GAMI Establishes Human Capital Roadmap in Saudi Military Industries

GAMI announces the human capital strategy for local military industries sector. (Asharq Al-Awsat)
GAMI announces the human capital strategy for local military industries sector. (Asharq Al-Awsat)
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GAMI Establishes Human Capital Roadmap in Saudi Military Industries

GAMI announces the human capital strategy for local military industries sector. (Asharq Al-Awsat)
GAMI announces the human capital strategy for local military industries sector. (Asharq Al-Awsat)

The Saudi General Authority for Military Industries (GAMI) launched the human capital strategy for the local military industries sector.

Saudi ministers stressed the importance of localizing the military sector to enhance skills and support the development system through the required policies and regulations.

The ministers indicated that GAMI has a clear strategy regarding distinguished human resources and reliance on national cadres targeting 50 percent localization of national military spending by 2030.

The officials attended the launch of the human capital strategy for the local military industries sector, stressing the need to bridge the gaps and needs of the labor market in the Kingdom in many areas, namely the military and defense industries.

The strategy contributes to bridging the gap between the skills required in the sector and the outputs of university education and technical and vocational training, focusing on more than 800 required skills, resulting in 30,000 technicians, 25,000 services jobs and 12,000 engineers.

Investment strategy

Minister of Investment Khalid al-Falih stressed the importance of the partnership between the public and private sectors in education and training, noting that they help achieve spending efficiency and promote a flexible mechanism in line with the labor market requirements.

Falih said that the national investment strategy has several initiatives that enable competitiveness and investment development, indicating that the ministry's role lies in linking all parties, providing capabilities and attracting investors.

"The localization rate in the military industries sector is promising and rising," he said.

Labor market

For his part, Minister of Human Resources and Social Development (MHRSD) Ahmad al-Rajhi stated that GAMI developed the human capital strategy, coupled with complementary plans to localize the sector.

Rajhi revealed that over 1.9 million citizens work in the private sector, proving that national cadres have succeeded in the economy.

The minister also indicated that 400,000 Saudis joined the labor market in 2021, describing it as a historical number that reflects the strong desire to accelerate the economy and participate in Vision 2030.

"We can bet on the Saudi young people after they showed their ability to bear responsibility and succeeded in all sectors, including the banking, petrochemicals, services, trade, and contracting," Rajhi said, pointing out that the ministry launched 32 Saudization decisions in 2021.

Industrial system

Minister of Industry and Mineral Resources Bandar Alkhorayef announced that the sector's new strategy would focus on increasing locally sourced inputs and adopting 4IR technologies.

He stressed that the two pillars guarantee a competitive and sustainable industrial line at the local and global levels.

GAMI is making significant efforts to create opportunities in the sector, creating a globally competitive industrial sector by converting 4,000 factories to use fourth industrial revolution technology.

Alkhorayef explained that his ministry responds to the directions of the government and issues monthly reports on human capital data in the industrial sector.

The ministry created over 39,000 job opportunities during 2020 and doubled that number to reach 77,000 jobs in 2021.

Human capital strategy

GAMI launched the human capital strategy for the local military industries sector at the Ritz-Carlton Hotel in Riyadh, with several ministers and officials from the government and private sectors.

GAMI Governor Ahmed al-Ohali said the Kingdom is moving towards the localization of this promising sector, aiming to reach more than 50 percent of government spending on military equipment and services by 2030.

The plan aims to develop industries, research, technologies, and national competencies and provide job opportunities for Saudi youth, increasing the sector's contribution to the national economy.

He indicated that the strategy aims to establish a stimulating system for the development of human cadres to ensure their readiness to achieve the Saudization goals of the sector.

"It is based on the strategy for localizing industries and research in the military industry sector to ensure the readiness and sustainability of people eligible to achieve the objectives of the sector localization," the GAMI governor said.

The human capital strategy aims to enable and build a stimulating system for the development and empowerment of human cadres. It will ensure the readiness and sustainability of qualified forces to localize the sector by developing three main programs represented in educational and training programs.

He pointed out that the strategy aims to empower Saudi workforces by developing training programs and establishing a national academy that focuses on more than 800 skills required in the sector, from 172 job fields.

Ohali added that the strategy's programs included many initiatives, such as the new national military academy to address the skills gap in the industry, with the support and empowerment of the Technical and Vocational Training Corporation and the Human Resources Development Fund (HRDF).

Partnership system

Three dialogue sessions were held during the launch of the human capital strategy for the military and defense industry sector in the Kingdom with ministers, senior officials, and specialists of human resources.

The event began with a ministerial discussion entitled "The Role of the National System in Empowering Human Capital in the Military and Defense Industries to Achieve the Objectives of Vision 2030."

It was attended by ministers of investment, industry and mineral resources, and human resources and social development.

The session addressed investment opportunities and reforms necessary to ensure the establishment of qualitative and effective partnerships and to bridge the gaps and needs of the labor market in the Kingdom.

The ministers stressed the importance of preparing future generations to enter the labor market.

