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Saudi Communications, Tech Market Valued at $44 Billion in 2023

The Saudi Communications, Space and Technology Commission building in Riyadh (the Commission’s website)
The Saudi Communications, Space and Technology Commission building in Riyadh (the Commission’s website)
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Saudi Communications, Tech Market Valued at $44 Billion in 2023

The Saudi Communications, Space and Technology Commission building in Riyadh (the Commission’s website)
The Saudi Communications, Space and Technology Commission building in Riyadh (the Commission’s website)

The size of the communications and technology market in Saudi Arabia reached SAR166 billion ($44.2 billion) during 2023, which is equivalent to a compound annual growth of 8 percent over the past six years.

This was revealed by the Communications, Space and Technology Commission on Wednesday during the 10th edition of the ICT Indicators Forum in Riyadh in the presence of an elite group of experts, specialists and sector leaders.

The event featured four main presentations, and a discussion session on the sector’s future trends. Mufarreh Nahari, the Director General of Studies at the Commission, talked about the performance indicators of the communications and technology sector, noting that the Kingdom ranks second among the G20 countries in the 2023 Communications and Technology Development Index.

Indicators also show that the rate of access to mobile communications service subscriptions has reached 198 percent of the population, while the Internet of Things subscriptions amounted to 12.6 million subscriptions.

Another presentation entitled, “Navigating the Frontiers of Innovation: Information Technology Market Trends in the Kingdom,” featured discussions by Hamza Naqshbandi, Vice President of IDC for Custom Solutions in the Middle East, Türkiye and Africa and Regional Director in Saudi Arabia and Bahrain, and Group Vice President and Director Jyoti Lalchandani, Regional General Manager for the Middle East, Türkiye and Africa at IDC.

The presentation highlighted the Kingdom’s latest innovative technologies, as spending on technology is expected to reach $18.4 billion in 2024.

A session on “The Future of the Technical Scene in the Kingdom,” examined the future horizon through the insights of market experts, with the participation of Salman Faqih, CEO of Cisco in Saudi Arabia, Fahd Al-Turaif, Vice President of the Cloud Computing Sector for the Saudi, Middle East, and North Africa Markets at Oracle and Othman Al-Hokail, partner at Merak Capital.

The forum also reviewed the “Financial Performance of the Sector in Numbers,” presented by Jassim Al-Jubran, Head of Research Department at Aljazira Capital.

Al-Jubran explained that the size of the assets of companies listed in the communications and technology sector amounts to about SAR250 billion ($66.6 billion), noting that the Kingdom’s market constituted about 37 percent of the total assets in the sector in the Gulf region.

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Business

Asian Shares Rise, Tracking Wall Street Gains as Trump Backs Down on Greenland

Traders work in front of screens at Hana Bank in Seoul (EPA)
Traders work in front of screens at Hana Bank in Seoul (EPA)
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Asian Shares Rise, Tracking Wall Street Gains as Trump Backs Down on Greenland

Traders work in front of screens at Hana Bank in Seoul (EPA)
Traders work in front of screens at Hana Bank in Seoul (EPA)

Asian shares mostly advanced on Thursday, tracking Wall Street, after US President Donald Trump walked back from imposing tariffs on eight European countries over Greenland and ruled out using military force to take control of the territory.

The future for the S&P 500 gained less than 0.1% and that for the Dow Jones Industrial Average was virtually flat on Thursday, The Associated Press reported.

Tokyo’s Nikkei 225 climbed 1.7% to 53,688.89, with technology stocks leading gains. SoftBank Group jumped 11.6% and equipment maker Disco Corp. soared 17.1%. Advantest, which makes testing equipment for computer chips, surged 5%.

South Korea’s Kospi closed 0.9% higher at 4,952.44 after crossing the 5,000 mark for the first time, as traders cheered. Technology-related stocks drove the rally. Shares of chipmaker SK Hynix picked up 2%, while Samsung Electronics rose 1.9%.

