Omani-Saudi partnership forum explores prospects in health, education, tech
Trade between the two nations surpassed $2.59 billion in the first half of 2024
Saudi investments in Oman have increased by over 50% since 2021
Updated 30 December 2024
REEM WALID
RIYADH: Saudi Arabia and Oman are exploring new opportunities for cooperation and investment across various sectors, including health, education, technology, and consulting following a recent meeting.
Organized by the Oman Chamber of Commerce and Industry, the partnership forum considered ways to boost collaboration through the involvement of private sectors in both countries, mainly focusing on ongoing projects, the Oman News Agency reported.
This falls in line with the steady and robust economic ties between the two sides. According to data from Oman’s National Center for Statistics and Information, trade between the two nations surpassed 1 billion Omani riyals ($2.59 billion) during the first half of 2024.
This also aligns with the Kingdom’s Vision 2030 and Oman’s Vision 2040. Additionally, Saudi investments in Oman have increased by over 50 percent since 2021, significantly strengthening bilateral economic relations.
During the meeting, the OCCI showcased a presentation titled “Explore the Omani Market,” highlighting economic indicators and the appealing features that set Oman aside, including the nation’s strategic location, special economic and free zones, and incentives offered to investors.
The presentation highlighted target sectors in Oman Vision 2040 and related OCCI services.
The forum introduced firms that aspire to spearhead investment in consultation, education, information technology, and health. It also witnessed the participation of Omani and Saudi business owners.
In October, Saudi Arabia and Oman signed a memorandum of understanding aimed at bolstering economic and planning cooperation based on mutual interests.
The agreement was finalized at the time by Saudi Minister of Economy and Planning Faisal Al-Ibrahim and his Omani counterpart, Said bin Mohammed Al-Saqri, who signed a five-year commitment focused on enhancing medium- and long-term economic planning, studies, and modeling, alongside monetary policies and strategies.
In April, an MoU was signed between the Kingdom and Oman during a meeting between Sultan bin Salem Al-Habsi, Oman’s minister of finance, and Sultan Abdulrahman Al-Marshad, CEO of the Saudi Fund for Development.
Discussions focused on cooperation mechanisms between Oman and the fund, as well as updates on collaborative development projects.
The MoU signed at the time is part of broader initiatives to support developmental efforts in Oman, including infrastructure, higher education, vocational training, and projects in industry, mining, transportation, communications and energy sectors.
Saudi banks post 5.4% loan growth in Q1 as lending accelerates
Updated 6 sec ago
Nour El-Shaeri
RIYADH: Net loans and advances across the Saudi Arabia’s 10 largest listed banks rose by 5.4 percent in the first quarter of 2025, underscoring robust lending momentum at the start of the year.
According to Alvarez & Marsal’s latest KSA Banking Pulse report, this growth was primarily driven by a 7.5 percent increase in corporate lending, which continues to represent more than half of total gross loans.
The banking sector’s strong start reflects the wider strength of Saudi Arabia’s economic transformation efforts. Resilient credit growth signals sustained confidence among borrowers, particularly within the corporate sector, where demand for financing remains high amid ongoing large-scale infrastructure and development projects.
Meanwhile, the loan-to-deposit ratio climbed to 106.1 percent, up from 104.7 percent in the previous quarter, marking its highest level in recent times as credit expansion outpaced deposit growth.
Deposits rebounded by 4 percent after a decline in the prior quarter, supported by an 8.1 percent increase in time deposits.
The report also noted a 3.2 percent rise in operating income quarter on quarter, buoyed by a 9.6 percent surge in non-interest revenue from trade finance, foreign exchange, and investment gains.
Sam Gidoomal, managing director and head of Middle East Financial Services at A&M, commented: “Saudi banks are entering a new strategic phase marked by stronger capital stewardship and a focus on unlocking liquidity through innovation — from potential mortgage securitization to targeted portfolio rebalancing.”
“This financial agility, combined with solid credit growth and cost control, positions the sector to actively support Vision 2030 priorities and channel capital toward infrastructure and giga-projects,” he added.
Cost discipline was evident across the sector, as operating expenses fell by 1.7 percent, contributing to a 149 basis point improvement in the cost-to-income ratio to 29.8 percent.
Aggregate net income increased 6.3 percent to SR22.2 billion ($5.9 billion), while return on equity strengthened by 44 basis points to 15.3 percent and return on assets edged up to 2.1 percent.
