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Ƶ’s high-end dining scene fuels culinary and cultural revival

Ƶ’s high-end dining scene fuels culinary and cultural revival
Fine dining has become a core pillar of Ƶ’s economic transformation under Vision 2030, with government support attracting top global chefs, brands, and investors. (SPA)
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Ƶ’s high-end dining scene fuels culinary and cultural revival

Ƶ’s high-end dining scene fuels culinary and cultural revival
  • Saudi food service market is projected to grow from $30.12 billion in 2025 to $44.67 billion by 2030

RIYADH: Ƶ’s culinary heritage is deeply rooted in its diverse landscapes, climates, and tribal traditions — further shaped by centuries of global trade.

Yet both locally and internationally, exposure to authentic Saudi cuisine has long remained limited to a few convenient, accessible formats.

That’s changing, not just in taste but in structure. In July, the Saudi government issued a formal regulatory framework for luxury restaurants, officially classifying fine dining as a distinct category with its own licensing code — requiring on-table service only, the elimination of cashier counters, and a curated, limited number of branded outlets per city.

Each establishment must feature a visible beverage prep station, maintain distinct employee-only rest areas, and meet strict kitchen zoning rules that separate raw, cooked, and served foods to minimize contamination.

By formalizing standards for luxury restaurants, the government aims to elevate service consistency, improve operational quality, and ensure a premium guest experience across the Kingdom.

The new framework will not only protect consumers but also encourage global investment by giving restaurateurs a clear, streamlined path to enter Ƶ’s high-end dining market.

It reflects the broader goals of Vision 2030: to boost tourism, foster entrepreneurship, and position Saudi cities as regional lifestyle destinations.

The Saudi foodservice market is projected to grow from $30.12 billion in 2025 to $44.67 billion by 2030, at a compound annual growth rate of 8.2 percent, according to Mordor Intelligence, a market research firm.

Under Vision 2030, Ƶ is positioning itself as a global culinary destination — supporting local entrepreneurship and attracting international ventures — while reshaping its food and hospitality landscape.

Economic ripple effects

The rise of high-end dining in Ƶ is generating widespread economic ripple effects, starting with job creation across multiple sectors.

According to Elena Caron, corporate services director at Fragomen, demand is growing not only for chefs and service staff, but also for professionals in logistics, supply chain, and technology.

“At the same time, restaurants and hospitality groups must navigate a more complex regulatory environment. Complying with labor laws, meeting Saudization quotas, securing commercial licenses and following foreign investment rules are all essential to ensure legal compliance and long-term business sustainability,” Caron said.

She added that supply chain and food safety standards are also evolving, particularly with the growing emphasis on local sourcing.

“As partnerships with Saudi farms and producers expand, restaurants are expected to meet rigorous food handling and traceability requirements in line with Saudi Food and Drug Authority’s regulations,” she said.

“In this environment, compliance isn’t optional — it’s essential to protect brand integrity and maintain consumer trust.”

Ahmad Al-Zaini, CEO and co-founder of cloud-based restaurant management and point-of-sale platform Foodics, noted that demand for skilled talent is rising across service, logistics, and food production, while the expansion of premium dining is also increasing the need for upscale real estate, smart kitchens, and efficient service systems.

“At Foodics, we’ve seen a clear uptick in demand from premium and fine dining establishments that want operational clarity, advanced analytics, seamless integrations and customer experiences,” he said.

“These businesses are anchors for the recently unlocked premium lifestyles in the Kingdom, and they play a role in attracting a new category of sophisticated investors, operators, and entrepreneurs.”

Alexander Sysoev, founder of international restaurant guide GreatList, an international restaurant guide, described fine dining as a powerful catalyst — driving demand for luxury real estate, elevating local production standards, and generating diverse employment opportunities across the culinary value chain.

“The real shift is cultural,” Sysoev said. “It raises expectations across industries — from education and sourcing to hospitality. Restaurants are no longer just places to eat — they’re becoming part of a national economic strategy.”

Patrick Samaha, partner at Kearney Middle East and Africa, said the Kingdom’s F&B sector grew 15 percent in 2025, creating hundreds of jobs through major restaurant openings in Riyadh and Jeddah.

