Kuwait’s non-oil exports hit $75m in December 2024

A recent report from the International Monetary Fund highlighted Kuwait’s ongoing recovery in its non-oil sector amid easing inflation. Reuters/File
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Updated 19 January 2025
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Kuwait’s non-oil exports hit $75m in December 2024

JEDDAH: Kuwait’s non-oil exports rose to 23.2 million dinars ($74.9 million) in December 2024, a 12.08 percent increase from November, according to data from the Ministry of Commerce and Industry. 

The ministry’s Department of International Organizations and Foreign Trade Affairs reported that 1,766 certificates of origin were issued for Kuwaiti exports to Gulf Cooperation Council countries in December, with a total value of around 16 million dinars.  

This marked a slight decline in volume compared to November 2024, which saw 1,785 certificates valued at approximately 11.4 million dinars. 

The rise in December exports comes despite broader economic challenges. A recent report from the International Monetary Fund highlighted Kuwait’s ongoing recovery in its non-oil sector amid easing inflation.  

However, the IMF noted that the country’s real gross domestic product contracted by 1.5 percent year on year in the second quarter of 2024, driven by a 6.8 percent decline in the oil sector, offset by a 4.2 percent expansion in non-oil activities. 

Exports to Arab countries included 336 certificates covering 11 nations, totaling 7 million dinars in December, down from 8.9 million dinars across 10 countries in November. 

European exports saw modest growth, with five certificates issued to four countries, valued at 179,413 dinars in December, compared to three certificates worth 47,811 dinars issued to three countries in the prior month. 

Kuwaiti exports to African markets showed an uptick, with three certificates issued for three countries in December, valued at 26,027 dinars, up from one certificate worth 16,071 dinars issued in November. 

In the Americas, five certificates were issued for one country in December, valued at 150,060 dinars, marking a decline from November’s 10 certificates worth 223,296 dinars, which covered three countries. 

Asian and Australian markets saw six certificates issued for four countries, valued at 39,544 dinars in December, compared to five certificates worth 51,662 dinars issued to three countries in November. 

The ministry clarified that certain Kuwaiti exports do not require certificates of origin, meaning the figures reflect only shipments processed through the ministry. This underscores the evolving nature of global trade dynamics, where some importers bypass formal documentation for specific products. 

Kuwait’s exports continue to gain traction in global markets, spanning GCC nations, Arab countries, Europe, Africa, Asia, Australia, and the Americas. Key export products include liquid gases, foodstuffs, and polyethylene, as well as organic solvents, and packaging materials like empty cartons. 

Additionally, refined oils, mineral oils, medical oxygen, dairy products, empty glass bottles, and copper rods remain significant contributors to Kuwait’s export portfolio, according to KUNA. 


Saudi Cabinet approves MoU with Turkiye in the field of central banking

Updated 12 February 2025
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Saudi Cabinet approves MoU with Turkiye in the field of central banking

RIYADH: The Saudi Cabinet has approved a memorandum of understanding with Turkiye designed to strengthen cooperation in central banking between key financial institutions in the countries.

Crown Prince Mohammed bin Salman chaired the Cabinet on Feb. 11, during which the Kingdom’s economy and the progress of various government-led initiatives were discussed, the Saudi Press Agency reported. 

The approval of the MoU between the central banks of Saudi Arabia and Turkiye highlights the progress of economic and trade ties between the two nations.

In December, Saudi Arabia’s Cabinet approved the signing of an MoU between the Kingdom and Turkiye to boost cooperation in the field of energy. 

Turkiye is a key destination for Saudi Arabia’s non-oil goods, with the Kingdom sending outbound shipments worth SR960.4 million ($256.09 million) to the West Asian nation in November. 

Hakan Fidan, foreign minister of Turkiye, visited the Kingdom in January, where he met his Saudi counterpart, Faisal bin Farhan, and discussed ways to develop ties in various sectors to increase trade volume.

An MoU was also approved by the Cabinet to enhance cooperation in the financial sector between the Saudi Ministry of Finance and the Qatari Ministry of Finance.

It also gave the green light to an MoU between the Saudi General Authority for Foreign Trade and Maldives’ Ministry of Economic Development and Trade to strengthen commercial ties. 

An additional MoU approved by the body was between the Saudi Ministry of Economy and Planning and the Omani Ministry of Economy to enhance cooperation between both sides. 

The Cabinet also praised the continuing economic diversification efforts in the Kingdom, particularly the launch of the King Salman Automobile Manufacturing Complex. 

The initiative is expected to boost the economic contribution of the non-oil sector to the Kingdom’s gross domestic product and support the National Industry and Logistics Development Program.

The body also commended the completion of the Financial Sustainability Program’s executive plan, which seeks to enhance Saudi Arabia’s spending efficiency, develop effective revenue streams, and bolster the Kingdom’s economic resilience under Vision 2030.


Saudi fintech unicorn Tabby doubles valuation to $3.3bn after $160m funding boost 

Updated 12 February 2025
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Saudi fintech unicorn Tabby doubles valuation to $3.3bn after $160m funding boost 

RIYADH: Saudi Arabia’s first fintech unicorn Tabby has doubled its valuation to $3.3 billion following the successful closure of a $160 million series E funding round. 

