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Establishing Qiddiya Investment Company Supports Saudi Entertainment Industry

Qiddiya Sign (Asharq Al-Awsat)
Qiddiya Sign (Asharq Al-Awsat)
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Establishing Qiddiya Investment Company Supports Saudi Entertainment Industry

Qiddiya Sign (Asharq Al-Awsat)
Qiddiya Sign (Asharq Al-Awsat)

Saudi Arabia has incorporated Qiddiya as a standalone business entity called Qiddiya Investment Company (QIC), a key step in testablishing a new phase of the entertainment industry in Saudi Arabia.

Saudi Ministry of Commerce and Investment registered QIC, which will oversee the development of Qiddiya, as a closed joint-stock company, wholly owned by the Kingdom’s sovereign investment fund, Public Investment Fund (PIF), according to a Ministry of Culture and Information statement released on Monday.

Saudi Arabia’s Custodian of the Two Holy Mosques King Salman and Crown Prince Mohammed bin Salman last month attended the launch ceremony of the project, which was announced in April last year as one of the three major projects of Vision 2030.

Covering 334 square kilometers, about 2.5 times the size of Walt Disney World, Qiddiya will shape Saudi Arabia’s multi-sector economy, help secure sustainable growth and improve the quality of services to citizens.

Qiddiya is one of the entertainment projects that will change investments in entertainment sector all around the world. QIC will allow the domestic economy to recapture a market share of billions of dollars spent annually by Saudis on foreign tourism. These funds will remain inside the country to be reinvested for the benefit of citizens.

Qiddiya CEO Michael Reininger explained that Qiddiya will be a fully independent entity, and will draft its own budget, aiming to move forward with this project that has the potential to enrich the lives of all Saudis.

“This step brings us closer to the day when we can satisfy the demand of a powerful and untapped Saudi market for new and accessible activities. It is for these future visitors – the nearly two thirds of the Kingdom’s population under 35, the more than 7 million people who reside within 40 kilometers of our location on the doorstep of Riyadh – that we at Qiddiya Investment Company aspire to build a better future filled with culture, sports, entertainment, and opportunity,” he said.

By the third phase of the project between 2026 and 2035, the entertainment city would have been established and will provide 11,000 housing units, in addition to the raise in gross domestic product, while the number of visitors to the entertainment city is expected to reach 31 million visitors.

Qiddiya Investment Company (QIC) was established on May 10 2018 to lead the development of Qiddiya, a leading entertainment destination in Saudi Arabia, as a center for activities, discovery and participation.

Qiddiya is envisioned as a gigantic entertainment hub with facilities divided into six main components: amusement parks; sports tracks, auto and motorcycle racing areas on desert and asphalt tracks; indoor ski slopes and water parks; natural attractions; and cultural and heritage events. The project includes resorts, hotels, restaurants and residential units.

As a key component of Vision 2030, Qiddiya will provide many opportunities that contribute to economic diversification and enhance the quality of life for Saudi citizens. The project is located just 30 minutes from the capital, Riyadh, and laid its foundation stone in April 2018, and the first phase will be completed in 2022.

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Business

Flight to Stability Boosts Saudi Real Estate

The Saudi capital, Riyadh (SPA)
The Saudi capital, Riyadh (SPA)
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Flight to Stability Boosts Saudi Real Estate

The Saudi capital, Riyadh (SPA)
The Saudi capital, Riyadh (SPA)

As geopolitical turmoil redraws the regional investment map, Saudi Arabia is emerging as a “fortress of stability” and a safe haven for capital.

Experts told Asharq Al-Awsat the Kingdom’s real estate sector has been the biggest winner, posting exceptional growth of 20% to 30%.

They said the surge is no coincidence, but the result of strong financial buffers and ambitious structural programs under Vision 2030, which have proved effective in absorbing external shocks and turning regional challenges into sustained growth.

In an economic paradox, the current regional conflict has underscored Saudi Arabia’s appeal as an investment destination, backed by flexible government programs that adapt to shifting conditions.

The impact has been clear in real estate. The sector has benefited from an influx of residents and investors from crisis-hit countries, driving a sharp rise in occupancy across residential and hotel units, and increasing flows of travelers and economic activity into the Kingdom.

Despite pressure on global energy markets, commodities and supply chains, Saudi real estate has moved in the opposite direction, with a clear positive effect. Rental returns across the Kingdom jumped by an average of 20% to 30%, driven by immediate and rising demand.

The trend highlights the Saudi economy’s ability to offer a stable and rewarding investment environment, even in difficult regional and global conditions.

Positive impact

Saudi investor Mohammed Al-Murshid, a member of the Riyadh Chamber of Commerce and Industry and former head of its real estate committee, said the fallout from the current war had a clear short-term positive impact on demand, especially rents in major cities including Riyadh, Jeddah and the Eastern Province.

