Johnson & Johnson develops digital solutions to reduce time spent in hospitals

The US-based company employs around 180 people in Saudi Arabia, nearly half of them Saudis, with a target to increase its Saudization rates by 20 percent in the next couple of years. (Shutterstock)
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Updated 27 November 2022
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Johnson & Johnson develops digital solutions to reduce time spent in hospitals

RIYADH: Johnson & Johnson, the global medical technology provider, is providing digital solutions that will shorten the time spent by patients in hospitals.

According to Marzena Kulis, managing director of Johnson & Johnson MedTech Middle East, the move is crucial in countries with lower bed capacity.

“The digital solutions that we currently offer help to shorten the time of patients’ stay, so the capacity can absorb more patients, especially in the geographies where capacity is limited,” Kulis said in an exclusive interview with Arab News.

“Our digital procedure software empowers, for example, surgical teams to design, apply and analyze surgical workflows. It provides valuable data analytics to reduce variability in surgery time, improve procedural efficiency and enhance education approaches,” she said.

Johnson & Johnson MedTech provides a broad range of medical technology devices used in interventional solutions, orthopedics and surgery. Their offerings include products to treat cardiovascular diseases, hemorrhagic and ischemic stroke, and a combination of products supporting hips, knees, trauma, spine and others.

“We want to strengthen this industry by tapping the full potential of technology to save and sustain and improve lives of patients through a wide array of potential technologies that can be applied in the healthcare sector,” she said. 

The company’s surgery portfolios include advanced and general surgery offerings. These devices are used predominantly in the professional fields by physicians, nurses, hospitals, eyecare professionals and clinics, according to a statement issued by the company.

“We apply the expertise in medical devices and advanced technology to ensure that our healthcare solutions are smarter, less invasive, and more personalized,” Kulis added.

The healthtech provider participated in the 33rd Annual Conference of the Saudi Heart Association, one of the largest cardiac meetings in the Middle East that were held in Riyadh from Oct. 13-15.

Heart of the matter

The company unveiled its “Get Smart About AFib” global campaign at the conference with cardiac scientists, caregivers, and several cardiac working groups to improve care and treatment for patients suffering from atrial fibrillation, or AFib.

AFib is the most common type of cardiac arrhythmia, and nearly one in four adults currently over the age of 40 across the globe is at risk of developing it. According to statistics from Saudi Health Ministry, cardiovascular diseases account for 37 percent of all deaths in the Kingdom.

The campaign aims to raise awareness of the disease to help reduce risks.

The health campaign will specifically focus on supporting education and detection of the life-threatening AFib condition that impacts nearly 40 million people globally.

Johnson & Johnson MedTech has been operating in the region for a couple of decades, establishing a headquarters in Riyadh back in 2017, along with two other offices in Jeddah and Dammam.

The US-based company employs around 180 people in Saudi Arabia, nearly half of them Saudis, with a target to increase its Saudization rates by 20 percent in the next couple of years.

“We are getting close to 50 percent in our medtech business, and we aim to grow by 10-20 percent in the next year or two,” said Kulis.

Kulis believes that the Saudi market is steadily growing and becoming one of the largest emerging markets for Johnson & Johnson. 

The digital solutions that we currently offer help to shorten the time of patients’ stay, so the capacity can absorb more patients, especially in the geographies where capacity is limited.

Marzena Kulis, Johnson & Johnson MedTech Middle East managing director

Saudi Arabia is planning to build medical facilities worth $13.8 billion by 2030, according to Faisal Durrani, Knight Frank’s partner and head of research in the Middle East.

“Vision 2030 has sharpened the focus on the public realm, liveability and habitability of Saudi cities. Wellness and well-being sit at its heart, with $13.8 billion worth of medical facilities expected to be built by the end of the decade,” Durrani told Arab News.

Digital health

The expenditure is part of a more comprehensive plan to invest $66.67 billion in the Kingdom’s healthcare infrastructure and boost private sector participation to 65 percent by 2030, targeting the privatization of 290 hospitals and 2,300 primary health centers.

“We look into the development of healthcare in the countries we operate in, and the healthcare market in Saudi Arabia is steadily growing, and we’ve seen and observed that for decades, and the forecast is to continue growing for the next decades as well,” Kulis said.

The Kingdom is expected to be the fastest-growing digital health market in the Gulf Cooperation Council, with the government allocating $1.5 billion for healthcare information technology and digital transformation programs.

