You are here

  • Home
  • ​​UN official urges strategic plans for climate-vulnerable nations at COP28
COP28
COP28

​​UN official urges strategic plans for climate-vulnerable nations at COP28

​​UN official urges strategic plans for climate-vulnerable nations at COP28
The UN’s Assistant Secretary-General and Special Representative of the Secretary-General for Disaster Risk Reduction Mami Mizutori speaking during a panel event. AN
Short Url

https://arab.news/2tnns

Updated 01 December 2023
Haifa Al-Shammari  
Follow

​​UN official urges strategic plans for climate-vulnerable nations at COP28

​​UN official urges strategic plans for climate-vulnerable nations at COP28
Updated 01 December 2023
Haifa Al-Shammari  
Follow

DUBAI: In discussions about the impact of global warming, it is crucial to consider the financial capabilities and burdens – especially for vulnerable nations in recovery, a top UN official has emphasized.  

During a panel conversation on day two of the UN’s climate change conference in Dubai, the organization’s Assistant Secretary-General and Special Representative of the Secretary-General for Disaster Risk Reduction Mami Mizutori highlighted the importance of this aspect. 

The panel also featured Yoshihiro Kawai, chairman of the South East Asia Disaster Risk Insurance Facility; Ana Gonzales Pelaez, a fellow of the Cambridge Institute for Sustainability Leadership; and David Howden, CEO of Howden Group. 

Mizutori shared insights on securing the financial future of climate-vulnerable nations, drawing from personal observations during visits to these countries.  

She emphasized that the focus should shift from what they have lost to what resources they possess for development. 

“It is not about how and what they lost but when you look at it, it is about what do they have in order to develop,” said Mizutori. 

Countries like Tonga, a collection of small islands in the Pacific Ocean, are, in Mizutori’s eyes, still recovering from the COVID-19 pandemic. Additionally, they are facing environmental problems, such as floods, that hinder their financial growth and overall social development. 

The UN assistant secretary-general believes that the insurance industry plays a significant role in securing the financial future of vulnerable countries in the face of climate change. According to her, fundraisers need to first agree on how to address it adequately and design a plan that suits the given circumstances. 

She added: “The insurance industry has been the active cord of protection for vulnerable countries.” 

Furthermore, Howden shared his perspective on the subject during the panel, stating: “It is not just about providing finance for disasters or post-disaster situations but also ensuring certainty around investment.” 

He believes that funding vulnerable nations without the guarantee of maintaining sustainable investments may not be the best approach. Thus, having an insurance financial plan for each country becomes a necessity to facilitate recovery once a disaster strikes. 

Topics: COP28 climate finance

Related

World leaders address climate change achievements and challenges at COP28 
Business & Economy
World leaders address climate change achievements and challenges at COP28 

Closing Bell: Saudi main index slips to close at 11,840

Closing Bell: Saudi main index slips to close at 11,840
Updated 14 sec ago
REEM WALID 
Follow

Closing Bell: Saudi main index slips to close at 11,840

Closing Bell: Saudi main index slips to close at 11,840
  • Parallel market Nomu gained 681.17 points, or 2.28%, to close at 30,540.28
  • MSCI Tadawul Index lost 4.52 points, or 0.30%, to close at 1,486.82
Updated 14 sec ago
REEM WALID 

RIYADH: Saudi Arabia’s Tadawul All Share Index slipped on Thursday, losing 27.40 points, or 0.23 percent, to close at 11,840.52. 

The total trading turnover of the benchmark index was SR5.39 billion ($1.43 billion), as 98 of the stocks advanced and 131 retreated. 

The Kingdom’s parallel market Nomu gained 681.17 points, or 2.28 percent, to close at 30,540.28. This comes as 63 of the listed stocks advanced, while 23 retreated. 

The MSCI Tadawul Index lost 4.52 points, or 0.30 percent, to close at 1,486.82. 

The best-performing stock of the day was Al-Baha Investment and Development Co., whose share price surged 10 percent to SR0.33. 

Other strong performers included Saudi Reinsurance Co., with a 7.05 percent increase in its share price to SR43.30, and Saudi Chemical Co., which saw its share price rise 5.46 percent to SR10.24. 

Saudi Cable Co. recorded the largest decline, with its share price dropping 4.02 percent to SR97.90. 

