Egypt’s exports to Arab countries up 8.7% in 2023, Saudi Arabia tops list

Egypt’s exports to Arab countries up 8.7% in 2023, Saudi Arabia tops list
Egypt exported $1.3 billion of vegetables and fruits to Arab countries in 2023. Shutterstock
Short Url
Updated 16 May 2024
Follow

Egypt’s exports to Arab countries up 8.7% in 2023, Saudi Arabia tops list

Egypt’s exports to Arab countries up 8.7% in 2023, Saudi Arabia tops list

RIYADH: The value of Egyptian exports to Arab countries surged 8.7 percent year on year to reach $13.6 billion in 2023, according to new data.   

A statement from Egypt’s Central Agency for Public Mobilization and Statistics revealed that Saudi Arabia topped the list of the highest Arab countries importing from the nation during the year, with the value of the African country’s exports amounting to $2.7 billion in 2023.   

This falls in line with the significant growth in trade relations, partnerships, joint projects, and development investment between the two countries in recent years.  

The statement revealed that the Kingdom was followed by the UAE, with Egyptian exports reaching $2.2 billion, followed by Libya with about $1.8 billion, Sudan with an estimated $984.4 million, and Algeria at $850.3 million.  

Regarding the top commodity groups exported to Arab countries during 2023, the agency indicated that vegetables and fruits were exported with a value of $1.3 billion, followed by machinery and electrical appliances with a worth of $1.1 billion.   

Furthermore, Egypt’s exports of pearls, precious stones and jewelry to the Arab countries came next, amounting to $1 billion, while exports of fuel, mineral oils and distillation products stood at $753 million.   

Meanwhile, the country’s exports of plastics and manufactures totaled $712 million.

On the imports side, the CAPMAS statement disclosed that the value of Egyptian imports from Arab countries reached $12.4 billion during 2023, down from $17 billion in 2022.

Once again, Saudi Arabia topped the list of Arab nations that exported the most to Egypt during 2023, with the value of Egypt’s imports amounting to $5.2 billion,

Kuwait came next, with the African country’s imports amounting to $2.7 billion, followed by the UAE with $2.1 billion, Oman with $717.4 million, and Bahrain with $399.5 million.

The prominent commodity groups imported from Arab countries during 2023 included fuel, mineral oils, and distillation products worth $6 billion, followed by plastics goods valued at $2 billion. 

Egypt’s imports of recycled raw materials amounted to $785.1 million, followed by aluminum and its products at $399.2 million, and then fish, oysters, and molluscs at $213.3 million. 

The CAPMAS statement noted that the volume of trade exchange between Egypt and Arab countries dropped 11.8 percent year on year to reach $26 billion in 2023, according to new data. 

 In March, American capital market firm S&P Global upgraded its outlook for Egypt to positive from stable.  

According to a statement released at the time, the US-based firm also affirmed Egypt’s debt rating at “B-/B.”

This grade indicates that the country currently has the capacity to meet its financial obligations but faces ongoing uncertainties.


IBM expands AI workforce in Saudi Arabia, aligning with Vision 2030: CEO 

IBM expands AI workforce in Saudi Arabia, aligning with Vision 2030: CEO 
Updated 17 sec ago
Follow

IBM expands AI workforce in Saudi Arabia, aligning with Vision 2030: CEO 

IBM expands AI workforce in Saudi Arabia, aligning with Vision 2030: CEO 

RIYADH: US-based tech giant IBM employs a majority of Saudi nationals at its artificial intelligence lab in the Kingdom, underscoring the nation’s commitment to developing local talent. 

It was disclosed during a panel titled “Bringing Tech to Life” on the opening day of LEAP 2025, Riyadh’s flagship technology event, held from Feb. 9-12 under the theme “Into New Worlds.” 

Speaking at the discussion, IBM Chairman and CEO Arvind Krishna said: “Over 70 percent of our hires in (IBM’s AI and R&D lab) are Saudi nationals, not expats.”    

Launched at LEAP 2024, IBM’s $200 million Software Lab in Riyadh supports Vision 2030 by driving digital innovation, job creation, and global tech solutions, aligning with the Kingdom’s pledge to invest $100 billion in its technology sector. 

