ACWA Power inks $1.78bn agreements to boost renewable energy, R&D

ACWA Power inks $1.78bn agreements to boost renewable energy, R&D
Deals span corporate financing, renewable energy projects, and research partnerships across the Gulf Cooperation Council, China, Central Asia, and North Africa. Supplied
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Updated 30 October 2024
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ACWA Power inks $1.78bn agreements to boost renewable energy, R&D

ACWA Power inks $1.78bn agreements to boost renewable energy, R&D
  • First agreement is a $690 million framework deal with the National Bank of Kuwait for general corporate finance facilities
  • ACWA Power secured a $240 million Shariah-compliant equity bridge loan from the International Finance Corp.

RIYADH: Saudi utility giant ACWA Power signed four agreements valued at SR6.69 billion ($1.78 billion) on the first day of the eighth Future Investment Initiative in Riyadh. 

The deals span corporate financing, renewable energy projects, and research partnerships across the Gulf Cooperation Council, China, Central Asia, and North Africa, highlighting the company’s expanding global reach. 

The first agreement is a $690 million framework deal with the National Bank of Kuwait for general corporate finance facilities, supporting ACWA Power’s project pipeline in Saudi Arabia, Kuwait, and other target markets. 

Additionally, ACWA Power secured a $240 million Shariah-compliant equity bridge loan from the International Finance Corp. to fund two solar projects in Uzbekistan. 

“These agreements exemplify the extensive breadth of our portfolio and the diverse initiatives we pursue. By collaborating with a variety of partners, we enhance our capabilities, particularly in the areas of innovation and research within our key sectors,” said Marco Arcelli, CEO of ACWA Power. 

Uzbekistan has become a key market for ACWA Power, which has been active in the Central Asian nation’s renewable energy sector in recent years. 

Located in Samarkand, the Sazagan 1 and 2 projects each include 500 megawatts of solar photovoltaic and 334 MW of battery energy storage systems. ACWA Power noted that both projects are expected to commence commercial operations between the third quarter of 2025 and the fourth quarter of 2026. 

The company also signed a joint development agreement with Gotion Power Morocco, a battery solutions provider. Under this agreement, ACWA Power will develop a 500 MW wind power plant incorporating a 2,000 MWh battery energy storage system. 

The project will supply energy to Gotion Power’s battery manufacturing plant in Morocco, slated to start production in the first half of 2026. The initial investment for the project is $800 million. 

ACWA Power also signed a $54 million research and development agreement with China’s Lujiazui Administration Bureau to establish an R&D center in Shanghai. The center will focus on advancing technologies in solar, wind, energy storage, green hydrogen, and desalination. 

“Such strategic alliances reinforce ACWA Power’s dedication to its mission of delivering affordable and reliable power and water solutions on a global scale, thereby strengthening our role in shaping a sustainable future,” concluded Arcelli. 


Saudi Arabia’s greenfield FDI projects surpass 200 after sharp uptick

Saudi Arabia’s greenfield FDI projects surpass 200 after sharp uptick
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Saudi Arabia’s greenfield FDI projects surpass 200 after sharp uptick

Saudi Arabia’s greenfield FDI projects surpass 200 after sharp uptick

RIYADH: Greenfield foreign direct investment projects in Saudi Arabia posted a 30.1 percent annual rise in the first half of 2025 to reach 203, according to an analysis. 

Total capital inflows into the sector reached $9.34 billion over the period, up 1.7 percent from the same six months of 2024, said investment and financial services bank Emirates NBD in its latest report.

The UN defines greenfield FDI as where a parent company starts a new venture in a foreign nation by constructing operational facilities from the ground up. Most parent companies also create long-term jobs in the country.

“Riyadh emerged as the dominant destination in Saudi Arabia, attracting 100 greenfield FDI projects with capital inflows of $2.30 billion. Dammam secured 21 projects worth $1.28 billion, while Jeddah attracted 13 projects valued at $1.22bn, demonstrating the Kingdom’s multi-city investment appeal aligned with Vision 2030 objectives,” said Emirates NBD. 

Under the Vision 2030 agenda, Saudi Arabia aims to attract $100 billion in FDI a year by the end of the decade as it seeks to make significant strides in diversifying its economy and reducing its decades-long dependence on crude revenues.