CHUBB Arabia Cooperative Insurance Co. also saw its stock fall 3.13 percent to SR49.50. 

Naseej International Trading Co. experienced a 2.64 percent drop in its share price, which fell to SR92.30. 

On the announcements front, Saudi Awwal Bank has disclosed its intention to issue an SR-denominated Additional Tier 1 Sukuk through a private placement in the Kingdom, as part of its SR20 billion Additional Tier 1 Sukuk issuance program. 

According to a Tadawul statement, the bank has appointed HSBC Saudi Arabia as the sole lead manager for the proposed offer. The statement said the purpose of the issuance is to strengthen the bank’s capital base and support the achievement of its long-term strategic objectives. 

The amount and terms of the sukuk will be determined at a later stage, based on market conditions at that time. 

Saudi Awwal Bank closed the session at SR31.40, down 0.63 percent. 

The Saudi Investment Bank has announced the completion of its US dollar-denominated Additional Tier 1 capital sustainable sukuk offering under its Additional Tier 1 capital sukuk program. 

A bourse filing revealed that the offer is valued at $750 million, comprising 3,750 sukuk with a par value of $200,000 each and a return of 6.275 percent. 

The sukuk have a perpetual maturity, callable after five years. Settlement of the sukuk issuance is scheduled for Nov. 27, and the sukuk will be listed on the London Stock Exchange’s International Securities Market. 

Saudi Investment Bank closed the session at SR13.88, down 0.29 percent. 

Topics: Saudi Arabia TASI Closing Bell Saudi Stock Exchange (Tadawul) MSCI Tadawul Index TASI Nomu Tadawul All Share Index (TASI) Tadawul

Related

Closing Bell: Saudi main index closes in red at 11,867 
Business & Economy
Closing Bell: Saudi main index closes in red at 11,867 
Closing Bell: Saudi main index closes in green at 11,876
Business & Economy
Closing Bell: Saudi main index closes in green at 11,876

Aramco to increase borrowing, focus on dividend growth, CFO says

Aramco to increase borrowing, focus on dividend growth, CFO says
Updated 21 November 2024
Reem Walid
Follow

Aramco to increase borrowing, focus on dividend growth, CFO says

Aramco to increase borrowing, focus on dividend growth, CFO says
Updated 21 November 2024
Reem Walid

RIYADH: Saudi Aramco plans to increase borrowing and focus on enhancing its dividend distribution strategy, revealed the company’s chief financial officer. 

In an interview with Bloomberg, Ziad Al-Murshed explained that this move is part of the company’s efforts to optimize its capital structure. 

Aramco is considered one of the pillars of the Saudi economy, encompassing the entire oil production chain, from hydrocarbon extraction to energy generation, as well as refining and commercial distribution activities.  

“You’ll see us do a couple of things. One is, just take on more debt compared to use of equity,” Al-Murshed said during the interview. 

“It’s nothing to do with the dividend, it is optimizing our capital structure so that we end up with a lower weighted average cost of capital,” he added. 

Aramco returned to the debt market earlier this year after a three-year hiatus, raising $9 billion in two separate issuances. In June, it launched a $6 billion offering of dollar-denominated bonds, followed by a $3 billion issuance of Islamic bonds in September.   

The CFO noted: “We had the luxury of sitting out those three years until the market became conducive.” 

Al-Murshed provided insight into how the company increased its dividend by 4 percent in each of the past two years and is now paying over $81 billion in base dividends. 

“We’re looking for it to be progressive over the years,” he said, adding that the company’s free cash flow supports this strategy. 

While the company plans to issue debt regularly, Al-Murshed emphasized that it will not be overly frequent and revealed that Aramco has no plans to sell more debt for the remainder of 2024. 

“We want to be active, but we don’t want to be too active,” he said. 

The CFO further clarified that the company’s decision to sell debt is primarily aimed at broadening its investor base. 

Al-Murshed did not specify whether Aramco would borrow to support its dividend payments, which are set to total $124 billion this year, exceeding the company’s earnings. 

Earlier this month, Aramco reported a net profit of SR103.37 billion ($27.52 billion) for the third quarter of 2024, exceeding analyst expectations, which had projected a median net income of $26.9 billion. 

However, in a statement released at the time, the company noted a 15.4 percent decline in net profit compared to the same period in 2023, attributed to challenging market conditions, including lower prices for crude oil, refined products, and chemicals. 

