Saudi Arabia highlights efforts to develop fisheries sector during UN committee presidency 

Saudi Arabia highlights efforts to develop fisheries sector during UN committee presidency 
Saudi Arabia’s Permanent Representative to the FAO Mohammad Al-Ghamdi chaired the UN Committee on Fisheries. SPA
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Updated 10 July 2024
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Saudi Arabia highlights efforts to develop fisheries sector during UN committee presidency 

Saudi Arabia highlights efforts to develop fisheries sector during UN committee presidency 

RIYADH: Saudi Arabia has highlighted its role in leading and unifying international efforts to develop the fisheries sector during its presidency of a special UN committee dedicated to the industry

This came during the conclusion of the 36th session of the body, which was held at the headquarters of the Food and Agriculture Organization in Rome, and was chaired by the Kingdom’s Permanent Representative to the FAO Mohammad Al-Ghamdi.

During the meeting, Saudi Arabia reviewed its most prominent efforts to promote and develop the fisheries sector and achieve its sustainability during its two-year presidency, the Saudi Press Agency reported. 

This falls in line with the Kingdom’s Ministry of Environment, Water, and Agriculture’s continuous efforts over the past years to boost the fisheries sector, including establishing a national program to protect fish stocks and the industry as a whole, the provision of concessional loans to assist small-scale fishermen with the purchase of boats, along with initiatives to modernize ports in the Red Sea and Arabian Gulf.

Moreover, during the session, Al-Ghamdi explained that Saudi Arabia played an integral role during its presidency in leading and unifying international efforts to develop the sector, indicating that the committee worked in its first phase to implement the outcomes and recommendations of the previous committee.

He went on to note that the body’s efforts in the second phase focused on developing the performance of member states and interacting with main and subsidiary events to achieve its goals.  


Egypt signs investment deals worth $340m to boost oil and gas production

Egypt signs investment deals worth $340m to boost oil and gas production
Updated 10 sec ago
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Egypt signs investment deals worth $340m to boost oil and gas production

Egypt signs investment deals worth $340m to boost oil and gas production

CAIRO: Egypt’s Ministry of Petroleum and Mineral Resources signed two agreements with international companies on Sunday to invest $340 million to boost oil and gas production in the Mediterranean and Gulf of Suez.

After discussions between Egypt’s Petroleum Minister Karim Badawi and executives from international oil and gas companies, a $222 million investment deal with Shell Egypt and Malaysia’s Petronas was signed to boost natural gas production in the Mediterranean’s West Delta region. The deal includes the drilling of three wells and establishment of marine facilities.

A $120 million agreement with Cheiron Energy was also signed to increase oil production in the Gulf of Suez.


Saudia tops global airline list for on-time performance in June

Saudia tops global airline list for on-time performance in June
Updated 18 min 45 sec ago
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Saudia tops global airline list for on-time performance in June

Saudia tops global airline list for on-time performance in June
  • National carrier recorded an on-time departure rate of 88.73 percent
  • King Khalid International Airport in Riyadh also secured the top position for most on-time performance

RIYADH: Saudi Arabia’s national carrier has topped the list of global airlines as it achieved an 88.22 percent on-time arrival rate in June, according to new data from the independent aviation tracking site Cirium.

Saudia also recorded an on-time departure rate of 88.73 percent, while operating 16,133 flights across its network of over 100 destinations on four continents.

The accomplishment is significant given that June is a peak travel month due to the annual Muslim Hajj pilgrimage and the summer travel season. The Kingdom saw around 2 million visitors during the Hajj season this year.

King Khalid International Airport in Riyadh also secured the top position for most on-time performance globally in June for the second consecutive month, according to the same report.

This comes amid steady growth in Saudi Arabia’s aviation sector, which contributed $21 billion to the Kingdom’s gross domestic product in 2023, enhancing its status as a global tourism hub.

The National Transport and Logistics Strategy aims to increase the aviation industry’s GDP contribution from the current 6 percent to 10 percent by 2030.