In June, a report released by the General Authority for Statistics revealed that net FDI into Saudi Arabia stood at SR22.2 billion ($5.9 billion) in the first quarter of this year, representing a rise of 44 percent compared to the same period in 2024. 

US leads

The US emerged as the top contributor of greenfield FDI in the Kingdom during the first half of the year, accounting for 61 projects, valued at $2.1 billion. 

The report said the US represented 30 percent of all projects and 29 percent of total capital investment during the first six months of this year. 

Egypt ranked second in capital investment with $1.81 billion from just 11 projects, driven by major real estate developments.

China contributed $858.3 million through 11 projects, while France invested $771.7 million across 6 projects.

From the Gulf Cooperation Council region, the UAE invested $205.3 million across 25 projects.

Sectoral breakdown 

In terms of value, the communications sector attracted the highest capital investment, with $1.92 billion secured for 11 projects in the first six months of this year. 

The strong figures in the communications sector were driven by US-based Equinix’s $1 billion data center investment announced at the LEAP 2025 tech conference in Riyadh in February. 

The real estate sector came second with greenfield FDI worth $1.79 billion from nine projects, largely driven by Egypt-based entities. 

Egypt-based real estate consortium, led by Paragon Developments and El-Attal Holding, invested over $1.7 billion across multiple mixed-use real estate projects in Riyadh and Jeddah. 

“These projects, which began construction in the first half of 2025, directly support the Kingdom’s housing program objectives and urban development goals under Vision 2030,” said Emirates NBD. 

The electronic components sector attracted investments worth $879.3 million, followed by warehousing at $779 million and the chemical industry at $765.4 million. 

In terms of number, the business services sector dominated with 55 projects, representing 27 percent of the total. 

“This sector encompasses diverse activities, including environmental services, consulting, and water infrastructure development,” said Emirates NBD. 

Spain-based Lantania secured a $500 million contract to build the Ras Mohaisen desalination plant in partnership with India’s L&T. 

The plant is expected to serve approximately one million residents in the Makkah and Al-Baha regions, featuring four desalinated water tanks with 600,000 cubic meter total storage capacity.

Another major investment in the business service sector was made by Hong Kong-based Pico Play, a subsidiary of Pico Far East, which invested $456.1 million to develop a major leisure and entertainment manufacturing facility in Riyadh. The project, which began operations in March, features a theme park, entertainment infrastructure, and immersive experience technologies.

The software and IT services sector secured 35 projects, representing 17 percent of the total greenfield FDI projects, driven by Saudi Arabia’s rapid digital transformation agenda and growing tech ecosystem.

Transportation and warehousing secured 14 projects, while industrial equipment also attracted 14 projects, reflecting Saudi Arabia’s industrial diversification efforts. 

One of the major investments in the industrial sector was made by Kirby Building Systems, based in Kuwait, which committed $315.1 million to establish a pre-engineered steel buildings manufacturing facility in Sudair Industrial City. 

India’s Welspun Group also invested $315.1 million in a steel pipe and coating facility in Dammam. 

Both these projects began construction in early 2025 and are expected to support supply chain localization for the Kingdom’s construction and energy sectors.

The financial services sector attracted 11 projects, underscoring the Kingdom’s growth as a regional financial hub.

The report further said that Saudi Arabia attracted 25 new foreign firms to open their regional headquarters in the Kingdom, amplifying the country’s status as a global business destination. 

The growth was fueled by the government-backed Riyadh regional headquarters program, which offers incentives such as a 30-year corporate income tax exemption and withholding tax relief, alongside regulatory support for multinationals operating in the Kingdom. 

In March, the Saudi Press Agency reported that around 600 international companies have set up bases in Saudi Arabia since 2021, including Northern Trust, IHG Hotels and Resorts, and Deloitte.


Pakistan stocks close at 150,591 record high on corporate earnings, institutional buying

Pakistan stocks close at 150,591 record high on corporate earnings, institutional buying
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Pakistan stocks close at 150,591 record high on corporate earnings, institutional buying

Pakistan stocks close at 150,591 record high on corporate earnings, institutional buying
  • Financial analyst describes market participation as “vibrant,” with total volume of shares traded surging to 662 million
  • Rally comes amid signs of stabilization in economy after IMF bailout, credit rating upgrades from international agencies 

ISLAMABAD: The Pakistan Stock Exchange (PSX) closed at a record high of 150,591 points on Wednesday, with a leading brokerage firm attributing the surge to strong corporate earnings and institutional buying. 

