Saudi Arabia Seeks to Become Global Logistics Hub

Saudi Transport Minister Saleh al-Jasser speaks at the Supply Chain and Logistics Conference in Riyadh. (Asharq Al-Awsat)
Saudi Transport Minister Saleh al-Jasser speaks at the Supply Chain and Logistics Conference in Riyadh. (Asharq Al-Awsat)
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Saudi Arabia Seeks to Become Global Logistics Hub

Saudi Transport Minister Saleh al-Jasser speaks at the Supply Chain and Logistics Conference in Riyadh. (Asharq Al-Awsat)
Saudi Transport Minister Saleh al-Jasser speaks at the Supply Chain and Logistics Conference in Riyadh. (Asharq Al-Awsat)

Saudi Arabia aims to become one of the most important countries in the world in contributing to supply chains, announced Transport Minister Saleh al-Jasser.

Jasser inaugurated the 5th edition of the Supply Chain and Logistics Conference in Riyadh.

The conference, held under the theme "Towards a sustainable supply chain to boost the circular economy," featured several ministers, senior officials, and heads of companies operating in the supply chain and logistics sector.

The two-day conference will feature 64 speakers from different countries and over 100 entities from the public and private sectors. It aims to promote discussions on various supply chain and logistics issues.

Fifty-two agreements were signed to strengthen supply chains and logistics operations during the conference's opening session.

Over the course of the event, participants will discuss the flexibility and sustainability of supply chains for the transition towards a circular economy, the development of specialized supply chains within the Kingdom, and the role of global supply chains in enhancing distribution operations.

At the conference, the Logisti platform is one of the transport and logistics initiatives under the National Industrial Development and Logistics Program (NIDLP) that offers critical commercial activities through the land, sea, and rail transport sectors.

In his opening speech, Jasser said the Kingdom is witnessing successive and unprecedented leaps in the development of the transport and logistics sector with the support of the Saudi leadership.

He added that progress has been visible in the sector since Prince Mohammed bin Salman, Crown Prince and Prime Minister, launched the National Transport and Logistics Strategy.

The Strategy seeks to transform Saudi Arabia into a global logistics hub by effectively utilizing its strategic location.

The Minister reviewed the significant growth and development in the performance and efficiency of the Saudi logistics sector and the substantial and promising opportunities in the sector's services and economies.

To enhance the efficiency of its work, the Crown Prince launched the Master Plan for Logistics Centers, which calls for the formation of 59 centers with a total area of more than 100 million square meters across the Kingdom.

Jasser pointed out that his Ministry also launched initiatives to enhance the sector's performance, re-engineer processes, and apply international best practices to consolidate the Kingdom's position as a global logistics hub.

The Saudi logistics sector witnessed notable achievements during 2023 after the Kingdom jumped 17 spots globally in the Logistics Performance Index issued by the World Bank, advancing from 55th to 38th position.

Jasser said international and local investors are keenly interested in the sector.

"In the past two years, many agreements were signed to establish 12 logistics parks," he remarked.

The logistic zones are located at Jeddah Islamic Port, Dammam's King Abdulaziz Port, and King Fahd Industrial Port in Yanbu with a total investment of approximately $1.11 billion and are set to create over 13,000 direct and indirect jobs in the logistics sector.

The Kingdom jumped eight spots internationally according to the ranking of the London-based maritime journal Lloyd's List classification of the world's 100 largest ports by container handling volumes.

Jasser said the Saudi railway sector has also made substantial progress, adding that over 12 million tons of goods have so far been transported via rail service in the Kingdom, representing a 13 percent growth compared to the same period in 2022.

He stressed that the expansion of rail transportation also helped reduce around 970,000 truck journeys on the roads.

In the first half of the year, the Kingdom's air transport sector also experienced substantial growth in air traffic, passenger numbers, and air cargo operations. It is aligned with the aviation strategy which aims to increase air cargo capacity to 4.5 million tons and expand air connections to 250 destinations by 2030.

The significant progress in the logistics sector came with the support and empowerment of Crown Prince Mohammed and his continuous support to strengthen the Kingdom's position as a global logistics center following the targets of the National Strategy for Transport and Logistics.

Jasser stressed that the transport and logistics services system integrates its efforts with the public and private sectors to enhance supply chains and improve the Kingdom's ranking among the top ten countries in the Logistics Performance Index by 2030.



Saudi PIF Backs Multibillion-Dollar Projects to Boost Sustainability

A solar power project in Saudi Arabia (SPA)
A solar power project in Saudi Arabia (SPA)
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Saudi PIF Backs Multibillion-Dollar Projects to Boost Sustainability

A solar power project in Saudi Arabia (SPA)
A solar power project in Saudi Arabia (SPA)

Saudi Arabia’s Public Investment Fund has fully allocated the proceeds of its green bond issuance, directing $9 billion to eligible projects, in a move that highlights the sovereign wealth fund’s growing role in shaping a more sustainable future and delivering lasting positive impact worldwide.