Saudi Minister of Communications and Information Technology Abdullah Al-Swaha, addressing industry leaders and aspiring innovators, stressed the importance of understanding market shifts.  

“I think no leader in the industry can really help educate all of us — leaders in the room, the youth, the women, the talent — about picking up market transitions and where the market is heading,” he said. 

Krishna acknowledged the growing excitement around AI but noted that for numerical purposes the technology has been in use for two decades. 

He also predicted a seismic shift in computing capabilities, with quantum computing expected to achieve a major breakthrough within the next two to three years.

“In three to five years, we will see something amazing on quantum computers,” he added.  

A key transformation Krishna highlighted was in AI training costs, forecasting a dramatic reduction. “I believe the cost of training will become 1 percent — one over 100 of what it used to be. DeepSeek was a proof point of that,” he noted. 

DeepSeek, a Chinese AI firm, gained rapid attention with its R1 large language model, released on Jan. 20 at a fraction of typical development costs.

Offered under an open-source license, DeepSeek-R1 quickly soared in popularity, with its AI assistant app topping Apple’s App Store and surpassing OpenAI’s ChatGPT. Its success triggered a stock market shakeup as investors reevaluated major US AI companies.  

While large general-purpose AI models currently dominate the field, Krishna emphasized the potential of domain-specific models, which today account for just 1 percent of usage.

“All the fascination is with these large models that serve everybody, but we believe in the next three to four years, domain-specific models will make up over half of all deployed models,” he said. 

LEAP 2025 aims to expand business networking and investment opportunities in the tech sector. The event plays a crucial role in Saudi Arabia’s goal of becoming a global technology hub, in line with Vision 2030’s economic diversification strategy.


Saudi PIF’s Alat and Lenovo break ground on new 200k sq. meter facility in Riyadh

Saudi PIF’s Alat and Lenovo break ground on new 200k sq. meter facility in Riyadh
Updated 12 min ago
Follow

Saudi PIF’s Alat and Lenovo break ground on new 200k sq. meter facility in Riyadh

Saudi PIF’s Alat and Lenovo break ground on new 200k sq. meter facility in Riyadh
  • Facility is expected to begin production in 2026
  • Collaboration is projected to generate up to 15,000 direct and 45,000 indirect jobs

RIYADH: Saudi Arabia’s Public Investment Fund’s Alat and Chinese tech giant Lenovo have officially broken ground on a new manufacturing hub in Riyadh, marking a key milestone in their $2 billion strategic partnership.

Located within the Special Integrated Logistics Zone at Riyadh Integrated, the facility will span 200,000 sq. meters and is expected to begin production in 2026. 

The collaboration is projected to generate up to 15,000 direct and 45,000 indirect jobs while contributing as much as $10 billion to the Kingdom’s non-oil gross domestic product by 2030. 

The hub will produce millions of “Saudi Made” laptops, desktops, and servers, contributing to the nation’s Vision 2030 goals of economic diversification and industrial development. 

The two companies took a step further in their partnership during LEAP25 held from Feb. 9— 12 in Riyadh, announcing the establishment of an advanced manufacturing and technology center based on artificial intelligence and robotics. 

This is also part of PIF’s strategy to boost the Kingdom’s local manufacturing by increasing local content from 47 percent in 2024 to 60 percent by 2025, contributing $320 billion to non-oil GDP and creating 1.8 million jobs. 

“Through this powerful strategic collaboration and investment with Alat, we gain greater global presence, a strong regional foothold, and the ability to capitalize on the incredible growth momentum in Saudi Arabia and the wider MEA region,” said Yuanqing Yang, chairman and CEO of Lenovo. 

The groundbreaking follows the completion of Lenovo’s $2 billion investment in Alat, which was finalized after securing shareholder and regulatory approvals. 

Initially announced in May, the deal was completed in January and involves the issuance of three-year zero-coupon convertible bonds, establishing a long-term partnership between the two firms. 

