UNHCR official says refugee numbers will surge without urgent climate action

The Institute for Economics and Peace predicts that in the worst-case scenario, 1.2 billion people could be displaced by 2050 as a result of natural disasters and other ecological threats. (WEF/File)
The Institute for Economics and Peace predicts that in the worst-case scenario, 1.2 billion people could be displaced by 2050 as a result of natural disasters and other ecological threats. (WEF/File)
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Updated 16 October 2024
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UNHCR official says refugee numbers will surge without urgent climate action

UNHCR official says refugee numbers will surge without urgent climate action
  • Global Future Councils, Andrew Harper underlines need ‘to turn despondency into hope’
  • Prof. Tolu Oni: ‘Future cities could be transformative if designed to be “cleaner, greener, and fairer”’

DUBAI: The global refugee crisis will continue to escalate unless immediate action is taken to address the effects of climate change, Andrew Harper, special advisor to the United Nations High Commissioner for Refugees, told the Global Future Councils in Dubai on Tuesday.

Highlighting the inextricable link between human security and climate change, Harper said that current data paints a grim picture, making it difficult to remain optimistic about future outcomes.

“There are talks, meetings and conferences but we are still not seeing the change that is required,” Harper said.

“The number of vulnerable people and refugees fleeing conflicts and climate disasters will only increase if no change is implemented. The climate is getting warmer and so we simply must change from rhetoric to action.”

With more than 120 million refugees worldwide, Harper said that accountability must extend not only to the refugees themselves but also to the countries that host them.

“How do you go about empowering people when you’ve got budget cuts in food programs and other organizations? There are no schools, no education on sustainability, we have got to turn despondency into hope.”

Harper called for a focus on “repairing the environment,” adequately funding frontline workers, and building sustainable infrastructure, stressing the importance of including women and youth in decision-making processes to “find long term solutions for our long term problems.”

According to UNHCR, 84 percent of refugees and asylum seekers in 2022 came from highly climate-vulnerable countries, up from 61 percent in 2010.

Only 1 percent of refugees have been able to return home, a challenge expected to grow as climate change continues to worsen conditions in many countries, further deteriorating basic living conditions and hindering opportunities for development in many countries of origin.

The Institute for Economics and Peace predicts that in the worst-case scenario, 1.2 billion people could be displaced by 2050 as a result of natural disasters and other ecological threats.

Speaking on the “Betazone: Green and Fair?” panel, Tolu Oni, clinical professor of global public health and sustainable urban development at the University of Cambridge, said that cities and large urban areas are not immune to the effects of climate change.

She argued that as pressure and reliance on urbanization grow, cities must be central to climate change discussions.

Oni said “50 percent of greenhouse emissions come from cities. Meanwhile, urbanization is happening faster than ever before in history. It cannot be business-as-usual-models anymore. We need to develop new approaches.”

Oni pointed out that future cities could be transformative if designed to be “cleaner, greener, and fairer,” warning that relying on outdated methods would come at a high cost.

“Are we exploring different ways or still consulting the same people but expecting different outcomes?” she said, adding that “the cost of inaction will be high if cities are not built well and will end up bearing the cost later in a different sector, like the health sector.”

Oni stressed the need for better urban planning and financing, emphasizing intersectoral collaboration. She also called for local action and greater public involvement in decision-making.

“We need to democratize knowledge creation and encourage mainstream participation,” she said, noting that real change can come only through collective effort at every level.


Closing Bell: Saudi main index closes in green at 11,970 

Closing Bell: Saudi main index closes in green at 11,970 
Updated 26 March 2025
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Closing Bell: Saudi main index closes in green at 11,970 

Closing Bell: Saudi main index closes in green at 11,970 

RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Wednesday, gaining 263.98 points, or 2.26 percent, to close at 11,970.19. 

The total trading turnover of the benchmark index was SR6.18 billion ($1.65 billion), as 239 stocks advanced, while 14 retreated.    

The MSCI Tadawul Index increased by 6.13 points, or 0.41 percent, to close at 1,490.20. 

