Saudi Arabia unveils SR120bn business support war chest to fight virus pandemic

Saudi Arabia has suspended domestic flights, trains, buses and taxis for 14 days in a heightened effort to stop the spread of the COVID-19. (AFP)
Short Url
Updated 21 March 2020
Follow

Saudi Arabia unveils SR120bn business support war chest to fight virus pandemic

  • Immediate steps to ensure the safety of its citizens and residents
  • The Kingdom would do whatever required to tackle the crisis, say health minister

JEDDAH: Saudi government ministers on Friday announced a war chest of more than SR120 billion ($32 billion) to fight the “unprecedented” health and economic challenges facing the country as a result of the killer coronavirus pandemic.

During a press conference in Riyadh, finance minister and acting minister of economy and planning, Mohammed Al-Jadaan, unveiled a SR70 billion stimulus package to support the private sector, especially small- and medium-sized enterprises (SMEs) and businesses worst-hit by the virus outbreak.

And the Saudi Arabian Monetary Authority (SAMA) has also sidelined SR50 billion to help the Kingdom’s banking sector, financial institutions and SMEs.

Al-Jadaan said the government had introduced tough measures to protect the country’s citizens while immediately putting in place a financial safety net. He added that the Kingdom was moving decisively to address the global COVID-19 disease crisis and cushion the financial and economic impact of the outbreak on the country.

The SR70 billion package of initiatives revealed by the minister will include exemptions and postponement of some government dues to help provide liquidity for private-sector companies.

Minister of Health Dr. Tawfig Al-Rabiah noted the raft of precautionary measures that had been introduced by the Kingdom in cooperation with the private sector and government agencies to combat the spread of the coronavirus, highlighting the important contribution of the data communication services sector.

He reassured the Saudi public that the Kingdom would continue to do whatever was required to tackle the crisis.

“This pandemic has a lot of challenges. It’s difficult to make presumptions at this moment as we’ve seen; many developed countries did not expect the rate of transmission of this virus.

“We see that the reality of the situation is different from what many expected. The virus is still being studied and though we know the means of transmission, it is transmitted at a very fast rate, having spread to many countries faster than expected.

“We see that many countries have not taken the strong precautionary measures from the beginning of the crisis which led to the vast spread of the virus in these countries,” Al-Rabiah said.

He pointed out that social distancing would help slow the spread.

Al-Jadaan said the Saudi government had the financial and economic capacity to deal with the situation. “We have large reserves and large investments, but we do not want to withdraw from the reserves more than what was already announced in the budget. We do not want to liquidate any of the government’s investments so we will borrow.

“We have approval from the government after the finance committee raised its recommendations to increase the proportion of the domestic product borrowing from 30 percent to 50 percent. We do not expect to exceed 50 percent from now until the end of 2022,” he added.

The government would use all the tools available to it to finance the private sector, especially SMEs, and ensure its ongoing stability.

The finance minister said that at this stage it was difficult to predict the economic impact of the pandemic on the private sector, but he emphasized that international coordination, most notably through G20 countries and health organizations, was ongoing.

On recorded cases of the COVID-19 disease in the Kingdom, Al-Rabiah said: “Many of the confirmed cases are without symptoms, this is due to the precautionary measures being considered.

“As soon as a case is confirmed, we contact and examine anyone who was in direct contact with the patient. This epidemiological investigation, is conducted on a large scale to investigate any case that was in contact with the patient.”

Al-Jadaan also announced the formation of a committee made up of the ministers of finance, economy and planning, commerce, and industry and mineral resources, along with the vice chairman of the board of the Saudi National Development Fund, and its governor.

The committee will be responsible for identifying and reviewing incentives, facilities, and other initiatives led by the fund.

Committees had also been established, said Al-Jadaan, to study the impact and repercussions of the coronavirus crisis on all sectors and regions, and look at ways of overcoming them through subsidies or stimulus packages.

 
 


Dhul Hijjah crescent moon sighted in Saudi Arabia

The crescent moon for the Islamic month of Dhul Hijjah, during which the annual Hajj pilgrimage takes place, has been sighted.
Updated 27 May 2025
Follow

Dhul Hijjah crescent moon sighted in Saudi Arabia

  • Day of Arafah to be observed on June 5
  • Eid Al-Adha will fall on June 6

RIYADH: The crescent moon for the Islamic month of Dhul Hijjah, during which the annual Hajj pilgrimage takes place, has been sighted, the Supreme Court announced on Tuesday.

This means that the pilgrimage — which all healthy and wealthy Muslims are required to undertake once in a lifetime — will start on June 4 with the pilgrims gathering in the Tent City of Mina. The day of Arafah will fall on June 5.

Muslims who are not performing the pilgrimage this year will celebrate Eid Al-Adha on June 6.

The Supreme Court urged Muslims across the Kingdom to look out for the crescent moon on Tuesday — Dhu Al-Qa’dah 29 — and report any sightings as soon as possible to their nearest court.

The Kingdom has announced a weeklong Eid holiday for both public and private sector workers.


Riyadh hosts first UK-Saudi Infrastructure Assembly meeting

Updated 27 May 2025
Follow

Riyadh hosts first UK-Saudi Infrastructure Assembly meeting

  • ‘We want to create a better system for doing business together,’ says lord mayor

RIYADH: The Lord Mayor of the City of London Alastair King launched the first meeting of the UK-Saudi Infrastructure Assembly in Riyadh on Tuesday to enhance financial and professional cooperation between the two countries.

The initiative is in partnership with Saudi Arabia’s Ministry of Investment, the UK’s Department for Business and Trade, and the City of London Corporation.

“We want to create a better system for doing business together. What we are launching is the UK-Saudi Infrastructure Assembly — a platform bringing together various parties involved in infrastructure investment,” King told Arab News ahead of the meeting.

