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Saudi Aramco secures $9bn in deals on first day of iktva forum

Saudi Aramco secures $9bn in deals on first day of iktva forum
Saudi Aramco President and CEO Amin Nasser. SPA
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Updated 13 January 2025

Saudi Aramco secures $9bn in deals on first day of iktva forum

Saudi Aramco secures $9bn in deals on first day of iktva forum
  • 145 agreements signed in one day mark a leap toward strengthening local industries

RIYADH: Saudi Aramco has secured 145 agreements and memorandums of understanding worth an estimated $9 billion on the opening day of the In-Kingdom Total Value Add Forum and Exhibition 2025. 

These deals are expected to drive the localization of products and services in Ƶ, enhancing local content in the supply chain and fostering collaboration.

The agreements align with the core objectives of iktva, which aim to enhance supply chain efficiency and add value across Saudi Aramco’s operations.

By increasing local content, the program helps develop a more diverse and competitive energy industry in the Kingdom. It also supports the strategic goal of retaining 70 percent of procurement spending within Ƶ, directly benefiting local businesses.

On its first day, the event highlighted 210 localization opportunities across 12 sectors, with a combined annual market value of $28 billion. These opportunities are seen as key to driving long-term industrial growth and reducing reliance on imports.

During the event, Saudi Aramco President and CEO Amin Nasser reflected on the company’s progress, noting that Aramco achieved a 67 percent local content score for its procurement of goods and services in 2024, up from just 35 percent in 2015. 

“Since launching iktva in 2015, we’ve made significant strides. Back then, most of our materials and services were sourced from outside Ƶ,” Nasser said. 

Nasser emphasized that the success of iktva depends on its ability to create value for all stakeholders. 

“For Aramco, a largely localized supply chain ensures continuity and helps us navigate operational challenges more effectively,” he said. “Since 2015, iktva has contributed over $240 billion to Ƶ’s GDP and led to the creation of 350 local manufacturing facilities with investments totaling more than $9 billion.”

These new facilities cover a range of sectors, including chemicals, non-metallics, information technology, electrical and instrumentation, and drilling. As a result, 47 products are now being manufactured for the first time in Ƶ.

Saudi Energy Minister Prince Abdulaziz bin Salman also addressed the gathering, announcing the Kingdom’s plans to enrich and sell uranium. “We’re committed to monetizing all our mineral resources, including uranium,” the minister said. “By enriching and selling uranium, along with producing yellowcake, we will secure essential raw materials for energy security.”

Prince Abdulaziz discussed the future of the petrochemical sector, emphasizing the importance of producing more advanced chemicals. “The future of petrochemicals is not just about plastics or polymers. We’re aiming for better, more sophisticated chemical products,” he noted.




Saudi Energy Minister Prince Abdulaziz bin Salman. SPA

Looking ahead, the energy minister spoke about potential collaborations with Egypt, indicating that a roadmap for joint ventures would be outlined in February. “We have much to look forward to with Egypt,” he said.

In a separate panel, Prince Abdulaziz highlighted the role of integrated collaboration between sectors in achieving the Kingdom’s Vision 2030.

He explained that major energy expansion projects are key to supporting industrial development by providing diverse energy sources and offering competitive prices for gas feedstock.

This, he added, would help stimulate the growth of manufacturing and facilitate the transition to cleaner energy.

Saudi Investment Minister Khalid Al-Falih also spoke during the ministerial dialogue session, stressing that standardized incentives for the industrial sector are critical to achieving Vision 2030.

These incentives, he said, will help accelerate the creation of new industrial facilities and strengthen local supply chains at all stages of the value chain, making Saudi industries more competitive.

The first day of the forum also saw the launch of ASMO, a joint venture between Saudi Aramco Development Co. and DHL. The new venture aims to transform the procurement and supply chain landscape across the Middle East and North Africa region.

Additionally, the opening ceremonies for the Novel Non-Metallic Solutions facility at King Salman Energy Park and the NMDC Offshore Fabrication Yard at Ras Al-Khair were held.

Novel, a partnership between Aramco and Baker Hughes, is focused on introducing a range of composite products to the market, while the NMDC fabrication yard will provide maritime engineering services and fabricate equipment and materials.

Running from Jan.13-16 in Dammam, the iktva Forum continues to spotlight critical infrastructure projects and collaborative opportunities aimed at advancing the local supply chain ecosystem and supporting the Kingdom’s long-term industrial goals.


