Riyadh Air partners with FIFA’s Concacaf as official airline

Riyadh Air partners with FIFA’s Concacaf as official airline
Riyadh Air is set to begin operations in 2025 and plans to serve over 100 destinations worldwide by 2030. File/SPA
Short Url
Updated 19 August 2024
Follow

Riyadh Air partners with FIFA’s Concacaf as official airline

Riyadh Air partners with FIFA’s Concacaf as official airline
  • Deal aims to enhance airline’s presence in global sports
  • Also aims to. support Concacaf’s national and club competitions across the Americas

RIYADH: Saudi Arabia’s Riyadh Air has secured a multi-year agreement to become the official airline partner of Concacaf, the FIFA Confederation for North, Central America, and the Caribbean. 

The deal aims to enhance the airline’s presence in global sports and support Concacaf’s national and club competitions across the Americas. 

Under the partnership, the Public Investment Fund-owned carrier will be involved in Concacaf’s men, women, and youth football events, reinforcing its role in the football community. 

The collaboration supports Riyadh Air’s goal of enhancing connectivity and contributing to football’s development. It also aligns with Saudi Arabia’s broader ambitions, including its bid to host the FIFA World Cup 2034, further establishing the Kingdom’s prominence in global sports and beyond. 

Osamah Al-Nuaiser, senior vice president of marketing and corporate Communications at Riyadh Air, said: “Our partnership with Concacaf will bring passionate football fans closer to thrilling games and action in countries and territories in the Concacaf region.” 

He also underscored the airline’s commitment to supporting football through its partnership with Concacaf. As the “Official Airline Partner,” the airline emphasizes its role in promoting and advancing the sport’s growth. 

The partnership increases the national carrier’s visibility and supports its goal of enhancing travel experiences through digital integration. It also expands Riyadh Air’s involvement in football, building on its earlier sponsorship with Athlético de Madrid, announced in August 2023. 

“This partnership with Riyadh Air marks an exciting new chapter for Concacaf. Their global vision will support us in elevating all aspects of football in Concacaf, from grassroots programs to our world-class tournaments,” said Philippe Moggio, general secretary of Concacaf. 

He continued: “We are excited about the opportunities this partnership will create, connecting fans across continents and inspiring them to passionately follow the beautiful game.” 

The Saudi carrier is set to begin operations in 2025 and plans to serve over 100 destinations worldwide by 2030, aiming to enhance Saudi Arabia’s role as a key global travel hub. 

Riyadh Air’s deal with Concacaf follows the announcement of the governing body’s multi-year partnership with PIF signed on Aug. 15. This agreement aimed to enhance football across North and Central America and the Caribbean. 

The partnership will support football development at all levels and improve Concacaf’s tournaments for men, women, and youth. 

It aligns with major upcoming events, including the Concacaf Champions Cups, the 2025 Concacaf Gold Cup, and the 2026 FIFA World Cup, co-hosted by Canada, Mexico, and the US. 

The agreement emphasizes strengthening football development initiatives and expanding access to the sport for youth across all 41 Concacaf member federations.


Visa aims for 10-fold rise in Pakistani use of digital payments

Visa aims for 10-fold rise in Pakistani use of digital payments
Updated 11 September 2024
Follow

Visa aims for 10-fold rise in Pakistani use of digital payments

Visa aims for 10-fold rise in Pakistani use of digital payments
  • Partnership with 1Link to enhance remittances and payment security
  • Pakistan has 120,541 point of sales machines, according to central bank data

KARACHI: Visa plans to increase the number of businesses accepting digital payments in Pakistan tenfold over the next three years, the payments giant’s general manager for Pakistan, North Africa and Levant told Reuters.

The comments from Leila Serhan came as Visa announced a strategic partnership with 1Link, Pakistan’s largest payment service provider, aimed at streamlining remittances into the South Asia country and encouraging digital transactions.