The strong quarterly performance detailed in A&M’s KSA Banking Pulse coincides with a broader surge in credit expansion across the sector.
According to data from the Saudi Central Bank, the Kingdom’s bank outstanding loan portfolio rose to SR3.13 trillion at the end of April, reflecting a 16.51 percent increase over the past year and marking the fastest annual growth rate since mid-2021.
The data shows that approximately SR443 billion in new credit was issued over the past 12 months, highlighting how the Kingdom’s project-driven growth model is reshaping bank balance sheets. Real estate developers remain the largest borrowers, accounting for 21.77 percent of total corporate credit.
The analysis further underscored that impairment charges declined by 15.8 percent, alleviating margin pressures associated with interest rate normalization.
Non-interest income rose to 23 percent of total operating income in the first quarter, signaling progress in revenue diversification.
The cost of risk improved to 0.27 percent, down from 0.34 percent in the prior quarter, while the capital adequacy ratio remained robust at 19.3 percent.
Yield on credit moderated to 8 percent in the first quarter, down from 8.4 percent in the prior period, while the cost of funds declined to 3.3 percent.
The net interest margin edged slightly lower to 2.87 percent from 2.94 percent, reflecting ongoing margin pressures amid interest rate normalization.
The coverage ratio decreased to 154.8 percent, and operating income relative to total assets remained stable at 3.6 percent. Return on risk-weighted assets was unchanged at 2.7 percent quarter on quarter.
Asad Ahmed, A&M managing director, Financial Services, added: “The uptick in lending and deposit mobilization reflects improving business confidence and a rebalancing of liquidity across the sector.”
“While margin pressures persist amid interest rate normalization, the decline in impairments and growth in fee-based income indicate that banks are diversifying their revenue streams and adapting effectively to the evolving environment,” he added.
Saudi Ministry of Energy, UN ink deal to propel regional emissions cooperation
Updated 13 min 32 sec ago
Reem Walid
RIYADH: Middle East and North Africa countries are set to benefit from enhanced clean energy cooperation following an agreement between Saudi Arabia and the UN Environment Programme to accelerate emissions reduction.
The memorandum of understanding, signed in Riyadh by Energy Minister Prince Abdulaziz bin Salman and UNEP Executive Director Inger Andersen, seeks to support MENA nations through the promotion of clean energy technologies, development of climate policy frameworks, and knowledge exchange to advance sustainable development, according to an official release.
The initiative aligns with Saudi Arabia’s Middle East Green Initiative, a regional platform launched to combat climate change and reduce emissions by over 60 percent from hydrocarbon production across participating countries. The initiative aims to cut 670 million tonnes of carbon dioxide, equivalent to 10 percent of global nationally determined contributions when first announced in 2021.
The ministry release stated: “The MoU reflects shared goals to enhance resource efficiency and lower carbon emissions through a comprehensive, balanced and sustainable approach.”
It added: “Areas of cooperation include policy research and recommendations, partnerships with international organizations, participation in climate and CCE-related events, exchange of knowledge and best practices, and the development of climate policy frameworks, supported by regional and global climate networking activities.”
During the meeting, the two sides also held talks over advancing the objectives of the UN Framework Convention on Climate Change and the Paris Agreement.
“The two sides also discussed Saudi Arabia’s climate initiatives, including the Saudi Green Initiative and the Middle East Green Initiative, as well as other efforts undertaken by the Kingdom to expand renewable energy and reduce emissions through the Circular Carbon Economy framework,” the release added.
The MoU supports wider regional efforts to unlock renewable potential. MENA currently contributes less than 8 percent of global emissions from power and heat generation and is aiming to grow its clean energy capacity from under 50 gigawatts in 2022 to 200 GW by 2030, according to a June 2024 report by the International Energy Agency.
The IEA report also highlighted that the region — led by Saudi Arabia, Egypt, and Algeria — is experiencing the fastest relative growth in renewable energy, scaling at 4.5 times its current base due to ambitious national targets.
The MENA region holds substantial hydrocarbon reserves alongside significant renewable energy potential, positioning it as a strategically important player in the global shift toward sustainable energy, according to the Natural Resource Governance Institute.
Governments across the region are adopting a dual-energy strategy — leveraging both fossil fuels and renewables — to reduce emissions while bolstering energy security.
