme of “Collaboration for the Intelligent Age,” takes place amid significant geopolitical tensions, slow economic growth and the transformative impact of advanced technologies.
The Saudi delegation will engage with global leaders from government, business and civil society to address these issues and explore opportunities for innovation, sustainable development and human empowerment, the ministry statement added.
Central to the Kingdom’s participation will be showcasing its Vision 2030 reform agenda, which is reshaping Saudi Arabia’s economy as it seeks to diversify away from reliance on oil revenue.
Joining Prince Faisal will be Majid Al-Qassabi, minister of commerce; Ahmed Al-Khateeb, minister of tourism; Adel Al-Jubeir, minister of state for foreign affairs and envoy for climate affairs; and Khalid Al-Falih, minister of investment.
Also attending at ministerial level will be Mohammed Al-Jadaan, minister of finance; Abdullah Alswaha, minister of communications and information technology; Bandar Alkhorayef, minister of industry and mineral resources; and Faisal Al-Ibrahim, from the Ministry of Economy and Planning, which leads the Kingdom’s partnership with WEF.
Fintech sector transformation accelerating thanks to Vision 2030 reforms, analysts confirm
JEDDAH: Reforms across Saudi Arabia’s financial landscape have significantly transformed the sector, driven by the Financial Sector Development Program, experts have told Arab News.
One of the key initiatives of the Kingdom’s Vision 2030, the program aims to promote income diversification, enhance savings, and provide a range of financing and investment opportunities.
These reforms have been implemented under the close oversight of the Saudi Central Bank, known as SAMA, which has also played a crucial role in fostering the growth of fintech and digital banking through a supportive regulatory framework and various initiatives.
Speaking to Arab News, Yaseen Ghulam, associate professor of economics and director of research and consulting center at the Riyadh-based Al-Yamamah University, named five major reforms in Saudi Arabia’s financial sector that have had significant impact on the overall efficiency and competitiveness of financial institutions.
He noted that the FSDP, which was launched in 2017, has enhanced the Saudi Stock Exchange, or Tadawul, to become a globally competitive investment platform with robust market infrastructure.
“The plan is to enhance trading infrastructure and settlement processes to meet international best practices, raising market capitalization, liquidity, and value to over $3 trillion, and facilitating the acquisition of money by overseas investors,” he said.
He added that this has led to greater online platforms, advanced fintech capabilities, integrated custody and clearing regimes, and greater investor rights, as well as increased alignment with sustainable finance norms, and improved transparency procedures.
He further added that Tadawul’s inclusion in the MSCI Emerging Markets Index in 2019 enhanced its standing as a global player.
Ghulam mentioned that fintech innovation has been a significant focus since the launch of the Fintech Saudi initiative in 2018, which has propelled Saudi Arabia toward becoming the leading hub for the sector in the region.
He added that by 2022, the program had helped the fintech ecosystem grow quickly, as seen by the establishment of many innovative businesses and the widespread use of digital payments.
“By enacting progressive laws, SAMA enabled this fintech revolution. In order to promote development, it built a regulatory sandbox for supervised testing of cutting-edge technologies, created specialist licenses for fintech businesses, and made banking infrastructure and application programming interfaces available,” he added.
This view was echoed by financial analyst Khalid Gaber Al-Zaidiy, who told Arab News that SAMA’s regulatory framework is key to the growth of fintech and digital banking in the Kingdom.
He added that some of the key impacts of this framework include encouraging innovation while maintaining financial stability.
“SAMA supports fintech innovation through initiatives like the Fintech Sandbox, enabling startups to develop and test products within a regulated environment,” he said.
By enforcing strict cybersecurity standards and regulations related to the protection of personal financial data, he added, SAMA enhances consumer trust in using fintech solutions. “This helps the sector grow sustainably and securely,” Al-Zaidiy said.
He added that by licensing new digital banks, SAMA fosters competition and supports digital economy growth, advancing the sector.
“The Central Bank’s policies promote financial inclusion and expand access to banking through digital solutions, creating opportunities for fintech companies,” the analyst added.
