BEEAH Group paves way for a sustainable future in the region

BEEAH Group, the UAE’s leading sustainability pioneer and digital expert, is harnessing the power of innovative sustainable solutions. (Supplied)
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Updated 27 November 2022
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BEEAH Group paves way for a sustainable future in the region

  • Group aims to help Sharjah achieve 100% landfill waste diversion: CEO

DUBAI: BEEAH Group, the UAE’s leading sustainability pioneer and digital expert, has achieved a waste diversion rate of 76 percent, the highest in the Middle East, and the remaining 24 percent was disposed of in landfills.

Speaking to Arab News, Group CEO Khaled Al-Huraimel said that BEEAH Group aims to help Sharjah achieve 100 percent landfill waste diversion in 2022, up from 76 percent currently.

BEEAH Group launched the UAE’s first waste-to-energy facility earlier in 2022 as part of its efforts to achieve zero waste, he added.

The facility, located in Sharjah, would divert over 300,000 tons of non-recyclable waste from landfills annually and generate 30 megawatts of clean energy, enough to power almost 30,000 homes.

“Once the facility reaches full operational capacity, Sharjah will become the first city in the Middle East to achieve zero waste,” Al-Huraimel said

All of this is due to BEEAH Group’s operations in Sharjah with 10 different plants.

There are 10 dedicated recycling facilities that process materials such as paper, plastic, tires, old vehicles, metals, construction and demolition waste, organic waste, industrial wastewater, maritime waste and commercial and industrial waste.

Al-Huraimel said BEEAH was established in 2007 to address the environmental challenges the region was facing, including waste. However, at the beginning of 2022, the company changed its name to BEEAH Group and adopted the structure of an investment holding company and a new visual identity. This is part of the group’s strategy to diversify its core business into new sectors.

The Gulf Cooperation Council countries have the highest waste per capita in the world. Therefore, this was the immediate challenge, he added.

“We started in waste management, and today, we’re proud to say we became the first to reach zero waste in the emirate of Sharjah, and today we are also active across the UAE,” he said. “Our new structure as an investment holding group has seen us launch several new business verticals that will capitalize on business opportunities across different industries and countries.”

BEEAH places sustainability and digitization at the heart of the business. This can be seen across several verticals, including BEEAH Tandeef for waste collection and city cleaning and BEEAH Recycling for waste processing and material recovery. There is also BEEAH Energy for clean and renewable power and BEEAH Environment Services for consulting, research and innovation.

Additionally, there is BEEAH Digital for future technologies and digital ventures, BEEAH Transport for green mobility and autonomous transportation, and BEEAH Education, an environmental education and awarding organization for businesses and individuals.

The various verticals will benefit from the collective experience of the BEEAH Group while having more room to grow within their respective industries.

BEEAH Group encourages collective responsibility for sustainability through education and awareness programs. In 2010, BEEAH Group launched the BEEAH Academy of Sustainability to promote environmental education. Today, the academy reaches a network of more than 252,000 students, 6,500 teachers, and 700 schools. Across its areas of operation, the group aims to improve quality of life through a twin-pillared approach that focuses on sustainability and digitalization.

Digitalization of BEEAH Group

During a private meeting at BEEAH Group’s recently built headquarters, designed by the late Zaha Hadid, Al-Huraimel remarked, “It was one of the last buildings she designed.” 

Our new structure as an investment holding group has seen us launch several new business verticals that will capitalize on business opportunities across different industries and countries.

Khaled Al-Huraimel, BEEAH Group CEO

According to him, the organization’s brand-new headquarters reflect BEEAH Group’s identity as a sustainable icon.

The BEEAH Group headquarters is a command center for all BEEAH Group operations, as it has more than 10,000 employees and is growing. “This building is one of the smartest and most sustainable buildings in the region,” he added.

A primary area of focus for BEEAH Group is technology, and the organization believes that technology has many tools to help it achieve its goals, Al-Huraimel said. In that sector, BEEAH Group has three companies: Evoteq, re.life, and One Data Center, a recent joint venture with Khazna to build Sharjah’s first data center.

He said the BEEAH Group headquarters operates using hundreds of artificial intelligence use cases.

