Saudi-Greek Map Establishes Effective Economic, Trade Partnership

Saudi Minister of Investment Khaled al-Falih speaking at the Saudi-Greek Investment (Asharq Al-Awsat)
Saudi Minister of Investment Khaled al-Falih speaking at the Saudi-Greek Investment (Asharq Al-Awsat)
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Saudi-Greek Map Establishes Effective Economic, Trade Partnership

Saudi Minister of Investment Khaled al-Falih speaking at the Saudi-Greek Investment (Asharq Al-Awsat)
Saudi Minister of Investment Khaled al-Falih speaking at the Saudi-Greek Investment (Asharq Al-Awsat)

Saudi Arabia and Greece aim to increase their economic, investment, and trade cooperation.

The Saudi Ministry of Investment organized Sunday the Saudi-Greek Investment Forum in Riyadh, with top officials, executive directors of several large Saudi and Greek companies, and representatives of the private sector from both sides.

The event aims at introducing investment opportunities and reviewing aspects of the development of the business environment in the Kingdom.

Saudi Minister of Investment Khaled al-Falih confirmed to Asharq Al-Awsat that the Saudi economy is experiencing steady growth during the first five years of Vision 2030, coupled with fundamental reforms.

Falih said that the National Investment Strategy will allow local and foreign investors to take advantage of available opportunities through sectoral activities, noting that the volume of investments predicted in the following years, until 2030, is about $3.3 trillion, fully available for foreign investors.

Overcoming crises

The Minister pointed out that the Kingdom was able to overcome several crises that struck the whole world over the past few years, especially the health crisis triggered by the coronavirus pandemic with its impact on the economic situation in 2020.

The Saudi economy is moving towards more development and growth, said the Minister.

Greek cooperation

Falih addressed the Saudi-Greek cooperation, saying Athens' economy is based on tourism, energy, marine industries, and construction sectors which are the four most important sectors and the center of the Saudi-Greek Investment Forum.

The Forum was held Sunday over four sessions bringing together leaders from the private and public sectors.

The official expects the Forum to yield investment opportunities to benefit both countries.

Investment Incentives

The Greek Minister of Development and Investment Adonis Georgiadis and Greek deputy minister for economic diplomacy Kostas Fragogiannis affirmed that the political will in the two countries seeks to push bilateral relations to a broader economic and political scale, in light of incentives and guarantees to encourage and protect mutual investments.

The two officials stressed the partnership strategy between Riyadh and Athens given the available opportunities in the two countries, stressing that Greece is ready to move Saudi exports to European markets and nearby regions.

They noted that both governments launched several initiatives and reforms to attract investments, expecting trade growth during the coming period.

Framework for Cooperation

"We have reached a map that clearly and effectively frames our economic, investment, and trade cooperation with the Saudi side," said Greek Deputy Minister of Tourism, Sophia Zacharaki.

Zacharaki told Asharq Al-Awsat: "We look forward to working in the coming period to sustain development, develop tourism, and digitize the sector."

She noted that now is a suitable time for developing bilateral relations to broader horizons, especially in a post-coronavirus time.

The Deputy Minister announced a significant Saudi investment in the Greek tourism sector and other industries, with facilities that increase the number of tourists, exchanged visits, and direct flights between the two countries.

She stressed that the Kingdom had demonstrated great seriousness in implementing the Vision 2030 programs, noting that her country is already seeking to deepen and grow partnerships.

Targeted Sector

Zacharaki expects the tourism sector to recover and increase its growth to eight percent, which means the recovery of €15 billion in direct income following the development of the industry and the establishment of new hotels.

"In 2021, revenues increased by six percent compared to 2019, which means that €11 billion were obtained directly from those who chose Greece as their destination," said the official, adding that despite the geopolitical and geospatial conditions in the region, "the sector grew about 80 percent compared to before the [coronavirus] pandemic."

