Saudi Arabia drives record $4.1bn in March remittances to Pakistan

Pakistan received a record-high $4.1 billion in remittances in March 2025, which bodes well for the government’s efforts to revive an economy that it expects will expand 3 percent this year File
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Updated 15 April 2025
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Saudi Arabia drives record $4.1bn in March remittances to Pakistan

KARACHI: Pakistan’s central bank governor on Monday said the current account would show a “substantial” surplus this year through June mainly on the back of a record inflow of remittances which crossed the $4 billion mark in March, with Saudi Arabia once again topping the list of biggest contributors. 

Pakistan received a record-high $4.1 billion in remittances in March 2025, which bodes well for the government’s efforts to revive an economy that it expects will expand three percent this year, State Bank of Pakistan Gov. Jameel Ahmad said at an event at Pakistan Stock Exchange in Karachi. 

The central bank had earlier projected economic growth to range from 2.5 percent to 3.5 percent.

“With this level of remittances, we are hoping that for the current fiscal year our current account will stay in surplus,” the governor said. “There will be a substantial surplus and this surplus is the best performance, I will say, on the external account during the last two decades.”

The country broke its own record in February when overseas Pakistanis remitted $3.1 billion. 

Pakistan has faced a serious shortage of dollars and had to restrict imports in 2023 to avoid an imminent default on its foreign debts, which was avoided with the help of a last-gasp $3 billion financial bailout from the International Monetary Fund.

The government is now waiting for the IMF’s executive board to approve the next $1 billion tranche of a new program, approved in September last year, to boost foreign exchange reserves that currently stand at $10.6 billion.

The current trend in the worker remittances inflows, Ahmad said, had made the central bank revise its earlier projection of $36 billion to $38 billion for this financial year. On the basis of such healthy inflows, the country’s foreign exchange reserves were expected to surge beyond $14 billion this year.

Ahmad said the country had paid most of its external debt for FY25 and was expected to receive as much as $5 billion from external sources by the end of June.

“I am quite confident that we will be receiving $4 to $5 billion before the end of June this year,” he said, without mentioning the exact source of these funds.

Pakistan’s total debt liabilities this year amounted to $26 billion of which $16 billion was supposed to be rolled over or refinanced, the governor said. Of this, he said, $3.7 billion debt was refinanced while close to $12.4 billion has been rolled over by friendly countries including China, Saudi Arabia and the UAE. 

Out of the remaining $10 billion debt, Pakistan has already repaid $8 billion and was required to repay only $2 billion in the remaining months of this year. 

“We have been servicing all those debt obligations on time,” said the SBP governor, adding that some inflows were delayed, but these would also come before June 30.

Jameel said Pakistan’s current account was stable and showed a $700 million surplus this year through February. Last year, the country’s current account showed $1.7 billion, close to half percent of GDP.

“Good thing is that we have been able to achieve this surplus despite substantial increase in imports,” he said, rejecting the claims that the government was still restricting imports.

Pakistan was also spending around $5.7 billion every month on oil and non-oil imports.

Due to the current account surplus and other policy and regulatory measures like exchange companies’ reforms, the Pakistani rupee had stabilized.

“The gap between the interbank market and the open market is very narrow,” Ahmad said.

While the economy was expected to grow 3 percent this year compared with 2.5 percent last year, agriculture was a major drag on economic expansion this year and rose less than one percent during the first six months through December.

Otherwise, he said, the economy was “doing well.”

“You can see the economic activity has already picked up. This is reflected in our high frequency data. Look at cement sales, look at auto sales, look at the high value textile exports,” Ahmad said.

While inflation was one of his biggest concerns previously, the central bank governor said the pace of price hikes had slowed to 0.7 percent last month, the lowest level in six decades.

Consumer prices in Pakistan have been backbreaking in recent years and rose 38 percent in May 2023. Pakistan’s central bank had to halve its interest rate to 12 percent since June last year to tame inflation in the country of more than 240 million people.

“From the current month onward, the inflation will be rising and ultimately stabilize within the target range of 5 to 7 percent [in the full year],” the central bank chief added.

Meanwhile, March 2025 data on remittances showed remittances reached $ 4.1 billion last month, a record high. In terms of growth, remittances increased by 37.3 percent and 29.8 percent year on year and month on month, respectively.

