Riyadh Summit has a key role to play in recovery

The envoy said the summit’s agendas are in line with the opportunities and challenges faced by all countries. (Shutterstock)
Short Url
Updated 13 November 2020
Follow

Riyadh Summit has a key role to play in recovery

  • Beijing envoy praises KSA for its work on global pandemic revival

RIYADH: China’s ambassador to Saudi Arabia, Chen Weiqing, has highlighted the importance of Saudi Arabia hosting the G20 for the first time, saying: “Arab states are an important part of the international community, and the Kingdom has great international and regional influence as the only Arab member of the G20.”

Weiqing said China appreciates the important role the Kingdom plays in international affairs and global governance as the G20 presidency, as well as the job it has done coordinating the international fight against COVID-19 and stabilizing the global economy. 

“We are willing to enhance cooperation between China and the Kingdom and work with the Arab states to step up dialogue, strengthen strategic synergy, carry out trilateral and multilateral cooperation to build the China-Arab community with a shared future and achieve common development,” Weiqing told Arab News.

He said that in a time of globalization, countries are unified and share a common destiny, while traditional and non-traditional security issues are constantly bringing new challenges.

“The COVID-19 pandemic has brought unprecedented challenges to the world, making us realize that global governance, especially the problems and weaknesses in public health, requires concerted efforts of the international community.”

Weiqing stressed the importance of the economy as a platform for global crisis response and economic governance.

“G20 members bring together major developed economies and emerging market economies, accounting approximately for two-thirds of the world’s population, 86 percent of global gross domestic product and 80 percent of global trade. As for public governance, the G20 should reflect global coordination capacity.

“Under the current circumstances, the G20 Riyadh Summit, which is of special significance, shoulders the important mission of leading the world out of the haze of the pandemic at an early date and achieving inclusive, balanced, and sustainable development for economy and society.”

Weiqing highlighted the Kingdom’s efforts in leading the G20 this year, especially through the global pandemic.

“Since the beginning of this year, the G20 has held more than 100 ministerial meetings and working group meetings, conducted in-depth discussions among member countries on issues such as protecting life and health and restoring economic growth, and taken unprecedented actions promptly.

“We appreciate the Kingdom’s highly responsible attitude as well as its professional and efficient organization and coordination work as the G20 presidency,” he added. 

Weiqing expects that the G20 Riyadh Summit will reach a series of outcomes that will combine international efforts to fight COVID-19 with promoting world economic recovery.

He said that the summit “will send a signal of solidarity and cooperation to the world, reiterate our solemn commitment to upholding multilateralism and economic globalization, advocate our spirit of extensive consultation, joint contribution, and shared benefits, work together to advance global governance in the post-pandemic era and jointly build a community with a shared future for mankind, achieve common development and prosperity and realize opportunities of the 21st century of all.”




China’s ambassador to Saudi Arabia, Chen Weiqing

The envoy said the summit’s agendas are in line with the current trend of world development and the opportunities and challenges faced by all countries. “They also provide a clear path for strengthening democracy in international relations and global governance.”

Empowering people, safeguarding the planet and shaping new frontiers that are part of the agenda are very important, he added. 

“Women and youth are important parts of a country’s economy and society, and Saudi Arabia is a country in which youth make up a dominant proportion of the population. The Custodian of Two Holy Mosques, King Salman, said: ‘Women are half of society.’ His words agree with the Beijing Declaration of the Fourth World Conference on Women 25 years ago.”

On the topic of safeguarding the planet, Weiqing said that all countries are increasingly becoming a community with a shared future. “We hope to work with all parties to build an open, inclusive, clean and beautiful world that enjoys lasting peace, universal security and common prosperity.”

The envoy said that the Kingdom has shaped new frontiers by hosting the Future Investment Initiative Conference and the Global AI Summit. “Saudi Arabia is committed to achieving sustainable development through innovation and diversification, reflecting the strategic and forward-looking nature of the Saudi Vision 2030.

“China and the Kingdom have broad and in-depth consensus on the main topics of this summit. The three agendas above point out the direction of realizing sustainable economic and social development, and provide solutions to the common difficulties faced by human society,” he added. 

While the global economy is beginning to recover, it is recovering unevenly, Weiqing said. 

He warned that the world is witnessing rising unilateralism, protectionism, huge uncertainty and increasing downside risks. To face these challenges G20 members should work together to lead the recovery of the global economy.

“First, we should deepen our cooperation to keep global industrial and supply chains stable and unimpeded. We should also support developing countries and the least developed countries to build a global community of health for all.

