TEHRAN: Iran announced Thursday the closure of a Tehran-based French research institute in protest against cartoons of the Islamic republic’s supreme leader Ayatollah Ali Khamenei published by French satirical weekly Charlie Hebdo.
“The ministry is ending the activities of the French Institute for Research in Iran as a first step,” the Iranian foreign ministry said in a statement, a day after Tehran had warned Paris of consequences.
Iran has been shaken by over three months of protests triggered by the September 16 death in custody of Mahsa Amini, 22, an Iranian Kurd who was arrested for allegedly violating the country’s strict dress code for women.
Charlie Hebdo on Wednesday published the caricatures of Khamenei in support of the protests, in a special edition to mark the anniversary of the deadly 2015 attack on its Paris office which left 12 people dead.
Iran’s Foreign Minister Hossein Amir-Abdollahian tweeted in response that “the insulting and indecent act of a French publication in publishing cartoons against the religious and political authority will not go without an effective and decisive response.”
Iran’s foreign ministry also summoned French ambassador Nicolas Roche.
IFRI, affiliated to the French foreign ministry, is a historical and archaeological institute founded in 1983 after the merger of the French Archaeological Delegation in Iran and the French Institute of Iranology in Tehran.
Located in the center of Tehran, it had been closed for many years but was reopened under the 2013-2021 presidency of the moderate president Hassan Rouhani as a sign of warming bilateral relations.
Iran closes French institute to protest Khamenei cartoons
https://arab.news/4pa9q
Iran closes French institute to protest Khamenei cartoons
- Charlie Hebdo on Wednesday published the caricatures of Khamenei in support of the protests
- Iran’s foreign ministry also summoned French ambassador Nicolas Roche
Los Angeles fires fully contained after burning for 3 weeks: state agency
- Palisades and Eaton fires burned more than 150 square kilometers and over 10,000 homes
- Estimated damage and economic loss at between $250 billion and $275 billion
The Palisades and Eaton fires in Southern California’s Los Angeles County were the most destructive in the history of the second-largest US city, burning more than 150 square kilometers and over 10,000 homes, causing damage estimated to cost hundreds of billions of dollars.
Cal Fire, the state’s firefighting agency, updated the figures on its website on Friday to show 100 percent containment of both fires, meaning their perimeters were completely under control.
Evacuation orders were lifted earlier, with the fires not posing a serious threat for days.
Both blazes started on January 7 and their exact cause remains under investigation.
But human-driven climate change set the stage for the infernos by reducing rainfall, parching vegetation, and extending the dangerous overlap between flammable drought conditions and powerful Santa Ana winds, according to an analysis published this week.
The study, conducted by dozens of researchers, concluded that the conditions fueling the blazes were approximately 35 percent more likely due to global warming caused by burning fossil fuels.
The two fires destroyed thousands of structures over more than three weeks in the affluent Pacific Palisades neighborhood of Los Angeles and Malibu, and in the Altadena community in Los Angeles County, forcing thousands of residents to evacuate their homes.
“Our recovery effort is based around getting people back home to rebuild as quickly and safely as possible,” Los Angeles Mayor Karen Bass said in a statement Friday. “We are making sure that the Palisades will be safe as residents access their properties.”
City police chief Jim McDonnell said the presence of law enforcement officers in the area would be “more than 10 times” what it was before the start of the fires.
Private meteorological firm AccuWeather has estimated the damage and economic loss at between $250 billion and $275 billion.
Hamas frees three Israeli hostages in latest Gaza exchange
- Israel to transfer 182 Palestinian prisoners and detainees, Hamas says
- Negotiations to start by Tuesday for a deal for release of remaining hostages
GAZA/CAIRO: Palestinian militant group Hamas handed over three Israeli hostages on Saturday, in the latest stage of a truce aimed at ending the 15-month war in Gaza.
Ofer Kalderon, a French-Israeli dual national and Yarden Bibas were handed over to Red Cross officials in the southern Gaza city of Khan Younis before being transferred to Israel. Israeli-American Keith Siegel was handed over separately a few hours later at the Gaza City seaport.
Meanwhile, buses carrying released Palestinian prisoners from Israeli prisons arrived on Saturday in West Bank's Ramallah, live television footage showed. The inmates departed from Ofer Prison after the three Israeli hostages were handed over by Hamas.
Bibas is the father of the two youngest hostages, baby Kfir, only 9 months old when he was kidnapped by Hamas-led gunmen on Oct. 7, 2023, and Ariel, who was 4 at the time of the cross-border attack.
Hamas said in November 2023 that the boys and their mother Shiri, who was taken at the same time, were killed in an Israeli airstrike. There has been no word on them since.
Israel is expected to transfer 182 Palestinian prisoners and detainees, Hamas said.
