Red Sea Global inks deal with EDF, Masdar to make AMAALA sustainable 

The agreement, a 25-year concession, focuses on a multi-utility infrastructure facility to serve the tourist destination, according to a press release. Photo/Supplied
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Updated 11 September 2023
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Red Sea Global inks deal with EDF, Masdar to make AMAALA sustainable 

RIYADH: Ultra-luxury resort destination AMAALA is on track to become fully powered by solar energy following a partnership between developer Red Sea Global and French utility company EDF, along with the UAE's clean energy major, Masdar.  

The agreement, a 25-year concession, focuses on a multi-utility infrastructure facility to serve the tourist destination, according to a press release. 

The newly established facility has an optimized off-grid renewable energy system that generates energy through photovoltaic technology. This setup also includes a battery energy storage solution, ensuring a sustainable 24/7 power supply for the desalination and wastewater treatment plants. 

“Sustainability is a cornerstone of AMAALA, and our new partnership with EDF and Masdar will drive us toward achieving a zero-carbon footprint once fully operational,” said RSG Group CEO John Pagano in a press statement. 

According to RSG’s statement, AMAALA’s renewable supply system has the capacity to generate up to 410,000 megawatt hour per annum, which is enough to power 10,000 households for an entire year.   

The system includes a 700 MWh battery storage facility, which ensures AMAALA will be powered by renewables, day and night. There will also be a water desalination plant that uses reverse osmosis technology and has a capacity of 37 million liters of water per day.   

The contract was structured as an independent public-private partnership, encompassing the design, construction, and operation of utility systems, along with the accompanying networks and infrastructure. 

“With more than 90 percent of its electricity production decarbonized, the EDF group is pursuing its ambition to contribute to reach carbon neutrality by 2050. Our objective is to continue to be a key player in the development of innovative, fully resilient, and net-zero electrical systems,” Béatrice Buffon, group executive vice president in charge of EDF’s international division said.  

He added that this project will set new standards of execution and operation for EDF and the Kingdom.   

For his part, Mohamed Jameel Al-Ramahi, CEO of Masdar, said: “For this fully integrated utility project in partnership with Red Sea Global and EDF, we have brought together a suite of innovative solutions and technologies including solar, battery storage and desalination.”     

He added that this is a unique project that will help drive sustainable economic development to the “beautiful tourism destination” of AMAALA.   

RSG stated that its utility concession agreement with EDF and Masdar has an initial 25-year term with the option to extend. The agreement covers financing, engineering, development, construction, operation, maintenance, and transfer of a multi-utility infrastructure facility. 

Furthermore, while this deal helps AMAALA achieve its net-zero ambitions, the destination will go beyond sustainability to have a regenerative impact on the environment. The goal is to deliver a 30 percent net conservation benefit to local ecosystems by 2040. 

“This will be achieved by enhancing biologically diverse habitats including mangroves, seagrass, corals and land vegetation that help biodiversity to flourish while contributing to carbon sequestration efforts too,” RSG further added. 


PIF-backed D360 bank eyes global investors for Series A round 

Updated 5 min 6 sec ago
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PIF-backed D360 bank eyes global investors for Series A round 

RIYADH: Saudi Arabia’s Public Investment Fund-backed digital bank D360 is in early talks with potential global investors as it prepares for a Series A funding round planned for the second half of 2025. 

The Shariah-compliant lender, which began operations in December, is targeting the first quarter of 2026 to complete the raise, CEO Eze Szafir said in an interview with Bloomberg. 

This development follows the bank’s successful securing of around $500 million from existing shareholders, including PIF and Derayah Financial Co. 

While Szafir did not disclose the size of the upcoming round, he told Bloomberg the funding will support the bank’s efforts to expand services to small and medium enterprises, aligning with the Kingdom’s broader economic diversification strategy under Vision 2030. 

“We’re looking for new investors in the international landscape, most probably from Europe or the US, with the same quality we have here with the PIF and Derayah,” Szafir was quoted as saying. 

D360 also plans to roll out full lending services for individuals and SMEs later this year. 

In preparation for the raise, the company has appointed former JPMorgan Chase & Co. banker Mohammed Nazer as chief financial officer to lead the process. Nazer said the bank expects to appoint advisers to manage the Series A round by the end of July. 

One of the first institutions to be granted a digital banking license in Saudi Arabia, D360 currently serves over 1 million users. It is targeting 4 million account holders ahead of a potential public listing within the next four years. 

By adopting data-driven strategies and modern technologies, D360 aims to contribute to the development of the Kingdom’s digital financial infrastructure and align with the goals of Vision 2030. 

