Saudi housing minister on sustainable growth and DarGlobal CEO on HNWI investor demands
In this episode of The Riyal Deal, Tom Burges Watson speaks exclusively with the CEO of DarGlobal, Ziad El Chaar on how the international arm of the Saudi company Dar Al Arkan is finding a growing demand for luxury housing at home in Saudi Arabia, how the Kingdom is attracting a growing number of high net worth individuals, and the appeal of the Trump brand. Separately, the Saudi Housing Minister Majid Al-Hogail tells Al Arabiya English the plans in place to sustainably grow the sector and attract investments. Ali Raza, Strategic Advisor to the Saudi Arabia Holding Company provides an overview of the sector and its potential in the long term.
Guests:
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Al Arabiya
28 minutes ago
- Al Arabiya
Saudi Arabia cut workplace deaths by 75pct, created more health, safety jobs: Official
Saudi Arabia has reduced workplace fatalities by more than 75 percent and created more than 29,000 jobs in occupational safety and health since 2018 as part of a sweeping national strategy to make worker wellbeing central to its Vision 2030 transformation, a senior official told Al Arabiya English in an interview. The Kingdom is making major strides in occupational safety and health through regulatory reform, digital transformation, and international alignment, according to Majed al-Fuwaiz, Secretary General of the National Council for Occupational Safety and Health. 'We are already seeing real and measurable progress,' al-Fuwaiz told Al Arabiya English. 'Occupational injury rates in the Kingdom have dropped by more than 41.8 percent since 2018, and workplace fatalities have fallen from 3.83 to 0.94 per 100,000 workers, which represents a drop by 75.4 percent, by the end of 2024.' Al-Fuwaiz also said more than 29,000 new jobs have been created in occupational safety and health, helping to build a new generation of skilled Saudi professionals. 'We have digitized 62 percent of occupational safety and health processes, up from just 30 percent a few years ago,' he said. Modernize labor standards These achievements are part of a broader Vision 2030 strategy to modernize labor standards, expand the role of the private sector, and ensure safer, more productive workplaces across the Kingdom, according to him. 'We've taken a proactive and strategic approach to workplace safety, rooted firmly in our Vision 2030 goals,' al-Fuwaiz said. He highlighted several key initiatives, including the National Strategic Program for Occupational Safety and Health launched in 2017, the approval of a national policy in 2021, and the creation of the National Council for Occupational Safety and Health in 2022. The council unites 16 government bodies, employers, and worker representatives to coordinate safety efforts across all sectors. Enforcement has become more consistent and transparent thanks to a unified national governance system and real-time digital tools, al-Fuwaiz said. 'The National Platform for Incident Reporting and Investigation enables real-time reporting, risk analysis, and coordination between inspection teams,' he said. This digital infrastructure has boosted responsiveness, allowing authorities to quickly address high-risk areas. To measure and improve compliance, Saudi Arabia uses performance dashboards, physical inspections, and initiatives like the National Excellence and Compliance Model. 'Saudi Arabia's compliance is measured using a data-driven approach,' he said. The Kingdom has also embedded international labor standards into its legal framework. 'A major milestone was the ratification of ILO Convention No. 187,' said al-Fuwaiz, adding that the Kingdom is working toward ratifying Convention No. 155 as well. 'These commitments are reflected in real regulatory reforms.' Workforce development Training and workforce development are central to the plan. Saudi Arabia launched the Occupational Safety and Health Cadres Program to license professionals in the field and offers free online training in eight languages to expand access to safety education. 'This initiative aims to support the implementation and enforcement of occupational safety and health requirements in the workplace,' he said. Al-Fuwaiz also addressed global challenges, including climate-driven heat stress, mental health issues, and shifting labor patterns in the gig economy. 