Saudi Health Minister Fahad Al-Jalajel said during the opening of the digital event of the Healthcare Information Management Systems Society last year that digital technologies were one of the essential tools for dealing with the pandemic.

It helped develop the first interactive map of COVID-19 data, providing accurate statistics and employing AI to analyze data and make national strategic decisions.

The Kingdom is allocating about 14.4 percent of its 2022 budget to healthcare and social development, which amounts to $36.8 billion, the third largest expense after education and military, according to Dubai-based Omnia Health, a global medical directory.

With life expectancy in Saudi Arabia projected to increase from 76.4 to 81.8 years by 2050 and the Kingdom’s population expected to grow to 39.4 million by 2030, increased investment in the healthcare infrastructure and innovation is necessary to drive strong growth in the Kingdom’s healthcare sector, the medical directory reported.


Pakistan to enhance production of indigenous petroleum products— minister

Updated 22 May 2024
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Pakistan to enhance production of indigenous petroleum products— minister

  • Cash-starved Pakistan spends over $20 billion each year on petroleum imports to meet energy demand
  • Pakistan welcomes foreign companies to invest in its oil and gas sector, says Petroleum Minister Musadik Malik

KARACHI: Pakistan wants to enhance the production of its indigenous petroleum products, Petroleum Minister Musadik Malik said on Wednesday, citing the financial burden that expensive crude oil imports have on the country’s fragile economy. 

Cash-strapped Pakistan relies heavily on imported petroleum products as its energy demands grow. Struggling with a balance of payments crisis, high inflation and steep currency devaluation, Pakistan is looking to secure cheaper energy imports and find alternate ways to lessen the cost of power generation. 

According to the Trade Development Authority of Pakistan (TDAP), the country’s indigenous oil production meets only about one-fifth of Pakistan’s current oil needs. The rest is met through high-cost imports.

Prime Minister Shehbaz Sharif has urged the government to turn toward renewable energy resources. Last month, he said the country currently imports oil worth $27 billion to meet its power and transportation needs, which puts a strain on the cash-strapped nation. 

Speaking at the Pakistan Energy Symposium, Malik said it would be difficult to manage the country with such a huge energy import bill when Pakistan’s exports were around $30 billion. 

“We want to first of all, produce as much of the petroleum products, including gas and crude, indigenously as much as possible,” the minister said, adding that the government has put blocks for bidding and is actively trying to attract global players in exploration activities.

Malik said the government is expediting oil and gas exploration within the country, adding that it welcomes foreign companies to invest in the sector.

“So, we are telling the world that Pakistan is open for business, our regulatory process, particularly the petroleum concession process is very dense and opaque,” he said. 

He said investment processes and information about oil and gas exploration have been digitized and simplified to facilitate the government’s aims to enhance indigenous production of energy resources. 

Malik advocated for increasing the utilization of Pakistan’s abundant renewable energy resources, pointing out that the country’s solar energy costs have significantly decreased. 
 


Closing Bell: Saudi benchmark index edges up to close at 12,157

Updated 22 May 2024
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Closing Bell: Saudi benchmark index edges up to close at 12,157

RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Wednesday, gaining 34.55 points, or 0.28 percent, to close at 12,157.03. 

The total trading turnover of the benchmark index was SR5.3 billion ($1.413 billion), as 54 stocks advanced while 136 retreated.    

Similarly, the MSCI Tadawul Index increased slightly by 3.54 points, or 0.23 percent, to close at 1,523.94. 

However, the Kingdom’s parallel market Nomu dipped by 88.34 points, or 0.33 percent, to close at 26,845. This comes as 25 stocks advanced while as many as 35 retreated.  

The best-performing stock was Naseej International Trading Co., whose share price surged 9.81 percent to SR81.70. 

Other top performers included Gulf General Cooperative Insurance Co. and Makkah Construction and Development Co., whose share prices soared by 6.68 percent and 6.01 percent, to stand at SR15.02 and SR97 respectively. 

Saudi Cable Co. and Saudi Ground Services Co. also performed well.

The worst performer was Amlak International Finance Co., whose share price dropped by 5.03 percent to SR11.34. 

Batic Investments and Logistics Co. as well as Al-Jouf Agricultural Development Co., share prices dropped by 4.94 percent and 4.37 percent to stand at SR3.27 and SR63.50, respectively. 

