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Ƶ targets 30% land protection by 2030 in sustainability push

Ƶ targets 30% land protection by 2030 in sustainability push
During the “Climate Envoy Perspective” panel at the 4th Saudi Green Initiative Forum, Al-Jubeir highlighted Ƶ’s dedication to environmental preservation and sustainability.  Supplied
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Updated 04 December 2024

Ƶ targets 30% land protection by 2030 in sustainability push

Ƶ targets 30% land protection by 2030 in sustainability push
  • Kingdom’s efforts extend beyond its borders, with the nation supporting global initiatives to combat environmental challenges
  • Saudi Climate Envoy Adel Al-Jubeir highlighted broader importance of environmental preservation

RIYADH: Ƶ now has 20 percent of its territory designated as protected areas, a significant rise from just 3 percent a decade ago, according to a senior official. 

By 2030, this figure is projected to increase to 30 percent, said the Minister of State for Foreign Affairs and the Kingdom’s envoy for climate, Adel Al-Jubeir. 

During the “Climate Envoy Perspective” panel at the 4th Saudi Green Initiative Forum, Al-Jubeir highlighted Ƶ’s dedication to environmental preservation and sustainability.   

“We are protecting 30 percent of our territory; it will be protected areas, both sea and land,” Al-Jubeir said, emphasizing the country’s efforts to conserve biodiversity and ensure sustainable resource management.  

He added: “The fact is, we used to (have) 3 percent of our territory protected 10 years ago, now we’re almost at 20 percent, and by 2030 will be 30 percent.”   

Ƶ’s commitment to protecting its environment is evident in a wide range of initiatives. “We’re working on sustainable fishing in the Red Sea, as well as in the Gulf, and we’re making sure that everything we do is very, very in line with protecting our environment,” Al-Jubeir said.  

He also noted that tourism projects along the Red Sea are being developed with rigorous sustainability and environmental standards, ensuring minimal impact on marine life.   

The minister emphasized the progress of Ƶ’s blue economy, drawing attention to the Kingdom’s announcement earlier regarding the launch of the National Red Sea Sustainability Strategy.

“We have launched more than 80 initiatives in Ƶ, from turning waste into energy, from redesigning our cities, from planting trees, from capturing carbon, both naturally as well as using technology, and we are transitioning towards renewable energy,” Al-Jubeir added.  

He highlighted the Kingdom’s ambitious energy goals, saying: “50 percent of our electricity by 2030 will come from renewable energy, the other 50 percent from natural gas.”   

The Kingdom’s efforts extend beyond its borders, with the nation supporting global initiatives to combat environmental challenges. “We’re helping countries adopt a circular carbon economy approach so that they can deal with planting and environmental issues more effectively,” Al-Jubeir explained.   

Addressing land degradation, the minister emphasized its global impact. “We believe that the issue of land degradation is not just an environmental issue; it’s a national security issue, it’s a global issue, because land degradation means less ability to produce food, which means people go from no-food areas to areas where they can grow food,” he said. 

Al-Jubeir also underscored the economic benefits of sustainability. “When you invest in solar energy and wind, it’s not only sustainable and good for the environment, it’s also very good for the pocketbook,” he said. “Investors are more confident when they come to a country where they have clean water, clean air, and so this is part of what we’re doing.” 

He continued: “For every dollar we spend restoring land, the benefits are anywhere from $7 to $30, akin to investing in technology. We are doing this, and we are trying to point this out to the world.”

Al-Jubeir added: “When you invest in resorts in the Red Sea, and you are very sensitive to the environment it increases the value of your investment, and it makes it more attractive. So, we don't see a contradiction between having the utmost concern for environmental issues and financial gains.”

The minister highlighted the broader importance of environmental preservation, stating: “People are more productive when the environment in which they live is pleasant. We breathe the same air as everybody else. We need the same water like everybody else, and so we are very, very sensitive to our environment and to ensuring that we protect it and that we restore it if it needs to be restored.”   

