抖阴短视频

Saudi green bond market soars on sustainable financing shift

Saudi green bond market soars on sustainable financing shift
Green bonds have seen a surge in popularity, offering critical funding for eco-friendly projects in areas such as renewable energy, sustainable water management, and waste reduction. Shutterstock
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Updated 05 January 2025

Saudi green bond market soars on sustainable financing shift

Saudi green bond market soars on sustainable financing shift
  • Kingdom鈥檚 Green Financing Framework provides a comprehensive roadmap for backing climate-focused initiatives

RIYADH:聽抖阴短视频鈥檚 green bond market is experiencing dramatic growth, positioning the Kingdom as a major player in sustainable financing as it works to meet the ambitious objectives of Vision 2030.

Green bonds, together with sukuk, have seen a surge in popularity, offering critical funding for eco-friendly projects in areas such as renewable energy, sustainable water management, and waste reduction.聽

Launched by the Ministry of Finance in March, 抖阴短视频鈥檚 Green Financing Framework provides a comprehensive roadmap for backing climate-focused initiatives, igniting interest from both domestic and foreign investors.聽

This foundation underscored the Kingdom鈥檚 environmental commitments under initiatives like the Saudi Green Initiative, which aims to combat climate change, reach net-zero emissions by 2060, and drive a national transition toward sustainable practices.

CEO of Middle East and North Africa and Asia Pacific at Saxo Bank, Damian Hitchen highlighted their strategic value in an interview with Arab News: 鈥淕reen bonds are a critical financial tool for advancing 抖阴短视频鈥檚 Vision 2030, especially in reducing oil reliance and promoting renewable energy.鈥

鈥淭hey foster a more balanced and resilient economy by funding projects outside the oil sector, such as green infrastructure and renewable energy,鈥 Hitchen explained.

Pioneering projects and government support fuel growth

Vision 2030 has made sustainability a cornerstone of 抖阴短视频鈥檚 economic strategy, launching the Saudi Green Initiative and the Circular Carbon Economy framework.

鈥淭he key factor responsible for the growth of green bonds is 抖阴短视频鈥檚 Vision 2030, which aims to reduce the nation鈥檚 dependency on oil and increase reliance on clean energy to protect the environment and diversify its economy,鈥 said Vijay Valecha, chief investment officer at Century Financial.聽

He added that 鈥渟trong government support,鈥 evident from initiatives like the Saudi Green Initiative, offers a framework for sustainable projects and regulatory support for green finance instruments.

Significant achievements include the $8 billion funding for NEOM鈥檚 green hydrogen plant 鈥 the largest such project in the Middle East.聽

The growing awareness of environmental issues and the measures taken by the government to transition to a low-carbon future highlight the potential for green bonds.

Vijay Valecha, chief investment officer at Century Financial

Saxo Bank鈥檚 Hitchen noted that the Kingdom鈥檚 commitment to green bonds could set a regional precedent, adding: 鈥湺兑醵淌悠 is emerging as a key player in the GCC鈥檚 (Gulf Cooperation Council鈥檚) green bond market, spurred by Vision 2030 and the Saudi Green Initiative, which prioritize renewable energy and carbon emission reductions.鈥澛

Meanwhile, Century Financial鈥檚 Valecha saw that 抖阴短视频 is rapidly catching up as a key player in this market, citing NEOM鈥檚 green hydrogen plant as 鈥渁 significant development.鈥

Investor confidence in green bonds surges

抖阴短视频鈥檚 sovereign wealth organization, the Public Investment Fund, first issued a green bond in 2022, underscoring its commitment by allocating billions of dollars toward green infrastructure, renewable energy, and sustainable water projects.聽

Hitchen saw this as creating a ripple effect in the market.

鈥淚nvestor appetite for green bonds in 抖阴短视频 has grown substantially, with institutional and retail investors increasingly drawn to sustainable finance. A notable shift in demand has emerged as environmental, social, and governance factors gain importance in investment strategies,鈥 he said.

Valecha confirmed this rising demand, noting that 鈥渢he investor appetite for green bonds in 抖阴短视频, particularly from institutional investors, is significant and is surging rapidly.鈥

He added: 鈥淭his is evident from recent green bond issuance by the Public Investment Fund, which raised $8.5 billion.鈥

Valecha anticipated that as the government continues to promote financial literacy and awareness around sustainable investing, retail participation will also rise, 鈥減articularly as more individuals understand the tangible benefits of green bonds.鈥

This growth in demand comes as PIF plans to direct an additional $19.4 billion toward green projects, reflecting confidence in the stability and potential of 抖阴短视频鈥檚 green bond market.聽

鈥淭he growing awareness of environmental issues and the measures taken by the government to transition to a low-carbon future highlight the potential for green bonds,鈥 Valecha added.