Pakistan, with a population of 240 million, is home to one of the world’s largest unbanked populations. Only 60 percent of its 137 million adult population, or 83 million adults, have a bank account, based on central bank estimates.

Visa is investing in building digital payment infrastructure in the country, aiming to make digital payments less costly and more manageable.

Currently, Pakistan has 120,541 point of sales (POS) machines, according to central bank data.

Visa intends to significantly increase this number. 

“Some businesses have more than one POS machine. We’re aiming at ten-folding businesses’ acceptance (of digital transactions),” said Serhan.

The strategy involves technology that transforms phones into payment instruments and accepting various forms of payment, including QR and card tap. Visa aims to expand beyond large cities and mainstream businesses to include smaller merchants.

The 1Link deal aims to improve the process for sending and receiving remittances, including bolstering payments security, boosting such transactions via legal channels.

As one of the top remittance recipients globally, Pakistan relies heavily on funds from overseas Pakistanis, which constitute a vital source of foreign exchange and significantly contribute to the country’s GDP.

“We’re really looking forward to finishing this technical integration in the coming months, and I think it’s going to be a game changer for a lot of the consumers in Pakistan,” said Serhan.

The partnership with 1Link will also enable 1Link’s PayPak cards to be accepted on Visa’s Cybersource Platform for online transactions, despite PayPak being a competitor in digital payments.

Pakistan signed a $7 billion bailout deal with the International Monetary Fund in July, which includes reforms such as raising revenue and documenting the economy.

“Digital payments are going to be at the heart of what the government wants to do from a digitization perspective, and we will continue to partner with them,” Serhan said. 


Standard Chartered starts custody services for digital assets in UAE

Standard Chartered starts custody services for digital assets in UAE
Updated 10 September 2024
Follow

Standard Chartered starts custody services for digital assets in UAE

Standard Chartered starts custody services for digital assets in UAE

DUBAI: Standard Chartered said on Tuesday it had begun offering digital asset custody services in the UAE, with Brevan Howard Digital, the crypto and digital asset division of the British hedge fund, as an inaugural client.

The emerging markets focused bank said it launched the business in the country because of its “well-balanced approach to digital asset adoption and financial regulation.”

“Standard Chartered’s global reputation and demonstrated commitment to this space adds a layer of credibility that is meaningful for institutional adoption,” Brevan Howard Digital CEO Gautam Sharma said in a joint statement.

The UAE has been working hard to attract some of the world’s biggest crypto firms, luring business from Binance, OKX, among others. It has also been trying to develop virtual asset regulation to attract new forms of business.

It has also managed to attract big hedge funds.

Standard Chartered is among several banks that have been extending their foray into the crypto sector as more institutional investors adopt the asset class.


Saudi Arabia to scale back debt issuance in H2: Fitch Ratings

Saudi Arabia to scale back debt issuance in H2: Fitch Ratings
Updated 10 September 2024
Follow

Saudi Arabia to scale back debt issuance in H2: Fitch Ratings

Saudi Arabia to scale back debt issuance in H2: Fitch Ratings

RIYADH: Saudi Arabia plans to reduce its debt issuance in the second half of 2024, thanks to substantial dividend payments from Aramco that have alleviated the need for sovereign financing, according to Fitch Ratings.

This decision comes after a period of significant debt issuance in the first half of the year, reflecting the government’s strategic fiscal management.

In the first half of 2024, Saudi Arabia emerged as the largest issuer of US dollar debt among emerging markets, excluding China, and maintained its position as the top global sukuk issuer.

Fitch Ratings anticipates substantial expansion in Saudi Arabia’s debt market in the coming years. Bashar Al-Natoor, global head of Islamic Finance at Fitch, stated.

“The Saudi sukuk and bond market is expected to surpass $500 billion in outstanding value within the next couple of years.”

Al-Natoor highlighted that most Saudi sukuk rated by Fitch are investment-grade, underscoring the robustness of the country’s Islamic finance sector.