Ƶ, known as the world’s most efficient producer of oil and gas, is also emerging as a global leader in renewable energy. “We are an example for the world in terms of energy, in terms of renewable energy, in terms of our commitment to the environment,” Al-Jubeir said.   

He stressed the Kingdom’s focus on collaboration and practical solutions to address climate challenges.  

“We believe that we have the technology, we believe that we have the financial resources. We believe that by working together, we can overcome many of the challenges that we face, but we cannot do this if we’re trying to assign blame or trying to point fingers,” Al-Jubeir added. 

“We believe we are facing a tremendous challenge in terms of the climate, and we believe that by working together and putting our resources together we will be able to confront and deal with this challenge effectively,” he said.


Saudi main index edges up to close at 11,315

Saudi main index edges up to close at 11,315
Updated 8 sec ago

Saudi main index edges up to close at 11,315

Saudi main index edges up to close at 11,315

RIYADH: Ƶ’s Tadawul All Share Index closed higher on Sunday, gaining 71.28 points, or 0.63 percent, to end the session at 11,315.73.

Trading turnover for the day stood at SR4.32 billion ($1.15 billion), with 169 stocks advancing and 76 declining. The MSCI Tadawul Index also registered gains, rising 7.94 points, or 0.55 percent, to close at 1,451.40.

Meanwhile, the parallel market, Nomu, edged down by 30.41 points, or 0.11 percent, to 27,257.09, with 32 stocks in the green and 43 in the red.

ACWA Power Co. emerged as the session’s top performer, with its shares surging 7.97 percent to SR265.60. Naseej International Trading Co. followed with a 6.60 percent rise to SR106.60, while Saudi Public Transport Co. climbed 5.64 percent to SR14.79.

On the other hand, Sahara International Petrochemical Co. posted the steepest decline, falling 1.81 percent to SR19.50. Shares of Saudi Industrial Export Co. and Alistithmar AREIC Diversified REIT Fund also slipped, dropping 1.72 percent and 1.42 percent to SR2.29 and SR8.34, respectively.

Meanwhile, Almarai Co. announced a net profit of SR646.8 million for the first half of 2025, marking a 4 percent year-on-year increase. The company attributed the improved results to a 3 percent growth in revenue, alongside disciplined cost control measures, a favorable product mix, and lower funding costs.

Knowledge Economic City Co. signed a 25-year development and leasing agreement with Riyadh Schools Holding Co., a subsidiary of the Mohammed bin Salman Non-Profit Foundation, to build an educational complex in Madinah valued at SR399.3 million.

The project will include a 20,000 sq. meter facility designed to accommodate 1,800 students, with lease payments starting at SR13.7 million in the first year and increasing progressively. The initiative is expected to support Madinah’s educational development and bolster KEC’s long-term financial sustainability and urban goals.

Future Vision for Health Training Co. also announced a 24-month agreement with Aliens Zone LLC to develop a smart e-learning and training platform.

The deal, valued at over 5 percent of the company’s 2024 revenue, will cover system design, content development, and AI-driven training solutions. The platform is expected to launch in the fourth quarter of 2025 and is part of Future Vision’s broader digital transformation strategy in line with Saudi Vision 2030.


ACWA Power plans selective mergers to boost profits, secures $15.4bn in financing over 2 years

ACWA Power plans selective mergers to boost profits, secures $15.4bn in financing over 2 years
Updated 44 min 48 sec ago

ACWA Power plans selective mergers to boost profits, secures $15.4bn in financing over 2 years

ACWA Power plans selective mergers to boost profits, secures $15.4bn in financing over 2 years
  • 77% of the rights issue was subscribed by major shareholders
  • Capital raise aims to fund new projects and expand company’s global footprint

RIYADH: Ƶ’s energy and water desalination giant ACWA Power has drawn investor attention regarding its expansion strategy, following the approval of its shareholders for a SR7.1 billion ($1.8 billion) rights issue.