The bullish trend at the stock market picked up from Tuesday, when the benchmark KSE-100 Index ended the session at 149,771 points. Analysts said the surge was driven by strong institutional inflows, which powered gains in the banking and cement shares. 

The bulls showed no signs of fatigue despite the floods on Wednesday, notching an intraday record high of 1,490 points before settling at 150,591 when trading ended, up by 820 points or 0.55 percent from the previous day’s close. 

“The upward momentum was underpinned by better-than-expected corporate earnings and a strong liquidity push from local institutions, lifting the benchmark to uncharted heights,” Karachi-based brokerage firm Topline Securities said in a statement. 

It noted that investor confidence remained “buoyant” as market heavyweights attracted “robust flows.”

Topline Securities described the market participation as “vibrant,” saying that traded volume surged to 662 million shares and at a value of Rs40.5 billion [$143.46 million]. 

“BOP [Bank of Punjab] led the volume chart, with 52 million shares changing hands during the session,” it concluded. 

Adviser to the Finance Minister Khurram Schehzad took to X on Tuesday to attribute the bullish trend at the stock market to Pakistan’s “rising global credibility, home-grown structural reforms agenda with positive macroeconomic outlook” that he said had turned into strong investor confidence. 

The PSX rally comes amid signs of stabilization in Pakistan’s economy after the country secured a $7 billion International Monetary Fund (IMF) bailout in September 2024 and saw recent upgrades by international ratings agencies.

Inflation has eased from a peak of 38 percent in 2023 to 4.1 percent in July 2025, while the rupee has stabilized against the dollar.


Saudi Fund for Development inked $985m loan deals across 13 nations in 2024: annual report 

Saudi Fund for Development inked $985m loan deals across 13 nations in 2024: annual report 
Updated 43 min 46 sec ago
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Saudi Fund for Development inked $985m loan deals across 13 nations in 2024: annual report 

Saudi Fund for Development inked $985m loan deals across 13 nations in 2024: annual report 

RIYADH: The Saudi Fund for Development signed 17 loan agreements worth SR3.7 billion ($985 million) with 13 countries in 2024, backing projects across Africa, Asia, Europe and Latin America. 

The financing included two loans in Africa totaling SR337.5 million, five in Asia and the Pacific amounting to SR1.15 billion, four in Europe worth SR821.75 million, and six in Latin America and the Caribbean valued at SR1.395 billion, according to SFD’s 2024 Annual Report. 

The fund’s efforts are in line with its goal of supporting development in emerging economies by providing loans and technical assistance to finance studies and strengthen institutional capacity. 

This comes as SFD has financed nearly 800 projects and programs across more than 100 countries over the past five decades, with a total value exceeding SR81 billion. 

In the annual report, Saudi Minister of Tourism Ahmed Al-Khateeb, who also chairs SFD, stated: “We at the fund look forward to a sustainable future in which we continue to progress and succeed in providing support and sustainable development to developing countries to achieve more growth and prosperity to contribute to building a better future for their peoples.” 

The report further noted that the agreements marked the fund’s 2024 expansion into five new countries: Saint Kitts and Nevis, El Salvador, Nicaragua, Dominica, and Serbia. 

In the first nine months of 2024, SFD supported several initiatives worldwide, including a $101 million investment for the Shounter and Jagran-IV hydropower projects in Pakistan, a $55 million loan to bolster Turkiye’s education sector, and a $5 million grant for a water project in Benin.  

The momentum continued into 2025, with the fund signing $92.7 million in loan agreements in July to boost water, housing, infrastructure, and health projects in Barbados. 

Also in July, SFD allocated $32 million to strengthen social infrastructure in Bosnia and Herzegovina, targeting science, technology, and higher education. 

This included $19 million for the construction of a Science and Technology Park and $13 million for a new student dormitory at the Borisa Starovic Public Institution Student Center in Foca, in the country’s southeast. 

SFD’s vision is to serve as a comprehensive and strategic partner for sustainable economic development in developing countries worldwide. 