Green growth and international trust
Ghulam also highlighted the Kingdom’s commitment to green finance, stating that it has made strides in promoting environmentally friendly investments and projects in line with global sustainability trends.
This includes the issuance of green bonds as part of its Vision 2030 goals. “Saudi Arabia has positioned itself as a key player in the worldwide transition to a more environmentally responsible economic model through these proactive initiatives,” he said.
Ghulam emphasized that Saudi Arabia has implemented strategic policies to increase international investor participation, which has led to a record increase in foreign capital inflows and a boost in confidence in the Saudi financial system.
“Growing inflows reflect a global increase in trust in the stability of Saudi Arabia’s financial system,” he said.
He praised the establishment of the National Debt Management Center, adding that by creating specialized bodies to oversee the management of the country’s debt, Saudi Arabia has taken decisive action to improve public financial control and preserve a sound fiscal position.
Explaining how the rise of fintech and digital banking is reshaping customer expectations and experiences in the financial services industry, Ghulam stated that one of the most significant initiatives of the FSDP is the implementation of open and digital banking through fintech.
“As a result, Saudi Arabia is leading the fintech revolution, with over 226 fintech enterprises already in existence, due to its well-functioning telecommunication sector and heavy investment by government and telecom companies in infrastructure set up to bring higher speed and reliability of connections,” he said.
More importantly, the economist added, STC Bank, the Saudi Digital Bank, and the payment system of Sarie are leading the way in consumer digital banking and payment systems.
Ghulam further stated that digital banking saves customers time, reduces transaction costs, and fosters competition and economic growth.
“It is enhancing the financial sector by introducing new products and services for Saudi consumers and businesses. With consumer consent, these banking facilities allow third-party providers access to financial data, driving innovation in the industry,” he said, adding that digital wallets, smartphone apps, and online banking have become essential for managing accounts and transactions.
“Opening a bank account can now be done online, benefiting rural areas by eliminating the need for in-person visits. This shift has also improved financial inclusion by providing credit, insurance, and services to previously marginalized individuals and regions,” Ghulam said.
SMEs thriving
Highlighting how financial reforms are addressing the specific funding challenges faced by small businesses in Saudi Arabia, Ghulam noted that the Kingdom has over 1.3 million SMEs.
He noted that, like other developed countries, these companies face challenges in securing necessary financing due to collateral limitations and higher credit risk.
“The impetus for reforms in relation to SMEs funding has come from Vision 2030 and is related to FSDP. One of the main objectives of FSDP and related reforms is to amplify the financing of micro, SMEs within the banking system and to set up institutions such as SME Bank, Monsha’at, and Venture Capital companies to help improve thefinancing and ecosystem,” he said.
He noted that the FSDP aims to expand the current 10 percent ratio of SMEs financing in the banking system to 11 percent by 2025.
More importantly, to show its continued and strong support for these businesses, he said, the government is recommending that financial institutions devote 20 percent of their loan portfolios to this industry.
“Monsha’at has introduced several schemes in this regard. These include Funding Gate, an online one-stop-shop for financing, aggregating lenders and services, KAFALAH program, a loan guarantee service to help reduce risk and increase appetite for lenders, and Saudi Venture Capital Co., as well as Esterdad Initiative, and loans facilitated through the Indirect Lending Initiative,” he said.
The academic added that the fintech revolution resulting from reforms is also helping increase funding for SMEs in this regard, saying: “B2B FinTech solutions are highly sought after as they solve issues with credit availability, payment processing, and money management.”
Ghulam further said that the Public Investment Fund is also helping improve SMEs funding, along with oil giant Saudi Aramco’s Taleed program which offers more than SR3 billion in funding to eligible firms.
“All these varied funding channels would have not been possible without reforms and government push to help the smaller businesses that are the backbone of the future Saudi economy that is less reliant on fossil fuel income,” the economist said.
The establishment of the Financial Literacy Entity within the FSDP is a key strategy in Saudi Arabia’s efforts to boost financial literacy and promote digital banking, aligning with Vision 2030’s goals.
