Kuwait signs design deal with Turkish firm Proyapi for GCC rail project 

Kuwait’s Minister of Public Works signed a contract for the study and design of the railway project with Proyabi. KUNA
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Updated 08 April 2025
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Kuwait signs design deal with Turkish firm Proyapi for GCC rail project 

RIYADH: Kuwait has signed a 2.5 million Kuwaiti dinars ($8.1 million) contract for the design and planning of its section of the regional rail network, marking a step forward in the realization of the Gulf Railway Project first conceived in 2009. 

The agreement with Turkish consultancy firm Proyapi marks the official launch of Kuwait’s participation in this Gulf Cooperation Council-wide infrastructure initiative, bringing the long-delayed project closer to reality. 

The 2,177-km GCC railway will connect Kuwait City to Muscat via Saudi Arabia, Bahrain, Qatar, and the UAE, with most of the route running through Saudi and Emirati territory.

Construction is already underway in the UAE, Oman, and Saudi Arabia, and the project aims to boost regional trade, travel, and tourism. 

Kuwait’s Public Works Minister, Noura Al-Mashaan, said that “the railway project comes in line with the visions of the leaders of the Gulf Cooperation Council countries to establish a passenger and freight railway network linking the GCC countries,” the Kuwait News Agency, also known as KUNA, reported. . 

Kuwait is set to be the northern terminus of the network, with its portion covering 111 km. The route will extend from Al-Shadadiya — where a major train station will be constructed on a site spanning 2 million sq. meters— to Al-Nuwaiseeb at the Saudi border. 

The contract signing ceremony was attended by Turkiye’s Ambassador to Kuwait, Tuba Nur Sonmez.

The agreement encompasses design and engineering studies, soil testing, route mapping, and the preparation of tender documents for the subsequent construction phase. Once the design work is finalized, Kuwait will move forward with inviting bids for the actual construction. 

Ahmed Al-Saleh, assistant undersecretary for planning and development and official spokesperson for the Ministry of Public Works, highlighted the railway’s far-reaching impact.

“The project has great social and economic importance for the smooth transport of passengers and goods,” he said, according to the KUNA report, adding that it is being implemented in line with “the desire of the leaders of the Gulf Cooperation Council countries.” 

In April 2024, Hafeet Rail began implementing the Oman-UAE connection, marking the first operational GCC link in the regional network. The 238-km stretch will connect Sohar Port in Oman to Abu Dhabi, integrating with the UAE’s national rail system and significantly reducing travel times. Passenger trains will cover the Sohar-Abu Dhabi route in just 100 minutes, according to the Hafeet Rail website. 

During the 26th meeting of GCC transport ministers in Doha in November, officials reaffirmed the project’s advancement toward its 2030 completion target. GCC Secretary-General Jasem Mohamed Al-Budaiwi highlighted Hafeet Rail as a key milestone, emphasizing its role in creating a unified transport and logistics network across the region. 


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.