Saudi Arabia, US ink 18 agreements, including on space, investment, energy

The two nations signed 18 agreements on Friday. (SPA)
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Updated 16 July 2022
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Saudi Arabia, US ink 18 agreements, including on space, investment, energy

  • The ministries of health signed a memorandum of cooperation on public health, medical sciences and research

JEDDAH: The Saudi ministers of energy, investment, communications and health have concluded 18 agreements with their US counterparts.

The agreements unlock new avenues for joint cooperation in investment, energy, information and communications technology, space and health.

They align with the Saudi Vision 2030 reform plan, which seeks investment opportunities in promising sectors.

Thirteen of the agreements, signed during US President Joe Biden’s visit to the Kingdom, were made with the Ministry of Investment, the Royal Commission for Jubail and Yanbu, and numerous private sector companies.

They include a group of leading American companies such as Boeing Aerospace, Raytheon Defense Industries, Medtronic and Digital Diagnostics, IKVIA in the healthcare sector, and many other US companies in the energy, tourism, education, manufacturing and textiles sectors.

The Saudi Space Authority signed the Artemis Accords with NASA, allowing for joint exploration of the Moon and Mars.

The Ministry of Communications and Information Technology signed a memorandum of cooperation with IBM to upskill 100,000 young women and men over five years within eight initiatives that can position the Kingdom as a hub for technology and innovation in the Middle East and North Africa.

The ministry also signed a memorandum of cooperation with the US National Communications and Information Administration, which includes cooperation between the two countries on 5G and 6G technologies.

The agreement targets accelerating the growth of the digital economy and enhancing the pace of research, development and innovation in the Kingdom’s digital ecosystem.

The Saudi and US energy ministries signed a partnership agreement on clean energy that includes defining areas and projects of cooperation in this sector, alongside cooperation on civil nuclear energy and uranium, while reinforcing the efforts of the two countries in promoting clean energy and climate action.

The ministries of health signed a memorandum of cooperation on public health, medical sciences and research.

The memorandum aims to support and bolster existing relations in public health among individuals, organizations and institutions.

It seeks to consolidate joint efforts in addressing public health issues and medical, scientific and research challenges, as well as the exchange of information, expertise and academics.

The memorandum also seeks to organize joint training for workers in the health and medical fields, while addressing the proper application of health information systems, research and development and health innovation.

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Emirates chief blasts London’s ‘old’ Heathrow Airport

Updated 4 sec ago
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Emirates chief blasts London’s ‘old’ Heathrow Airport

  • Sir Tim Clark: ‘It looks like a utilitarian structure, post-Second World War. It is just not good enough’
  • Civil Aviation Authority: Heathrow should reduce passenger fees by around 6% next year

LONDON: The UK’s largest airport has been compared to a “post-Second World War” structure by the chief of Emirates.

Sir Tim Clark accused London’s Heathrow Airport of prioritizing shareholder dividends over customer experiences. “I was at Heathrow the other day and walking out of our lounge the ceiling height is awful,” he told The Times. “It looks like a utilitarian structure, post-Second World War. It is just not good enough.”

Sir Tim said Terminal 3, which houses the UAE flag-carrier, should be redesigned to ease the flow of people through security and check-in. “It’s an old airport. I’m afraid it’s very difficult,” he added. “You need to open up the whole terminal. Where we are based, new airports are being built employing the latest technologies to streamline the process of all the customer-facing elements. That is not the case at Heathrow.”

The intervention comes after the UK’s Civil Aviation Authority ruled in March that Heathrow needed to cut take-off and landing charges levied on airlines by around 6 percent, to £23.72 ($30.31) per passenger in 2025, and to £23.70 in 2026.

Sir Tim had previously complained that Heathrow was “seriously lagging behind” in terms of customer experience given the high prices being placed on passengers, but the airport said the money was necessary in order to maintain and improve its facilities.