Saudi, Japan to develop digital medicine strategies

Saudi, Japan to develop digital medicine strategies
Updated 10 October 2025

Saudi, Japan to develop digital medicine strategies

Saudi, Japan to develop digital medicine strategies
  • Pact includes AI diagnostics, training, device development, and education platforms

TOKYO: Tokyo-based Medident has signed an agreement with Ƶ institutions to link Japan’s medical digital transformation strategy with the Kingdom’s Vision 2030 plan.

The pact was inked at the Japan-Saudi EXPO Investment Forum, the company announced on Sept. 24.

The agreement covers areas including artificial intelligence diagnostics, surgical training, medical device development, and healthcare-education platforms.

Medident also plans to speed up clinical and educational adoption of its 3D Clone Model, a training tool that combines virtual reality with tactile simulation based on various types of medical scans.

“Our initiatives are gaining recognition both academically and at the policy level,” Medident CEO Daisuke Tomita said.

“By connecting Japan’s strengths in digital healthcare with Ƶ’s reform agenda, we will build new frameworks for international co-creation.”

The deal was signed on stage at the Saudi-Japan EXPO Investment Forum with Dr. Noor A. Al-Saadoon, director of health innovation at the Biotech Center at Al-Faisal University, and Dr. Mohammed Al-Hayaza, president of Al-Faisal University.

Also in attendance were Khalid A. Al-Falih, minister of investment; KOGA Yuichiro Koga, state minister of economy, trade, and Industry; and Yumiko Tomita, director of the Japan Oral Health Association.

Medident is a part of the Mirise Medical Group, which operates clinics in Tokyo’s upmarket Minami-Aoyama and Ginza districts, focusing on orthodontics, oral health, and regenerative therapies.


Damascus-Amman train link could be completed by 2026 as historic Hijaz railway restoration plan gains steam

Damascus-Amman train link could be completed by 2026 as historic Hijaz railway restoration plan gains steam
Updated 10 October 2025

Damascus-Amman train link could be completed by 2026 as historic Hijaz railway restoration plan gains steam

Damascus-Amman train link could be completed by 2026 as historic Hijaz railway restoration plan gains steam
  • Under the agreement, Turkiye will support Syria with reconstruction efforts, while Jordan will provide locomotive maintenance
  • A Jordanian official said if plans go ahead passengers could expect to board trains from late next year

DUBAI: Passengers traveling between Amman and Damascus could be taking the train as early as the end of 2026, with both countries determined to restore a historic rail link that once connected the Levant with the holy cities of Madinah and Makkah.

A high-level meeting in Amman last month saw Jordan, Syria, and Turkiye agree to work together on reviving the historic railway.

Under the agreement, Turkiye will support Syria with reconstruction efforts, while Jordan will provide locomotive maintenance.

Although details regarding timelines remain limited, Zahi Khalil, director-general and deputy chairman of the Jordan Hijaz Railway at the Jordanian Ministry of Transport, said plans are well underway and could allow passenger services between the two capitals as soon as next year.

“Turkiye agreed in September to support the repair of the railway section between Damascus and the Jordanian border. They will completely restore it,” Khalil told Arab News on the sidelines of the Global Rail Conference in Abu Dhabi last week.

“Regarding the connection process — the link between Damascus and Amman — it could be ready by the end of next year, 2026. So possibly in the last quarter of next year, we’ll have the first passenger trip between Amman and Damascus.”

Khalil said the initial phase of the project will focus on passenger transport, but there are also plans to upgrade the route for freight trains within the next three to five years. This, however, will require significant infrastructure upgrades to handle heavier loads.

Historically, the Hijaz Railway was part of the Ottoman rail network and served as a major link between Damascus and Makkah, reducing a journey that once took 40 days to just five. Seen by the sultan at the time as a symbol of Islamic unity and progress, the railway holds deep historical and cultural significance across the region.

Khalil explained that much of the historic track would be rehabilitated, upgraded for modern trains, and reused, with large sections of the original route still intact. He believes the revived line will function not only as a vital transport connection but also as a heritage attraction in its own right.

“Trains are one of the greatest and easiest means of connection between countries; they carry large numbers of people and encourage tourism both within Jordan and between Jordan and neighboring countries,” he said.

