Innovation: Saudi Arabia’s Choice for the Journey of the Future

Saudi Arabia’s progress in international indicators reflects the level of ambition and dedication it places on innovation (SPA)
Saudi Arabia’s progress in international indicators reflects the level of ambition and dedication it places on innovation (SPA)
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Innovation: Saudi Arabia’s Choice for the Journey of the Future

Saudi Arabia’s progress in international indicators reflects the level of ambition and dedication it places on innovation (SPA)
Saudi Arabia’s progress in international indicators reflects the level of ambition and dedication it places on innovation (SPA)

Adopting science, technology, and innovation is no longer merely an option for governments and societies. It has become a developmental priority and a security necessity.

For its part, Saudi Arabia is advancing the achievement of research, development, and innovation targets through significant missions and initiatives, as revealed in June 2022.

These efforts focus on creating an innovation-friendly environment and attracting the best minds from within and outside the Kingdom to diversify Saudi Arabia’s national economy and serve scientific, technological, and future-oriented purposes for the benefit of humanity.

Since then, the team that started Saudi Arabia’s Research, Development and Innovation Authority has made great progress in building the foundation of the sector.

They have been having meetings, forming partnerships, and refining ideas, all of which are leading to a new phase in the innovation and research field.

This phase began taking shape last year when Crown Prince Mohammed bin Salman announced the national priorities for research, development, and innovation.

It marked the beginning of a new era that emphasizes the importance of innovative thinking and high-quality ideas.

Saudi aspirations in the field of innovation began to emerge when the Kingdom jumped fifteen places in the Global Innovation Index in 2022, all at once.

This achievement has led to the recognition of Saudi minds and talents through awards and advanced rankings, typically reserved for gifted students and individuals.

As the private sector eagerly awaits to actively participate in this domain and enter the competition, a recent report has identified the top ten innovative companies in Saudi Arabia and their global competitiveness, shedding light on promising opportunities in this field.

Saudi Arabia has committed to allocate 2.5% of its gross domestic product (GDP) to support innovation by the year 2040. This investment aims to create an innovation-friendly environment, attract top talents to serve humanity, and diversify the Saudi economy.

This came alongside Crown Prince Mohammed bin Salman’s announcement of the national aspirations and priorities for research, development, and innovation in Saudi Arabia over the next two decades.

These priorities are based on four key areas: human health, environmental sustainability and basic needs, leadership in energy and industry, and future economies.

Saudi Arabia aims to become a global leader in innovation and contribute to the development and diversification of its economy. This includes adding SAR60 billion to the gross domestic product by 2040 and creating thousands of high-value and specialized jobs in the fields of science, technology, and innovation.

Less than a year after the Crown Prince announced national aspirations and priorities for research, development, and innovation, the Kingdom jumped 15 spots in the Global Innovation Index for 2022, released by the World Intellectual Property Organization (WIPO).

According to a report published by Forbes magazine, Saudi Arabia has been recognized as one of the world’s fastest-growing countries due to its efforts in diversifying its economy and entering new sectors that have contributed to the development of the national innovation ecosystem over the past decade.

The latest figures on research and development spending reflect a transformation in Saudi Arabia’s innovation landscape, with an accelerated growth in the sector.

The total expenditure on research and development reached SAR 14.5 billion, while the number of individuals employed in this field amounted to 30,220. Additionally, there were 24,808 researchers in Saudi Arabia in 2021.

A report released by Saudi Arabia’s General Authority for Statistics (GASTAT) in February revealed that the government sector has shown progress in research and development spending compared to other sectors.

The government sector accounted for 50% of the total expenditure, followed by the private sector at 35%. The education sector accounted for 15% of the expenditure.

The report indicated that the education sector had the highest percentage of individuals engaged in research and development, accounting for 83%, which equates to 25,178 employees.

In the government sector, the number of employees was 2,967, representing 10% of the total workforce in research and development.

The private sector ranked last in terms of the percentage of employees engaged in research and development, with 2,075 individuals, accounting for 7% of the workforce in 2021.