“This momentum is also reshaping the real estate landscape,” he said, adding: “Premium F&B demand in districts like King Abdullah Financial District and Jeddah’s Corniche surged 20 percent in 2025, prompting developers to integrate signature dining into luxury mixed-use projects.”

Vision 2030’s culinary impact

Fine dining has become a core pillar of Ƶ’s economic transformation under Vision 2030, with government support attracting top global chefs, brands, and investors.

According to Caron, a new generation of Saudi culinary entrepreneurs is rising.

“Vision 2030 has empowered them to launch dining concepts that reflect local culture while meeting global standards,” she said.

Al-Zaini added that global brands are expanding into Ƶ to tap new audiences, which in turn is raising service standards and fostering competition across the value chain.

“This has led to a rise in homegrown restaurateurs investing in premium concepts, training local talent, and demanding more reliable infrastructure for their operations,” he said.

Sysoev agreed, emphasizing that Ƶ is emerging as a high-potential culinary market.

“For local entrepreneurs, it brings legitimacy, infrastructure, and — most importantly — a sense of momentum,” he said. “They no longer need to prove that fine dining is possible. Now, they’re proving they can lead.”

Samaha noted that recent reforms and giga-projects have fast-tracked international investment, with brands like COYA and Le Petit Chef entering the market. In the first half of 2025 alone, seven major openings were recorded.

“Vision 2030 is cultivating local talent, despite the influx of international brands and concepts,” he said, adding: “Initiatives like the Culinary Incubator and Human Capability Development Program trained over 4,500 Saudis in hospitality and culinary arts in 2025, enabling a new generation of entrepreneurs to emerge.”

He added that distinctly Saudi fine dining concepts are now emerging — blending local heritage with global techniques to redefine the Kingdom’s culinary identity.

Riyadh and Jeddah lead the way

Looking ahead, industry leaders agree that Riyadh and Jeddah will remain at the forefront of Ƶ’s fine dining evolution.

Al-Zaini pointed to the Kingdom’s tech-savvy, affluent youth as key drivers of demand for globally inspired yet locally grounded dining experiences.

“This creates the perfect opportunity for restaurateurs to experiment with the plethora of technologies at their disposal today, from interactive culinary displays to personalized dishes, and gastronomical explorations with local ingredients from the Kingdom’s vast agricultural landscape,” he said.

Sysoev noted that while AI can optimize menus and personalize service, true value lies in originality and cultural context.

He projected that soon Ƶ will not be copying Western models — it will be crafting its own.

“That means a stronger focus on local ingredients, sustainability, and chef-driven concepts with a distinct point of view. Cities like Riyadh and Jeddah don’t need to follow the hype — their power will come from building identity. That’s how they’ll stand out on the global culinary map,” Sysoev said.

According to Samaha, three key trends are shaping the future of fine dining in the Kingdom: innovation, sustainability, and cultural storytelling.

He said restaurants are using AI and smart tech to personalize guest experiences. Sustainability is now central, with zero-waste kitchens, local sourcing, and green initiatives like AlUla’s solar-powered Desert Bloom project.

“Third, fine dining in the Kingdom is evolving into a platform for cultural expression. Events like Layali Diriyah and the Riyadh Food Art Festival position cuisine as a medium for storytelling, identity, and destination branding,” he said.

As Ƶ reimagines its tourism and lifestyle sectors, fine dining is no longer just about food — it is a strategic lever for economic diversification, cultural diplomacy, and global identity.


Ƶ accelerates AI push with HUMAIN at the helm

Ƶ accelerates AI push with HUMAIN at the helm
Updated 27 July 2025

Ƶ accelerates AI push with HUMAIN at the helm

Ƶ accelerates AI push with HUMAIN at the helm
  • Kingdom positioning itself as hub for advanced AI applications across the Middle East and beyond

JEDDAH: Ƶ is ramping up its artificial intelligence ambitions with the launch of HUMAIN, a flagship initiative backed by the Public Investment Fund, as part of its broader drive to become a global AI powerhouse.

With more than $40 billion earmarked for AI-related investments under Vision 2030, the Kingdom is scaling up infrastructure, forging global tech partnerships, and positioning itself as a hub for advanced AI applications across the Middle East and beyond.

