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Moody's: SAMA Deal with Ripple Provides $400 Million to Banks

SAMA Logo
SAMA Logo
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Moody's: SAMA Deal with Ripple Provides $400 Million to Banks

SAMA Logo
SAMA Logo

The agreement between Saudi Arabian Monetary Authority (SAMA) and US-based financial technology company Ripple in managing a cross-border transaction of local banks will translate to savings of roughly $200-$400 million per year system-wide, according to credit rating agency Moody's.

On Wednesday, Asharq Al-Awsat reported Arab Exchange Market (AEM) Sec-Gen Fadi Khalaf as saying: "the cost of remittances is about 60 percent lower than cash transfers."

Ripple signed an agreement with SAMA to create the pilot program for cross-border payments, the first of its kind to be launched by a central bank. The agreement will allow participating Saudi banks to explore a solution for cross-border transactions using distributed ledger technology (DLT, or blockchain).

Khalaf indicated that Emirati banks are aiming for similar agreements.

Earlier last week, UAE Exchange entered into an agreement with Ripple to facilitate real-time cross-border remittance payments as it looks to bring the cost of transactions down for its customers.

Chief executive of UAE Exchange Group indicated that the early adoption of this "game-changing technology allows us to offer a competitive service, as it will have an impact on the speed and cost of cross-border transactions."

Ripple's Current program is expected to be implemented by SAMA to enable local banks to deploy cross-border transfers. Saudi Arabia has a large number of expatriate workers, who make a large number of transfers to their countries.

World Bank figures suggest the cost of such transactions is typically 7.1 percent of their overall value, but Moody's said this could halve if blockchain technology was adopted.

Last year, Bank of England completed a proof of concept with Ripple and concluded that DLT showed promise at enabling two separate real-time gross settlement systems to communicate and achieve seamless global interoperability.

Sec-Gen of AEM announced that a number of Arab investors began to consider investing in cryptocurrency after the recent gains, not to mention the bitcoin that peaked at $19 thousand per unit by the end of last year.

Speaking to Asharq Al-Awsat on the sidelines of the Capital Markets Summit in Cairo on Tuesday, Khalaf stated that the future of cryptocurrency in the world will be great, and the Arab region will join the wave.

SAMA said in a statement that it continues to support innovation in the field of digital payments by encouraging local banks to use the latest technologies and methods in this field.

The authority signed an agreement with Ripple two weeks ago in cooperation with a number of local banks to use the company's foreign remittance technology, a new technology that contributes to speeding up payments between countries and reducing their cost. A number of local banks will participate in the initial experience of this technology.

The agreement does not include the company's digital currency (XRP) or the purchase of shares in it, but the project is limited to the experience of transfers between local banks and some banks involved in service in other countries to accelerate these trans-boundary transfers.

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Business

Gulf-Iraq Inaugurate Electricity Interconnection Project

Group photo of officials during project inauguration in Khobar, Saudi Arabia (Saudi Ministry of Energy)
Group photo of officials during project inauguration in Khobar, Saudi Arabia (Saudi Ministry of Energy)
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Gulf-Iraq Inaugurate Electricity Interconnection Project

Group photo of officials during project inauguration in Khobar, Saudi Arabia (Saudi Ministry of Energy)
Group photo of officials during project inauguration in Khobar, Saudi Arabia (Saudi Ministry of Energy)

Governor of Saudi Arabia’s Eastern Region Prince Saud bin Naif bin Abdulaziz inaugurated the electrical grid interconnection project between Iraq and the Gulf Cooperation Council Interconnection Authority (GCCIA) on Thursday.

During the inauguration ceremony, Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman stated that the initiation of the project represents one of the initiatives aimed at strengthening cooperation between the Gulf countries and Iraq in economic and social domains.

He emphasized that the electricity connection is a trend adopted by many countries due to its ability to enhance the security and stability of interconnected networks, maximize economic benefits, increase the capacity to integrate renewable energy sources, and contribute to the creation of regional and international markets for the exchange and export of electrical energy.

Prince Abdulaziz further added that the Gulf electricity interconnection network was established based on studies that confirmed the benefits that countries can reap from.

As a result, the implementation of the first phase of the project was adopted during the Muscat Summit in 1997.

“Today, all Gulf countries witness the realized benefits of this project since its operation began in 2009,” said the energy minister.

