RIYADH: Leading Japanese bank Mizuho Financial Group, Inc. and state-owned Saudi Arabian Oil Co. (Saudi Aramco) have signed a major agreement for business cooperation with an aim to support Japanese companies investing in the Kingdom. The move will go a long way in expanding ties between the Kingdom and Japan, especially in energy sector.
“With the memorandum of understanding, Mizuho, the sole Japanese bank to have an office in Saudi Arabia, will work more closely with the Kingdom and provide enhanced support to Aramco, which works to transform its business portfolio,” the Tokyo-based financial group said in a press statement, while referring to the visit of Deputy Crown Prince Mohammed bin Salman to Tokyo.
The statement said that “Mizuho will use Aramco’s knowhow and network to introduce Japanese companies, in particular SMEs and middle-marketers which have unique technological advantages, to Aramco and other Saudi companies as their business partners.”
Saudi Arabia is currently promoting the national growth strategy called “Saudi Vision 2030” and Aramco is enhancing its business especially in the fields of renewable energy, privatization and capital markets.
“Under the vision as announced by the deputy crown prince, Saudi Arabia goes full speed to promote privatization of state-owned companies and sophistication and diversification of industries,” the bank said.
It also pointed out that the Middle East North Africa region has large potential with over 600 million population and Saudi Arabia in particular is expected to see rapid growth in near future.
On the other hand, Mitsubishi UFJ Financial Group Inc.’s banking unit and its two biggest Japanese peers plan to endorse a non-binding agreement with Saudi Aramco to expand lending to the state-run firm as it considers an initial public offering. Bank of Tokyo-Mitsubishi UFJ Ltd. President Takashi Oyamada and Sumitomo Mitsui Financial Group Inc. Chairman Masayuki Oku are expected to agree to a memorandum of understanding in Tokyo with executives of the Saudi Aramco, according to reports.
Tokyo-based lenders are seeking to get involved in Aramco’s IPO, according to reports published in a section of Japanese press. Japan’s Trade Ministry has asked the oil company to list its shares on the Tokyo Stock Exchange. MUFG and its rivals are accelerating efforts to grab larger clients abroad like Aramco to counter slowing loan demand and shrinking interest rates at home.
These developments are very important for the energy market and for Saudi-Japan ties as the deputy crown prince wraps up his visit to Japan and China this week, giving the Asian nations an opportunity to deepen energy ties as the Kingdom prepares what could be the biggest IPO ever. Aramco and Japanese government officials plan to discuss a potential Tokyo listing soon.
The banks are eyeing increased business in Saudi Arabia as Aramco diversifies its portfolio into alternative energy and Japanese companies race to provide technology and services. But according to people close to the discussions, the underlying aim of Japan’s financial titans — Mitsubishi UFJ, Sumitomo Mitsui Financial Group and Mizuho Financial — is to negotiate themselves closer to the world’s largest oil exporter and use tighter business ties as a springboard to greater involvement in its planned IPO.
On the other hand, Saudi Aramco and the Japanese government are set to agree on a massive expansion of crude oil storage capacity in Okinawa, used by the state-run firm to store oil, Saudi Aramco CEO Amin H. Nasser said Thursday. In return for providing free storage space, Japan gets a priority claim on the stockpiles in case of an emergency.
“It would be in the best interest for Saudi Aramco and Japan to increase the capacity,” Nasser told reporters in Tokyo. “We are looking at a couple of million (barrels) more than what we have now.”
A senior Japanese government spokesman confirmed the two sides had agreed to expand and extend the current storage deal, though details had not been decided. The deal is set to be signed in October.
Japan treats the crude oil stored at Okinawa as quasi-government oil reserves, counting 50 percent of the barrels stored by Aramco and ADNOC as national crude reserves.
Saudi Aramco has stored crude in Okinawa since February 2011, and has used the facility to supply crude oil to China, Japan and South Korea among others.
The storage pact comes as part of a broad cooperation agreement between Prince Mohammed and Japan’s Prime Minister Shinzo Abe, who met Thursday to discuss the Kingdom’s drive to cut its reliance on crude oil exports among other issues. The two nations also agreed to set up a ministerial forum, called “joint group for Japan Saudi Vision 2030”, to discuss their collaborations.
The collaboration will mainly focus on industry, finance and energy to contribute to Japan’s growth strategy led by Abe as well as the Kingdom’s economic reforms driven by the deputy crown prince.
