World not ready yet to ‘switch off’ fossil fuels, COP28 host UAE says

Phasing out fossil fuels would hurt countries that depend on them for revenue or cannot easily replace them with renewable sources. (Shutterstock)
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Updated 10 May 2023
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World not ready yet to ‘switch off’ fossil fuels, COP28 host UAE says

WASHINGTON: The United Arab Emirates said on Tuesday that countries should agree to phase out fuel emissions — not the production of oil, gas and coal — at the upcoming UN climate change negotiations that it will host this December.
The comments reflect deep divisions between nations over how to combat global warming ahead of the talks at the upcoming UN climate change conference in the UAE, also referred to as COP28. Some wealthy Western governments and climate-afflicted island nations have been pushing for a phase out of fossil fuels, while resource-rich countries have campaigned to keep drilling.
UAE Minister of Climate Change and Environment Mariam Almheiri told Reuters in an interview that phasing out fossil fuels would hurt countries that depend on them for revenue or cannot easily replace them with renewable sources.
She favored phasing out fossil fuel emissions using capture and storage technologies while ramping up renewable energy, saying this strategy lets countries fight warming while continuing to produce oil, gas and coal.
“The renewable space is advancing and accelerating extremely fast but we are nowhere near to be able to say that we can switch off fossil fuels and solely depend on clean and renewable energy,” Almheiri said on the sidelines of the Agriculture Innovation Mission (AIM) for Climate conference in Washington.
“We are now in a transition and this transition needs to be just and pragmatic because not all countries have the resources,” she added.
The UAE is co-hosting the AIM conference with the United States.
At last year’s climate summit in Egypt, over 80 countries including the EU and small island nations agreed to include language in the final outcome calling for a phase down of all fossil fuels. Countries including Saudi Arabia and China urged Egypt not to include that language in the final text.
This month, G7 countries agreed to hasten their phaseout of fossil fuel consumption, although they did not set a firm date.
Almheiri pointed to the UAE’s example of relying on new carbon capture technology and renewables to decrease the emissions intensity of the OPEC member’s oil and gas operations.
The UAE has a goal to get 50 percent of its electricity from renewables by 2050 from the current level of 25 percent and could strengthen that goal, she said.
Almheiri added that alongside energy, global food supply will be a major focus of COP28 because it accounts for nearly a third of global emissions.
As with energy, technology and innovation can solve food security problems, Almheiri said, noting that it has helped the UAE, with its parched desert landscape, devise a food security strategy.
Tackling inefficiencies of the global food system can also help address problems like malnutrition, food waste and climate change all at once, she said.
“We are making sure that the food systems dialogue is on center stage along with the energy dialogue at COP28,” she said.
 


Saudi Arabia’s foreign reserves rise to a 6-year high of $475bn

Updated 22 February 2026
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Saudi Arabia’s foreign reserves rise to a 6-year high of $475bn

RIYADH: Saudi Arabia’s foreign reserves climbed 3 percent month on month in January to SR1.78 trillion, up SR58.7 billion ($15.6 billion) from December and marking a six-year high.

On an annual basis, the Saudi Central Bank’s net foreign assets rose by 10 percent, equivalent to SR155.8 billion, according to data from the Saudi Central Bank, Argaam reported.

The reserve assets, a crucial indicator of economic stability and external financial strength, comprise several key components.

According to the central bank, also known as SAMA, the Kingdom’s reserves include foreign securities, foreign currency, and bank deposits, as well as its reserve position at the International Monetary Fund, Special Drawing Rights, and monetary gold.

The rise in reserves underscores the strength and liquidity of the Kingdom’s financial position and aligns with Saudi Arabia’s goal of strengthening its financial safety net as it advances economic diversification under Vision 2030.

The value of foreign currency reserves, which represent approximately 95 percent of the total holdings, increased by about 10 percent during January 2026 compared to the same month in 2025, reaching SR1.68 trillion.

The value of the reserve at the IMF increased by 9 percent to reach SR13.1 billion.

Meanwhile, SDRs rose by 5 percent during the period to reach SR80.5 billion.

The Kingdom’s gold reserves remained stable at SR1.62 billion, the same level it has maintained since January 2008.

Saudi Arabia’s foreign reserve assets saw a monthly rise of 5 percent in November, climbing to SR1.74 trillion, according to the Kingdom’s central bank.

Overall, the continued advancement in reserve assets highlights the strength of Saudi Arabia’s fiscal and monetary buffers. These resources support the national currency, help maintain financial system stability, and enhance the country’s ability to navigate global economic volatility.

The sustained accumulation of foreign reserves is a critical pillar of the Kingdom’s economic stability. It directly reinforces investor confidence in the riyal’s peg to the US dollar, a foundational monetary policy, by providing SAMA with ample resources to defend the currency if needed.

Furthermore, this financial buffer enhances the nation’s sovereign credit profile, lowers national borrowing costs, and provides essential fiscal space to navigate global economic volatility while continuing to fund its ambitious Vision 2030 transformation agenda.