The second session, "The Role of the Military and Defense Industries in Creating Diversified Career Paths," addressed the development and empowerment of the human element.

They discussed their impact on human resources in developing and empowering and developing talents, skills, and expertise through specialized technical and professional training programs.

The session was attended by the Chairman of the Board of Directors of the Education and Training Evaluation Commission Khaled al-Sabti, Chief of Staff First Lieutenant-General Fayyad al-Ruwaili, Governor of GAMI, and Governor of the Technical and Vocational Training Corporation Ahmed al-Fahid.

The development

The ceremony concluded with the third session: "The Role of Education and Training in Developing, Empowering, and Preparing Human Capital for the Military and Defense Industries."

The attendees discussed the importance of the human resources strategy project in advancing the sector's development by aligning the outputs and programs of educational institutions with the needs.

They also addressed forming partnerships with other key industries, aiming to develop qualified human capital to lead the future of this sector.

The session was attended by President of the King Fahd University of Petroleum and Minerals Mohammad al-Saqqaf, General Manager of the Human Resources Development Fund (Hadaf) Turki al-Jawini, CEO of the Saudi Arabian Military Industries (SAMI) Walid Abu Khaled, and CEO of Lockheed Martin Saudi Arabia Ltd. Joseph Rank.

Agreements and partnerships

On the sidelines of the ceremony, several memoranda of understanding (MoU) relating to the development and empowerment of human capital in the military and defense industries sector were announced between GAMI, the Ministry of Investment, and the UK-based Cranfield University.

GAMI also signed an MoU with Leonardo Company to create and develop investment opportunities in education and train specialized military industries.

The MoU establishes cooperation to identify and develop institutional and academic partnerships in the Kingdom, develop some programs and graduation projects, and launch short and long courses relating to the sector's needs.

It also creates opportunities for university educational scholarships in the military, defense, and security industries.

The MoU calls for cooperation in basic and applied scientific research and creates majors in the military and defense industries with educational and training authorities.



IEA: The Age of Electricity is Coming, We Will Still Use Oil and Natural Gas

FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo
FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo
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IEA: The Age of Electricity is Coming, We Will Still Use Oil and Natural Gas

FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo
FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo

The concentration of a small number of countries in clean energy supply chains is an emerging challenge for Southeast Asian countries, International Energy Agency Executive Director Fatih Birol said on Tuesday, amid fast-rising power demand in the region.

"The age of electricity is coming. We will still use oil, still use natural gas including LNG, but electricity demand is growing very strongly," Birol told delegates at the Singapore International Energy Week conference.

Birol did not identify the countries dominating clean energy supplies, but China is by far the largest global supplier of renewable energy equipment, from solar panels ⁠to wind turbines, electric ⁠vehicles and batteries.

Electricity demand in ASEAN countries is rising at twice the pace of overall energy consumption, driven by industrial electrification, air-conditioning needs, electric vehicles and data centers, he said.

Southeast Asian nations have emerged as key drivers of China's clean-energy export boom, splashing out over $20 billion on Chinese-made clean-tech products so far in 2026, according ⁠to energy think tank Ember.

Birol also warned that geopolitical tensions have become an increasingly dominant force in global energy markets.

"In my professional life, I have never, never ever seen the dark and long shadow of geopolitics dominating the energy sector in such a way," Reuters quoted him as saying. "I can only imagine that the role of geopolitics will be much more pronounced, and this means energy security is going to become even more important than it is today."

Birol said the Middle East war has triggered fundamental changes in global energy consumption patterns, ⁠spurring growth in ⁠solar, coal and nuclear power as well as electric vehicle adoption.

"I see in the last eight months very strong growth of electric car sales," he said, adding that global electric vehicle sales outside China had risen 60% above previous trends over the period because of the conflict.

Consumption of alternative energy sources has increased as diesel prices have jumped about 200% and LNG prices have risen 250% from pre-war levels, according to Birol.

He said on Monday at the same conference that he does not expect energy markets in 2027 to return to where they were before the US-Israeli war on Iran began.


Cyprus Seals $1.8 Bn Deal to Develop First Commercial Gas Project

The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)
The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)
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Cyprus Seals $1.8 Bn Deal to Develop First Commercial Gas Project

The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)
The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)

Cyprus signed contracts worth $1.8 billion with Italian energy provider Eni on Monday to develop the Mediterranean island nation's first commercial gas project, with production slated for 2028 on the project in partnership with France's TotalEnergies.

European countries have stepped up efforts to use domestic energy resources with the Ukraine and Iran wars roiling global energy markets and supply in recent years.

The agreements to develop the field in Cyprus' exclusive economic zone cover engineering, construction, installation and drilling work, allowing natural gas to be transported to Egypt for processing and liquefaction before delivery mainly to European markets.

"Eni has signed the main engineering, procurement, construction and drilling contracts for the development of the Cronos Project, marking the start of the project's execution phase and a key milestone towards the monetization of Cyprus' first gas development," AFP quoted the Italian firm as saying in a statement.

