Saudi National Housing Co. signs 21 new deals on Cityscape’s 2nd day

Saudi National Housing Co. signs 21 new deals on Cityscape’s 2nd day
Cityscape Global 2024 is a testament to Saudi Arabia’s rapid development and commitment to excellence. SPA
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Updated 13 November 2024
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Saudi National Housing Co. signs 21 new deals on Cityscape’s 2nd day

Saudi National Housing Co. signs 21 new deals on Cityscape’s 2nd day
  • Agreements also included partnerships with leading global companies in the manufacture of electrical appliances
  • REDF signed four MoUs at the event to strengthen partnerships in real-estate financing and investment

RIYADH: Saudi Arabia’s National Housing Co. secured 21 new agreements and partnerships with various local and international companies on the second day of Cityscape, expanding its investment momentum.

This brings the value of the total deals signed by the firm on the first and second day of the event to over SR5 billion (1.33 billion), according to a statement.

The deals aim to enhance the quality of infrastructure and services provided within its urban destinations and include the fields of supply, logistics, and interior design, the Saudi Press Agency reported.   

The agreements contribute to achieving NHC’s aspirations to build integrated and sustainable destinations that meet global ambitions.  

The Kingdom’s real estate is vital to the country’s economy, contributing around 7 percent of gross domestic product and supporting numerous additional sectors.   

Among the most prominent of these agreements that support the solutions division, NHC signed a strategic partnership with “Solutions by stc” to develop technical services for the “Sakani” and “Balady” platforms.  

It also signed a deal with Sakani Foundation to inspect buildings, with local real estate developer Ardara to assess sustainability, with LX and K-water companies to transfer knowledge, and with 2GIS to provide technical services.   

The firm inked a pact with the Public Investment Fund’s ROSHN real estate company to benefit from Sakani services and assess sustainability.   

NHC also signed an agreement with Takamol in the professional accreditation program to achieve an integrated residential environment that meets the needs of individuals and society.   

The deal comes within the framework of the two companies’ strategy to improve the quality of the residential landscape and enhance constructive cooperation between organizations in the housing sector. This aligns with national efforts to promote sustainable development and deliver suitable housing.  

The company also agreed to cooperate with the General Authority for Roads in implementing new routes and their mechanisms in NHC destinations to enhance sustainability.   

NHC also saw a cooperation with Al-Fahhad Co. to develop the cleaning and maintenance system for its destinations.  

Additionally, NHC signed a group of investment agreements to implement residential projects and build community centers in its urban destinations with Dar Wa Emaar, Ajdan Real Estate Development, Maya Real Estate Development and Investment, Rashed Abdul Rahman Al-Rashed & Sons Group, and Mohammed Al-Habib Real Estate Co.    

In the supply chain sector, the company signed agreements with local and international companies, including Bahra Electric Co., to provide cables and wires, and Al-Nasser Group to deliver lighting products that are characterized by efficiency and high quality, which enhances energy consumption efficiency.  

The agreements also included partnerships with leading global companies in the manufacture of electrical appliances, including Legrand, Panasonic, and Siemens to ensure the provision of high-quality equipment according to the highest technical standards.   

To enhance the efficiency of privacy and security in NHC destinations, the company signed an agreement with Al-Kuhaimi Metal Industries Ltd. to supply metal doors. The step improves the reliability of the destinations and meets the safety and security requirements of residents.   

The partnerships also included an agreement with Al-Hayat Building Materials Co. to supply sanitary ware to improve the quality of interior finishes and provide a distinctive living experience.   

The housing organization also signed a memorandum of understanding with Mask to invest in developing areas and logistics services, which contributes to improving the efficiency of construction and supply operations and enhancing the flexibility of the supply chain.   

Another MoU was also concluded with Madar to provide innovative interior designs that meet the tastes of residents and reflect a distinctive architectural identity that adds a unique character to NHC destinations.   

