Saudi housing company reports fourfold increase in residential sales to $3.6bn in H1

NHC’s projects aim to provide a balanced lifestyle with residential, social, recreational, and health amenities in single communities. NHC
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Updated 29 August 2024
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Saudi housing company reports fourfold increase in residential sales to $3.6bn in H1

  • Growth underscores NHC’s success in addressing rising housing demand across the Kingdom
  • Saudi Arabia experienced a 38% increase in real estate transactions in the first half of the year

RIYADH: Saudi Arabia’s National Housing Co. reported a fourfold increase in residential sales for the first half of the year, reaching SR13.5 billion ($3.59 billion), with over 13,000 units sold. 

This growth, highlighted by a significant performance boost compared to the same period last year, underscores NHC’s success in addressing rising housing demand across the Kingdom, the Saudi Press Agency reported. 

The company’s focus on integrated urban development aligns with Saudi Arabia’s Vision 2030 goals, particularly the objective to increase homeownership to 70 percent. 

This comes as the Kingdom experienced a 38 percent increase in real estate transactions in the first half of the year, totaling 106,700 deals worth approximately SR127.3 billion, according to a report released by Knight Frank. 

The London-based property consultant said that residential transactions comprised 61 percent of this total, with sales rising 41 percent to nearly 91,860 units. The value of these residential transactions grew by 48 percent to SR77.6 billion. 

NHC’s projects aim to provide a balanced lifestyle with residential, social, recreational, and health amenities in single communities. The company focuses on sustainable urban planning, including green spaces and pedestrian-friendly pathways. 

These developments are supported by financing options that cater to different economic segments. 

The central region, notably Riyadh, drove much of the growth, with major projects like Khazam and Al-Fursan suburbs, the Al-Asalah district, and the Dana Al-Mashreqiya project accounting for 7,000 units sold, valued at SR8 billion. 

This strong market response underscores the growing interest in new urban projects in the capital. 

In the western region, which includes Jeddah, Makkah, and Madinah, sales reached 4,799 units, nearly double last year’s figure. 

This growth was driven by the launch of several key projects, including developments in the Sedayem suburb, the Makkah Gate suburb, and the Al-Sadn district. 

The Eastern Province also saw strong performance, with 1,599 units sold in Al-Wajha and Qamra districts, marking a doubling of contract growth from the previous year. 

Established in 2017, NHC supports the Ministry of Municipalities and Housing by providing services that aim to streamline project completion and boost investment in the sector. 

As a key player in Saudi Arabia’s real estate sector, NHC is shaping the country’s urban development. 

The company plans to deliver over 300,000 housing units across nine suburbs and six residential communities by the end of 2025. 

These projects will span more than 100 million sq. meters and are expected to house over 1.5 million people. 

Aligned with Vision 2030, NHC is also working to improve supply chains with sustainable, high-quality construction materials, ensuring its projects meet international standards and support broader economic and social goals. 


Oil Updates – prices dip on stronger supply prospects, China stimulus limits losses

Updated 59 min 6 sec ago
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Oil Updates – prices dip on stronger supply prospects, China stimulus limits losses

SINGAPORE: Oil prices eased for a third day on Friday and were on track to fall for the week as investors focused on expectations of increased output from Libya and the broader OPEC+ group, although fresh stimulus from top importer China limited losses.

Brent crude futures fell 20 cents, or 0.28 percent, to $71.40 per barrel as of 7:33 a.m. Saudi time, while US West Texas Intermediate crude futures were down 14 cents, or 0.21 percent, to $67.53.

On a weekly basis, Brent crude was set to shed 4 percent, while WTI was on track to slide 6 percent.

Though investors across asset classes cheered after Chinese authorities finally released bolder stimulus, oil markets seem fixated on Libya and OPEC this week, said Priyanka Sachdeva, senior market analyst at Phillip Nova.

“The recent decision by OPEC+ to ramp up production has only added to the gloom,” said Sachdeva, adding that the oil market has been struggling with weakening demand over the past few months.

“While it’s uncertain whether Chinese stimulus will translate into higher fuel demand, it may still offer some respite to the oil market.”

China’s central bank on Friday lowered interest rates and injected liquidity into the banking system as Beijing ramps up stimulus to pull economic growth back toward this year’s roughly 5 percent target and fight deflationary pressures.

