Structural reforms in Saudi Arabia’s economy to continue: Finance minister
Structural reforms in Saudi Arabia’s economy to continue: Finance minister /node/2383501/business-economy
Structural reforms in Saudi Arabia’s economy to continue: Finance minister
Saudi Finance Minister Mohammed Al-Jadaan said that continuous implementation of the ambitious plan is necessary for the Kingdom to catalyze its economic growth and maintain fiscal sustainability. Photo/Supplied
Structural reforms in Saudi Arabia’s economy to continue: Finance minister
Updated 01 October 2023
ARAB NEWS
RIYADH: Saudi Arabia will continue its fiscal and structural reforms as the Kingdom is steadily embarking on its economic diversification journey in line with the goals outlined in Vision 2030, said a top government official.
Saudi Finance Minister Mohammed Al-Jadaan said that continuous implementation of the ambitious plan is necessary for the Kingdom to catalyze its economic growth and maintain fiscal sustainability.
The minister added that the government program will help Saudi Arabia develop promising economic sectors, enhance investment attractions, stimulate industrial growth, raise the percentage of local content and promote non-oil exports, according to the pre-budget statement from the Ministry of Finance.
“The Kingdom continues to support social protection programs and shows continued progress toward the objectives of the Fiscal Sustainability Program,” said the ministry in the pre-budget statement.
It added: “These objectives were achieved by directing expansionary spending to accelerate the implementation of major programs, projects and sectoral and regional strategies to contribute toward gross domestic product growth, attract investments, and stimulate the local economy.”
According to Al-Jadaan, Saudi Arabia remained financially resilient over the past few years when the world faced economic headwinds for various reasons, including the COVID-19 pandemic and geopolitical tensions.
He further pointed out that the Kingdom is well equipped with strong government reserves and sustainable levels of public debt that can accommodate any crises that may occur in the future.
The minister noted that Saudi Arabia’s agile nature of additional spending will help the Kingdom to have control in the medium term, allowing an extension of implementation periods for projects and strategies.
Al-Jadaan added that Saudi Arabia’s sovereign wealth fund is crucial as the Kingdom is pursuing its economic transformation program.
The Public Investment Fund has spearheaded this economic diversification journey by investing in various strategic sectors.
According to the fund’s annual report, it currently holds assets worth SR2.23 trillion ($595 billion).
The fund has established 70 companies, 25 of them, including Saudi Coffee Co. and Halal Products Development Co. were founded in 2022.
PIF’s annual report added that these companies offered 1,81,000 jobs in 2022.
Researchers target $275m market with waste-to-value algae innovation
Updated 09 January 2026
Haifa Alshammari
RIYADH: Turning food waste into a valuable industrial product may sound improbable, but scientists at King Abdullah University of Science and Technology are proving it is possible — using algae that has existed for millions of years.
Last month, researchers at the university unveiled a sustainable method that harnesses an ancient red microalga to reduce food waste in the Kingdom while producing a high-demand natural pigment.
The study was led by bioengineering student Mauricio Masson, with support from Michael Fox, assistant professor of marine science, alongside researchers from KAUST and the Arizona Center for Algae Technology and Innovation. The international team included Kyle Lauersen, KAUST associate professor and lead author of the study.
Scientists at King Abdullah University of Science and Technology (KAUST) developed a sustainable method to use an ancient type of algae while reducing food waste in the kingdom. (Supplied)
The research highlights a “sustainable bioprocessing” approach, demonstrating how an aquatic plant can convert chocolate factory waste into C-phycocyanin — a blue pigment with a global market expected to reach $275 million over the next four years.
“Our research focused on an extremophilic red alga that can thrive in harsh conditions and efficiently consume sugars and nutrients found in food waste streams,” said Lauersen.
Lauersen is an associate professor and chair of the bioscience and bioengineering programs in the Biological and Environmental Sciences and Engineering Division at KAUST. He explained that a key objective of the study was to show that food waste — often discarded or sent to landfills — can be repurposed as a feedstock for producing high-value compounds, including natural pigments and proteins, through algae-based bioprocesses.
“Our main goal was to develop an environmentally friendly approach to turn waste into useful products that have the potential to be scaled,” Lauersen told Arab News.
FASTFACT
Did you know?
• By 2030, the global market for C-phycocyanin is projected to exceed $275 million, reflecting growing demand across food, health, and industrial sectors.
• C-phycocyanin has demonstrated potential benefits in antioxidation, inflammation, cancer research, antimicrobial activity, neurodegeneration, diabetes management, and wound healing.
• As a natural pigment, C-phycocyanin offers a healthier alternative to synthetic food colorants and is approved by the US FDA for use in food products.
He added: “Algae are especially well suited for this because they grow quickly, require relatively few resources, and can metabolize a wide range of organic compounds.”
The red microalga Galdieria yellowstonensis feeds on chocolate waste rich in residual sugars, producing a protein-dense biomass that contains C-phycocyanin, according to KAUST. The pigment is widely used as a natural food coloring — found in products such as ice cream and blue-colored beverages — as well as in cosmetics and pharmaceuticals.
Beyond the study’s original goals, researchers also discovered that elevated levels of carbon dioxide significantly enhance algae growth, even though CO₂ is typically considered a byproduct of microbial sugar consumption.
Another major outcome of the research is its potential to reduce land pollution by transforming food waste into a nutrient source for algae, offering a sustainable alternative to disposal.
Galdieria yellowstonensis feeds on chocolate waste containing residual sugar, producing a protein-packed biomass that includes C-phycocyanin. (Supplied)
KAUST believes the findings could positively impact Saudi Arabia’s economy by helping food manufacturers lower production costs while addressing environmental concerns.
“The species we studied can grow on waste streams that are unsuitable for conventional crops or microorganisms,” said Lauersen.
“This makes algae an attractive platform for circular economy solutions, where waste is transformed directly into valuable materials rather than being treated as a disposal problem.”
The research effort is ongoing. Scientists at KAUST are currently collecting chocolate waste locally and plan to scale up the process using other industrial waste streams available across the Kingdom. The initiative aims to support companies in transitioning toward a circular carbon economy while contributing to Saudi Arabia’s green agenda.
“Food waste is a major global challenge, contributing to greenhouse gas emissions, resource inefficiency, and environmental degradation,” said Lauersen.
“By recycling waste into useful products, we can reduce pressure on landfills, lower emissions, and make better use of existing resources.”
“These types of solutions are essential as industries worldwide face growing demands to become more sustainable and climate resilient, especially in the Middle East, which relies on heavily on imports.”