Saudi Green Building Forum achieves permanent observer status with UNCCD

Special The UNCCD also extended its accreditation to other organizations, including the Environment and Desertification Association and the Weather and Climate Association, after a thorough evaluation of their submitted documents.
The UNCCD also extended its accreditation to other organizations, including the Environment and Desertification Association and the Weather and Climate Association, after a thorough evaluation of their submitted documents.
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Updated 12 December 2024
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Saudi Green Building Forum achieves permanent observer status with UNCCD

Saudi Green Building Forum achieves permanent observer status with UNCCD

RIYADH: The Saudi Green Building Forum SGBF has been granted permanent observer status by the United Nations Convention to Combat Desertification.

This recognition underscores the Forum’s substantial contributions to advancing sustainable building practices and the Kingdom’s leadership in global environmental efforts.

The decision follows the forum’s prior pending status, which was resolved with the announcement of the final decision at COP16, held in Riyadh.

“This process takes months leading up to COP, during which the organization must demonstrate its engagement with clear justifications, specific goals, and evidence of its work within the community,” Faisal Al-Fadl, secretary-general of SGBF, told Arab News.

The SGBF’s involvement aligns with the provisions outlined in the UNCCD’s internal regulations, specifically concerning observer status, as defined in Article 22 and the COP rules, according to a press release.

SGBF was among the 473 organizations officially accredited during COP16, reflecting the international collaboration and commitment to combating desertification showcased at the conference.

This initiative is part of a broader strategy to integrate scientific and community-based approaches to environmental management.

Al-Fadl explained that under the UNCCD’s processes, rules, and regulations — agreed upon by its member states — any organization seeking observer status must participate in the COP.

The COP, hosted by the member state, is responsible for deciding whether to approve or deny the request for observer status.

“We set up a pavilion dedicated to the event, where each day highlighted a specific sustainable development goal. At SGBF, we actively promote SDGs as part of our consultative status with the United Nations,” Al-Fadl said.

He continued: “Green building is all about renewable energy, clean water, eco-friendly materials, and green infrastructure that supports the human experience. This concept is applied not just to buildings, but to neighborhoods and cities.”

Al-Fadl emphasized that SGBF’s work closely aligns with the SDGs, which encompass social, environmental, and economic sustainability. This is also in harmony with Saudi Vision 2030, which serves as the foundation for the Kingdom’s national SDGs.

“We capitalized on our accreditation, bringing more than 100 delegates and speakers, including high-level representatives, youth, and women. We are incredibly proud of this opportunity to engage on such a meaningful platform,” Al-Fadl said.

He added: “This has also provided an opportunity for many consultants, who might not have had the chance otherwise, to participate. Our accreditation is especially significant for the nonprofit and non-governmental sector, enabling us to engage with civil society, whether private entrepreneurs or young individuals.”

Al-Fadl further highlighted the chance to showcase the Forum’s partnerships with various entities, including government organizations. “For example, we signed agreements with the Ministry of Environment and nonprofit organizations, as well as achieving accreditation across Gulf states,” he noted.

The UNCCD also extended its accreditation to other organizations, including the Environment and Desertification Association and the Weather and Climate Association, after a thorough evaluation of their submitted documents.

Dedicated to combating land desertification, the UNCCD fosters partnerships between developed and developing nations, focusing on technology and knowledge-sharing for effective land management.

With 195 member states, the UNCCD aims to improve living conditions, enhance land productivity, and mitigate the impacts of drought while promoting public engagement in combating desertification and advancing sustainable development.


Closing Bell: Saudi main index edges down 0.63% to close at 12,035

Closing Bell: Saudi main index edges down 0.63% to close at 12,035
Updated 02 March 2025
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Closing Bell: Saudi main index edges down 0.63% to close at 12,035

Closing Bell: Saudi main index edges down 0.63% to close at 12,035

RIYADH: Saudi Arabia’s Tadawul All Share Index closed lower on Sunday, dropping 76.45 points, or 0.63 percent, to settle at 12,035.45.

The benchmark index’s total trading volume reached SR3.45 billion ($922 million), with 37 stocks advancing and 209 declining.

Nomu, the Kingdom’s parallel market, gained 177.88 points, or 0.57 percent, to close at 31,582.35. Of the listed stocks, 26 advanced, while 61 saw declines.

The MSCI Tadawul Index fell by 2.59 points, or 0.17 percent, to close at 1,512.22.

The top performer of the day was Saudi Cable Co., whose share price surged by 5.79 percent, reaching SR131.60.