“Artificial intelligence has become a strategic priority for the Kingdom of Ƶ as it aligns strongly with the country’s economic transformation goals and enhances governance,” Youssef Saidi, an economic expert and research fellow at the Economic Research Forum, told Arab News.

He added that the Kingdom’s AI strategy aims to position the country as a global AI leader by the end of the decade.

“Ƶ is leveraging AI to drive innovation and economic growth across various sectors, including healthcare, finance, and logistics, helping the country’s transition into a knowledge-based economy. Ƶ is investing heavily in AI research and development to become a regional leader in this field,” he added.

HUMAIN launch

Wholly owned by PIF, HUMAIN was launched in May by Crown Prince Mohammed bin Salman to develop advanced Arabic language models and establish Ƶ as a global leader in AI infrastructure and innovation.

The initiative  is expected to support local innovation, develop intellectual property, and attract top global AI talent and investment.

“HUMAIN is due to offer one of the world’s most powerful multimodal Arabic language models, advanced AI tools, and next-generation data centers,” said Saidi.

He added: “HUMAIN is expected to contribute to Ƶ’s AI ecosystem by fostering human-centered AI innovation, encouraging the design of AI systems that are ethical, inclusive, transparent, and accountable.”

The company aims to enhance human capabilities, improve quality of life, and address real-world challenges relevant to Saudi society. Its focus spans strategic sectors including energy, healthcare, manufacturing, and financial services.

Building talent

To ensure long-term sustainability of its AI sector, Ƶ is also prioritizing talent development and creating an attractive environment for global expertise.

Speaking to Arab News, Yaseen Ghulam, associate professor of economics and director of research at Riyadh-based Al-Yamamah University, said the Kingdom aims to train 20,000 data and AI experts by 2030 through investor-friendly regulations and public-private partnerships.

He cited initiatives such as the ATHKA AI Olympiad and Elevate AI training program as key contributors to public education and skills development. “Microsoft, Huawei, Accenture, Atomcamp, and Oracle are also establishing AI academy programs,” Ghulam added.

He added that the Kingdom is gaining global traction as a destination for skilled professionals, noting that it ranks third globally in AI hiring growth, with women leading in skills penetration.

“The country pays AI experts 20 percent more than the world average, along with additional incentives,” said Ghulam.

Tech partnerships

Ƶ’s AI ambitions are being bolstered by collaborations with global tech giants, particularly in semiconductors and advanced computing.

“NVIDIA and AMD, two major players in the graphics processing unit market, are playing a key role in Ƶ’s AI infrastructure development,” said Saidi.

​​He noted that NVIDIA is partnering with the Kingdom to build AI factories powered by its Grace Blackwell supercomputers, with a projected capacity of 500 megawatts. “The partnership between Ƶ and NVIDIA aims to establish hyperscale AI data centers, enabling Ƶ to train and deploy sovereign AI models at scale,” the research fellow added.

NVIDIA is also working with the Saudi Data and Artificial Intelligence Authority to train thousands of developers in accelerated computing and AI.

Saidi highlighted the key role of global tech giants like California-based semiconductor firm Advanced Micro Devices in supporting Ƶ’s AI ecosystem and driving its digital transformation agenda.

“AMD is investing up to $10 billion to deploy 500 megawatts of AI compute capacity over the next five years and collaborating with Saudi organizations to develop AI enterprise platforms, supporting digital transformation across industries,” he said, adding that the NVIDIA and AMD investments will have a great benefit in developing human capital and shaping the future of AI-driven activities in Gulf Cooperation Council countries.

Strategic edge

Ghulam pointed to several factors that position the Kingdom as a strong global AI contender, including its recognition as the world leader in government strategy in the sector in the 2024 Global AI Index.

“The country has a significant advantage in hosting data centers and training AI models due to its strategic location, financial might, excess energy, expanding private sector, and digitization push,” he said.

The Kingdom is home to over 240 AI-focused businesses and has seen a fivefold increase in its AI patent portfolio since 2019. Heavy investment in digital infrastructure is also enhancing global connectivity and AI dataset capabilities.

