Riad Salameh arrest – turning point or strategic maneuver by former Lebanese central bank chief?

Analysis Riad Salameh arrest –  turning point or strategic maneuver by former Lebanese central bank chief?
Former Lebanese central bank chief Riad Salameh, who was arrested on Tuesday over alleged financial crimes. AP Photo/Hussein Malla/File
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Updated 05 September 2024
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Riad Salameh arrest – turning point or strategic maneuver by former Lebanese central bank chief?

Riad Salameh arrest –  turning point or strategic maneuver by former Lebanese central bank chief?

RIYADH: The arrest of Riad Salameh, Lebanon’s former central bank governor, has sent shockwaves through Lebanon’s financial and political spheres. 

After over a year of intense scrutiny and numerous allegations of financial misconduct, Salameh’s apprehension is being closely analyzed from multiple perspectives.

Some believe his arrest might be an attempt to deflect attention from systemic failures within Lebanon’s financial sector, while others regard the arrest as a significant development many hold both views.

One banker, who chose to remain anonymous, provided a nuanced interpretation of the situation when speaking to Arab News.

“My initial reaction is that the government is seeking a scapegoat to avoid taking responsibility for the financial crash,” he said. 

Despite this, he acknowledged that Salameh was not entirely blameless.

The banker expressed skepticism about the effectiveness of the Lebanese judiciary in tackling high-profile financial crimes. 

“The Lebanese judiciary lacks impartiality,” he stated. “Their attempts to bring criminals to justice have been ineffective, and the judges’ lack of experience in financial investigations is significant.”

He also questioned the credibility of seeing the arrest as a gesture toward international bodies like the Financial Action Task Force and the International Monetary Fund. 

“I don’t believe this will help,” he said, referring to Lebanon’s tarnished reputation due to inaction. 

His concern reflects a broader skepticism about whether the arrest will lead to substantive reforms or merely serve as a symbolic act.

On the topic of investor confidence, the banker was pessimistic. He argued that the damage to Lebanon’s financial system had already been done and meaningful changes are needed to ensure a true recovery.

“Politicians need to take responsibility and move forward, even if it means making difficult decisions,” he said.




The entrance of Lebanon's central bank in March 2023, covered in graffiti by protesters over the liquidity crisis which started in 2019. Shutterstock

While Lebanon’s central bank is supposed to be an independent organization, the banker highlighted that the governor’s tenure was marked by a preoccupation with political decisions rather than focusing on the financial management crucial to the institution.

This raises a critical question: Is Salameh solely to blame for Lebanon’s financial turmoil, or is he just one component in a much larger system of mismanagement and corruption? 

According to the banker, the situation reflects a broader systemic issue. 

“The simple words to describe this are mismanagement and corruption to the highest level,” he said, adding: “The irony is that it hasn’t really stopped.” 

This perspective suggests that while Salameh’s arrest might address one aspect of the crisis, it does not tackle the deep-seated issues that have plagued Lebanon’s financial and political systems for years.

George Kanaan, honorary chairman of the Arab Bankers Association, echoed some of the sentiments expressed by the anonymous banker but also provided a critical perspective on Salameh’s alleged misconduct. 

Kanaan expressed a clear stance on the matter, and said:: “I think he deserves to be in jail, and I think he has clearly committed theft.” 

He lamented that the more substantial issue of financial mismanagement, which he believes is not prosecutable, is overshadowed by Salameh’s individual actions.

Another anonymous banker provided a detailed analysis of the political context surrounding Salameh’s arrest, suggesting several possible scenarios that could explain the timing and nature of this high-profile event. 

He posited that Salameh’s arrest might be linked to broader political maneuvers and speculated on three primary scenarios.

Firstly, the banker suggested that Salameh’s arrest might be part of a larger political deal, potentially positioning him as a scapegoat for the pervasive corruption among Lebanese politicians. “His arrest might be part of a broader political deal,” he said.

This theory hinges on the idea that Salameh could be sacrificed to placate public outrage and international pressure, thereby protecting other, more powerful figures who may be equally or more culpable. 

