Saudi Arabia launches April round of Sah savings bonds with 4.88% return
Saudi Arabia launches April round of Sah savings bonds with 4.88% return /node/2596082/business-economy
Saudi Arabia launches April round of Sah savings bonds with 4.88% return
Issued by the Ministry of Finance and managed by the National Debt Management Center, Sah is the Kingdom’s first savings bond designed for individuals. Shutterstock
Saudi Arabia launches April round of Sah savings bonds with 4.88% return
Updated 06 April 2025
MOHAMMED AL-KINANI
JEDDAH: Saudi Arabia has launched the fourth round of its Sah savings product for 2025, offering a 4.88 percent return for April under the Ijarah sukuk structure.
Issued by the Ministry of Finance and managed by the National Debt Management Center, Sah is the Kingdom’s first savings bond designed for individuals. It operates under the Ijarah format, a Shariah-compliant structure similar to leasing, where investors earn returns in exchange for the right to use an asset.
The offering, part of the local bond program and denominated in riyals, aligns with Saudi Vision 2030’s goal of increasing the national savings rate from 6 percent to 10 percent by the end of the decade.
In late February, the NDMC confirmed it would continue using the Ijarah format for future issuances to provide accessible, low-risk savings solutions. This initiative, a key component of the Financial Sector Development Program under Vision 2030, seeks to enhance personal savings by fostering regular financial habits, expanding product availability, and promoting financial literacy to support future goal planning.
The latest issuance opened at 10:00 a.m. Saudi time on April 6 and will close at 3:00 p.m. on April 8.
The allocation date is set for April 15, with the redemption period running from April 20 to 22, and redemption payments scheduled for April 30, according to the center.
The bonds, accessible via digital platforms of approved financial institutions, offer a one-year savings period with fixed returns upon maturity. The minimum subscription is SR1,000 ($266), with a maximum limit of SR200,000 per user across all issuances during the program period.
The product is fee-free and offers low-risk returns. Eligible Saudi nationals aged 18 and above can subscribe through Aljazira Capital, Alinma Investment, SAB Invest, Al-Rajhi Capital, and SNB Capital.
Under the same sukuk structure, the March round of this year’s program offered a 4.98 percent return and raised SR2.64 billion through sukuk issuances.
According to the NDMC, the March issuance was divided into four tranches. The first tranche, valued at SR364 million, will mature in 2027. The second, worth SR316 million, is set to mature in 2029, while the third, amounting to SR1.46 billion, will mature in 2032. The fourth and final tranche, worth SR500 million, will mature in 2039.
The Kingdom’s debt market has experienced substantial growth in recent years, drawing strong investor appeal amid a global environment of rising interest rates.
A March report by Kuwait Financial Center, known as Markaz, revealed that Saudi Arabia led the Gulf Cooperation Council in primary bond and sukuk issuances during 2024, raising $79.5 billion across 79 issuances.
Nigeria embraces AI in education to equip youth for global economy
Updated 5 sec ago
Miguel Hadchity Nadin Hassan
RIYADH: Nigeria is integrating artificial intelligence into its education system as part of a broader strategy to train its vast youth population for the global tech economy, according to Minister of State for Education Maruf Tunji Alausa.
Speaking to Arab News on the sidelines of the Human Capability Initiative in Riyadh, Alausa said African nations must embrace AI in education while ensuring that students retain critical social skills.
“The basic outcome was that we don’t have a choice now, AI has come to stay. We need to now use AI as part of our learning,” Alausa said. “Countries need to infuse AI to help augment and improve education delivery.”
However, he cautioned against over-reliance on technology, warning that it must not erode children’s social skills. “We have to be sure that it doesn’t leave deficiencies in the skill set, in the social skills of our children,” he added.
With over 60 percent of Africa’s 1.2 billion people under 30 — and Nigeria’s 220 million population being 70 percent youth — Alausa argued that the continent is uniquely positioned to supply skilled labor to aging economies like Europe, Japan, and the US.
“Today, Nigeria has 65 million people between 15 and 29, with 5 million entering the workforce yearly,” he said. “We need to train this youthful population in tech skills — software development, cybersecurity, AI, cloud computing — so they can service companies worldwide while staying in Nigeria.”
Nigeria has launched a digital training academy to upskill university graduates in high-demand tech fields, enabling them to earn online certifications and work remotely for international firms. Alausa urged other African nations to adopt similar models.
During his visit to Saudi Arabia, Alausa toured several academic institutions alongside Education Minister Yousef Al-Benyan and praised the Kingdom’s dual-track approach to higher education.
“Saudi Arabia has gotten it right,” he said.
He also announced forthcoming collaborations between Nigeria and Saudi Arabia in education and skills development.
“As we learn from Saudi Arabia, Saudi Arabia can also learn from us,” Alausa added.