Driving economic diversification and long-term sustainability

The rapid growth of green bonds is not only drawing in substantial investments but also supporting 抖阴短视频鈥檚 economic diversification, promoting eco-friendly industries and generating new market opportunities.聽

Hitchen said: 鈥淕reen bonds contribute to long-term economic stability and resilience by funding these non-oil sectors. They are pivotal for renewable energy goals, financing projects like solar and wind power to help the Kingdom achieve up to 130 gigawatts of renewable energy by 2030.鈥

Valecha echoed the transformative impact of these investments, asserting that green bonds are key to 鈥減roviding the necessary funding to support large-scale solar and wind power projects, thus reducing reliance on fossil fuels and transitioning the Saudi economy toward a low-carbon future.鈥澛

This shift not only benefits the environment but also creates jobs and opens avenues for sustainable urban development, green transportation, and water conservation.

As the Kingdom鈥檚 financial markets continue to embrace green bonds, the regulatory framework and investor confidence have solidified, laying the groundwork for sustainable growth.聽

Hitchen called for further steps to maintain this momentum, stressing the importance of 鈥渟trengthening government support and establishing robust transparency standards to give investors confidence that their funds are driving genuine sustainability.鈥澛

Valecha agreed, suggesting that a comprehensive green finance ecosystem is essential.

鈥淭he government should further strengthen the rules and regulations to boost investor confidence and attract more capital,鈥 he said, adding: 鈥淎 domestic green finance ecosystem, including ESG reporting standards and clearer tax incentives, can go a long way in supporting the demand for green bonds.鈥


Egypt advances nuclear program with permit for spent fuel storage

Egypt advances nuclear program with permit for spent fuel storage
Updated 14 min 48 sec ago

Egypt advances nuclear program with permit for spent fuel storage

Egypt advances nuclear program with permit for spent fuel storage

RIYADH: Egypt鈥檚 Nuclear Power Plants Authority has secured a permit to construct a spent atomic fuel storage facility at the El-Dabaa power plant, located approximately 320 km northwest of Cairo.

The NPPA plans to begin the construction of the facility in 2025. This storage solution will provide safe, dry, and scientifically advanced containment for spent nuclear fuel, with the capacity to store waste for up to 100 years, all while adhering to the highest standards of safety and environmental protection.

El-Dabaa, Egypt鈥檚 first nuclear power plant and the country鈥檚 largest energy project in decades, is being developed in collaboration with Russia鈥檚 Rosatom. The plant will house four VVER-1200 reactors, the same type as those in operation at Russia鈥檚 Leningrad and Novovoronezh plants, as well as Belarus鈥檚 Ostrovets.

In a statement issued by the NPPA, Amjad El-Wakeel, chairman of the authority, highlighted the achievement as a significant milestone in Egypt鈥檚 nuclear program. 鈥淭he authority has successfully secured the permit for the construction of the spent nuclear fuel storage facility at El-Dabaa, aligning with the project鈥檚 implementation timeline,鈥 the statement read.

The NPPA formally submitted the permit request to Egypt鈥檚 Nuclear and Radiological Regulatory Authority on June 12, 2024, accompanied by comprehensive design and technical documentation reviewed by nuclear specialists.

Following a series of productive technical meetings between NPPA and NRRA experts, the permit was granted during NRRA鈥檚 seventh session on Dec. 31, 2024.

The decision came after a successful site inspection by NRRA representatives, who visited the El-Dabaa plant from Dec.1 to 5, 2024, to assess the site鈥檚 readiness for construction.

This development highlights Egypt鈥檚 commitment to advancing its nuclear energy program in line with both national priorities and international safety standards, the statement further noted.

Located in the Matrouh governorate along the Mediterranean coast, 250 km west of Alexandria, the El-Dabaa site offers numerous strategic advantages, including access to rail and road networks, low seismic activity, and an abundant supply of cooling water.

The El-Dabaa nuclear project, which has been in the planning stages since 1954, received formal approval in 1983 and was publicly announced in 2007. Following approval from the International Atomic Energy Agency in 2010, Egypt finalized agreements with Russia in 2015. Contracts came into effect in December 2017, and construction officially commenced in July 2022.