In an interview with Al-Eqtisadiah, Abdulhameed Al-Muhaidib, the company’s chief financial officer, outlined ACWA Power’s growth plans, financing approach, and future targets.

ACWA Power has been actively expanding its global presence, securing $500 million in new US agreements and reinforcing its position as Uzbekistan’s top energy investor with $15 billion committed to 19 projects, including 18 in renewables.

Strategic expansion and capital increase 

Al-Muhaidib said over 77 percent of the rights issue was subscribed by major shareholders, reinforcing confidence in ACWA Power’s strategy.

The capital raise aims to fund new projects and expand the company’s global footprint, particularly in renewables, water desalination, and green hydrogen. 

“This move supports our long-term strategy to triple managed assets to $250 billion by 2030,” Al-Muhaidib told Al-Eqtisadiah. The company expects annual equity contributions of $2 to $2.5 billion from 2024 to 2030, up from $1 to $1.3 billion in previous years. 

Selective mergers and global targets

ACWA Power is eyeing selective mergers and acquisitions in key markets to accelerate profitability and secure stable cash flows. “M&A opportunities allow us to fast-track earnings while maintaining financial discipline,” Al-Muhaidib said. 

The firm is actively exploring investments in Malaysia, Africa, and other Asian markets with high infrastructure demand. 

The proceeds from the rights issue will primarily fund new projects in the Kingdom and strategic international markets, including the Middle East, Central Asia, Southeast Asia, and China. 

2030 goals: renewables, water, and green hydrogen 

By 2030, ACWA Power aims to exceed 175 gigawatts in power generation capacity, up from 78.9 GW today, produce 15 million cubic meters of desalinated water daily, and generate 1 million tonnes of green hydrogen annually, with potential for an additional 1 million tonnes under new contracts. 

Balancing debt and equity 

Despite securing SR58.6 billion in project financing over the past two years, Al-Muhaidib said that the capital increase does not signal a reduction in borrowing. 

“We maintain a balanced approach, leveraging both project debt and equity to sustain growth,” he added. 

ACWA Power’s net debt-to-operating cash flow ratio stands at 6.4 times, which is deemed healthy for growth-focused firms. 

Asia expansion and China entry 

ACWA Power’s recent acquisition in China marks its broader ambitions in Asia. “China is a strategic market, and we are evaluating opportunities in Malaysia and Africa,” Al-Muhaidib said. The company has an 80-person team in China and a 1 GW renewable pipeline there. 

Rapid execution and financing success 

The SR58.6 billion in project financings reflects ACWA Power’s strong lender relationships and execution capabilities. “Our integrated model — combining development, investment, and operations — ensures timely delivery,” Al-Muhaidib added. 

With a focus on disciplined growth, ACWA Power remains committed to its 2030 targets while maintaining environmental, social and governance standards.


Oman’s banking sector strengthens with 8% credit growth

Oman’s banking sector strengthens with 8% credit growth
Updated 06 July 2025

Oman’s banking sector strengthens with 8% credit growth

Oman’s banking sector strengthens with 8% credit growth

JEDDAH: Oman’s banking sector showed robust growth by May, with total credit rising 8 percent to 33.6 billion Omani rials ($87.36 billion) and deposits increasing 7.9 percent, reflecting strong private sector activity and confidence.

Data from the Central Bank of Oman revealed that credit extended to the private sector grew by 6.8 percent year on year to reach 27.9 billion rials by the end of May. Total deposits stood at 32.3 billion rials during the same period.

Oman’s banking sector remains resilient, supported by private sector engagement, expanding credit, and steady deposit growth. Regulatory reforms and growing confidence in financial institutions also continue to strengthen both conventional and Islamic banking.