More fiscal measures are expected to be announced before China’s holidays starting on Oct. 1, after a meeting of the Communist Party’s top leaders showed an increased sense of urgency about mounting economic headwinds.

Meanwhile, rival factions staking claims for control of the Central Bank of Libya signed an agreement to end their dispute on Thursday. The dispute had caused a sharp reduction in oil production and exports in the country, with crude exports down to 400,000 barrel per day this month, from over 1 million barrels last month.

The agreement could see more than 500,000 bpd of Libyan supply return to markets, ANZ Bank analyst Daniel Hynes said.

Separately, OPEC and its allies, a group known as OPEC+, are currently cutting oil output by a total of 5.86 million bpd but plans to reverse 180,000 bpd of those cuts in December.


How an AI-driven platform is bridging linguistic and cultural gaps in content creation

Updated 26 September 2024
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How an AI-driven platform is bridging linguistic and cultural gaps in content creation

  • New platform combines the power of AI and human expertise to offer accurate, culturally nuanced content in different dialects
  • With the growth of AI models specializing in language, STUCK? meets the growing demand for region and industry-specific content

JEDDAH: In the fast-paced world of content creation, artificial intelligence is reshaping industries and how we communicate.

Yet while AI excels in speed and scale, human insight is still critical for capturing cultural context and linguistic nuance — especially in regions like the Middle East, where dialects and cultural subtleties matter.

This is where STUCK?, a groundbreaking platform created by Asmaa Naga, comes into play, combining the raw power of AI-driven large language models with the nuanced understanding of human experts to create accurate, high-quality content in English and Arabic.

“During COVID, I began to see how my experience in language and my awareness of corporate linguistic needs could help me create a solution to bridge a gap,” Naga, who taught at the British Council in Jeddah for 11 years prior to launching the platform, told Arab News.

Established in 2022, STUCK? employs a group of language models, each specializing in different aspects of language processing.

“One model is designed to handle large contexts, another excels in translation, while another has exceptional proficiency in understanding Arabic,” said Naga.

AI’s ability to quickly analyze massive datasets and generate content has already revolutionized whole sectors. However, there is still a catch. While AI is excellent at processing language, it often lacks the emotional intelligence and cultural depth only humans can provide.

DID YOUKNOW?

Content creation is evolving, with AI enhancing speed while human oversight ensures relevance and contextual accuracy in specialized sectors.

AI-driven content creation offers scalability and efficiency but still requires human expertise for cultural sensitivity and nuanced language.

Arabic language models require specialized development to handle dialects, cultural contexts and industry-specific terminology.

This is especially crucial in regions where subtle differences in dialect, phrasing or cultural references can dramatically change the meaning or tone of a message.

STUCK? was designed with these challenges in mind. The platform combines multiple AI models, each specialized in different areas such as translation or contextual understanding, to offer a comprehensive solution for creating and localizing content.

Stuck? founder and CEO Asmaa Naga (right) and colleagues. (Supplied)

But what truly sets STUCK? apart is its ability to handle not just Modern Standard Arabic but also regional dialects, including Levantine, Egyptian and those spoken within Saudi Arabia such as Najdi and Hijazi.

AI-generated content in English or any other widely spoken language has become more advanced over the years, but Arabic — especially its regional dialects — presents unique challenges. It has numerous dialects that vary not only by country but even within regions of a single nation.

For instance, the Arabic spoken in Riyadh differs from that spoken in Jeddah, and that is just within Saudi Arabia. This complexity makes it difficult for standard language models to capture differences accurately.

For industries operating in the Middle East, from healthcare and cultural heritage to oil and gas, accurate communication in the correct dialect can be the difference between success and failure.

But despite the technology’s sophistication, the team behind STUCK? recognize that AI alone cannot fully meet the demands of complex content creation. This is why the platform offers three service tiers — fully human, fully AI, and a blended approach that combines the two.

For routine tasks, AI or the blended model offers quick and efficient solutions. But for high-stakes projects that require a more refined touch — such as marketing campaigns or culturally sensitive communications — the human approach ensures the content resonates with the target audience.

“Users generally do not need guidance to make this choice,” said Naga. “They usually know the importance of the content they want to create or translate and the level of customization needed.”