抖阴短视频鈥檚 non-oil sector sustains growth in December: PMI survey聽

抖阴短视频鈥檚 non-oil sector sustains growth in December: PMI survey聽
Updated 05 January 2025

抖阴短视频鈥檚 non-oil sector sustains growth in December: PMI survey聽

抖阴短视频鈥檚 non-oil sector sustains growth in December: PMI survey聽

RIYADH: 抖阴短视频鈥檚 non-oil private sector ended 2024 on a strong footing, driven by the fastest sales growth in a year, which pushed the Kingdom鈥檚 Purchasing Managers鈥 Index to 58.4 in December, according to a survey. 

The Riyad Bank 抖阴短视频 PMI survey, compiled by S&P Global, showed that total sales volumes in the non-energy sector rose sharply in December, fueling robust increases in business activity and inventories. 

This performance underscores the Kingdom鈥檚 ongoing economic diversification under Vision 2030, which aims to reduce reliance on oil and promote sustainable growth. 

鈥湺兑醵淌悠碘檚 non-oil private sector ended 2024 on a high note, reflecting the successful strides made under Vision 2030. The Purchasing Managers鈥 Index recorded 58.4, underscoring the sector鈥檚 resilience and expansion,鈥 said Naif Al-Ghaith, chief economist at Riyad Bank. 

However, December鈥檚 PMI slightly declined from November鈥檚 17-month high of 59. In October, the PMI stood at 56.9, and it registered 56.3 and 54.8 in September and August, respectively. 

According to S&P Global, any PMI reading above 50 signals growth in the non-oil sector, while readings below 50 indicate contraction. Notably, the Kingdom鈥檚 PMI has stayed above the 50 neutral mark continuously since September 2020, affirming the progress of its non-energy sector. 

The survey highlighted that cost inflation remained sharp in December due to strong input demand, but an easing of job creation helped to soften salary pressures for businesses. 

Non-oil businesses participating in the PMI survey noted that strong economic conditions, higher client demand, and new marketing campaigns contributed to a significant upturn in new work during the final month of 2024. 

鈥淭he non-oil GDP is expected to grow by more than 4 percent in 2024 and 2025, driven by substantial improvements in business conditions. A significant rise in new orders has bolstered this growth, indicating increased market confidence and demand,鈥 said Al-Ghaith.  

He added: 鈥淒espite challenges such as sharp cost inflation due to strong input demand, the sector has navigated these pressures effectively. December saw a notable increase in material costs, yet wage costs rose more moderately. This balance was aided by an easing in job creation, which helped soften salary pressures.鈥  

抖阴短视频鈥檚 non-oil businesses also strengthened their presence in international markets. The survey reported the sharpest increase in new export orders in 17 months, driven by product innovations and strong relationships with international clients. 

Business expectations improved to a nine-month high in December, with firms expressing optimism that robust sales growth would lead to greater activity levels in 2025. 

鈥淲ith the non-oil GDP anticipated to continue its upward trajectory, the sector is well-positioned to contribute significantly to the Kingdom鈥檚 long-term economic goals,鈥 said Al-Ghaith.  

He added: 鈥淭he focus on improving business conditions, boosting domestic and international demand, and managing inflationary pressures aligns seamlessly with Vision 2030鈥檚 objectives, setting the stage for sustained growth and prosperity in the upcoming years.鈥  


Connecting the Kingdom: 抖阴短视频鈥檚 5G revolution

Connecting the Kingdom: 抖阴短视频鈥檚 5G revolution
Updated 04 January 2025

Connecting the Kingdom: 抖阴短视频鈥檚 5G revolution

Connecting the Kingdom: 抖阴短视频鈥檚 5G revolution
  • Industry鈥檚 value is expected to reach $13.41 billion by 2029 鈥 up from $2.1 billion in 2023

RIYADH: Healthcare, urban living and transportation are all being revolutionized in 抖阴短视频 thanks to the Kingdom鈥檚 enthusiastic adoption of 5G technology, experts have told Arab News.

The industry鈥檚 value in 抖阴短视频 is expected to reach $13.41 billion by 2029  鈥 up from $2.1 billion in 2023 鈥 as Vision 2030 initiatives drive the Kingdom鈥檚 economic diversification, according to analysis by TechSci Research.

While telecommunications is the obvious sector to benefit from the rollout of this technology 鈥 which promises significantly faster data speeds, more reliable connections, and the ability to connect a multitude of devices simultaneously 鈥 it will expand the capabilities of many industries.

Nader Kobrosli, a partner in management consulting firm Oliver Wyman鈥檚 Communications, Media and Technology practice, said his company forecasts that this technology could provide an $18 billion boost to the economy by 2030. 