At Tandeef, BEEAH Group’s waste collection business, the vehicles are all tracked, and the routing is also optimized by artificial intelligence.

The commercial and industrial recycling facility, a recent facility launched by BEEAH Recycling this year, has a robot with AI vision that can segregate different types of waste.

“So, we believe and embrace technology as it can help us create a better future and meet our targets,” Al-Huraimel said.

As part of its efforts in facilitating digital transformation, BEEAH Group also partnered with Khazna Data Centers recently to build Sharjah’s first Tier 3 data center.

Commenting on their JV with Khazna, the group CEO said that data centers have become necessary with the growth of cloud computing. This requires a great deal of data storage.

He added that Sharjah also needs a data center to support shortages and digitalization and become a more innovative city.

“In today’s world, it’s important to build a strong digital foundation and infrastructure,” said Al-Huraimel.

By harnessing the power of technology and innovative sustainable solutions, the BEEAH Group is paving the way for a better quality of life across the MENA region.

COP27 delegation

BEEAH Group has commenced operations in Egypt’s Sharm El-Sheikh, including sustainable waste management services during the UN Climate Change Conference, also known as COP27.

He said that the organization and Egypt’s Green Planet, an environmental solutions company, signed a contract in September to provide waste management and city cleaning services under the 10-year contract.

“We were awarded the waste management contract for Sharm El-Sheikh, and we have commenced our services before COP27,” he added.

The BEEAH Group also attended COP27 and represented the UAE as part of the UAE delegation.

Besides showcasing the organization’s groundbreaking projects, such as the UAE’s first waste-to-energy plant and the region’s first fully AI-integrated office building, BEEAH Group introduced the conference attendees to its recycling facilities and zero-waste solutions.

“We were proud to participate in COP27 as part of the UAE delegation. As a frontrunner in climate action, the UAE has made huge strides toward zero emissions; we are pleased to show how we support these targets through clean energy, sustainable infrastructure, and integrated waste management solutions,” said Al-Huraimel.

“I believe the UAE and the region have strong sustainability goals. We see that in the UAE, Saudi, Egypt, and so on,” he said, commenting on BEEAH Group’s attendance at COP27.

As the group CEO pointed out, Egypt and Saudi Arabia are two key markets for BEEAH Group, which will continue to expand over the next 18 months.

Geographic growth and diversification have been the main ways the group has grown. BEEAH has diversified into digital, energy consulting and health care.

“We targeted Saudi Arabia and Egypt for future expansion, as they are the two biggest markets for us in terms of size and recognition of the relationship between our countries,” he said.

Currently, the group focuses on growing in Saudi Arabia and Egypt by offering waste management services in both countries.

BEEAH Group also hopes to consolidate its position as a regional leader in waste management while looking at other government and private contracts.


Saudization initiative transforming the workforce and bolstering economic prosperity, experts say 

Updated 26 July 2024
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Saudization initiative transforming the workforce and bolstering economic prosperity, experts say 

  • Latest figures show the number of Saudi nationals working in the private sector in June stood at 2.34 million

RIYADH: The Kingdom’s Saudization initiative is not merely a policy but a transformative strategy aimed at reshaping the national workforce and bolstering economic prosperity.

Also referred to as the Saudi Nationalization Scheme, the policy was implemented by the Ministry of Labour in 2011, requiring Saudi companies to hire a set quota of their country’s citizens.

The Nitaqat aspect of the initiative focuses on increasing the percentage of Saudi citizens working in private enterprise and reduce the employment gap with the public sector.

This aligns closely with the government’s Vision 2030, which seeks to empower nationals and enhance their participation in the private sector, thereby reducing dependence on oil revenue and fostering sustainable economic development.

Saudi-based economist Talat Hafiz highlighted in an interview with Arab News that Nitaqat is one of the most important programs that has enhanced participation in the labor market.

He added: “Nitaqat and Nitaqat Mutawar programs have improved the performance of the labor market through providing appropriate job opportunities for the Saudi national labor force in a safe and attractive working environment.”

Since its launch in 2011, Nitaqat has achieved significant milestones, effectively increasing the number of Saudi nationals in the private sector workforce. The latest figures released by the National Labor Observatory showed the number of Saudi nationals working in the private sector in June stood at 2.34 million – an increase of 16,598 since April.