FASTFACT

6.11%

China’s GDP growth rate for 2019 was 6.11%, a 0.64% decline from 2018.

“Second, we should stand firm to safeguard multilateral trading system, support multilateralism and oppose protectionism and unilateralism, thus upholding WTO’s core values and basic principles.

“Third, we should implement the consensus of all parties to promote trade and investment liberalization and facilitation, injecting new drive to global economic growth,” he said. 

Weiqing said that the pandemic has hit the labor market, especially for young people, women and the disabled. At the same time, new industries and business forms supported by the digital economy, AI and telecommuting are growing rapidly, creating new industries and jobs.

“We call on all parties to increase dialogue and consultation to safeguard stable global industrial and supply chains, and make joint efforts to create new business forms and jobs, in a bid to stabilize the global labor market.”

Weiqing said that China and Saudi Arabia are good partners in building a new type of international relations, an open world economy, and a peaceful development environment among regions. “We two countries have maintained long-term sound coordination and cooperation on major regional and international affairs,” he said.

“The two countries work together in the fight against COVID-19, which has strengthened bilateral relations under a common bond. Bilateral cooperation has not been stopped due to the pandemic but expanded in new areas such as health care and geological survey, based on cooperation in traditional areas such as energy.” 

Weiqing said China appreciates the G20’s important role in and contribution to building international consensus, solidarity against COVID-19 and promoting world economic recovery under the coordination of the G20 Saudi presidency.

“We look forward to working with G20 members to play a leading role in global governance, uphold economic globalization and the international multilateral system, support international organizations, such as the UN and the World Health Organization (WHO), to play a major role, improve policy tools, strengthen the surveillance of pandemic and economic risks, and enhance our capacity to respond to crises.”

Weiqing said that this year’s summit is a historical event that “demonstrates an image of a confident, inclusive, open and prosperous Kingdom to the international community.”

He added: “We believe that under the leadership of King Salman and Crown Prince Mohammed bin Salman the Kingdom will continue to make progress as the outcomes of the summit are implemented and Saudi Vision 2030 is promoted.” 


Saudia unveils beta version of new Travel Companion platform

Updated 24 April 2024
Follow

Saudia unveils beta version of new Travel Companion platform

RIYADH: The Kingdom’s flagship airline Saudia has launched a beta version of its digital platform, the Travel Companion, powered by advanced artificial intelligence, aiming to transform the industry.

The new initiative, unveiled during a special event, is part of a two-year plan developed in partnership with global professional services firm Accenture.

“This platform, resulting from our ongoing collaboration with Accenture, signifies our forward-looking approach to providing guests with unparalleled convenience and flexibility,” the Director General of Saudia Group, Ibrahim Al-Omar, said. 

The main objective of this launch is to transform how travelers engage with the airline and establish new benchmarks for digital travel.

TC, initially named, offers personalized and tailored solutions to meet individual preferences and needs, providing search results from trusted and authenticated sources and incorporating visual aids in its responses.

The interface is designed as a comprehensive, one-stop solution that enables users to book concierge services, including hotels, transportation, and restaurants, as well as activities and attractions, without the need to switch between multiple platforms.

“This is a beta version. This is not the product. We will keep enhancing and developing it,” Al-Omar stressed.

Moreover, it establishes seamless connections with transportation platforms and various train companies, ensuring a smooth and uninterrupted journey.

Commenting on the new announcement, Chief Data and Technology Officer at Saudia, Abdulgader Attiah, told Arab News: “It’s like having the VVVIP concierge service at your hand. For public, it’s not any anymore VIP service. It’s not a paid service. You have it for free, and it will give you all what all kind of services that VVIP service would provide to you, so it’s your private concierge.”

He added: “We will be the anchor for the travel industry. We are not anymore, an operator for an airline, but with this app, you will be an anchor for all tourism ecosystem in a single app, so everyone can collaborate in this app, and having the links, so you don’t need to communicate with any other party, so through this app, you can communicate to all travel ecosystem.”

In future phases, Saudia plans to add more features, including voice command and digital payment solutions.

“Once we add the complete solution we will add the more services, which is we call it the concierge services; booking for hotels and transportation and the restaurants, all of these ones is done during the, next two years, and this is the complete life cycle of the, vision we have today,” Attiah told Arab News.

He added: “If you want to develop this app, five years back, it would take three, four years. Today, we have developed only in seven, eight months. To that from the inspirational part to having an actual booking, we started back in June and now we are live.”