Non-financial corporations held the largest share of private sector credit at 46.4 percent, closely followed by households at 44.2 percent. Private sector deposits increased by 7.4 percent to 21.9 billion rials, with households accounting for nearly half of the total.

The banking sectors of the Gulf Cooperation Council showed overall credit growth, highlighting regional economic resilience. Ƶ’s credit facilities rose 14.4 percent to SR2.96 trillion by the fourth quarter of 2024, while Qatar experienced a slight 0.2 percent decline to 1.4 trillion riyals, mainly due to reduced public sector and consumer lending.

The combined balance sheet of conventional banks showed a 6.9 percent year-over-year increase in total outstanding credit. Credit to the private sector grew by 5.2 percent to 21.4 billion rials, while investments in securities fell 1.7 percent to 5.5 billion rials.

Government bond investments increased 2.2 percent to 2 billion rials, whereas foreign securities declined by 11.9 percent, according to the CBO, which added that deposits with conventional banks rose 5.7 percent to 25.2 billion rials, with private sector deposits growing 5.8 percent to 17.1 billion rials.

Islamic banking assets surged 17.5 percent to 9 billion rials, with financing increasing 12.3 percent and deposits rising 16.6 percent to 7 billion rials.

According to the CBO, broad money supply rose 6.9 percent to 25.4 billion rials, driven by a 13.9 percent increase in narrow money and a 4.4 percent rise in quasi-money. Within M1, currency with the public fell 5.1 percent, while demand deposits grew 18.6 percent.

Gas production

Oman’s total natural gas production and imports rose marginally by 0.5 percent year-on-year to 17.95 billion cubic meters by April, driven mainly by a 10.8 percent increase in associated gas production.

Meanwhile, non-associated and imported gas volumes declined by 2.1 percent, according to the state’s National Center for Statistics and Information.

Industrial projects remained the largest consumers, using 9.32 billion cubic meters, followed by power generation stations, which used 4.33 billion cubic meters. Oil fields consumed 4.21 billion cubic meters, with industrial zones using 88 million cubic meters.


Ƶ opens July Sah sukuk subscription with 4.88% annual return

Ƶ opens July Sah sukuk subscription with 4.88% annual return
Updated 34 min 17 sec ago

Ƶ opens July Sah sukuk subscription with 4.88% annual return

Ƶ opens July Sah sukuk subscription with 4.88% annual return
  • Sukuk reflects ongoing efforts to promote financial inclusion
  • Product offers secure, fee-free investment avenue with stable, government-guaranteed returns

RIYADH: Ƶ has launched the July subscription window for its government-backed savings sukuk, “Sah,” offering an annual return of 4.88 percent—slightly up from June’s 4.76 percent.

Part of the 2025 issuance calendar managed by the National Debt Management Center under the Ministry of Finance, the sukuk reflects ongoing efforts to promote financial inclusion and encourage personal savings among Saudi citizens.

“Sah” is issued under the Financial Sector Development Program, a core component of Vision 2030, which aims to raise the national savings rate from 6 percent to 10 percent by 2030.

Targeted at individual investors, the product offers a secure, fee-free investment avenue with stable, government-guaranteed returns. The July issuance window opened at 10 a.m. Saudi time on July 6 and will close at 3 p.m. on July 8.

As with previous tranches, the sukuk is Shariah-compliant, denominated in Saudi riyals, and carries a one-year maturity, with fixed returns paid upon redemption. The minimum subscription remains SR1,000 ($266.56), while the maximum is capped at SR200,000 per investor.

The marginal increase in return reflects slight shifts in domestic funding costs and market liquidity, as the government responds to growing demand for low-risk savings instruments.

Subscription is open to Saudi nationals aged 18 and above through approved digital platforms, including SNB Capital, Aljazira Capital, Alinma Investment, SAB Invest, and Al-Rajhi Capital.

The Ministry of Finance has confirmed that monthly issuances will continue, with each offering’s yield determined by prevailing market benchmarks.

