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Saudi Arabia, Italy deal opens door for Kingdom to supply green hydrogen to Europe

The Saudi Minister of Energy Prince Abdulaziz bin Salman met with Italy’s Minister of Energy and Environment Gilberto Pichetto Fratinon on Jan. 14. Ministry of Energy
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Updated 15 January 2025
MOHAMMED AL-KINANI
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Saudi Arabia, Italy deal opens door for Kingdom to supply green hydrogen to Europe

Updated 15 January 2025
MOHAMMED AL-KINANI

JEDDAH: Saudi Arabia and Italy have signed an agreement to boost energy cooperation, including a possible supply to Europe of green hydrogen made in the Kingdom.

The Saudi Minister of Energy Prince Abdulaziz bin Salman met with Italy’s Minister of Energy and Environment Gilberto Pichetto Fratinon on Jan. 14 to sign the memorandum of understanding, which covers collaboration in innovation and technology, such as hydrogen project development, climate change mitigation solutions, and the circular carbon economy, including carbon capture, utilization, and storage.

The deal comes as Saudi Arabia seeks to boost its green power credentials, with a facility at NEOM set to become the world’s largest utility-scale, commercially-based hydrogen plant powered entirely by renewable energy.

According to Reuters, the Italian minister stated that his country could serve as a gateway into Europe for renewable hydrogen and ammonia produced in Saudi Arabia, highlighting it would be “much closer, more competitive and strategic than other alternatives in the North Sea.”

The agreement also highlights the importance of digital transformation, cybersecurity, and artificial intelligence in the energy sector while promoting joint initiatives to support engineering and construction projects in alignment with the Paris Agreement and the 2030 Sustainable Development Agenda.

The ministers addressed key topics such as reducing methane emissions, energy storage solutions, and using traditional and transitional fuels, including oil, gas, and petroleum.

The discussions also focused on enhancing the stability and reliability of oil and natural gas markets, reducing volatility, and strengthening energy supply security and supply chains, according to a press release from the Saudi Ministry of Energy.

The Saudi ministry’s release indicated that cooperation would include developing qualitative partnerships on products and services related to all sectors of energy supply chains and their technologies. It added that the cooperation will also consider creating and using sustainable, polymeric, and innovative materials in construction and other sectors.

Scheduled for commissioning in 2026, the NEOM Green Hydrogen Project will produce 600 tonnes of clean hydrogen daily through electrolysis using thyssenkrupp technology, nitrogen through air separation powered by Air Products, and up to 1.2 million tonnes of green ammonia annually. Upon completion, the facility will offset 5 million metric tonnes of carbon emissions annually.

A collaboration between NEOM, Air Products, and ACWA Power, the joint venture will leverage cutting-edge technologies to integrate approximately 4 gigawatts of renewable energy from onshore solar, wind, and storage.

In July, Saudi Aramco signed agreements to acquire a 50 percent stake in the blue hydrogen industrial gases business of Air Products Qudra, reinforcing the Kingdom’s commitment to becoming a global leader in hydrogen production.

Topics: Green & Blue Saudi-Italian ties Green hydrogen

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Lebanon embraces digital transformation as key to reform and recovery

Updated 04 June 2025
Miguel Hadchity
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Lebanon embraces digital transformation as key to reform and recovery

  • Aoun calls it a ‘sovereign decision’ to combat corruption and modernize governance
Updated 04 June 2025
Miguel Hadchity

BEIRUT: Lebanon has pledged to pursue comprehensive digital transformation, with President Joseph Aoun framing it as the nation’s best hope to tackle corruption, modernize governance, and engage its skilled diaspora in rebuilding efforts.

Speaking at the “Smart Government, Diaspora Experts for Lebanon” conference in Beirut on June 3, Aoun described the initiative as a “sovereign decision to build a better future.”

The event, organized by the Lebanese Executives Council, aimed to connect Lebanon’s global talent pool with efforts to revitalize both public and private sectors.

The conference’s core themes included smart governance, public sector reform, and private sector collaboration, all driven by digital innovation. Aoun emphasized that Lebanon must abandon outdated and corrupt administrative structures in favor of efficient, transparent systems.

“Digital transformation is not a technical choice. Digitalization is not just a government project; it is a national project.” He also announced Lebanon’s application to join the Digital Cooperation Organization, a global body founded in 2020 to promote inclusive growth in the digital economy.

Aoun criticized systemic corruption that forces citizens to navigate bureaucracy through bribery or political favors. He highlighted the need for a government that serves all Lebanese equally, free from sectarian or partisan influences.