Business

Saudi Crown Prince, Putin Hail OPEC+ Cooperation

Irving Oil workers inspect rail cars carrying crude oil at the Irving Oil rail yard terminal in Saint John, New Brunswick, March 9, 2014. (Reuters)
Irving Oil workers inspect rail cars carrying crude oil at the Irving Oil rail yard terminal in Saint John, New Brunswick, March 9, 2014. (Reuters)
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Saudi Crown Prince, Putin Hail OPEC+ Cooperation

Irving Oil workers inspect rail cars carrying crude oil at the Irving Oil rail yard terminal in Saint John, New Brunswick, March 9, 2014. (Reuters)
Irving Oil workers inspect rail cars carrying crude oil at the Irving Oil rail yard terminal in Saint John, New Brunswick, March 9, 2014. (Reuters)

Prince Mohammed bin Salman, Crown Prince and Prime Minister, and Russian President Vladimir Putin praised, during a telephone discussion on Wednesday, their cooperation within the context of the OPEC+ oil producers' group, said the Kremlin.

"The topic of ensuring stability on world energy markets was discussed in detail," a Kremlin statement on the Telegram messaging app said.

"Both sides praised cooperation within the framework of OPEC+ allowing for the adoption of timely and effective steps to ensure balance between supply and demand for oil."

The statement noted the importance of agreements reached at the group's meeting this week under which Saudi Arabia will make a deep cut to its output in July on top of a broader OPEC+ deal to limit supply into 2024.

Business

World Bank: Social Protection Policies Vital to Addressing Labor Market Exclusion in MENA

Displaced Syrian children are seen at a refugee camp near Amman, Jordan. Reuters file photo
Displaced Syrian children are seen at a refugee camp near Amman, Jordan. Reuters file photo
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World Bank: Social Protection Policies Vital to Addressing Labor Market Exclusion in MENA

Displaced Syrian children are seen at a refugee camp near Amman, Jordan. Reuters file photo
Displaced Syrian children are seen at a refugee camp near Amman, Jordan. Reuters file photo

The World Bank has said that social protection policies in the Middle East and North Africa region can play a crucial role in reducing labor market exclusion by facilitating access to productive employment, protecting workers, and providing a safety net for people that are left behind.

However, according to the report published on Wednesday, social protection policies in countries across MENA are falling short of that role.

The report identifies reform priorities to make social protection systems in MENA more inclusive and efficient. The first order of priority is to build a shock-responsive system to deliver income support and opportunities to the poor, which some MENA countries are already making good progress on.

The next priority should be to expand the coverage of social insurance among vulnerable informal workers. That should be accompanied by expanded support to enhance the productivity of informal workers and to increase the employability of youth and women — along with the elimination of barriers to women’s employment. This will require more resources, but not at any cost.

In a tight fiscal environment, MENA countries need to tackle the reform of generalized energy and food subsidies, said the report. They also need to re-design their pension systems to support active ageing, including by eliminating incentives for early retirement, the report added.

Business

IMF Says Lebanon Needs Urgent Economic Reforms to Stop Deepening Crisis

The International Monetary Fund (IMF) logo in Washington, United States, September 4, 2018. REUTERS/Yuri Gripas/File Photo
The International Monetary Fund (IMF) logo in Washington, United States, September 4, 2018. REUTERS/Yuri Gripas/File Photo
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IMF Says Lebanon Needs Urgent Economic Reforms to Stop Deepening Crisis

The International Monetary Fund (IMF) logo in Washington, United States, September 4, 2018. REUTERS/Yuri Gripas/File Photo
The International Monetary Fund (IMF) logo in Washington, United States, September 4, 2018. REUTERS/Yuri Gripas/File Photo

Lebanon must take urgent action on comprehensive economic reforms to avoid "irreversible consequences" for its economy, the International Monetary Fund said on Thursday.

IMF spokesperson Julie Kozack told reporters that IMF staff concluded an Article 4 consultation with Lebanese authorities on June 1, and concluded that reforms were urgently needed to arrest the "severe and deepening crisis" facing the economy, Reuters reported.

"Lebanon needs urgent action to implement a comprehensive economic reform program to arrest the severe and deepening crisis and to allow Lebanon's economy to recover," Kozack said, adding that the IMF was concerned that delays in implementing key reforms were keeping the economy severely depressed.