The banker pointed out that Ali Ibrahim, the financial prosecutor of Beirut — who is reportedly a protégé of the head of the country’s parliament Nabih Berri — has just pressed charges of fraud and money laundering against Salameh. 

Berri was once one of Salameh’s major protectors, which adds a layer of complexity to the current political dynamics.

Another scenario proposed is that Salameh might have felt personally endangered and decided to turn himself in as a form of self-preservation. 

The banker highlighted that Salameh had been publicly summoned over the past 13 months but had consistently failed to attend hearings. 

His arrest, surrounded by high levels of secrecy and occurring without the presence of his legal team, could indicate that he feels safer in jail. 

“He might be feeling endangered due to threats, and he decided to turn himself in so he would be protected behind cell bars,” he noted.

The third scenario was that Salameh’s arrest could be a prelude to a future clearing of his name. 

According to this view, the arrest might be part of a strategy to demonstrate that the Lebanese judiciary is taking significant actions against high-profile figures. 

If Salameh is eventually declared innocent, it could imply that the Lebanese judiciary system has conducted a thorough investigation and that Salameh’s arrest was a procedural step rather than an indictment of his guilt. 

“He was arrested to be cleared and declared innocent at a later stage,” the banker suggested. 

This would signal that the judiciary is making a concerted effort to address corruption, albeit in a way that ultimately exonerates Salameh.

The banker emphasized that Salameh’s role as the central figure in Lebanon’s financial system adds considerable weight to these scenarios. 

“He is the secret keeper of all the financial transactions that happened in Lebanon,” he said, underscoring the pivotal role Salameh played in managing and orchestrating financial dealings. 

His deep involvement in the financial system and knowledge of sensitive transactions make him a key figure in understanding Lebanon’s financial mismanagement, which further complicates the political and legal landscape surrounding his arrest.

Legal analysis: implications and challenges

Jihad Chidiac, a Lebanon-based attorney, said the country was “positively surprised” by the arrest, but raised questions about its broader implications. 

He noted that Salameh’s prosecution in Lebanon could potentially preclude further international legal actions due to the principle of non bis in idem, or double jeopardy.




Lebanon-based attorney Jihad Chidiac. File

Chidiac highlighted the significance of the arrest in the context of Lebanese judicial capacity, saying: “Riad Salameh’s arrest represents a crucial step toward accountability of high-profile figures for alleged financial crimes.”

He also addressed the potential for the arrest to influence Lebanon’s relationship with international bodies. 

According to the attorney, the arrest could be a strategic move to align with international expectations and potentially improve Lebanon’s standing with the FATF and IMF. 

However, he cautioned that the arrest alone might not significantly advance Lebanon’s negotiations with these bodies, given the slow progress on reforms.

Chidiac expressed concerns about the broader impact of Salameh’s arrest on corruption and financial mismanagement in Lebanon. “Addressing these systemic problems will require a more comprehensive and sustained approach,” he said, emphasizing the need for effective legal actions and institutional reforms.

The attorney emphasized that while this case sets a new precedent — given that no other high-ranking figures have faced similar legal actions before — the eventual outcome remains uncertain. 

He highlighted the concern that if Salameh were to disclose crucial information, it could potentially jeopardize a large number of public and prominent figures. 

This adds an extra dimension to the case, as the ramifications of his revelations could be far-reaching.

“The possibility of such disclosures raises significant concerns about the stability of Lebanon’s political and financial institutions, and how they might react to protect themselves from further exposure,” Chidiac said.

Amine Abdelkarim, a criminal law specialist, echoed that reaction, as he argued that Salameh’s arrest was long-overdue. 

“The arrest of Riad Salameh is a purely legal act that should have occurred years ago. However, political interference prevented it,” he said.

Abdelkarim noted that “since the economic crisis and the October 17 revolution, European countries like Belgium, France, and Germany have pursued Salameh for crimes related to money laundering and illicit enrichment.”