“Several fintech businesses, such as Darahim and Fatafeat, are attempting to increase financial literacy in the Kingdom. In a significant step, the Saudi Ministry of Education mandated the inclusion of a ‘Financial Knowledge’ course in school curricula,” Ghulam said.
He further said that Thameen and Smart Investor, two awareness efforts run by the Capital Market Authority, are targeted at the financial literacy of adults and young people, respectively.
“A 2023 report from the SAMA states that citizens’ financial literacy has increased due to these activities. These policies are indeed bearing fruit: as of 2023, 38 percent of adults were estimated to have a basic understanding of financial concepts, up from 30 percent in 2021,” the academic said.
Saudi corporate lending sees highest growth in 2 years as bank loans reach $782bn
RIYADH: Saudi Arabia’s bank loans surged to SR2.93 trillion ($782 billion) in November, marking a 13.33 percent year-on-year increase — the highest growth rate in 22 months.
According to figures from the Saudi Central Bank, also known as SAMA, corporate loans were the main driver, surging 17.28 percent to SR1.58 trillion.
This marks the highest annual growth for corporate loans among the lending activity data available in SAMA’s reporting since 2021.
Real estate activities led the charge, representing 21 percent of corporate lending and growing by 32 percent to SR328 billion.
Wholesale and retail trade accounted for 13 percent of corporate lending, reaching SR201.6 billion with an annual growth rate of 10.62 percent.
The manufacturing sector, a key component of Vision 2030’s economic diversification goals, represented 12 percent share at SR182.44 billion.
Electricity, gas, and water supplies contributed 11 percent to the total corporate share, growing significantly by nearly 27.74 percent to reach SR178.56 billion.
Notably, professional, scientific, and technical activities, though holding a smaller 0.53 percent share of corporate credit, witnessed the most significant surge, with a 54.44 percent annual growth rate to SR8.38 billion.
Education loans followed real estate with the third-highest growth rate, increasing by 29.93 percent to SR8 billion.
On the personal loans side, which includes various financing options for individuals, the sector grew 9.05 percent annually to SR1.35 trillion. This expansion underscores the continued confidence in consumer lending and the Kingdom’s economic diversification strategies.
According to Standard Chartered’s Global Market Outlook for 2025, lower interest rates are expected to boost private sector growth, particularly benefiting borrowing-sensitive industries in Saudi Arabia, the UAE, and Qatar.
The report highlighted that despite a forecasted slowdown in global growth from 3.2 percent to 3.1 percent, the Gulf Cooperation Council is poised to remain a bright spot, driven by robust non-oil sector expansion and strategic investments that support economic diversification.
Saudi Arabia’s economic transformation under Vision 2030 exemplifies a coordinated effort across government institutions, financial sectors, and private enterprises to drive sustainable growth and diversification.
Sectors like education, science and technology, and utilities are gaining significant momentum, fueled by substantial funding aimed at enhancing their contribution to the nation’s GDP.
The Kingdom is making significant investments in research and development, with the government accounting for the largest share of expenditure.
In 2025, education represented 16 percent of the national budget, employing the highest percentage of R&D workers and underscoring its pivotal role in expanding research capabilities.
Additionally, the surge in real estate activity reflects the broader infrastructure and giga-projects in progress, reinforcing the nation’s development agenda.
Recent shifts in global monetary policy, mirrored by the Saudi Central Bank’s interest rate adjustments in line with the US Federal Reserve, are set to make borrowing more affordable.
Lower interest rates will further stimulate lending, supporting key industries and accelerating the Kingdom’s ambitious transformation.
Strong capital buffers
According to data from SAMA, Saudi banks’ regulatory capital to risk-weighted assets stood at 19.2 percent in the third quarter of 2024, down slightly from 19.5 percent a year earlier.
Despite this modest decline, the ratio remains well above the Basel Committee on Banking Supervision’s minimum requirement of 8 percent, reflecting the strong capitalization and financial resilience of the Kingdom’s banking sector.
The Tier 1 capital ratio, which measures the core capital banks hold to absorb losses relative to their risk-weighted assets, reached 17.7 percent.