5G will play a crucial role in nurturing a knowledge-based economy, generating new job opportunities, and attracting foreign investments.

Nader Kobrosli, partner at Oliver Wyman鈥檚 Communications, Media and Technology practice

鈥淏y enabling high-speed connectivity, 5G fuels the adoption of AI and IoT, facilitating real-time data insights and enhancing efficiency across all major sectors, including manufacturing, retail, energy, healthcare, and public services. This means 5G will play a crucial role in nurturing a knowledge-based economy, generating new job opportunities, and attracting foreign investments,鈥 Kobrosli said.

5G making cities smarter

By enabling smart city applications, 5G technology plays a crucial role in the Kingdom鈥檚 vision to transform its urban spaces into efficient, sustainable, and highly connected ecosystems.

鈥淔or residents, 5G facilitates seamless connectivity, enhances public safety, and improves transportation with real-time traffic management and autonomous vehicle integration,鈥 said Federico Pienovi, chief business officer and CEO for Asia and Pacific as well as Middle East and North Africa at software development company Globant. 

5G facilitates seamless connectivity, enhances public safety, and improves transportation with real-time traffic management and autonomous vehicle integration.

Federico Pienovi, chief business officer and CEO for Asia, Pacific and MENA at Globant

鈥淚t provides the infrastructure for data-driven insights, remote operations, and business automation, leading to increased productivity and cost efficiency. This connectivity ecosystem enriches everyday life, attracts talent, and drives economic growth, making 抖阴短视频 a model for smart city development in the region,鈥 he added. 

5G-led IoT services have already accelerated the proliferation of 鈥榮mart鈥 services and industrial automation use cases.

Sauvik Tegta, partner at Kearney Middle East & Africa 鈥 Communications, Media, and Technology practice

Oliver Wyman鈥檚 Kobrosli noted that from energy savings to improved traffic flow, 5G will enhance urban living, and this in turn will attract significant investments and help position Saudi cities as models of innovation in the digital age.

鈥淩esidents and businesses will also benefit from this advanced infrastructure, and will enjoy a more connected, efficient, and environmentally-friendly urban environment,鈥 he said.

Undoubtedly, 5G technology is an important catalyst in 抖阴短视频鈥檚 smart city initiatives, providing cutting-edge connectivity for  new cities like NEOM and Qiddiya and existing conurbations such as Riyadh and Makkah.

鈥淭hrough smart poles that incorporate 5G cell sites, KSA鈥檚 smart cities are empowered with intelligent use cases that enhance urban living 鈥 from connected transportation networks to energy-efficient buildings and smart utilities, all of which contribute to sustainability goals,鈥 said Hazem Galal, partner, Cities and Local Government global leader, Smart Mobility Global co-leader, at PwC Middle East. 

Through smart poles that incorporate 5G cell sites, KSA鈥檚 smart cities are empowered with intelligent use cases that enhance urban living.

Hazem Galal, partner, cities and local government global leader, smart mobility global co-leader, at PwC Middle East

Sauvik Tegta, partner at Kearney Middle East & Africa 鈥 Communications, Media, and Technology Practice, stressed that 5G is a core enabler, supporting Internet-of-Things-based capabilities in the near term, and more data-heavy and low latency capabilities in the mid-to-long term. 

鈥5G-led IoT services have already accelerated the proliferation of 鈥榮mart鈥 services and industrial automation use cases such as smart parking, smart lighting, smart meters and grids effectively modernizing an aging infrastructure,鈥 he said.

The Kearney partner added that 鈥渦biquitous high-speed mobile connectivity鈥 now enables convenient 鈥渁nywhere-anytime services鈥 that are fundamentally reshaping social and work-life habits.

5G transforming healthcare

The rollout of 5G infrastructure is revolutionizing healthcare in the Kingdom, particularly in how services such as telemedicine, remote diagnostics, and AI-powered patient care, are delivered.

From Globant perspective, Pienovi said: 鈥淭he high speed and low latency of 5G enable healthcare providers to extend their reach to remote areas through telemedicine and remote monitoring, allowing patients to connect with specialists without traveling, ultimately reducing congestion in urban hospitals.鈥

He added that 5G facilitates the integration of Internet of Medical Things devices, which optimize resource management and reduce costs by offering real-time data on patient health. 