On the announcements front, Saudi IT company Rasan has set the final offering price for its upcoming initial public offering on the Kingdom’s stock market at the upper limit of SR37 per share. 

This follows the successful completion of the book-building process for institutional investors, which saw the offering oversubscribed approximately 129.1 times the total offer shares. 

Institutions subscribed to the entire offering, with 22.74 million ordinary shares allocated to them, representing 100 percent of the total holdings offered in the first phase. 

This information comes from a statement issued by Saudi Fransi Capital, the IPO manager, as well as the financial advisors and book-runners for the institutional tranche, Saudi Fransi Capital and Morgan Stanley Saudi Arabia. 

The statement on Tadawul added that following the successful completion of the book-building process, up to 2.274 million ordinary shares, representing 10 percent of the total holdings offered, will be allocated to individual investors in the second phase.


Saudi aviation sector surges with over $20bn in deals at Riyadh forum

Updated 22 May 2024
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Saudi aviation sector surges with over $20bn in deals at Riyadh forum

RIYADH: Saudi Arabia’s aviation sector received a major boost with over 100 agreements, exceeding SR75 billion ($20 billion), signed during the first two days of the Future Aviation Forum. 

The Riyadh event saw the signing of 102 memorandums of understanding and deals, ranging from aviation services to aircraft procurement, cargo and logistics services, and advanced air mobility.  

Abdulaziz Al-Duailej, president of the General Authority of Civil Aviation, said that the outcomes of the forum have exceeded all expectations. 

“Over the first and second days, agreements, deals, and partnerships were established that will work toward enhancing global aviation connectivity. This underscores the international confidence in the Saudi civil aviation system and its capability to take on a leading role in this pivotal sector,” said Al-Duailej. 

The most significant agreement was signed between the Saudia Group and Airbus for an order to buy an additional 105 A320neo family planes, marking the largest aircraft deal with the European firm in the Kingdom’s history. 

The $19 billion deal, which includes A320neo and A321neo models, will see the aircraft distributed between Saudia and flyadeal, the group’s low-cost carrier. 

Meanwhile, Saudi oil giant Aramco signed a deal with Bombardier for the purchase of two new super mid-sized Challenger 3500 business jet aircraft, with delivery scheduled for 2025 and 2026. 

Additionally, BAE Systems inked a deal with the Saudi Academy of Civil Aviation to exchange experience in aviation science training. 

Other agreements included a five-year contract signed between Saudia Cargo and Saudia Technic to lease up to 8,474 sq. m. within the Saudia Technic premises located in King Abdulaziz International Airport, MRO Village. 

The deals also involved NEOM agreeing with Saudia Technic to engage in future discussions and collaboration in the field of aircraft maintenance, repair, and overhaul of heavy-lift Uncrewed Air System, or UAS, and passenger electric vertical take-off and landing, known as eVTOL, aircraft. 

Matarat Holding Co. and the Local Content and Government Procurement Authority agreed to foster collaboration to enhance opportunities and potential for the development and advancement of local content. 

Additionally, Dammam Airport Co. signed a consulting service contract with Hill International to manage DACO projects. It also sealed a cooperation agreement with the Bahrain Airport Co. Furthermore, it inked a training MoU with the Gulf Aviation Academy. 

The agreements also included Saudi Arabia signing air service deals with Mozambique, Cambodia, Eswatini, and Brunei, as well as Romania, Malawi, and Belize. Additionally, the Kingdom signed similar deals with Kiribati, Grenada, Lithuania, and Sao Tome and Príncipe, as well as Salvador and Albania. 

The forum witnessed a strong turnout, with over 30 ministers, 77 leaders of civil aviation authorities, CEOs from airlines worldwide, and 7,000 industry experts and leaders from over 120 countries. 

During the forum, GACA unveiled the inaugural edition of the “State of Aviation” report, showcasing the sector’s contribution to the Kingdom’s economy, totaling $53 billion, and its role in generating 958,000 jobs across different regions. 

GACA also hosted the first exhibition aimed at facilitating investment in the Saudi aviation sector, with a focus on the advanced air mobility pavilion being among the exhibition’s prominent pavilions. 


Qatar issues green bonds worth $2.5bn

Updated 22 May 2024
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Qatar issues green bonds worth $2.5bn

RIYADH: Qatar has issued green bonds in two tranches totaling $2.5 billion, according to official data. 