“We want Lebanon to open up to regional and international partnerships and to be eligible for foreign investments. This goal is an absolute necessity, indispensable and unavoidable,” Aoun said. “The time has come for them (the diaspora) to achieve it for their homeland and in their homeland.”

The day-long conference brought together ministers, private sector leaders, and diaspora experts for panel discussions on digitizing Lebanon’s institutions. Topics included the creation of a national digital ID, policy harmonization, and leveraging technology to reconstruct public services.

In an interview with Arab News, LEC President Rabih El-Amine highlighted the importance of engaging the Lebanese diaspora.

“We know by fact that diaspora is willing to help, but they don’t have the medium to offer this help, and we know by fact that the government needs this help, but they don’t know how to reach the diaspora,” he said.

El-Amine stressed that despite weak governance, Lebanon’s private sector and diaspora have helped sustain the country. However, implementing modern laws and digital systems is now critical. He called the digital ID system a foundational step toward enabling services like passport renewals and license issuance.

“This is probably the starting point. But I think the biggest challenge for us is how we can make the government and the parliament work together in order to issue modern laws for this system to take place,” he added.

Hajar El-Haddaoui, director general of the DCO, expressed strong confidence in Lebanon’s digital potential, citing the country’s talent pool and expansive diaspora.

“We trust that Lebanon does have all the ingredients to succeed during this digital economy transformation,” she told Arab News.

She said the DCO’s support will focus on investment, public-private partnerships, and capacity-building, including the Digital Economy Navigator program, which helps countries assess and close gaps in digital readiness.

El-Haddaoui underscored the importance of aligned policies, strong infrastructure, and openness to international cooperation.

“Any digital economy or digital transformation needs harmonization of policies. That’s really important and critical. Working on a regulation and standard of regulation is really one of the pillars of successful digital transformation,” she said.

Speaking to Arab News, Fadi Makki, Lebanon’s minister of state for administrative development affairs, outlined key reforms to upgrade the country’s administrative structures.

“We’re far behind in digital readiness. We’re trying to catch up through digital transformation, skilling, and reskilling programs,” he said.

Makki explained that Lebanon lacks planning and performance monitoring units that are standard in functional governments. He proposed modernizing human resources and encouraging the private sector to deliver services, while the government ensures oversight.

“We don’t want to compete with them (the private sector), but at the same time, we want to create opportunities for them while ensuring we provide the necessary oversight like any government,” he told Arab News..

“One of the missing functions in government is planning and performance monitoring. We don’t have that. So, part of our work is creating these basic units, not just centrally but eventually in every ministry. Without them, we’re building on weak foundations,” he added.

The event also featured remarks from Lebanese American University’s Chaouki Abdallah and panels with Minister of Technology and Artificial Intelligence Kamal Shehadi, along with global figures like Jad Bitar of the Boston Consulting Group.

In closing, Prime Minister Nawaf Salam thanked all participants for their contributions and reaffirmed the government’s resolve.

“Digital transformation in Lebanon is not a luxury but a necessity and a reform,” he said. “It directly serves the citizens, reduces corruption, and enhances the quality of life. It is also a prerequisite for economic growth.”

Salam called for full inter-ministerial coordination, asserting, “Lebanon cannot remain outside the digital world or on its margins.”

He concluded: “We are determined to be part of the regional and global digital economy and to reconnect Lebanon with the chains of knowledge and production in the 21st century.”

As Lebanon continues to navigate a complex political and economic crisis, the conference marked a clear call for reform. The message from both domestic and diaspora leaders was unambiguous: digital transformation is not only possible—it is imperative.

Topics: Lebanon Digital transformation reforms business

Nvidia to send 18,000 AI chips to Saudi Arabia

Updated 14 May 2025
AP
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Nvidia to send 18,000 AI chips to Saudi Arabia

  • US chip maker will partner with Saudi Arabia’s AI startup Humain
Updated 14 May 2025
AP

US chip maker Nvidia will partner with Saudi Arabia’s sovereign wealth fund-owned AI startup Humain and will ship 18,000 chips to the Middle Eastern nation to help power a new data center project.

The partnership was revealed Tuesday as part of a White House trip to Saudi Arabia, Qatar and the United Arab Emirates. Saudi Arabia has been working to develop its artificial intelligence capacity and strengthen its cloud computing infrastructure with the help of foreign investment.

“AI, like electricity and Internet, is essential infrastructure for every nation,” said Jensen Huang, founder of Nvidia. “Together with Humain, we are building AI infrastructure for the people and companies of Saudi Arabia to realize the bold vision of the Kingdom.”