The manufacturing facility will complement Lenovo’s global production network, which includes over 30 factories across China, Germany, India, Japan, the US, and other markets. 

According to Lenovo, the new hub will enhance supply chain resilience and improve service to customers across the Middle East and Africa region. 

The firm also plans to establish its MEA regional headquarters in Riyadh, expand research and development activities, and open a flagship retail space in the Kingdom. 

Amit Midha, the CEO of Alat, emphasized the broader economic impact of the collaboration, saying: “We are incredibly proud to become a strategic investor in Lenovo and partner with them on their continued journey as a leading global technology company.” 

Beyond manufacturing, the agreement includes a business development partnership leveraging Alat’s regional relationships and market expertise.

Alat, which aims to build advanced manufacturing capabilities across multiple industries, has outlined plans to produce goods across 34 product categories within nine business units, including semiconductors, smart devices, electrification, and artificial intelligence infrastructure. 

Lenovo, recognized as one of Gartner’s top 25 supply chains, expects the Saudi facility to strengthen its operations in the MEA region while supporting the Kingdom’s ambition to become a global technology and manufacturing hub. 


Closing Bell: Saudi Arabia’s main market gains 36 points to 12,469

Closing Bell: Saudi Arabia’s main market gains 36 points to 12,469
Updated 35 min 49 sec ago
Follow

Closing Bell: Saudi Arabia’s main market gains 36 points to 12,469

Closing Bell: Saudi Arabia’s main market gains 36 points to 12,469

RIYADH: Saudi Arabia’s Tadawul All Share Index ended Sunday’s trading in green, as it gained 35.56 points or 0.29 percent to close at 12,469.14.

The main index witnessed a total trading turnover of SR4.70 billion ($1.25 billion), with 94 stocks advancing and 134 retreating. 

Saudi Arabia’s parallel market Nomu also gained 28.38 points to close at 31,414.65. The MSCI Tadawul Index edged up by 0.28 percent to 1,550.26. 

Shatirah House Restaurant Co. was the best-performing stock on the main market, with its share price surging by 5.62 percent to SR23.68. 

The share price of Raoom Trading Co. increased by 3.7 percent to SR179.40. Rasan Information Technology Co.’s stock price also rose by 3.36 percent to SR92.30. 

Conversely, LIVA Insurance Co. saw its share price dropping by 3.31 percent to SR17.50. 

The share price of Lamasat Co. which started trading on Nomu on Sunday rose by 29.91 percent to SR7.47. 

On the announcements front, Arabian Co. for Agricultural & Industrial Investments, also known as Entaj said that it has set the price range for its initial public offering in the main market at SR46-SR50.

According to a press statement, the institutional book-building process began on Feb.9 and will run through 3 p.m. Saudi time on Feb.13. Entaj eyes floating 9 million shares on TASI, representing 30 percent of its capital. 

Bank Albilad said that its board of directors recommended a 20 percent capital top-up from SR12 billion to SR15 billion. According to a Tadawul statement, the capital top-up will be done by distributing one bonus share for every five shares held. 

The share price of Bank Albilad rose by 2.76 percent to SR39.05.


Saudi Ma’aden prices $1.25bn debut sukuk, 9.2 times oversubscribed with $11bn in orders

Saudi Ma’aden prices $1.25bn debut sukuk, 9.2 times oversubscribed with $11bn in orders
Updated 09 February 2025
Follow

Saudi Ma’aden prices $1.25bn debut sukuk, 9.2 times oversubscribed with $11bn in orders

Saudi Ma’aden prices $1.25bn debut sukuk, 9.2 times oversubscribed with $11bn in orders
  • Company said it had completed the sukuk issuance through US dollar-denominated trust certificates
  • Ma’aden’s $1.25bn Shariah-compliant bond was issued in two tranches

JEDDAH: The Saudi Arabian Mining Co., or Ma’aden, priced its $1.25 billion debut sukuk, oversubscribed by 9.2 times, with demand exceeding $11 billion for the five and ten-year tranches, according to an official statement.