This success is underscored by the proactive measures taken to support Saudization, including regulatory frameworks that incentivize companies to hire and retain local talent.

As a result, there has been a noticeable shift toward employing Saudi professionals who bring not only technical skills but also a deep understanding of local culture, business practices, and regulatory nuances.

Ahmed Boshnak, partner at Bain and Co., said: “One significant contribution of Saudization is the enhancement of local talent development. Through Saudization, there is a focused effort on education and vocational training programs that align with market needs.”

He added: “This equips Saudi nationals with the necessary skills to participate in various sectors, thus increasing their employment prospects and career advancement opportunities.”

Looking ahead

Saudi Arabia is anticipating a substantial influx of young graduates into the job market, with projections suggesting approximately 5 million new entrants by 2030.

Concurrently, the government aims to create 3 million new jobs in the private sector over the next decade, reinforcing its commitment to sustainable economic growth and reducing unemployment rates.

The benefits of hiring Saudi nationals extend beyond meeting regulatory requirements; they encompass leveraging local expertise to navigate business challenges effectively.

Saudi professionals’ proficiency in Arabic and familiarity with local resources facilitate streamlined operations and enhance organizational agility.

Hafiz said: “Saudi nationals have proven their capabilities in the local labor market because they better understand the culture of the Saudi labor market and they have proven to be very hard workers.”

He added: “I believe in the long run, hiring a Saudi citizen could be more effective and less costly to the businesses since businesses can avoid labor’s cost related to hiring non-Saudis.”

Moreover, integrating Saudi talent into the workforce fosters a sense of national pride and ownership, contributing to a more cohesive and productive corporate environment.

Boshnak said: “Saudization encourages private and public sector collaboration. The initiative requires companies to invest in local talent, promoting policies that support the hiring, training, and retention of Saudi nationals. This not only drives employment but also fosters a culture of inclusivity and sustainability within the workforce, leading to long-term economic stability.”

Complementing regulatory efforts, educational initiatives are pivotal in equipping Saudi youth with the skills necessary to thrive in a rapidly evolving job market.

The Fuel program, a collaboration between the Ministry of Communications and Information Technology, Saudi Digital Academy, and Coursera, exemplifies this commitment.

By offering tailored training in digital skills, the program aims to prepare 100,000 Saudi citizens annually for careers in emerging sectors critical to the Kingdom’s digital transformation.

“MCIT and SDA both have played a major role in enhancing Saudization since Saudi Arabia is shifting to digital economy and high tech, which requires huge numbers of Saudis,” Hafiz added.

Furthermore, the Human Resources Development Fund plays a crucial role in supporting Saudization through comprehensive programs that enhance the employability of Saudi nationals.

These initiatives include training, upskilling, and employment assistance, ensuring a steady supply of qualified talent for the private sector.

By collaborating closely with small and medium enterprises, HRDF has facilitated job creation and enhanced local businesses’ competitiveness across diverse sectors. HRDF aims to support job seekers in the private sector through the fund paying a proportion of the employee’s wages, according to its director general, Turki Al-Jawini.

Ryan Alnesayan, partner at Arthur D. Little, noted that from 2016 to 2023, the number of Saudis working in the private sector increased from 1.7 million to 2.3 million, with women’s participation in the workforce rising from 17 percent to 35.3 percent, surpassing the Saudi Vision 2030 target of 30 percent.

He added: “These figures underscore the Saudization initiative’s role in not just increasing employment but also enhancing the quality and diversity of the workforce, positioning Saudi nationals at the forefront of economic growth and development.”

Businesses also play a pivotal role in advancing Saudization by investing in recruitment strategies, HR training, and employee development initiatives.

Organizations like NADIA Global offer tailored solutions to attract, retain, and develop Saudi talent, thereby enhancing workforce capabilities and organizational resilience.

By prioritizing the development of local talent pools, businesses not only comply with Saudization regulations but also contribute to broader socio-economic objectives aimed at achieving sustainable growth and prosperity.

Hafiz noted: “The role of the regulatory frameworks, such as Nitaqat quotas and other programs, have played a significant role in improving Saudization because they have rewarded businesses who are in compliance with the Saudization programs.”

