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Saudi Arabia Moves Closer to Adopting Vertical Farming

Saudi workshop focused on discussing the future of vertical farming in Saudi Arabia, Asharq Al-Awsat
Saudi workshop focused on discussing the future of vertical farming in Saudi Arabia, Asharq Al-Awsat
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Saudi Arabia Moves Closer to Adopting Vertical Farming

Saudi workshop focused on discussing the future of vertical farming in Saudi Arabia, Asharq Al-Awsat
Saudi workshop focused on discussing the future of vertical farming in Saudi Arabia, Asharq Al-Awsat

Saudi Arabia earmarked $26.6 million for vertical farming projects in the Kingdom, in a step taken to preserve water and develop agriculture in the Kingdom. The move also focuses on boosting Saudi food security.

Saudi Minister of Environment, Water and Agriculture Abdulrahman Al Fadley chaired an international virtual workshop centered on the future of vertical farming in the Kingdom.

The workshop is part of the ministry’s efforts to localize and adopt modern agriculture technologies.

King Faisal University (KFU) rector Dr. Mohammed bin Abdul Aziz Al-Ohali and a group of leading local and international vertical farming experts took part in the workshop.

Fadley, in a speech he gave at the workshop, said that the world is witnessing accelerated advancements in technologies involving Hydroponics, Aeroponics and Aquaponics.

The minister, however, noted that there are challenges facing agricultural development.

These obstacles, according to Fadley, are related to the level of technology used in buildings, facilities, nutrient solutions, lighting, and the types of crops produced.

He stressed that those challenges need urgent and effective solutions.

Fadley explained that his ministry has worked hard to approve its agricultural strategy, and that it is cooperating with local and international partners from scientific institutions and the private sector to localize and adopt promising modern technologies.

He said that those technologies are one of the most important possible means to support food security, not only in the Kingdom, but also on a global level.

“Vertical farming techniques are one of the main axes of developing agriculture and water conservation,” Fadley told the workshop attendees, adding that the Kingdom has allocated 100 million riyals ($26.6 million) for this purpose.

He emphasized that procedures for obtaining vertical farming licenses were “organized and facilitated.”

It is noteworthy that the global market share of vertical farming was estimated at $3.1 billion in 2018.

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S&P Reaffirms Sultanate of Oman’s Sovereign Credit Rating at ‘BBB-’

S&P reaffirmed the Sultanate of Oman’s long-term sovereign credit rating at ‘BBB-’ Asharq Al-Awsat
S&P reaffirmed the Sultanate of Oman’s long-term sovereign credit rating at ‘BBB-’ Asharq Al-Awsat
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S&P Reaffirms Sultanate of Oman’s Sovereign Credit Rating at ‘BBB-’

S&P reaffirmed the Sultanate of Oman’s long-term sovereign credit rating at ‘BBB-’ Asharq Al-Awsat
S&P reaffirmed the Sultanate of Oman’s long-term sovereign credit rating at ‘BBB-’ Asharq Al-Awsat

Standard & Poor’s Global Ratings (S&P) has reaffirmed the Sultanate of Oman’s long-term sovereign credit rating at ‘BBB-’ with a Stable Outlook, citing the government’s ongoing efforts to reduce public debt and the continued improvement in the State’s fiscal performance.

Last September, S&P had upgraded the country’s long-term foreign and local currency sovereign credit ratings from 'BB+' to 'BBB-'.

The agency confirmed that the Sultanate’s credit rating may witness further improvement over the next two years if the government continues to manage the country’s public finances as planned, including increasing non-oil revenues and improving the efficiency of public spending.

It noted that these measures are expected to continue to boost GDP growth, supported by continued growth in non-oil GDP, in addition to continuing measures aimed at promoting the establishment and growth of companies and projects that support economic diversification activities and operations, in addition to initiatives to develop the capital market sector.

The agency noted in its report that the Sultanate has made significant progress in recent years in addressing the structural challenges it faced, including the large deficit in the state’s general budget and balance of payments.

It expected Oman’s real GDP to grow by 2% in the next three years (2025-2028), while the net public debt is expected to decrease to an average of GDP by 1.5% between 2025-2028.

This is attributed, according to the agency, to the assumption that the average price of Brent crude will reach $70 per barrel over the next two years, compared to $81 per barrel in 2024, in addition to a decline in oil production due to the Sultanate of Oman’s commitment to voluntary cuts under the OPEC+ agreement.

The agency also expects the current account to record a financial surplus averaging 1.3% of GDP during the period 2025-2028, noting that Oman has been able to cover the large deficits.

Standard & Poor’s expected inflation rates to remain at moderate levels, averaging about 1.5% annually during the period 2025-2028, after reaching about 1% in 2024.

The agency said the success of the Sultanate’s efforts to reduce total public debt from 68% of GDP in 2020 to 36% in 2024.

It also expects highly liquid assets to remain close to 40% of GDP during the period 2025-2028.

Also, the agency commended the efforts made to develop the hydrogen production sector, in light of Oman’s intention to achieve carbon neutrality by 2050, which will enable the country to become one of the leading hydrogen exporters by 2030.