In a bourse filing, the company said it had completed the sukuk issuance through US dollar-denominated trust certificates, adding that they will be listed on the London Stock Exchange’s International Securities Market and may be sold under Regulation S and Rule 144A of the amended US Securities Act of 1933.

The Tadawul statement said Ma’aden’s $1.25bn Shariah-compliant bond was issued in two tranches, including a five-year $750m tranche at 5.25 percent and a 10-year $500m tranche at 5.5 percent. The issuance includes 3,750 trust certificates for the five-year tranche and 2,500 for the 10-year, each valued at $200,000. Settlement is set for Feb. 13.

CEO of Ma’aden Bob Wilt said the success of the inaugural international sukuk offering demonstrates investors’ confidence and interest in Ma’aden’s growth, according to a press release.

“Such strong international investor demand, some of the highest seen in Saudi Arabia, is testament to global confidence in our strategic direction and the integral role we play in unlocking Saudi Arabia’s $2.5 trillion of untapped mineral potential,” the CEO said.

Wilt added that as they continue to deliver on their growth strategy, the funding will accelerate their efforts to secure essential minerals that drive the energy transition and long-term development. “We remain committed to building a globally competitive mining sector as the third pillar of Saudi Arabia’s economy.”

Louis Irvine, the chief financial officer of Ma’aden, said the “successful” sukuk issuance reflects the strength of their business, their disciplined financial strategy, and the confidence global investors have in the future of the company.

“We are particularly pleased to welcome new investors whose support will be instrumental as we continue to build mining as the third pillar of the Saudi economy, a key objective of the Kingdom’s Vision 2030. The funds raised will enable us to execute our expansion plans across all our divisions efficiently while maintaining a robust balance sheet as we move forward.”

The issuance aligns with forecasts that global sukuk offerings will total between $190 billion and $200 billion in 2025, driven by growing activity in key markets such as the Kingdom and Indonesia, according to a January analysis by S&P Global.

Global sukuk issuances totaled $193.4 billion in 2024, a slight decrease from $197.8 billion in 2023. Despite the marginal decline, the market saw a 29 percent year-on-year increase in foreign-currency-denominated sukuk, surging to $72.7 billion in 2024.

Under Ma’aden’s International Trust Certificate Issuance Program, the move highlights the company’s strong financial position and demonstrates investor confidence in its long-term growth strategy. 

The sukuk issuance proceeds will support the mining giant’s expansion initiatives and further solidify its standing as a leading mining and metals enterprise in the Kingdom and beyond.

The national mining company announced that Citi and HSBC acted as joint global coordinators, joint active bookrunners, and joint lead managers, while Al Rajhi Capital, J.P. Morgan, and SNB Capital served as joint active bookrunners and joint lead managers.

BNP Paribas, BSF Capital, GIB Capital, Natixis, and Standard Chartered Bank acted as joint passive bookrunners and joint lead managers, while HSBC also served as rating advisers.

The firm, rated “Baa1” by Moody’s and “BBB+” by Fitch, said the sukuk are expected to be rated on par with Ma’aden’s ratings.

In January, Ma’aden awarded three contracts worth SR3.45 billion ($921.58 million) for its third phosphate fertilizer plant, according to a filing with Tadawul at that time.

The company named China National Chemical Engineering Co., Sinopec Nanjing Engineering and Construction, and Turkiye-based Tekfen Construction and Installation Co. as the contractors.


Riyadh Expo 2030 to boost Saudi Arabia’s global presence

Riyadh Expo 2030 to boost Saudi Arabia’s global presence
Updated 09 February 2025
Follow

Riyadh Expo 2030 to boost Saudi Arabia’s global presence

Riyadh Expo 2030 to boost Saudi Arabia’s global presence
  • Expert shares strategies for ensuring expo’s lasting impact on the world stage

RIYADH: Riyadh Expo 2030 will propel the Saudi capital onto the global stage through its innovative transformation “while being deeply rooted in its cultural essence,” said an international expert on mega events.

During an interview with Arab News, Philippe Blanchard, former director of the International Olympic Committee and a senior adviser to Dubai Expo 2020, emphasized the significance of the event for both Saudi Arabia as a whole and for Riyadh in particular. Drawing from his extensive experience in organizing major events, Blanchard also discussed the potential challenges and shared strategies for overcoming obstacles to ensure the event’s success.