鈥淟astly, the low latency of 5G supports advanced applications like robotic surgeries and AI-driven diagnostics, enhancing precision and safety in medical interventions and improving overall patient outcomes,鈥 Pienovi said. From PwC鈥檚 side, Galal emphasized that 5G鈥檚 low latency and high data capacity mean that healthcare providers can deliver real-time, high-quality care remotely, reaching patients in rural or underserved areas and thus enhancing access to care.

鈥淲hile KSA is considered a highly urbanized country with more than 80 percent living in cities, the remaining population lives in rural areas, where access to a full range of health care services can be challenging. Furthermore, 5G鈥檚 capabilities in handling massive amounts of medical data securely and efficiently support advanced research, predictive analytics, and precision medicine, which are reshaping how healthcare is delivered and experienced in the Kingdom,鈥 the PwC partner said.

Tegta from Kearney said that 抖阴短视频鈥檚 5G infrastructure played a vital role in supporting healthcare services during the COVID-19 pandemic.

鈥淎s lockdowns took effect, 5G infrastructure became central to enabling telemedicine, remote patient monitoring, virtual consultations, and self-care. Public and private health care service providers were able to leverage multiple apps to enhance transparency, improve care coordination, accelerate communication, and enable faster response times,鈥 the Kearney partner said.

鈥淭his foundation is expected to accelerate the adoption of more advanced digital healthcare services that will be proactive, personalized, predictive, and preventative. By 2030, services such as e-triaging, enhanced self-service and self-care, high-definition digital imaging, telesurgery, and connected ambulances will become commonplace,鈥 he added.

Supporting education 

According to Ian Khan, a technology futurist and author who writes on the subject of AI, 5G makes virtual and augmented reality accessible in classrooms, meaning students can explore a historical site or conduct experiments in a virtual lab from anywhere.

鈥淚n fact, VR and AR in education are projected to grow significantly, with the global market expected to reach $12.6 billion by 2025, largely driven by 5G technology. It鈥檚 also helping teachers personalize lessons because they can instantly access data on student progress and adjust in real-time,鈥 Khan told Arab News.

鈥淔or rural areas, 5G bridges gaps by making remote learning smooth and reliable, ensuring all students have access to quality education. It鈥檚 a huge step toward a digitally savvy, future-ready workforce,鈥 he added.

Rajesh Duneja, Partner at Arthur D. Little Middle East, said 5G technology is set to transform education in 抖阴短视频 through developments such as enabling immersive augmented reality and virtual reality applications, and allowing students to engage in interactive, hands-on learning environments that make complex topics more accessible and engaging. 

鈥淎dditionally, 5G鈥檚 high-speed connectivity will enhance the quality of video and audio for online classes, especially in remote areas where traditional Internet may be less reliable,鈥 Duneja said.

He also flagged up how 5G supports a vast network of IoT devices in the classroom, from interactive whiteboards to smart desks, enabling personalized learning experiences that cater to each student鈥檚 needs.

抖阴短视频鈥檚 signal to the world 

Technology futurist Khan said that 抖阴短视频鈥檚 leadership in 5G didn鈥檛 happen by accident and is the result of strategic planning.

鈥淭he Kingdom invested heavily in telecom infrastructure, spending an estimated $1.5 billion by 2022, which aligns with our Vision 2030 goals to diversify the economy through digital transformation,鈥 Khan said.

鈥淪trong public-private partnerships, particularly with telecom companies like STC and Zain, helped speed up 5G deployment. Progressive regulations by the Communications and Information Technology Commission have also made it easier for telecoms to innovate, boosting 抖阴短视频鈥檚 position not just regionally but globally,鈥 he added.

Arthur D. Little鈥檚 Duneja said the government鈥檚 investment in an expansive fiber network has been critical as it supplies the high-capacity backhaul needed to support 5G鈥檚 bandwidth demands.

鈥淎dditionally, streamlined regulations for international Internet connectivity have enabled easier data flow and stronger connectivity options. Support from the Ministry of Communications and Information Technology has also been crucial, with efforts to promote a thriving digital economy that positions the Kingdom at the forefront of technological innovation in the region,鈥 he added.

Ranking third in 5G download speed across Europe, the Middle East, and Africa, according to Opensignal, only underscores 抖阴短视频鈥檚 commitment to being a technology leader.

With its 5G speeds reaching around 272.6 Mbps, the Kingdom鈥檚 advanced infrastructure is on display for the world to see.

鈥淭his achievement lays a strong foundation for advances in everything from AI to smart cities. High-speed connectivity means we can support the next generation of tech innovations, like autonomous vehicles and IoT networks, that require reliable, fast data,鈥 Khan said.