Other notable performers included Elm Co., whose share price rose by 4.24 percent, closing at SR1,110, and Middle East Pharmaceutical Industries Co., which saw a 1.96 percent increase, closing at SR135.40.

On the downside, SAL Saudi Logistics Services Co. experienced the largest decline, falling by 9.98 percent to SR220.20.

Batic Investments and Logistics Co. also saw a significant drop of 9.76 percent, closing at SR3.05, while Al-Baha Investment and Development Co. saw its stock price fall by 7.32 percent, ending at SR0.38.

On the announcements front, Saudi Tadawul Group Holding Co. reported its annual financial results for the year ending Dec. 31, 2024. The company posted a net profit of SR621.8 million, reflecting a 59.4 percent increase compared to 2023. This growth was driven by a 34.8 percent rise in operating revenues, an 18.3 percent increase in operating expenditures, a 59.4 percent increase in earnings per share, a 50.3 percent rise in gross profit, and a 72.4 percent jump in operational profit.

Saudi Tadawul Group Holding Co. ended the session at SR213, down 0.47 percent.

Retal Urban Development Co. also reported its annual results for the year ending Dec. 31, 2024. The company posted a net profit of SR266.12 million in 2024, marking a 31.51 percent increase from the previous year.

This increase was driven by a 32 percent rise in gross profit to SR499.65 million, along with a surge in equity-accounted investment results, totaling SR71.10 million. This performance came despite higher general and administrative expenses and increased finance costs.

Retal Urban Development Co. ended the session at SR16.06, up 0.25 percent.

Al-Rajhi Co. for Cooperative Insurance announced its financial results for the year ending December 31, with a net profit of SR332.3 million in 2024, reflecting a 1.3 percent increase compared to 2023. The increase is attributed to higher insurance service results before Re-takaful and a decrease in insurance service results for the year, alongside an uptick in operating expenses, a drop in total comprehensive income, and a rise in gross written premiums.

Al-Rajhi Co. for Cooperative Insurance closed at SR165, down 2.04 percent.

Shatirah House Restaurant Co. (BURGERIZZR) reported its financial results for the year ending Dec. 31, 2024, showing a net profit of SR8.44 million, a decrease of 31.25 percent compared to 2023.

Despite a 7.3 percent increase in gross profit, the decline in net profit was attributed to a 10 percent rise in selling expenses, a 26.9 percent increase in administrative expenses, and other factors.

Shatirah House Restaurant Co. closed the session at SR21.50, down 2.85 percent.


Saudi, UAE drilling giants team up to accelerate international expansion

Saudi, UAE drilling giants team up to accelerate international expansion
Updated 02 March 2025
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Saudi, UAE drilling giants team up to accelerate international expansion

Saudi, UAE drilling giants team up to accelerate international expansion
  • Arabian Drilling, Shelf Drilling bid for 3 tenders under new strategic alliance 

RIYADH: Saudi-based Arabian Drilling and the UAE-headquartered Shelf Drilling have entered three global tenders as part of their strategic alliance to expand international operations. 

The partnership, formalized through a memorandum of understanding signed in early February, seeks to leverage Arabian Drilling’s fleet of rigs alongside Shelf Drilling’s extensive expertise to accelerate global expansion and unlock new market opportunities. 

Talking to Arab News, Ghassan Mirdad, CEO of Arabian Drilling, emphasized that the partnership aligns with the company’s long-term ambitions to expand beyond the Kingdom. 

“When we go back in time to when we were listed, part of our strategy was to grow outside of Saudi Arabia; it was clearly the intention to grow in the land market, not the offshore,” he said. “However, with the suspension of rigs, we had to accelerate the expansion out of Saudi Arabia.” 

Ghassan Mirdad, CEO of Arabian Drilling.

The alliance provides Arabian Drilling with the necessary framework to establish a presence in global markets without having to build operations from scratch. “And this (alliance) is the license to operate outside of Saudi,” Mirdad added. 

He further underscored the increasing demand for offshore drilling worldwide. “Today, I can easily name on top of my head four or five countries that are in desired need of offshore jack-ups.” 

Mirdad noted that while entering these markets independently would require significant investment, partnering with an international player like Shelf Drilling facilitates market access. “With this alliance, automatically we have the license to operate in all of these rigs, we have the local knowledge that Shelf has, and it gives us access to all the tenders,” he said. 

Greg O’Brien, CEO of Shelf Drilling, confirmed that the alliance has already begun executing its objectives by bidding for project proposals across different regions. 

“We have participated in three different opportunities. We have a longer list of target opportunities,” O’Brien told Arab News. 