This flexibility makes STUCK? a highly adaptable tool. In the oil and gas sector, for example, where terminology is highly specialized, the platform’s ability to onboard industry-specific language experts ensures accuracy.

Indeed, it is not just about translating words — it is about making sure the content speaks the industry’s language in both the literal and figurative sense.

AI models are continuously trained and fine-tuned to generate content that responds appropriately to user prompts. But the process does not end with AI generation — human editors review the AI-produced content to ensure it aligns with cultural and linguistic standards. 

“We constantly train and fine-tune our AI models to ensure they generate content that is highly responsive to the prompts used,” said Naga.

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With clients like the Riyadh-based consultancy &bouqu, STUCK? has already established itself as a critical tool for businesses looking to scale operations in the Middle East.

By offering a blend of AI speed and human creativity, the platform is poised to become an indispensable asset for companies that need to communicate effectively across the region’s diverse linguistic landscape.

Looking forward, Naga envisions STUCK? becoming “the go-to solution for all companies interested in expanding to or operating in the Middle East.”

In a world where content is king, STUCK? is not just filling a gap — it is arguably redefining how companies create, translate, and localize content in one of the world’s most linguistically and culturally diverse regions.

By merging the precision of AI with the insight of human experts, STUCK? could offer a way forward for industries that are often literally stuck when it comes to communication.
 

 


Norway to open world’s 1st CO2 storage service

Updated 26 September 2024
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Norway to open world’s 1st CO2 storage service

OYGARDEN: Norway is set to inaugurate the gateway to a massive undersea vault for carbon dioxide, a crucial step before opening what its operator calls the first commercial service offering CO2 transport and storage.
The Northern Lights project plans to take CO2 emissions captured at factory smokestacks in Europe and inject them into geological reservoirs under the seabed.
The aim is to prevent the emissions from being released into the atmosphere, and thereby help halt climate change.
On the island of Oygarden, a key milestone will be marked with the inauguration of a terminal built on the shores of the North Sea, its shiny storage tanks rising up against the sky.
It is here that the liquified CO2 will be transported by boat, then injected through a long pipeline into the seabed, at a depth of around 2.6 km, for permanent storage. The facility, a joint venture grouping oil giants Equinor of Norway, Anglo-Dutch Shell and TotalEnergies of France, is expected to bury its first CO2 deliveries in 2025.
It will have an initial capacity of 1.5 million tonnes of CO2 per year, before being ramped up to 5 million tonnes in a second phase if there is enough demand.
“Our first purpose is to demonstrate that the carbon capture and storage chain is feasible,” Northern Lights Managing Director Tim Heijn said.
“It can make a real impact on the CO2 balance and help achieve climate targets,” he said.
CCS technology is complex and costly but has been advocated by the UN’s Intergovernmental Panel on Climate Change and the International Energy Agency, especially for reducing the CO2 footprint of industries like cement and steel, which are difficult to decarbonize.
The world’s overall capture capacity is currently just 50.5 million tonnes, according to the IEA, or barely 0.1 percent of the world’s annual total emissions.


Closing Bell: TASI ends in green to close at 12,374

Updated 26 September 2024
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Closing Bell: TASI ends in green to close at 12,374

RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Thursday, gaining 30.58 points or 0.25 percent to close at 12,374.30.

The total trading turnover of the benchmark index was SR8.28 billion ($2.2 billion), with 133 of the listed stocks advancing and 91 declining. 

The Kingdom’s parallel market, however, shed 125.91 points or 0.49 percent to close at 25,527.47. 

The MSCI Tadawul Index gained 3.14 points or 0.20 percent to 1,548.77. 

The best-performing stock on the main market was Arab Sea Information System Co. The firm’s share price surged by 9.91 percent to SR7.32.

Other top performers were Batic Investments and Logistics Co. and Alistithmar AREIC Diversified REIT Fund, whose share prices soared by 8.47 percent and 7.81 percent, respectively. 

On another note, ACWA Power shares reached an all-time high of SR500.80 after surging by 8 percent during Thursday’s trading session.

The worst performer of the day was AlJazira REIT, as its share price slipped by 3.17 percent to SR17.72. 