Held under the patronage of Crown Prince Mohammed bin Salman, the Human Capability Initiative convened more than 12,000 experts from over 100 countries to address the intersection of education, workforce transformation, and emerging technologies.
This year’s theme, “Beyond Readiness,” focused on AI, inclusive development, and global equity in skills training.
With Nigeria positioning itself as a hub for global tech talent, Alausa’s vision aligns with HCI’s goal of fostering cross-border partnerships to future-proof economies.
Saudi Arabia launches National Skills Platform to future-proof workforce
Updated 9 min 56 sec ago
Nadin Hassan
RIYADH: Saudi Arabia has launched a National Skills Platform to equip its workforce with future-ready capabilities and align national talent with global trends, according to a top official.
The Minister of Human Resources and Social Development Ahmed Al-Rajhi made the announcement during his keynote speech at the Human Capabilities Initiative, where he described human capital as “the defining variable of global prosperity.”
He highlighted the Kingdom’s commitment to using advanced technology, specifically artificial intelligence, to modernize and improve its training and workforce development systems.
“We are proud to take another step forward and announce a new initiative, the National Skills Platform, designed ... to empower our workforce and strengthen our national talent base with essential skills for the future,” Al-Rajhi said.
He added: “The platform represents a milestone in our journey that offers a unique and simple, agile journey, ensuring that every employee is equipped to meet the changing requirements of the labor market.”
By leveraging AI, the government aims to create smarter, more efficient training pathways tailored to individuals’ needs and aligned with the demands of local and global labor markets.
“This is part of our responsibility in providing accessible, high-quality training opportunities for all to drive personal growth and national development,” said Al-Rajhi.
The initiative is part of a broader strategy to address global labor shifts driven by AI and automation.
“By 2030, over 92 million jobs will become obsolete as automation and artificial intelligence change the way industries and people operate,” Al-Rajhi stated.
He added: “At the same time, entirely new industries and roles are emerging at an expected rate. The global skills gap is widening, with nearly 40 percent of skills expected to change and 63 percent of their employers already identifying their biggest challenge in finding qualified talent.”
He pointed to specific challenges in the technology sector, particularly in global cybersecurity, which alone faces a talent gap of 3.4 million workers. AI-related roles also remain largely unfilled, with a 50 percent hiring gap.
In response, the Kingdom has adopted a demand-driven workforce strategy.
“We have set up 13 sector skill councils consisting of over 240 million members from public and private sectors. These councils are responsible for identifying skills and job requirements and how to address them,” Al-Rajhi said.
In partnership with the Human Capability Development Program, Saudi Arabia launched the Skills Accelerator Initiative in March 2023 to train more than 300,000 individuals “with expertise in high-growth sectors such as energy, healthcare, finance, and retail.”
A parallel track aimed at women’s employment exceeded its initial target by 22 percent, with a reported 92 percent retention rate among trainees.
Reflecting on the initiative, Al-Rajhi said: “We do this by analyzing what the market needs in collaboration with businesses, educational institutions and experts, then we give access to this training to every individual possible, regardless of their location, by blending virtual learning with hands-on training.”
He continued: “Technical expertise alone is not enough. Leadership, strategic thinking, and adaptability are equally important, and skilling and reskilling for the workforce is a national priority that all stakeholders should engage in.”
The minister also highlighted the Waad National Training Campaign, describing it as an investment in “the promise of human potential.”
Launched in March 2023, Waad delivered over 1 million training opportunities in its first phase. A second phase was introduced in November, aiming to reach 3 million opportunities with support from 16 public and private sector partners.
The initiatives are supported by a growing network of more than 70 training institutions and over 45,000 businesses.
Expanding beyond national borders, Al-Rajhi announced the government has extended its Talent Enrichment Program globally through the Professional Accreditation Program that is enabling professionals in 160 countries to gain globally recognized credentials.
He added: “Our aim is to enhance global workforce mobility and competitiveness with over 1,300 accredited professionals. This initiative recognizes globalization, and it is a demand for global talent development and integration.”
In another announcement during the forum, Saudi Arabia revealed that the National Occupational Safety and Health Institute will be launched during the 7th International Conference on Occupational Safety and Health.
The institute, a partnership between the Technical and Vocational Training Corp. and the National Council for Occupational Safety and Health, aims to train over 35,000 individuals in occupational safety, health, and risk management within five years.
Khalid Al-Sabti, advisor of the General Secretariat of the Council of Ministers and chairman of the Education and Training Evaluation Commission. Screenshot
In a panel session, Khalid Al-Sabti, advisor of the General Secretariat of the Council of Ministers and chairman of the Education and Training Evaluation Commission, emphasized the impact of education quality on economic growth.