“For example, on the old Hijaz Railway, we already have daily tourist trips in the historic Wadi Rum area, but only there. When the line connects to other regions, it will bring tourists from neighboring countries and other Jordanian cities.”

The original Hijaz Railway was intended to extend all the way to Istanbul, connecting the Ottoman capital with Makkah. However, the project was never completed due to the First World War and the subsequent fall of the Ottoman Empire.

With Turkiye now deeply involved in Syria’s reconstruction, Khalil believes there is renewed potential to realize the railway’s original scale. He noted that work is already underway to rehabilitate lines between Damascus and Aleppo, with plans to extend the tracks to the Turkish-Syrian border.

“Once Syria is linked to the Turkish rail lines, Amman will be connected all the way to Istanbul,” he said.

Looking ahead, Khalil added that there are also plans to link Amman with future railway projects in Ƶ and the Gulf Cooperation Council, ultimately realizing the full vision of the historic Hijaz Railway.


Ƶ to sustain 4.5%–5.5% non-oil growth over next decade: Moody’s 

Ƶ to sustain 4.5%–5.5% non-oil growth over next decade: Moody’s 
Updated 10 October 2025

Ƶ to sustain 4.5%–5.5% non-oil growth over next decade: Moody’s 

Ƶ to sustain 4.5%–5.5% non-oil growth over next decade: Moody’s 

RIYADH: Ƶ is on course to sustain non-oil sector annual growth of 4.5 percent to 5.5 percent through the next five to 10 years as its Vision 2030 diversification program gathers pace, Moody’s have forecast. 

The rating agency cited strong momentum from services, tourism, and a pipeline of mega events including the 2027 AFC Asian Cup, the 2030 World Expo, and the 2034 FIFA World Cup, all of which are expected to reinforce the Kingdom’s non-oil expansion and attract sustained private investment.  

Other rating agencies and consultancies share a similar outlook. Fitch Ratings expects Ƶ’s non-oil growth to average around 4.5 percent through the medium term, while BMI and Strategic Gears forecast continued expansion in tourism and exports, reflecting broad confidence in the Kingdom’s Vision 2030 diversification momentum. 

This comes on the back of Ƶ’s latest estimate, released on Sept. 30, in which the Ministry of Finance forecast real gross domestic product growth of 4.6 percent in 2026, supported by continued expansion in non-oil activities. 

The ministry’s pre-budget statement set the 2025 projection at 4.4 percent, driven by a 5 percent increase in non-oil output, underpinned by robust domestic demand, rising employment, and expanding private-sector investment. 

In its latest report, Moody’s stated: “Non-oil economic growth, particularly in the services sector, will remain robust as the large-scale projects are implemented and gradually commercialize.” 

The agency cautioned that progress on some flagship projects is uneven amid supply bottlenecks, engineering challenges and tighter funding conditions.  

Moody’s expects authorities to keep diversification outlays relatively high even as oil prices soften, leading to “moderate fiscal deficits” and a rise in government debt to more than 36 percent of GDP by 2030 from about 26 percent at end-2024. 

In a separate report on the banking system, Moody’s said strong credit demand linked to Vision 2030 projects and mortgages has outpaced deposit growth, pushing the sector’s loan-to-deposit ratio above 100 percent for the first time since 2021 and sustaining reliance on alternative funding.  

“While domestic deposits are increasing, mainly supported by inflows from government entities and large companies, credit demand continues to grow at a faster pace,” said the agency.

It noted that Saudi banks have diversified into capital-market issuance and syndicated loans; total bank issuance reached SR56 billion ($14.93 billion) in 2024, up from SR21 billion in 2023, with similar levels expected this year before easing as loan and deposit growth re-align. 

The report added that the Saudi Central Bank has moved to bolster resilience, introducing a 100-basis-point countercyclical capital buffer effective in 2026 and monitoring foreign-currency liquidity and stable-funding ratios — steps that could moderate loan growth at some institutions.  

Moody’s also highlighted the role of the Saudi Real Estate Refinance Co. in easing liquidity pressures, with SRC’s acquired portfolio rising to about 4 percent of the mortgage market and the launch of the Kingdom’s first residential mortgage-backed security in August, initially for local investors.  

Market funding brings its own risks, Moody’s said, pointing to a near-doubling of foreign funding as a share of liabilities since 2020 and the banking system’s net foreign-asset position turning negative in 2024.  