Aramco’s vision remains to be the world’s leading integrated energy and chemicals company, operating in a safe, sustainable, and reliable manner.   

Topics: Aramco Saudi Aramco

Related

Aramco signs agreement to advance SASREF expansion
Business & Economy
Aramco signs agreement to advance SASREF expansion
Saudi Aramco reports $27.52bn net profit in Q3 graphic
Business & Economy
Saudi Aramco reports $27.52bn net profit in Q3

Saudi Arabia's Ma’aden proceeds with $10bn capital raise to boost phosphate stake

Saudi Arabia's Ma’aden proceeds with $10bn capital raise to boost phosphate stake
Updated 21 November 2024
MIGUEL HADCHITY 
Follow

Saudi Arabia's Ma’aden proceeds with $10bn capital raise to boost phosphate stake

Saudi Arabia's Ma’aden proceeds with $10bn capital raise to boost phosphate stake
  • Ma’aden said its shareholders will convene virtually on Dec. 11 to approve the capital increase
  • Plan includes issuing 111 million new ordinary shares valued at SR10 each
Updated 21 November 2024
MIGUEL HADCHITY 

RIYADH: Saudi Arabian Mining Co., or Ma’aden, has issued a shareholder circular outlining the terms of its plan to raise its share capital to SR38.03 billion ($10.1 billion) from SR36.92 billion to boost its phosphate business. 

The move follows an earlier announcement to acquire a 25 percent stake in Ma’aden Wa’ad Al-Shamal Phosphate Co. from Mosaic Phosphates B.V., increasing its ownership in the joint venture to 85 percent. 

In April, Ma’aden announced the signing of an agreement to acquire 210.93 million shares owned by Mosaic Co. and its subsidiary, Mosaic Phosphates B.V. Regulatory approval for the transaction was granted in November by the Capital Market Authority.

In a bourse filing, Ma’aden said its shareholders will convene virtually on Dec. 11 to approve the capital increase. The plan includes issuing 111 million new ordinary shares valued at SR10 each, representing a 3.01 percent rise in the company’s share capital. 

In exchange, Mosaic Phosphates will transfer its MWSPC stake to Ma’aden, aligning with the Saudi firm’s strategic expansion in the phosphate sector. 

MWSPC, established in 2014 and based in Turaif, is a joint venture between Ma’aden, Mosaic Co., and Saudi Basic Industries Corp. Following the transaction, SABIC will retain its 15 percent stake while Ma’aden strengthens its position as a global phosphate leader. 

Mosaic Netherlands Holding Co., a subsidiary of Mosaic Co., will receive the newly issued shares, which will be subject to a three-year lock-up period. Limited transfers will begin in the fourth year, with full tradability by the fifth year, the circular said. 

The acquisition will enhance Ma’aden’s control over MWSPC, recognized as a low-cost, large-scale phosphate producer. It will also grant Ma’aden access to Mosaic’s marketing rights, a component of the deal’s valuation at SR5.62 billion. 

Ma’aden expects increased earnings per share following the transaction, reflecting anticipated synergies and enhanced operational efficiencies, according to the document. 

The company assured shareholders that all regulatory approvals for the transaction have been secured, with a detailed timeline for procedural steps provided in the circular. 

The move underscores Ma’aden’s commitment to driving value creation in the Kingdom’s mining sector, aligning with Saudi Vision 2030 goals to diversify the economy and develop industrial capabilities. 

In the first half of this year, Ma’aden achieved a net profit of SR2 billion, marking a 160 percent increase compared to the same period in 2023. 

The surge in profitability was driven by several key factors. A major contributor to this financial success was the significant boost in sales volume, according to a Tadawul statement. 

The company’s robust performance in primary aluminum and gold sales played a crucial role in driving up revenues. Ma’aden also benefited from reductions in raw material costs and lower depreciation expenses, which further enhanced its profitability. 

Ma’aden’s performance and strategic advancements underscore its commitment to leading the mining sector and contributing to Saudi Arabia’s economic diversification goals, particularly in developing mining as a critical pillar of the Kingdom’s industry. 