Attiah also underlined that Saudia is the first airline in the world to implement a GenAI-based chatbot that can perform end-to-end actions, meaning it can not only engage in conversation but also execute tasks or actions based on user requests.

With an always-on Travel Companion available through a telecom e-SIM card provided by Saudia, users can stay connected globally without relying on additional internet providers.

Furthermore, users can purchase data packages for extended use, guaranteeing continuous access to the platform’s services.


Saudi economy witnessing a fundamental shift, says minister

Updated 24 April 2024
Follow

Saudi economy witnessing a fundamental shift, says minister

RIYADH: Since the launch of Vision 2030, Saudi Arabia has witnessed a fundamental shift in its economy and the business environment is transforming with the creation of new sectors, said the Kingdom’s economy minister.

Faisal Al-Ibrahim was speaking at a conference in Riyadh on Wednesday during which he highlighted the fast-evolving business landscape of the Kingdom focused on diversifying its income sources away from oil.

Speaking at the event titled “Industrial policies to promote economic diversification,” the top official said there have been fundamental changes in the legislative and economic regulations to promote sustainable development since the launching of the Vision 2030 plan.

He said the Kingdom’s efforts to diversify its economy have led to the creation of new sectors due to the initiation of several megaprojects such as NEOM, the Red Sea, and others. 

 “We stand at a crossroads to change the global economy,” Al-Ibrahim said.

He stressed the need for strategies to ensure a flexible and sustainable economy.

“The presence of foreign investments will develop competitiveness in the long term,” the minister affirmed.

The minister also highlighted how the Kingdom was working in the medium term to focus on transforming sectors that represent a technological shift.

Saudi Arabia is keen on achieving development in the medium term by balancing short-term profits and promoting long-term success, Al-Ibrahim highlighted.

Since the launch of the vision, the Ministry of Economy and Planning has conducted several economic studies aimed at diversifying the economy by developing objectives for all sectors, raising complexity levels, and studying emerging economies to enhance the Kingdom’s capabilities.  

 


Saudi Arabia closes April sukuk issuance at $1.97bn

Updated 24 April 2024
Follow

Saudi Arabia closes April sukuk issuance at $1.97bn

RIYADH: Saudi Arabia has completed its riyal-denominated sukuk issuance for April at SR7.39 billion ($1.97 billion), representing a rise of 66.44 percent compared to the previous month. 

The National Debt Management Center revealed that the Shariah-compliant debt product was divided into three tranches. 

The first tranche, valued at SR2.35 billion, is set to mature in 2029, while the second one amounting to SR1.64 billion is due in 2031. 

The third tranche totaled SR3.51 billion and will mature in 2036. 

“The Kingdom also plans to expand funding activities during the year 2024, reaching up to a total of SR138 billion from what has been stated previously in the Annual Borrowing Plan, with a portion of this amount already covered up to date,” said NDMC in a press statement. 

It added: “This step comes with the aim of capitalizing on market opportunities to achieve proactive financing for the coming year and utilizing it to bolster the state’s general reserves or seize additional opportunities to enhance transformative spending during this year, thereby accelerating strategic projects and programs of Saudi Vision 2030.” 

In March, NDMC concluded its second government sukuk savings round for March, with a total volume of requests reaching SR959 million, allocated to 37,000 applicants. 

The center added that the financial product, also known as Sah, offers a return of 5.64 percent, with a maturity date in March 2025. 

Earlier this month, Fitch Ratings, in a report, said that global sukuk issuance is expected to continue growing in the coming months of this year, driven by funding and refinancing demands. 

The credit rating agency noted that various other factors like economic diversification efforts by countries in the Gulf Cooperation Council region and development of the debt capital market will also propel the growth of the market in the future. 

In January, another report released by S&P Global revealed that sukuk issuance worldwide is expected to total between $160 billion and $170 billion in 2024, driven by higher financing needs in Islamic nations.

The report noted that higher financing needs in some core Islamic finance countries and easing liquidity conditions across the world are two crucial factors which will drive the growth of the market this year. 


Closing Bell: TASI edges down to close at 12,355 points 

Updated 24 April 2024
Follow

Closing Bell: TASI edges down to close at 12,355 points 

RIYADH: Saudi Arabia’s Tadawul All Share Index dipped on Wednesday, losing 128.72 points, or 1.03 percent, to close at 12,355.69.    

