COP16 Riyadh Gathers Policymakers to Combat Desertification, Restore Land

Saudi Arabia’s Environment Minister Abdulrahman Al-Fadli assumes the Kingdom’s presidency of COP16 in Riyadh. (Asharq Al-Awsat)
Saudi Arabia’s Environment Minister Abdulrahman Al-Fadli assumes the Kingdom’s presidency of COP16 in Riyadh. (Asharq Al-Awsat)
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COP16 Riyadh Gathers Policymakers to Combat Desertification, Restore Land

Saudi Arabia’s Environment Minister Abdulrahman Al-Fadli assumes the Kingdom’s presidency of COP16 in Riyadh. (Asharq Al-Awsat)
Saudi Arabia’s Environment Minister Abdulrahman Al-Fadli assumes the Kingdom’s presidency of COP16 in Riyadh. (Asharq Al-Awsat)

Policymakers, international organizations, companies, NGOs and key stakeholders gathered in Riyadh on Monday to address global challenges like land degradation, drought, and desertification at the 16th United Nations Convention to Combat Desertification (COP16).

Saudi Arabia was elected president of COP16 during the opening session, beginning a two-year term to lead efforts in land restoration and fighting desertification.

The COP16 summit in Riyadh came as an opportunity to highlight the vital link between land, oceans, and climate, noting that 75% of freshwater comes from cultivated land, while plants protect 80% of global soil.

Saudi Arabia’s Environment Minister Abdulrahman Al-Fadli said hosting the event reflects the Kingdom’s commitment to environmental efforts. He warned that over 100 million hectares of land degrade each year, affecting 3 billion people and costing the global economy more than $6 trillion annually.

Environmental challenges

Saudi Arabia is ramping up efforts under the United Nations Convention to Combat Desertification to address major environmental challenges and strengthen synergies with other global agreements, including the Rio Conventions on climate change and biodiversity, Al-Fadli stressed.

He highlighted that the Middle East is one of the regions most affected by land degradation, drought, and desertification. Saudi Arabia, he said, is working closely with international partners to tackle these issues.

To achieve its goals, the government has adopted a National Environmental Strategy, created a dedicated fund and five specialized centers, updated regulations to align with global standards, and launched initiatives to curb pollution, boost vegetation cover and improve waste management and climate research.

The minister also pointed to the Saudi Green Initiative, which aims to rehabilitate 40 million hectares of degraded land and expand protected areas to cover 30% of the Kingdom by 2030. This ambitious target was announced in 2021, more than a year before the global goal was set in Montreal in late 2022.

Renewable energy

Saudi Arabia is also working to generate 50% of its energy from renewable sources by 2030 and cut carbon dioxide emissions, Al-Fadli said. The Kingdom has adopted a National Water Strategy to preserve resources and launched recycling projects to promote sustainability.

Al-Fadli noted that Saudi Arabia has also introduced a National Agricultural Strategy to improve production efficiency and sustainably manage farmland, along with a National Food Security Strategy aimed at reducing food loss and waste.

He warned that biodiversity loss and the worsening effects of climate change threaten basic life necessities such as air, water, and food, impacting over 1.8 billion people globally and driving higher migration rates. He emphasized the need for unified international efforts to confront these global challenges.

He added that the UN Convention to Combat Desertification provides a framework for collective action and global collaboration.

Saudi Arabia, he said, is committed to restoring degraded land, expanding green spaces and fostering innovation for sustainable solutions.

The Kingdom also aims to strengthen partnerships among governments, the private sector, local communities, and NGOs, while adopting binding tools to bolster international cooperation.

Moreover, Saudi Arabia unveiled three major initiatives at COP16 to address drought, backed by over $150 million to boost global preparedness.

The Kingdom also introduced an observatory and an atlas, aiming to improve monitoring, prevention, and awareness of drought worldwide.

A UN report released ahead of the summit highlighted the growing crisis of land degradation, linking unsustainable farming to 80% of deforestation, 70% of freshwater use, and nearly a quarter of greenhouse gas emissions. It also classified 46% of global land as dry, stressing the need for urgent action.



Fitch Affirms Saudi Arabia’s Credit Rating at ‘A+’ with Stable Outlook

FILE PHOTO: The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London,Britain, March 3, 2016. REUTERS/Reinhard Krause/File Photo
FILE PHOTO: The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London,Britain, March 3, 2016. REUTERS/Reinhard Krause/File Photo
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Fitch Affirms Saudi Arabia’s Credit Rating at ‘A+’ with Stable Outlook

FILE PHOTO: The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London,Britain, March 3, 2016. REUTERS/Reinhard Krause/File Photo
FILE PHOTO: The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London,Britain, March 3, 2016. REUTERS/Reinhard Krause/File Photo

Fitch Ratings has affirmed Saudi Arabia’s sovereign credit rating at A+ with a stable outlook, according to a report issued by the agency on Friday.

The agency said the Kingdom’s credit profile reflects the strength of its fiscal position, noting that its government debt-to-GDP ratio and net sovereign foreign assets are significantly stronger than the medians for both the “A” and “AA” rating categories.

Fitch also highlighted Saudi Arabia’s substantial financial buffers, including deposits and other public sector assets.

The ratings agency projected real GDP growth of 4.8% in 2026 and expects the fiscal deficit to narrow to 3.6% of GDP by the end of 2027.

Fitch also said non-oil revenues are expected to continue benefiting from strong economic activity and improved revenue efficiency.