Enhanced regional collaboration is critical to developing interconnected energy systems, boosting economic competitiveness, and securing reliable access to international energy markets.
Syria to expand stock trading week, launch market reforms to boost investment
Updated 38 min 56 sec ago
MOHAMMED AL-KINANI
JEDDAH: Syria is set to expand stock market trading to five days a week starting in July, part of a broader push to modernize its exchange and attract more investors, officials said.
Finance Minister Mohammad Yasser Barnieh said the Damascus Securities Exchange will implement a development plan aimed at boosting market activity and listings, according to the official Syrian Arab News Agency.
Barnieh announced in a LinkedIn post that the exchange will hold a general assembly meeting in September to elect a new board of directors.
The SANA report stated the minister explained that, in collaboration with the new board, the Capital Market Authority, and specialized experts, a comprehensive development plan will be launched.
The report added: “This plan aims to expand the supply side of securities and create favorable conditions for the listing of more family-owned businesses, private universities, and other companies and institutions.”
The minister also noted that the plan involves introducing new financial instruments and investment services aimed at stimulating market demand.
The exchange resumed trading on June 2 after a six-month suspension, with the reopening attended by government officials and key players in the financial sector.
In an earlier statement, Barnieh said the exchange would operate as a private company and become a key platform for Syria’s economic development with a focus on digital transformation.
The planned reforms come as the country looks to revive its battered economy and rebuild investor confidence after years of conflict, sanctions, and financial isolation.
The government is seeking to modernize capital markets as part of wider efforts to attract private investment and stimulate post-war reconstruction.
Saudi Arabia imposes anti-dumping duties on stainless steel imports from China, Taiwan
Duties target pipes with longitudinally welded circular sections
Measure follows final results of investigation launched in May 2024
Updated 38 min 19 sec ago
REEM WALID
RIYADH: Saudi Arabia is set to impose final anti-dumping duties on imports of steel and stainless steel pipes originating from China and Taiwan, effective June 30, for a period of five years.
The duties, issued by the Chairman of the Board of Directors of the Kingdom’s General Authority of Foreign Trade Majid Al-Qassabi, specifically target pipes with longitudinally welded circular sections, according to a statement.
This reflects Saudi Arabia’s goal to enhance the competitiveness of national products, attract investment, and foster new industries, ultimately contributing to the Kingdom’s Vision 2030 goals.
It also aligns with the fact that Saudi Arabia’s real gross domestic product grew by 3.4 percent in the first quarter of 2025 compared to the same period in 2024, according to estimates by the General Authority for Statistics.
In terms of duty rates, the newly released statement said: “People’s Republic of China: ranged from 6.5 percent to 24.6 percent of CIF (cost, insurance, and freight) value not less than 1.750 to 4.111 per kilogram.”
It added: “Taiwan: ranged from 23.7 percent to 27.3 percent of CIF value, not less than 2.822 to 3.141 per kilogram.”
The Zakat, Tax, and Customs Authority has been directed to implement and collect duties ranging from 6.5 percent to 27.3 percent, depending on the manufacturer, as detailed in the official announcement, the Saudi Press Agency reported.
“The measure follows the final results of an investigation launched on May 2, 2024, after the local industry submitted a formal complaint. The investigation was conducted in accordance with the Law of Trade Remedies in International Trade and its executive regulations, designed to protect the domestic market from unfair trade practices such as dumping,” SPA said.
It added: “GAFT emphasized that this step is part of broader efforts to safeguard national industries, enhance the Kingdom’s position in global trade, and contribute to the country’s economic growth.”
The Kingdom’s anti-dumping duties aim to protect domestic industries from unfair trade practices by foreign exporters. Specifically, they seek to protect local businesses from the adverse effects of dumping and subsidized imports.
These measures also help prevent surges in imports that could harm domestic industries and protect Saudi exports from similar trade-remedy measures imposed by other countries.
In June 2024, ZATCA relaxed the temporary admission regulations for heavy machinery and equipment. This policy change benefits international contractors working on major infrastructure projects by reducing customs duties on temporary imports and eliminating the need for frequent renewals, thereby facilitating smoother and more cost-effective project execution.
Egypt exceeds growth forecasts with 4.77% quarterly expansion, fastest in 3 years
Updated 30 June 2025
Nour El-Shaeri
RIYADH: Egypt’s economy expanded 4.77 percent in the third quarter of fiscal year 2024/2025, its fastest pace in three years, as growth rebounded across non-oil manufacturing, tourism, and telecommunications, official data showed.