The Kingdom’s parallel market, Nomu, also rose, gaining 374.70 points, or 1.22 percent, to close at 30,988.44. This comes as 56 stocks advanced, while 27 retreated. 

The best-performing stock was Umm Al Qura for Development and Construction Co. with its share price surging by 14.19 percent to SR23.98. 

Other top performers included Allied Cooperative Insurance Group, which saw its share price rise by 9.13 percent to SR13.86, and Nama Chemicals Co., which saw a 8.98 percent increase to SR30.95. 

Gulf General Cooperative Insurance Co. saw the biggest decline of the day, with its share price slipping 2.60 percent to SR9. 

The Co. for Cooperative Insurance at SR139, down 1.56 percent, and Astra Industrial Group at SR151, down 1.31 percent, both saw declines. 

On the announcement front, Rawasi Albina Investment Co. reported its 2024 financial results, posting net profits of SR7.4 million, a 68.4 percent drop from the previous year. In a statement on Tadawul, the company attributed the decline to a reduced gross profit margin. 

Saudi Fisheries Co. reported a net loss of SR40.9 million for 2024, an improvement from SR119.9 million the previous year, reflecting a 65.8 percent reduction. SFICO attributed the reduction to lower farm-related expenses for shrimp and fish production, a decline in operating costs amid reduced business activity, and a 27 percent drop in SG&A expenses.  

Additionally, the reversal of a SR7.6 million impairment for non-financial assets contributed to the improvement, the firm said in a Tadawul statement. 

However, the net margin remained negative due to fixed farm costs incurred after harvesting, increased consultancy expenses related to capital restructuring, and the recognition of SR8.98 million in provisions for inventory, supplier advances, and trade receivables. 

The firm’s shares traded 2.41 percent higher on the main market to close at SR102. 

Eastern Province Cement Co. also announced its annual financial results for last year. The company’s net profit surged to SR248 million from SR196 million in the previous year. 

In a statement, the company said that the increase was driven by higher cement sales in both quantity and value, along with a rise in precast sales.  

Additionally, reduced losses from the share in an associate company’s results, lower other expenses, realized gains from the sale of investments at fair value through profit or loss, and a decrease in zakat expenses contributed to the overall improvement. 

The firm’s shares traded 4.26 percent higher on the main market to close at SR35.50. 


Egypt’s economy expands 4.3% in second quarter, says minister

Egypt’s economy expands 4.3% in second quarter, says minister
Updated 26 March 2025
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Egypt’s economy expands 4.3% in second quarter, says minister

Egypt’s economy expands 4.3% in second quarter, says minister

RIYADH: Egypt’s economy grew 4.3 percent in the second quarter of 2024-25, accelerating from 2.3 percent a year earlier, driven by structural reforms and rising private sector investment, Planning Minister Rania Al-Mashat said. 

The improved performance reflects the government’s fiscal and monetary adjustments alongside a reduction in public investment, which Al-Mashat said has helped stabilize the economy and drive growth. 

The minister previously forecast 4 percent growth for the full fiscal year, highlighting Egypt’s focus on improving its investment climate and securing $4.2 billion in macroeconomic support from global partners.   

In a statement posted on the government’s official Facebook page, she said: “This is driven by structural reforms aimed at diversifying sources of growth and increasing the competitiveness of the Egyptian economy, which was evident in the strong performance of productive sectors such as manufacturing, tourism, and communications.” 

Al-Mashat added that the government is working to shift toward tradable sectors like manufacturing to create a more diversified and sustainable economy, strengthening Egypt’s ability to navigate global economic challenges. 

She also highlighted the positive outlook for gross domestic product growth, supported by ongoing structural reforms and economic diversification. 

Non-oil manufacturing led economic growth, expanding by 17.74 percent — a sharp turnaround from an 11.56 percent contraction in the same period last year — driven by increased production and faster customs clearance.  

The tourism sector maintained its strong performance with an 18 percent surge, while private investment rose, making up more than half of total investments. Public investment, however, declined by 25.7 percent.  