At the newly reopened Rafah crossing on the southern border, the first Palestinian patients to be allowed to leave Gaza, including children suffering from cancer and heart conditions, were expected to cross over to Egypt in a bus provided by the World Health Organization.
Saturday’s handover saw none of the chaotic scenes that overshadowed an earlier transfer on Thursday, when Hamas guards struggled to shield hostages from a surging crowd in Gaza.
But it was once again an occasion for a show of force by uniformed Hamas fighters who paraded in the area where the handovers took place in a sign of their re-established dominance in Gaza despite the heavy losses suffered in the war.
Kalderon, whose two children Erez and Sahar were released in the first hostage exchange in November 2023, and Bibas both briefly mounted a stage in Khan Younis, in front of a poster of Hamas figures including Mohammad Deif, the former military commander whose death was confirmed by Hamas this week, before being handed over to the Red Cross officials.
“Ofer Kalderon is free! We share the immense relief and joy of his loved ones after 483 days of unimaginable hell,” French President Emmanuel Macron said in a statement.
Negotiations on release of remaining hostages
Eighteen hostages, including five Thais freed on Thursday, have now been released in exchange for 400 Palestinian prisoners and detainees.
Negotiations are due to start by Tuesday on agreements for the release of the remaining hostages and the withdrawal of Israeli troops from Gaza in a second phase of the deal.
During the first phase of the ceasefire, 33 children, women and older male hostages as well as sick and injured, were due to be released, with more than 60 men of military age left for a second phase which must still be negotiated.
The initial six-week ceasefire, agreed with Egyptian and Qatari mediators and backed by the United States, has so far stayed on track despite a number of incidents that have led both sides to accuse the other of violating the deal.
The Hamas attack on Oct. 7, 2023 killed some 1,200 people and took more than 250 hostage, according to Israeli figures.
Israel’s campaign in response has destroyed much of the densely populated Gaza Strip and killed more than 47,000 Palestinians, according to Palestinian health authorities.
Startup of the Week – Egypt’s Qara targets Saudi Arabia following $2.6m funding round
RIYADH: Egypt-based supply chain technology company Qara is preparing to expand into Saudi Arabia, leveraging a $2.6 million funding round to support its entry into the Kingdom.
The investment will be used to build a local team, implement its technology solutions, and address key challenges in supply chain traceability and product authentication for businesses in the Saudi market.
“This funding round will be helping us accelerate our expansion into Saudi Arabia, a key market for Qara,” said Hassan Abouzeed, founder and CEO of Qara, in an interview with Arab News.
“With this investment, we can scale our operations quickly, set up our local team, and implement our technology solutions. It enables us to deploy our platform, which focuses on supply chain traceability and product authentication, to businesses in Saudi Arabia, helping them address key challenges related to counterfeiting, transparency, and customer loyalty,” Abouzeed added.
Qara’s decision to expand into Saudi Arabia has been significantly supported by the Kingdom’s National Technology Development Program’s Relocate Initiative.
It offers critical incentives, such as financial support, access to local partners, and assistance in navigating regulations, Abouzeed explained.
“The NTDP’s Relocate Initiative has been instrumental in facilitating our smooth entry into Saudi Arabia. The ease of setting up operations and receiving guidance on navigating local regulations was a huge advantage for us,” he said.
“Moreover, Saudi Arabia’s emphasis on becoming a regional tech hub made it an ideal destination for Qara’s next phase of growth. The incentives from the Relocate Initiative, combined with the country’s strategic alignment with Vision 2030, provided a perfect ecosystem for us to expand and bring our solutions to the market,” he added.
Saudi Arabia’s broader emphasis on digital transformation and its Vision 2030 strategy also played a central role in Qara’s plans.
“Saudi Arabia’s emphasis on becoming a regional tech hub made it an ideal destination for Qara’s next phase of growth,” Abouzeed explained, adding: “The Kingdom is open to new innovations, and businesses are increasingly adopting digital solutions to improve efficiency, transparency, and security — areas where Qara’s platform can make a big impact.”
The company’s platform provides tools to combat counterfeiting and enhance visibility.
“Our platform is a comprehensive digital ecosystem that allows producers to authenticate and trace their products throughout the supply chain down to the end consumer,” said Abouzeed.
He noted that the platform has been particularly effective in the Middle East and Africa, where fragmented supply chains often face challenges related to counterfeiting and lack of visibility.
“With Qara, businesses can secure their products with unique digital identities, monitor their distribution in real-time, and foster deeper relationships with customers and distribution parties, ensuring brand integrity and driving growth,” he claimed.
“What truly differentiates us is our ability to not only authenticate and trace products but also establish a direct connection between producers and consumers. As Saudi Arabia’s logistics sector grows, Qara’s solutions will play a critical role in supporting this transformation,” he added.