The total trading turnover of the benchmark index was SR8.45 billion ($2.25 billion) as 41 of the listed stocks advanced, while 187 retreated.   

Similarly, the MSCI Tadawul Index decreased by 14.78 points, or 0.95 percent, to close at 1,548.62. 

Also, the Kingdom’s parallel market Nomu dipped, losing 365.84 points, or 1.37 percent, to close at 26,326.12. This comes as 17 of the listed stocks advanced, while 45 retreated. 

The best-performing stock of the day was Al-Rajhi Co. for Cooperative Insurance as its share price surged by 9.87 percent to SR138.

Other top performers include Al Sagr Cooperative Insurance Co. and First Milling Co., whose share prices soared by 6.38 percent and 5.63 percent, to stand at SR35.85 and SR78.80, respectively. 

In addition to this, other top performers included Batic Investments and Logistics Co. and Saudi Research and Media Group. 

The worst performer was Al-Baha Investment and Development Co., whose share price dropped by 7.14 percent to SR0.13. 

Other weak performers were National Co. for Learning and Education as well as Arriyadh Development Co., whose share prices dropped by 5.95 percent and 5.91 percent to stand at SR148.60 and SR22.60, respectively. 

Moreover, other subdued performers also include Red Sea International Co. and AYYAN Investment Co. 

On the Kingdom’s parallel market Nomu, the best-performing stock of the day was Osool and Bakheet Investment Co., as its share price surged by 12.05 percent to SR40.90. 

Other top performers on Nomu include Arabian Plastic Industrial Co. and Lana Medical Co., with their share prices soaring by 7.42 percent and 3.59 percent, respectively, reaching SR37.65 and SR41.85. 

The worst performer was Jahez International Co. for Information System Technology, whose share price dropped by 5.88 percent to SR32.

Other weak performers were Alhasoob Co. as well as Aqaseem Factory for Chemicals and Plastics Co., whose share prices dropped by 3.61 percent and 3.38 percent to stand at SR64.10 and SR62.80, respectively. 

On the announcements front, HSBC Saudi Arabia, serving as sole financial advisor, joint bookrunner, underwriter, and lead manager, has announced the intention of Dr. Soliman Abdel Kader Fakeeh Hospital Co., known as Fakeeh Care Group, to proceed with its initial public offering on the main market of Saudi Exchange. 

According to a statement, the offering will include 49.8 million ordinary shares, with 19.8 million existing shares and 30 million new shares upon completion.  

This offering is set to represent 21.47 percent of the company's share capital post-capital increase.  

Saudi Exchange and the Capital Market Authority approved the listing and IPO, respectively, with the pricing of shares to be determined after the book-building period. 


Ministry tenders contract for expansion of Prince Faisal bin Fahd Stadium

Updated 24 April 2024
Follow

Ministry tenders contract for expansion of Prince Faisal bin Fahd Stadium

RIYADH: Saudi Arabia’s Sports Ministry has tendered a contract to boost the capacity of Riyadh’s Prince Faisal bin Fahd Stadium to 45,000 seats up from its current 22,188.

The expansion project comes as the Kingdom prepares to host the Asian Football Confederation Asian Cup in 2027, reported MEED. 

This initiative aligns with Saudi Arabia’s plan to build sports stadiums under its SR10.1 billion ($2.7 billion) capital projects program. 

The ministry requested proposals on April 8 and expects to receive bids on June 14.

In April, the ministry also tendered an early works contract for the expansion and development of the Prince Mohammed bin Fahd Stadium in Dammam.

At the time, the scope of the contract included the stadium’s decommissioning, demolition, and bulk excavation, as well as the relocation and setting up of related facilities.  

In July 2023, the ministry invited firms to submit pre-qualification documents for the main construction contracts for the schemes in the capital projects program. 

The undertakings, which are set for completion before the 2027 AFC Asian Cup, entail increasing the capacity of King Fahd Stadium in Riyadh to 92,000 seats and boosting the seating capacity of Prince Mohammed Bin Fahd Stadium to 30,000 seats. 

It also includes increasing the seating capacity of the Prince Saud bin Jalawi Stadium in Al-Kahir to 45,000 and building a sustainable New Riyadh Stadium north of the city with 45,000 seats.

Another main element of the ministry’s projects program is the construction of as many as 30 new training grounds and facilities in proximity to the stadiums that will be used for the 2027 competition. 

Construction on the projects is expected to start in July 2024 and scheduled to be completed by December 2025.

A total of 18 facilities will be ready in time for the 2026 AFC Women’s Cup.