Cumulatively, with an inflow of $28 billion, workers’ remittances increased by 33.2 percent during July-March FY25 compared to $21 billion received during Jul-Mar FY24.

“Remittances inflows during March 2025 were mainly sourced from Saudi Arabia ($987.3 million), UAE ($842.1 million), the UK ($683.9 million) and the US ($419.5 million),” the data showed. 

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IMF appoints first mission chief to Syria in 14 years

Updated 23 sec ago
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IMF appoints first mission chief to Syria in 14 years

BEIRUT: The International Monetary Fund has appointed Ron van Rooden as head of its mission to Syria, the country’s Finance Minister Mohammed Yosr Bernieh said in a written statement, making him the first country mission chief since war erupted there 14 years ago.

Bernieh said van Rooden’s appointment came “following our request” and he shared a post on LinkedIn, showing himself shaking hands with van Rooden while attending the annual IMF-World Bank Spring meetings in Washington, D.C.

“This important appointment marks an important step and paves the way for constructive dialogue between the IMF and Syria, with the shared objective of advancing Syria’s economic recovery and improving the well-being of the Syrian people,” Bernieh wrote.

The IMF press office did not immediately respond to a request for comment. A source familiar with the IMF’s decisions on Syria confirmed van Rooden’s appointment.

According to the IMF’s website, Syria has had no transactions with the fund in the last 40 years. The last IMF mission trip to Syria was in late 2009, more than a year before protests against then-leader Bashar Assad erupted.

Assad’s crackdown triggered a full-scale war that left much of the country destroyed before he was ousted in a lightning rebel offensive last December, with an Islamist-led government now ruling the country.

The new leaders have been keen to re-establish Syria’s ties regionally and internationally, rebuild the country and secure the lifting of tough US sanctions to kickstart its economy.

Bernieh and Syria’s central bank chief Abdelkader Husrieh are attending the annual spring meetings in Washington, the first time a high-level Syrian government team attends the meetings in at least two decades, and the first official visit by Syria’s new authorities to the US since Assad’s fall.

On Tuesday, the Saudi finance minister and the World Bank co-hosted a roundtable on Syria. Bernieh, in a separate LinkedIn post, described the roundtable as “very successful” and said there was “unprecedented” interest in supporting Syria’s reconstruction.

A top official from the UN Development Programme told Reuters last week the agency is planning to deliver $1.3 billion in support to Syria over the next three years. 


TASI closes in green at 11,681, gaining 0.82%

Updated 47 min 31 sec ago
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TASI closes in green at 11,681, gaining 0.82%

RIYADH: Saudi Arabia’s Tadawul All Share Index concluded Wednesday’s trading session at 11,681.11 points, marking an increase of 94.71 points or 0.82 percent.

The total trading turnover of the benchmark index was SR6.066 billion ($1.617 billion), as 189 of the listed stocks advanced, while 54 retreated.

The MSCI Tadawul Index also surged by 14.14 points, or 0.96 percent, to close at 1,488.74

The Kingdom’s parallel market Nomu reported an increase as well, gaining 181.35 points, or 0.64 percent, to close at 28,463.11 points. This comes as 48 of the listed stocks advanced while as many as 34 retreated.

The index’s top performer, Musharaka REIT Fund, saw a 10 percent increase in its share price, closing at SR4.84.  

Other top performers included Al-Baha Investment and Development Co., which saw a 9.97 percent increase to SR3.31, while Mulkia Gulf Real Estate REIT’s share price rose 9.96 percent to SR5.52. 

Alistithmar AREIC Diversified REIT Fund also recorded a positive trajectory, with share prices rising 9.92 percent to reach SR6.90.

Allied Cooperative Insurance Group was TASI’s worst performer, with the company’s share price falling by 3.35 percent to SR15. 

Etihad Etisalat Co. followed with a 3.17 percent drop to SR61. This decline comes after the firm’s consolidated interim financial results for the first quarter.

The company reported a 20.21 percent increase in its net profit, reaching SR 767 million, compared to the same period in 2024.

Saudi Printing and Packaging Co. also saw a notable decline of 3.03 percent to settle at SR 12.80. 

On the parallel market, National Building and Marketing Co. was the top gainer, with its share price surging by 9.88 percent to SR198.