During the gathering, which kicked off on Nov. 11 in Riyadh and runs until Nov. 14, the Real Estate Development Fund reported that the housing support program and the various financing solutions and advantages it provides in partnership with financing entities recorded a 190 percent growth in financing contracts provided to Sakani beneficiaries.  

In comparison, the total value of real estate financing recorded an increase of 225 percent compared to the same period last month, during the first and second days of the exhibition.   

Sakani is a program that facilitates the process of owning a home, offers affordable housing options and helps with financing.  

The housing support programs provide a competitive opportunity on the sidelines of Cityscape to enable beneficiaries to sign financing contracts with solutions and advantages, including the lowest profit margin of up to 2.59 percent, in addition to housing support packages that provide immediate non-refundable support of up to SR150,000.   

The results achieved on the first two days of Cityscape in empowering housing support beneficiaries embody the effectiveness of strategic partnerships with financing entities and property development companies.   

The results also reflect the pioneering role of REDF in partnership with financing entities and the movement witnessed by the real estate funding and development sector, which resulted in the diversity of housing products and monetary solutions that achieve the aspirations of support beneficiaries.   

REDF signed four MoUs at the event to strengthen partnerships in real-estate financing and investment.  

The MOUs, inked with Jadwa Investment, Value Capital, ANB Capital, and the Knowledge Economic City, aim to support the fund’s strategic goals of helping beneficiaries acquire suitable housing.  

REDF’s Chief Executive Mansour bin Madi said the partnerships will explore opportunities and create investment funds to stimulate real-estate investment and finance housing projects.   

He highlighted REDF’s commitment to working with financial institutions to enable the development of high-quality, affordable housing.  

Also happening on the sidelines of the exhibition, Kuwait’s Minister of Municipality and Housing Abdullatif Al-Mishari discussed with Saudi Arabia’s Minister of Municipal and Rural Affairs and Housing Majid Al-Hojail cooperation in the real estate sector.   

The meeting touched on housing experiences and the ministry’s programs, such as housing support, guarantees, and property development, in addition to exchanging visions on expanding construction and supporting real estate developers, said the Saudi minister in a post on X.  

He also said they agreed to form a joint working team between the two countries to transfer experiences in several tracks that serve the real estate sector and enhance the integration of efforts to achieve sustainable development in this field.  

Also taking place at the event, the Real Estate Registry concluded seven memoranda of cooperation and agreements as part of its efforts to strengthen the relationship and communication with the public and private sectors, establish strategic partnerships with actors in the housing system, and enable technology companies to access property registry data.  

The first pact was with the REDF to enhance cooperation and partnership between the fund and the Real Estate Registry to facilitate the journey of the former’s beneficiaries from the latter’s services.  

It also signed a memorandum of cooperation with the Hail Region Development Authority to support and accelerate the real estate registration process, and three memoranda of cooperation with Talaat Moustafa Group-Saudi, Al-Majdiah Residence, and Sijil to facilitate the property registration process and improve the beneficiaries’ journey and direct linking with the registry services.  

At the level of real estate technology companies, the entity further signed agreements with two property platforms, Nuzul and ReInvest, to enable them to link with registry services, access data, and benefit from it in developing innovative products and services that enrich the sector.   

Cityscape Global 2024 is a testament to Saudi Arabia’s rapid development and commitment to excellence. As the Kingdom positions itself as a global leader in real estate, the global forum will drive the sector to new heights, aligned with the country’s Vision 2030 and its pursuit of creating thriving, sustainable communities.


Saudi GDP to receive $3bn boost after raft of deals at Local Content Forum to boost GDP by $3bn

Saudi GDP to receive $3bn boost after raft of deals at Local Content Forum to boost GDP by $3bn
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Saudi GDP to receive $3bn boost after raft of deals at Local Content Forum to boost GDP by $3bn

Saudi GDP to receive $3bn boost after raft of deals at Local Content Forum to boost GDP by $3bn

RIYADH: Saudi Arabia launched initiatives and signed 15 agreements at the Local Content Forum, boosting domestic industries with an estimated SR12.4 billion ($3.3 billion) impact on gross domestic product. 