Real Partnership

For his part, Chairman of Saudi Chambers Ajlan al-Ajlan stressed that the size of investment, commercial, and economic opportunities in the Kingdom and Greece made the Investment Forum a real opportunity for a strong partnership.

In an interview with Asharq Al-Awsat, Ajlan stated that the volume of trade exchange between the two countries grew by 61 percent to reach $1.8 billion, which means there is a great scope for increasing trade exchange, especially in vital sectors, topped by tourism, logistics, and agriculture.

The Chairman pointed out that Greece supports investment in light of the firm will of the leadership and the government in the two countries to advance bilateral cooperation to broader and more wide horizons.

The two leaderships also seek to support the private sector in both countries, which means strengthening their cooperation with an integrated and precise plan.

Investment Strategy

The Saudi Ministry of Investment disclosed at the Forum that 14 Greek companies are investing in the Saudi market in energy, renewable energy, and tourism.

The Forum included sessions to discuss the future of energy, renewable energy, transportation and services, logistics, the future of tourism, construction, and innovation sectors.

Saudi and Greek top investment officials held talks in the Saudi capital to discuss cooperation.

Several bilateral meetings between government agencies and the private sector from both sides were held on the sidelines of the Forum to discuss opportunities for cooperation, partnership, and the promising investment opportunities available in the two countries.



Crypto Dips on Democrat Midterm Wins, Binance Hack Dents Optimism

Representation of cryptocurrencies are seen in this illustration taken September 10, 2025. (Reuters)
Representation of cryptocurrencies are seen in this illustration taken September 10, 2025. (Reuters)
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Crypto Dips on Democrat Midterm Wins, Binance Hack Dents Optimism

Representation of cryptocurrencies are seen in this illustration taken September 10, 2025. (Reuters)
Representation of cryptocurrencies are seen in this illustration taken September 10, 2025. (Reuters)

Cryptocurrencies briefly dipped on Wednesday as Democrats won majorities in both the Senate and House in the US midterm elections, a potential blow to an industry that has pushed for faster deregulation for digital assets.

The sector has spent more than $300 million backing crypto-friendly Democrats and Republicans in roughly equal measure during the current and previous election cycles, hoping to pass legislation US crypto companies say will ‌put them on ‌a solid legal footing and allow them to thrive.

Bitcoin ‌briefly ⁠touched a six-week ⁠low before recovering to trade roughly flat by 0715 GMT at $78,070. Ether traded at $2,292, up just 1%.

Bitcoin has fallen by around 41% since hitting record highs above $122,000 in October 2025, bringing the value of the broader crypto market to around $2.61 trillion, according to CoinMarketCap.

The market has lost some $300 billion in value in the last month alone, as deepening concern about future returns from AI and the ⁠strain of rising borrowing costs pushed investors into less risky ‌assets such as government bonds and ‌safe-haven currencies.

Sentiment has also been hurt by the $6 billion hack of the Binance platform last ‌week, the largest heist in history.

On Tuesday, Binance customers had withdrawn ‌a net $4.72 billion from the world's largest cryptocurrency exchange since it reopened following the hack at the weekend.

"The market may be re-evaluating the risk-reward profile of crypto assets. On one hand, the string of security incidents is forcing investors to re-examine the ‌industry's security infrastructure and custody risks," Tim Sun, senior researcher at HashKey, said.

"On the other hand, potential shifts in ⁠the US political landscape ⁠could stall the progress of structural crypto legislation and institutional framework development. All of these factors leave the crypto market facing strong headwinds," he said.

US President Donald Trump, who vowed to make the United States the "crypto capital of the world" during his 2024 presidential campaign, has made his own forays into digital assets, with the launch of his "Trump" meme coin, plus his family's World Liberty Financial crypto platform, among other ventures.

The sector has seen sweeping reforms in the almost two years since Trump returned to office, including lighter enforcement and the creation of a strategic bitcoin reserve.