According to preliminary figures released by the Ministry of Planning, Economic Development, and International Cooperation, the acceleration — up from 2.2 percent a year earlier — lifted average growth for the first nine months of the fiscal year to 4.2 percent, surpassing earlier expectations and signaling growing resilience amid global uncertainties.
The ministry added that full-year growth may exceed the government’s 4 percent target.
This comes as Egypt’s economy has navigated significant turbulence and transformation over the past five years. After pandemic disruption and rising foreign debt, the overnment secured an $8 billion International Monetary Fund-backed rescue package in early 2024, floated its currency — triggering a 38 percent depreciation — and raised interest rates sharply.
In its quarterly GDP note, the ministry stated: “Dr. Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, highlighted that the Egyptian economy continued its robust recovery in the third quarter of the current fiscal year, demonstrating growing resilience amid mounting global uncertainties.”
It noted that higher-than-expected GDP growth was driven by strong performance in key sectors, reflecting the impact of Egypt’s macroeconomic policies and structural reform agenda.
“Dr. Al-Mashat emphasized that this momentum builds on the solid recovery observed since the start of the fiscal year and aligns with the government’s broader strategy to promote private sector–led growth and advance the transition toward a more competitive, export-oriented economy focused on tradable goods and services,” the release added.
Egypt’s Minister of Planning, Economic Development, and International Cooperation, Rania Al-Mashat. moic.gov
Growth is expected to rebound from around 3 percent in 2023 to an estimated 4.2 percent by 2025, driven by private investment, infrastructure projects, and tourism recovery, according to World Bank projections.
Inflation, peaking near 38 percent in late 2023, cooled to approximately 12 percent to 13 percent by early 2025.
Persistent challenges include energy deficits, waning gas production, substantial external debt, and widening current-account and budget deficits
“The strong outturn also reflects the continued implementation of the reform agenda, under the National Structural Reform Program, which is instrumental in maintaining macroeconomic stability, improving the governance of public investment, enhancing economic competitiveness, and expanding private sector participation,” the report stated.
The program, launched in 2021, aims to diversify the Egyptian economy and enhance its competitiveness by focusing on strengthening key sectors, improving the business environment, and promoting sustainable and inclusive growth.
The report noted that non-oil manufacturing output grew by 16 percent in the quarter, reversing a 4 percent contraction a year earlier.
The industrial production index excluding crude oil and petroleum products expanded by 16.03 percent, led by significant gains in motor vehicles, which grew by 93 percent, ready-made garments by 58 percent, beverages by 34 percent, paper by 20 percent, and textiles by 17 percent.
The sector contributed 1.9 percentage points to overall GDP growth. Exports of finished goods rose by 12.7 percent year on year in the quarter.
The tourism sector also posted a strong performance, growing by 23 percent. Visitor arrivals reached 4 million, with tourist nights increasing to 41 million.
Telecommunications expanded by 14.7 percent, while financial intermediation grew by 17.34 percent, insurance by 7.7 percent, electricity by 5.76 percent, and construction by 3.13 percent.
On the expenditure side, net exports contributed approximately 2.7 percentage points to growth, as exports rose by 54.4 percent, outpacing an 18.7 percent increase in imports.
Private investment increased by 24.2 percent year on year at constant prices, accounting for 62.8 percent of total implemented investments excluding inventory, and surpassing public investment for the third consecutive quarter.
However, public investment contracted by 45.6 percent, resulting in a negative overall contribution of investment to GDP growth, estimated at minus 2.44 percentage points.
Some sectors continued to decline. Suez Canal activity fell by 23.1 percent, reflecting ongoing geopolitical disruptions, while extractive industries contracted by 10.38 percent due to reduced oil and gas output. Petroleum activity declined by 9.52 percent, and natural gas extraction by 20.5 percent.
Looking ahead, the government projects GDP growth of 4.5 percent for fiscal year 2025/2026 under the Economic and Social Development Plan approved by Parliament in June.
The plan caps public investment at 1.158 trillion Egyptian pounds ($24.64 billion) and allocates about 47 percent of treasury-funded investments to health, education, and social services.
Despite regional instability following the outbreak of conflict between Israel and Iran, the government has maintained its growth outlook, citing relatively contained effects on global markets.
