Latest news with #MohammedbinSalman
Middle East Eye
a day ago
- Business
- Middle East Eye
Saudi Arabia asks consultants to review feasibility of 'The Line' megaproject: Report
Saudi Arabia has asked consulting firms to review its plans to build a futuristic, 170km long city on its Red Sea coast called "The Line", a key pillar of Saudi Arabia's Neom gigaproject. The kingdom's public investment fund (PIF) asked the consultants to determine whether its plans to build the car-free city are feasible, Bloomberg reported on Monday. The report is likely to pile on more scepticism about The Line's future. In April, The Financial Times reported that the CEO of Neom had launched a 'comprehensive review' of the kingdom's megaproject. Neom, along with luxury Red Sea hotels and a ski resort, is the flagship project of Crown Prince Mohammed bin Salman's Vision 2030 plan to transform the kingdom's economy and reduce its dependence on oil revenue. New MEE newsletter: Jerusalem Dispatch Sign up to get the latest insights and analysis on Israel-Palestine, alongside Turkey Unpacked and other MEE newsletters Bloomberg reported in 2024 that Saudi Arabia was cutting back plans for The Line. Instead of 1.5 million people living there by 2030, Saudi officials were said to anticipate fewer than 300,000 residents. Meanwhile, only 2.4km of the city is expected to be completed by 2030. The Line was unveiled with much fanfare by Saudi Crown Prince Mohammed bin Salman in 2021, with a short clip displaying some of human history's biggest technological advancements over the last century, including the moon landing and the creation of the internet. It then asked, 'What's next?' and the answer came in the form of a televised address from the crown prince. He said that the 170km city would have 'zero cars, zero streets and zero carbon emissions' and that its one million inhabitants could fulfil all their daily requirements, including education and leisure, within a five-minute walk of home. The crown prince also said it would be possible to travel from one end of The Line to the other in 20 minutes, implying that a very high-speed rail service would be built. At the time, Saudi Arabia said it expected the city to contribute $48bn to the kingdom's economy and create 380,000 jobs. Why Saudi Arabia can spend more money than it makes, even as oil prices drop Read More » The kingdom has pushed through liberalising social reforms, even as it cracks down on dissent. It has also opened up its economy, including recently legalising real estate purchases for foreigners. However, the more grandiose megaprojects have faced setbacks due to their high cost and falling oil prices. Oil still accounts for roughly 61 percent of Saudi Arabia's revenue, according to its 2025 budget. Brent crude, the international benchmark, has been trading for under $70 per barrel for most of this year. For years, Saudi Arabia was the main proponent of restricting supply in an alliance alongside Russia dubbed Opec+. The kingdom absorbed most of the production cuts within Opec+, while Iraq, the United Arab Emirates, and Kazakhstan boosted production. In April, Saudi Arabia led Opec+ in a surprise move to boost production, in what energy analysts said was a move designed to punish 'cheaters' exceeding production limits. The new supply has put more downward pressure on prices. In April, Goldman Sachs painted a bleak picture for Saudi Arabia's projects in a note to clients, projecting 'pretty significant' budget deficits and more scaling back of megaprojects. Neom has already faced internal challenges. Nadhmi al-Nasr, who managed Neom's construction from 2018 to 2024, departed from his post in November. Nasr earned a chilling reputation managing Neom. He bragged that he put everyone to work 'like a slave', adding, 'When they drop down dead, I celebrate. That's how I do my projects.' Two other foreign executives also left Neom at the end of 2024, according to The Wall Street Journal. One reportedly disparaged Islam, made lewd references about sexual positions and said women from the Arabian Gulf looked like 'transvestites'. Aiman al-Mudaifer was appointed CEO of Neom in November after overseeing a real estate division of the kingdom's nearly $1 trillion PIF.