The cutting-edge Blackwell chips will be used in a 500 megawatt data center in Saudi Arabia, according to remarks at the Saudi-US Investment Forum in Riyadh on Tuesday. The California company said its first deployment will use its GB300 Blackwell chips, which are among Nvidia’s most advanced AI chips at the moment, and which were only officially announced earlier this year.

Topics: Trump Visit 2025 Saudi Arabia nvidia HUMAIN AI

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Radisson doubles down on Saudi Arabia with aggressive hotel expansion

Updated 14 May 2025
Reina Takla
MOHAMMED AL-KINANI
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Radisson doubles down on Saudi Arabia with aggressive hotel expansion

Updated 14 May 2025
Reina Takla MOHAMMED AL-KINANI

RIYADH: Saudi Arabia now accounts for half of Radisson Hotel Group’s Middle East portfolio, as the Kingdom cements its role as a global priority for the hospitality giant. 

The company currently has 100 hotels either open or under development across the region, with 50 of them located in Saudi Arabia, revealed Radisson’s top executive in an interview with Arab News on the sidelines of the Future Hospitality Summit in Riyadh. 

The expansion aligns with Saudi Arabia’s fast-growing hotel sector, as the Kingdom plans to add more than 362,000 new hotel rooms by 2030, backed by a $110 billion investment. 

Elie Younes, executive vice president and global chief development officer at Radisson, said: “Saudi Arabia sits in one of the top five countries for us globally.”  

He said that of the 50 hotels in Saudi Arabia, 30 are open and 20 are under construction. 

Providing details and a timeframe for their planned 20 hotels in Saudi Arabia, Younes said the projects will be rolled out over the next three to four years, with an additional 30 hotels expected to open in the following three to four years. 

The new wave of properties will translate into approximately 4,000 to 5,000 rooms. “If you multiply 20 by 200 to 250, you will get 4,000 to 5,000 rooms currently planned under construction in Saudi Arabia, which will eventually also make an economic impact because that will create job opportunities for approximately 5,000 people,” said Younes. 

Radisson is also ramping up its presence in the capital. The company recently opened Radisson Blu Minhal in Riyadh and plans to launch its third Radisson Collection hotel in the city soon.  

The Mansard Hotel, part of its urban portfolio, was noted as the brand’s first resort in Riyadh. Service apartments under the Radisson Collection brand are expected to open in the next four months. 

The group sees strong potential across multiple segments. “There is room for another 10 to 15 Radisson Blu hotels. As for Radisson Collection, which is our entry-level luxury brand, there will be fewer opportunities to grow it because of its luxury nature — maybe four or five more hotels. We already have three in Riyadh alone,” he said. 

Younes highlighted the scalability of the core four-star Radisson brand, particularly in smaller Saudi cities.  

“We recently opened three of them here in Riyadh alone, and I think we could open at least or sign another 20 or 30 of them in the Kingdom across the next four to five years, focusing on places like Riyadh, Jeddah, Makkah, and Madinah… to some extent, and specifically, after that, in some of the secondary regional cities, where we also see opportunities for business development,” he explained. 

Commenting on global tariffs, Younes said it is difficult to assess the impact of what he described as a “semi-political, semi-non-political” decision. 

 “We don’t see that to have a direct impact in Saudi Arabia because — you have to remember that — over 50 percent of the travel industry in Saudi Arabia is domesticated in terms of traveling, and over 90 percent of investments in Saudi Arabia comes from Saudi Arabia,” he added. 

Younes also spoke about broader trends in the hospitality industry, including growing traveler volumes and a heightened focus on sustainability. “I think we are very lucky and should be grateful to work in this industry because it is one of those ever-growing industries,” he said. 

He noted shifts in travel behavior as business and leisure increasingly merge: “People going for a long business trip but integrating into that trip a little bit of fun, bringing the wife, bringing the kids, spending the extra day. Wanting to have fun.” 

The executive noted that operational challenges are mounting, driven by rising costs and technological disruption. “The cost of labor going up. Inflation going up. The influence of artificial intelligence. All of these elements will push us and will result in us becoming more efficient,” he said. 

While artificial intelligence will likely shape back-end operations, Younes emphasized the enduring value of human service: “The human touch will never go away. We all know that.” 

Looking ahead, he sees the convergence of hospitality and residential real estate as a key evolution in the sector.

“I see more integration and fusion between the conventional hospitality and residential real estate as we move forward to try and achieve all of these efficiencies and economies,” he concluded. 