He added: “For example, HRDF has provided programs and products that allow the provision and exchange of guidance, training and empowerment services efficiently and effectively to increase the stability and development of the workforce in the Saudi labor market.”

Arthur D. Little is driving local talent development through initiatives like AFAQ, dedicated to Saudi nationals. Alnesayan explained, adding: “Our tailored mentorship and coaching programs focus not just on filling positions but on grooming future leaders. The goal is clear: attract and elevate Saudi talents to top-tier roles with specialized skills, setting new benchmarks in various industries.”

As Saudi Arabia continues its journey toward economic diversification and global competitiveness, the empowerment of Saudi nationals through Saudization remains a cornerstone of its strategic vision.

By nurturing a skilled and adaptable workforce, the Kingdom not only mitigates economic dependencies but also positions itself as a hub for innovation, entrepreneurship, and technological advancement in the region.

“The future potential of Saudi nationals in driving innovation and entrepreneurship is incredibly promising. Saudization is not just about increasing employment numbers; it’s about cultivating a generation of skilled, innovative leaders,” Alnesayan added.
 


Startup Wrap – Health, HR, and e-commerce firms eying Saudi expansion after funding rounds

Updated 26 July 2024
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Startup Wrap – Health, HR, and e-commerce firms eying Saudi expansion after funding rounds

CAIRO: Startups from across the region and beyond have set a clear path for Saudi expansion after completing successful funding rounds.

UK-based healthtech startup Bioniq is set to leverage its latest $15 million series B funding round to bolster its presence in Saudi Arabia.  

With a current valuation of $75 million, Bioniq aims to make its personalized supplements based on blood test data and patented algorithms available in key cities in Saudi Arabia as a significant portion of the funding is allocated for the Middle East region. 

“Saudi Arabia is an absolute focus as is the further integration and localization of our offerings,” Vadim Fedotov, CEO and co-founder of Bioniq, told Arab News. 

“Our strategic partnership with Al Borg Diagnostics is pivotal in this effort, enabling us to enhance our reach nationwide and deliver tailored health solutions to the local population,” he added. 

The partnership with Al Borg, a provider of diagnostic health services in the Kingdom, made Bioniq’s blood test panel available in 28 Saudi cities. 

The company plans to embed its solutions within athletic organizations and explore collaborations with governmental health initiatives.  

“Additionally, we have further integrations in the pipeline with Saudi Arabia’s leading medical institutions and medical insurance providers,” he added. 

Bioniq’s expansion in the Middle East does not stop at Saudi Arabia. The company aims to solidify its position as the leading premium personalized supplement brand across the region. 

“Given the dynamic growth of the region, especially in the health and wellbeing sector, a significant portion of our recent funding round will be dedicated to our Middle East expansion including strengthening our local office,” Fedotov said.  

Vadim Fedotov, CEO and co-founder of Bioniq. Supplied

According to the CEO, the expansion strategy includes broadening the firm’s geographical reach and enhancing service offerings such as laboratory testing, client support, and strategic on-site partnerships with top medical and athletic institutions.

The company has also established long-term partnerships with key opinion leaders and public figures in the region, with announcements expected soon. 

The oversubscribed round was led by Principal Investors HV Capital and Unbound, both leading European VCs. Bioniq also aims to utilize the funding to boost its expansion into the US market. 

UAE-based HR tech Ogram raises new funding for Saudi expansion 

UAE-based human resources tech startup Ogram has secured new funding from Oraseya Capital, the venture capital arm of Dubai Integrated Economic Zones Authority, along with Aditum Investment Management and Everywhere VC, to support its expansion plans in Saudi Arabia.  

Founded in 2017 by Karim Kouatly and Shafiq Khartabil, Ogram is a digital staffing marketplace that allows businesses to book and manage staff on-demand.  

The company, which launched in Greece in 2023, previously closed a $3 million series A funding round in 2022. Ogram is also in the process of closing its series B round and potential merger and acquisition activities by the fourth quarter of the year. 

Kemitt expands into Saudi Arabia after new funding round 

Egypt-based e-commerce platform Kemitt has expanded into Saudi Arabia following an undisclosed funding round.  