According to NDMC, the sukuk also supports broader collaboration with the private sector, including banks, asset managers, and fintech companies, as the Kingdom works to expand access to savings products and build a more diversified financial ecosystem.


Ƶ’s top 10 listed firms hit $2.1tn valuation, led by Aramco

Ƶ’s top 10 listed firms hit $2.1tn valuation, led by Aramco
Updated 06 July 2025

Ƶ’s top 10 listed firms hit $2.1tn valuation, led by Aramco

Ƶ’s top 10 listed firms hit $2.1tn valuation, led by Aramco

RIYADH: Ƶ’s top 10 publicly listed companies reached a combined market capitalization of $2.1 trillion as of April 25, highlighting their dominant role in the Kingdom’s capital markets, according to a new analysis by Forbes Middle East.

The companies collectively reported $133.9 billion in net profits for 2024, reflecting the growing strength of the Kingdom’s diversified economy. The ranking covers key sectors such as energy, banking, telecommunications, industrials, and utilities.

The milestone comes as the Saudi Exchange, or Tadawul, was recognized as the world’s fastest-growing stock market in 2024. The number of listings doubled to 55, and market liquidity surged by 40 percent — a growth fueled by a streamlined capital management system that halved IPO processing times and widened investor participation.

“The banking sector dominates the ranking, securing five out of the 10 spots, with total assets amounting to $854.7 billion,” the Forbes report noted.

Saudi Aramco topped the list with a market value of $1.7 trillion. The energy giant posted $480.4 billion in revenue and $106.2 billion in net income last year, cementing its position as a global energy leader.

Aramco also advanced its international strategy through major deals in 2024, including a $12.35 billion secondary share sale in June, $25 billion in contracts to boost gas output by 60 percent by 2030, a $90 billion agreement with U.S. firms, and a joint venture with China’s Sinopec to develop a refining complex in Fujian province.

Banking giants 

Ƶ’s leading banks continued to post strong performance in 2024, with several institutions recording double digit profit growth and expanding their international and digital footprints.

Saudi National Bank maintained its position as the Kingdom’s largest lender by assets, reaching $294.4 billion. The bank posted $5.6 billion in net profits and bolstered its global presence with a $500 million bond issuance in Taiwan.

Al Rajhi Bank, which holds $259.8 billion in assets, recorded an 18.7 percent rise in profits to $5.3 billion. The Islamic lender also acquired a majority stake in the fintech app Drahim, signaling a strategic push into digital finance.

Riyad Bank reported a 15.9 percent increase in profits to $2.5 billion, supported by a $750 million sukuk issuance. Saudi Awwal Bank also delivered strong results, with profits climbing 15 percent to $2.2 billion following a $1.1 billion sukuk deal.

Meanwhile, Alinma Bank saw profits jump 20.5 percent and signed a $756 million agreement with Bahri to finance oil tankers, underscoring its growing role in Shariah-compliant corporate financing.

Telecom and industrials   

In telecommunications, stc Group recorded $6.6 billion in profits, launched STC Bank, and transferred tower assets to a Public Investment Fund-led entity.  

SABIC, a global chemicals leader, recovered from a 2023 loss to post $993 million in profits and sold its Alba stake for $966 million.    

Meanwhile, Maaden, the Middle East’s top mining firm, acquired SABIC’s Alba stake and issued a $1.25 billion sukuk, contributing 20 percent of Saudi non-oil exports.   

Utilities and energy 

Saudi Electricity Co. saw a 7.5 percent increase in power output and signed a $3.6 billion gas plant deal, while raising $2.75 billion in sukuk. The company also settled $1.5 billion in historical obligations to the state, with PIF holding a 74.3 percent stake.  

Forbes ranked firms based on sales, assets, profits, and market value from Tadawul, with equal weight given to each metric.     

This elite group of companies highlighted Ƶ’s economic strength, with banks and energy firms driving record profits and global expansions in 2025.