"We are concerned about irreversible consequences for the economy, especially for the poor citizens of Lebanon and the middle class," she said.

Kozack said the IMF remained engaged and was willing to support Lebanon, but the country would also need strong financial support from the broader international community to cover the "very large financial needs" it faces in coming years.

To that end, it was critical that the Lebanese government secure broad political support to implement the economic reforms that were agreed with IMF staff in April 2020 to end the current crisis, she said.

Kozack said IMF official Jihad Azour, a former Lebanese finance minister, was on temporary leave to avoid any perceived conflict of interest after his nomination by Lebanon's opposition, independent and main Christian parties to challenge Hezbollah-backed candidate Suleiman Franjieh for the presidency.

Azour, who heads the IMF's Middle East and Central Asia department, had temporarily relinquished his duties at the global lender and was now on leave "in order to avoid any perception of conflict of interest," she said.

Lebanon has had no head of state since President Michel Aoun's term ended at the end of October, deepening institutional paralysis in a country where one of the world's worst economic crises has been festering for years.

Pro-Iranian Hezbollah, the country's main armed political force, and its Shi'ite ally Amal, had backed Franjieh, 56, heir of an old Lebanese Christian political dynasty and an ally of Syrian President Bashar al-Assad with strong ties to the ruling political establishment in Damascus.

Opposition deputies said the consensus around Azour could help him garner the 65 votes needed in a secret ballot by lawmakers in the 128-member parliament to assume the post reserved for a Maronite Christian under the country's complex sectarian power sharing regime.

 

Business

IMF Expects Saudi Non-Oil Growth to Average 5%, Current Account to 10-Year High Surplus

Petrochemical plant in Saudi Arabia (Asharq Al-Awsat)
Petrochemical plant in Saudi Arabia (Asharq Al-Awsat)
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IMF Expects Saudi Non-Oil Growth to Average 5%, Current Account to 10-Year High Surplus

Petrochemical plant in Saudi Arabia (Asharq Al-Awsat)
Petrochemical plant in Saudi Arabia (Asharq Al-Awsat)

The International Monetary Fund (IMF) maintained its positive outlook for the Saudi economy, given the non-oil strong growth momentum, which is expected to to grow at an average five percent in 2023.

The Fund indicated that the current account improved to a ten-year high surplus in 2022 amid higher oil prices and stepped-up production.

The current GDP surplus reached 13.6 percent, and some sectors exceeded the targets under Vision 2030.

Currency strength

In its latest Article IV, the Fund said that the "inflation rate remains low and appears to be easing."

It noted that inflation will be contained in 2023, and at "2.8 percent, the average CPI will be slightly higher than in 2022, even though a strong currency, subsidies, and gasoline price cap offset inflationary pressures from diminishing labor market slack and a booming non-oil economy."

The output gap is estimated to have closed during 2022, and the momentum is continuing in 2023, with nowcasting estimates "suggesting non-oil growth above 5 percent in H1 2023."

The fiscal surplus in 2022 -the first since 2013- was halved relative to the staff's initial projection of 5.5 percent of GDP.

It mainly reflects "increases in goods and services and capital spending."

Public debt

At 23 percent of GDP, public debt is low and sustainable, with fiscal space available to address potential headwinds.

The IMF reported that the "exchange rate peg to the US dollar remains appropriate given the current economic structure. It is a policy that has been serving the country well to support monetary stability."

Mortgage loans

The report pointed out that despite the mortgage boom in recent years, banking sector risks from the housing sector are assessed to be limited so far.

It stated that "achieving strong, sustained, inclusive, and greener growth" and implementing the "Vision 2030 reform agenda is continuing unimpeded towards a productive and green economy."

A "mid-way stocktaking of the objectives set under Vision 2030 has identified progress on digitalization, the regulatory and business environment, female labor force participation, and higher private sector investment, in some cases with targets set for 2030 already surpassed."

Renewable energy

The mission "welcomes ongoing plans to increase renewable energy by an additional 2.1 GW capacity by 2024, generate savings through efficiency programs (tarshid), deploy carbon Capture, Usage, and Storage technologies, and become the world's leading hydrogen exporter."