He said the war was not the main driver, but reinforced an existing trend.

Al-Murshid told Asharq Al-Awsat the effect stemmed from shifts in population movement in countries more directly affected by the conflict. Flight disruptions and partial airspace closures in the Gulf pushed travelers and residents toward Saudi Arabia as a relatively more stable hub.

In some cases, people moved by land to Riyadh as a safe transit point. This created immediate demand for short-term rentals and hotels, put temporary pressure on furnished units, and lifted corporate demand.

“In times of regional instability, companies tend to relocate employees to safer environments and strengthen their presence in more stable economies,” Al-Murshid said.

He said Saudi Arabia benefited from its economic weight and relative security and stability compared with some regional hotspots.

Global inflation has also fed into the market. Higher energy prices, shipping and insurance costs linked to the war have pushed up construction costs.

Global estimates suggest these factors raised property prices by 15% to 20%, reflecting the market’s exposure to supply chain pressures.

Al-Murshid said the war boosted Saudi real estate by 20% to 30%, citing the ability of Vision 2030 programs to absorb shocks, alongside population growth among citizens and residents that continues to drive domestic demand.

Saudi real estate is the biggest winner

Dr. Abdul Rahman Baashen, head of the Al Shorouk Center for Economic Studies, echoed that view, saying the sector has emerged as a leading beneficiary of current geopolitical shifts.

He said the “key” lies in resilient local demand, which has continued to grow on the back of domestic factors despite disruption elsewhere in the region.

Baashen pointed to a key paradox. While global oil supply volumes fell due to the near-total closure of the Strait of Hormuz, the surge in crude prices offset the drop in exports.

The rise in value boosted state revenues, helping sustain government spending on major real estate and infrastructure projects, a core support for the market.

Three drivers

Baashen identified three factors driving momentum:

A temporary surge in demand, fueled by the movement of people and companies seeking stability.

A rise in prices, driven by higher global construction and logistics costs.

A stronger strategic position for Saudi Arabia as a regional investment haven.

He said Saudi real estate is now in a state of “smart balance,” supported by strong domestic demand and additional external demand linked to regional crises.

This mix gives the sector flexibility to adapt to current conditions in the short- and medium-term, while keeping it closely tied to the strength of the Saudi economy.

Reinforcing Saudi Arabia’s position

Baashen and Al-Murshid agreed that the crisis has reinforced Saudi Arabia’s status as a regional investment haven.

They said three forces are shaping that position: strong demand driven by a move toward stability, rising prices in line with global costs, and growing international confidence in the Saudi economy.

They said the sector now rests on solid domestic demand, with added support from external demand linked to regional shifts, sustaining its appeal and performance in the short and medium term.

Business

STC Profits Jump 12% as Revenues Near $5.3 Billion

stc group CEO Eng. Olayan Alwetaid stated that the group began 2026 with strong operational and financial momentum. Asharq Al-Awsat
stc group CEO Eng. Olayan Alwetaid stated that the group began 2026 with strong operational and financial momentum. Asharq Al-Awsat
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STC Profits Jump 12% as Revenues Near $5.3 Billion

stc group CEO Eng. Olayan Alwetaid stated that the group began 2026 with strong operational and financial momentum. Asharq Al-Awsat
stc group CEO Eng. Olayan Alwetaid stated that the group began 2026 with strong operational and financial momentum. Asharq Al-Awsat

stc Group has announced its preliminary financial results for the period ending March 31, 2026, reporting an increase in revenues during the first quarter, which reached SAR19,939 billion ($5.3 billion), up by 3.8% compared to the same quarter of the previous year.

Gross profit also increased to SAR9,772 billion ($2.6 billion), marking a rise of 7.4% compared to the same quarter of the previous year.

According to a statement issued by stc on Tuesday, the group stated that operating profit for the first quarter rose to SAR3,978 billion ($1.06 billion), an increase of 11.0% compared to the same quarter of the previous year. Earnings before interest, taxes, zakat, depreciation and amortization (EBITDA) also increased to SAR6,557 billion (1.75 billion), up by 7.1% compared to the same quarter of the previous year.

Net profit rose to SAR3,696 billion ($984 million), reflecting an increase of 12.0% compared to the same quarter of the previous year, after excluding non-recurring items.

stc distributes SAR0.55 per share for the 1st quarter of 2026, in accordance with the dividends distribution policy approved by General Assembly.

stc group CEO Eng. Olayan Alwetaid stated that the group began 2026 with strong operational and financial momentum, successfully translating the group’s strategy into tangible growth and reinforcing its role in the digital economy.

In the first quarter, the group achieved a 3.8% increase in revenue, 7.1% EBITDA growth, and a rise in net profit (after excluding non-recurring items) by 12% compared to the same quarter last year.