The deals, signed on the first day of the three-day event in Riyadh, span multiple strategic sectors, including manufacturing, technology, and transportation. 

The Local Content and Government Procurement Authority launched several initiatives aimed at driving the localization of key industries, aligning with broader economic goals. 

The agreements include partnerships designed to localize manufacturing, transfer knowledge, and foster innovation, the Saudi Press Agency reported. 

Key deals included:  

  • Two agreements with Saudi National Automotive Manufacturing Co. to localize and transfer knowledge for multi-purpose vehicles and light transport vehicles. 
  • Five agreements with NAFFCO for the localization of firefighting products, including dry powder extinguishers, trailer-mounted pumps, complete personal breathing devices, various types of fire extinguishers, and fire hoses. 
  • Agreements with Alfanar and Hewlett Packard Enterprise to localize and transfer knowledge for data center servers. 
  • A deal with InnovEra to localize manufacturing and knowledge transfer of directional devices. 
  • An agreement with Al-Salah Arabia to localize the manufacturing of bridge expansion joints. 
  • A partnership with Saffen Co. for the localization of oxygen sensor production. 
  • A deal with SAJA Pharmaceutical Co. for the production of “Empagliflozin.” 
  • An agreement with Coastal Co. to localize stadium seat manufacturing. 

Wattenha program 

Sadara Chemical Co. launched its “Wattenha” program, highlighting its contribution to Saudi Arabia’s localization efforts. The program aims to support domestic suppliers, develop human capital, and enhance manufacturing capabilities. 

In the first half of 2024, Sadara reported a local content rate of 50.25 percent, surpassing industry benchmarks, with SR3 billion spent on Saudi procurement.

Locally manufactured products made up 43 percent of its offerings, and Saudization reached 77.8 percent, according to a press release. 

A notable achievement is Sadara’s pipeline system connecting its facilities to the PlasChem complex, which supplies critical raw materials like ethylene oxide and propylene oxide, reducing costs and reliance on imports. 

Logistics and transportation 

Saudi Arabia Railways, in partnership with LCGPA, launched a SR15 billion Saudization program in the sector. This initiative, unveiled by Minister of Transport and Logistics Saleh Al-Jasser, aims to localize manufacturing, boost operational efficiency, and create up to 3,000 jobs by 2030. 

The minister emphasized that this program reflects the partnership between SAR and the private sector, in collaboration with the LCGPA, according to SPA. 

Automotive manufacturing 

The forum also highlighted the Kingdom’s plans for the automotive industry, including the goal to produce 500,000 vehicles annually by 2030. 

Ongoing negotiations with Hyundai underline Saudi Arabia’s commitment to becoming a hub for automobile manufacturing. 

The Global Supply Chain Resilience Initiative, valued at SR100 billion, is driving 95 strategic projects, with a focus on value chain development and export promotion. Additionally, three automotive manufacturing complexes were announced, furthering the localization of this critical sector. 

Diverse initiatives 

The forum featured discussions on the future of local content in industries such as agriculture, energy, and industrial services. Programs introduced by the LCGPA aim to reduce reliance on imports, enhance local supply chain resilience, and foster innovation. 

The “Golden Category” of the Made in Saudi program was also launched, aimed at integrating local suppliers into global supply chains and highlighting Saudi-made products on the world stage. 

The initiative, overseen by the Saudi Export Development Authority, promotes local products and supports exports. 

Minister of Investment Khalid Al-Falih emphasized that local content is a crucial driver of the economy, impacting key industries such as energy, industry, and tourism, among others. 

He highlighted that achieving growth targets requires a highly competitive investment climate, with the private sector playing a vital role in boosting the Kingdom’s exports while meeting the demands of its growing economy. 

Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef further emphasized the importance of locally produced products that offer high quality and competitive advantages as a key requirement for achieving local content goals and maximizing its economic impact. 

During his remarks at the forum, Alkhorayef stated that local content is one of the central pillars for achieving Saudi Arabia’s Vision 2030, as its development directly influences the execution of the initiative’s programs. 