Washington has also allowed for easier access to banking and exchange-traded products and passed a federal stablecoin law that could help these assets move into the mainstream payments and money transfer systems.


Saudi Non-Oil Sector Expands for Seventh Straight Month

A view of Riyadh, Saudi Arabia. (Getty Images file)
A view of Riyadh, Saudi Arabia. (Getty Images file)
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Saudi Non-Oil Sector Expands for Seventh Straight Month

A view of Riyadh, Saudi Arabia. (Getty Images file)
A view of Riyadh, Saudi Arabia. (Getty Images file)

Saudi Arabia’s non-oil private sector continued to expand in October, with business activity and output growth accelerating despite a decline in the Riyad Bank Purchasing Managers’ Index (PMI) to 54.0 from 55.3 in September, according to data compiled by S&P Global.

The seasonally adjusted index remained above the neutral 50-point threshold for the seventh consecutive month, signaling continued improvement in operating conditions. Although it eased from September’s seven-month high, October’s reading was the second-highest since February.

Output growth accelerated to a strong pace from the previous month, supported by improving underlying demand and increased sales and marketing efforts. New orders also continued to rise, although more slowly than in September and at a rate below the survey’s historical average.

Domestic demand remained the main driver of growth, while export orders declined for the eighth consecutive month, with the contraction accelerating.

Survey respondents cited shipping disruptions, higher transport and insurance costs, and competitive market conditions as factors weighing on overseas sales. About a quarter of firms reported a decline in export orders in October.

Employment increased for the fourth consecutive month, although hiring remained modest and slowed from September. Backlogs of work rose slightly for the second straight month, reflecting higher sales and some delays in supplier deliveries.

Supplier delivery times improved only marginally, marking the weakest improvement since April, as disruptions to maritime routes continued to affect shipments. Some businesses consequently increased their reliance on domestic suppliers to secure production inputs.

Cost pressures intensify

Cost pressures mounted at the start of the final quarter, with purchase prices rising at their fastest pace in six months, driven by higher shipping, insurance, raw material and energy costs. Staff cost inflation also reached its highest level since February.

Despite rising input costs, the rate of increase in selling prices slowed to a nine-month low as companies offered larger discounts amid intensifying competition. Nevertheless, selling prices continued to rise at a strong pace.

Commenting on the findings, Naif Al-Ghaith, chief economist at Riyad Bank, said the non-oil private sector demonstrated resilience in October, supported by sustained domestic demand, stronger business activity and continued employment growth.

He noted that the PMI’s position above the 50-point threshold indicated improving operating conditions despite its decline from the previous month.

Al-Ghaith explained that faster output growth reflected Saudi businesses’ ability to respond to domestic demand through operational efficiency, marketing initiatives and increased sales activity.

New orders maintained strong growth, although demand had become more selective, he added.

Continued hiring, inventory accumulation and purchasing activity reflected companies’ readiness to meet demand, while expectations for output over the coming year remained only mildly positive and below the survey’s historical average.


Growth in Non-Oil Revenue Bolsters Saudi Budget Resilience

 A general view of Riyadh city during the early hour of evening at Riyadh, Saudi Arabia, May 28, 2025. (Reuters)
A general view of Riyadh city during the early hour of evening at Riyadh, Saudi Arabia, May 28, 2025. (Reuters)
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Growth in Non-Oil Revenue Bolsters Saudi Budget Resilience

 A general view of Riyadh city during the early hour of evening at Riyadh, Saudi Arabia, May 28, 2025. (Reuters)
A general view of Riyadh city during the early hour of evening at Riyadh, Saudi Arabia, May 28, 2025. (Reuters)

Saudi Arabia’s non-oil revenue surpassed oil revenue in the third quarter of 2026 for the first time since 2020, highlighting progress in diversifying government income and strengthening the budget’s resilience to energy market volatility.

The shift came as the Kingdom continued to control spending and allocate resources according to priorities, while maintaining funding for essential services and development projects in support of Vision 2030.