The Fund stated that the Saudi Central Bank (SAMA) intervention has helped alleviate liquidity strains as interest rate spreads have now normalized to their historical averages.

The Saudi unemployment rate is at a historical low.

Amid an increase in labor force participation, total unemployment dropped to 4.8 percent by end-2022, from nine percent during Covid, reflecting an increase in Saudi workers in the private sector and expatriate workers (mainly in the construction and agricultural sector) rising back above pre-Covid levels.

The fastest-growing economy

According to the Fund, the Kingdom was the fastest-growing G20 economy in 2022.

"Overall growth reached 8.7 percent, reflecting both strong oil production and a 4.8 percent non-oil GDP growth driven by robust private consumption and non-oil private investment, including giga projects."

The importance of initiatives

Experts pointed out that initiatives and programs undertaken by the Saudi government are essential to developing the non-oil sector, which will positively impact the national economy, expecting it to witness significant growth in the next stage.

Project implementation

Economics Professor Salem Baajaja at the University of Jeddah told Asharq Al-Awsat that the IMF confirmed the rapid growth of the Saudi economy among the G20 economies, considering the Kingdom's plans of Vision 2030 toward a prosperous economy.

Baajaja indicated that Saudi Arabia's domestic product increased by 8.7 percent due to the increase in oil and non-oil revenues together, yet consumer spending increased, reflecting the Saudi economy's growth.

Financial stability

Economic analyst Abdulrahman al-Jubairi explained that the Fund's expectations for the five percent growth projection of the non-oil sector in Saudi Arabia confirm the government's role in diversifying income sources and promoting private sector investments.

Jubairi told Asharq Al-Awsat that the Central Bank is making significant efforts to maintain financial stability, raise solvency, and promote technical infrastructure.

He added that the Kingdom could support the banking system due to its large foreign reserves and access to global markets, which reflected positively on the data and indicators of exports from international organizations.

 

Business

OECD Predicts 'Long Road' for Global Economic Recovery

 The logo of the Organization for Co-operation and Development (DPA)
 The logo of the Organization for Co-operation and Development (DPA)
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OECD Predicts 'Long Road' for Global Economic Recovery

 The logo of the Organization for Co-operation and Development (DPA)
 The logo of the Organization for Co-operation and Development (DPA)

The Organization for Economic Cooperation and Development (OECD) expressed some optimism about global growth, but warned of a “long road” before reaching a sustainable recovery.

“The global economy is turning a corner but faces a long road ahead to attain strong and sustainable growth,” OECD chief economist Clare Lombardelli wrote in the OECD’s Economic Outlook.

According to the report, which was issued at an annual ministerial meeting held at the headquarters of the OECD in Paris, the global economy is benefiting from stagnant inflation after the rise in indicators witnessed last year due to the repercussions of the war in Ukraine on energy and food prices.

In May, for example, inflation slowed significantly in the Eurozone, to 6.1 percent year on year. In the United States, it reached 4.4 percent in April, much lower than the levels reached in 2022.

This slowdown means that central banks can limit interest rate hikes, which facilitates access to credit for households and businesses, leading to a rise in consumption and thus growth.

The recent recovery of Chinese economic activity after the strict zero Covid policy is enough to revitalize the global economy, according to the organization, which expects growth in China this year to reach 5.4 percent, an increase of 0.1 points compared to March expectations, and 5.1 percent next year (+ 0.2 points).

The OECD expects growth of 0.9 percent in the Eurozone this year, up slightly by 0.1 points, after reassessing Italian GDP growth to 1.2 percent (+0.6 points).

Growth in France is expected to be 0.8 percent (+0.1 points) and zero in Germany (-0.3 points). The UK could see growth of 0.3 percent. Outside Europe, The GDP in the US is likely to grow by 1.6 per cent, and in India 6 per cent.

“The recovery will be weak by past standards,” Lombardelli wrote, noting that the growth forecast for 2024 remains unchanged at 2.9 percent.

One of the challenges that the OECD referred to is the persistence of non-energy and food inflation, which “is still high”.

“Central banks need to maintain restrictive monetary policies until there are clear signs that underlying inflationary pressures are abating,” the chief economist said.