Other top gainers in the parallel market were Arabian Plastic Industrial Co. and Ghida Alsultan for Fast Food Co., with their share prices surging by 8.51 percent and 5.65 percent, to reach SR51 and SR44.9, respectively.

Al Mohafaza Co. for Education was the major faller on Nomu, as the company’s share price slipped by 9.59 percent to SR23.10.

Yamama Cement Co. also announced its financial results for the first quarter of 2025, reporting a 23.51 percent increase to SR142 million compared to the same period of last year.

The company said in a statement on Tadawul that the increase in profit was mainly due to an annual rise in the average selling price and an increase in sales volume for the current quarter.

The firm’s share price closed on Wednesday’s session at SR36.7, increasing by 2.92 percent.


Saudia Group orders 20 Airbus A330neo jets to fuel fleet expansion

Updated 23 April 2025
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Saudia Group orders 20 Airbus A330neo jets to fuel fleet expansion

RIYADH: Saudia Group has signed a new agreement with Airbus to acquire 20 wide-body A330neo aircraft, including 10 confirmed orders for its low-cost carrier flyadeal, as part of its fleet expansion strategy. 

The deal, finalized at Airbus’s facility in Toulouse, France, reinforces the group’s ambitions to enhance operational efficiency and expand destination coverage, aligning with Saudi Arabia’s Vision 2030. 

With deliveries scheduled between 2027 and 2029, the acquisition marks a continuation of Saudia Group’s broader modernization plan, which includes a 2023 order for 105 Airbus aircraft. 

A330neo’s long-range capability and fuel efficiency are expected to play a central role in supporting the Kingdom’s goals of connecting to 250 destinations and transporting 330 million passengers annually.  

The agreement aligns with the Kingdom’s broader trend of making multiple Airbus aircraft purchases. 

In October, Riyadh Air signed a deal to purchase 60 Airbus A321neo aircraft. In July, the Royal Saudi Air Force signed a contract with Airbus for four additional A330 Multi Role Tanker Transport aircraft. 

The deal was signed by Saleh Eid, vice president Fleet Management and Agreements at Saudia Airlines, and Benoit de Saint-Exupery, executive vice president of Commercial Aircraft Sales at Airbus, in the presence of Ibrahim Al-Omar, director general of Saudia Group and Christian Scherer, CEO of the Commercial Aircraft business of Airbus. 

Al-Omar emphasized the significance of the deal as a continuation of the group’s ambitious strategy to expand and modernize its fleet. 

He noted that this agreement follows a previous order of 105 Airbus aircraft in 2023 and supports national strategies under Vision 2030 aimed at reaching 250 destinations, transporting 330 million passengers, and attracting 150 million tourists annually. 

Benoit de Saint-Exupery welcomed the order as a strategic advancement for both parties. 

“Saudia Group’s order for A330neo aircraft for flyadeal is a crucial step toward enabling the Kingdom’s long-haul expansion and attracting a broader range of passengers,” he said. 

“The aircraft’s proven efficiency, versatility, and passenger experience make it the right fit for Saudia Group’s strategic growth,” he added. 

Saudia Group currently operates a fleet of 194 aircraft across its commercial, low-cost, cargo, and logistics divisions. 

With an additional 191 aircraft expected to be delivered in the coming years, the group is advancing its position as a key enabler of Saudi Arabia’s aviation sector and broader national development initiatives.


Saudi Arabia, Ethiopia target key sectors in push to deepen economic ties

Updated 23 April 2025
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Saudi Arabia, Ethiopia target key sectors in push to deepen economic ties

JEDDAH: Saudi Arabia and Ethiopia plan to boost economic cooperation in key sectors — including agriculture, manufacturing, and tourism — as officials from both nations met at a forum in Riyadh. 

The event, organized by the Federation of Saudi Chambers, brought together more than 150 representatives from the public and private sectors of both countries, the Saudi Press Agency reported, and marked the first major gathering since the establishment of the Saudi-Ethiopian Business Council last year. 

The initiative aligns with Saudi Arabia’s strategy to strengthen economic ties with African nations and explore new investment opportunities and markets, recognizing Ethiopia’s potential as a favorable investment environment, a key trade gateway to the continent. 