The first meeting will be held in Riyadh in October. Under the agreement, the Kingdom’s top sovereign wealth fund Public Investment Fund (PIF) and state-owned Japan Bank for International Cooperation (JBIC) and state-backed Innovation Network Corporation of Japan (INCJ) will also consider jointly investing in, and jointly financing, projects.
New era of Saudi-Japan relations
New era of Saudi-Japan relations
Embracing the skies: Riyadh aviation show inspires next generation of pilots
- Saudi Hot Air Balloon Federation’s first female pilot wants more women to sign up
RIYADH: The Saudi Hot Air Balloon Federation was among the top organizations at an aviation show that captivated the Kingdom’s capital with stunning aerobatic displays and an impressive lineup of aircraft.
Sand and Fun 2024, which concluded on Saturday at Thumamah Airport, showcased the Kingdom’s wide-ranging aviation sector.
The federation presented a collection of colorful hot air balloons to demonstrate the experience to adults and younger generations as part of the efforts to raise awareness about hot air ballooning and to inspire a new generation of pilots.
Among the pilots was Afrah Al-Harbi, the first female Saudi hot air balloon pilot to graduate from the federation.
Al-Harbi is on a mission to cultivate a community of female pilots, encouraging women to explore the exhilarating world of hot air ballooning. Her story is an inspiring testament to the opportunities available to women in aviation and the importance of representation in this field.
“At the beginning, I was studying at the university, but the Saudi Hot Air Balloon Federation launched a training program to train balloon pilots,” she told Arab News. “Thank God, I registered, and I was accepted. After that, I started my studies to become a balloon captain. The federation covered the entire mission, which is considered a grant from the federation. I obtained the European EASA license, and then I also obtained the Saudi license from the General Authority of Civil Aviation.”
The federation offers structured programs to equip aspiring pilots with both theoretical knowledge and practical skills.
Hot air balloons first appeared in the Kingdom in AlUla as part of the Winter at Tantora Festival in 2018. This event not only showcased the beauty of ballooning, but also laid the groundwork for the establishment of the federation.
The hot air balloon sport is known and famous worldwide. We need a type of it that people can take part in within the Kingdom, especially for global competitions.
Abdulrahman Al-Wahaibi, Saudi hot air balloon pilot
The organization plays a crucial role in promoting balloon culture and raising awareness of the sport.
“We want to show people that hot air ballooning is not only fun, but also safe,” Al-Harbi said, emphasizing the importance of public perception in the growth of the sport.
Her career has included a visit to the Netherlands, where she underwent extensive training.
“My studies in the Netherlands were quite lengthy, but it was an incredibly enriching experience,” she said. “The training included both theoretical subjects and practical sessions to help us obtain our licenses.”
The rigorous training not only prepared Al-Harbi for the technical aspects of flying, but also instilled a deep appreciation of the art of ballooning.
Abdulrahman Al-Wahaibi also spoke about his journey in the world of hot air ballooning, which began was he was a student in Australia.
“I looked at a balloon for the first time in my life and was fascinated by its shape,” he told Arab News. “I had to try the experience, so I did, as a passenger. The experience was beautiful, and I thought we needed this in Saudi Arabia. At that time, Saudi Arabia did not have hot air balloons.”
Al-Wahaibi dedicated himself to bringing the ballooning experience back to Saudi Arabia, sharing it with family, friends, and the community.
This included studying aerospace engineering and breaking records in Australia for the fastest training period. He expressed pride in being part of the first Arab country to take part in international hot air balloon competitions, highlighting the significant strides made by the Saudi Hot Air Balloon Federation.
“The hot air balloon sport is known and famous worldwide,” Al-Wahaibi said. “We need a type of it that people can take part in within the Kingdom, especially for global competitions.”
His vision aligns with the federation’s mission to broaden participation and elevate the sport on an international level.
Based in AlUla, the Saudi Hot Air Balloon Federation plans festivals designed to integrate the natural environment and the grandeur of the historic landmarks of ancient civilizations such as Hegra.
The five-day event at Thumamah Airport gave visitors the opportunity to meet pilots, learn about the intricacies of ballooning, and even experience the thrill of a balloon ride.
With inspiring pilots such as Al-Harbi and Al-Wahaibi at the helm, the outlook for hot air ballooning in the years to come looks as bright as the skies adorned with colorful balloons.
Saudi ambassador presents credentials to Cypriot president
- Al-Shabili conveyed the greetings of King Salman and Crown Prince Mohammed bin Salman to the president
NICOSIA: Saudi Ambassador to Cyprus Fawaz bin Abdulrahman Al-Shabili presented his credentials to the President of Cyprus Nikos Christodoulides at a ceremony held at the Presidential Palace in the capital Nicosia, the Saudi Press Agency reported on Saturday.