 

 


Saudi POS spending tops $3bn for 3rd week as education surges

Saudi POS spending tops $3bn for 3rd week as education surges
Updated 20 August 2025
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Saudi POS spending tops $3bn for 3rd week as education surges

Saudi POS spending tops $3bn for 3rd week as education surges
  • Education sector recorded SR444.86 million ($118.55 million) in transactions
  • Total POS value stood at SR13.5 billion despite a 1.5% weekly drop

RIYADH: Saudi Arabia’s point-of-sale transactions remained above the $3.5 billion mark for the third consecutive week, driven by a 76.7 percent rise in education spending in the week ending Aug. 16. 

The education sector recorded SR444.86 million ($118.55 million) in transactions, alongside a 13.5 percent uptick in volumes to 183,000. It was one of only four sectors to register growth during the period. 

Total POS value stood at SR13.5 billion despite a 1.5 percent weekly drop, underscoring the resilience of consumer activity, according to data from the Saudi Central Bank. 

Within transportation, which declined 20 percent overall, subcategories showed pockets of growth. Spending on vehicles and spare parts rose 5.2 percent to SR569.65 million, while freight transport and postal services edged up 0.3 percent to SR48.81 million. 

Books and stationery also expanded, with spending up 3.5 percent to SR122.75 million and transactions rising 2 percent to 3.48 million. Gas stations recorded a marginal 0.2 percent increase to SR995.32 million. 

Automotive and equipment rentals posted the second-steepest drop, falling 10.9 percent to SR70.71 million, while vehicle maintenance and repairs slipped 2.7 percent to SR229.22 million. 

Food and beverages, the sector with the biggest share of total POS value, recorded a 2.5 percent decrease to SR1.88 billion, while the restaurants and cafes sector saw a 3.6 percent decrease, totaling SR1.69 billion and claiming the second-biggest share of this week’s POS. 

Spending on transportation ranked third despite a 0.1 percent decline to SR1.04 billion. 

The top three categories accounted for approximately 34.1 percent of the week’s total spending, amounting to SR4.61 billion. 

Geographically, Riyadh dominated POS transactions, with expenses in the capital reaching SR4.60 billion, a 0.2 percent increase from the previous week.  

Jeddah followed with a 4.9 percent dip to SR1.82 billion, while Dammam ranked third, down 1 percent to SR628.58 million. 


Oil Updates — crude edges up while investors await next steps in Ukraine peace talks

Oil Updates — crude edges up while investors await next steps in Ukraine peace talks
Updated 20 August 2025
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Oil Updates — crude edges up while investors await next steps in Ukraine peace talks

Oil Updates — crude edges up while investors await next steps in Ukraine peace talks

LONDON: Oil rose on Wednesday as the American Petroleum Institute reported a drop in US crude inventories and investors awaited the next steps in talks to end the Ukraine war, with sanctions on Russian crude remaining in place for now.

Crude fell more than 1 percent on Tuesday on optimism that an agreement to end the war seemed closer. However, US President Donald Trump conceded that Russian President Vladimir Putin might not want to make a deal.

Brent crude futures rose 55 cents, or 0.8 percent, to $66.34 a barrel by 11:12 a.m. Saudi time. US West Texas Intermediate crude futures for September delivery, set to expire on Wednesday, gained 65 cents, or 1 percent, to $63.

“(It) seems oil prices are thrown down one day, followed by a rebound the next day. The API report was on the positive side, so I assume some price support is coming from that,” said Giovanni Staunovo, an analyst at UBS.

Crude stocks fell by 2.42 million barrels, market sources said on Tuesday, citing American Petroleum Institute figures, ahead of official data at 5:30 p.m. Saudi time.

“Not so sure about the peace deal — will have to see if something moves forward over the coming days,” Staunovo added.

Trump said on Monday he was arranging a meeting between Putin and Ukrainian President Volodymyr Zelensky to be followed by a trilateral summit among the three presidents.

Russia has not confirmed it will take part in talks with Zelensky.

“The likelihood of a quick resolution to the conflict with Russia now seems unlikely,” said Daniel Hynes, senior commodity strategist at ANZ, in a note on Wednesday.

Oil also found support from flooding at a large US refinery.

BP said on Tuesday operations at its 440,000-barrel-per-day refinery in Whiting, Indiana, were affected by flooding after a severe thunderstorm, potentially weighing on crude demand at the facility — a key fuel producer for the Midwest market