According to the Saudi Ministry of Finance, total revenue fell 4% year on year to SAR 259.1 billion ($69.1 billion) in the third quarter, while expenditure declined by the same percentage to SAR 343.4 billion ($91.6 billion), resulting in a deficit of SAR 84.3 billion ($22.5 billion).

For the first nine months of the year, revenue totaled SAR 858.9 billion ($229 billion), against expenditure of SAR 1.103 trillion ($294.2 billion), representing about 84% of the approved annual budget of SAR 1.3128 trillion.

Non-oil revenue strengthens revenue diversification

Non-oil revenue rose 20% in the third quarter to SAR 142.6 billion ($38 billion), helping offset a 23% decline in oil revenue to SAR 116.5 billion ($31.1 billion).

Over the first nine months, non-oil revenue reached SAR 412.5 billion ($110 billion), up 8% year on year, reflecting the expanding government revenue base and the growing contribution of non-oil sources to public finances.

Among non-oil revenue components, other revenue recorded the strongest growth in the third quarter, rising 68% to SAR 49.1 billion ($13.1 billion), from approximately SAR 29.3 billion a year earlier.

Taxes on international trade and transactions increased 26% to SAR 7.2 billion ($1.9 billion), while taxes on income, profits and capital gains rose 16% to SAR 7.7 billion ($2.1 billion). Taxes on goods and services totaled SAR 75.2 billion ($20.1 billion).

Essential and development sectors

Health and social development accounted for the largest share of cumulative government spending through the end of the third quarter, receiving SAR 230.8 billion ($61.5 billion), or 89% of the sector’s allocated budget.

The military sector ranked second, with spending of SAR 187.5 billion ($50 billion), followed by education at SAR 159.3 billion ($42.5 billion) and security and regional administration at SAR 99.4 billion ($26.5 billion).

Spending on economic resources reached SAR 75.7 billion ($20.2 billion), up 11% from the same period last year, reflecting continued allocation of resources to economic and development-related activities.

The figures show that funding for priority sectors was maintained despite the decline in overall quarterly expenditure, underscoring the importance of managing spending and balancing operational needs with development priorities.

Reserves and debt management

Saudi Arabia’s general reserve balance stood at SAR 399.5 billion ($106.5 billion) at the end of the third quarter, while the current account balance reached SAR 50.8 billion ($13.5 billion).

Total public debt amounted to approximately SAR 1.774 trillion ($473 billion), comprising SAR 1.136 trillion ($302.9 billion) in domestic debt and SAR 637.6 billion ($170 billion) in external debt.

New debt issuance during the period totaled SAR 298.3 billion, as part of efforts to finance the planned budget deficit, manage funding requirements and support development and strategic projects.

Dr. Salem Baajajah, professor of economics at King Abdulaziz University, told Asharq Al-Awsat that the first nine months of 2026 reflected the government’s continued support for economic activity and development projects, with expenditure rising 8% to approximately SAR 1.1 trillion, compared with revenue growth of 3% to SAR 858.9 billion.

The widening gap between revenue and expenditure underscored the need to balance development spending with fiscal sustainability, he explained.

Government expenditure remains an important driver of growth by financing projects and infrastructure, supporting non-oil sectors and strengthening the private sector’s contribution to economic activity, Baajajah noted.

However, the next phase requires greater emphasis on spending efficiency and maximizing the economic returns of projects to ensure their long-term development impact.

Baajajah stressed that assessing fiscal performance should go beyond revenue and expenditure growth rates to examine revenue sources, the size of the deficit and how it is financed, and the extent to which spending generates economic growth and jobs.

Overall, the third-quarter results reflect a two-pronged approach to fiscal management: expanding non-oil revenue to broaden the income base while aligning expenditure with available resources, without neglecting essential sectors or development projects.

This approach strengthens the budget’s ability to withstand fluctuations in oil revenue while supporting economic diversification targets and maintaining fiscal discipline.