With the funding secured, the company’s immediate priorities include building a local team and establishing partnerships in Saudi Arabia.
“We’ll also work on forging strategic partnerships with key players in complementary industries. We already started with a loyalty program partner, Walaplus, to expand our points redemption network for Saudi customers,” Abouzeed said.
He added that hiring local talent will be critical to success in the country, and the firm will focus on recruiting professionals who understand the local market, the culture, and the business landscape.
“We already started with hires in sales and product teams, and currently, we are prioritizing roles in our tech team, as these will help us deliver our solutions effectively,” Abouzeed said.
Qara also has ambitious revenue goals for its first year of operations in Saudi Arabia, he revealed, adding: “We are targeting that our business in Saudi Arabia will contribute to 15–20 percent of our overall business by the end of year one.”
In terms of industry focus, Qara sees strong demand for its solutions in sectors where product authenticity and traceability are critical.
“We see significant demand for Qara’s solutions in industries such as pharmaceuticals, construction materials, and consumer goods,” Abouzeed said.
“Additionally, with the government’s focus on Vision 2030, we believe that sectors like food security and electronics will also experience a growing demand for digital solutions that enhance product traceability and consumer trust.”
Beyond Saudi Arabia, Qara plans to expand into other Gulf Cooperation Council countries once its operations in the Kingdom are established — with the UAE and Qatar highlighted as having a high demand for innovative supply chain solutions
“We also see opportunities in Kuwait and Oman, where businesses are increasingly adopting digital technologies to improve their operations and protect their brands,” Abouzeed said.
The funding round, while successful, was not without challenges, particularly in the current economic climate with the global uncertainties and shifting market conditions, the CEO revealed.
“What helped us most was that we’ve been profitable since inception, while maintaining a growth of two to three times annually, which demonstrated our ability to build a sustainable and profitable business model even in challenging market conditions,” he said.
Saudi Arabia provides 39.4 percent of Japan’s oil imports in December
TOKYO: Saudi Arabia provided Japan with 39.4 percent of its oil imports in December 2024, amounting to 31.05 million barrels, according to figures released by the Japanese Ministry of Economy, Trade and Industry’s Agency of Natural Resources and Energy.
Japan imported 78.85 million barrels of oil in December, of which the Arab share was 96.3 percent or 75.94 million barrels.
Arab countries continued to supply a significant proportion of Japan’s oil imports, with most coming from five sources: the UAE, Saudi Arabia, Kuwait, Qatar and Oman.
The UAE emerged as the largest supplier, providing 35.97 million barrels, which accounted for 45.6 percent of the total imports. Kuwait, Qatar and Oman followed, contributing 5 million barrels (6.3 percent), 3.41 million barrels (4.3 percent), and about 0.5 million barrels (0.6 percent), respectively.
Japan’s oil imports continue to be affected by geopolitical policies. With the ban on importing oil from Iran and Russia, the rest of its oil imports in December were sourced from Central and South America (1.8 percent), the US (1.3 percent), Oceania (0.4 percent) and Southeast Asia (0.2 percent).
Saudi banking sector dominating TASI trading, latest report reveals
RIYADH: Saudi Arabia’s banking sector led trading on the Kingdom’s stock exchange in 2024’s fourth quarter with a 17 percent market share, according to Tadawul’s latest report.
The industry was responsible for approximately SR66.42 billion ($17.7 billion) of transactions, ahead of the materials sector with SR45.04 billion, comprising 11.45 percent of the market.
The energy sector had 10.58 percent share in this period, with value traded reaching SR41.58 billion.
The banks industry group also dominated the market for the entire year 2024, leading in share trading value with SR265.57 billion according to Tadawul, accounting for 14.26 percent of the total traded value.
It was followed by the materials sector, which recorded SR249.32 billion, representing 13.39 percent, and the energy sector with SR225.27 billion, contributing 12.10 percent to the total traded value for the year.
These three sectors collectively represent a substantial 62.8 percent weight of the index. This concentration highlights the central role of banking, energy, and materials in shaping the performance of Tadawul, driven by the ongoing economic diversification under Vision 2030 and the Kingdom’s efforts to reduce its reliance on oil revenues.
Even though the energy sector claims the highest market capitalization, primarily influenced by Aramco with a substantial SR6.78 trillion market cap, it does not command the highest weight. This is due to the capped indices calculation methodology, with the banks sector surpassing it in terms of weight.
This methodology is used to prevent any single security from having a dominating influence on an index, and it is part of the Financial Sector Development Program’s key initiative under the Kingdom’s Vision 2030 to enhance the exchange’s product offering.
By balancing sector weights, Tadawul aims to create a more diversified and resilient market structure, reflecting the broader goals of economic transformation and investment appeal.
Saudi Aramco, the largest player in the industry on the market, recorded the highest activity at SR31.4 billion during the fourth quarter.