Al-Natoor also emphasized the crucial role of Vision 2030 projects, ongoing diversification efforts, and regulatory reforms in fortifying the country’s debt market. He said: “We expect substantial dollar debt issuance to continue in 2025 as oil revenues moderate,” reflecting the necessity for ongoing financing as Saudi Arabia transitions to a more diversified economy.

As the Kingdom pursues its Vision 2030 objectives, these factors will significantly shape its financial markets.

The report highlights that Saudi Arabia’s strategic debt management and reforms position it as a prominent player in global debt markets during its economic transition.

By mid-2024, Saudi Arabia’s debt capital market had expanded by 18 percent year on year to $407.7 billion, with nearly equal proportions in US dollar and riyal-denominated issuances.

The debt issued in the first half of 2024 equaled the total for all of 2023, underscoring the rapid growth of Saudi Arabia’s debt market.

Approximately two-thirds of the 2024 issuances were sukuk, highlighting the Kingdom’s strong preference for Shariah-compliant financing. Additionally, nearly 10 percent of dollar-denominated debt consisted of environmental, social, and governance instruments, reflecting a growing interest in sustainable finance.

Foreign investor participation in Saudi Arabia’s domestic government debt market has surged to 7.2 percent of local issuances by mid-2024, a significant increase from 0.2 percent in 2022.

Local banks continue to dominate the market, holding over 75 percent of the government debt share, with a pronounced focus on sukuk due to Shariah compliance requirements.

While foreign investor participation in Saudi Arabia’s debt market has risen— thanks in part to reforms and the Kingdom's inclusion in global bond indices—domestic banks remain the dominant players. Many of these banks, adhering to Shariah compliance, focus on sukuk rather than conventional bonds, reinforcing Saudi Arabia’s position as the world’s largest sukuk issuer.

The increase in foreign investments is largely attributed to key reforms, including Saudi Arabia’s entry into global bond indices like the FTSE Emerging Markets Government Bond Index and enhanced integration with international central securities depositories such as Euroclear and Clearstream.

Despite the promising growth in the debt market, Fitch Ratings has cautioned that it remains vulnerable to several risks. These include fluctuations in oil prices and interest rates, concerns over the scale and purpose of debt issuance, and ongoing geopolitical uncertainties.


Closing Bell: Saudi main index rises to close at 11,986

Closing Bell: Saudi main index rises to close at 11,986
Updated 10 September 2024
Follow

Closing Bell: Saudi main index rises to close at 11,986

Closing Bell: Saudi main index rises to close at 11,986

RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Tuesday, gaining 23.7 points, or 0.2 percent, to close at 11,986.  

The total trading turnover of the benchmark index was SR7.18 billion ($1.94 billion), as 143 of the stocks advanced and 80 retreated.   

The Kingdom’s parallel market Nomu rose 104.79 points, or 0.42 percent, to close at 25,600.58. This comes as 32 of the listed stocks advanced, while 31 retreated.   

The MSCI Tadawul Index gained 2.0 points, or 0.12 percent, to close at 1,492.12.   

The best-performing stock of the day was Saudi Enaya Cooperative Insurance Co., whose share price surged 9.94 percent to SR17.92.  

Other top performers were Amana Cooperative Insurance Co. as well as Saudi Industrial Development Co., with their share prices rising 9.85 percent and 5.96 percent, respectively. 

The worst performer was Tourism Enterprise Co., whose share price dropped by 4.21 percent to SR0.91.   

Other worst performers were Saudi Fisheries Co. and Miahona Co., with their share prices slipping 4.14 percent and 4.00 percent to reach SR26.6 and SR30, respectively. 

The best performer in the parallel market was Leaf Global Environmental Services Co., whose share price surged 18.88 percent to SR85.  

Other top performers in Nomu were Fad International Co. as well as Qomel Co., with their share prices rising 5.59 percent and 5.5 percent, respectively. 