While the agency sees a loss of confidence as unlikely over the next 12 to 18 months, it warned that an abrupt shift could pressure renewals; measured diversification by tenor and geography would help mitigate that risk.  

Another new report by Moody’s on nonfinancial companies revealed that investment and reforms are lifting multiple non-oil sectors — hospitality and retail, manufacturing, mining and real estate among them — even as borrowing needs rise and credit outcomes diverge.  

Moody’s estimates that cumulative private-sector investments of close to SR8 trillion will be needed by 2030 to sustain growth, with the Public Investment Fund remaining central to catalyzing co-investment.  

PIF’s direct role is set to remain substantial. Moody’s projects up to SR1 trillion of PIF investment by 2030 — on top of about SR642 billion over the past five years — while around SR7 trillion from other private participants will be required to maintain non-oil momentum.  

The scale and complexity of projects such as Neom introduce execution risk, but phased investment and tighter oversight should support delivery.  

Utilities will carry some of the heaviest capital burdens as the energy mix targets a 50/50 split between renewables and gas by 2030. 

Moody’s estimates at least SR750 billion of sector investment across 2019 to 2030, with the National Renewable Energy Program having launched roughly SR440 billion of projects since 2019. The Ministry of Energy plans to tender about 130 gigawatts of renewable capacity by 2030.  

As of mid-2025, renewables accounted for around 9 GW — about 10 percent of total generation capacity.  

Saudi Electricity Co., the sole transmitter and distributor, is accelerating grid expansion and interconnections and expects its regulated asset base to grow with elevated capital spending — rising from an average SR29.4 billion per year since 2019 to about SR50 billion to SR55 billion annually in 2025-30.  

Higher investment needs will strain free cash flow and liquidity, though a supportive regulatory framework and increased indirect subsidies — SR10.8 billion in 2024, or 12 percent of revenue — provide offsets.  

Across capital markets, Moody’s expects more Saudi corporates to tap equity and debt as regulatory upgrades broaden participation, with national champions and private companies aiming to balance expansion with prudent leverage.  

That trend, it said, should gradually deepen the domestic market, diversify funding sources and support a more resilient financing ecosystem. 


Saudia, Alrajhi Bank, Albaik lead Ƶ’s most ‘persuasive’ brands: YouGov

Saudia, Alrajhi Bank, Albaik lead Ƶ’s most ‘persuasive’ brands: YouGov
Updated 09 October 2025

Saudia, Alrajhi Bank, Albaik lead Ƶ’s most ‘persuasive’ brands: YouGov

Saudia, Alrajhi Bank, Albaik lead Ƶ’s most ‘persuasive’ brands: YouGov

RIYADH: Saudia, Alrajhi Bank, and Albaik are the top three most persuasive brands in Ƶ when it comes to getting people to buy their products, according to a new survey. 

A report from market research and data analytics firm YouGov analyzed shopping attitudes in the Kingdom and compiled a list of companies leading in convincing consumers to spend on their brands. 

The analysis found that retail banks, beauty firms, and telecoms and handset providers are the most successful at converting people who would consider buying their products into those who intend to do so.  

According to the report, Saudia topped all brands across every category, with 72 percent of respondents intending to use the airline once it was considered as an option. 

Alrajhi Bank came second with a conversion rate of 70 percent, followed by Albaik at 65 percent, Almarai at 65 percent, and Apple at 62 percent.  

Toyota followed with a conversion rate of 55 percent, while Samsung and Hilton recorded conversion rates of 49 percent and 47 percent, respectively, once customers began considering their products. 

The survey also found that Huda Beauty has a conversion rate of 45 percent, followed by Dior Beauty at 43 percent. 

Category breakdown  

Among non-carbonated beverage brands, Almarai secured the top spot among Saudi buyers, followed by Saudia, Nadec, Lipton Ice Tea, and Nova. 

Almarai’s top position comes just months after the company signed an agreement to acquire Pure Beverages Industry Co. for SR1.04 billion ($277 million), aiming to diversify its offerings and strengthen its market position. 

Pure Beverages Industry Co. is a bottled drinking water producer in the Kingdom, known for its “Ival” and “Oska” brands. 

In the retail banking category, Alrajhi Bank is the most successful at converting customers considering its services into those who intend to use them. 

Alrajhi Bank is followed by Saudi Awwal Bank, Saudi National Bank, Alinma Bank, and Riyad Bank. 

