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Saudi Arabia Expands Homeownership Eligibility in Government Housing Projects

A project by the Saudi Ministry of Rural Affairs and Housing. (Asharq Al-Awsat)
A project by the Saudi Ministry of Rural Affairs and Housing. (Asharq Al-Awsat)
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Saudi Arabia Expands Homeownership Eligibility in Government Housing Projects

A project by the Saudi Ministry of Rural Affairs and Housing. (Asharq Al-Awsat)
A project by the Saudi Ministry of Rural Affairs and Housing. (Asharq Al-Awsat)

Saudi Arabia’s Cabinet has approved a new decision allowing the Ministry of Municipal and Rural Affairs and Housing to sell residential units within its housing projects to individuals who are not beneficiaries of government housing support. Real estate experts view the move as a strategic shift that boosts the flexibility of public asset management and maximizes the use of available housing stock.

The decision is expected to boost supply, improve market balance, and promote sustainability in the housing sector.

According to Abdulrahman Al-Tawil, Deputy Minister for Residential Supply Stimulus and Real Estate Development, the decision aims to broaden access to homeownership by including new population segments. Families and individuals who do not qualify for housing support will now be able to purchase units or relocate between homes in new suburban developments overseen by the ministry.

Single individuals and those who previously received loans from the Real Estate Development Fund will be eligible to buy homes in projects launched within the past two years. However, non-beneficiaries will purchase units at market rates, while support recipients will continue to receive financial assistance.

Al-Tawil emphasized that each project will initially offer a four-month window of exclusive sales to support beneficiaries before opening to the wider public.

The move is also designed to align housing supply with urban demand. Al-Tawil cited over 100,000 housing units currently available in Riyadh, offering a range of ownership options that address diverse needs.

Real estate appraiser Eng. Ahmed Al-Faqih believes the decision will have a significant impact on the market by strengthening housing supply and supporting price stability.

The entry of the National Housing Company into the private market adds a new, competitive dynamic that developers must consider when pricing their products, he told Asharq Al-Awsat.

This competition, he said, will not only influence pricing but also encourage developers to prioritize quality—an essential goal of Saudi Arabia’s Vision 2030.

Real estate expert Saqr Al-Zahrani also praised the decision. Speaking to Asharq Al-Awsat, he said it addresses the issue of unsold inventory and offers homeownership opportunities to underserved citizens. He highlighted its potential to generate non-oil revenue and support long-term project sustainability without compromising the priority status of current beneficiaries.

Expanding ownership eligibility could help close gaps in the real estate market, especially in cities where ownership remains low, he added, while expecting the decision to encourage innovation in housing development and financing, further stimulating competition between public and private sectors.

On the issue of housing inflation, Al-Zahrani noted that increasing actual supply will reduce speculative activity and promote more disciplined pricing. This is especially critical for middle-income buyers who face volatility in the current market.

Effective implementation of the policy, supported by clear regulations and transparency, will be vital to achieving its intended outcomes, he remarked.

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Business

China Lines Up Second LNG Terminal For Sanctioned Russian Cargoes

Chinese and Russian flags fly at an airport in Tianjin, China August 31, 2025. Sputnik/Vladimir Smirnov/Pool via REUTERS 
Chinese and Russian flags fly at an airport in Tianjin, China August 31, 2025. Sputnik/Vladimir Smirnov/Pool via REUTERS 
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China Lines Up Second LNG Terminal For Sanctioned Russian Cargoes

Chinese and Russian flags fly at an airport in Tianjin, China August 31, 2025. Sputnik/Vladimir Smirnov/Pool via REUTERS 
Chinese and Russian flags fly at an airport in Tianjin, China August 31, 2025. Sputnik/Vladimir Smirnov/Pool via REUTERS 

China is preparing a second import terminal to handle liquefied natural gas cargoes from Russia's sanctioned Arctic LNG 2 project, expanding a ‌route that so far relies on a single facility, three sources with knowledge of the matter said.

The newly built Longkou LNG terminal in eastern China's Shandong province, operated by state pipeline giant PipeChina, is being lined up to receive Arctic LNG 2 cargoes, the sources told Reuters.

The move would provide a lifeline to the $21 billion project, which is under heavy sanctions, and to Moscow, whose gas exports have been hit by Europe's decision to halt purchases and ⁠whose oil sector faces pressure from Ukrainian attacks.