The round was led by Hong Kong-based Blue Pool Capital, and Hassana Investment Co., the funding arm of Saudi Arabia’s General Organization for Social Insurance, with participation from STV and Wellington Management. 

This latest investment makes Tabby the most valuable fintech company in the Middle East and North Africa. 

The company claims to have doubled its annualized transaction volumes to over $10 billion since its last $200 million series D funding round in 2023, which secured its unicorn status — a designation for startups valued at $1 billion or more without a stock market listing. 

Under the National Unicorn Program, also known as Saudi Unicorns, the Kingdom aims to significantly increase the number of high-growth startups, create jobs, and boost gross domestic product. 

The program, a collaborative initiative by the Ministry of Communication and Information Technology, the Mohammed bin Salman Foundation, and the National Technology Development Program, provides services such as expansion support and investor connections for promising tech startups. 

“This investment allows us to accelerate our rollout of products that make managing money simpler and more rewarding for our customers. We’re focused on creating tangible impact — helping people take control of their finances with tools that are accessible, effortless and built for their everyday lives,” said Hosam Arab, CEO and co-founder of Tabby. 

Tabby has expanded beyond its core buy now, pay later service with the acquisition of digital wallet Tweeq and the introduction of Tabby Card for flexible payments beyond checkout, as well as Tabby Plus, a subscription program. 

In 2023, Tabby announced plans for an initial public offering in the Saudi market following its headquarters’ relocation to the Kingdom. 

Founded in the UAE before moving to Saudi Arabia, the company has experienced exponential growth in alignment with the Kingdom’s strategic goals. 

Tabby’s latest funding round will accelerate its expansion into financial products, including digital spending accounts, payments, cards, and money management tools. 

The investment also strengthens its position ahead of its planned IPO. 

Tabby currently has over 15 million registered users and more than 40,000 sellers on its platform, the company said. 


Oil Updates — prices retreat after report of US crude stockpile rise

Updated 12 February 2025
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Oil Updates — prices retreat after report of US crude stockpile rise

LONDON: Oil prices edged down on Wednesday as an industry report showed an increase in US crude stockpiles and tariff worries weighed on sentiment, though stronger refining margins limited the market’s downside.

Brent futures fell 25 cents, or 0.3 percent, to $76.75 a barrel by 7:08 a.m. Saudi time, while US West Texas Intermediate crude dropped 28 cents, or 0.4 percent, to $73.04 a barrel.

The declines snapped a three-day streak of gains for prices with Brent climbing 3.6 percent while WTI rose 3.7 percent.

Crude oil stockpiles in the US, the world’s biggest oil producer and consumer, rose by 9.4 million barrels in the week ending February 7, according to sources citing American Petroleum Institute data on Tuesday.

Gasoline inventories fell by 2.51 million barrels, and distillate stocks dropped by 590,000 barrels, the sources said the API data showed.

Data from the Energy Information Administration will be released later on Wednesday.

The EIA increased its estimate for US crude production while leaving its demand forecast unchanged. It now expects US crude oil output to average 13.59 million barrels per day in 2025, up from its prior estimate of 13.55 million bpd.

Prices also slipped on concerns that multiple US tariffs being enacted or threatened could limit global economic growth and energy demand.

But stronger refining margins limited price losses overall. Complex refining margins in Singapore clawed back January losses, averaging at $3 a barrel or more in the past week, LSEG pricing data showed.

“Prompt refinery margins are healthy, reversing the negative margin trends from previous month. There is strong demand for refineries to run hard, particularly as we head into the turnaround season in northwest Europe and Asia,” said June Goh, senior analyst at Sparta Commodities in a reply to Reuters.

On the macroeconomic front, traders were waiting key US consumer price index data which will be released at 1330 GMT on Wednesday for clues on the country’s economic performance and the potential impact on interest rates.

US Federal Reserve Chair Jerome Powell said on Tuesday that the Fed was in no hurry to make any further interest rate cuts, but stood ready to do so if inflation declined further or the job market weakened. 


Pakistan’s finance minister says IMF gave ‘positive feedback’ on economic reforms

Updated 11 min 55 sec ago
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Pakistan’s finance minister says IMF gave ‘positive feedback’ on economic reforms

  • Muhammad Aurangzeb says structural reforms are ‘well underway,’ driving economic stability
  • IMF chief says ‘encouraged’ by Pakistan’s commitment to reforms after meeting the premier