Ghulam added that Ƶ has one of the strongest AI-related physical infrastructure footprints in the region, with 10 supercomputers and the highest number of colocation data centers in the Middle East.

“The Arabic language AI models that are to be developed by HUMAIN are expected to serve more than 450 million people worldwide who speak Arabic around the world,” said Ghulam.

With foundational work well underway, Ghulam said the Kingdom has set an ambitious benchmark for the years ahead.

“Ƶ aims to become one of the top 15 AI prepared countries by 2030, investing heavily in energy, data centers, semiconductors, and connectivity,” he said.

He added that the Kingdom’s public AI spending commitments — both current and projected — surpass those of the US and China.

“HUMAIN plans to build 1.9 gigawatts of data center capacity by 2030 and collaborate with NVIDIA to ship cutting-edge GPUs to Ƶ,” he concluded.
 


Pakistan’s Air Karachi in talks with Chinese jetmaker for aircraft as it gears up for operations

Pakistan’s Air Karachi in talks with Chinese jetmaker for aircraft as it gears up for operations
Updated 26 July 2025

Pakistan’s Air Karachi in talks with Chinese jetmaker for aircraft as it gears up for operations

Pakistan’s Air Karachi in talks with Chinese jetmaker for aircraft as it gears up for operations
  • New airline is backed by 100 Pakistani businessmen who pooled $17.6 million in seed funding
  • Air Karachi is also exploring aircraft deals with Boeing and Airbus to launch domestic flights

KARACHI: Air Karachi, Pakistan’s new private airline in the making, has engaged the Commercial Aircraft Corporation of China (COMAC) for the supply of airliners to start its flight operations, the group chairman Hanif Gohar told Arab News on Friday.

Spearheaded by a group of leading businessmen from Pakistan’s southern port city, the airline is also negotiating with global aerospace giants like Boeing and Airbus for the acquisition of at least three passenger aircraft. It was launched in November 2024 by 100 stakeholders with Rs5 billion ($17.6 million) in seed money.

“We are talking with COMAC regarding the 919, as well as with Boeing and Airbus, to acquire the aircraft,” Gohar said, referring to a narrow-body passenger jet developed by China.

Business leaders in the South Asian nation have stepped up to fill the gap as the state-run Pakistan International Airlines (PIA) has become a liability for the cash-strapped government, which is now making a second attempt to privatize the national carrier.

“We will start our flight operations as soon as we reach an agreement with any of the suppliers, whoever comes first,” Gohar said when asked about the timeline to start operations.

Gohar, a business tycoon himself, expects a deal within the next month.

He said Air Karachi would initially fly three aircraft domestically, and the fleet would later be expanded with four more planes to start international flights within a year.

The idea to launch a business-backed airline was conceived to develop an entity that can operate with efficiency and financial autonomy amid growing challenges faced by PIA.

Last month, Air Karachi received its Regular Public Transport (RPT) license from Pakistan’s Civil Aviation Authority.

The airline has been modeled after the success of Air Sial, another private carrier launched by industrialists in Sialkot, the manufacturing hub of Pakistan’s exportable sports and surgical goods.


Gold falls on firmer US dollar and rising trade optimism

Gold falls on firmer US dollar and rising trade optimism
Updated 25 July 2025

Gold falls on firmer US dollar and rising trade optimism

Gold falls on firmer US dollar and rising trade optimism

BENGALURU: Gold prices fell on Friday, pressured by a recovery in the US dollar and optimism over progress in trade talks between the US and the EU.

Spot gold was down 0.7 percent at $3,343.0 per ounce by 1:50 p.m. Saudi time. US gold futures fell 0.9 percent to $3,344.50.

The US dollar index rebounded from more than a two-week low, making bullion more expensive for overseas buyers, while benchmark 10-year US Treasury yields rose.

A resurgence in risk appetite driven by optimism over potential tariff negotiations, and better-than-expected jobless claims reinforcing the view that the US Federal Reserve is unlikely to cut rates, is pressuring gold, said Ricardo Evangelista, senior analyst at brokerage firm ActivTrades.

“There is an element of uncertainty that still lingers ... with a strong support around $3,300, I see the potential for gold prices to rise should new episodes of volatility be triggered,” he said.