The move comes as the Saudi Central Bank continues to advance regulatory frameworks that support digital transformation in the financial sector. The institution, also known as SAMA, has prioritized fostering innovation and financial inclusion through digital banking, granting licenses to new digital players in a bid to modernize the Kingdom’s banking landscape and strengthen financial resilience. 

This push has helped Saudi electronic payments account for 79 percent of all retail transactions in the Kingdom in 2024, up from 70 percent the previous year, according to SAMA. 

The central bank also reported that the total number of non-cash retail transactions reached 12.6 billion in 2024, compared to 10.8 billion in 2023, reflecting the continued growth and widespread adoption of digital payment systems nationwide.


Oil Updates — crude inches up on supply concerns and weaker dollar

Updated 03 June 2025
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Oil Updates — crude inches up on supply concerns and weaker dollar

SINGAPORE: Oil prices ticked up on Tuesday on concerns about supply, with Iran set to reject a US nuclear deal proposal that would be key to easing sanctions on the major oil producer, while weakness in the dollar also supported prices.

Brent crude futures gained 12 cents, or 0.19 percent, to $64.75 a barrel by 9:27 a.m. Saudi time.

US West Texas Intermediate crude was up 20 cents, or 0.32 percent, to $62.72 a barrel, after rising about 1 percent earlier in the session.

The oil market surged higher on Monday as rising geopolitical risks and a supply hike from OPEC+ that fell short of expectations provided a boost, said ING analysts in a note.

“The strength continued into early morning trading today,” ING said on Tuesday.

Both contracts gained nearly 3 percent in the previous session after the Organization of the Petroleum Exporting Countries and allies, known as OPEC+, agreed to keep output increases in July at 411,000 barrels per day, which was less than some in the market had feared and the same hike as the previous two months.

“With the worst fears not panning out, investors unwound their bearish positions they had built prior to the weekend’s meeting,” ANZ analysts said in a note.

Meanwhile, the dollar index, which measures its performance against six other major currencies, held near six-week lows as markets weighed the outlook for President Donald Trump’s tariff policy and its potential to hurt growth and stoke inflation.

A weaker US currency makes dollar-priced commodities such as oil less expensive for holders of other currencies.

“Crude oil prices continue to rise, supported by the weakening dollar,” said Priyanka Sachdeva, senior market analyst at Phillip Nova.

Geopolitical tensions also supported prices. Iran was poised to reject a US proposal to end a decades-old nuclear dispute, an Iranian diplomat said on Monday, saying it fails to address Tehran’s interests or soften Washington’s stance on uranium enrichment.

If nuclear talks between the US and Iran fail, it could mean continued sanctions on Iran, which would limit Iranian supply and be supportive of oil prices.

Adding to supply worries, a wildfire in the province of Alberta in Canada has prompted a temporary shutdown of some oil and gas production, which could reduce supply.

According to Reuters calculations, wildfires in Canada have affected more than 344,000 bpd of oil sands production, or about 7 percent of the country’s overall crude oil output. 


Closing Bell: Tadawul closes higher on Monday as TASI edges up; Nomu surges over 300 points 

Updated 02 June 2025
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Closing Bell: Tadawul closes higher on Monday as TASI edges up; Nomu surges over 300 points 

  • MSCI Tadawul 30 Index rose 2.47 points to settle at 1,384.58
  • Parallel market Nomu climbed 314.77 points to close at 26,984

RIYADH: Saudi Arabia’s Tadawul All Share Index closed slightly higher on Monday, gaining 24.82 points, or 0.23 percent, to reach 10,850.09.

Total trading turnover on the main market stood at SR4 billion ($1 billion). 

Market breadth remained mixed, with 116 gainers against 120 decliners. The MSCI Tadawul 30 Index rose 2.47 points, or 0.18 percent, to settle at 1,384.58. 

The parallel market Nomu recorded a more pronounced gain, climbing 314.77 points, or 1.18 percent, to 26,984, with 31 stocks advancing and 49 retreating. 

Savola Group led the main market gainers, advancing 4.48 percent to close at SR28. 

United Carton Industries Co., which recently debuted on Tadawul, added 4.40 percent to close at SR42.70 with over SR217 million in traded value. 

Other notable gainers included Aldawaa Medical Services Co., which rose 2.92 percent to SR77.60, Middle East Pharmaceutical Industries Co., up 2.82 percent to SR124, and Jabal Omar Development Co., which gained 2.76 percent to close at SR21.56. 

On the downside, Riyad Bank posted the sharpest drop of the day, falling 3.51 percent to close at SR27.50. 

Zamil Industrial Investment Co. dropped 2.76 percent to SR38.75, while Naseej International Trading Co. declined 2.86 percent to SR78.20. 

Emaar The Economic City slipped 2.71 percent to SR12.92, and Abdullah Saad Mohammed Abo Moati for Bookstores Co. fell 2.45 percent to close at SR35.80. 

