Saudi Arabia, US Enter Strategic Alliance to Establish Local Drone Infrastructure

The Saudi Excellence and Ondas' subsidiary Airobotics Ltd signed a Strategic Alliance Agreement to localize Airobotics autonomous drone systems and solutions and provide aerial data solutions to local governmental and commercial entities.
The Saudi Excellence and Ondas' subsidiary Airobotics Ltd signed a Strategic Alliance Agreement to localize Airobotics autonomous drone systems and solutions and provide aerial data solutions to local governmental and commercial entities.
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Saudi Arabia, US Enter Strategic Alliance to Establish Local Drone Infrastructure

The Saudi Excellence and Ondas' subsidiary Airobotics Ltd signed a Strategic Alliance Agreement to localize Airobotics autonomous drone systems and solutions and provide aerial data solutions to local governmental and commercial entities.
The Saudi Excellence and Ondas' subsidiary Airobotics Ltd signed a Strategic Alliance Agreement to localize Airobotics autonomous drone systems and solutions and provide aerial data solutions to local governmental and commercial entities.

The Saudi Excellence and Ondas' subsidiary Airobotics Ltd signed on Tuesday a Strategic Alliance Agreement to localize Airobotics autonomous drone systems and solutions and provide aerial data solutions to local governmental and commercial entities.

Ondas Holding is a leading provider of private industrial wireless networks and commercial drone and automated data solutions.

Saudi Excellence and Airobotics plan to jointly establish a local office in Saudi Arabia to localize Airobotics autonomous drone systems and solutions and provide aerial data solutions to local governmental and commercial entities.

The companies will work together to develop and foster an ecosystem of technology and service providers across the Kingdom by employing local staff and working closely with local partners.

Following the announcement, Ondas shares increased 20 percent.

President of Saudi Excellence Sheikh Abdullah al-Meleihi said the partnership aims to provide sophisticated autonomous drone platforms to government and commercial customers in the Kingdom.

He told Asharq Al-Awsat: "There are significant projects in the Saudi market, and as the economy expands and diversifies, demand for next-generation technologies is growing."

"Together with Airobotics, we will provide high-value technical solutions while also training Saudi cadres to work in this field."

Meleihi indicated that both companies will work together to develop and enhance an ecosystem of technology and service providers across the Kingdom, as the initiative aims to support the vision of Saudi 2030, following the guidance and support of Prince, Mohammed bin Salman, Crown Prince and Prime Minister.

The drone market is growing continuously in all military sectors and security and civil uses, and it is one of the promising sectors in the Middle East region, said Meleihi, noting that Saudi Arabia was one of the first countries to localize the drone industry.

He asserted that Excellence plans to start manufacturing this aircraft type in the Kingdom and train Saudi cadres.

Moreover, he indicated that China's DJI controls more than 70 percent of the world's drone market, expecting the need to grow from $30.6 billion in 2022 to $55.8 billion by 2030.

The Chinese company was formed in 2006 out of a college dorm room by its founder Frank Wang selling flight control components to universities and Chinese electric companies.

CEO of Airobotics Meir Kliner expresses his pride in expanding the business in the region to Saudi Arabia and being recognized and chosen by Saudi Excellence as the leading provider of drone infrastructure.

Kliner said Vision 2030 and the country's economic transformation are creating significant opportunities for Airobotics in defense and civil markets.

"Together with the Saudi Excellence company, we look forward to implementing our state-of-the-art autonomous drone technologies across Saudi Arabia and localizing these efforts for the mutual benefit of our companies and society," said the official.



Saudi Budget Shows Continued Government Spending on Mega-Projects

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
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Saudi Budget Shows Continued Government Spending on Mega-Projects

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)

Saudi Arabia’s third-quarter budget results this year reflect the government’s commitment to boosting spending on mega-projects while working to increase revenue and contain the budget deficit.
Saudi Finance Minister Mohammed al-Jadaan stressed that managing the deficit is a key priority. He outlined strategies to ensure sustainable debt management, including directing debt to high-return sectors and attracting domestic and foreign investments.
The Ministry of Finance reported a budget deficit of SAR 30.23 billion ($8.06 billion) in the third quarter, down 15.6% from the same period last year. This brought the total deficit for the first nine months of the year to SAR 57.96 billion.
Government Spending and Revenues
Government revenues grew 20% in the third quarter to SAR 309.21 billion ($82.4 billion), while spending rose 15% to SAR 339.44 billion.
Non-oil revenues increased 6% year-on-year to SAR 118.3 billion, though they were 16% lower than in the previous quarter. Oil revenues climbed 30% year-on-year to SAR 190.8 billion but dropped 10% from the second quarter.
As of the third quarter, Saudi Arabia’s actual revenues for 2024 reached SAR 956.233 billion ($254.9 billion), a 12% rise from 2023.
Saudi Arabia’s spending topped SAR 1 trillion ($266.6 billion) by the end of the third quarter, a 13% increase from SAR 898.3 billion ($239.5 billion) a year earlier. The budget deficit for this period reached SAR 57.96 billion ($15.4 billion).
Saudi Budget Outlook and Reserve Update
The Kingdom’s Finance Ministry expects 2024 revenues to reach SAR 1.172 trillion ($312.5 billion), slightly below last year’s SAR 1.212 trillion ($323.2 billion). Expenditures are projected at SAR 1.251 trillion ($333.6 billion), with a budget deficit of SAR 79 billion ($21 billion), close to last year’s SAR 80.9 billion ($21.5 billion). By the end of the third quarter, the general reserve balance stood at SAR 390 billion ($104 billion), with the current account at SAR 76.7 billion ($20.4 billion) and public debt at SAR 1.157 trillion ($308.7 billion).
Vision 2030 Projects, Economic Reforms
Shura Council member Fadhel al-Buainain attributed the spending increase to Vision 2030 projects and social welfare programs, noting a 6% rise in non-oil revenues and a 16% boost in oil revenues.
He stressed that these gains contribute to financial stability and diversification efforts.
Enhanced Services and Growth Sectors
Dr. Mohammed Makni, Assistant Professor of Finance & Investment at Imam Muhammad ibn Saud Islamic University, highlighted the government’s focus on improving health, education, and quality of life, which are part of Vision 2030 goals impacting citizen services.
Speaking to Asharq Al-Awsat, Makni explained that Saudi Arabia’s recent expansionary spending aims to complete Vision 2030 projects.
He added that the third-quarter budget reflects positive growth across oil and non-oil activities, which have boosted revenues.
Economist Dr. Mohammed al-Qahtani pointed out that non-oil sectors and efficient spending helped reduce the third-quarter deficit.
He cited strong growth in tourism, culture, and entertainment as key contributors to non-oil revenues. Al-Qahtani expects continued improvement in the fourth quarter, especially if oil prices strengthen.