These results demonstrate a robust business model and an effective balance between investments opportunities, operational efficiency, and digital infrastructure development, supporting sustainable and competitive long-term growth.

The GCEO highlighted the group’s continued execution of its strategy to expand regional digital infrastructure through the Silklink project. This initiative, in partnership with the Syrian Sovereign Fund and an investment of 3 billion, aims to implement telecommunications infrastructure in Syria.

The project is a significant step toward building a cross-border digital ecosystem by developing advanced infrastructure that connects Syria regionally and internationally through a fiber-optic network of over 4,500 kilometers, as well as data centers and international submarine cable landing stations.

This strengthens stc’s role in supporting regional digital connectivity and creates new opportunities for growth and expansion in telecommunications and digital services.

The statement added that stc supported millions of Riyadh Season visitors with advanced telecommunications and digital services, demonstrating efficient service delivery during peak periods.

The group also showed high readiness during Ramadan by serving Umrah performers and visitors to the Two Holy Mosques through enhanced infrastructure and increased operational capacity, meeting rising data and voice traffic demands.

During Ramadan, internet data traffic rose by more than 21% at the Grand Mosque and over 40% at the Prophet’s Mosque year-on-year, with 5G accounting for over 48% of traffic.

These results highlight the efficiency of stc’s digital infrastructure and its ability to provide reliable, high-quality connectivity to visitors worldwide.

To advance local content and national capabilities, the group enhanced its role in building a resilient and sustainable digital ecosystem by localizing technologies, developing supply chains, and enabling national partners.

In 2026, the group participated in the Private Sector Forum and signed several agreements to boost local content, expand supplier networks, and support national partners in workforce training and technological advancement. These efforts strengthened local digital industries, advanced the telecommunications and IT sector, and improved global competitiveness.

On the institutional excellence and innovation front, the group continued to cement its digital maturity by embedding best practices in data governance, which enable innovation, improve business efficiency, and support reliable decision-making.

This progress was recognized by two data governance awards received across the Middle East, reflecting stc’s achievements in building an advanced digital ecosystem.

The GCEO added that in the first quarter of 2026, the group demonstrated its ability to execute its strategy, achieve objectives, and strengthen its leadership in telecommunications and technology.

This maximized its contribution to the national and digital economy and enhanced its societal impact.

The group’s efforts reinforce its role as a key partner in digital transformation across the Kingdom and region, in alignment with Saudi Vision 2030.

Business

UAE Announces it Is Leaving OPEC, OPEC+

The OPEC logo on the building prior to the 186th Ordinary Meeting of the Organization of Petroleum Exporting Countries (OPEC) at the OPEC headquarters in Vienna, Austria, 03 June 2023. (EPA)
The OPEC logo on the building prior to the 186th Ordinary Meeting of the Organization of Petroleum Exporting Countries (OPEC) at the OPEC headquarters in Vienna, Austria, 03 June 2023. (EPA)
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UAE Announces it Is Leaving OPEC, OPEC+

The OPEC logo on the building prior to the 186th Ordinary Meeting of the Organization of Petroleum Exporting Countries (OPEC) at the OPEC headquarters in Vienna, Austria, 03 June 2023. (EPA)
The OPEC logo on the building prior to the 186th Ordinary Meeting of the Organization of Petroleum Exporting Countries (OPEC) at the OPEC headquarters in Vienna, Austria, 03 June 2023. (EPA)

The United Arab Emirates said on Tuesday it was quitting OPEC and OPEC+ with the decision going into effect on May 1.

“This decision reflects the UAE’s long-term strategic and economic vision and evolving energy profile, including accelerated investment in domestic energy production, and reinforces its commitment to a responsible, reliable, and forward-looking role in global energy markets,” it said in a statement carried by the WAM state news agency.

“This decision follows a comprehensive review of the UAE’s production policy and its current and future capacity and is based on our national interest and our commitment to contributing effectively to meeting the market’s pressing needs.”

“The UAE joined OPEC in 1967 through the Emirate of Abu Dhabi and continued its membership following the formation of the United Arab Emirates in 1971. Throughout this period, the UAE has played an active role in supporting global oil market stability and strengthening dialogue among producing nations,” read the statement.

“The decision reflects a policy-driven evolution in the UAE’s approach, enhancing flexibility to respond to market dynamics while continuing to contribute to stability in a measured and responsible manner.”

“Following its exit, the UAE will continue to act responsibly, bringing additional production to market in a gradual and measured manner, aligned with demand and market conditions.”

“This decision does not alter the UAE’s commitment to global market stability or its approach based on cooperation with producers and consumers. Rather, it enhances the UAE’s ability to respond to evolving market needs.”

The UAE “reaffirmed that its production policies will be guided by responsibility and market stability, taking into account global supply and demand.”

“It will continue investing across the energy value chain, including oil, gas, renewables, and low-carbon solutions, to support resilience and long-term energy system transformation.”