"As Eni's first development project in Cyprus and the country's first hydrocarbon development, Cronos represents a strategic milestone."

Cypriot President Nikos Christodoulides in a statement hailed the agreement as a "decisive step towards exploiting our country's natural wealth.”

He said the contracts for the "first commercial exploitation of Cypriot natural gas" were worth up to $1.8 bn.

"It represents a strong vote of confidence in our country's energy prospects with significant geopolitical and economic implications," he added.

Cypriot Energy Minister Michalis Damianos said the project marked Cyprus' transition from offshore exploration and discoveries to developing and producing its gas reserves.

Kronos is estimated to contain more than three trillion cubic feet of natural gas.

Existing Egyptian infrastructure will be used, including facilities linked to the large Zohr gas field, with the gas to be liquefied at the Damietta terminal for export.

Using existing infrastructure is expected to reduce costs and accelerate the route to market, while deepening energy cooperation between Cyprus and Egypt.

"A regional value chain is being created that connects Cyprus's resources, Egypt's infrastructure and European demand," said Damianos.

Cyprus has discovered offshore gas but has not yet brought a field into commercial production.

Kronos is seen as a key test of its ability to turn those discoveries into exports.

Eni and Total hold the majority of exploration blocks -- seven of 13 south of the island -- licensed by the Cyprus government.

The eastern Mediterranean has become an energy hot spot, with significant natural gas finds off Israel and Egypt.


HSBC Shares Tumble 6% after Third-quarter Revenue Disappoints, Wealth Growth Slows

People alight from a tram outside the HSBC bank headquarters in Hong Kong on October 27, 2026, ahead of the bank's third quarter results announcement. (Photo by Peter PARKS / AFP)
People alight from a tram outside the HSBC bank headquarters in Hong Kong on October 27, 2026, ahead of the bank's third quarter results announcement. (Photo by Peter PARKS / AFP)
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HSBC Shares Tumble 6% after Third-quarter Revenue Disappoints, Wealth Growth Slows

People alight from a tram outside the HSBC bank headquarters in Hong Kong on October 27, 2026, ahead of the bank's third quarter results announcement. (Photo by Peter PARKS / AFP)
People alight from a tram outside the HSBC bank headquarters in Hong Kong on October 27, 2026, ahead of the bank's third quarter results announcement. (Photo by Peter PARKS / AFP)

HSBC's shares slid 6% on Tuesday after revenue undershot estimates and growth at its wealth business slowed, highlighting the challenge big banks face to sustain recent record profits.

Europe's largest bank reported a 32% surge in pretax profit to $9.6 billion for the July-September quarter, in line with estimates. But investors and analysts focused on the lack of upgrades to the bank's performance guidance and underwhelming third-quarter revenue of $18.6 billion against forecasts for $19 billion.

The drop in the bank's shares underscores how recent strong results from European lenders have increased investor expectations for performance, even as the impact of the Iran war on inflation and interest rates has created a tough environment for banks. The shares remain up 9% for the year to ⁠date.

HSBC also launched ⁠a share buyback of up to $1 billion, the same amount as the previous quarter and a move that had boosted shares in previous reporting periods but is now largely expected by investors.

"There is sometimes a market expectation that we upgrade guidance or targets," CFO Pam Kaur told reporters on a conference call when asked about the share drop.

According to Reuters, analysts noted that the bank's net interest income slightly missed expectations, while fee income from its key wealth growth pillar was steady but ⁠unspectacular.

Escalating deposit competition in Hong Kong and the UK, HSBC's two core markets, are expected to push up interest expenses, they said. Time deposits in the bank's Hong Kong portfolio rose two percentage points quarter-on-quarter to 38%, but Jefferies analysts noted that the shift to chase higher deposits by offering higher interest rates is expected to erode margins.

Revenue for HSBC's wealth division was flat at $2.7 billion. That compared with 15% and 23% year-on-year revenue growth in the first two quarters.

The performance of HSBC's wealth business is under particular scrutiny because the British bank, like its peers, is focusing growth on fee-generating businesses such as wealth management as lending comes under pressure from falling interest rates.

Analysts warned that Asia-focused banks are bracing for a slowdown in wealth momentum ⁠following robust gains driven ⁠by Chinese capital inflows.

Kaur said on the call that China's tightening of wealth flows has prompted clients to shift from other banks in Hong Kong to HSBC.

"We picked up more business."

HSBC benefited from the absence of legal provisions booked in the same quarter a year earlier. It also said expected credit losses tumbled 17% to $800 million, thanks to a reduction in charges linked to Hong Kong's real estate sector as well as its UK and Mexican wealth businesses.

British banks' strong recent results have prompted calls from trade unions and activist groups for tax hikes on the sector in finance minister John Healey's first budget, due on Wednesday.

Bank bosses have lobbied hard to avoid such an increase in sector levies, arguing it would curb lending and make Britain less competitive.

HSBC announced an interim dividend of $0.1 per share, the same as the previous quarter.