“At ETEC, our vision is to become a globally leading and high-impact Saudi model for equality and contribute directly to the national development and economic prosperity,” Al-Sabti said.
He continued: “We partnered with international global organizations to study the impact of education quality to economic growth, and currently, we are finalizing a study with the World Bank, and the findings are very encouraging and promising.”
He stated that if Saudi Arabia improves the quality of its education system to match or exceed global standards, it could see significant improvements in its economic growth, particularly in its annual gross domestic product.
In the past, the emphasis was largely on the number of years students spent in school, based on the assumption that more schooling would lead to stronger economies.
“Traditionally, education, measured by … the years of schooling has been seen as a major driver for economic growth. However, recently, studies show that there is a shift from the education quantity to education quality,” Al-Rajhi said.
He added: “Cognitive skills measured by international exams such as PISA (Program for International Student Assessment) has shown that it’s more important and critical for driving economic growth compared to simply years spent in the school.”
OPEC lowers 2025 global oil demand forecast, citing US tariffs
Updated 34 min 11 sec ago
Arab News
RIYADH: OPEC has trimmed its 2025 global oil demand growth forecast, pointing to first quarter data and recently announced US trade tariffs as key factors behind the revision.
In its latest monthly report, the oil producers’ group now expects demand to rise by 1.3 million barrels per day next year—150,000 bpd lower than its previous estimate.
The group also downgraded global economic growth projections for both 2025 and 2026, citing rising uncertainty from evolving trade dynamics.
“The global economy showed a steady growth trend at the beginning of the year; however, recent trade-related dynamics have introduced higher uncertainty,” the report stated.
Despite the downward revision, OPEC’s outlook remains among the most optimistic in the industry, with the group projecting continued long-term growth in oil use.
For 2026, it expects demand to increase by 1.28 million bpd, down from 1.43 million bpd previously. Total demand is now forecast at 105.05 million bpd in 2025 and 106.33 million bpd in 2026.
OPEC also reduced its forecast for non-OPEC+ liquids production, expecting growth of 910,000 bpd in 2025 and 900,000 bpd in 2026—down by 100,000 bpd for both years.
The US was the primary contributor to the revised figures, with projected output now at 400,000 bpd in 2025 and 380,000 bpd in 2026, compared to earlier estimates of 450,000 and 460,000 bpd.
In terms of current production, OPEC+ output declined in March by 37,000 bpd to 41.02 million bpd, mainly due to cuts by Nigeria and Iraq.
However, Kazakhstan increased production by the same amount, once again breaching its OPEC+ quota. Its March output reached 1.852 million bpd, exceeding its agreed limit of 1.468 million bpd for the first quarter.
OPEC+ is expected to increase production in April and May as part of a phased rollback of previous output cuts designed to stabilize the market.
Saudi Arabia, US to deepen mining ties after high-level talks with Energy Secretary Chris Wright
Updated 14 April 2025
Mohammed Al-Kinani
JEDDAH: Saudi Arabia and the US are poised to strengthen mining ties following high-level talks in Riyadh, where both sides discussed boosting investment, economic cooperation, and critical mineral supply chains.
Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef met with US Secretary of Energy Chris Wright on April 13, as part of the White House official’s ongoing visit to the Kingdom, according to the Saudi Press Agency.
The meeting, which was also attended by Deputy Minister of Industry and Mineral Resources for Mining Affairs Khalid bin Saleh Al-Mudaifer, focused on strengthening the strategic partnership between Saudi Arabia and the US in the mining and minerals sector.
In a post on his X account, Alkhorayef said: “I met with US Secretary of Energy Chris Wright at the Ministry’s headquarters in Riyadh, where we focused on enhancing strategic cooperation in the mining sector. We also discussed future partnership prospects and reviewed the long-standing industrial relations between our two countries.”
Discussions explored ways to expand bilateral cooperation in mining, with an emphasis on the sector’s critical role in the global energy transition, advanced technologies, and clean energy-driven economies.
The talks also highlighted the importance of minerals in electric vehicle production and their components, identified key investment opportunities, and examined mechanisms to unlock their potential. Both sides reaffirmed their commitment to strengthening economic collaboration and deepening long-standing ties.
Alkhorayef extended an invitation to Wright to attend the 2026 Future Minerals Forum, scheduled to be held in Riyadh.
The Kingdom aims to position mining as a foundational pillar of its industrial economy, with its mineral wealth estimated at SR9.4 trillion ($2.4 trillion), according to official figures.
Attracting international investment in the mining sector is central to Saudi Arabia’s ambition to reach $100 billion in annual foreign direct investment by the end of the decade.
In March, the Kingdom announced a new incentive package to boost FDI in the mining industry, underscoring its broader strategy to diversify the economy and tap into its untapped mineral reserves.
