Saudi Arabia: Prospective Mergers, Acquisitions in Vital Sectors

Cars drive past the Kingdom Centre Tower in Riyadh, Saudi Arabia, January 30, 2018. REUTERS/Faisal Al Nasser
Cars drive past the Kingdom Centre Tower in Riyadh, Saudi Arabia, January 30, 2018. REUTERS/Faisal Al Nasser
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Saudi Arabia: Prospective Mergers, Acquisitions in Vital Sectors

Cars drive past the Kingdom Centre Tower in Riyadh, Saudi Arabia, January 30, 2018. REUTERS/Faisal Al Nasser
Cars drive past the Kingdom Centre Tower in Riyadh, Saudi Arabia, January 30, 2018. REUTERS/Faisal Al Nasser

With the increase in the number of mega projects in Saudi Arabia and the economic reforms that have achieved tangible results, experts expected a growth in mergers and acquisitions.

The banking sector would see mergers by the end of 2021, according to the experts, given the volume of financial operations.

Two mergers of local banks are expected to take place in the coming months, while other sectors, such as insurance, real estate and e-commerce are also heading towards the same direction.

Economic Advisor Suleiman al-Assaf told Asharq Al-Awsat that mergers and acquisitions between companies and banks was a prelude to an important stage of work and performance development.

Saudi Arabia is witnessing a modern economic boom under Vision 2030, he emphasized, noting that economic changes would push the Kingdom to the forefront of the international economic scene.

Al-Assaf expected two mergers to take place between Saudi banks, one of which is certain and the other projected soon.

He noted that Saudi banks must keep pace with these developments, which have recently registered one of the largest banking mergers.

“The Saudi economy constitutes 50 percent of the Gulf economy, but Saudi banks account for less than 10 percent of the size of GCC banks in terms of numbers,” he said.

The insurance sector is also likely to witness many mergers, according to Al-Assaf, who pointed to several factors, mainly the large number of companies and the little amount of work, in addition to the financial losses incurred as a result of the pandemic.



GACA to Showcase Saudi Aviation Achievements at Bahrain International Airshow

GACA to Showcase Saudi Aviation Achievements at Bahrain International Airshow
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GACA to Showcase Saudi Aviation Achievements at Bahrain International Airshow

GACA to Showcase Saudi Aviation Achievements at Bahrain International Airshow

The Saudi General Authority of Civil Aviation (GACA) will take part in the seventh edition of the Bahrain International Airshow, which will be held from November 13 to 15 at Sakhir Airbase.

The event will showcase the achievements of the Saudi aviation sector, highlight significant investment opportunities available, reinforce the Kingdom's leadership in the global aviation arena, and explore avenues for collaboration to develop a more prosperous aviation sector.
GACA Spokesperson Ibtisam Al-Shehri said that at the airshow, the authority will present its initiatives to develop regulations that promote growth and innovation in the Kingdom's aviation sector, and highlight the achievements of the National Aviation Strategy, which aims to secure $100 billion in investments, boost passenger traffic to 330 million and link the Kingdom to 250 international destinations by 2030.
She added that GACA will also introduce the Civil Aviation Environmental Sustainability Program, and emphasize its expertise in enhancing passenger experience and streamlining operational procedures, all in accordance with the latest international standards.
The Bahrain International Airshow will feature 11 sponsoring companies, 223 civil and military delegations from 56 countries, and more than 135 local, regional, and global companies.