Topics: Saudi Arabia Mining Saudi Arabian Mining Co. (Ma’aden) Ma’aden Saudi mining

Related

Saudi GDP to receive $3bn boost after raft of deals at Local Content Forum
Business & Economy
Saudi GDP to receive $3bn boost after raft of deals at Local Content Forum
Saudi entertainment sector to create 450,000 jobs by 2030: Investment ministry
Business & Economy
Saudi entertainment sector to create 450,000 jobs by 2030: Investment ministry

Saudi Urban 20 delegation emphasizes need for frameworks to tackle development issues 

Saudi Urban 20 delegation emphasizes need for frameworks to tackle development issues 
Updated 21 November 2024
Nour El-Shaeri 
Follow

Saudi Urban 20 delegation emphasizes need for frameworks to tackle development issues 

Saudi Urban 20 delegation emphasizes need for frameworks to tackle development issues 
Updated 21 November 2024
Nour El-Shaeri 

RIYADH: Saudi Arabia emphasized the need for comprehensive strategic frameworks to tackle global economic, climate, and development challenges during the seventh Urban 20 Summit in Rio de Janeiro. 

A delegation led by Fahd Al-Rasheed, adviser to the General Secretariat of the Saudi Council of Ministers, participated in several key discussions at the event, highlighting the Kingdom’s urban development strategies and its commitment to sustainability, social inclusion, and economic empowerment on a global scale. 

Speaking about the country’s approach to urban transformation, Al-Rasheed said: “Saudi Arabia has adopted a comprehensive strategic framework for urban development and transformation that empowers city leadership to pursue the initiatives that drive their growth and success.” 

He also underlined that the U20, which unites cities from G20 member states, is vital in facilitating tools such as financing models to support cities in achieving their goals. 

Al-Rasheed gave those remarks during a panel discussion titled “Empowering Cities on their Own Paths to Development,” which included global urban leaders such as Edward Glaeser of Harvard University, Nasiphi Moya, mayor of Pretoria, and Kate Gallego, mayor of Phoenix. 

At the summit, Al-Rasheed also attended the launch of the first U20 book, a compilation of insights from global urbanists addressing shared challenges faced by metropolizes. 

His contribution, titled “Enlightened City Leadership: A New Model for a Sustainable Urban Future,” highlighted the importance of training city leaders to manage the complexities of modern urban administration. 

“Delivering on urban development imperatives requires comprehensive strategic planning that embraces governance, resourcing, and competitive advantage,” he remarked. 

Al-Rasheed pointed to projections that cities with populations exceeding 1 million will increase from 700 today to 1,600 by 2080. 

To meet the growing demand, he underlined that approximately 2 million urban leadership professionals will need to be trained over the next 35 years. 

“Urban development plans must include mechanisms to address pervasive issues, including poverty and social inclusion while preparing the next generation of city leaders to confront the deluge of challenges that cities will continue to face worldwide,” he said. 

The Urban 20 event in Brazil. Supplied

Al-Rasheed further explained that although many institutions offer training in disciplines such as urban planning, civil engineering, and public administration, there remains a lack of programs providing a comprehensive curriculum specifically focused on preparing city leaders to address both the technical and socioeconomic aspects of their roles. 

The U20 summit concluded with a closed-door session attended by Luiz Inacio Lula da Silva, president of Brazil, where Al-Rasheed reiterated the Kingdom’s commitment to sustainability and social equity in urban development. 

“We are proud to represent Saudi Arabia’s unique perspective and experience in urban development on this important global stage,” he said, according to press release, adding: “We look forward to continuing Saudi Arabia’s legacy of leadership at the Urban 20 and to continuing our work with urban leaders from around the world to unify city voices around common challenges.” 

Among the highlights of the delegation’s activities was a mayoral dinner co-hosted by Al-Rasheed and Eduardo Paes, mayor of Rio de Janeiro and chair of this year’s Urban 20. 

The event brought together more than 100 city leaders, including the mayors of major cities such as Paris, Pretoria, Helsinki, and Phoenix, to celebrate civic leadership and its impact on urban development. 

Representatives from multinational organizations, such as Anaclaudia Rossbach, executive director of UN-Habitat, also attended the gathering.

In his opening remarks at the dinner, Al-Rasheed said: “Mayoral leadership calls for a unique combination of abilities to anticipate and navigate future trends, including technological disruptions, economic shifts, and demographic changes, while demonstrating the social sensitivity to care for and improve citizens’ daily lives.” 

He added: “By convening senior city leaders from around the world to address the common challenges of urban development and city leadership, Saudi Arabia continues to demonstrate its commitment to global collaboration in the spirit of the Urban 20.”