He noted that while the alliance is taking an aggressive approach to exploring international prospects, the financial impact of these tenders will likely not be seen until late 2025 or early 2026 due to the time required for rig mobilization and contract execution. 

Strategic rationale

As an international offshore extraction contractor, Shelf Drilling operates in multiple regions and continues to seek expansion opportunities while optimizing costs. 

O’Brien highlighted that maintaining operational efficiency is a priority, particularly in a competitive market. 

Greg O’Brien, CEO of Shelf Drilling.

“We have 14 rigs right now, all but one of those are contracted, and that one we expect to have contracted really soon, and we see additional opportunities to deploy newer, more capable rigs in other markets where we have a footprint like West Africa and Southeast Asia,” he said. 

The alliance allows Shelf Drilling to expand its capacity without significant capital expenditure on new assets. 

“This alliance with Arabian Drilling gives us access to a few additional rigs that we believe we can deploy in the contract opportunities and markets that we know well without having to buy other assets,” O’Brien stated. 

For Arabian Drilling, the alliance is a critical step in its broader international growth strategy. 

The company, which operates 36 rigs, has three currently suspended. O’Brien explained that these three rigs share similarities with those used by Shelf Drilling, making their international deployment more seamless. 

By leveraging Shelf Drilling’s established presence in key markets, Arabian Drilling can re-enter the global scene more efficiently. 

Opportunities and plans 

Several international markets present promising opportunities for new contracts, with West Africa emerging as a key target region. 

“India, Southeast Asia, West Africa are markets we know extremely well. West Africa is a place that has a decent number of new projects that are incremental to existing activity in that region, and it’s not quite as competitive,” O’Brien said. 

“Southeast Asia holds great opportunities as well, but we see a better opportunity margin in West Africa,” he added. 

Mirdad acknowledged that the alliance’s initial three rigs would not be sufficient to meet the growing demand for offshore drilling services. 

“When we looked at the opportunities, we, as Arabian Drilling, looked at each other and realized we don’t have enough rigs,” he said. 

He indicated that the company is actively considering further expansion. “The three rigs are not enough. So, I’m very upbeat to giving the market some good news in the short term,” Mirdad said. 

When asked about plans for additional rig deployment, he explained that the alliance is a long-term strategic move rather than a short-term fix. 

“In the first instance, it might seem like we’re doing this alliance to secure these three rigs, which is true, but this alliance is not a short-term fix; it is long-term.” 

He further highlighted that with a strong balance sheet and growing international demand, Arabian Drilling is well-positioned to explore additional rig deployments beyond the initial three. 

Financial outlook and growth strategy 

When asked about the financial impact of the alliance, Mirdad stated that Arabian Drilling’s strong balance sheet allows it to focus on growth rather than relying solely on financial maneuvers to expand. 

“Our relations with the banks are really good, so access to cash is not a problem for growth, but this is a great avenue for us and Shelf to grow and not to miss out on any international opportunities,” he said. 

O’Brien added that current oil prices remain at levels that support offshore rig demand, strengthening the alliance’s financial rationale. 

He emphasized that while the primary goal is to establish a broader global footprint, the venture is designed to generate long-term profits for both companies. 

“The alliance will definitely aim to generate profit and revenue for both companies, and the approach will be opportunity-specific,” O’Brien said. 

Global industry trends and long-term demand 

O’Brien highlighted that the alliance aligns with global trends in the shallow-water drilling market, particularly as demand for offshore rigs remains strong. 

“There are about 425 jack-ups around the world, the Middle East is the biggest market, and Saudi Arabia is the largest market for offshore shallow water drilling, but there is stable demand in other parts of the world,” he said. 

He pointed out that the supply of jack-up rigs in markets outside the Middle East has remained relatively stagnant and is expected to decline in the coming years. 

This presents an opportunity for drilling contractors to capitalize on increasing demand. 

“The supply side in other markets has been flat and would most likely be declining in the years to come, which is a good thing for a drilling contractor,” he added. 

O’Brien expressed confidence in long-term global oil demand, which will likely drive continued demand for drilling services. 

“We believe oil demand will continue to grow around the world for the next five to 10 years, or even more,” he said. 

Mirdad further explained that new jack-up rigs are rarely built, leading to a gradual phasing out of older rigs and creating a supply gap in the offshore drilling market. 

“That means that you’ll have demand but not enough rigs available,” he added. 