Topics: FHS2025 business

Saudi Arabia’s Tourism Development Fund eyes global bank partnerships to boost financing

Updated 13 May 2025
Reina Takla
Reem Walid
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Saudi Arabia’s Tourism Development Fund eyes global bank partnerships to boost financing

Updated 13 May 2025
Reina Takla Reem Walid

RIYADH: Saudi Arabia’s Tourism Development Fund is pursuing partnerships with global banks to secure additional financing for large-scale hospitality and infrastructure projects, as interest in the Kingdom’s fast-growing travel market intensifies. 

Speaking to Arab News on the sidelines of the Future Hospitality Summit in Riyadh, Khalid Al-Shareef, director of large institutions coverage at TDF, stated that the fund is looking beyond its own capital base and local banking partnerships to support major developments.

This comes as the fund has supported more than 2,400 direct and indirect tourism projects, representing a total investment of over SR35 billion ($9.33 billion). These initiatives are contributing to the development of more than 9,200 hotel rooms and villas across the country. 

The drive aligns with Saudi Arabia’s broader Vision 2030 objective of increasing tourism’s contribution to gross domestic product from 3 percent to 10 percent and creating 1 million new jobs within the industry. 

Al-Shareef told Arab News: “We are also bringing inbound international banks to help us support, whether it’s equity investments or in terms of financing.” 

He added: “We look forward to expanding, and it all depends on where we are headed. We have a roadmap, which is the national tourism strategy, and wherever we find the gap, you will find us there participating.” 

The spokesperson revealed that TDF met with a couple of banks and received strong interest across the board. “The Saudi market is growing at a fast pace; the numbers are talking for themselves. So, everyone is interested to join and be part of this growth,” he added. 

According to Al-Shareef, TDF participates in projects through three key financing mechanisms: debt, equity, and guarantees in partnership with banks. He emphasized the importance of de-risking projects, particularly for small and medium enterprises. 

“Some projects have high risk, especially for SMEs. We have partnered with a couple of local banks to provide guarantees for them to mainly cater to the mass market all across the Kingdom,” he said. 

The fund also supports entrepreneurship through its TDF Grow platform, aimed at empowering startups and tour guides through education and training. 

“We have supported more than 8,800 participants, all world-class education classes from international and well-known entities to offer their courses here in Saudi Arabia,” the TDF spokesperson said. 

Beyond financing, TDF is positioning itself as a facilitator within the tourism ecosystem, simplifying processes and enhancing access to support services. 

“As we have mentioned, financial support is there, but non-financial support is also important, especially for SMEs. You have to give the right education and guidance for them to thrive and hopefully become bigger companies over time,” he said. 

Al-Shareef emphasized that the guidance component is crucial and noted that non-financial support also involves connecting SMEs with various entities. 

“Today, rather than going to 10 or 15 entities to operate a hotel or what have you, we are basically trying to be a one-stop shop that will guide you on where to go to get your licenses and permits,” the spokesperson added. 

Al-Shareef noted the diversity of Saudi Arabia’s tourism landscape, ranging from beaches in the Eastern Province and Jeddah to mountainous regions in the south and desert terrain in the north. TDF is focusing efforts on underdeveloped areas that require more government incentives. 

“Currently, we are focusing more on tier two and tier three cities. Big cities like Riyadh and Makkah are carrying themselves, especially with the banks supporting them heavily,” the spokesperson said. 

He cited Abha, Al Baha, and AlUla as examples of regions receiving increased attention to ensure more balanced tourism development across the Kingdom. 

Topics: FHS2025 Saudi Tourism Development Fund business

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IHG to introduce 15,000 additional keys in Saudi Arabia by 2030: top official

Updated 13 May 2025
Reina Takla
Nirmal Narayanan
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IHG to introduce 15,000 additional keys in Saudi Arabia by 2030: top official

Updated 13 May 2025
Reina Takla Nirmal Narayanan

RIYADH: UK multinational hospitality giant IHG Hotels and Resorts is planning to add an additional 15,000 rooms in Saudi Arabia, as it eyes opening another 50 hotels in the Kingdom by 2030, according to an official. 

Speaking to Arab News on the sidelines of the Future Hospitality Summit in Riyadh on May 12, Maher Abou Nasr, vice president of operations for IHG in Saudi Arabia, said that the company will add seven new hotel brands in the Kingdom, in addition to the existing six already operating in the country. 

Strengthening the hospitality sector is one of the crucial goals outlined in Saudi Arabia’s Vision 2030, as the Kingdom is steadily diversifying its economy by reducing its decades-long reliance on crude revenues. 