Following are excerpts from the interview:

Based on your past experience, how can Riyadh benefit from the event on the global stage?

We need to bear in mind that a mega event is not merely an “event,” it is a narrative unfolding before our eyes. I witnessed this over the last 33 years, since my very first Games in 1992.

The Saudi Vision 2030 is about holistic transformation — economic, cultural, and social. Riyadh Expo was designed to be a canvas where each stroke of innovation, sustainability, and cultural exchange will paint Riyadh not just as a participant but as a protagonist in the global theatre.

It is about forging a new identity for the city, one that resonates with a global audience while being deeply rooted in its cultural essence. But all this needs to be extremely fine-tuned on the organization side. Very precise (and shared) objectives, clear deliverables are required to ensure the narrative reaches the global audience and creates the necessary impact. Riyadh and Saudi Arabia have gone through a tremendous transformation. Expo is a fantastic opportunity to take it to the world.

What are the key challenges in managing the event and in coordinating with the Bureau International des Expositions and its member states?

Whether it is about an Olympics or a World Expo, the challenge for the host territory is like navigating a vast, complex ecosystem, with many different stakeholders.

On the one hand, coordinating with the BIE, the governing body in charge of overseeing and regulating World Expos, involves adhering to strict guidelines and protocols, ensuring the event’s integrity and international standards.

On the other hand, there’s also the intricate diplomacy with the BIE member states, each with their unique expectations and contributions. It’s like conducting an orchestra where every instrument is from a different part of the world, each with its own melody. The synchronization required is immense — balancing the Kingdom’s vision with the practicalities of dozens of countries investing resources, time, and cultural narratives into the event.

In my career, I witnessed several situations in which countries got this part wrong and could not catch up after this. It was dramatic as a lot of energy and money had been invested in the preparation and the infrastructure. But missing the steps results in low attendance and buy-in from the member states. It also leads to disengagement from national stakeholders.

How can Riyadh ensure that this event retains its “human touch” and heritage amid logistical and temporal pressures, especially given the diverse set of international stakeholders?

Here’s where the art of complexity management becomes crucial. Listening is paramount — to the expectations and aspirations of the local communities as well as the ambitions of international participants.

The human touch is preserved through empathy and negotiation, ensuring every voice is heard and every culture is respected. Shanghai 2010, Milan 2015, and Dubai 2020 have taught us that when participants feel like co-authors of the event’s story, the event transcends from mere spectacle to a profound human experience. It’s about ensuring that amidst the steel and concrete, the heart of the event — the human story — continues to beat strongly.

Over the years and experience, specific frameworks and guidelines have been developed to ensure the right results.

How can Riyadh balance the high expectation following the BIE vote with the practicalities of execution?

This balancing act is where the vision must meet the ground. The initial bid was a dream, a promise to the world. Now, it’s about translating that promise into tangible reality. This involves a continuous dialogue — not just between the vision of the bid and the feedback from stakeholders, but also between the Kingdom’s expectations, the BIE’s requirements, and the capabilities of member states.

Resource allocation must be strategic, ensuring infrastructure supports but does not overshadow the cultural and human exchange. Like a desert blooming, it’s about fostering growth where every participant’s contribution, from the smallest cultural exhibit to the grandest architectural marvel, is vital.

How does the interaction with the BIE and its member states complicate or enhance the legacy planning for the Riyadh Expo 2030?

Interaction with the BIE and member states is a double-edged sword in legacy planning. On the one hand, the BIE provides a framework for excellence and accountability, guiding the event towards lasting impacts.

On the other hand, the diverse interests of member states lead simultaneously to a rich tapestry of legacies — economic, cultural, and educational — and also to potential conflicts in vision and resource allocation.

The key is in harmonizing these interests into a cohesive strategy where the legacy is not just about the physical remnants but about the societal transformations that continue long after the event. Success will be when these legacies resonate like the echo of a well-played symphony, long after the last note has faded.