Lebanon now faces a pivotal moment, as its judiciary must undertake a serious investigation into what Abdelkarim calls “the largest financial crime Lebanon has witnessed since its establishment, and perhaps the largest global financial crime at the level of a sovereign state.” 

The integrity of this process is underscored by Abdelkarim’s confidence in the investigative judge, Bilal Halawi, who he believes is key to ensuring the judiciary’s credibility.

Abdelkarim also touched on Lebanon’s complex relations with foreign nations, particularly European countries that have issued arrest warrants for Salameh. 

He noted that these countries are likely to demand Salameh’s extradition, creating a legal dilemma for Lebanon. 

“We cannot predict how relations might evolve if Lebanon refuses to hand over Salameh for prosecution abroad,” the law specialist said as he reflected on the diplomatic and legal challenges that lie ahead.

Regarding the possibility that Salameh’s arrest is part of a broader political negotiation, Abdelkarim expressed caution. 

While he acknowledged that such a scenario is possible, he doubted that Salameh would accept being the sole scapegoat for the financial collapse. 

“There are many political figures involved with Salameh, and I don’t believe he will be the only victim,” he remarked, leaving room for further developments in the political and legal fallout from the arrest.

On the potential for Salameh’s arrest to trigger broader reforms, Abdelkarim was cautiously optimistic. 

“This may lead to a correction in the way state funds are managed,” he said, noting that international pressure could push Lebanon toward necessary reforms. 

However, he tempered this optimism by acknowledging the political deadlock in Lebanon, particularly the ongoing failure to elect a new president, which may delay meaningful change.

From a legal perspective, Abdelkarim outlined the key charges against Salameh, including embezzlement of public funds, money laundering, and illicit enrichment. 

He warned of possible legal maneuvers by Salameh to obstruct the investigation, such as withholding crucial documents. 

Abdelkarim emphasized the need for judicial reform, particularly the passage of the judicial independence law, which has been stalled in parliament for years.

As Lebanon grapples with these developments, the effectiveness of the judiciary in handling such high-profile cases will be closely watched. 

It could serve as a litmus test for the country’s commitment to tackling corruption and restoring public trust in its institutions. 

The coming days will be crucial in determining whether this arrest will lead to meaningful reform or merely serve as a symbolic gesture.


IMF mission concludes visit to Egypt for the 4th review of loan program

IMF mission concludes visit to Egypt for the 4th review of loan program
Updated 7 sec ago
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IMF mission concludes visit to Egypt for the 4th review of loan program

IMF mission concludes visit to Egypt for the 4th review of loan program

CAIRO: The International Monetary Fund said on Wednesday that its mission had concluded a visit to Egypt and made substantial progress on policy discussions toward the completion of the fourth review of IMF loan program.

The review, which could unlock more than $1.2 billion in financing, is the fourth under Egypt’s latest 46-month IMF loan program that was approved in 2022 and expanded to $8 billion this year after an economic crisis marked by high inflation and severe foreign currency shortages.

The IMF also said that Egypt “has implemented key reforms to preserve macroeconomic stability,” including the unification of the exchange rate that eased imports, with its central bank reiterating its commitment to sustain a flexible exchange rate regime.

Earlier on Wednesday, Egypt’s Prime Minister Mostafa Madbouly said Cairo has asked the IMF to modify the targets for the program not only for this year, but for its full duration, he added without giving more details.

“Discussions will continue over the coming days to finalize agreement on the remaining policies and reforms that could support the completion of the fourth review,” the IMF added in its statement. 


Oil Updates – prices edge up on geopolitical tensions; higher-than-expected US inventories cap gains

Oil Updates – prices edge up on geopolitical tensions; higher-than-expected US inventories cap gains
Updated 21 November 2024
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Oil Updates – prices edge up on geopolitical tensions; higher-than-expected US inventories cap gains

Oil Updates – prices edge up on geopolitical tensions; higher-than-expected US inventories cap gains

SINGAPORE: Oil prices rose marginally on Thursday as geopolitical concerns over escalating tensions between Russia and Ukraine countered the impact from a bigger-than-expected increase in US crude inventories.

