Purchase OBG Publications

Displaying 49 - 54 of 2617 results

Chapter | Energy from The Report: Saudi Arabia 2018

At a time of great change in Saudi Arabia and amidst debates about rapid economic diversification, it is perhaps easy to overlook the fact that even in the most optimistic forecasts of Saudi Vision 2030 – the national development strategy – the oil and gas sector will account for at least half of the country’s exports in the fourth decade of the 21st century. Similarly, while the revolution in shale oil and gas in the US has dominated headlines, the cost at which Saudi Arabia is able to pump crude oil and gas remains among the lowest in the world. The global oil supply and demand cycle may have resulted in lower prices since mid-2014, but the anticipated initial public offering of 5% of the state energy company Saudi Aramco, valued at up to $2trn, has heightened expectations that the Kingdom could soon be home to the most valuable listed company on the planet. This chapter contains an interview with Mohammad Sanusi Barkindo, Secretary-General, Organisation of the Petroleum Exporting Countries; and Abdallah Al Subaiyyal, President and CEO, Yanbu Aramco Sinopec Refining Company.

Chapter | Jeddah from The Report: Saudi Arabia 2018

As the second-largest city in Saudi Arabia, Jeddah plays a central role in the Kingdom’s non-oil economic growth, largely due to a combination of its roots in shipping and trade, and its importance as a transit point for millions of visitors travelling to the holy cities of Makkah and Medina each year. Major infrastructure projects in the city are set to underpin growth across various sectors in the coming years – including industry, tourism and logistics – while also positioning the broader region as a principle contributor in achieving the country’s longer-term goals under Saudi Vision 2030. This chapter contains and interview with Mazen Batterjee, Vice-Chairman, Jeddah Chamber of Commerce and Industry.

Chapter | Makkah & Medina from The Report: Saudi Arabia 2018

Due to the importance of Makkah and Medina in the Muslim world, and the millions of pilgrims they attract, the two holy cities form a major component of Saudi Arabia’s non-oil economy. The pilgrimages of Hajj and Umrah are performed each year, with worshippers’ fees, food, transport and accommodation totalling some $12bn in revenues. Makkah is home to the Masjid Al Haram, known as the Grand Mosque, which houses the Kaaba – Islam’s holiest site – and is also the birthplace of the Prophet Muhammad. Medina, meanwhile, is home to the Masjid an-Nabawi, or the Prophet’s Mosque, another important place of pilgrimage for worshippers during the Hajj and Umrah. With religious tourism such a vital source of non-oil revenue, much of the development in and around Makkah and Medina over the coming years is directly linked to the goals laid out in Vision 2030, which include plans to significantly boost pilgrim numbers as well as increase the country’s appeal as a wider tourist destination. This chapter contains an interview with Osama Al Bar, Mayor of Makkah.

Chapter | Insurance from The Report: Saudi Arabia 2018

These have been profitable times for the Saudi insurance sector, although bumpy ground in the economy overall has made the growth of premiums more challenging. The sector is undergoing a significant overhaul as a stronger regulatory framework is progressively implemented and enforced, and moves to consolidate the market are in progress. Developments in the health segment continue to look promising after a recent expansion of compulsory health insurance while further widening to include more of the domestic population in obligatory schemes was witnessed 2017. This chapter contains an interview with Abdulaziz Al Boug, CEO, Tawuniya.

Chapter | Alternative Investments from The Report: Saudi Arabia 2018

Saudi Arabia’s investment environment as a whole is undergoing an overhaul, with Vision 2030 promoting private sector growth, economic diversification, improved infrastructure and a stronger legislative framework for investors. The alternative investment segment in particular should benefit from this, with enhanced rules relating to VC and PE, and a broadening range of targets likely to emerge in the coming years, while greater confidence in the country’s economic future will support fundraising. The government’s involvement through public sector company funds and support for innovation is an important element, and the symbiotic relationships being formed with international investors should benefit local players as well as global targets. This chapter contains an interview with Khaled Al Aboodi, CEO, Islamic Corporation for the Development of the Private Sector.

Chapter | Capital Markets from The Report: Saudi Arabia 2018

Subdued oil prices deflated investor sentiment across the GCC throughout most of 2017. However, mid-2017 brought some encouraging developments: news of a possible MSCI reclassification resulted in a spike in the main index of the Saudi Stock Exchange (Tadawul) in the summer of 2017. In 2016 the government launched the National Transformation Programme 2020, with the goal of turning the economy around and taking steps towards achieving the objectives laid out in Vision 2030, the long-term national plan to become a modern, diversified economy. While the onset of the NTP improved investor sentiment by clarifying the government’s long-term objectives, in September 2017 the NTP was revised, postponing some deadlines and removing other elements from the plan altogether. These changes make future progress towards Vision 2030 less certain, which could have negative effects on investor sentiment. While this may discourage some investment in the short term, an ongoing process of reform carried out by the exchange authorities promises to attract more interest in new market instruments. This chapter contains interviews with Mohammed El Kuwaiz, Chairman, Capital Markets Authority; Sarah Al Suhaimi, Chair, Saudi Stock Exchange; and Majed Najm, CEO, HSBC Saudi Arabia.