The worst performer was Banan Real Estate Co., whose share price dropped by 6.18 percent to SR5.16.   

Other worst performers were Enma Al Rawabi Co. and Al Rashid Industrial Co., with their share prices dropping 4.9 percent and 4.37 percent, respectively. 

On the announcement front, the Capital Market Authority approved the public offering of Jadwa Investment Co. for its “Jadwa Saudi Equity Fund II.”

Jadwa Investment is a prominent Saudi asset management and advisory firm established in 2006. 

Known for its focus on Shariah-compliant investments, the company manages a diverse portfolio that spans private equity, real estate, and public markets. 

This move marks another step in the expansion of the Kingdom’s equity fund landscape, which has been gaining momentum as the nation seeks to diversify its economy away from oil dependency.

This follows a series of reforms aimed at modernizing the financial ecosystem, including presenting more sophisticated investment products and the gradual liberalization of the stock market.

A central part of this modernization effort includes the introduction of exchange-traded funds, real estate investment trusts, and various Shariah-compliant financial instruments that cater to the growing demand for diverse investment options.

These reforms also encompass improvements in transparency, governance, and investor protection. The CMA has implemented stricter disclosure requirements and corporate governance standards, ensuring that companies listed on Tadawul adhere to global best practices.


Financial sector key aspect of high-level Saudi Arabia and Germany talks  

Financial sector key aspect of high-level Saudi Arabia and Germany talks  
Updated 10 September 2024
Follow

Financial sector key aspect of high-level Saudi Arabia and Germany talks  

Financial sector key aspect of high-level Saudi Arabia and Germany talks  

JEDDAH: Saudi Arabia and Germany are set to strengthen their economic ties in the finance sector following high-level talks between officials from both countries. 

The Kingdom’s Investment Minister Khalid Al-Falih met with the European country’s Finance Minister Christian Lindner to discuss advancing investment relations, strengthen cooperation and address mutual interests in this critical area.  

This comes as Germany exported €705 million ($775.5 million) worth of goods to Saudi Arabia in June, while imports from the Kingdom totaled $180.4 million, resulting in a trade surplus of $595.1 million, according to the Observatory of Economic Complexity.  

Germany’s exports to Saudi Arabia increased by $89.5 million over the past year, while imports from the Kingdom dropped by $116.6 million, reflecting shifting trade dynamics.   

Referencing his meeting with Lindner In a post on his X account, Al-Falih said: “... we discussed ways to develop and advance investment relations between our two countries in a number of vital sectors of common interest, especially the financial sector.” 

Al-Falih also met with German Vice Chancellor and Minister for Economic Affairs and Climate Action Robert Habeck to explore new avenues for collaboration.  

The meeting, attended by Saudi Ambassador to Germany Prince Abdullah bin Khaled bin Sultan, underscored the commitment to deepening bilateral financial ties. 

Additionally, Al-Falih engaged with Jorg Kukies, state secretary at Germany’s Federal Chancellery, to discuss strategies for strengthening economic relations.  

He also participated in a roundtable meeting with leaders of German companies across various sectors, including automotive, investment funds, energy, manufacturing, and supply chains. 

The minister noted that the meeting reviewed Germany’s key expansion interests in the Kingdom and highlighted the diverse investment opportunities available across various sectors. 

He also attended the NUMOV MENA 2024 conference, focusing on Saudi-German collaboration in emerging and advanced technologies.  

NUMOV, Germany’s oldest and largest organization promoting economic development with the Near and Middle East, has supported bilateral business relationships for 90 years. 

The Saudi minister also participated in the board meeting of the Arab-German Chamber of Commerce and Industry, where he discussed the partnership between the two countries and the Kingdom’s ambitious plans under Vision 2030. 

He also covered developments in key areas such as renewable energy, biotechnology, and artificial intelligence.