鈥淚t鈥檚 a signal to the world that 抖阴短视频 is serious about its digital future, making it an attractive hub for global tech investments and partnerships,鈥 the technology futurist added.


Egypt鈥檚 Connect Money gets ready to land in 抖阴短视频

Egypt鈥檚 Connect Money gets ready to land in 抖阴短视频
Updated 05 January 2025

Egypt鈥檚 Connect Money gets ready to land in 抖阴短视频

Egypt鈥檚 Connect Money gets ready to land in 抖阴短视频
  • Firm officially planning to enter the Saudi market by mid-year 2025

RIYADH: 抖阴短视频鈥檚 fintech growth has grabbed the attention of Egypt鈥檚 Connect Money as the company commences its expansion plan.

Founded this year by Ayman Essawy, Marwan Kenawy, and Momtaz Moussa, Connect Money provides a white-label card issuing platform that allows businesses to offer debit and credit cards to their customers without building fintech infrastructure or securing regulatory licenses.

In an interview with Arab News, Essawy, the company鈥檚 CEO, stated that Connect Money is officially planning to enter the Saudi market by mid-year 2025 and will then aim to expand to Morocco.

鈥淲e see a very big opportunity toward expansion, especially in 抖阴短视频 and Morocco. 抖阴短视频 is one of the hot topics in the region and fintech is growing significantly,鈥 he said.

鈥淲e have strong connections with the whole Saudi ecosystem, and we have built a good relationship with the regulators and leading financial providers there and partner banks,鈥 he added.

鈥淲e found that there is a need for our services to further accelerate fintech growth in 抖阴短视频,鈥 Essawy claimed.

The CEO further said that once the expansion to 抖阴短视频 begins, 80 to 90 percent of the company鈥檚 focus will be dedicated toward the Kingdom.

鈥淲e have spent the last 10 years operating on the business-to-business side in our past ventures and we claim to have very good market understanding across different sectors,鈥 he added.

He further claims that after operating in 抖阴短视频 for seven years at his first venture, Dsquares, the founder was able to carefully identify the market gaps in the financial industry.

The CEO also takes pride in being a serial entrepreneur and the founder of Egypt鈥檚 largest coupon platform Lucky ONE.

A problem to solve

Essawy explained that the company solves three critical problems for any large enterprise planning to incorporate strong fintech solutions internally.

He cited 鈥渧ery long compliance and regulatory cycles鈥 for these companies as an issue, adding: 鈥淭hese cycles occur because they do not have the capability to build an infrastructure since they already operate a core business be it telecom, logistics, and even oil and gas.鈥

The CEO went on to say: 鈥淪econd is the very high cost of building the infrastructure, so first, it takes a very long time to get granted a license and second is that there鈥檚 a very high cost for building and operating this part of the business.鈥 

We have spent the last 10 years operating on the business-to-business side in our past ventures and we claim to have very good market understanding across different sectors.

Ayman Essawy, Connect Money CEO

Thirdly, Essawy explained that these entities usually look for reasons to turn cash users into cashless, a value-added service that Connect Money provides.

When asked why companies would even pursue such a solution, Essawy replied: 鈥淚t鈥檚 one of two things. First, operational efficiencies, so turning cash cycles, which is very expensive in terms of efficiency and makes the business operational cycle much longer, cost of actually collecting cash or disbursing cash is already high.  鈥淪o, turning this operational role or operational service into a cashless service, and that happens through issuing white-label cards.鈥

He added: 鈥淪econd is generating new revenue streams. These come from banking services such as transactions, credit, providing credit to businesses, basically financing with businesses and so on.鈥 

Essawy further said that the solution provided by Connect Money is basically putting all these services into a 鈥渙ne-stop shop鈥 for embedded finance.

鈥淭his shop comes from getting the right approvals from regulators, issuing white-label cards, and providing a full managed service on top of that, as if I鈥檓 creating your small bank for your company,鈥 he said.

The CEO cited the ride-hailing giant Uber as an example, stating that the solution would give the global company a small bank for its drivers to manage, open, and issue cards as well as create accounts and put incentives.

鈥淭his solution would be completely managed by Connect Money, yet the client has full ownership of the service,鈥 he added. 鈥淏asically, as a company, you own the customers, you own the operations, and you own everything legally, but Connect Money is managing them on your behalf,鈥 he explained.

The company has already incorporated itself into the Kingdom鈥檚 market and will soon announce the hiring of its Saudi-based founding member to lead the local office.

Business fundamentals

Connect Money has already seen significant traction in Egypt, landing eight contracts in under a year of operation. The company also has a 10-week go-to-market plan to onboard clients.