The European Commission said on Thursday a negotiated trade solution with the US is within reach — while EU members voted to approve counter-tariffs on €93 billion euros ($109 billion) of US goods in case the talks collapse.

Data showed the number of Americans filing new applications for jobless benefits fell to a three-month low last week, pointing to stable labor market conditions.

Meanwhile, President Donald Trump pressed Fed Chair Jerome Powell to lower interest rates in a tense visit to the US central bank on Thursday, less than a week before the next rate-setting meeting where policymakers are expected to hold interest rates steady.

Markets are pricing in a potential rate cut in September.

Gold typically performs well during periods of uncertainty and in low-interest-rate environments.

Elsewhere, spot silver fell 0.5 percent to $38.90 per ounce, but was on track for a weekly gain, up about 1.9 percent so far. Platinum lost 0.6 percent to $1,400.02 and palladium slipped 0.7 percent to $1,219.20. 


Saudi real estate loans up 15%, hitting $246bn

Saudi real estate loans up 15%, hitting $246bn
Updated 25 July 2025

Saudi real estate loans up 15%, hitting $246bn

Saudi real estate loans up 15%, hitting $246bn

RIYADH: Real estate loans by Ƶ’s commercial banks climbed to a record SR922.2 billion ($245.9 billion) in the first quarter of 2025, marking an annual increase of just over 15 percent.

Based on data from the Kingdom’s central bank, also known as SAMA, this expansion is the fastest year-on-year growth in nearly two years, and underscores a robust resurgence in property financing.

This was driven chiefly by a surge in lending to commercial real estate projects even as home mortgages, which still form the lion’s share, grew at a more moderate pace.

Saudi banks’ retail mortgages, which are primarily home loans to individuals, accounted for about 75.8 percent of total outstanding real estate credit in the first quarter, reaching SR698.8 billion.

This represents an 11.7 percent year-on-year rise. Corporate real estate loans — the funding provided to developers and commercial ventures — grew nearly 27.5 percent over the same period to SR223.4 billion, outpacing the retail segment’s growth several times over.

Although smaller in absolute terms, the corporate real estate portfolio has been expanding at its fastest pace in almost a decade according to SAMA data, boosting its share of total real estate credit to roughly 24 percent and signaling a significant shift in banks’ lending focus.

Drive to boost home ownership

This marked rebalancing comes after a prolonged period during which Saudi bank lending was largely fueled by residential mortgages. Over the past few years, government-backed housing programs helped drive home ownership from under 50 percent a decade ago to over 65 percent by 2024.

That mortgage boom saw banks’ loan books tilt heavily toward retail customers. Now, a structural pivot is underway. Companies and developers have become the dominant force in credit growth as banks pivot from consumer finance to funding large projects and enterprises.

Business loans across all sectors now make up 55.3 percent of Saudi bank lending as of May according to SAMA data, up from about 52.9 percent a year ago, with corporate credit growing over 21 percent year on year, more than double the 10 percent rise in personal lending.

Bank credit to real estate has accelerated in tandem with high-profile initiatives, from new residential communities in major cities to the gigantic NEOM smart city, as well as Red Sea tourism resorts and other large mixed-use projects that require substantial funding for land acquisition, construction and development.

The momentum is further bolstered by upcoming global events like the 2030 FIFA World Cup and Expo 2030, which are expected to inject capital and spur even more infrastructure and real estate development in the lead-up to those events.

This reflects massive projects such as new airports, rail lines, and ports that are moving ahead and require significant funding. The government’s National Transport and Logistics Strategy envisages about $150 billion in infrastructure investments by 2030, with 80 percent of that expected to come from the private sector via public-private partnerships.

Accordingly, banks are playing a pivotal role by lending to contractors and logistics firms involved in these ventures, ensuring that crucial projects have the financing they need.

Policy support and bank strategies

Saudi authorities have actively fostered an environment to support this lending shift toward commercial projects. Strengthening the real estate and financial sectors is a key goal of Vision 2030, and the government has rolled out measures to encourage private investment in large developments.

One major approach is the promotion of public-private partnerships and improved financing mechanisms to draw in non-government capital. The government is collaborating with banks and investors to streamline funding for mega-projects, including establishing new specialized financing companies and joint venture models that ease funding constraints.

