AlUla’s non-tourism sector economically buoyant, RCU chief says

Abeer Al-Akel, acting CEO of RCU, speaking at FII8. AN
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Updated 30 October 2024
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AlUla’s non-tourism sector economically buoyant, RCU chief says

RIYADH: The Royal Commission for AlUla is reshaping the city’s economy, with non-tourism sectors contributing around SR7 billion ($1.86 billion) to Saudi Arabia’s gross domestic product, a senior official said.

During a panel session at the Future Investment Initiative in Riyadh, Abeer Al-Akel, acting CEO of RCU, highlighted that this figure nearly matches AlUla’s tourism contribution to the Kingdom’s gross domestic product at around SR9.5 billion.

Al-Akel said that the commission is working to diversify the city’s economic foundation and provide the local community with inclusive growth opportunities.

She added: “People might not know that the contribution of non-tourism sectors in AlUla is basically around SR7 billion, which is a very close amount to the tourism, right? 

“We are basically working with the local community in ensuring that we provide the local community with opportunities for them to participate in what we do in AlUla.”

As part of RCU’s diversification strategy, agriculture ranks as the second-largest sector in AlUla after tourism.

The commission has committed to improving farming practices and enhancing the entire agricultural value chain — from production and packaging to buyer connectivity.

“We’re aiming to empower our farming community and introduce local produce to a broader market,” Al-Akel said, underscoring RCU’s goals of fortifying AlUla’s food ecosystem and increasing local producers’ market reach.

She continued: “We’re really doing this for three main reasons. One is to ensure that we create and advance the food ecosystem in AlUla and expand it, but we’re also doing this to empower our farming community.

Al-Akel added: “Finally, is to mainly do that because of introducing local produce to a bigger networking market.”

Furthermore, RCU’s efforts to establish AlUla as a regional film hub are underway, with recent successes including the blockbuster movie Kandahar featuring Gerard Butler.

She explained that AlUla now boasts a world-class, 30,000 sq. meter production facility, positioning it as a major destination for international film production.

With 700 production days already recorded, the sector is set to contribute to the economy and foster local creative talent both in front of and behind the camera.

AlUla’s historic role as an ancient crossroad of civilizations is being revitalized through strategic international partnerships.

RCU collaborates with leading global organizations such as UNESCO and the World Bank, working toward shared goals of cultural conservation, environmental preservation, and sustainable economic growth.

AlUla’s comprehensive eco-friendly approach, guided by its 12-point Sustainability Charter, places environmental and cultural preservation at the forefront of all initiatives.

As Al-Akel emphasized, the RCU’s mandate is to “strike a delicate balance between development and ecosystem progress,” ensuring that AlUla’s unique natural and cultural landscape is protected while fostering economic growth.

“We are on the right track, and we have achieved a lot in the past years; we have basically introduced and released over 2,300 animals into the wild,” Al-Akel said.

She continued to say that 50 percent of the lands are “basically protected,” adding: “We have recruited more than 150 Rangers that are now patrolling and monitoring those reserves.”


Gulf-EU value chain integration signals shift toward long-term economic partnership: GCC secretary general

Updated 03 February 2026
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Gulf-EU value chain integration signals shift toward long-term economic partnership: GCC secretary general

RIYADH: Value chains between the Gulf and Europe are poised to become deeper and more resilient as economic ties shift beyond traditional trade toward long-term industrial and investment integration, according to the secretary general of the Gulf Cooperation Council.

Speaking on the sidelines of the World Governments Summit 2026 in Dubai, Jasem Al-Budaiwi said Gulf-European economic relations are shifting from simple commodity trade toward the joint development of sustainable value chains, reflecting a more strategic and lasting partnership.

His remarks were made during a dialogue session titled “The next investment and trade race,” held with Luigi Di Maio, the EU’s special representative for external affairs.

Al-Budaiwi said relations between the GCC and the EU are among the bloc’s most established partnerships, built on decades of institutional collaboration that began with the signing of the 1988 cooperation agreement.

He noted that the deal laid a solid foundation for political and economic dialogue and opened broad avenues for collaboration in trade, investment, and energy, as well as development and education.

The secretary general added that the partnership has undergone a qualitative shift in recent years, particularly following the adoption of the joint action program for the 2022–2027 period and the convening of the Gulf–European summit in Brussels.

Subsequent ministerial meetings, he said, have focused on implementing agreed outcomes, enhancing trade and investment cooperation, improving market access, and supporting supply chains and sustainable development.

According to Al-Budaiwi, merchandise trade between the two sides has reached around $197 billion, positioning the EU as one of the GCC’s most important trading partners.

He also pointed to the continued growth of European foreign direct investment into Gulf countries, which he said reflects the depth of economic interdependence and rising confidence in the Gulf business environment.

Looking ahead, Al-Budaiwi emphasized that the economic transformation across GCC states, driven by ambitious national visions, is creating broad opportunities for expanded cooperation with Europe. 

He highlighted clean energy, green hydrogen, and digital transformation, as well as artificial intelligence, smart infrastructure, and cybersecurity, as priority areas for future partnership.

He added that the success of Gulf-European cooperation should not be measured solely by trade volumes or investment flows, but by its ability to evolve into an integrated model based on trust, risk-sharing, and the joint creation of economic value, contributing to stability and growth in the global economy.

GCC–EU plans to build shared value chains look well-timed as trade policy volatility rises.

In recent weeks, Washington’s renewed push over Greenland has been tied to tariff threats against European countries, prompting the EU to keep a €93 billion ($109.7 billion) retaliation package on standby. 

At the same time, tighter US sanctions on Iran are increasing compliance risks for energy and shipping-related finance. Meanwhile, the World Trade Organization and UNCTAD warn that higher tariffs and ongoing uncertainty could weaken trade and investment across both regions in 2026.