A second import terminal would allow China to take larger volumes of sanctioned Russian LNG, while giving Arctic LNG 2 - designed to produce 19.8 million metric tons a year - another export outlet.

China, the only known buyer of sanctioned Arctic LNG 2 cargoes, has so far received shipments through PipeChina's Beihai terminal in Guangxi. That facility took the project's first delivery to an offtaker in August 2025 aboard the Arctic Mulan tanker.

Since then, Beihai has received 41 cargoes, or 2.6 million tons, of LNG from Arctic LNG 2 - many via two floating storage units in Russia - according to ship-tracking data and Kpler estimates. It ‌has also ⁠received three LNG cargoes from Russia's sanctioned Portovaya terminal.

China needs an additional terminal to absorb more sanctioned cargoes, one of the sources said. All declined to be named as they were not authorized to speak to media.

The world's largest LNG importer, China bought 7.57 million tons from Russia last year, according to Chinese customs data.

Longkou is seen as a logical choice because, like Beihai, it is operated by PipeChina ⁠and is closer to the Koryak floating storage unit in Russia's Far East, where Arctic LNG 2 cargoes are stored and reloaded, the sources said.

An industry executive said Longkou has completed its mechanical build phase and should be ready before October, in time for peak winter ⁠demand.

Under its completed first phase, the Longkou terminal in the coastal city of Yantai has an annual receiving capacity of 5 million tons, compared with 6 million tons at Beihai.

PipeChina's Dalian LNG terminal in northeastern China is also being discussed as ⁠a potential future receiving point, a fourth source said.

Novatek has recently stepped up hiring in China, a separate source said.

Reuters reported last year that Novatek has cut cargo prices by 30% to 40% since August 2025 to attract Chinese buyers despite sanctions.

 

Business

BofA Expects Fed to Hike Interest Rates 75 Basis Points in 2026

The Federal Reserve building in Washington. (Reuters)
The Federal Reserve building in Washington. (Reuters)
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BofA Expects Fed to Hike Interest Rates 75 Basis Points in 2026

The Federal Reserve building in Washington. (Reuters)
The Federal Reserve building in Washington. (Reuters)

Bank of America (BofA) expects the Federal Reserve to hike interest rates by 75 basis points in 2026, it said on Monday, citing resilient economic data and rising expectations of a hawkish Fed under new Chair Kevin Warsh.

BofA Global Research said in a note it expects the US central bank to raise rates in September, October, and December, compared with its prior forecast ⁠for no change this year, according to Reuters.

BofA's view is contrary to current 2026 outlooks of top Wall Street brokerages and comes after the Fed left its benchmark rate unchanged earlier this month, even as almost half of Fed policymakers indicated that they now expect rates to rise this year.

The policymakers' more hawkish outlook is accompanied by strength in the labor market and elevated inflation concerns.

“June Summary of Projections and ⁠Warsh's comments indicate that the Fed's reaction function is much more hawkish than we thought,” analysts at BofA said in a note.

In contrast to BofA's call, markets are pricing in 42 bps of hikes ⁠in 2026, according to London Stock Exchange Group (LSEG) data.

After three rate hikes this year, BofA analysts expect the central bank to keep interest rates on hold in ⁠2027.

“Inflation is likely to remain sticky, keeping the real policy rate from becoming overly restrictive,” they said.

Brokerages including BNP Paribas ⁠and Macquarie are also among the minority that expect the central bank to start hiking rates this year.

Business

Yanbu Commercial Port Boosts Operational Efficiency by Serving 11 Vessels Simultaneously

The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)
The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)
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Yanbu Commercial Port Boosts Operational Efficiency by Serving 11 Vessels Simultaneously

The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)
The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system. (SPA)

Saudi Arabia’s Yanbu Commercial Port achieved a new operational milestone by successfully serving 11 vessels simultaneously of various sizes and cargo capacities, reflecting the port's high level of operational readiness, reported the Saudi Press Agency on Monday.

The achievement underscores the efficiency of the port's operations and its ability to manage maritime and commercial traffic with a high degree of effectiveness.

It contributes to smoother import and export activities and supports the continuity of supply chains in accordance with the highest operational and logistical standards.

The accomplishment builds on the vital role of Yanbu Commercial Port in strengthening Saudi Arabia's maritime transport system and reinforcing its position as a key logistics hub on the Red Sea coast.

It also supports economic growth and enhances the competitiveness of the maritime and commercial sectors.