Topics: G20 Urban 20 (U20) mayors summit Fahd Al-Rasheed

Related

Saudi Arabia foreign minister urges a balanced energy transition at G20 Summit session photos
Saudi Arabia
Saudi Arabia foreign minister urges a balanced energy transition at G20 Summit session
Special U20 Mayors Summit: Reimagining the city in the age of COVID-19
Middle-East
U20 Mayors Summit: Reimagining the city in the age of COVID-19

British Airways reverses plan to axe Bahrain flights amid outcry

British Airways reverses plan to axe Bahrain flights amid outcry
Updated 21 November 2024
Arab News
Follow

British Airways reverses plan to axe Bahrain flights amid outcry

British Airways reverses plan to axe Bahrain flights amid outcry
  • Ex-UK defense secretary: Cancelation would have sent ‘totally the wrong message’
  • Decision to scrap Kuwait route remains ‘under review’
Updated 21 November 2024
Arab News

LONDON: British Airways has reversed a decision to scrap direct flights to Bahrain following a backlash, the Daily Mail reported.

However, flights to nearby Kuwait are still set to be suspended in March as part of previous plans aimed at tackling financially unviable flights at the airline.

Earlier this month, the Mail reported that BA had planned to cancel the Bahrain and Kuwait routes after almost a century of service.

The Gulf states have long had close ties to Britain, and the decision reportedly angered officials in Manama. Airline staff who served on the two routes were also set to lose their jobs.

Though the Kuwait route axing remains “under review,” the initial decision to cancel the Bahrain route would have sent “totally the wrong message” about the UK’s diplomatic stance toward the Gulf region, former Defense Secretary Liam Fox told the Mail.

Thousands of residents in Bahrain with close ties to the UK launched a petition demanding that the route remain available.

Bahrain hosts a Royal Navy base at Mina Salman Port, and the country has long had close commercial and trade ties with the UK.

BA said in a statement: “Following discussions with our partners and stakeholders, we can confirm we will operate a service between London Heathrow and Bahrain International Airport three times a week from the start of the summer 2025 season. This will increase to a daily service from the start of the Winter 2025 season.”

BA’s predecessor Imperial Airways first launched flights to Bahrain in 1971.

Manama became a key financial hub in the Gulf partly due to the presence of London-based Standard Chartered, which set up the country’s first bank in 1920.

Bahrain’s sovereign wealth fund, the Mumtalakat, owns McLaren, the UK luxury automotive manufacturer.

The fund plans to expand its British holdings through a series of investments, the Mail reported earlier this year.

The UK is also negotiating a free trade deal with the Gulf Cooperation Council, which includes Bahrain and Kuwait.

The six GCC countries combined represent the UK’s fourth-largest export market after the US, the EU and China.

Mohamed Yousif Al-Binfalah, chief of the Bahrain Airport Co., said: “We are delighted to witness British Airways continue operations at Bahrain International Airport.

“As the oldest airline operating out of Bahrain for over 92 years, the enduring partnership with British Airways is a testament to our shared commitment to excellence.”

Topics: aviation British Airways UK Bahrain

Related

British Airways to resume Jeddah operations, enhancing UK-Saudi connectivity
Business & Economy
British Airways to resume Jeddah operations, enhancing UK-Saudi connectivity
British Airways suspends bookings to Cairo, Morocco amid short-haul block
Business & Economy
British Airways suspends bookings to Cairo, Morocco amid short-haul block

Latest updates

International Maritime Organization welcomes Saudi Arabia’s permanent representative
International Maritime Organization welcomes Saudi Arabia’s permanent representative
Closing Bell: Saudi main index slips to close at 11,840
Closing Bell: Saudi main index slips to close at 11,840
International sustainability accreditation for Buraidah Oasis
International sustainability accreditation for Buraidah Oasis
At least 38 killed as gunmen open fire on vehicles carrying Shiites in northwest Pakistan
At least 38 killed as gunmen open fire on vehicles carrying Shiites in northwest Pakistan
Israel strikes south Beirut as Hezbollah says targeted south Israel
Israel strikes south Beirut as Hezbollah says targeted south Israel

Search form

Print Edition
Read pdf version Subscribe now
© 2024 SAUDI RESEARCH & PUBLISHING COMPANY, All Rights Reserved And subject to Terms of Use Agreement.