The Private Sector Participation Law enacted in 2021 provides a transparent legal framework for domestic and foreign investors to take part in infrastructure and real estate projects alongside the public sector.

By simplifying regulations, offering incentives, and even initiating early phases of key projects itself, to demonstrate viability, the state aims to boost private-sector confidence and lending to these ventures.

These initiatives are creating a more conducive climate for banks to extend credit to corporate clients, knowing that many projects have government backing or facilitation.

At the same time, Saudi banks themselves are adapting their strategies to sustain the lending boom while managing risks. Banks remain well-capitalized and have robust capital buffers, with sector-wide capital adequacy around 19 percent according to SAMA data, enabling them to expand credit without compromising stability.

Many lenders are also exploring innovative ways to unlock liquidity and fund new loans. 

Industry analysts point out that banks are considering mortgage securitization, converting pools of home loans into bonds that can be sold to investors, as a means to free up balance sheet capacity.

A recent report by Fitch Ratings likewise noted that turning mortgage assets into tradable securities would expand Ƶ’s debt market and give banks an additional funding boost.

Such financial agility, combined with disciplined cost control and solid deposit growth, positions the banking sector to actively support the Kingdom’s development priorities and finance Vision 2030 initiatives on a larger scale.

Saudi interest rates, which move in tandem with US Federal Reserve policy, have risen to their highest levels in nearly two decades, a factor that might ordinarily cool credit demand. 

However, the strategic importance and expected returns of mega-projects mean that demand for credit remains strong even in a high-rate climate.

Many large-scale developments benefit from government guarantees or contracts that make bank financing viable despite higher interest costs, and banks are competing to syndicate and participate in these deals.


Oil Updates — crude steady as investors weigh trade optimism against potential Venezuelan supply increase

Oil Updates — crude steady as investors weigh trade optimism against potential Venezuelan supply increase
Updated 25 July 2025

Oil Updates — crude steady as investors weigh trade optimism against potential Venezuelan supply increase

Oil Updates — crude steady as investors weigh trade optimism against potential Venezuelan supply increase
  • EU says trade deal with US within reach
  • US prepares to allow limited oil operations in Venezuela, sources say

LONDON: Oil prices were steady on Friday, as trade talk optimism supported the outlook for both the global economy and oil demand, balancing news of the potential for more oil supply from Venezuela.

Brent crude futures were up 28 cents, or 0.4 percent, at $69.46 a barrel at 3:11 p.m. Saudi time. US West Texas Intermediate crude futures were up 27 cents, or 0.41 percent, at $66.30.

Brent was heading for a 0.3 percent weekly gain at that level, while WTI was down around 1.5 percent from where it closed last week.

Brent prices have been largely range-bound between $67 and $70 a barrel for the last month, since the sharp drop in prices in late June after de-escalation in the Iran-Israel conflict.

Oil prices are “caught in largely a holding pattern brought about by inconclusive specific oil drivers,” PVM analyst John Evans said.

Oil, along with stock markets, gained support from the prospect of more deals between the US and trading partners ahead of an August 1 deadline for new tariffs on goods from an array of countries.

After the US and Japan secured a trade deal this week, two European diplomats said the EU was moving toward a deal involving a baseline US tariff of 15 percent on EU imports, plus possible exemptions.

“Trade talk optimism appears to be offsetting expectations for stronger Venezuelan supply,” ING analysts wrote in a client note on Friday.

The US is preparing to allow partners of Venezuela’s state-run PDVSA, starting with US oil major Chevron, to operate with limitations in the sanctioned nation, sources said on Thursday.

Venezuelan oil exports could consequently increase by a little more than 200,000 barrels per day, which would be welcome news for US refiners, as it would ease tightness in the heavier crude market, ING analysts wrote.

Prices were also supported this week by disruptions to Black Sea oil exports and Azeri BTC crude loading from the Turkish port of Ceyhan.

“Delays in deliveries from the Russian terminal on the Black Sea and the Turkish port on the Mediterranean are likely to have contributed to the Brent oil price rising back toward $70. Now that exports are back to normal, support for prices is likely to ease,” Commerzbank analyst Carsten Fritsch said.