Hong Kong’s Hang Seng edged less than 0.1% higher to 26,600.68. The Shanghai Composite index edged 0.1% higher to 4,122.58.

In Australia, the S&P/ASX 200 gained nearly 0.8% to 8,848.70.

Taiwan’s Taiex rose 1.6%, while India’s Sensex added 0.2%.

US markets logged their biggest losses since October on Tuesday as investors reacted to Trump’s threat over the weekend to slap tariffs of 10% on Denmark, Norway, Sweden, Germany, France, the United Kingdom, the Netherlands and Finland for opposing US control of Greenland, sparking concerns over worsening relationships between the US and its European allies.

But Trump, attending the World Economic Forum in Davos, Switzerland, backed down on Wednesday and said he would not use force to acquire Greenland. The US president also said in a post on his social media site that he had agreed with the head of NATO on a “framework of a future deal” on Greenland and on Arctic security.

The easing tensions drove Wall Street optimism. On Wednesday, the S&P 500 climbed 1.2% to 6,875. The Dow Jones Industrial Average gained 1.2% to 49,077.23, while the Nasdaq composite also rose 1.2%, to 23,224.82.

Halliburton, the oil field services company, jumped 4.1% following stronger-than-expected profits for the latest quarter. United Airlines rose 2.2% also after better-than-expected quarterly profits. Netflix fell 2.2% even as it reported a stronger profit than expected, as investors focused on factors including a slowing growth of subscribers.

The price of gold fell 0.2% to $4,828.70 per ounce, reflecting investors’ reduced worries, after passing the $4,800 mark ahead of Trump’s reversal of stance on Greenland as many flocked to safe-haven assets.

In the bond market, US Treasury yields also eased following lessened fear among investors as well as a calming of Japan’s bond market turmoil. The yield on the 10-year Treasury eased to 4.25% from 4.30% late Tuesday.

Japan’s long-term bond yields surged to records earlier this week after Prime Minister Sanae Takaichi’s decision to call a snap election in February. That sparked concerns over her pledges to cut taxes and increase spending, which could hinder efforts to rein in government debt.

The US dollar rose to 158.75 Japanese yen from 158.27 yen, prompting analysts to speculate that authorities might intervene if the yen falls any further.

The euro rose to $1.1692 from $1.1687.

US benchmark crude oil shed 16 cents to $60.46 per barrel. Brent crude, the international standard, fell 24 cents to $65.00 per barrel.

Business

Goldman Sachs Raises 2026-end Gold Price Forecast to $5,400/oz

A customer waits his turn to trade gold behind a glass window displaying gold prices at a gold shop in Bangkok (EPA)
A customer waits his turn to trade gold behind a glass window displaying gold prices at a gold shop in Bangkok (EPA)
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Goldman Sachs Raises 2026-end Gold Price Forecast to $5,400/oz

A customer waits his turn to trade gold behind a glass window displaying gold prices at a gold shop in Bangkok (EPA)
A customer waits his turn to trade gold behind a glass window displaying gold prices at a gold shop in Bangkok (EPA)

Goldman Sachs has raised its end-2026 gold price forecast to $5,400 per ounce from $4,900/oz earlier, noting private-sector and emerging market central banks' diversification ​into gold.

Spot gold climbed to a peak of $4,887.82 per ounce on Wednesday. The safe-haven metal has climbed more than 11% so far in 2026, extending a blistering rally that saw it jump 64% last year.

"We assume private sector diversification buyers, whose purchases hedge ‌global policy ‌risks and have driven the ‌upside ⁠surprise ​to our ‌price forecast, don't liquidate their gold holdings in 2026, effectively lifting the starting point of our price forecast," the brokerage said in a note dated Wednesday.

The brokerage also expects central bank buying to average 60 tons in 2026 as ⁠emerging market central banks are likely to continue diversification of ‌their reserves into gold.

Commerzbank, last ‍week, raised its ‍gold price forecast to $4,900 by the end ‍of this year, citing increased safe-haven demand.