On the announcement front, Al-Modawat Specialized Medical Co. disclosed that its board had passed a resolution to initiate the company’s transfer from the Parallel Market to the Main Market. 

The move is subject to regulatory approvals and fulfillment of the market’s listing conditions. Shares of Al-Modawat ended the day down 1.84 percent at SR17.06. 

Saudi Arabian Mining Co. announced that it has received approval from the Capital Market Authority to proceed with a capital increase in connection with its previously disclosed acquisition of full ownership in Maaden Bauxite and Alumina Co. and Maaden Aluminium Co. 

The move is part of a share purchase and subscription agreement signed with AWA Saudi and Alcoa Saudi in 2024. 

The capital increase will raise Ma’aden’s share capital from SR38.03 billion to SR38.89 billion through the issuance of 861.9 million new shares. 

The newly issued shares will be used to acquire 100 percent of the shares held by AWA Saudi in MBAC and Alcoa Saudi in MAC, corresponding to 25.1 percent of the issued capital of each entity. 

In total, Ma’aden will issue 89.98 million new shares to AWA Saudi and 165 million shares to Alcoa Saudi at a nominal value of SR10 per share.

The transaction is expected to be executed through a combination of share issuance and cash payment. 

The company stated that further updates, including shareholder meeting arrangements for capital increase approval, will be announced in due course. 

Shares of Ma’aden closed 0.92 percent higher on Monday at SR49.50. 


Oman’s electrical machinery exports surge 141% in Q1 as industrial policy drives growth 

Updated 02 June 2025
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Oman’s electrical machinery exports surge 141% in Q1 as industrial policy drives growth 

  • Non-oil exports rose by 8.6% year on year in the first quarter, reaching 1.618 billion rials
  • Growth in the electrical equipment sector is being supported by major infrastructure developments

RIYADH: Exports of electrical machinery and equipment from Oman surged by 141 percent in the first quarter of 2025, reaching 128 million Omani rials ($332.8 million) compared to 53 million rials in the same period of 2024, according to official data. 

The strong performance of the sector highlights its growing importance to the country’s industrial base and export competitiveness, the National Center for Statistics and Information revealed. 

Officials have linked the sharp rise to rising demand across domestic and regional markets, driven by ongoing infrastructure expansion and increased investment in renewable energy projects. 

In figures released in May, the Oman News Agency revealed that the country’s non-oil exports rose by 8.6 percent year on year in the first quarter of 2025, reaching 1.618 billion rials.

Commenting on the latest release, Khalid Al-Qassabi, director general of Industry at the Ministry of Commerce, Industry and Investment Promotion, stated that the positive results reflect the resilience and diversity of Oman’s industrial base, according to a report by the ONA.

“He noted that the ministry continues to implement integrated industrial policies aimed at enhancing the position of national products in regional and international markets and driving industrial exports to higher levels,” the news agency added. 

Al-Qassabi said that growth in the electrical equipment sector is being supported by major infrastructure developments, such as the expansion of electricity networks, utilities, and new cities. 

He also pointed to rising interest in renewable energy technologies, which is boosting demand for domestically manufactured components. 

The sector is considered a strategic priority under Oman’s Industrial Strategy 2040, with the potential to enhance supply chains, increase national value-added, foster entrepreneurship, and support the localization of advanced technologies. 

Jasim Al-Jadeedi, technical director in the Office of the Undersecretary for Commerce and Industry, reiterated the ministry’s focus on expanding the global presence of Omani industrial goods. 

He said this is a central objective of the country’s industrial strategy and a key component of its economic diversification agenda under Oman Vision 2040. 

Al-Jadheedi explained that several initiatives are underway to improve product quality and competitiveness, including support for manufacturers in meeting international technical standards. 

He added that the government is working with relevant stakeholders to unlock new export markets through trade agreements, international exhibitions, and trade missions, while offering targeted incentives to local exporters. 

The technical director also emphasized the importance of adopting advanced technologies, including artificial intelligence and Industry 4.0 tools, to enhance efficiency, reduce costs, and achieve sustainable industrial growth. 

This sectoral expansion comes amid broader momentum in the industrial economy. 

Total credit extended by Oman’s banking sector increased by 9 percent year-on-year to 33.6 billion rials by the end of April, indicating continued strength in financing for the private sector and industrial enterprises. 

Non-oil industrial exports overall rose by 8.6 percent during the first quarter to 1.618 billion rials, up from 1.49 billion rials a year earlier. 

Industrial goods accounted for 28 percent of total exports during the period, led by electrical machinery and mineral products, the latter of which recorded a 14.1 percent rise in exports to 462 million rials. 