Saudi Arabia launches March ‘Sah’ savings with 4.98% return 

Saudi Arabia launches March ‘Sah’ savings with 4.98% return 
Updated 02 March 2025
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Saudi Arabia launches March ‘Sah’ savings with 4.98% return 

Saudi Arabia launches March ‘Sah’ savings with 4.98% return 

JEDDAH: Saudi Arabia has launched the third round of its Sah savings product for 2025, offering a 4.98 percent return for March under the Ijarah sukuk structure. 

Issued by the Ministry of Finance and managed by the National Debt Management Center, Sah is the Kingdom’s first savings bond designed for individuals. It operates under the Ijarah format, a Shariah-compliant structure akin to leasing, where investors receive returns in exchange for the right to use an asset. 

The offering, part of the local bond program and denominated in riyals, aligns with Saudi Vision 2030’s goal of increasing the national savings rate from 6 percent to 10 percent by the end of the decade.  

The NDMC said the format will be retained for future issuances as part of ongoing efforts to offer accessible, low-risk savings solutions. 

The latest issuance opened at 10:00 a.m. Saudi time on March 2 and will close at 3:00 p.m. on March 4. Redemptions are expected within a year, according to an NDMC post on X. 

The bonds, available through digital platforms of approved financial institutions, feature a one-year savings period with fixed returns paid at maturity. The minimum subscription is SR1,000 ($266), while the maximum is SR200,000 per user across all issuances during the program period. 

The product is fee-free and offers low-risk returns. Eligible Saudi nationals aged 18 and older can subscribe through Aljazira Capital, Alinma Investment, and SAB Invest, as well as Al-Rajhi Capital and SNB Capital. 

In January, the NDMC announced the closure of the year’s first issuance, allocating SR3.724 billion across four tranches. The first tranche, valued at SR1.255 billion, matures in 2029, while the second, worth SR1.405 billion, matures in 2032. The third totaled SR1.036 billion with a 2036 maturity, and the fourth, at SR28 million, matures in 2039. 

The previous issuance, which closed on Feb. 4, offered a 4.94 percent return, while the first 2025 issuance concluded on Jan. 7 with a 4.95 percent return. Future rates will depend on market conditions. 


Oman’s FDI jumps 17.6% over five years, reaching $69.3bn by Q3 2024

Oman’s FDI jumps 17.6% over five years, reaching $69.3bn by Q3 2024
Updated 02 March 2025
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Oman’s FDI jumps 17.6% over five years, reaching $69.3bn by Q3 2024

Oman’s FDI jumps 17.6% over five years, reaching $69.3bn by Q3 2024

RIYADH: Oman’s foreign direct investment inflows rose by over 17.6 percent over the past five years, reaching 26.6 billion Omani rials ($69.3 billion) by the third quarter of 2024.

As reported by the Oman News Agency, this significant growth highlights the country’s success in solidifying its position as a key global investment hub. The rise has been fueled by strategic initiatives, a conducive capital environment, and advanced infrastructure.

This increase in Oman’s FDI aligns with a global rise of 11 percent in FDI flows in 2024, which reached $1.4 trillion. However, developing Asia saw a 7 percent decline in its FDI inflows, according to the UN Conference on Trade and Development.

According to the National Center for Statistics and Information, the UK led the way with investments totaling 13.6 billion rials, followed by the US with 5.2 billion rials. The UAE contributed 836.5 million rials, while Kuwait invested 833.5 million rials. China invested 817.8 million rials, and Switzerland added 551.9 million rials.

Qatar’s investments in Oman reached 488.3 million rials by the end of the third quarter, with Bahrain contributing 375.7 million rials. Investments from the Netherlands and India amounted to 359.1 million rials and 286.1 million rials, respectively.

Oman’s Minister of Commerce, Industry, and Investment Promotion Qais bin Mohammed Al-Yousef highlighted that high-level directives aimed at improving the capital climate have played a key role in building a promising economic future.

He emphasized that positive indicators in the investment sector reflect the success of Oman’s policies and initiatives in creating a robust environment for attracting projects, as reported by the state-run news agency.

Al-Yousef further noted that efforts to establish the Investment and Commercial Court highlight the government’s commitment to fostering a stable legal framework that encourages foreign investment. The ministry is also focused on offering competitive incentives and streamlining business operations within a dynamic market.

He concluded by emphasizing that improving the investment and business environment remains a top priority for promoting sustainable development. The ministry is actively working on initiatives aimed at diversifying the national economy and generating job opportunities across various sectors.

Ibtisam Ahmed Said Al-Farooji, undersecretary at the Ministry of Commerce, Industry, and Investment Promotion, stated that Oman’s investment sector is actively reviewing and evaluating its investment policies, laws, and incentives.