Essawy also stated that the company is currently the sole provider of such services in the region, but the founder also expects competition to increase as the market scales.

The founder explained that 抖阴短视频 holds a different market segmentation, and that there is a misconception that the nation only consists of high-value customers.

鈥淭here is a lot to be tackled in the mid layers with the hyper growth that is taking place in the Kingdom,鈥 he added.

鈥淲e believe that there is a significant opportunity for new segments and new mid-sized businesses that would require our services. We still believe that there is still a big gap between cash and cashless transactions which we aim to bridge,鈥 he added.

He further emphasized that the market dynamics are almost completely different from Egypt.

Essawy also shared his view on the growing number of Egyptian companies expanding to 抖阴短视频, saying: 鈥淚鈥檝e seen many companies expand to 抖阴短视频 as a first choice and I don鈥檛 think this is a wise decision.鈥

He added: 鈥淚 think each business model is dependent on what鈥檚 the end goal and where you can scale. In 抖阴短视频, you鈥檒l find business but you鈥檒l also find an expensive working environment.鈥

He further advises any company expanding to 抖阴短视频 to reexamine their margins and growth pace before taking that step.


Saudi aviation sector soaring after record growth, major expansions

Saudi aviation sector soaring after record growth, major expansions
Updated 03 January 2025

Saudi aviation sector soaring after record growth, major expansions

Saudi aviation sector soaring after record growth, major expansions

JEDDAH: 抖阴短视频鈥檚 aviation sector reached new heights over the past 12 months, marked by a surge in passenger numbers, a fleet expansion with new jet acquisitions, and strategic global partnerships.

These advancements are part of a broader vision to establish the Kingdom as a global aviation hub and a top-tier destination for travelers worldwide.

抖阴短视频 is investing billions of dollars as part of its Vision 2030 plan to diversify its economy away from fossil fuels, boosting its private sector, and enhancing connectivity, as well as solidifying its role in the global aviation industry.

As part of this plan, aviation goals for the Kingdom include delivering seamless experiences to 330 million passengers across over 250 destinations, and the transportation of 4.5 million tons of air cargo by 2030.

鈥淭his transformative strategy offers lucrative opportunities for the private sector to contribute to the realization of the country鈥檚 ambitions,鈥 said President of the General Authority of Civil Aviation Abdulaziz bin Abdullah Al-Duailej.

He added that among these opportunities are the privatization potential of 27 airports, which are currently in preparation for transfer to private ownership.

鈥淢oreover, numerous aircraft requests and destination openings have been approved, providing further avenues for private sector involvement in the sector鈥檚 growth and development.鈥 Al-Duailej added.

Passenger numbers and air freight volume surges

Between January and September, 抖阴短视频鈥檚 aviation sector achieved record growth, with passenger numbers reaching 94 million, accounting for a 15 percent increase.

The number of flights also saw a 10 percent rise compared to 2023, while air freight volumes approached 1 million tonnes, reflecting a 52 percent increase.

These achievements were announced at GACA鈥檚 14th Steering Committee Meeting for activating the National Strategy for the Aviation Sector, held in October in Dammam.

GACA President Abdulaziz bin Al-Duailej highlighted the expansion of air connectivity during this period, with flights departing to over 150 destinations weekly.

Saudi business aviation soars with Vision 2030 growth

抖阴短视频鈥檚 business aviation sector is booming, driven by the Kingdom鈥檚 expanding economy, major government infrastructure investments, and a rising influx of high-net-worth individuals.

Valued at $1.2 billion in 2023, the sector is expected to grow at a compound annual rate of 8.88 percent from 2025 to 2029.

The growth was highlighted in the GACA鈥檚 roadmap, unveiled at Riyadh鈥檚 Future Aviation Forum in May.

Global firms tapped for King Salman Airport expansion

An image of how King Salman International Airport will look after it has been developed. File

In 2024, global firms such as Foster & Partners, Jacobs Engineering, Mace, and Nera were selected for the next phase of King Salman International Airport鈥檚 development in Riyadh.

Led by the King Salman International Airport Development Co., a subsidiary of the Kingdom鈥檚 Public Investment Fund, the collaborations will support the airport鈥檚 expansion, positioning it as a key hub for tourism and transportation.

Riyadh Air expands fleet, partnerships ahead of 2025 launch

In October, Riyadh Air signed an agreement to purchase 60 Airbus A321neo single-aisle aircraft as it plans to commence its operations in 2025. 