Ibrahim Al-Omar, director general of Saudia Group, said: “This accomplishment is a realization of our strategic goals to enhance operational efficiency and quality through continuous improvements in flight scheduling and the implementation of the best digital solutions and systems for operations management.”

He added: “Maintaining a high level of on-time performance requires significant effort, as it involves overcoming numerous operational challenges in the aviation industry, such as weather conditions, high temperatures, technical issues, and other airport-related factors.” 

Saudia has been consistently ranked among the top 10 global airlines for on-time performance since last year, reflecting its commitment to high-quality standards and air safety, the company said.

Its operations are coordinated through one of the largest integrated operation control centers in the Middle East, which utilizes the latest technologies for aircraft communications to ensure smooth operations by monitoring all procedures related to aircraft takeoff and landing in real-time at all domestic and international airports.

King Khalid International Airport’s top ranking by Cirium underscores its dedication to operational excellence and serves as a catalyst for ongoing improvements, said Ayman Aboabah, CEO of Riyadh Airports Co., the Saudi Press Agency reported.

“This excellence reflects our commitment to quality and operational efficiency. It motivates us to continue collaborating with various partners at King Khalid International Airport to deliver the best travel experience and the highest level of services to our passengers,” he added.

“King Khalid International Airport stands as a national landmark, showcasing the Kingdom’s status and future aspirations in line with Vision 2030’s objectives,” Aboabah also said.

He highlighted the importance of his staff’s commitment to the highest operational standards, which he said was a defining characteristic of the airport’s workforce, and their continuous efforts to enhance passenger experiences.

The recognition of King Khalid International Airport as the world’s most punctual airport follows a third-place ranking by Cirium in January. The airport advanced to first place in May and maintained this position in June, reflecting its recent rapid and notable progress.


Oman’s total credit balance hits $81bn in May

Oman’s total credit balance hits $81bn in May
Updated 27 min 3 sec ago
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Oman’s total credit balance hits $81bn in May

Oman’s total credit balance hits $81bn in May

RIYADH: Private sector credit growth has driven Oman’s total credit balance to 31.1 billion Omani rials ($80.9 billion) by the end of May 2024, marking a 3.2 percent annual increase, according to the latest data from the nation’s central bank.

Credit to the private sector alone grew by 3.1 percent, reaching 26.1 billion Omani rials during the same period. The central bank’s data shows that non-financial companies held the largest share of the credit balance at 45.4 percent by the end of May 2024, followed closely by the individual sector at 45.3 percent. Financial companies accounted for 5.7 percent, while other sectors comprised 3.6 percent of the total credit balance.

The expansion of the banking sector aligns with the International Monetary Fund’s forecast that Oman will maintain its economic resilience in near future. 

Following a visit in May led by Cesar Serra, mission chief for Oman at the IMF, the fund concluded that the banking sector remains stable, supported by sufficient capital and liquidity buffers and high asset quality.

Total deposits in Oman’s banking sector increased robustly by 9.2 percent, reaching 30 billion Omani rials by the end of May 2024. Private sector deposits played a significant role in this growth, rising by 14 percent to 20.4 billion Omani rials. The individual sector held the largest share of private sector deposits at 50.4 percent, followed by non-financial corporations at 29.4 percent, financial corporations at 17.4 percent, and other sectors at 2.8 percent.

The total credit balance granted by commercial banks rose by 1.3 percent, with private sector credit increasing by 1.1 percent to 20.3 billion Omani rials by the end of May 2024.

Investment activities among traditional commercial banks also saw significant growth. Total investments in securities surged by 20.8 percent to approximately 5.6 billion Omani rials compared to the same month last year. Investment in government development bonds decreased by 9 percent to 1.9 billion Omani rials. Conversely, investments in foreign securities by commercial banks soared by 80.6 percent to 2.2 billion Omani rials by the end of May 2024.