Alkhorayef also discussed the significant role of the private sector in advancing local content development, noting that the LCGPA implements local content through fostering strategic partnerships and facilitating the Local Content Coordination Council. 

This council includes several major national companies, which have worked closely with the authority to increase local content in their operations and procurements.


Saudi’s Hail region welcomes over 1.1m tourists in H1

Saudi’s Hail region welcomes over 1.1m tourists in H1
Updated 25 min 28 sec ago
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Saudi’s Hail region welcomes over 1.1m tourists in H1

Saudi’s Hail region welcomes over 1.1m tourists in H1
  • Licensed hospitality facilities in Hail now offer around 2,600 rooms

RIYADH: Saudi Arabia’s Hail region welcomed over 1.1 million tourists in the first half of 2024, including 170,000 international visitors, reflecting the Kingdom’s growing appeal as a travel hub.

The Ministry of Tourism reported that over 907,000 visitors were domestic travelers, showcasing the region’s popularity among residents.

Licensed hospitality facilities in Hail now offer around 2,600 rooms, meeting growing demand.

The surge aligns with Saudi Arabia’s Vision 2030 goals to enhance tourism infrastructure and attract global travelers to the Kingdom.


Saudi entertainment sector to create 450,000 jobs by 2030: Investment ministry

Saudi entertainment sector to create 450,000 jobs by 2030: Investment ministry
Updated 53 min 46 sec ago
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Saudi entertainment sector to create 450,000 jobs by 2030: Investment ministry

Saudi entertainment sector to create 450,000 jobs by 2030: Investment ministry
  • Kingdom issued 34 investment licenses in the entertainment industry in the third quarter of the year
  • It also hosted 26,000 events in the past five years, attracting over 75 million attendees

RIYADH: Saudi Arabia’s entertainment sector is expected to create 450,000 jobs and could contribute 4.2 percent of the country’s gross domestic product by 2030, according to a new report. 

In its latest release, the Kingdom’s Ministry of Investment said that Saudi Arabia issued 34 investment licenses in the entertainment industry in the third quarter of the year, representing a rise of 13 percent compared to the previous three months. 

The ministry added that the total number of investment licenses issued in the entertainment sector from 2020 until the end of the third quarter reached 303. 

“In line with Saudi Vision 2030, Saudi Arabia aims to diversify its economy and enhance the quality of life by promoting tourism and Saudi culture internationally to attract visitors. The entertainment sector is a crucial pillar in achieving these ambitious goals, focusing on enhancing the quality of life through various cultural and entertainment activities,” said the Ministry of Investment. 

The rapid progress of the entertainment sector aligns with the Kingdom’s Vision 2030 goals, which are to reduce the country’s decades-long dependence on crude revenues. 

In 2016, Saudi Arabia established the General Entertainment Authority to boost the entertainment and leisure industry. Since then, the Kingdom has witnessed notable developments, including reopening cinema halls in 2018.

According to the report, Saudi Arabia issued 2,189 licenses in the entertainment sector over the past five years. 

The Kingdom also hosted 26,000 events in the past five years, attracting over 75 million attendees. 

The ministry added that the growing entertainment sector is also catalyzing the growth of the tourism sector in the Kingdom. 

The report said that the number of inbound tourists in the entertainment industry reached 6.2 million in 2023, representing a rise of 153.3 percent compared to 2022. 

Inbound tourist spending in the entertainment industry reached SR4 billion ($1.07 billion) in 2023, a 29.03 percent rise from the previous year. 

“The entertainment sector is a vital and dynamic part of the Kingdom, acting as a catalyst for the tourism sector. By hosting various events and activities, it boosts tourism and attracts visitors, resulting in higher tourism spending and strengthening the local economy,” said the Ministry of Investment.

In 2023, the entertainment sector attracted 35 million local tourists, up 17 percent compared to 2022. 
Local tourists’ spending in 2023 was SR4.7 million, representing a marginal decline of 8.5 percent from the previous year. 


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 21 November 2024
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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.