KARACHI: The International Monetary Fund (IMF) gave a “positive feedback” on Pakistan’s structural reforms program that helped the country achieve macroeconomic stability, Finance Minister Muhammad Aurangzeb said on Wednesday while addressing an insurance conference in Karachi via video link.
Aurangzeb’s statement comes only a day after Prime Minister Shehbaz Sharif met with IMF Managing Director Kristalina Georgieva on the sidelines of the World Government Summit in Dubai and reaffirmed his administration’s commitment to structural reforms.
The meeting between the two officials came right ahead of the IMF’s upcoming review of Pakistan’s $7 billion loan program, secured in September last year.
A successful review in the coming weeks would release a $1 billion tranche, helping cash-strapped Pakistan boost its foreign exchange reserves and meet the lender’s import cover benchmark.
“We got some a very positive feedback in terms of macroeconomic stability which has been achieved over the last 12 months,” the finance minister said while sharing the details of the meeting between the prime minister and the IMF managing director.
Calling the meeting “constructive and very positive,” he said the top IMF official was appreciative of Pakistan’s commitment to the reform program.
“We are well underway in that program,” Aurangzeb continued.
According to a statement released by the Prime Minister’s Office earlier in the day, Sharif recognized the progress made under the IMF’s Extended Fund Facility (EFF), which put the country on the path of long-term recovery.
“He reaffirmed the government’s resolve to sustaining the reform momentum, particularly in critical areas such as tax reform, energy sector efficiency and private sector development,” the statement added.
“The Prime Minister assured Ms. Georgieva of Pakistan’s commitment to economic prudence, efficiency and sustainability as essential pillars for achieving inclusive and sustained growth.”
Following the meeting, Georgieva posted on X, formerly Twitter, expressing confidence in Pakistan’s reform trajectory.
“Wonderful to meet [Pakistan’s] Prime Minister @CMShehbaz and his team. I am encouraged by their strong commitment to Pakistan’s IMF-supported reforms and support their decisive actions to pave the way to higher growth and more jobs for Pakistan’s youthful population,” she said.
The meeting between the two officials took place as an IMF mission is currently in Pakistan conducting a governance and corruption diagnostic assessment, part of the broader reform agenda under the EFF.
The IMF’s next review is expected in March, with Pakistan’s government and central bank confident of meeting reform targets required for the loan disbursement.
 


Saudi Arabia puts AI at the core of its digital transformation: deputy minister

Updated 12 February 2025
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Saudi Arabia puts AI at the core of its digital transformation: deputy minister

RIYADH: Saudi Arabia continues to prioritize artificial intelligence as a cornerstone of its digital transformation, a top official said.

In an interview with Arab News during the third edition of LEAP 2025, Mohammed Robayan, deputy minister for technology at the Saudi Ministry of Communications and Information Technology, stated that the Kingdom is dedicated to ensuring robust computing infrastructure to fuel AI-driven innovation and economic diversification.

He underscored that AI is at the heart of Saudi Arabia’s digital transformation strategy, with unwavering support from the nation’s leadership, government agencies, and the private sector.

“It’s all about AI. It’s top of mind of our leadership. It’s top of mind of our ministry, of the different government entities that we collaborate with to achieve this agenda,” Robayan said.

He continued: “It’s also top of mind of the private sector, which is extremely important, so AI is really important. We have to make sure that this computing power is available to our ecosystem here in Saudi Arabia. I would say this is the No.1 agenda item that we’re tackling.”

Robayan also emphasized that a flourishing startup ecosystem is a vital element of the nation’s long-term digital strategy. He highlighted that supporting startups is key to cultivating a pipeline of companies with the potential to become unicorns—startups valued at over $1 billion.

“But another important part is the startup ecosystem here in Saudi Arabia. This is extremely important. This feeds into the pipeline of companies that eventually graduate to become unicorns,” Robayan said.

He added: “We have seven unicorns already in the market, and you need to build the pipeline… We have multiple initiatives that we are working on.

Robayan went on to say: “We have the National Technology Development Program. We have the Garage. They have been extremely helpful. They’re pumping a lot of money into this tech sector here in Saudi, and this has resulted in jobs, which is a big priority for us.”

The Kingdom is also experiencing substantial private sector investments in AI and technology, which are crucial for bolstering computational capacity and supporting economic diversification under Vision 2030. According to Robayan, these investments will play a pivotal role in reshaping Saudi Arabia's technology landscape.

“These will enable us to, first of all, have different computer power that is necessary for the Kingdom to advance in its agenda. This is one of the highest priorities, technology and the adoption of technology,” he said.

He said the these initiatives will have a profound impact on the Kingdom and its efforts to diversify away from oil.

Additionally, ensuring a balanced regulatory framework is a key focus for the Ministry, as it strives to foster investment while protecting innovation.

“With regulation, you don’t want to overdo it—just enough to avoid stifling innovation. Protecting investments and ensuring the democratization of AI and compute power is critical,” Robayan said.

Cybersecurity is another top priority, with Saudi Arabia positioning itself as a global leader in cyber defense. Robayan stressed that collaboration with the National Cyber Security Agency plays a critical role in ensuring regulatory requirements are met early, offering clear guidelines for investors.

“Cybersecurity is extremely important, and you can imagine why and Saudi Arabia is one of the top-ranking countries in cybersecurity. This is also part of the education of the investors throughout the journey prior to announcing different investments. We don’t want any surprises to happen for them or for the market,” he said.

The Kingdom has already secured nearly $15 billion in tech investments announced at LEAP 2025, with more to come. Robayan hinted at upcoming initiatives to further accelerate the Kingdom’s digital transformation.