According to a recent report issued by the Public Investment Fund, reviewed by Asharq Al-Awsat, the expected impact of the fund’s eligible green projects includes generating 427 megawatts of renewable energy, avoiding emissions equivalent to 5.1 million tons of carbon dioxide, and treating 4 million cubic meters of wastewater.

The Public Investment Fund aims to establish itself as an active participant in global debt markets, while also fostering the development of a dynamic domestic market. This would enable the fund to access short- or long-term liquidity through a diverse range of financing instruments.

Financing strategy

The fund’s capital markets program aims to further strengthen its financing strategy and execution capabilities, both at the level of the Saudi sovereign wealth fund and across its portfolio companies, while enabling deeper engagement with global and local debt markets.

The program will also support expanding the fund’s capacity to raise debt and deploy it as a source of investment financing, in line with its overall funding strategy. This approach is designed to instill greater discipline in cash flow management and enhance returns on equity for the fund and its portfolio companies.

The green bond issuance will provide the fund with access to a broader pool of investors who prioritize environmental, social, and governance considerations in their investment decisions. It will also allow investors to diversify their portfolios through green assets, a step expected to help accelerate the pace of green investment globally.

Climate change

The fund has taken concrete steps to advance governance and policy, focusing on sustainability, and is a founding member of the One Planet Sovereign Wealth Funds initiative. This international platform aims to accelerate the integration of climate change considerations into asset management decisions and investment opportunities.

As an investment vehicle, the Public Investment Fund operates through acquiring stakes in companies aligned with its mandate, including ACWA Power and Lucid.

It has also established the Saudi Investment Recycling Company, a leader in waste management and recycling, manages the National Energy Services Company, Tarshid, and supports the creation of a voluntary carbon market in the Middle East and North Africa.

These efforts aim to strengthen Saudi Arabia’s position as one of the world’s most energy-efficient countries.

The green bond issuance will finance tangible projects on the ground, helping to accelerate the green transition and advance the Kingdom’s core targets of achieving net zero emissions by 2060 and generating 50 percent of electricity consumption from renewable energy sources by 2030.

This forms a key pillar of the renewable energy program implemented by the fund, which involves developing 70 percent of renewable power generation capacity.


Saudi E-Commerce Hits Record Monthly Sales over SAR30.7 Billion in October

A view of Riyadh, Saudi Arabia. (SPA file)
A view of Riyadh, Saudi Arabia. (SPA file)
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Saudi E-Commerce Hits Record Monthly Sales over SAR30.7 Billion in October

A view of Riyadh, Saudi Arabia. (SPA file)
A view of Riyadh, Saudi Arabia. (SPA file)

E-commerce sales in Saudi Arabia via "mada" cards soared to an all-time monthly high in October 2025, surpassing SAR30.7 billion.

The surge in sales represents a 68% year-on-year increase, totaling about SAR12.4 billion more than the SAR18.3 billion recorded in October 2024, according to the Saudi Central Bank (SAMA) statistical bulletin on Wednesday.

E-commerce sales for the third quarter (Q3) of 2025 hit SAR88.3 billion, up 15.2% from the previous quarter, representing an increase of about SAR11.6 billion over the SAR76.6 billion recorded in Q2.

On a monthly basis, e-commerce sales in October rose 6%, gaining approximately SAR1.6 billion over September’s total of SAR29.1 billion.

From January to October, "mada" data showed e-commerce sales grew 47.3%, rising by around SAR9.9 billion over the SAR20.9 billion recorded in January.

These figures cover transactions made via "mada" cards on e-commerce websites, apps, and digital wallets, and do not include credit-card payments.


Jeddah's King Abdulaziz Airport Launches First Direct Flight to Moscow

The expansion supports Jeddah Airports Company’s goal of broadening travel options and increasing air traffic revenue, leveraging the Kingdom's strategic location. (SPA)
The expansion supports Jeddah Airports Company’s goal of broadening travel options and increasing air traffic revenue, leveraging the Kingdom's strategic location. (SPA)
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Jeddah's King Abdulaziz Airport Launches First Direct Flight to Moscow

The expansion supports Jeddah Airports Company’s goal of broadening travel options and increasing air traffic revenue, leveraging the Kingdom's strategic location. (SPA)
The expansion supports Jeddah Airports Company’s goal of broadening travel options and increasing air traffic revenue, leveraging the Kingdom's strategic location. (SPA)

Jeddah's King Abdulaziz International Airport (KAIA) celebrated the launch of its first direct flynas flight to Moscow, operating three weekly flights between Jeddah and Vnukovo International Airport.

This initiative, in partnership with the Saudi Tourism Authority and the Air Connectivity Program, boosts air links between Saudi Arabia and Russia.

It marks KAIA's third direct Russian destination, following Makhachkala and Mineralnye Vody, which were inaugurated earlier this month by Azimuth Airlines.

The expansion supports Jeddah Airports Company’s goal of broadening travel options and increasing air traffic revenue, leveraging the Kingdom's strategic location.