EU Summit Highlights Fair Jobs, Economic Growth

EU Summit Highlights Fair Jobs, Economic Growth
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EU Summit Highlights Fair Jobs, Economic Growth

EU Summit Highlights Fair Jobs, Economic Growth

More than 20 EU leaders met in the Swedish city of Gothenburg on Friday to discuss social issues, including jobs, economic growth, education and culture, for the first such summit in 20 years.

The summit, named the Social Summit, aims to provide EU member states with new impetus to ensure that citizens have access to jobs with fair working conditions and that the labor market can remain competitive in the face of global and demographic changes.

Swedish Prime Minister Stefan Löfven, who co-chaired the meeting with European Commission President Jean-Claude Juncker, said the summit was timely and highly needed to refocus the energies of the EU and member states on social welfare.

"Our economies and the world of business have changed drastically, which means our challenges are also changing, and we need new solutions to tackle them," Leuven said.

"These changes in the labor market, especially after the 2008 financial crisis, have led citizens to have growing political distrust," he added. "It is time for us to put people at the top of our priorities."

EU leaders participating in the meeting are expected to endorse a set of key principles called the "European Pillar of Social Rights" aimed at providing guidance to countries on how to enhance their social systems.

Non-binding recommendations call for improved access to the labor market, fair working conditions including wages that can provide a "decent standard of living" and social protection such as child care, health care and housing assistance for the homeless.

Juncker said that the main task, after the Summit, will be to ensure that these recommendations have an impact on every State in the European Union.

He also hoped that the Social Pillar won't be just a list of ambitious wishes. He expressed his desire that legislative proposals be launched, noting that "some of them are on the way."



Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
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Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)

As Saudi companies start reporting their Q2 financial results, experts are optimistic about the transport and logistics sector. They expect a 10% annual growth, with total net profits reaching around SAR 900 million ($240 million), driven by tourism and an economic corridor project.

In Q1, the seven listed transport and logistics companies in Saudi Arabia showed positive results, with combined profits increasing by 5.8% to SAR 818.7 million ($218 million) compared to the previous year.

Four companies reported profit growth, while three saw declines, including two with losses, according to Arbah Capital.

Al Rajhi Capital projects significant gains for Q2 compared to last year: Lumi Rental’s profits are expected to rise by 31% to SAR 65 million, SAL’s by 76% to SAR 192 million, and Theeb’s by 23% to SAR 37 million.

On the other hand, Aljazira Capital predicts a 13% decrease in Lumi Rental’s net profit to SAR 43 million, despite a 44% rise in revenue. This is due to higher operational costs post-IPO.

SAL’s annual profit is expected to grow by 76% to SAR 191.6 million, driven by a 29% increase in revenue and higher profit margins.

Aljazira Capital also expects a 2.8% drop in the sector’s net profit from Q1 due to lower profits for SAL and Seera, caused by reduced revenue and profit margins.

Mohammad Al Farraj, Head of Asset Management at Arbah Capital, told Asharq Al-Awsat that the sector’s continued profit growth is supported by seasonal factors like summer travel and higher demand for transport services.

He predicts Q2 profits will reach around SAR 900 million ($240 million), up 10% from Q1.

Al Farraj highlighted that the India-Middle East-Europe Economic Corridor (IMEC), linking India with the GCC and Europe, is expected to boost sector growth by improving trade and transport connections.

However, he warned that companies may still face challenges, including rising costs and workforce shortages.