She further explained that investment opportunities undergo comprehensive feasibility studies before being presented to investors. This thorough evaluation helps drive capital into targeted sectors, enhances economic diversification, and boosts non-oil revenues, thereby strengthening investor confidence and improving Oman’s competitiveness.

The government is focusing on key sectors aligned with the Oman Vision 2040 strategy. These sectors include transportation and logistics, renewable energy, information technology, food security, tourism, mining, and manufacturing. Supportive industries such as the circular economy, healthcare, and education are also part of the focus.

Al-Farooji highlighted that the manufacturing sector attracted 2.13 billion rials in FDI, followed by financial intermediation with 1.36 billion rials, and real estate activities with 969.1 million rials.

The ministry has organized investment opportunities through the “Invest in Oman” platform, showcasing 20 opportunities in sectors such as tourism, real estate development, aviation, logistics, and manufacturing.

Industrial lands have been allocated in collaboration with the Public Establishment for Industrial Estates, which has sparked investor interest in the industrial cities of Rusayl, Sohar, and Samail.

In 2024, the ministry promoted Oman on the international stage at 21 events, welcomed delegations from 23 countries, hosted eight local promotional forums, and targeted six G20 countries and four markets in collaboration with the Oman Chamber of Commerce and Industry.

Nasser bin Khalifa Al-Kindi, CEO of Invest in Oman, explained that the “Invest in Oman” lounge brings together government institutions under one roof, streamlining the investor journey.

The lounge is designed to attract high-capital investors to strategic sectors and serves as a digital gateway to promote Oman’s investment environment and present new opportunities.

He also noted that 59 investment projects worth 3.2 billion rials are currently under review, with 29 initiatives valued at 1.2 billion rials already localized.

India, China, and Egypt are the top investing countries in Oman, with the industrial sector leading the way in attracting investments, followed by renewable energy and healthcare.


Abu Dhabi Customs sees record 72% pre-arrival clearance rate in 2024

Abu Dhabi Customs sees record 72% pre-arrival clearance rate in 2024
Updated 02 March 2025
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Abu Dhabi Customs sees record 72% pre-arrival clearance rate in 2024

Abu Dhabi Customs sees record 72% pre-arrival clearance rate in 2024

RIYADH: Abu Dhabi Customs recorded a 72 percent pre-arrival clearance rate in 2024, marking a significant increase as the emirate accelerates digital transformation and streamlines trade operations. 

The figure represents a sharp rise from 47 percent in 2023, reflecting a 53 percent annual growth rate, according to the UAE’s state news agency WAM.

The surge underscores efforts to enhance digital customs processes, integrate advanced technologies, and optimize clearance systems. 

Pre-arrival clearance for outbound shipments accounted for 85 percent of total exit declarations in 2024, up from 67 percent a year earlier, while inbound shipments made up 60 percent of entry declarations, compared with 31 percent in 2023. Abu Dhabi Customs has also automated the issuance of entry and exit customs certificates to expedite processing. 

Pre-arrival customs clearance, available through smart platforms like the Abu Dhabi Government Services Platform, or TAMM, and the Advanced Trade and Logistics Platform, or ATLP, enables importers, exporters, and their representatives to complete customs procedures before goods reach customs centers. This process includes submitting declarations, paying duties, meeting regulatory requirements, if applicable, and finalizing procedures in advance, streamlining operations and improving efficiency. 

Freight clearance and shipping companies have benefited from electronic integration with regulatory entities and service-level agreements with key stakeholders, reducing transaction times.  

In August, Abu Dhabi Customs reported that the average time for customs clearance transactions in the first half of 2024 was 13.86 minutes, down from 15.47 minutes in the same period of 2023. 

In December, the General Administration of Abu Dhabi Customs launched its 2024–2028 Strategic Plan, focused on facilitating secure and legitimate trade through advanced innovations and digital technologies. 

The plan is built on six pillars, including enhancing customer experience to position Abu Dhabi as a preferred trade hub, increasing revenue collection, and driving economic growth and competitiveness.  

It also emphasizes fostering a culture of excellence through innovation and sustainability, developing professional talent for the future of customs, and leveraging technology to achieve digital leadership. 

In November, Abu Dhabi Customs signed an agreement with Brazil’s Tax Authority to launch the pilot phase of the Trusted Digital Trade Corridor project. 

The initiative aims to enhance trade, simplify customs procedures, reduce transaction times, strengthen data security, and improve cross-border trade efficiency through advanced technology and digital transformation.