Saudi Arabia launches initiative to boost transport sector

The initiative aims to enhance the authority’s services in the transport sector and offer incentives to potential investors in land, sea, and rail transport. (Shutterstock)
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Updated 02 May 2021
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Saudi Arabia launches initiative to boost transport sector

  • New program aims to strengthen public-private partnership

RIYADH: Saudi Arabia’s Transport General Authority on Saturday launched its “Distinguished Transport Partner” program to strengthen public-private partnerships in the sector.

The program will benefit transport companies with a fleet of at least 500 licensed vehicles of different sizes including trucks, buses, and taxis.

The initiative aims to enhance the authority’s services in the transport sector and offer incentives to potential investors in land, sea, and rail transport.

In an official statement, the authority said the program was launched to expand the Kingdom’s transport sector, which will help boost its contribution to the national non-oil economy.

The authority said it will make use of all its electronic channels such as the Naql platform and the existing business service centers in 15 cities of the Kingdom to facilitate potential investors and existing transporters.

The centers are working in Riyadh, Makkah, Madinah, Jeddah, Dammam and Al-Ahsa, Qassim, Tabuk, Hail, Arar, Al-Jouf, Al-Baha, Asir, Najran and Jizan.

The business centers allow clients to use multiple services through the digital package provided by the Naql gateway.

FASTFACTS

• The program will benefit transport companies with a fleet of at least 500 licensed vehicles of different sizes including trucks, buses, and taxis.

• The initiative offers incentives to potential investors in land, sea, and rail transport.

• The program aims to make Saudi Arabia a regional and international logistics hub.

Fahad Al-Baddah, the authority’s general supervisor of operations and digital transformation, said the authority is keen to strengthen its partnership with the private sector to achieve one of the Kingdom’s strategic goals of becoming a regional and international logistics hub. He said the authority is exploring ways to boost direct and indirect communication using different resources.

Al-Baddah said these efforts aim to boost the quality of services and sustainability of the Kingdom’s private transport sector. He said the newly launched initiative seeks to create an environment conducive to investment. It will encourage local and international investors to do business and expand their existing operations, the official said.

Al-Baddah said the initiative will also help achieve the primary goals of the “Shareek” initiative, which was recently launched by Crown Prince Mohammed bin Salman.

He said detailed information about the program can be found at www.naql.sa and the authority’s social media account for customer service @Naql_SAUDI.


Dar Al Arkan annual profit rises 41% to $301m on stronger property sales 

Updated 13 sec ago
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Dar Al Arkan annual profit rises 41% to $301m on stronger property sales 

RIYADH: Dar Al Arkan Real Estate Development Co. posted a 40.54 percent rise in annual net profit to SR1.13 billion ($301 million) in 2025, supported by higher property sales.

According to a filing on Saudi Exchange, the company’s net profit rose from SR806.84 million a year earlier, while annual revenue increased 3.75 percent year on year to SR3.90 billion. 

Operating profit climbed 18.96 percent to SR1.59 billion, while gross profit rose 15.22 percent to SR1.84 billion. 

“The increase in net income is mainly due to the increase in property sales. The increase in finance costs was offset by the increase in lease revenue, decrease in operating expenses, increase in share of income from associates, and increase in non-operating income from Islamic Murabaha deposits and positively impacted the net income,” the company said in the statement. 

Shareholders’ equity after minority interest stood at SR22.22 billion as of Dec. 31, compared with SR21.09 billion a year earlier. 

In February, Dar Al Arkan announced the full redemption of its $400 million sukuk. 

In a Tadawul statement, the company said that the sukuk were redeemed at maturity using internal resources, with the amount transferred to the designated account. 

The company further said that the impact of the sukuk redemption will appear in its first-quarter financial statement. 

The company also disclosed last month that it had received three white land tax-related invoices totaling about SR201.15 million for plots within the Shams Ar Riyadh development, licensed under the Wafi off-plan sales program. The invoices were valued at SR48.32 million, SR108.10 million, and SR44.73 million , respectively. 

In a separate disclosure in September, Dar Al Arkan said 2.83 million sq. meters of its land portfolio falls under the Kingdom’s White Land Tax Law.