Brent crude futures rose 16 cents, or 0.2 percent, to $72.97 as of 7:08 Saudi time. US West Texas Intermediate crude futures rose 16 cents, or 0.23 percent, to $68.91.

Ukraine fired a volley of British Storm Shadow cruise missiles into Russia on Wednesday, the latest new Western weapon it has been permitted to use on Russian targets a day after it fired US ATACMS missiles.

Moscow has said the use of Western weapons to strike Russian territory far from the border would be a major escalation in the conflict. Kyiv says it needs the capability to defend itself by hitting Russian rear bases used to support Moscow’s invasion, which entered its 1,000th day this week.

“For oil, the risk is if Ukraine targets Russian energy infrastructure, while the other risk is uncertainty over how Russia responds to these attacks,” said ING analysts in a note.

JPMorgan analysts said oil consumption recovered in the past week thanks to better travel demand in the US and India, and as the latter also showed a significant rise in industrial demand.

Global oil demand is estimated to reach 103.6 million barrels per day (bpd) during the first 19 days of November, up 1.7 million bpd on-year, the analysts said in a note.

But countering the gains was a rise in US crude inventories by 545,000 barrels to 430.3 million barrels in the week ended Nov. 15, exceeding analysts’ expectations in a Reuters poll for a 138,000-barrel rise.

Gasoline inventories last week rose more than forecast, while distillate stockpiles posted a larger-than-expected draw, according to the Energy Information Administration data.

Adding to supply, Norway’s Equinor said it had restored full output capacity at the Johan Sverdrup oilfield in the North Sea following a power outage.

Meanwhile, the Organization of the Petroleum Exporting Countries and its allies led by Russia, the group known as OPEC+, may push back output increases again when it meets on Dec. 1 due to weak global oil demand, according to three OPEC+ sources familiar with the discussions.

OPEC+, which pumps around half the world’s oil, had initially planned to gradually reverse production cuts with minor increases spread over several months in 2024 and 2025.

However, the International Energy Agency said in its report last week even if OPEC+ cuts remain in place, oil supply will exceed demand in 2025 as rising production from the US and other outside producers outpaces sluggish demand. 


Saudi Arabia’s construction contracts jump 47% to $49.3bn in H1 2024  

Saudi Arabia’s construction contracts jump 47% to $49.3bn in H1 2024  
Updated 21 November 2024
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Saudi Arabia’s construction contracts jump 47% to $49.3bn in H1 2024  

Saudi Arabia’s construction contracts jump 47% to $49.3bn in H1 2024  

RIYADH: Saudi Arabia’s construction sector continues to thrive, with contract awards totaling SR185 billion ($49.3 billion) in the first half of the year, revealed a senior executive. 

Speaking during a webinar hosted by the US-Saudi Business Council, Albara’a Al-Wazir, the council’s director of economic research, said the figure represents a 47 percent increase compared to the previous year. 

He added that 2024 was well above where 2023 stood at the same point last year. “On a quarterly basis, in Q2, the value of contract awards reached about $17.6 billion — that’s about SR66 billion — and grew year over year by about 11 percent,” said Al-Wazir.  

He further highlighted that the year-to-date performance was even more impressive. 

Al-Wazir emphasized that the construction sector benefits from strong collaboration between the government and the private sector in helping meet Vision 2030 targets. 

“The private sector’s contribution was 4.9 percent, demonstrating exponential growth in construction contracts,” the executive added. 

The overall construction index, which tracks construction activity expected to move into the execution phase within six to 18 months, surged significantly to reach 271 points. 

“Sustained growth is evident, with the index showing year-over-year increases of 33 percent,” Al-Wazir said. 

Regarding sector-specific growth, he said: “Oil and gas, real estate, and water sectors are keeping the momentum from the first quarter into the second quarter, and the growing influential role of the private sector is expanding not just the economy in general but specifically the construction sector.”  

Oil and gas represented 41 percent of total contract awards, with the second quarter seeing a 505 percent year-over-year growth, largely due to Saudi Aramco’s projects.  

“The oil and gas sector reached unprecedented levels, with $7.3 billion in Q2 alone,” Al-Wazir said. 