Tier 1 capital primarily consists of high-quality capital such as common equity and disclosed reserves. This high ratio demonstrates the soundness of the banking system in supporting economic growth while safeguarding against potential risks.
According to a study by the International Monetary Fund, Saudi banks are well-capitalized, profitable, and resilient to severe macroeconomic shocks.
Solvency stress tests and sensitivity analyses indicate their ability to withstand adverse scenarios, including significant downturns in real estate prices and sectoral loan portfolio defaults.
While banks demonstrate sufficient capacity to handle liquidity shocks, the report highlighted the need to address funding concentration risks.
The IMF noted that SAMA is refining its stress-testing methodologies and recommended enhancing data collection and monitoring large funding and credit exposures, particularly in relation to major construction and infrastructure projects.
To further strengthen credit risk modeling, SAMA should incorporate granular data on households and nonfinancial corporations, reflecting the evolving dynamics of the Kingdom’s economic transformation, according to the IMF.
SAMA data for the third quarter of 2024 indicated that non-performing loans net of provisions to capital fell to 2.1 percent, down from 2.2 percent in the same period last year.
This decline suggests an improvement in the quality of bank lending portfolios and the effectiveness of provisioning strategies.
According to the IMF, several factors help mitigate credit risk within the rapidly expanding real estate loan portfolio in Saudi Arabia.
Most mortgages are offered at fixed rates, which shield borrowers from interest rate fluctuations, and are structured with full recourse, minimizing the likelihood of strategic defaults.
Additionally, approximately 80 percent of retail borrowers are government employees, whose income is likely to remain stable during economic downturns. Furthermore, it is reported that the majority of mortgages are salary-assigned, providing further assurance of repayment.
Oil Updates — crude set for 4th week of gains as investors assess US sanctions impact
- Brent up 2.3 percent so far this week, WTI adds 3.3 percent
- China GDP tops forecast, but oil refinery output declines in 2024
LONDON, Jan 17 : Oil prices edged up on Friday, heading for a fourth consecutive week of gains, as the latest US sanctions on Russian energy trade heightened expectations for oil supply disruptions.
Brent crude futures were trading up 36 cents or 0.4 percent higher at $81.65 per barrel by 2:13 p.m. Saudi time, having gained 2.4 percent so far this week.
US West Texas Intermediate crude futures were up 53 cents or 0.7 percent at $79.21 a barrel, having climbed 3.5 percent for the week.
Last Friday, the Biden administration unveiled broader sanctions targeting Russian oil producers and tankers.
“Supply concerns from US sanctions on Russian oil producers and tankers, combined with expectations of a demand recovery driven by potential US interest rate cuts, are bolstering the crude market,” said Toshitaka Tazawa, an analyst at Fujitomi Securities.
“The anticipated increase in kerosene demand due to cold weather in the United States is another supportive factor.”
Investors are also anxiously waiting to see if more supply disruptions will emerge after Donald Trump returns to the White House next Monday.
“Mounting supply risks continue to provide broad support to oil prices,” ING analysts wrote in a research note, adding that the new Trump administration is expected to take a tough stance on Iran and Venezuela, the two main suppliers of crude oil.
Expectations for better demand lent some support to the oil market. Data showed inflation easing in the US, the world’s biggest economy, bolstering hopes of interest rate cuts.
Traders are also assessing fresh data from China, the world’s top oil importer. Its economy fulfilled the government’s ambitions for 5 percent growth last year.
But China’s oil refinery throughput in 2024 fell for the first time in more than two decades, except for the pandemic-hit year of 2022, government data also showed on Friday.
Weighing on oil prices were expectations of a halt in attacks by Yemen’s Houthi militia on ships in the Red Sea in the wake of a Gaza ceasefire deal.
The Houthis’ attacks have disrupted global shipping, forcing ships to make longer and more expensive journeys around southern Africa for more than a year.
The Israeli cabinet is set to approve a deal with militant group Hamas for a ceasefire in Gaza, Prime Minister Benjamin Netanyahu’s office said on Friday.