Citing a release from the International Financing Review, Reuters reported that the operation is the Gulf state’s first external debt issuance in four years. 

According to the IFR report, Qatar sold five-year offerings worth $1 billion with a yield of 30 basis points above US treasury bonds, and ten-year debt securities worth $1.5 billion with a yield of 40 basis points.

This comes several months after global professional services network KPMG encouraged the Gulf country to issue green bonds and adopt sustainable financing mechanisms, saying that this step would help the country achieve its sustainability goals.  

The report also showed that Qatar reduced the initial indicative rate to 70 basis points over US treasury bonds for five-year debt securities and 80 basis points over US treasury bonds for 10-year offerings after receiving total orders exceeding $10.9 billion.

On another note, new data revealed that in the first quarter of 2024, Qatar recorded a merchandise trade balance surplus of 53.2 billion Qatari riyals ($14.6 billion), down from 68.4 billion riyals in the same quarter last year. 

Issued by the country’s National Statistics Center, the analysis also disclosed that the value of Qatar’s total exports, including foreign sales of domestic goods and re-exports, amounted to 87.6 billion riyals, reflecting an 8.6 percent drop compared to the corresponding period in 2023. 

On the other hand, during the same period, the value of Qatar’s imports stood at 34.4 billion riyals, reflecting a 25.4 percent surge in comparison to the first quarter of 2023. 

When asked about the issuance of external debt in January, Qatar’s Finance Minister Ali Al-Kuwari, said: “We’re ready to do it very soon.” 

Speaking to Bloomberg Television on the sidelines of the World Economic Forum in Davos at the time, the official highlighted that Qatar is “not hungry for money,” but it will pursue the issuance “mainly to send a strong statement” in combating climate change.  

One of the world’s biggest producers of liquefied natural gas, Qatar has not issued eurobonds since early 2020, when it sold $10 billion of debt.   

In 2022, the Gulf state’s central bank announced plans to implement strategic actions, including facilitating green bond issuance and advancing cooperation with the Qatar Development Bank, to promote diversification efforts. The aim is to fund projects to reduce carbon and other planet-warming emissions.


Saudi Arabia, China explore private sector investment opportunities during Beijing meeting

Updated 22 May 2024
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Saudi Arabia, China explore private sector investment opportunities during Beijing meeting

 RIYADH: Chinese participation in Saudi Arabia’s private-sector projects is set to increase as the Kingdom’s Finance Minister Mohammed Al-Jadaan held meetings with top officials in Beijing. 

Al-Jadaan, who is also the chairman of the National Center for Privatization & PPP, led a roundtable meeting with senior officials of Chinese companies in cooperation with the Industrial and Commercial Bank of China to discuss partnership opportunities. 

In his opening address, the finance minister emphasized the depth of the bilateral relationship between the two nations, highlighting the trust and ongoing collaboration across diverse sectors, the Saudi Press Agency reported. 

He revealed that the NCP has so far awarded over 60 privatization and partnership contracts in eight key sectors since its establishment, totaling a capital investment exceeding $10 billion.  

Al-Jadaan also highlighted the NCP’s proactive measures in fortifying the ecosystem, including the adoption of privatization laws and complementary statutory frameworks aimed at expediting the implementation of PPP projects. 

During the meeting, participants emphasized the potential for PPP - public private partnership – ventures within the infrastructure sector, outlining pathways for companies and investors to engage in these initiatives across diverse domains. Special focus was placed on construction, transportation, water management, and airport development. 

At the close of the meeting, the minister commended the ICBC’s role in bolstering the NCP’s efforts to showcase privatization and partnership opportunities to Chinese investors and firms. 

NCP plays a key role in facilitating the privatization program, a key priority outlined in the realization of the Saudi Vision 2030, according to its website. 

The center assists in drafting regulations, establishing frameworks, and preparing government assets and services for privatization. Additionally, it is developing the privatization pipeline, proposing sectors and government assets and services for potential improvement through private sector involvement.  

In 2023, the NCP unveiled its privatization and PPP pipeline, featuring 200 approved projects spanning 17 sectors. This initiative was in alignment with the objectives of Vision 2030, aiming to elevate the private sector’s contribution to the gross domestic product from 40 percent to 65 percent by 2030.  

As of the same year, the pipeline encompassed over $50 billion in investments, with an additional 300 projects under evaluation, signifying promising growth prospects.