Rising demand sends Riyadh mall rents up by 4% in a year

Updated 02 June 2025
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Rising demand sends Riyadh mall rents up by 4% in a year

  • Riyadh accounts for the largest share of the 4.9 million sq. meters of retail developments
  • Other areas include Jeddah, Dammam Metropolitan Area, Khobar, and Dhahraneas include Jeddah, Dammam Metropolitan Area, Khobar, and Dhahran

RIYADH: Saudi Arabia’s capital is spearheading the Kingdom’s retail transformation, with mall rents up by 4 percent in a year and 2.2 million sq. meters of shop space to be developed by 2030.

According to Knight Frank’s Spring 2025 Saudi Arabia Retail Market Overview, Riyadh accounts for the largest share of the 4.9 million sq. meters of retail developments planned across the Kingdom’s five largest cities by 2030.

These areas include Jeddah, Dammam Metropolitan Area, Khobar, and Dhahran.

The need for more retail space is evidenced by the average mall rent in the Saudi capital rising to SR2,848 ($765) per sq. meter by the end of March, according to the report, with occupancy rates up five percent to reach 92 percent in the first quarter of 2025.

The findings come as Saudi Arabia steps up efforts to become a global hub for tourism and business by the end of the decade, with the Real Estate General Authority projecting the property market to reach $101.62 billion by 2029, driven by an anticipated compound annual growth rate of 8 percent from 2024.

According to Knight Frank, Riyadh’s retail transformation is being accelerated by a combination of population growth, both domestic and expatriate, along with rising disposable incomes.

“Developers are prioritizing experiential formats, with over half of upcoming projects incorporating entertainment zones, dining experiences, and cinemas. These trends align with Vision 2030’s objective to create vibrant, leisure-centric urban spaces,” the report said.

In Jeddah, the retail market expanded with approximately 225,000 sq. meters of new space delivered in 2024, including Phase 1 of Souq 7 and Al Bahr Mall. The city’s total retail stock reached 2.9 million sq. meters. Rents in regional and super-regional malls rose two percent to SR2,513 per sq. meter, while occupancy declined slightly to 86 percent.

Jeddah is also set to see the launch of the Jawharat Mall by Cenomi Centers, a dedicated luxury retail district spanning 87,000 sq. meters, expected to be completed by the end of 2025. Another significant development, the Cove by Ezdihar, will deliver 70,000 sq. meters along Jeddah’s waterfront.

In the Dammam Metropolitan Area, retail performance remained stable. Rents in regional and super-regional malls rose slightly to SR2,285 per sq. meter, with community centers seeing a 1.25 percent increase. Occupancy rates held steady at around 90 percent.

New supply additions of 31,000 sq. meters in 2024 brought total retail stock to 1.4 million sq. meters.

Regional malls typically range from 30,000 sq. meters to 90,000 sq. meters and offer a broad mix of retail stores and services, often anchored by one or two department stores.

Super-regional malls exceed 90,000 sq. meters and include a wider variety of retail, dining, and entertainment options, serving a larger trade area and drawing visitors from across an entire metropolitan region.

Consumer spending in Saudi Arabia grew by 7 percent year-on-year to reach SR1.41 trillion in 2024, fueled by a surge in point-of-sale and e-commerce transactions, according to Knight Frank.

Of this, point-of-sale transactions reached SR668 billion, marking a 9 percent annual increase, while e-commerce grew by 26 percent to SR197.4 billion, reflecting the Kingdom’s accelerating shift toward digital consumption

Flagship destinations such as Riyadh Park and Al Nakheel Mall have continued to benefit from strong tenant demand and rising foot traffic, driven by integrated entertainment offerings, including cinemas and family attractions.

Riyadh’s total retail supply stood at 4 million sq. meters during the first quarter, bolstered by the launch of key projects like Solitaire Riyadh, a 65,000 sq. meter development blending upscale retail with leisure experiences.

An additional 540,000 sq. meters of retail space is expected to be added in 2025, bringing the total to 5.2 million sq. meters in 2026.

The report highlights that more than half of the upcoming projects are integrating entertainment zones, dining venues, and cinemas, aligning with Vision 2030’s goals of creating vibrant, leisure-centric urban environments.

Luxury retail is also gaining momentum, with international brands expanding their footprint to meet the growing demand for premium shopping.

Omnichannel strategies are becoming critical as digital payments and e-commerce continue to reshape consumer behavior.
The food and beverage sector emerged as a key contributor to retail activity, with restaurants and cafes accounting for 29.7 percent of all point-of-sale transactions in 2024.
This translates to SR198.6 billion, according to data from the Saudi Central Bank.

Projects such as Qiddiya, The Avenues Riyadh, and Jawharat Riyadh are expected to further redefine the urban retail landscape, offering lifestyle-oriented spaces that support the Kingdom’s broader economic diversification and quality-of-life goals.