In September, Alrajhi Bank earned an “AA” rating from MSCI’s global environmental, social, and governance benchmark, becoming the only financial institution in Ƶ to achieve this distinction. 

The recognition also placed the financial institution among the top five banks worldwide with an “AA” or higher ESG rating, underscoring its leadership in sustainable practices.  

Among beauty brands, Huda Beauty garnered the top spot for conversions, while Dior Beauty, Mac Beauty, Chanel Beauty, and Makeup Forever Beauty made up the remaining popular companies in the segment. 

With a conversion rate of 38 percent, Amazon was named the most persuasive retailer in the Kingdom, followed by Al Othaim, Panda, Lulu Hypermarket, and Shein.  

Apple topped the list among consumer electronics and appliances brands, with Samsung, Huawei, LG and PlayStation grabbing the remaining slots in the top five list.  

Albaik was named the most persuasive brand in the dining, restaurants and eateries category. Other entrants in the list include Hungerstation, McDonald’s, Al Tazaj, and KFC.  

According to YouGov, Toyota is the most persuasive vehicle brand among Saudi customers, followed by Mercedes-Benz, Land Rover, Lexus, and BMW.  

Among hotels and resorts, Hilton topped the list, while the remaining entrants included InterContinental, Movenpick, Hyatt, and Ritz-Carlton.  

Saudia was named the most persuasive travel and airline brand among Saudi customers, followed by Egypt Air, flynas, Emirates, and Almosafer.  

Affinity toward home-made brands 

According to the YouGov survey, six out of 10 residents in Ƶ prefer to buy products made in their home country.  

The report revealed that 63 percent of the survey participants aged above 55 prefer products made in Ƶ.  

Among people aged from 18 to 24, 58 percent prefer buying homemade products, and this figure rises to 60 percent among people between the ages of 25 and 34, and 61 percent among 35- to 44-year-olds.  

The report further said that 58 percent of the participants between the ages of 45 to 54 prefer buying products made in the Kingdom. 


Closing Bell: Saudi stock market ends week in green with 11,583 points 

Closing Bell: Saudi stock market ends week in green with 11,583 points 
Updated 09 October 2025

Closing Bell: Saudi stock market ends week in green with 11,583 points 

Closing Bell: Saudi stock market ends week in green with 11,583 points 

RIYADH: Ƶ’s Tadawul All Share Index closed higher on Thursday, rising 24.04 points, or 0.21 percent, to end at 11,583.31. 

The total trading turnover for the main index stood at SR4.70 billion ($1.24 billion), with 254.9 million shares changing hands. A total of 119 stocks advanced, while 127 declined. 

The MT30 index, which tracks the performance of the top 30 companies by market capitalization, edged up 2.13 points, or 0.14 percent, to 1,509.75. The Nomu parallel market also climbed 112.17 points, or 0.44 percent, to close at 25,805.42, with 47 gainers and 37 losers. 

Saudi Automotive Services Co. was the session’s top performer, surging 9.96 percent to SR65.15. 

It was followed by Aldrees Petroleum and Transport Services Co., which gained 6.93 percent to SR142, and Riyadh Cables Group Co., which rose 5.48 percent to SR136.60. 

Other notable gainers included Dallah Healthcare Co., advancing 3.24 percent to SR153, and Liva Insurance Co., which added 2.90 percent to SR13.50. 

On the losing side, Gas Arabian Services Co. fell 4.02 percent to SR16.24, while Methanol Chemicals Co. dropped 3.08 percent to SR10.39. 

Halwani Bros. Co. declined 2.23 percent to SR39.54, followed by Batic Investments and Logistics Co., which slipped 2.16 percent to SR2.27, and National Metal Manufacturing and Casting Co., down 1.93 percent at SR17.30. 

On the announcement front, Rabigh Refining and Petrochemical Co. announced the resignation of two board members, including Noriki Takanishi, vice chairman of the board, and Tetsuo Takahashi, a member of the Audit Committee. 

The company said the resignations are linked to the recent completion of Saudi Aramco’s acquisition of Sumitomo’s 22.58 percent stake in Petro Rabigh, following a share sale transaction between Saudi Aramco and Sumitomo Chemical Co. Ltd. 

The board also approved the appointment of Abdullah Al-Suwehfer and Hamad Al-Daghther as new non-executive members, pending ratification by the general assembly. Shares of Petro Rabigh closed 2.47 percent higher at SR7.90.