'The need for stronger workplace protections has never been clearer,' he said. 'Simply put, no one country can tackle these challenges alone.' Youth leading innovation Young people are also playing a leading role in innovation, he said. A hackathon hosted alongside this year's Global Occupational Safety and Health Conference attracted more than 1,000 participants from nine countries, with 465 project proposals submitted. 'More than 82 percent of the participants are under the age of 35,' he said. 'It's a great example of how fresh thinking and collaboration can lead to practical, high-impact solutions.' 'Through innovation and scale, Saudi Arabia is helping build a healthcare and labor system that is efficient, inclusive, and globally competitive,' al-Fuwaiz said. GOSH7 The official revealed the recent data at the seventh Global Occupational Safety and Health Conference (GOSH7) held in Riyadh in May. The conference brought together global experts, innovators, and policymakers to tackle emerging risks and promote sustainable workplace safety systems. 'GOSH7 provided an important platform to bring global expertise together, exchange ideas, and find real-world solutions to the challenges we all face,' the Secretary General of the National Council for Occupational Safety and Health. 'Hosting this conference annually reflects our commitment to ensuring worker wellbeing remains at the heart of economic and social development,' al-Fuwaiz added. 'It also supports our Vision 2030 ambitions to build a more resilient, competitive, and sustainable economy.' This year's conference explored topics such as the impact of digitization and climate change on workplace safety, innovation in risk mitigation, and the economic benefits of investing in occupational health.
Asharq Al-Awsat
28 minutes ago
- Asharq Al-Awsat
Saudi Bonds: A Safe Haven in Emerging Markets
As global investors remain cautious about debt in emerging economies, Saudi Arabia is increasingly seen as a stable and attractive investment destination. This confidence stems from its strong financial foundation and ambitious economic transformation plans. Karine Kheirallah, Head of Investment Strategy and Research for Europe, the Middle East, and Africa at State Street Global Advisors, one of the world's largest asset managers, highlighted Saudi Arabia's compelling macroeconomic story. She noted that while many countries struggle with high debt and rising servicing costs, Saudi Arabia maintains a relatively low debt-to-GDP ratio of 29.9% as of December 2024. Even with planned increases to support Vision 2030 investments, it is expected to remain well below global averages. This fiscal discipline positions Saudi Arabia as a reliable sovereign bond issuer within emerging markets. Kheirallah expects the Kingdom to see steady economic growth in the coming years, led by structural reforms and non-oil sector investments. Though growth may not match the pace of some emerging markets, it is likely to outperform many advanced economies, making Saudi bonds appealing for investors seeking long-term value and stability. In the first quarter of 2025, Saudi Arabia's economy grew by 3.4% year-on-year, driven primarily by a 4.9% expansion in non-oil sectors, which contributed significantly to real GDP growth. Vision 2030 plays a vital role in developing Saudi Arabia's fixed-income market. Kheirallah explained that to finance major projects such as NEOM, both the government and the Public Investment Fund have expanded bond and sukuk issuances, including green financing. This has led to a more mature yield curve and improved price discovery across maturities. The inclusion of Saudi dollar-denominated bonds in J.P. Morgan's Emerging Markets Index in 2019 was a turning point, signaling global investor confidence. This move helped lay the groundwork for a more robust and sustainable debt market. Saudi bonds also benefit from strong credit ratings. Moody's upgraded Saudi Arabia to A1 in November 2024, and S&P raised its rating to A+ in March 2025. These reflect the country's financial strength and effective reforms. While public debt is rising, Kheirallah emphasized it remains manageable. However, sustaining fiscal health will depend on continued diversification and growing non-oil revenues. Maintaining high credit ratings, she stressed, will require ongoing financial discipline and successful reform implementation.