The agency praised the momentum of economic reforms, including the updated investment system and the continued opening of the real estate and equity markets to foreign investors.


Oil Prices Rise 1% as Supply Risks Remain in Focus

The Nave Photon, carrying crude oil from Venezuela, is docked at Port Freeport in Freeport, Texas, US, January 15, 2026. REUTERS/Antranik Tavitian
The Nave Photon, carrying crude oil from Venezuela, is docked at Port Freeport in Freeport, Texas, US, January 15, 2026. REUTERS/Antranik Tavitian
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Oil Prices Rise 1% as Supply Risks Remain in Focus

The Nave Photon, carrying crude oil from Venezuela, is docked at Port Freeport in Freeport, Texas, US, January 15, 2026. REUTERS/Antranik Tavitian
The Nave Photon, carrying crude oil from Venezuela, is docked at Port Freeport in Freeport, Texas, US, January 15, 2026. REUTERS/Antranik Tavitian

Oil prices rose over 1% on Friday as supply risks remained in focus despite the receding likelihood of a US military strike against Iran.

Brent crude was up 84 cents, or 1.3%, to $64.60 a barrel at 1413 GMT, on course for a fourth consecutive weekly gain. US West Texas Intermediate was up 80 cents, or 1.4%, to $59.99.

At those levels, Brent was on course for a 2% weekly gain and WTI for a 1.4% gain. Brent ⁠was up a little more than $1 at its intraday peak as investors continue to weigh the potential for supply outages should tensions in the Middle East escalate, Reuters reported.

"While geopolitical tensions in the Middle East have eased, they have not disappeared, and market participants remain concerned about potential supply disruptions," said UBS analyst Giovanni Staunovo.

Both benchmarks hit multi-month highs this week ⁠after protests flared up in Iran and US President Donald Trump signaled the potential for military strikes, but lost over 4% on Thursday as Trump said that Tehran's crackdown on the protesters was easing, allaying concerns of possible military action that could disrupt oil supplies.

"Above all, there are worries about a possible blockade of the Strait of Hormuz by Iran in the event of an escalation, through which around a quarter of seaborne oil supplies flow," Commerzbank analysts said in a note.

"Should there be signs of a sustained easing on ⁠this front, developments in Venezuela are likely to return to the spotlight, with oil that was recently sanctioned or blocked gradually flowing onto the world market."

Meanwhile, analysts expect higher supply this year, potentially creating a ceiling for the geopolitical risk premium on prices.

"Despite the steady drumbeat of geopolitical risks and macro speculation, the underlying balance still points to ample supply," said Phillip Nova analyst Priyanka Sachdeva.

"Unless we see a genuine revival in Chinese demand or a meaningful bottleneck in physical barrel flows, oil looks range-bound, with Brent broadly hovering between $57 and $67."


Gold Eases as Strong US Data, Easing Geopolitical Tensions Sap Momentum

FILE PHOTO: A saleswoman displays a gold necklace inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 7, 2019. REUTERS/Rupak De Chowdhuri/File Photo
FILE PHOTO: A saleswoman displays a gold necklace inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 7, 2019. REUTERS/Rupak De Chowdhuri/File Photo
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Gold Eases as Strong US Data, Easing Geopolitical Tensions Sap Momentum

FILE PHOTO: A saleswoman displays a gold necklace inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 7, 2019. REUTERS/Rupak De Chowdhuri/File Photo
FILE PHOTO: A saleswoman displays a gold necklace inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 7, 2019. REUTERS/Rupak De Chowdhuri/File Photo

Gold prices ticked lower on Friday, extending losses from the previous session, as stronger-than-expected US economic data and easing geopolitical tensions in Iran hampered bullion's bullish momentum.

Spot gold eased 0.3% to $4,603.02 per ounce by 0918 GMT. However, the metal is poised for a weekly gain of about 2% after scaling a record peak of $4,642.72 on Wednesday. US gold futures for February delivery edged 0.4% lower to $4,606.70.

"There was ‌a lot of ‌momentum in the (gold) market, which seems to ‌have ⁠faded slightly ‌at the moment....the economic news flow out of the US has been causing some headwinds rather than tailwinds as of late, which is reflected in a somewhat stronger US dollar," said Julius Baer analyst Carsten Menke.

The US dollar hovered near a six-week high on the back of positive economic data on Thursday showing initial jobless claims dropped 9,000 ⁠to a seasonally adjusted 198,000 last week, below economists' forecast of 215,000.

A firmer ‌dollar makes greenback-priced bullion more expensive for overseas ‍buyers. On the geopolitical front, people ‍inside Iran, reached by Reuters on Wednesday and Thursday, said ‍protests appeared to have abated since Monday.

Safe-haven gold tends to do well during times of geopolitical and economic uncertainty. Meanwhile, gold demand in India stayed muted this week as prices hit record highs again, taking the shine off retail buying, while bullion traded at a premium in China as demand remained steady ahead of the Lunar ⁠New Year.

Spot silver shed 1.1% to $91.33 per ounce, although it was headed for a weekly gain of over 14% after hitting an all-time high of $93.57 in the previous session. "The silver market seemed very determined to reach the $100 per ounce threshold before moving lower again....speculative traders are keeping an eye on that level even though it would not be sustainable in the medium to longer-term," Menke added.

Spot platinum dropped 2.7% to $2,345.78 per ounce, and was set to gain more than 3.1% for the week so far. Palladium lost 2.6% to $1,755.04 per ‌ounce, after hitting a more than one-week low earlier, and was headed for a weekly loss of 3.3%.