The Information and Communications Technology sector grew by 10.4 percent, supported by digital infrastructure expansion and rising demand for services. 

Despite ongoing geopolitical tensions affecting Suez Canal activity and a slowdown in the extraction sector, Al-Mashat underscored that economic reforms remain key to building a more competitive, sustainable economy and bolstering investor confidence.  

She noted that net exports turned positive in the second quarter, driven by growth in commodity and service exports. 

In January, Al-Mashat reiterated the government’s focus on disciplined investment management, stating that the public investment budget for the year is capped at 1 trillion Egyptian pounds ($19.78 billion), prioritizing projects that are at least 70 percent complete. 

Between 2020 and 2024, Egypt’s private sector secured $14.5 billion in concessional development financing from global partners. For the first time, private sector access to international soft financing surpassed that of the government in 2024, Al-Mashat noted at that time. 

She also revealed that negotiations are ongoing with the EU and other international partners for a second phase of macroeconomic support, including €4 billion ($4.10 billion) in budget aid and €1.8 billion in investment guarantees. 


CMA proposes easing investor criteria for Nomu to boost participation, liquidity

CMA proposes easing investor criteria for Nomu to boost participation, liquidity
Updated 26 March 2025
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CMA proposes easing investor criteria for Nomu to boost participation, liquidity

CMA proposes easing investor criteria for Nomu to boost participation, liquidity

JEDDAH: Saudi Arabia’s Capital Market Authority has proposed easing investor criteria for Nomu, the Kingdom’s parallel market, aiming to expand participation and improve liquidity.

The proposed amendments suggest reducing the minimum transaction requirement for individual investors from SR40 million ($8 million) to SR30 million over a 12-month period.

Additionally, the requirement for quarterly trading activity would be eliminated. Under the new regulations, board and committee members of companies listed on Nomu would also be eligible to qualify as investors.

The project aims to reserve the term “Qualified Investor in the Parallel Market” for eligible categories, amend the minimum transaction value required for classifying a natural person as a qualified investor, and rank board members and committee members of listed companies as suitable to invest.

Saudi Arabia accounted for 31 percent of the region’s total initial public offering proceeds in 2024, making it the second-largest contributor after the UAE. The Saudi Exchange, Tadawul, witnessed 14 IPOs on its main market, collectively raising $3.8 billion. Nomu also saw 28 IPOs, generating $297 million.

The CMA called upon relevant and interested persons participating in the capital market to share their feedback on the draft for 30 days, ending on April 28.

Earlier in March, the CMA called for feedback on the draft “Regulatory Framework for Debt Instruments Offering Platforms and Investing in Them,” which aims to develop debt instrument offerings by licensed capital market institutions for securities crowdfunding.

With the consultation period to end on April 23, the draft outlines regulatory and licensing requirements for offering and investing in debt instruments, aligning with developments in the capital market.

Key proposals include allowing organizations to present debt instruments in the sukuk and debt market and enabling companies with a FinTech Experimental Permit to obtain the necessary license to operate as capital market institutions.

Organizations will need an arranging license to offer debt instruments through crowdfunding platforms. The draft also introduces requirements for safeguarding client funds and registrable functions for licensed establishments.

The proposal aims to expand the role of capital market institutions in financial technology, enhance the debt market, and increase participation in securities crowdfunding, supporting the CMA’s objectives.


Jewelry spending fuels Saudi POS surge for 2nd consecutive week

Jewelry spending fuels Saudi POS surge for 2nd consecutive week
Updated 26 March 2025
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Jewelry spending fuels Saudi POS surge for 2nd consecutive week

Jewelry spending fuels Saudi POS surge for 2nd consecutive week

RIYADH: Saudi Arabia’s point-of-sale transactions climbed 6.3 percent to SR14.4 billion ($3.8 billion) in the week ending March 22, with jewelry once again leading the growth.

The latest figures from the Saudi Central Bank, also known as SAMA, showed that spending in the sector registered the largest increase in the value of transactions at 29.9 percent to reach SR544.4 million.

Jewelry also saw a 34.4 percent surge in terms of the number of transactions, reaching 403,000.