Business

GASTAT: Saudi Economy Records 3.8% Growth in Q1 of 2023

Buildings are seen in Riyadh, Saudi Arabia, December 18, 2017. Picture taken December 18, 2017. REUTERS/Faisal Al Nasser
Buildings are seen in Riyadh, Saudi Arabia, December 18, 2017. Picture taken December 18, 2017. REUTERS/Faisal Al Nasser
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GASTAT: Saudi Economy Records 3.8% Growth in Q1 of 2023

Buildings are seen in Riyadh, Saudi Arabia, December 18, 2017. Picture taken December 18, 2017. REUTERS/Faisal Al Nasser
Buildings are seen in Riyadh, Saudi Arabia, December 18, 2017. Picture taken December 18, 2017. REUTERS/Faisal Al Nasser

The real GDP of Saudi Arabia grew by 3.8% in the first quarter of 2023, compared to Q1 of 2022.

Estimates of GDP for Q1 of 2023, issued Thursday in a report by the General Authority for Statistics (GASTAT), showed a 5.4% increase in non-oil activities in Q1 of 2022, a 4.9% increase in government activities in Q1 of 2022, and a 1.4% increase in oil activities in Q1 of 2022.

According to the report, seasonally adjusted real GDP decreased by 1.4% in Q1 of 2023 compared to Q4 of 2022.

GASTAT is the only official reference for statistical data and information in Saudi Arabia. It carries out all statistical work, as well as the technical oversight of the statistical sector. It also designs and implements field surveys, conducts statistical studies and researches, analyzes data and information, and documents and archives all works containing information and statistical data on all aspects of life in Saudi Arabia. It writes, classifies and analyses data, and extracts indicators from it.

 

 

Business

GCCIA to Begin Interconnection with Iraq

Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)
Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)
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GCCIA to Begin Interconnection with Iraq

Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)
Minister Ziyad Fadel discussed in Saudi Arabia proceeding with the Gulf interconnection project and proposals for its development (Iraqi electricity)

The Gulf Cooperation Council Interconnection Authority (GCCIA) will launch Thursday the implementation of the electrical interconnection project with the southern Iraq network, which is expected to be operational by the end of next year.

The governor of the Eastern Region, Prince Saud bin Naif bin Abdulaziz, will inaugurate the ceremony in the presence of GCC Sec-Gen Jassim al-Budaiwi, and Gulf and Iraqi ministers.

Chairman of the GCCIA Board Mohsen al-Hadrami asserted the importance of the event at the level of Gulf countries, reiterating that the project will boost cooperation with Iraq.

Hadrami indicated that energy security is one of the most important axes of cooperation developed through exchange between the GCC countries and Iraq, noting that it is the first step to expand outside the Gulf grid system by linking neighboring countries such as Turkey, Jordan, and Egypt.

The project is in line with the vision of the GGCC and the GCCIA to expand connectivity with the neighboring grid, reaching Europe, Africa, and Asia.

CEO of GCCIA Ahmed al-Ebrahim considered the interconnection project a key strategic project in the Gulf and one of the most important infrastructure interconnection projects approved by the GCC leaders.

He indicated that the project aims to achieve its main strategic goals of enhancing energy security, increasing reliability, and ensuring safety for Gulf grids.

Meanwhile, Iraqi Minister of Electricity Zial Fadhil visited the GCCIA headquarters in Saudi Arabia as part of his visit to the Kingdom.

Fadhil discussed the interconnection project and network stability.

He also reviewed the developments related to the required contracts, the stages completed, the implementation plan, and the connecting lines inside Kuwait.

In July 2022, the Gulf Interconnection Authority (GCCIA) signed the contract between its network and the electricity grid of southern Iraq on the sidelines of the Jeddah Security and Development Summit.

The contract includes the authority's construction of lines from its substation in Kuwait to the al-Faw station in southern Iraq to supply it with about 500 megawatts of energy from the Gulf countries. Construction will take about 24 months, with a total transmission capacity of 1,800 megawatts.

Last February, the authority concluded five contracts with the companies executing the project at a total cost of more than $200 million.

Business

Saudi Private Sector Seeks to Expand Business with Arab, Chinese Companies

Photo of the Investment between Saudi Arabia and China workshop, which was recently held in Riyadh (Asharq Al-Awsat)
Photo of the Investment between Saudi Arabia and China workshop, which was recently held in Riyadh (Asharq Al-Awsat)
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Saudi Private Sector Seeks to Expand Business with Arab, Chinese Companies

Photo of the Investment between Saudi Arabia and China workshop, which was recently held in Riyadh (Asharq Al-Awsat)
Photo of the Investment between Saudi Arabia and China workshop, which was recently held in Riyadh (Asharq Al-Awsat)

The Saudi private sector is intensifying efforts to maximize the benefits of the Arab-China Business Conference, which will be held next week in Riyadh.

