RCU, Ministry of Industry agree on new mechanism for granting mining licenses in AlUla

The new mechanism includes monitoring mining areas, complexes, and licenses, as well as sites of mineralized belts, reserve areas, and important mineral and ore locations within the governorate’s lands. SPA
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Updated 01 October 2024
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RCU, Ministry of Industry agree on new mechanism for granting mining licenses in AlUla

RIYADH: Mining projects in AlUla will soon undergo environmentally focused monitoring as the Royal Commission signed an agreement with the Ministry of Industry and Mineral Resources for granting licenses.   

This deal has been established to ensure sites are considered when planning and designing the authority’s projects. The new mechanism encompasses monitoring mining areas, complexes, and licenses, as well as sites of mineralized belts, reserve areas, and significant mineral and ore locations within the governorate’s lands, the Saudi Press Agency reported.     

As a prerequisite for issuing mining licenses, the mechanism stipulates that applicants within the Royal Commission of AlUla lands must submit an environmental impact study and develop a site rehabilitation and closure plan.   

Companies are also required to preserve water sources, the environment, and wildlife, protecting them from violations and other environmental damage.   

This aligns with RCU’s goal of working closely with partners and communities within Saudi Arabia and beyond to deliver an environmentally and historically sensitive transformation of AlUla.

Additionally, the mechanism further specified the regulatory procedures resulting from granting approvals within the authority’s territories, including the terms and details, in accordance with the mining investment system and its executive regulations. 

It also entails directing applicants for mining licenses to adhere to the requirements and controls stipulated in the mining investment and environmental divisions, in addition to the conditions set by the RCU. 

Increasing visitor numbers to AlUla, the cultural and tourism hub, is already boosting Saudi Arabia’s economy in line with Vision 2030 ambitions. 

Situated in the northwest of the country and covering around 22,000 sq. km, the Kingdom’s historic city also boasts a thriving agricultural sector that plays a pivotal role in its economic development.  

Built upon social, economic, and ecological principles, RCU has outlined a strategic roadmap for the comprehensive development of the area, with the primary objective of assisting the Kingdom in diversifying beyond oil and contributing to the national gross domestic product.   

This strategy encompasses three main pillars including tourism, heritage, and nature, local community and economic diversification.

Phillip Jones, chief tourism officer at RCU, told Arab News earlier this year: “AlUla is an integral part of the tourism objectives driven by Saudi Vision 2030. With AlUla’s regional economy primarily driven by tourism, by 2035, AlUla will contribute a cumulative SR120 billion ($31 billion) to the Kingdom’s GDP.”


Kuwait to boost Islamic finance with sukuk regulation

Updated 05 February 2026
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Kuwait to boost Islamic finance with sukuk regulation

  • The move supports sustainable financing and is part of Kuwait’s efforts to diversify its oil-dependent economy

RIYADH: Kuwait is planning to introduce legislation to regulate the issuance of sukuk, or Islamic bonds, both domestically and internationally, as part of efforts to support more sustainable financing for the oil-rich Gulf nation, Prime Minister Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah said on Wednesday.

Speaking at the World Governments Summit in Dubai, Al-Sabah highlighted that Kuwait is exploring a variety of debt instruments to diversify its economy. The country has been implementing fiscal reforms aimed at stimulating growth and controlling its budget deficit amid persistently low oil prices. Hydrocarbons continue to dominate Kuwait’s revenue stream, accounting for nearly 90 percent of government income in 2024.

The Gulf Cooperation Council’s debt capital market is projected to exceed $1.25 trillion by 2026, driven by project funding and government initiatives, representing a 13.6 percent expansion, according to Fitch Ratings.

The region is expected to remain one of the largest sources of US dollar-denominated debt and sukuk issuance among emerging markets. Fitch also noted that cross-sector economic diversification, refinancing needs, and deficit funding are key factors behind this growth.

“We are about to approve the first legislation regulating issuance of government sukuk locally and internationally, in accordance with Islamic laws,” Al-Sabah said.

“This enables us to deal with financial challenges flexibly and responsibly, and to plan for medium and long-term finances.”

Kuwait returned to global debt markets last year with strong results, raising $11.25 billion through a three-part bond sale — the country’s first US dollar issuance since 2017 — drawing substantial investor demand. In March, a new public debt law raised the borrowing ceiling to 30 billion dinars ($98 billion) from 10 billion dinars, enabling longer-term borrowing.

The Gulf’s debt capital markets, which totaled $1.1 trillion at the end of the third quarter of 2025, have evolved from primarily sovereign funding tools into increasingly sophisticated instruments serving governments, banks, and corporates alike. As diversification efforts accelerate and refinancing cycles intensify, regional issuers have become regular participants in global debt markets, reinforcing the GCC’s role in emerging-market capital flows.

In 2025, GCC countries accounted for 35 percent of all emerging-market US dollar debt issuance, excluding China, with growth in US dollar sukuk issuance notably outpacing conventional bonds. The region’s total outstanding debt capital markets grew more than 14 percent year on year, reaching $1.1 trillion.