The real estate sector also showed strong growth, with an 8 percent year-over-year increase in contract values. Residential real estate remains a key focus, especially as the Kingdom moves closer to its 2030 goal of 70 percent homeownership. 

Water infrastructure saw a 26 percent year-over-year growth, with projects such as sewage plants in the Eastern Province contributing to the overall momentum. 

“There is no sign of a slowdown in these sectors,” he said, adding that the pace of contract awards is expected to remain strong. 

Regional overview 

Regional breakdowns showed that the Eastern Province remains the dominant hub for construction, accounting for 59 percent of total contract awards, driven primarily by oil and gas projects based there. 

Riyadh has also experienced growth, especially in the real estate sector, which accounted for 56 percent of contracts in the capital. Key projects include educational and healthcare infrastructure, such as the SR2.3 billion King Salman University project and the Diriyah Gate. 

Saudi Arabia’s investment surge in infrastructure is part of a broader strategy to build a sustainable and diversified economy. 

“The Kingdom is positioning itself as a diversified economic powerhouse with a thriving private sector that can sustain its economy and drive innovation,” Al-Wazir added. 

Urban transformation  

Saudi Arabia’s urban landscape is undergoing a significant transformation, shifting from a centralized model dominated by Riyadh and Jeddah to a polycentric approach, according to Elias Abou Samra, CEO of RAFAL Real Estate Development Co. 

“Economic activity is no longer clustered solely around traditional hubs. We’re seeing new nodes emerging in the south, such as the Red Sea as a tourist destination, NEOM in the northwest, and economic centers like Dammam and even the north,” Abou Samra said. 

These new urban nodes are being connected through advanced infrastructure, including high-speed railways and newly opened airports. 

This shift, Abou Samra noted, is creating new opportunities for investment and employment while boosting the competitiveness of industries like mining and electric vehicle production. 

“King Abdullah Economic City, for example, is leading in EV car production, and this is just one of many examples,” he added. 

Abou Samra also highlighted the Kingdom’s progress in human capital development. “Saudi Arabia created 1 million jobs in 2023, and we’re on track to break this record in 2024,” he noted, stressing that much of this growth is being driven by the private and quasi-governmental sectors. 

He further pointed out that Saudi Arabia has become an increasingly attractive destination for expatriates, particularly with initiatives like the premium residency program. 

“This program allows expats to invest in real estate and economic sectors through equity stakes, opening opportunities that were previously inaccessible,” he explained. 

While acknowledging the progress, Abou Samra pointed out areas where further improvements are needed, particularly in economic efficiency. 

“I’m not here just to paint a rosy picture, and we need to keep a close eye on economic growth and the efficiency of the economy. The short-run multiplier stands at 0.2 as we speak, and medium to long term, it peaks at 0.6. If we compare this to the G20 countries, we are lagging behind,” he said. 

Abou Samra added, “But the good news is that the government is very keen on improving the multiplier effect, and the efficiency of the public sector is increasing by the quarter, not to say, by the day. This is driven by new involvement by the youth in the public sector.”  

This comes as Saudi Arabia continues to prioritize both social and physical infrastructure development in alignment with Vision 2030. 

“These are really focal points that the Kingdom is addressing currently,” Al-Wazir said. 

Meanwhile, physical infrastructure projects serve as the backbone for developments across the country, requiring significant investment and resources.  

One example is Riyadh’s redevelopment under the Royal Commission for Riyadh City, which is heavily dependent on physical infrastructure support. 

Gross fixed capital formation, a measure of investment in infrastructure and assets, rose by 3.2 percent overall, with private sector contributions growing 5.3 percent. 

“We’re starting to see an inflection point where the private sector is growing its role, while government contributions have declined by 8 percent year-over-year,” Al-Wazir said. 

The Kingdom’s emphasis on fostering public-private partnerships and attracting foreign direct investment is expected to reshape its business landscape. 

“Bolstered public-private partnerships and FDI are likely to foster a more dynamic private sector, driving innovation in technology, urban planning, and renewable energy,” Al-Wazir added. 