Free Malaysia Today
2 days ago
- Politics
- Free Malaysia Today
Saudi Arabia and Iran hold talks after Tehran's truce with Israel
An Iranian flag hangs on a building which was hit by an Israeli strike during the 12-day war. (AP pic) RIYADH : Iran's foreign minister has held talks with Saudi Arabia's de facto leader, the Saudi foreign ministry said, two weeks after a ceasefire between regional rivals Iran and Israel began. Saudi Prince Mohammed bin Salman said his country hoped the truce would contribute to regional stability, and emphasised Riyadh's position 'in supporting dialogue through diplomatic means as a path to resolving disputes,' the ministry said in a post on X early Wednesday. According to the Saudi ministry, Iranian foreign minister Abbas Araghchi 'expressed his gratitude' to Riyadh for its condemnation of Israel's attacks on Iran last month. Israel launched its unprecedented bombing campaign on Iran on June 13, targeting military and nuclear facilities as well as residential areas. The Israeli strikes killed more than 1,000 people, including senior military commanders and nuclear scientists, according to Tehran. Israel, in turn, was hit by waves of drone and missile fire from Iran, which Israeli authorities said left at least 28 people dead. The US, which had been in talks with Iran about its nuclear programme since April, carried out its own strikes on Iran on June 22, targeting several nuclear sites. The talks between Tehran and Washington have since stalled, but the ceasefire between Iran and Israel has been in place since June 24. Iran, with its Shiite Muslim majority, and Sunni-majority Saudi Arabia have often been on opposing sides of regional conflicts, including in Syria and Yemen. The two regional heavyweights broke off diplomatic relations in 2016 before re-establishing them in 2023 under a rapprochement deal brokered by China. It amounted to a diplomatic achievement for Prince Mohammed, who has taken a more conciliatory approach to regional diplomacy in recent years. Saudi Arabia condemned the Israeli strikes on Iran last month, calling them 'aggressions' and a 'clear violation of international laws'. Riyad also expressed its 'great concern' following the US strikes on Iranian nuclear facilities. Iranian foreign ministry spokesman Esmaeil Baqaei said Araghchi held 'fruitful conversations' with Prince Mohammed, as well as foreign minister Prince Faisal bin Farhan and defence minister Prince Khaled bin Salman about bilateral relations and developments in the region.
Indian Express
2 days ago
- Business
- Indian Express
Residents of Gulf Cooperation Council countries, including expats, can now invest directly in Saudi Arabia's main stock market
Saudi Arabia has just made it easier for people living in Gulf Cooperation Council (GCC) countries, including expats, to invest directly in its main stock market, the Saudi Exchange. Previously, these investors had to use complex swap agreements or go through middlemen, but now, thanks to a big rule change by the Capital Market Authority (CMA), they can dive right in. This applies to anyone currently living in Saudi Arabia or other GCC countries, as well as those who used to live there. The CMA's boss, Mohammed El-Kuwaiz, shared the news on X, explaining that this move is all about opening up Saudi Arabia's markets to attract more long-term cash from the region. It's a key part of Crown Prince Mohammed bin Salman's Vision 2030, which aims to grow the economy beyond just oil. 'This makes our market more open globally,' El-Kuwaiz said, 'and builds stronger investment ties with a wider range of people in a more flexible and appealing setup.' The CMA also rolled out other changes to make the market more attractive and secure. For example, investment funds can now be offered through digital platforms and fintech companies overseen by the Saudi Central Bank. They've also added stricter rules, like requiring CMA approval when fund managers change and setting a 60-day transition period to protect investors. These steps are meant to bring in more money, make the market clearer and fairer, and cement Saudi Arabia's spot as a major financial player in the region. It builds on earlier moves, like letting big foreign investors in back in 2015 and getting Saudi Arabia included in global stock indices like MSCI and FTSE.