Arab News
43 minutes ago
- Arab News
Bahrain's Islamic finance industry projected to surpass $100bn in 3 to 5 years
RIYADH: Bahrain's Islamic finance industry is likely to surpass $100 billion within the next three to five years, according to global credit rating agency Fitch Ratings. This growth will be fueled by the need for diversification and funding, partly addressed through sukuk, as well as a favorable regulatory environment and ongoing mergers and acquisitions, according to a statement. This aligns with Bahrain's banking sector assets to GDP ratio, which was estimated at 516 percent in 2024, indicating a highly concentrated and competitive market that presents significant challenges for both Islamic and conventional banks. The debt capital market is primarily made up of government-issued sukuk and bonds, with limited participation from corporations and financial institutions. This is also reflected in the fact that as of the first three months of 2025, Bahrain's Islamic finance industry was valued at over $80 billion, with Islamic banking assets making up 78 percent, sukuk accounting for 19.2 percent, and the remaining 2.8 percent coming from Shariah-compliant investment funds and takaful firms. The newly issued Fitch statement said: 'Sukuk are substantial to Bahrain's DCM (debt capital markets), comprising 32.5 percent of DCM outstanding (all currencies) as of end-1Q25 … In 2024, sukuk issuances grew by 36.2 percent yoy (year-over-year), with sovereign issuers representing about 90 percent of Bahrain's sukuk issuances.' It added: 'Bahrain has notable access to the global DCM, with US dollar-denominated DCM comprising about 70 percent of the total, and dollar-denominated sukuk comprising nearly 90 percent of sukuk outstanding. The anticipated lower oil prices … upcoming government debt maturities and sizeable investors, including Bahraini and other GCC (Gulf Cooperation Council) Islamic banks, could encourage sukuk issuance.' The statement further indicated that the agency rates 80 percent of the country's US dollar sukuk outstanding as of the end of the first quarter of 2025, with 94.6 percent in the 'B' rating category and 5.4 percent in the 'BB' rating category. It further disclosed that most sukuk issuers carry negative outlooks, reflecting Fitch's downgrade of Bahrain's outlook from stable to negative in February. The country has maintained its payment record on sukuk and bonds, with only one issuer launching ESG sukuk and no ESG bonds issued from the country. 'Bahrain continues to host Islamic finance industry setting bodies like the AAOIFI (Accounting and Auditing Organization for Islamic Financial Institutions) and IIFM (International Islamic Financial Market). The draft AAOIFI Shariah Standard 62 has had no impact on Bahraini Islamic banks' or sukuk ratings so far. However, there is a lack of clarity around the standard's final scope and implementation,' the statement said. It added that in the first quarter of 2025, Bahraini Islamic banks' domestic assets saw an annual rise of 7.5 percent, outpacing conventional banks' 3.4 percent. They also increased their share of domestic banking assets to 41.4 percent in what was a 1 percentage point rise from the same quarter of 2024. Fitch said this was partly due to Ahli United Bank's conversion to an Islamic bank. Islamic banks' foreign assets decreased by 7.6 percent, while conventional banks' increased by 6 percent, reducing the former's share of total industry assets to 25.4 percent from 26.1 percent in the first quarter of 2024. The Central Bank of Bahrain has introduced a draft netting law that includes Islamic derivatives, sukuk, digital asset derivatives, and carbon credit derivatives under qualified financial contracts — aimed at strengthening market participants' confidence. In June 2024, the CBB also launched a Shariah-compliant commodity Murabaha facility to help Islamic banks better manage surplus liquidity. Bahrain's Islamic finance projections come as other countries in the region also report relatively strong performance in the sector. Earlier this month, a report from Qatar-based Bait Al Mashura Finance Consultations showed that Qatar's Islamic finance sector continued its upward trajectory in 2024, with total assets rising 4.1 percent year on year to 683 billion Qatari riyals ($187.5 billion). The analysis showed at the time that Islamic banks held the largest share, with 87.4 percent of total Islamic finance assets. In April, S&P Global Ratings said in its outlook report that Saudi Arabia is poised to play a key role in propelling the growth of the global Islamic finance industry in 2025, underpinned by non-oil economic expansion and robust sukuk issuance, according to a new analysis. The Kingdom's banking system growth, supported by Vision 2030 initiatives, is expected to contribute significantly to the expansion of Islamic banking assets next year, the S&P report said at the time.