On the liabilities side, total deposits at conventional commercial banks rose by 7.1 percent to 23.9 billion Omani rials. Government deposits with commercial banks decreased by 3.8 percent to about 5.2 billion Omani rials, and public sector institution deposits fell by 1.5 percent to 1.7 billion Omani rials. Private sector deposits, however, saw a notable increase of 9.9 percent, reaching 16.2 billion Omani rials and making up 67.8 percent of total deposits in conventional commercial banks.


Saudi insurance sector to consolidate as Buruj and MedGulf sign merger deal

Saudi insurance sector to consolidate as Buruj and MedGulf sign merger deal
Updated 28 July 2024
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Saudi insurance sector to consolidate as Buruj and MedGulf sign merger deal

Saudi insurance sector to consolidate as Buruj and MedGulf sign merger deal
  • MoU aims to establish a framework for the strategic transaction through a share exchange offer

RIYADH: The Saudi insurance sector is set for consolidation as two leading firms signed a non-binding memorandum of understanding to explore a potential merger.

The MoU between Buruj Cooperative Insurance Co. and the Mediterranean and Gulf Insurance and Reinsurance Co., known as MedGulf, aims to establish a framework for the strategic transaction through a share exchange offer, according to a Tadawul filing. 

The deal will involve increasing MedGulf’s capital and issuing new shares to Buruj shareholders based on an exchange ratio to be agreed upon by both parties, it added.

This comes as the government aims to strengthen the insurance sector as part of its Vision 2030 plan to diversify the economy and enhance financial stability.

Saudi Arabia’s insurance industry is projected to experience a compound annual growth rate of 5.2 percent until 2028, reaching SR83.7 billion ($22.3 billion), according to UK-based consultancy firm Global Data.

This growth, up from SR68.3 billion in 2024, is primarily driven by the health and motor segments, which together will account for 86 percent of the overall gross written premiums. 


Bahrain Bourse issues new regulatory framework for market makers

Bahrain Bourse issues new regulatory framework for market makers
Updated 28 July 2024
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Bahrain Bourse issues new regulatory framework for market makers

Bahrain Bourse issues new regulatory framework for market makers

RIYADH: The Bahrain Bourse has introduced a new regulatory framework for market making and updated the rules for liquidity providers to advance capital and bolster its funds.

The initiative, approved by the Central Bank of Bahrain, aims to align the exchange’s practices with international standards, benefiting investors and market participants.

Effective July 28, existing market makers will be certified as liquidity providers, and a transition period will be granted to ensure compliance with the updated guidelines.

The decision is part of the Bahrain Exchange’s broader efforts to modernize and enhance the nation’s financial markets. It aims to attract international investors, increase market participation, and ensure a robust trading environment. 

These changes are expected to play a pivotal role in Bahrain’s economic development, reinforcing its position as a regional financial hub.

Abdulla Janahi, the senior director of trading operations at the exchange, said: “The new rules are part of Bahrain Exchange’s ongoing strategic efforts to increase market activity, enhance the price disclosure process, and improve market efficiency through better order execution. 

“Enhancing market activity is a fundamental element of our strategy to develop the capital market infrastructure in Bahrain,” he added.

Janahi encouraged interested members to contact the trading operations department and submit the necessary documentation, which is available on the Bahrain Exchange website.

The framework introduces two membership types to enhance market activity, including liquidity providers and market makers. 

The former will support trading by placing continuous buy and sell orders for specific stocks on behalf of issuing companies. Meanwhile, market makers will manage funds for specific stocks, maintaining trade flow by placing buy and sell orders as stipulated in agreements with the exchange. 

These deals detail obligations, such as minimum periods of activity, order sizes, and required levels of liquidity.

Both types of participants must meet licensing requirements set by the Central Bank of Bahrain and obtain accreditation from the Bahrain Exchange. 

This dual-layered approval process ensures that only qualified entities can participate, thereby maintaining market integrity and stability, the Bahrain News Agency reported.

In September 2023, the Bourse issued a consultation paper on the new market-making rules, inviting feedback from market participants.

This regulatory overhaul is expected to significantly enhance activity, attract more investors, and improve the Bahraini capital market’s overall efficiency and transparency.