The initiative reflects close coordination between the ministries of investment and industry through an exploration enablement program aimed at streamlining market entry for exploration firms.
The program also seeks to enhance geological surveying and foster a competitive investment environment for both local and international mining companies.
KARACHI: Pakistan’s central bank governor on Monday said the current account would show a “substantial” surplus this year through June mainly on the back of a record inflow of remittances which crossed the $4 billion mark in March, with Saudi Arabia once again topping the list of biggest contributors.
Pakistan received a record-high $4.1 billion in remittances in March 2025, which bodes well for the government’s efforts to revive an economy that it expects will expand three percent this year, State Bank of Pakistan (SBP) governor Jameel Ahmad said at an event at Pakistan Stock Exchange in Karachi.
The central bank had earlier projected economic growth to range from 2.5 percent to 3.5 percent.
“With this level of remittances, we are hoping that for the current fiscal year our current account will stay in surplus,” the governor said. “There will be a substantial surplus and this surplus is the best performance, I will say, on the external account during the last two decades.”
The country broke its own record in February when overseas Pakistanis remitted $3.1 billion.
Pakistan has faced a serious shortage of dollars and had to restrict imports in 2023 to avoid an imminent default on its foreign debts, which was avoided with the help of a last-gasp $3 billion financial bailout from the International Monetary Fund (IMF).
Prime Minister’s Shehbaz Sharif’s government is now waiting for the IMF’s executive board to approve the next $1 billion tranche of a new program, approved in September last year, to boost foreign exchange reserves that currently stand at $10.6 billion.
The current trend in the worker remittances inflows, Ahmad said, had made the central bank revise its earlier projection of $36 billion to $38 billion for this financial year. On the basis of such healthy inflows, the country’s foreign exchange reserves were expected to surge beyond $14 billion this year.
Ahmad said the country had paid most of its external debt for FY25 and was expected to receive as much as $5 billion from external sources by the end of June.
“I am quite confident that we will be receiving $4 to $5 billion before the end of June this year,” he said, without mentioning the exact source of these funds.
State Bank of Pakistan (SBP) governor Jameel Ahmad addresses a ceremony in Karachi, Pakistan, on April 14, 2025. (AN photo)
Pakistan’s total debt liabilities this year amounted to $26 billion of which $16 billion was supposed to be rolled over or refinanced, the governor said. Of this, he said, $3.7 billion debt was refinanced while close to $12.4 billion has been rolled over by friendly countries including China, Saudi Arabia and the UAE.
Out of the remaining $10 billion debt, Pakistan has already repaid $8 billion and was required to repay only $2 billion in the remaining months of this year.
“We have been servicing all those debt obligations on time,” said the SBP governor, adding that some inflows were delayed, but these would also come before June 30.
Jameel said Pakistan’s current account was stable and showed a $700 million surplus this year through February. Last year, the country’s current account showed $1.7 billion, close to half percent of GDP.
“Good thing is that we have been able to achieve this surplus despite substantial increase in imports,” he said, rejecting the claims that the government was still restricting imports.
Pakistan was also spending around $5.7 billion every month on oil and non-oil imports.
Due to the current account surplus and other policy and regulatory measures like exchange companies’ reforms, the Pakistani rupee had stabilized.
“The gap between the interbank market and the open market is very narrow,” Ahmad said.
While the economy was expected to grow three percent this year compared with 2.5 percent last year, agriculture was a major drag on economic expansion this year and rose less than one percent during the first six months through December.
Otherwise, he said, the economy was “doing well.”
“You can see the economic activity has already picked up. This is reflected in our high frequency data. Look at cement sales, look at auto sales, look at the high value textile exports,” Ahmad said.
While inflation was one of his biggest concerns previously, the central bank governor said the pace of price hikes had slowed to 0.7 percent last month, the lowest level in six decades.
Consumer prices in Pakistan have been backbreaking in recent years and rose 38 percent in May 2023. Pakistan’s central bank had to halve its interest rate to 12 percent since June last year to tame inflation in the country of more than 240 million people.
“From the current month onward, the inflation will be rising and ultimately stabilize within the target range of 5 to 7 percent [in the full year],” the central bank chief added.
Meanwhile, March 2025 data on remittances showed remittances reached $ 4.1 billion last month, a record high. In terms of growth, remittances increased by 37.3 percent and 29.8 percent on y/y and m/m basis, respectively.
Cumulatively, with an inflow of $ 28.0 billion, workers’ remittances increased by 33.2 percent during Jul-Mar FY25 compared to $ 21.0 billion received during Jul-Mar FY24.
“Remittances inflows during March 2025 were mainly sourced from Saudi Arabia ($987.3 million), United Arab Emirates ($842.1 million), United Kingdom ($683.9 million) and United States of America ($419.5 million),” the data showed.