Ethiopia’s State Minister for Trade and Regional Integration Abdulhakim Mulu invited Saudi investors to explore opportunities in key sectors including agriculture, food industries, and tourism, as well as hospitality and manufacturing.  

He emphasized Ethiopia’s rapid economic growth and the government’s commitment to improving infrastructure and fostering a favorable investment climate. 

Federation of Saudi Chambers Chairman Hassan Al-Huwaizi stated that Saudi Arabia is actively working to strengthen its relations with African countries, particularly Ethiopia, which serves as a strategic gateway for Saudi exports to the continent. 

“He noted Ethiopia’s natural resources and potential in agriculture, food industries, and mining, adding that the limited trade volume, which is merely SR1.3 billion ($347.1 million), indicates untapped investment opportunities,” SPA reported. 

The Saudi-Ethiopian Business Council was formally approved by the Saudi General Authority for Foreign Trade last year to enhance bilateral trade and investment. Its formation followed agreements reached during a prior forum held on June 5 in Addis Ababa. 

As both nations seek to deepen their economic engagement, the council is expected to play a pivotal role in unlocking new opportunities, boosting bilateral trade, and fostering a more integrated economic partnership between Saudi Arabia and Ethiopia. 

According to a 2024 World Bank report, Ethiopia — home to 126.5 million people as of 2023 — is the second most populous nation in Africa and one of the continent’s fastest-growing economies, recording a 7.2 percent growth rate in the 2022/2023 fiscal year. 

Despite this progress, Ethiopia remains one of the world’s poorest countries, with a gross national income per capita of $1,020. The country aims to achieve lower-middle-income status by 2025, building on years of infrastructure-driven growth that have helped reduce poverty and improve access to essential services. 


Saudi Arabia ranks 1st in region, 6th in G20 for geospatial infrastructure

Updated 23 April 2025
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Saudi Arabia ranks 1st in region, 6th in G20 for geospatial infrastructure

RIYADH: Saudi Arabia has climbed to ninth place in the 2025 Geospatial Knowledge Infrastructure Readiness Index, up from 32nd in 2022, reflecting steady progress in its spatial sciences sector.

Represented by the General Authority for Survey and Geospatial Information, the Kingdom ranked first in the Middle East and the Arab world, and sixth among G20 nations, in the index, according to a statement. 

Created by the Geospatial World and backed by the UN Statistics Division, the GKI Readiness Index serves as a strategic tool to assess how prepared countries are to adopt geospatial knowledge, highlighting its role in driving economic growth, sustainable development, and digital transformation. The index is based on several axes.

The newly released rankings align with Saudi Arabia’s ongoing progress in global indices, including a 17.5 percent score increase in the 2025 Global Intellectual Property Index. This places the Kingdom among the fastest-improving economies out of the 55 countries evaluated.

They also align well with Saudi Arabia’s strategic objectives for expanding its commercial space operations and advancing innovative satellite solutions locally and globally. 

In the newly released statement, GEOSA said: “The Kingdom ranked sixth globally in the Policy Axis, thanks to its pioneering experience in governing the national geospatial data system and developing its policies, standards, and specifications in accordance with international best practices.” 

“It ranked seventh globally in the Infrastructure Axis, due to its pivotal role in unifying national efforts related to geospatial information, including the development of the National Geospatial Platform, which represents a window into the national geospatial infrastructure available to the public and private sectors, as well as the academic and non-profit sectors and individuals. It ranked eighth globally in the Geospatial Industry Axis, demonstrating its constructive role in establishing strategic partnerships with various sectors,” it added. 

The statement further indicated that the Kingdom’s advancement in the index highlights the continuous support provided by its leadership and the minister of defense, who also chairs the GEOSA Board of Directors for the survey and geospatial information sector. 

This support has propelled Saudi Arabia to a prominent position both regionally and internationally, placing it at the forefront of developed nations in the geospatial sector, the statement explained. 

This advancement also resulted in Riyadh being selected as the home of the UN Global Geospatial Ecosystem Center of Excellence, thereby reinforcing the Kingdom’s status as a global frontrunner in cutting-edge geospatial information management. 

In March, Neo Space Group, a satellite and space firm under Saudi Arabia’s sovereign wealth fund, partnered with Beijing-based SuperMap Software to enhance technological capabilities and support the Kingdom’s Vision 2030 goals.