The new strategic partnership aims at boosting collaboration between the UK’s financial and professional services sectors and Saudi Arabia’s sustainable infrastructure developers.

King said the assembly would help Saudi and UK counterparts to prepare for more joint projects in the Kingdom.

“That means that the costs will go down because they do not have to go through all the mobilization costs. The cost of capital can fall if you have got those companies absolutely ready,” he said.

“I think that is a very exciting example of the sort of collaboration that we have between the UK and Saudi Arabia.”

The assembly has brought together leading Saudi and UK firms, policymakers, and industry experts to shape the future of sustainable infrastructure investment.

It has focused on projects such as the new Electric Vehicle Infrastructure Company, led by the Public Investment Fund, and the Prince Faisal bin Fahad Sustainable Sports City, led by Saudi Arabia’s National Center for Privatization.

King highlighted other areas with potential for greater cooperation, including regulatory alignment, the insurance sector, and cultural exchange.

He said: “We see remarkable opportunities in sectors like asset management. It is something that we do very well. In the UK we have the second-largest investment management industry in the world.

“We have around £10.9 trillion ($14.7 trillion) under management in the UK. We’re looking for all kinds of collaboration with Saudi Arabia in that area.”

He added: “I think we would like to see more collaboration on the legal side as well. (Some) 80 percent of global contracts are under English law.”

King said that he would meet government ministers, regulators, family offices, and members of the insurance industry during his time in Riyadh.

When asked why he chose to visit the Kingdom at this time, King said: “It is a remarkable moment. We have got major developments in the UK that present a good set of opportunities for Saudi parties.”

King added that he would return to Riyadh in October for the Future Investment Initiative.


Security forces crack down on illegal Hajj entry

Updated 27 May 2025
Follow

Security forces crack down on illegal Hajj entry

  • Hajj Security Forces at Makkah’s entrances arrested six residents and 14 citizens for transporting 99 individuals without Hajj permits
  • Ministry of Interior urged full compliance with Hajj regulations to ensure pilgrim safety

MAKKAH: The Ministry of Interior is continuing its efforts to prevent people without Hajj permits from entering or staying in Makkah and the holy sites, warning that violators and facilitators will be arrested and penalized.

Hajj Security Forces at Makkah’s entrances arrested six residents and 14 citizens for transporting 99 individuals without Hajj permits, the Saudi Press Agency reported on Tuesday.

In a separate incident, the forces arrested two citizens for transporting 15 individuals in violation of Hajj regulations and attempting to bring them into Makkah.

Penalties include imprisonment, fines of up to SR100,000 ($26,600), the public naming of violators, deportation of residents and a 10-year re-entry ban after sentencing.

The ministry also called for the confiscation of vehicles used in unauthorized transportation and fines of up to SR20,000 for those attempting Hajj without a permit.

It urged full compliance with Hajj regulations to ensure pilgrim safety and reminded the public that entering Makkah between April 29 and June 10 without a permit is prohibited.


Saudi project clears 1,504 mines in Yemen 

Updated 27 May 2025
Follow

Saudi project clears 1,504 mines in Yemen 

  • Total included 1,459 unexploded ordnance, 40 anti-tank mines, four anti-personnel mines and one improvised explosive device
  • Ousama Al-Gosaibi, the initiative’s managing director, said that 495,855 mines have been cleared since the project began in 2018

RIYADH: Members of Saudi Arabia’s Project Masam removed 1,504 explosive devices from various regions of Yemen last week. 

The total included 1,459 unexploded ordnance, 40 anti-tank mines, four anti-personnel mines and one improvised explosive device, according to a recent report. 

Ousama Al-Gosaibi, the initiative’s managing director, said that 495,855 mines have been cleared since the project began in 2018.

The explosives were planted indiscriminately and posed a threat to civilians, including children, women and the elderly. 

The demining operations took place in Marib, Aden, Jouf, Shabwa, Taiz, Hodeidah, Lahij, Sanaa, Al-Bayda, Al-Dhale and Saada. 

The project trains local demining engineers and provides them with modern equipment. It also offers support to Yemenis injured by the devices.

Teams are tasked with clearing villages, roads and schools to facilitate the safe movement of civilians and delivery of humanitarian aid.


KSrelief provides critical support across nations

Updated 27 May 2025
Follow

KSrelief provides critical support across nations

  • In Sudan, KSrelief distributed 2,037 food baskets in two days to displaced families in Blue Nile State, benefiting 9,671 people
  • In Afghanistan, the agency completed the Saudi Noor program to combat blindness in Herat and Balkh provinces

RIYADH: Saudi Arabia’s aid agency KSrelief continues to make a significant global impact, providing critical assistance to some of the world’s most vulnerable communities.

In Sudan, KSrelief distributed 2,037 food baskets in two days to displaced families in Blue Nile State, benefiting 9,671 people.

In Afghanistan, the agency completed the Saudi Noor program to combat blindness in Herat and Balkh provinces, in cooperation with Al-Basar International Foundation.

The volunteer medical team examined 6,894 patients and performed 711 surgeries, the Saudi Press Agency reported.

In Yemen, KSrelief is restoring and rehabilitating houses in Socotra governorate. The project, involving 15 volunteers, will continue until May 31.

The team visited homes and selected some for rehabilitation based on project criteria, according to the report.

In the Syrian Arab Republic, KSrelief concluded a week-long Saudi Amal project in Damascus with 86 medical volunteers.

The projects covered adult cardiac surgery, catheterization, orthopedic surgery, prosthetics and rehabilitation, pediatric surgery, pediatric urology and blindness prevention.

Since its launch in May 2015, KSrelief has carried out 3,435 projects worth more than $7.9 billion across 107 countries, in partnership with more than 317 organizations.