Ahead of the summit, FHS data revealed that Saudi Arabia is set to add 362,000 new hotel rooms by 2030 as part of its $110 billion hospitality expansion plans. 

“We have 45 hotels in the market now, and it includes Makkah, Madinah, Riyadh and all the tourism cities in the Kingdom. And that is close to 24,000 keys currently operating in the market. But our pipeline has 50 hotels. So, more hotels are coming to the market, with 15,000 keys that we are going to be introducing soon,” said Abou Nasr. 

He added: “We have six brands that are operating currently in the Kingdom, but we have seven brands in the pipeline. So we’re going to have 13 brands, in close to five years, that are going to be operating in the Kingdom.”

Abou Nasr further said that IHG is gearing up to meet the rising demand in Saudi Arabia’s hospitality sector, with the Kingdom gearing up to host major international events including Expo 2030 and the FIFA World Cup in 2034. 

Abou Nasr said that 49 percent of the company’s workforce are Saudi nationals, and the new hotel brands will help workers from the Kingdom explore more opportunities in the hospitality sector.

“Those Saudi youth who are going to be working in the Expo and the World Cup are people who are graduating today from high school. They are making their decisions on their career paths today, this year, last year, and in the coming year. So, in this period, we need to reach this pool of talent and attract them to the hospitality industry,” said Abou Nasr. 

“Today we have 49 percent Saudization. Close to 2,000 Saudi nationals work in our hotels, but we want to reach 6,000 by 2030 to be working for us,” he added. 

Abou Nasr added that IHG is getting sufficient support from the Kingdom’s Ministry of Tourism to attract Saudi talents to the company’s workforce. 

Meeting diversification of demand 

According to Abou Nasr, IHG is trying to cater to the needs of demand in different segments, such as midscale and upper midscale, in addition to the traditional luxury offerings provided by the hospitality group. 

“With all the changes that are happening in the Kingdom, we see a big diversification of demand. Not everybody wants to stay in luxury hotels all the time. Having said that, luxury remains our biggest part of the portfolio that’s coming — 60 percent of our pipeline hotels are in the luxury and lifestyle segments,” said Abou Nasr. 

He added: “However, we still see demand now that is coming into different segments, like the midscale and upper midscale. So, Holiday Inn Express is coming to the market, and we’re introducing Garner as well, sometime in the near future, to the Kingdom.”

On the first day of the FHS, IHG and Ashaad Co. signed an agreement to develop three new hotels in Saudi Arabia: Intercontinental and Voco in Alkhobar and Hotel Indigo in Jeddah. 

Citing a presentation made by real estate consultancy JLL at the summit, Abou Nasr said that Saudi Arabia had committed to adding 185,000 keys as part of its offering for FIFA World Cup 2034, and not all of these keys will be in luxury segments. 

Abou Nasr highlighted the growth of the hospitality industry in Saudi Arabia, and said that hotels in Riyadh and Jeddah have started to make profits within one or two months of starting operations. 

“In the past, that used to be a few months before we break even and then start ramping up toward more profits. Today, we are seeing a lot of hotels making profits from the first or second months,” said Abou Nasr. 

He added: “There’s a lot of demand that is happening in those cities. It depends on the location, the brand and the size of the hotel. But hotel investments are proving to be very profitable in this market.”

Maintaining competitiveness

During the interview, Abou Nasr said that IHG is committed to maintaining competitiveness in the market, as the company plans to add 50 new hotels in addition to the 45 already operating in the Kingdom. 

“We are actively working toward renovating many of those hotels that need renovation and bringing them up to speed to cater for the new travelers that are coming to Saudi Arabia,” he said. 

Abou Nasr added that IHG, during the recently concluded Arabian Travel Market, signed a memorandum of understanding with the Ministry of Tourism to collaborate around enhancing the guest experience when travelers come to Saudi Arabia. 

Abou Nasr further said that IHG is committed to maintaining sustainability as the world is trying to materialize the climate goals. 

“We’re working on introducing three energy conservation measures into our hotels that will take care of water conservation within our properties and energy conservation as well. In the future, there are a lot more initiatives to come. This is all guided by our journey to tomorrow, which are our sustainability initiatives at a corporate level,” he added. 

Combating challenges 

Abou Nasr said cooperation with the government has helped IHG to change challenges into opportunities. 

He added that completing the projects within the stipulated timeframes and renovating existing facilities are some of the challenges which are being faced by IHG. 

“We firmly believe that Saudi hospitality is delivered by Saudis. And we’re able now to go and talk to those Saudis at that young age to attract them to the industry with help from the government,” said Abou Nasr.

Topics: FHS2025 business

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