Egypt: Positive Results from Nargis-2 Natural Gas Well in Mediterranean

Egyptian Petroleum Minister inspects the start of drilling operations at the Nargis gas field in the Mediterranean Sea (Ministry of Petroleum)
Egyptian Petroleum Minister inspects the start of drilling operations at the Nargis gas field in the Mediterranean Sea (Ministry of Petroleum)
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Egypt: Positive Results from Nargis-2 Natural Gas Well in Mediterranean

Egyptian Petroleum Minister inspects the start of drilling operations at the Nargis gas field in the Mediterranean Sea (Ministry of Petroleum)
Egyptian Petroleum Minister inspects the start of drilling operations at the Nargis gas field in the Mediterranean Sea (Ministry of Petroleum)

Egypt's Ministry of Petroleum and Mineral Resources and US energy major Chevron announced Saturday positive results from drilling the Nargis-2 natural gas well in the Mediterranean Sea, which began in May in cooperation with Chevron, its partners and the Egyptian Natural Gas Holding Company (EGAS).

In a statement, the ministry said the results support ongoing efforts to appraise the Nargis discovery, made in 2022, and accelerate its commercial development as one of Egypt's undeveloped gas discoveries.

The Nargis-2 appraisal well confirmed the extension of gas-bearing reservoirs previously encountered at Nargis-1 and identified an additional gas-bearing reservoir with favorable characteristics, supporting efforts to assess the area's gas resources and potential development opportunities.

The ministry said drilling operations were designed to evaluate the extent of the Nargis discovery and test deeper geological formations as part of efforts to expand exploration activities and maximize the Mediterranean's promising potential, including high-pressure, high-temperature formations.

The well reached a total depth of more than 5,000 meters, with appraisal results indicating gas-bearing reservoirs containing up to 35 meters of net pay.

According to the statement, these findings provide a positive indication supporting further technical studies to determine the discovery's overall potential and assess development opportunities.

The results align with the ministry's strategy to accelerate the development of undeveloped discoveries, encourage investment partners to intensify exploration activities and convert discovered resources into reserves that can be developed and brought into production, helping increase domestic natural gas output.

Egyptian Minister of Petroleum and Mineral Resources Karim Badawi witnessed the start of drilling operations at Nargis-2 in May aboard the Stena Forth drillship.

At the time, he emphasized the importance of accelerating the appraisal and development of undeveloped gas discoveries and strengthening cooperation with international energy companies to capitalize on Egypt's promising oil and gas resources.

Chevron operates the Nargis Offshore Concession in partnership with Italy's Eni, the UAE's Mubadala and Egypt's Tharwa Petroleum Company.


Global Equity Funds Attract Inflows for 5th Consecutive Week

NEW YORK, NEW YORK - OCTOBER 21: Traders work on the floor of the New York Stock Exchange during morning trading on October 21, 2026 in New York City. Michael M. Santiago/Getty Images/AFP
NEW YORK, NEW YORK - OCTOBER 21: Traders work on the floor of the New York Stock Exchange during morning trading on October 21, 2026 in New York City. Michael M. Santiago/Getty Images/AFP
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Global Equity Funds Attract Inflows for 5th Consecutive Week

NEW YORK, NEW YORK - OCTOBER 21: Traders work on the floor of the New York Stock Exchange during morning trading on October 21, 2026 in New York City. Michael M. Santiago/Getty Images/AFP
NEW YORK, NEW YORK - OCTOBER 21: Traders work on the floor of the New York Stock Exchange during morning trading on October 21, 2026 in New York City. Michael M. Santiago/Getty Images/AFP

Global equity funds attracted inflows for a fifth consecutive week in the week through October 21, as easing Treasury yields and strong early corporate earnings lifted investor sentiment.

Global equity funds drew net inflows of $28.16 billion during the week, compared with $19.88 billion in the previous week, LSEG Lipper data showed.

The benchmark 10-year US Treasury yield fell about 15 basis points last week and dropped below the psychologically significant 5% level this week, Reuters reported.