 

The volume of trade exchange between Saudi Arabia and China is witnessing a remarkable growth, reaching SAR 1.2 trillion ($320 billion) over the past five years.

 

These figures reflect the strength and durability of the strategic economic partnership and the diversity of investment opportunities in both countries.

 

According to information obtained by Asharq Al-Awsat, the Federation of Saudi Chambers has called on the private sector to participate in the conference in order to benefit from opportunities to strengthen economic and trade relations and develop investments between China and Arab countries.

 

Riyadh is scheduled to host the 10th edition of the Arab-China Business Conference on June 11-12.

 

The conference will be held under the theme, Cooperation for Prosperity, and aims to support and strengthen the economic, trade and investment partnership between China and the Arab countries, in a step towards reaching solutions that take into account common interests through strategic cooperation.

 

The conference will provide a space for research and discussion among a group of forward-thinking executives, business leaders, investors and entrepreneurs.

 

According to a report recently issued by the Federation of Saudi Chambers, Saudi-Chinese economic relations are witnessing growth and promising prospects in light of the supportive political will. This provides wide opportunities for economic cooperation and commercial and investment partnerships between the business sectors of the two countries.

 

The report highlighted the bilateral economic relations, which represent an international model for constructive fruitful cooperation and strategic partnership, thanks to their reliance on a solid base of institutional and regulatory frameworks represented by the Saudi-Chinese joint committee, Vision 2030 and the Belt and Road initiative, as well as the Saudi-Chinese Business Council.

 

The report also shed light on the opportunities for economic integration between the Kingdom and China, in light of the Chinese Belt and Silk Road initiative, which is consistent in many aspects with Vision 2030.

 

China exports a number of products and commodities to Saudi Arabia, including electrical equipment, heavy machinery, furniture, vehicles, clothing, plastics, iron and steel, ceramic products, rubber, ready-made construction equipment, and other goods.

 

Oil, chemical industries, plastics and their products, and rubber are the most important Saudi commodities exported to China.

 

Business

Saudi, UK Discuss Developing Trade and Investment

A general view is seen of the London skyline from Canary Wharf in London, Britain, October 19, 2016. REUTERS/Hannah McKay/File Photo
A general view is seen of the London skyline from Canary Wharf in London, Britain, October 19, 2016. REUTERS/Hannah McKay/File Photo
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Saudi, UK Discuss Developing Trade and Investment

A general view is seen of the London skyline from Canary Wharf in London, Britain, October 19, 2016. REUTERS/Hannah McKay/File Photo
A general view is seen of the London skyline from Canary Wharf in London, Britain, October 19, 2016. REUTERS/Hannah McKay/File Photo

The Economic and Social Committee of the Saudi Arabia-UK Strategic Partnership Council held its third meeting in London, headed by Saudi Minister of Commerce, Dr. Majid bin Abdullah Al-Qasabi, and UK Secretary of State for the Department for Energy Security and Net Zero, Grant Shapps.

The meeting discussed improving bilateral relations and enhancing cooperation in fields agreed upon in the Strategic Partnership, in addition to highlighting the significant economic and social progress recognized since the launch of the Saudi Vision 2030.

It also reaffirmed the continuous commitment to support the goals of the vision and the Saudi program for economic diversification, in addition to working to develop trade and investment between the two kingdoms.

The Saudi-UK Strategic Partnership Council seeks to boost economic relations in several fields, mainly financial services, especially FinTech (financial technology), open banking, green finance, and priority investment sectors.

It also aims at strengthening educational partnerships, cooperation in health care (including preparedness for epidemics) and health technology, and the general development of the entire healthcare system.

This comes in addition to cooperation in carbon capture, utilization and storage, hydrogen production, renewable energy sources, space, mining, pharmaceuticals, and aviation, and partnerships in the film, heritage, arts, tourism, and entertainment sectors.

The Economic and Social Committee held its first meeting in Jeddah in 2019.