Heathrow said in a statement: “Every pound we want to spend on improving airport facilities needs approval from our regulator. Despite having our proposals cut back in the current regulatory settlement, we will still invest £3.6 billion upgrading our infrastructure over the next three years. We will continue to invest and to work with our airline partners to build an airport fit for the future.”


Saudi Arabia, Brazil forge partnerships to boost public and private sector investment 

Updated 31 min 12 sec ago
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Saudi Arabia, Brazil forge partnerships to boost public and private sector investment 

RIYADH: Saudi Arabia and Brazil have signed multiple agreements to boost public and private sector investment, focusing on defense industries, research and development, and technology transfer and localization. 

This came as a bilateral meeting was held between Saudi Arabia’s Minister of Investment, Khalid Al-Falih, and Brazil’s Vice President and Minister of Development, Industry, Trade, and Services, Geraldo Alckmin, to strengthen trade ties. 

The Saudi minister also held an expanded meeting with government representatives from both countries to discuss opportunities and ways to develop economic and investment relations. 

During a roundtable meeting for the Saudi-Brazilian private sector, top officials witnessed the signing of three memorandums of understanding aimed at developing investments through partnerships between the public and private sectors, stated Al-Falih in a statement on X. 

The industry minister’s roundtable followed a deal signed during a meeting between Saudi Defense Minister Prince Khalid bin Salman and Alckmin. 

The gathering, attended by senior Saudi and Brazilian military and civil officials, focused on bilateral relations and strengthening cooperation in defense industries, R&D, and technology transfer and localization, aligning with Saudi Vision 2030.  

The pair also reviewed regional and international developments, as reported by the Saudi Press Agency.


Arab economies set for 3.3% growth in 2024 amid declining inflation: AMF report

Updated 04 June 2024
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Arab economies set for 3.3% growth in 2024 amid declining inflation: AMF report

RIYADH: Arab economies are projected to grow by 3.3 percent in 2024, up from 2.2 percent in the previous year, according to a new analysis. by the Arab Monetary Fund. 

In its latest report, the Arab Monetary Fund noted that the inflation rate in its 22 member states is expected to decline to 3.3 percent this year, compared to 9.3 percent in 2023. 

The report highlighted that Arab economies were significantly affected by regional and international developments in 2023, including tighter monetary policies to contain inflation and fluctuating commodity prices. 

Fahad Al-Turki, director general and chairman of AMF, said: “By the end of the year (2023), the war in Gaza and security developments in the Red Sea affected several Arab countries. It has also added a dimension of uncertainty about the prospects for the economies of the region and the world.”   

He added: “The vulnerability of Arab countries to these developments varied according to their financial situation and the extent of their direct exposure to the developments, as well as the reforms undertaken by Arab countries to diversify their economies and enhance their resilience to shocks.”  

According to the AMF, international economic growth will remain unchanged at 3.3 percent in 2024. 

Globally, the inflation rate is expected to slow to 5.8 percent this year, down from 6.8 percent in 2023, driven by easing supply chain disruptions and continued tight monetary policies. 

Al-Turki emphasized that the AMF will continue to support Arab member countries by providing concessional financing for economic reform programs. The fund will also assist in developing human capital through training and technical support programs. 

Earlier this month, the World Bank projected that economic growth in the Gulf Cooperation Council region will expand by 2.8 percent in 2024 and 4.7 percent in 2025. 

With oil production quotas expected to be gradually lifted during the second half of 2024, it said oil GDP in the GCC is projected to grow by 1.7 percent this year before ramping up aggressively in 2025 to reach 6.9 percent. 

The international financial institution also noted that Saudi Arabia’s real gross domestic product is expected to grow by 2.5 percent in 2024, driven primarily by robust non-oil private activities, which are predicted to grow by 4.8 percent. 


Saudi Arabia supplies almost 40% of Japanese oil imports in April

Updated 04 June 2024
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Saudi Arabia supplies almost 40% of Japanese oil imports in April

  • The UAE emerged as the largest supplier, providing 35.79 million barrels

TOKYO: Japan’s imports of Saudi oil in April accounted for a substantial 31.10 million barrels, representing a significant 39.5 percent of total imports, as reported by the Agency of Natural Resources and Energy, a key division of the Japanese Ministry of Economy, Trade and Industry.