Al-Shabili conveyed the greetings of King Salman and Crown Prince Mohammed bin Salman to the president, as well as their wishes for steady progress and prosperity for Cyprus.
Meanwhile, Saudi Vice Minister of Commerce and CEO of the National Competitiveness Center Eman bint Habbas Al-Mutairi led a Saudi delegation of government officials and business leaders to the UK to bolster bilateral economic relations.
Saudi Arabia to host Qur’an contest in Nepal
- The competition is part of Saudi Arabia’s endeavor to disseminate the teachings of the Qur’an among young Muslims around the world
RIYADH: The Ministry of Islamic Affairs, Dawah and Guidance will hold the second Holy Qur’an Memorization Competition in Kathmandu, the capital of Nepal, on Dec. 21-22.
More than 400 contestants from various Nepalese states and governorates will participate in the preliminary qualifiers, the Saudi Press Agency reported on Saturday.
The competition is part of Saudi Arabia’s endeavor to disseminate the teachings of the Qur’an among young Muslims around the world.
The closing ceremony, which will include the presentation of awards to the winners, will be held on Dec. 23 and will be attended by officials from various centers and schools across Nepal.
Busy bees: Asir’s local markets abuzz over Sidr honey season
- Unique taste, aroma make it popular locally, internationally
RIYADH: The Asir region is currently in the midst of the Sidr honey season, with local markets flooded with high-quality honey produced from the nectar of Sidr trees.
The recent heavy rainfall in the region has led to a prolific flowering of Sidr trees, providing ideal conditions for bees to produce abundant and flavorful honey, the Saudi Press Agency reported.
Sidr honey, which is renowned for its health benefits, is particularly prized for its antioxidant properties and ability to strengthen the immune system.
The unique taste and aroma of the honey have made it a sought-after commodity, both locally and internationally, the SPA reported.
Beekeepers in Tihama Asir have been busy harvesting the golden nectar, with prices ranging from SR350 to SR500 ($93-133) per kg.
The region’s diverse ecosystem, characterized by its fertile valleys and abundant flora, provides an optimal environment for beekeeping.
The Ministry of Environment, Water and Agriculture is actively supporting the development of the beekeeping industry. Initiatives such as the beekeeping and honey production development initiative improve practices, protect bee populations, and enhance the quality of honey.
By promoting sustainable beekeeping and preserving the natural habitats of bees, the Kingdom seeks to strengthen its position as a leading producer of high-quality honey while contributing to the global market.
Saudi Reef Forum to focus on rural sustainability
- Al-Ahsa event to promote communities’ role in economic growth
RIYADH: The Ministry of Environment, Water and Agriculture will host the 1st International Forum for Saudi Reef in Al-Ahsa from Dec. 16-18, aiming to strengthen rural communities, and promote their role in driving sustainable development.
Maha Aldhahi, head of the forum’s executive committee, said: “The forum is pivotal in advancing rural development, aligning with the UN Sustainable Development Goals and Saudi Vision 2030. It will support rural communities, while contributing to global efforts and research on sustainable agriculture.”
Aldhahi said that the forum will unite regional and international experts to address the challenge of rural-to-urban migration, a widespread issue. To counter this, the forum will propose practical solutions to ensure rural areas remain economically viable, vibrant, and sustainable.
Additionally, it will explore innovations in agriculture and rural development, fostering economic growth and social cohesion through job creation and investment promotion, she added.
Aldhahi said that the forum builds on the Saudi Reef Program, recognized by the UN Food and Agriculture Organization as the world’s largest development initiative of its kind.
The program has supported over 77,000 agricultural projects, achieved a self-sufficiency rate exceeding 65 percent in vital sectors, and provided upskilling and career opportunities for rural communities.
Ghassan Bakri, secretary-general of the Saudi Reef Program, said: “The program is a model of sustainable growth, addressing food security and job creation while preserving cultural heritage. By hosting this forum, we aim to attract global partnerships and exchange cutting-edge solutions for rural empowerment.”
Bakri added that the forum will feature dynamic discussions on key topics, including sustainable agricultural practices, rural entrepreneurship, and the role of modern technology in agriculture.
The three-day event will also include an exhibition showcasing unique rural practices, handicrafts, and the work of local farmers, artisans, and entrepreneurs. It will highlight how traditional techniques integrate with modern innovations to create sustainable livelihoods.