The hotel sector ranked second with a 24.8 percent surge in transaction value to SR440 million. Spending on clothing and footwear followed, rising 24.5 percent, holding the second-largest share of POS transactions at SR1.87 billion.

Overall transactions increased by 22.4 percent to 12 million.

Expenditure on transportation edged up by 6.9 percent to SR950.8 million, and spending in restaurants and cafes increased by 3.7 percent, bringing the total value of transactions to SR1.5 billion.

The smallest spending increases were in the telecommunication and the construction sectors, rising by 0.2 percent to SR114.8 million and 0.03 percent to SR308 million, respectively.

Spending on education saw the steepest decline for the second week in a row, dropping 37.2 percent to SR88.2 million, following a 144.6 percent surge during the week from March 2 to 8 as students returned from the winter break.

Expenditure on public utilities saw a 4.5 percent dip to SR52.4 million, and spending on food and beverages recorded a 2 percent drop to SR1.88 billion, but still held the largest share of the POS.

Miscellaneous goods and services accounted for the third biggest POS share, with a 5.8 percent uptick, reaching SR1.7 billion. 

Spending in the leading three categories accounted for approximately 38.1 percent, or SR5.5 billion, of the week’s total value.

Geographically, Riyadh dominated POS transactions, representing around 34.1 percent of the total, with spending in the capital reaching SR4.9 billion — a 4.6 percent increase from the previous week. 

Jeddah followed with a 9.8 percent increase to SR2.1 billion, and Makkah came in third at SR933.2 million, up 14 percent. 

Tabuk experienced the smallest increase in spending, edging up by 0.6 percent to SR248.2 million. 

Buraidah and Makkah saw the largest increases in terms of number of transactions, surging by 4.2 percent and 3 percent, respectively, to 4.4 million and 9.8 million transactions.


Emirates NBD teams up with BlackRock to expand private market access 

Emirates NBD teams up with BlackRock to expand private market access 
Updated 26 March 2025
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Emirates NBD teams up with BlackRock to expand private market access 

Emirates NBD teams up with BlackRock to expand private market access 

RIYADH: Dubai’s Emirates NBD has partnered with US-based investment firm BlackRock to launch a dedicated platform aimed at giving its wealthy clients greater access to private markets and alternative assets. 

The two firms signed a memorandum of understanding to create this platform, as well as introduce an initial range of evergreen offerings focused on income and growth strategies, tailored exclusively for the UAE wealth market, according to a press statement. 

Clients of Emirates NBD Asset Management will gain access to BlackRock’s Alternative Investments platform, which currently oversees more than $450 billion in assets under management. 

The appetite for private market investments has been rising globally, driven by investors seeking portfolio diversification and stronger returns. This trend is further fueled by a slowdown in global capital market activity amid higher borrowing costs, with the alternative asset market projected to reach $30 trillion by the end of the decade. 

Marwan Hadi, group head of retail and wealth management at Emirates NBD, said: “Innovation is a cornerstone at Emirates NBD, and we are pleased to partner with BlackRock to offer access to best-in-class, products in alternative markets through a dedicated platform while supporting the growing needs of investors in the region.”  

He added: “We are deeply committed to creating value through our offerings and advancing the investment landscape in the UAE and the wider region, which has been experiencing a strong appetite in the last few years.” 

This partnership also aims to democratize investment opportunities previously limited to institutional investors and ultra-high-net-worth individuals. 

Beyond investment opportunities, BlackRock will leverage its open architecture approach to support Emirates NBD Asset Management’s private markets expansion, offering services including marketing, education, training, and technology. 

“We are delighted to partner with Emirates NBD as they build out their private markets platform. Spurred by investor sentiment and facilitated by product innovation, technology, and regulatory advancements, wealth allocations to private markets are predicted to increase materially over the next five years,” said Rachel Lord, head of International at BlackRock. 

Emirates NBD serves more than 9 million customers across 13 countries, holding 997 billion dirhams ($271 billion) in assets as of Dec. 31, 2024.