The executive reaffirmed the trajectory of Saudi Arabia’s construction sector, noting that the Kingdom is on track to meet many of its Vision 2030 targets, driven by record-breaking investments and an expanding private sector role. 


Saudi local content projects valued at $213bn by Q3 2024, says Alkhorayef

Saudi local content projects valued at $213bn by Q3 2024, says Alkhorayef
Updated 20 November 2024
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Saudi local content projects valued at $213bn by Q3 2024, says Alkhorayef

Saudi local content projects valued at $213bn by Q3 2024, says Alkhorayef

JEDDAH: The value of projects under Saudi Arabia’s local content initiatives has reached approximately SR800 billion ($213 billion) by the third quarter of 2024, according to the Kingdom’s Minister of Industry and Mineral Resources, Bandar Alkhorayef.

Speaking at the ongoing second edition of the Local Content Forum in Riyadh, themed “Partnerships for Sustainable Growth,” Alkhorayef revealed that Saudi Arabia’s share of local content in government procurement has increased from 33 percent in 2020 to 47 percent by the third quarter of 2024.

The minister, who also serves as chairman of the Local Content and Government Procurement Authority, added that the authority has focused on encouraging target sectors to adopt and prioritize local content, improving governance in government procurement processes, and enhancing efficiency in this area.

Established in 2018, the LCGPA is responsible for developing and overseeing policies and regulations, fostering local opportunities, promoting transparency, and utilizing national purchasing power. In collaboration with both public and private sectors, its mission is to strengthen local content in the national economy and improve government procurement processes.

The second edition of the forum builds on the success of the first, offering new opportunities for knowledge exchange, experience sharing, and raising awareness about the enablers, mechanisms, and policies of local content.

During his speech, Alkhorayef emphasized the critical role of the LCGPA in advancing local content, which he described as a cornerstone of Saudi Vision 2030.

He highlighted local content as both a brilliant concept and a key innovation introduced by Vision 2030. Alkhorayef noted that local content has received consistent attention since its inception, with Crown Prince Mohammed bin Salman underscoring its national importance in his meetings.

The initiative has now become integral to national strategies and government actions, receiving recognition at local, regional, and international levels.

The minister further stated that the authority’s success is a result of a shared belief in the importance of local content. To maximize its impact, the authority has established and activated over 380 local content teams across various entities to ensure proper implementation and compliance with policies.

Alkhorayef also mentioned that the authority has supported national factories by adding 1,100 new products to the mandatory list, directing nearly SR87 billion in national spending toward local products from early 2022 through Q3 2024.

Additionally, the number of factories producing items on the mandatory list has increased by 1,437, reaching a total of approximately 6,100, an 8 percent growth rate—surpassing the 5 percent growth rate of all factories in the Kingdom. This growth has generated over 42,000 new job opportunities in the past three years, supporting the Kingdom’s efforts to empower national talent and create sustainable employment.

Alkhorayef also highlighted the authority’s success in signing 50 agreements to localize industries and transfer knowledge in key sectors such as transportation, logistics, medical supplies, pharmaceuticals, and water. These agreements are expected to contribute over SR47 billion to the country’s gross domestic product.

The minister emphasized that the benefits of local content extend beyond economic outcomes, contributing to stronger local capabilities, enhanced national security against global challenges, improved supply chain resilience, and increased foreign investment and technology transfer to the Saudi market.

He reiterated that achieving the shared national goal of advancing local content requires the collective effort of all sectors, affirming that the LCGPA is working at an accelerated pace with national entities to realize this goal and fulfill the Kingdom’s aspirations.

In his address during the forum, Faisal Al-Ibrahim, minister of planning and economy, emphasized the importance of knowledge transfer for local content.

He remarked: “Today we may produce a simple product, but tomorrow there will be multiple simple products, and over time, more complex products will be built on them. This accumulated knowledge sustains long-term economic diversification.”