Business

Saudi Arabia’s National Insurance Strategy: A New Engine for Non-Oil GDP Growth

Riyadh, Saudi Arabia 
Riyadh, Saudi Arabia 
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Saudi Arabia’s National Insurance Strategy: A New Engine for Non-Oil GDP Growth

Riyadh, Saudi Arabia 
Riyadh, Saudi Arabia 

Saudi Arabia’s Cabinet approval of the National Insurance Strategy marks a major milestone for the Kingdom’s financial sector, with experts describing it as a transformative step that could reshape the role of insurance in the national economy.

Analysts say the strategy is designed to increase the insurance sector’s contribution to non-oil gross domestic product (GDP), shift the Saudi market from a largely consumer-based model to a regional insurance hub, and build a dynamic sector capable of generating economic and investment value. In this sense, insurance is positioned as a key pillar in achieving the objectives of Saudi Vision 2030.

The announcement has already had a positive impact on the Saudi stock market, where insurance companies recorded broad gains.

Fadl Al-Buainain, a member of the Saudi Shura Council and economic adviser, said the insurance sector is among the most important financial sectors due to its close links with all areas of the economy. He noted that the strategy will help unlock the sector’s potential, strengthen its foundations, and enhance the competitiveness, efficiency, and financial resilience of the Saudi insurance market, ultimately positioning it as a regional insurance center in line with Vision 2030.

Al-Buainain added that insurance is a key driver of development and economic growth, which explains the government’s focus on launching a strategy aligned with other sectoral plans. He emphasized that the initiative will improve market performance, product quality, and institutional solvency, while also prioritizing the development of national talent and the localization of insurance jobs to strengthen the sector’s contribution to national development goals.

From Regulation to Investment Powerhouse

Financial analyst Hussein Al-Raqeeb, founder and director of the ZAD Consulting Center, described the strategy as a qualitative shift in the role of insurance, from a limited regulatory function to a powerful economic and investment engine within Vision 2030.

He explained that the strategy seeks to modernize the regulatory and supervisory framework through the Insurance Authority, enhancing market efficiency, financial stability, and the protection of policyholders and beneficiaries. It also focuses on expanding insurance products for individuals, businesses, and specialized risks, moving beyond traditional offerings with limited impact.

Al-Raqeeb noted that raising public awareness of insurance remains a major challenge, as the strategy aims to reposition insurance as a tool for risk management rather than a financial burden. He added that clearer and more stable regulations will make the sector more attractive to domestic and foreign investors, boosting the regional competitiveness of the Saudi market.

The strategy also places strong emphasis on developing national capabilities through skills training, job localization, and integration with technology and innovation, particularly in the field of InsurTech. According to Al-Raqeeb, these measures will help create a more efficient and balanced insurance market that aligns profitability with consumer protection and long-term financial sustainability.

Strategic Goals and Key Targets

The National Insurance Strategy is built around three core objectives: strengthening insurance protection for individuals and businesses, developing a sustainable and efficient insurance market, and ensuring adequate coverage for national risks.

Implementation will be led by the Insurance Authority in partnership with stakeholders, through 11 strategic programs and 72 initiatives designed to deliver nine key outcomes aligned with Vision 2030 targets.

These programs cover health insurance, motor insurance, property and casualty insurance for individuals and companies, protection and savings products, reinsurance, market capacity and retention, uninsured risks, regulatory frameworks, technology and artificial intelligence, and human capital development.

Among the strategy’s most ambitious targets are expanding the size of the insurance market, increasing the sector’s contribution to GDP to 3.6 percent by 2030, doubling risk-based capital, and raising retention rates in property and casualty insurance.

The strategy also aims to increase the number of health insurance beneficiaries to 23 million, the number of insured vehicles to 16 million, and the number of jobs for national talent in the insurance sector to 38,500.

Ultimately, the strategy seeks to drive a comprehensive transformation of the Saudi insurance sector, moving it beyond a secondary service role to become a central pillar of economic growth, investment, and financial stability in the Kingdom.