During April, Japan imported about 78.84 million barrels of oil, of which the Arab share was 95.6 percent, or about 75.35 million barrels. The significant contribution from five Arab countries — the UAE, Saudi Arabia, Kuwait, Qatar and Oman — as well as the Neutral Zone, underscores the strategic importance of these nations in Japan’s energy security.

The UAE emerged as the largest supplier, providing 35.79 million barrels, which accounted for 45.4 percent of total imports. Kuwait and Qatar contributed 4.71 million barrels (6 percent) and 2.77 million barrels (3.5 percent), respectively. Even smaller contributors like Oman and the Neutral Zone played a role, each providing 0.6 percent of Japan’s total imports.

As Japan continued to ban importing oil from Iran and Russia in April, the rest of its oil imports, 4.4 percent, were sourced from the US (1.6 percent), Central and South America (1.6 percent), Oceania (0.8 percent) and Southeast Asia (0.4 percent).

This article originally appeared on Arab News Japan


PIF-owned Riyadh Air, Singapore Airlines form commercial partnership to explore interline connectivity

Updated 04 June 2024
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PIF-owned Riyadh Air, Singapore Airlines form commercial partnership to explore interline connectivity

RIYADH: Saudi Arabia’s newest airline Riyadh Air and Singapore Airlines have signed a memorandum of understanding to establish a new partnership between the carriers.   

The agreement was inked by Riyadh Air CEO Tony Douglas and Singapore Airlines CEO Goh Choon Phong on the sidelines of the 80th International Air Transport Association Annual General Meeting and World Air Transport Summit in Dubai, according to a press release.  

Under the MoU, the Public Investment Fund-owned carrier will work with Singapore Airlines to explore opportunities for interline connectivity on each other’s services.  

“Our strategic partnership with Singapore Airlines unlocks significant benefits for our future guests as it grows our network in partnership with the world’s best airline,” said Douglas. 

Two parties will also be working on other potential areas of commercial cooperation. This will include codeshare arrangements, reciprocal benefits for their frequent flyer program members, and cargo services, as well as customer experience, and digital innovation. 

Riyadh Air, scheduled to launch commercial operations in 2025, will see its passengers gain access to Singapore Airlines’ network spanning Southeast Asia and the South Pacific, opening up a wealth of new travel destinations for its customer base.  

He added: “We see huge potential for strong connectivity in South East Asia and both Australia and New Zealand through the award-winning hub at Singapore Changi Airport while also providing opportunities for westbound passengers to connect across the Kingdom of Saudi Arabia and the Middle East region on Riyadh Air.” 

The CEO emphasized that this relationship is significant, highlighting a wide-ranging codeshare agreement that is expected to cover various areas such as digital and technology, loyalty, and cargo. 

Conversely, Singapore Airlines’ customers will have more options for travel to the Middle East through Riyadh Air’s network, stimulating passenger traffic between the Kingdom and Singapore. 

Goh Choon Phong, CEO of Singapore Airlines, stated: “This win-win strategic partnership with Riyadh Air will enable us to offer even more options, enhanced connectivity, and greater benefits to our customers.”  

He added: “Together, we can facilitate the growth of passenger travel between Saudi Arabia and Singapore, and beyond, via our respective networks, supporting both tourism and business links.” 

Phong noted that the MoU will enhance customer experience and cargo services and harness digital tools and solutions, potentially bringing greater benefits to both airlines in the future. 

Saudi Arabia’s new carrier is set to unveil its special cabin crew uniform at the upcoming Paris Fashion Week. CEO Douglas shared this news in an interview with Arab News on the sidelines of the Future Aviation Forum, which occurred earlier in May. 

With Riyadh Air scheduled to launch in the summer of next year, Douglas highlighted the airline’s upcoming milestone in Paris from June 18-23.