Al-Ibrahim noted that Saudi Vision 2030’s core objective is to diversify economic growth by fostering an environment conducive to developing competitive products and services for global markets. He emphasized that local content is essential for the economy’s resilience and its ability to address future challenges.

In a panel discussion titled “Future Directions of Local Content in the Context of Saudi Vision 2030,” Al-Ibrahim explained that increasing exports will help diversify sources of growth, aiming for expansion beyond oil and public finances. This strategy will drive private sector growth, support small and medium-sized businesses, and create sustainable jobs.

Investment Minister Khalid Al-Falih also participated in the forum, asserting that the Saudi economy “should be, and is, part of an integrated global economy.”

He noted that globalization is here to stay, despite evolving supply chain dynamics and country-to-country connections. Al-Falih stressed that Saudi Arabia is targeting foreign investment to reach 5.7 percent of the total economy, aiming for a market worth over SR6 trillion by 2030, equating to nearly SR388 billion in investment.

Highlighting the local economy’s importance, Al-Falih pointed out that Saudi Aramco has become a global hub for knowledge and technology transfer. He also noted SABIC’s success in building a vast petrochemical industry in Saudi Arabia through partnerships with foreign investors and mentioned Ma’aden’s expanding global presence.

Ahmed Al-Zahrani, assistant minister of energy for development and excellence, discussed the role of the country’s energy sector localization committee, chaired by Energy Minister Prince Abdulaziz bin Salman and deputized by Alkhorayef.

Al-Zahrani emphasized the committee’s mission to promote localization and ensure stable supply chains within the energy sector. He highlighted a research and development program in collaboration with over 14 government and private entities, including Aramco, ACWA Power, SABIC, and several universities.

The goal, he said, is to ensure the sustainability of localization from research and development through innovation to the final product.


Closing Bell: Saudi main index closes in red at 11,867 

Closing Bell: Saudi main index closes in red at 11,867 
Updated 20 November 2024
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Closing Bell: Saudi main index closes in red at 11,867 

Closing Bell: Saudi main index closes in red at 11,867 

RIYADH: Saudi Arabia’s Tadawul All Share Index declined on Wednesday, shedding 7.99 points, or 0.07 percent, to close at 11,867.92.

The total trading turnover of the benchmark index was SR4.78 billion ($1.27 billion) with 88 of the listed stocks advancing, while 141 declined.  

Saudi Arabia’s parallel market Nomu, however, gained by 0.98 percent to 29,859.11.  

The MSCI Tadawul Index marginally slipped 0.49 points to close at 1,491.34. 

The best-performing stock of the day was Al-Baha Investment and Development Co., with its share price increasing by 7.14 percent to SR0.30.  

Fawaz Abdulaziz Alhokair Co.’s share price rose by 8.29 percent to SR14.10, while Development Works Food Co.’s stock surged by 6.85 percent to SR131. 

Conversely, Saudi Chemical Co. recorded the biggest drop, falling 2.90 percent to SR9.71. 

On the parallel market, the top performer was Dar Almarkabah for Renting Cars Co., with its share price surging 15.45 percent to SR50.80. 

Saudi Investment Bank announced the launch of its US-denominated additional tier 1 capital sustainable sukuk under its sukuk program. 

In a statement to Tadawul, the bank revealed the appointment of Alistithmar for Financial Securities and Brokerage Co., Citigroup Global Markets Limited, HSBC Bank, and JP Morgan Securities as joint lead managers.  

It also appointed Goldman Sachs International, MUFG Securities EMEA plc, Arqaam Capital Limited, and Standard Chartered Bank as bookrunners. 

The offering, available to eligible investors in Saudi Arabia and internationally, commenced on Nov. 20 and is scheduled to close on Nov. 21. 

With a minimum subscription of $200,000, the sukuk will be perpetual and callable after five years. 

Saudi Investment Bank’s share price rose 2.65 percent to SR13.58. 

Knowledge Tower Trading Co. has announced a board resolution to transfer from the parallel market to the main market, subject to market approval and fulfillment of all regulatory requirements.  

Following the announcement, the company’s share price saw a significant increase of 7.20 percent, closing at SR10.90