On Nomu, the best performers were Edarat Communication and Information Technology Co. and Arabian Plastic Industrial Co., whose share prices increased by 7.64 percent and 7.46 percent, respectively. 

On the announcements front, Riyad Bank confirmed the commencement of issuing sustainable additional tier-one capital sukuk denominated in US dollars to improve the financial institution’s capital and for general banking purposes. 

In a statement on Tadawul, the bank mentioned that the sukuk issuance would be through a special purpose entity and would be offered to qualified investors inside and outside Saudi Arabia.

The financial institution explained that the value and terms of the sukuk offering would be based on market conditions.

Joint lead managers and bookrunners for the potential offering include HSBC, Kamco Investment Co.,  ad Merrill Lynch International, as well Mizuho International plc, Morgan Stanley and Co., and Riyad Capital.

SMBC Nikko Capital Markets Limited, Standard Chartered Bank, and Warba Bank are also part of the group.

Additional tier-one securities, which are the riskiest debt instruments that banks can issue, are designed to be perpetual; however, this sukuk may be redeemed after five years.

The bank underlined that the minimum subscription is $200,000, with increments of $1000, and that the price and yield of the sukuk offering will be determined based on market conditions.

Another announcement saw the Capital Market Authority issue a decision approving Salama Cooperative Insurance Co.’s request to increase its capital by offering rights issue shares worth SR100 million.

According to the company’s statement on Tadawul, its capital before the growth was SR200 million, and it will rise to SR300 million following the capital increase decision.

As a result, the number of shares will grow from 20 million to 30 million, representing an increase of 10 million at a ratio of one new stock for every two existing.

The CMA also announced the approval of Nice One Beauty Digital Marketing Co.’s request to register its shares and offer 34.65 million stocks for public subscription on the main market.

The stocks to be offered represent 30 percent of the company’s total equity, which amounts to 115.5 million shares.


Saudi Arabia advances COP16 plans with first meeting at UN General Assembly

Updated 26 September 2024
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Saudi Arabia advances COP16 plans with first meeting at UN General Assembly

JEDDAH: Saudi Arabia is ramping up its preparations for the UN Convention to Combat Desertification’s COP16, hosting its first Advisory Council meeting during the UN General Assembly in New York.  

The session was chaired by the Kingdom’s Minister of Environment, Water, and Agriculture Abdulrahman Abdulmohsen Al-Fadley. 

Scheduled for Dec. 2 to 13 at Boulevard Riyadh City, COP16 will feature a green zone aimed at fostering collaboration among public and private stakeholders. The gathering brought together experts and policymakers focused on combating land degradation, drought, and desertification. 

Saudi Arabia has launched several key initiatives, including the Saudi Green and Middle East Green Initiatives, aimed at enhancing the value of natural resources for economic and ecological sustainability.  

Announced by Crown Prince Mohammed bin Salman, these initiatives include plans to cut regional carbon emissions by 60 percent and plant 50 billion trees in what is set to become the world’s largest afforestation project. 

The initiatives also aim to increase protected land coverage to over 30 percent, surpassing the global target of 17 percent, while reducing global carbon emissions by more than 4 percent through renewable energy projects set to account for 50 percent of the Kingdom’s energy mix by 2030.  

During the meeting, council members highlighted the critical role of land in supporting both human and planetary health. They discussed strategies to raise awareness of the severe impacts of land degradation, desertification, and drought.  

Ibrahim Thiaw, executive secretary of the UN Convention to Combat Desertification, provided key insights to council members, including former presidents Tarja Halonen of Finland, Iván Duque Márquez of Colombia, and Carlos Alvarado Quesada of Costa Rica.  

Other notable participants included Chadian environmental activist Hindou Oumarou Ibrahim and Nasser Baker Al-Kahtani, executive director of the Arab Gulf Program for Development. 

Saudi Arabia’s delegation featured Adel Al-Jubeir, minister of state for foreign affairs and climate affairs envoy, and Osama Ibrahim Faqeeha, deputy minister of environment and adviser to the president of UNCCD COP16.  

The Riyadh event will be the first UNCCD COP to feature a green zone, offering a platform for the public, businesses, financial institutions, NGOs, media, and affected communities to collaborate on solutions to land degradation, desertification, and drought.