Fund investors were encouraged by better-than-expected corporate earnings so far this reporting season.

Of the nearly 18% of MSCI All Country World Index constituents that have ⁠reported earnings to date, ⁠about 73% have exceeded the average analyst estimate, according to LSEG data.

The MSCI World Index, however, fell 1.31% on Thursday after Meta reported strong results on Wednesday but unveiled plans to issue non-voting stock, reviving concerns about its growing capital commitments.

NEW YORK, NEW YORK - OCTOBER 21: Traders work on the floor of the New York Stock Exchange during morning trading on October 21, 2026 in New York City. Michael M. Santiago/Getty Images/AFP

By region, Asian equity funds attracted $11.53 billion, their largest weekly ⁠inflow since at least December 2022. Investors also added $9.14 billion to European equity funds and $5.07 billion to US equity funds.

Among sectoral funds, technology attracted $5.05 billion, reversing net sales of $4.77 billion in the previous week. Investors also bought $1.83 billion in healthcare sector funds but sold a notable $1.29 billion in consumer discretionary sector funds.

Global bond funds remained popular for a fifth consecutive week, attracting net inflows of $9.44 billion.

Swiss franc-denominated bond funds drew $6.8 billion, their largest weekly inflow since at least November 2024. ⁠Investors also added ⁠a significant $2.78 billion to short-term bond funds, while pulling $1.68 billion from high-yield bond funds and $550 million from government bond funds.

Money market funds attracted weekly net inflows of $15.86 billion, following net outflows of $47.51 billion the previous week.

Among commodities, gold and other precious metals funds attracted net inflows of $1.29 billion, marking their fifth week of net purchases in the past six weeks. Investors also added $41.5 million to energy funds.

Data covering 29,174 emerging market funds showed that investors bought $6.28 billion worth of equity funds — the largest weekly net purchase since August 5. However, they withdrew a marginal $48.72 million from bond funds.


UK Pledges More Funding to Guard Against AI Risks

FILE PHOTO: The words "AI Artificial Intelligence", a keyboard, and a robotics hand in this illustration taken October 19, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: The words "AI Artificial Intelligence", a keyboard, and a robotics hand in this illustration taken October 19, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
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UK Pledges More Funding to Guard Against AI Risks

FILE PHOTO: The words "AI Artificial Intelligence", a keyboard, and a robotics hand in this illustration taken October 19, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: The words "AI Artificial Intelligence", a keyboard, and a robotics hand in this illustration taken October 19, 2026. REUTERS/Dado Ruvic/Illustration/File Photo

The UK government on Saturday outlined plans to expand funding for artificial intelligence safety amid growing concerns over the cyber risks posed by the increasingly advanced technology.

"The economic opportunities from AI will only be realized if our critical infrastructure, public services and businesses are resilient to cyber, biological and emerging AI-enabled threats," the government said in a statement ahead of its annual budget update on Wednesday.

Concerns about AI safety have escalated in recent months after models developed by OpenAI and Anthropic were involved in security incidents during testing, piling pressure on governments to regulate the technology and protect against threats.

As part of a package of AI-related measures in the budget, the government will invest an additional £120 million ($161 million) in Britain's AI Security Institute, which tests the most powerful AI models before they are released.

According to AFP, it will also invest £100 million to establish a national AI Biosecurity Lab, which will use AI to detect and track biological threats.

"As AI becomes more powerful, Britain must have the capabilities to protect its people and shape its own future," said AI minister Kanishka Narayan.

"That means staying ahead of emerging threats, from cyberattacks to biological risks, while building more of the critical technology our security depends on," he added.

The plans include investment in AI tools to identify cyber vulnerabilities across critical infrastructure.

Governments and companies around the world shut down websites Thursday as they raced to protect themselves from hacks after AI models uncovered critical flaws in a widely used programming language called PHP.

Cybersecurity experts fear state-of-the-art AI technology could be used to hack banks, hospitals and government systems.

Last month it emerged that a rogue OpenAI model bypassed safeguards during training and hacked an Australian government health statistics website.