Founded in 2018 by Mahmoud Fouad, Mohamed Rashwan, and Mohamed Hedayat, Kemitt connects product and furniture designers with consumers and handles manufacturing, overhead, and last-mile logistics. 

The recent funding will be used to enhance the platform’s user interface, scale logistics and customer service operations in Saudi Arabia, diversify its product portfolio, and establish local partnerships. 

Saudi startup TechMal secures $1m in pre-seed funding 

Saudi-based startup TechMal has raised $1 million in a pre-seed investment round led by Al Majidiya Investment Co., along with other investors.  

Established in 2024, TechMal is a micro-consumer finance company licensed by the Central Bank of Saudi Arabia, offering financing solutions for the residential rental sector.  

The company enables tenants to convert annual or semi-annual rental payments into manageable monthly installments through the Ejar platform. 

Pathfinder raises $325m from Silver Rock Group ahead of NASDAQ listing 

UAE-based retail technology solutions provider Pathfinder has secured a $325 million investment from Silver Rock Group ahead of its planned NASDAQ listing.  

Founded in 2000 by Ahmed Hussain, Kristin MacDermott, and Sadique Ahmed, Pathfinder offers solutions to enhance customer engagement and drive business success.  

Silver Rock Group will provide the funding over the next three years, starting in the fourth quarter of 2024, to support the continuous development and global rollout of the RetailGPT platform. 

UAE fintech Mamo secures $3.4m in funding 

UAE-based fintech startup Mamo has closed a $3.4 million funding round with participation from existing investor 4DX Ventures, the Dubai Future District Fund, and Cyfr Capital.  

Co-founded by Asim Janjua, Imad Gharazeddine, and Mohammad El-Saadi, Mamo supports small and medium-sized businesses by consolidating their payment collection, corporate cards, and expense management needs. 

The newly raised capital will be used to expand Mamo’s product offerings within the UAE and support its regional expansion efforts. 

Zyp Technologies secures $1.5m pre-series A funding led by Shorooq Partners 

Pakistan’s mobility startup Zyp Technologies has raised $1.5 million in a pre-series A round led by UAE-based VC fund Shorooq Partners, with participation from existing investor Indus Valley Capital and several angel investors.  

Founded in 2022 by Hassan Khan and Imran Afzal, Zyp Technologies specializes in electric motorcycles designed for deliveries, equipped with advanced fleet management software.  

The funding will enable Zyp Technologies to deploy more than 60 battery swap stations and launch over 1,000 Zyp Utility Motorcycles in Pakistan over the next 12 months. 


Oil Updates – prices set for third weekly decline, pressured by Gaza ceasefire hopes

Updated 26 July 2024
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Oil Updates – prices set for third weekly decline, pressured by Gaza ceasefire hopes

LONDON: Oil prices slipped on Friday and were on track for a third consecutive weekly decline, pressured by muted demand in China and hopes of a Gaza ceasefire deal that could ease Middle East tensions and accompanying supply concerns.

Brent crude futures for September dipped 56 cents to $81.81 a barrel by 2:50 p.m. Saudi time. US West Texas Intermediate crude for September fell 40 cents to $77.88.

For the week, Brent is trading down almost 1 percent while WTI is down more than 2 percent.

Recent data, such as July 20 figures showing that China’s total fuel oil imports dropped 11 percent in the first half of 2024, have raised concern about the wider demand outlook in China.

In the Middle East, hopes of a ceasefire in Gaza have been gaining momentum.

A ceasefire has been the subject of negotiations for months, but US officials believe the parties are closer than ever to an agreement for a six-week ceasefire in exchange for the release by Hamas of female, sick, elderly and wounded hostages.

Oil price declines were capped, however, by threats to production from Canadian wildfires, a large US crude stocks draw and continued hopes of a September cut to US interest rates after strong economic data, said PVM oil analyst Tamas Varga. 


SAMA chief lauds global efforts to contain inflation

Updated 25 July 2024
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SAMA chief lauds global efforts to contain inflation

RIYADH: Saudi Central Bank governor praised the “well-calibrated” monetary policies adopted by global financial institutions to tackle inflation and bolster the resilience of the world economy amid diverse challenges.