The company’s majority of trades, or 47.15 percent, occurred in November according to data from Bloomberg, coinciding with Aramco announcing its profits and dividends payout for the quarter ending in September.
The energy firm closed the fourth quarter with a 3.51 percent quarter-to-date increase in price at SR28.05 per share.
Al Rajhi came second in highest trades by value, totaling SR27.02 billion. The stock closed with a quarter-to-date rise of 8.49 percent at 94.6.
The company’s financial results for the third quarter of 2024 showed SR5.1 billion profit, a 22.82 percent rise compared to the same period of the preceding year.
The Saudi telecom company STC, followed with value traded of SR13.62 billion however the stock price showed a 8.47 percent decline in the quarter-to-date at SR40. The company had reported its financial results for the third quarter of 2024 with profit of SR4.64 billion — an annual decline of 5.32 percent.
The stock with the highest trading volume and the largest price appreciation in the fourth quarter was Al Baha Investment and Development Co. On December 19, the company’s shareholders approved a 26.5 percent reduction in capital, lowering it from SR297 million to SR218.3 million.
Following this reduction, Al Baha announced that it had fully offset its accumulated losses, reducing them to zero percent of its capital. This achievement highlights the company’s efforts to improve its financial position.
For the fourth quarter, the company saw a 56.67 percent quarter-to-date increase, with a closing price of SR0.47.
Banking sector growth drivers
Saudi Arabia’s banking sector’s dominance reflects its critical role in driving the Kingdom’s economic transformation under Vision 2030.
This performance is closely tied to robust corporate lending, fueled by the ongoing implementation of mega-projects across construction, tourism, and infrastructure.
With corporate credit growth projected at 10 percent annually in 2025 according to a report by S&P Global, banks have been instrumental in financing the ambitious pipeline of Vision 2030 initiatives, particularly as the government pivots from oil dependency to diversifying its economy.
Declining interest rates have further supported lending growth, particularly in residential mortgages, which benefit from expanding demographics and rising urbanization.
The mortgage sector’s steady expansion, aided by accommodative monetary policy and population growth, has complemented the surge in corporate loans, creating a dual engine for credit growth according to S&P Global.
In parallel, Saudi banks’ capital adequacy ratio of 19.2 percent at the end of September highlights their strong capitalization, ensuring sufficient capacity to meet the growing financing needs tied to Vision 2030.
According to the agency’s report, profitability in the sector remains stable despite declining net interest margins, with return on assets expected to hover between 2.2 percent and 2.1 percent, supported by increased loan volumes.
While corporate lending comprises nearly 50 percent of total loans, floating interest rates have allowed banks to quickly adjust to monetary changes, partially offsetting margin pressures, they added.
Additionally, international capital market issuances are increasingly being utilized to fund growth, reflecting the sector’s strategic alignment with the government’s long-term objectives.
This banking sector performance also mirrors broader regional trends in the GCC, where economic diversification, high oil revenues, and infrastructure investments have driven financial market activity.
As Saudi Arabia continues to implement Vision 2030 projects and attract foreign direct investment, its banking sector is expected to remain a key enabler of economic transformation, maintaining its leadership on Tadawul and within the GCC’s financial ecosystem.
Foreign ownership in Saudi equity market
According to the latest report by the Capital Market Authority for the third quarter of 2024, Saudis — primarily government entities — held 95.12 percent ownership in the main stock market.
GCC investors accounted for 0.76 percent, while foreign ownership rose to 4.11 percent, up from 3.2 percent during the same period last year.
In terms of trading activity, foreign investors contributed significantly, accounting for 25.23 percent of the total buy value on the main stock market, equivalent to SR112.48 billion.
On the sell side, they traded SR117.42 billion, representing 26.34 percent of the total sell value. This resulted in net purchases by foreign investors amounting to SR4.97 billion for the quarter.
In a recent development, Saudi Arabia announced on Jan. 27, 2025, that it will permit foreign investment in publicly listed companies owning real estate in the sacred cities of Makkah and Medina.
This move is part of the Kingdom’s strategy to attract more foreign capital and boost liquidity for projects related to Islamic pilgrimage. These investments will be limited to shares and convertible debt instruments, with a cap of 49 percent ownership by non-Saudi nationals.
The Capital Market Authority aims to boost investment, enhance the efficiency and appeal of the Saudi capital market, and strengthen its global competitiveness while supporting the domestic economy.
Part of this effort involves attracting foreign capital and ensuring sufficient liquidity to fund current and future development projects in Makkah and Madinah, solidifying the market as a vital source of financing for these initiatives.
In recent years, the Kingdom has introduced significant reforms, including an updated investment law to create a level playing field for local and foreign investors and eased restrictions on foreign ownership in the stock market, further cementing its position as a global investment hub.