Yahoo
2 days ago
- Business
- Yahoo
Saudi Arabia vies to become next Dubai with property shake-up
Saudi Arabia has taken a fresh step in its bid to become the next Dubai after unveiling a law that will allow foreigners to buy property in its largest cities. The new regime is expected to begin next January. The details are not yet public, but the opening-up looks to be limited to the capital Riyadh and the port city of Jeddah. Saudi Arabia has been loosening its conservative social code and pushing its credentials as a sporting, tourism and cultural hub, as it tries to compete for expats and investment with the likes of Dubai, Abu Dhabi and Doha. 'This development marks a significant policy shift,' the law firm BCLP said, adding that it would bolster the country's push, under Prince Mohammed bin Salman's Vision 2030 strategy, to lure foreign investment and deepen capital markets. James Swanston, an analyst at Capital Economics, said the move echoed policies in the United Arab Emirates and Qatar that had triggered 'an influx of foreign home-owners, particularly in Dubai'. Saudi Arabia's 2022 census found that about 40pc of the country's 35m population were foreigners, mostly from Asia and the Middle East. There were only about 20,000 Americans and 18,000 from Britain and Ireland, with much smaller numbers from France, Australia, Germany, Spain and Italy. Recent estimates suggest the UK expat population has grown to nearer 30,000. That is still a long way behind Dubai, which hosts more than 200,000 British expats, out of a total population one tenth the size of Saudi. Saudi Arabia, like the UAE, does not levy income tax. But its tighter restrictions on alcohol and women's freedoms have long been a turn-off for Westerners. The Kingdom may also be targeting wealthy expats from the Gulf and North Africa, as it seeks to become the pre-eminent regional power. The government will also allow expats to buy in the holy cities of Mecca and Medina, which could attract a Muslim expat clientele, but the purchases will be subject to additional, as yet unspecified, restrictions. Foreigners are technically allowed to buy property already, although not land. But they must be a resident, the process is cumbersome, there is an upper size limit on the property, and the holy cities are off-limits. The new rules may have been restricted to Riyadh and Jeddah to try to stop Saudi property prices from rising too quickly. Residential property prices across the country have jumped by a quarter in the past four years, as demand has outstripped supply. In Riyadh, prices have surged 52pc since 2021. Saudis' real incomes are barely growing, so the government will hope to avoid following Dubai, where residential property prices have climbed 60pc since 2022, almost doubling in some luxury locales. Most Western expats in Saudi Arabia tend to have housing provided as part of their relocation package, and would be unlikely to buy houses in the short term. Estate agents quoted in local media said allowing expats to own houses would encourage them to stay longer, rather than racking up a few years of tax-free salary and then leaving. Estimates vary widely, but prime residential real estate in Riyadh can cost up to 15,000 rial (£2,900) per square metre, compared with a median of 20,000 dirham (£4,000) in Dubai. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
Telegraph
2 days ago
- Business
- Telegraph
Saudi Arabia vies to become next Dubai with property shake-up
Saudi Arabia has taken a fresh step in its bid to become the next Dubai after unveiling a law that will allow foreigners to buy property in its largest cities. The new regime is expected to begin next January. The details are not yet public, but the opening-up looks to be limited to the capital Riyadh and the port city of Jeddah. Saudi Arabia has been loosening its conservative social code and pushing its credentials as a sporting, tourism and cultural hub, as it tries to compete for expats and investment with the likes of Dubai, Abu Dhabi and Doha. 'This development marks a significant policy shift,' the law firm BCLP said, adding that it would bolster the country's push, under Prince Mohammed bin Salman's Vision 2030 strategy, to lure foreign investment and deepen capital markets. James Swanston, an analyst at Capital Economics, said the move echoed policies in the United Arab Emirates and Qatar that had triggered 'an influx of foreign home-owners, particularly in Dubai'. Saudi Arabia's 2022 census found that about 40pc of the country's 35m population were foreigners, mostly from Asia and the Middle East. There were only about 20,000 Americans and 18,000 from Britain and Ireland, with much smaller numbers from France, Australia, Germany, Spain and Italy. Recent estimates suggest the UK expat population has grown to nearer 30,000. That is still a long way behind Dubai, which hosts more than 200,000 British expats, out of a total population one tenth the size of Saudi. Saudi Arabia, like the UAE, does not levy income tax. But its tighter restrictions on alcohol and women's freedoms have long been a turn-off for Westerners. Property power The Kingdom may also be targeting wealthy expats from the Gulf and North Africa, as it seeks to become the pre-eminent regional power. The government will also allow expats to buy in the holy cities of Mecca and Medina, which could attract a Muslim expat clientele, but the purchases will be subject to additional, as yet unspecified, restrictions. Foreigners are technically allowed to buy property already, although not land. But they must be a resident, the process is cumbersome, there is an upper size limit on the property, and the holy cities are off-limits. The new rules may have been restricted to Riyadh and Jeddah to try to stop Saudi property prices from rising too quickly. Residential property prices across the country have jumped by a quarter in the past four years, as demand has outstripped supply. In Riyadh, prices have surged 52pc since 2021. Saudis' real incomes are barely growing, so the government will hope to avoid following Dubai, where residential property prices have climbed 60pc since 2022, almost doubling in some luxury locales. Most Western expats in Saudi Arabia tend to have housing provided as part of their relocation package, and would be unlikely to buy houses in the short term. Estate agents quoted in local media said allowing expats to own houses would encourage them to stay longer, rather than racking up a few years of tax-free salary and then leaving. Estimates vary widely, but prime residential real estate in Riyadh can cost up to 15,000 rial (£2,900) per square metre, compared with a median of 20,000 dirham (£4,000) in Dubai.