Ayman Al-Sayari spoke at a session titled “Global Economic Outlook and Ongoing Challenges” during the third meeting of Finance Ministers and Central Bank Governors of G20 held under the Brazilian presidency, according to statement issued on the apex bank’s X handle.

He presented a comprehensive perspective on global economic challenges and policies.

The top Saudi official stressed the importance of ensuring that the nominal growth rate exceeds the interest rate to mitigate risks to global growth in the near term. This principle advocates for sustaining economic expansion while managing debt dynamics effectively.

Al-Sayari highlighted significant medium-term risks confronting the global economy, including ongoing geopolitical conflicts and trade fragmentation. These factors contribute to uncertainty and potential volatility in the international economic landscape.

Regarding energy transition efforts, he acknowledged the global scale-up of renewable energy usage but expressed concern over increased fossil fuel consumption and carbon emissions in 2023. Al-Sayari cautioned against rushed actions and underscored the need for a balanced approach toward achieving sustainability goals without compromising economic stability.

“We are all for reducing greenhouse gas emissions,” the SAMA chief said.

Al-Sayari identified rising income inequality as a critical issue. He underscored the importance of implementing targeted social benefits and well-designed labor market policies to bridge this gap.


Saudi airline flynas to buy 160 Airbus planes

Updated 25 July 2024
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Saudi airline flynas to buy 160 Airbus planes

  • Deal includes order of 30 wide-body A330neo aircraft and 130 narrow-body A320 family aircraft
  • Head of flynas, Bander Al-Mohanna, said agreement ‘reinforces our determination to establish flynas as a leading global low-cost carrier’

RIYADH: Saudi low-cost airline flynas has signed a deal to purchase 160 Airbus aircraft, doubling the volume of its orders to 280 planes. 

The “landmark agreement,” signed at the UK’s Farnborough International Airshow, includes an order of 30 wide-body A330neo aircraft and 130 narrow-body A320 family aircraft, the carrier said in a statement.

This falls in line with the Saudi Vision 2030 aimed at transforming the aviation sector and supporting flynas’ ambitious expansion under the slogan “We connect the world to the Kingdom.” It also cements the carrier’s status as one of the top four low-cost airlines worldwide.

The deal also aligns well with the Kingdom’s aviation goals, including tripling annual passengers to 330 million, expanding connectivity to over 250 destinations, and boosting air freight capacity to 4.5 million tons of cargo per annum by 2030.

“I congratulate flynas on this significant agreement, which reflects the rapid development and transformation of Saudi Arabia’s aviation sector under Vision 2030,” President of the General Authority of Civil Aviation Abdulaziz Al-Duailej said. 

“This deal is pivotal for achieving the National Civil Aviation Strategy’s goal to connect the Kingdom with over 250 international destinations and increase passenger traffic to 330 million annually by 2030,” he added, also describing the growth and expansion of flynas as “truly remarkable.”

Bander Al-Mohanna, CEO and managing director of flynas, said: “This agreement to purchase 160 Airbus aircraft reinforces our determination to establish flynas as a leading global low-cost carrier.”

He added that this is his firm’s first order for the wide-body A330neo with Airbus, with deliveries starting in 2027.

“By doubling our order volume to 280 Airbus aircraft, we ensure sustainable growth across our network of regional and international routes, spanning short, medium, and long-haul flights,” said the CEO, explaining that that this will enable the carrier to explore new long-haul markets and offer more seat capacity, with diverse and innovative products to their passengers.

Airbus CEO of Commercial Aircraft Christian Scherer described thee deal as “a significant milestone” for both A320neo and A330-900 aircraft.

“The A330neo will allow flynas to further grow into widebody markets by building on the A320, benefiting from Airbus’ unique commonality,” Scherer said. 

“Both aircraft types offer flynas the perfect versatility and economics to expand into new markets while offering their passengers the latest cabin experience and comfort,” he added. “We look forward to continuing our successful collaboration with flynas as they embark on this exciting new chapter.”

Earlier this month, flynas received its 53rd A320neo aircraft out of an order of 120 from Airbus as part of its strategic expansion plan. 

The next-generation model airplane touched down at King Khalid International Airport in Riyadh at the time, further consolidating the company’s position as the leading low-cost airline in the Middle East and one of the top four low-cost airlines globally, according to UK-based consultancy firm Skytrax.