The deal was signed at the 8th Future Investment Initiative in Riyadh.

In the same month the company said that it had plans to order wide-body aircraft capable of seating more than 300 passengers in 2025.

In August, the new airline announced it had secured a multi-year agreement to become the official airline partner of Concacaf, the FIFA Confederation for North, Central America, and the Caribbean.

The deal aims to enhance the airline鈥檚 presence in global sports and support Concacaf鈥檚 national and club competitions across the Americas. 

In June, Riyadh Air signed agreements with Singapore Airlines and Air China, to establish strategic partnerships and expand its global network.

The agreements focus on interline connectivity, codeshare, frequent flyer programs, cargo services, customer experience, and digital innovation.

The company partnered with China Eastern Airlines to enhance connectivity and digital transformation and with Delta Air Lines to expand North American routes.

In April, the carrier announced a partnership with Artefact to build a data analytics platform and develop AI solutions, enabling hyper-personalization, improved guest experiences, and optimized operations. 

The collaboration aims to revolutionize Saudi aviation through advanced artificial intelligence applications.

鈥淭hrough AI integration, we aim to redefine travel standards, offering personalized, seamless digital-first experience to our guests ahead of our maiden flight in 2025,鈥 Abe Dev, the airline鈥檚 vice president of digital and innovation said.

In May, the airline said it had plans to bolster its aircraft lineup through additional orders, as it requires 鈥渁 very large fleet鈥 to establish itself alongside regional giants, according to its CEO Tony Douglas.

This move comes as the Kingdom鈥檚 second flag carrier ordered 39 Boeing 787-9 jets in 2023, with options for 33 more. 鈥淲e鈥檙e going to make a number of additional orders,鈥 Douglas said.

The airline鈥檚 initial destinations will include major cities in Europe, the US East Coast, and Canada, with the inaugural flight scheduled to depart by June 2025.

Saudia boosts aviation with key partnerships, fleet growth

The signing ceremony was attended by French President Emmanuel Macron, 抖阴短视频n Airlines Corp. Chairman Saleh Al-Jasser, Saudia Group Director Gen. Ibrahim Al-Omar, and several other dignitaries and ministers. SPA

In December, Saudia entered a strategic partnership with Air France-KLM to expand and localize its maintenance, repair, and overhaul capabilities. This collaboration aims to enhance the Kingdom鈥檚 aviation infrastructure and contribute to its economic growth.

In July, the Saudia Group and German aerospace company Lilium NV, developer of fully electric vertical takeoff and landing aircraft, entered into an agreement to purchase 50 confirmed Lilium Jets, with an option for an additional 50 aircraft. The deal will make the Saudi carrier the first airline in the region to invest in sustainable air mobility.

In May, Saudia and Riyadh Air signed an agreement during the Future Aviation Forum to collaborate on training aviation professionals.

During the same event, Saudia Group announced a $19 billion order for 105 A320neo family aircraft, the largest Airbus deal in Saudi history. The planes, including A320neo and A321neo models, will be split between Saudia and its low-cost carrier flyadeal, with deliveries starting in early 2026.

Flyadeal receives first owned plane, aims for 100 by 2030

In 2024, Saudia鈥檚 low-cost airline flyadeal took delivery of its first wholly-owned aircraft, an Airbus A320neo.

Announcing the milestone in June, the airline revealed plans to expand its fleet to around 50 aircraft by the end of 2025, doubling to 100 by 2030. As part of its growth strategy, flyadeal also launched seven weekly flights between Riyadh and Sarajevo, utilizing an Airbus A320.

Looking ahead, the airline announced the addition of three new domestic routes starting January. Services from Dammam to Najran and four weekly flights to Tabuk commenced on Jan. 1, followed by three weekly flights to Yanbu starting from Jan. 2.

Flynas secures 280-aircraft deal amid record growth

Flynas, named the Best Low-Cost Airline in the Middle East for the seventh consecutive year, reported a 47 percent rise in passenger numbers, exceeding 7 million in the first half of 2024.

In November, the airline announced new African routes, with flights from Riyadh to Entebbe, Uganda, and Jeddah to Djibouti starting Jan. 8, 2025, under its 鈥淲e Connect the World to the Kingdom鈥 initiative.

In July, Flynas signed a deal at the Farnborough Airshow to purchase 160 Airbus aircraft, doubling its orders to 280 planes, including 30 wide-body A330neo and 130 narrow-body A320 models. The carrier also celebrated receiving its 53rd A320neo as part of a SR32 billion ($8.5 billion) order for 120 planes.