UAE Approves 22 Policies to Expedite Transition to Circular Economy

UAE Approves 22 Policies to Expedite Transition to Circular Economy
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UAE Approves 22 Policies to Expedite Transition to Circular Economy

UAE Approves 22 Policies to Expedite Transition to Circular Economy

The United Arab Emirates approved on Sunday 22 policies aimed at expediting the country’s transition to a circular economy.

The Circular Economy Council approved the policies proposed by its subsidiary, the Circular Economy Policies Committee, that focus on accelerating the implementation of the circular economy model in four main sectors – manufacturing, food, infrastructure, and transport.

The Council also identified at least 16 circular economy activities that open a wealth of opportunities for businesses, such as upcycling textile waste into new products, developing automated Artificial Intelligence-enabled waste management solutions, and remanufacturing electronic waste.

It convened its second meeting of 2022, presided over by Mariam bint Mohammed Almheiri, Minister of Climate Change and the Environment.

Almheiri cited the cabinet’s approval of the UAE Circular Economy Policy in January 2021.

“Since then, we have embarked on an ambitious and important mission to shift from a linear model to a circular economy approach.”

“Our current linear economy consumes valuable materials and resources without being able to benefit from them after use, which represents waste in the modern concept of sustainability,” she explained, noting that her ministry seeks to protect the environment and ensure the long-term economic and social prosperity of the UAE.

She affirmed that many key stakeholders in the UAE have already started to embrace circular economy principles.

Almheiri noted that her ministry, along with the Ministry of Economy, have been engaging with them and others to gain valuable information and insights about ways to facilitate the transition to a circular economy.

She pointed out that 45% of global greenhouse gas (GHG) emissions result from producing cars, clothes, food, and other products used every day.

This demonstrates the great potential that lays in circular economy, which can complement the emission reduction and mitigate the current climate crisis.

For his part, Minister Abdullah al-Marri, who also heads the Council’s Circular Economy Policies Committee, noted that the Committee recently held intensive workshops and meetings with the government and private sectors, as well as international partners.

The workshops were designed to support the implementation of the UAE Circular Economy Policy in four key sectors – manufacturing, green infrastructure, transportation, and food production and consumption – as well as the 22 new policies issued to drive the UAE’s overall transition to a circular economy.

He said these policies will contribute to addressing all challenges the private sector is facing in its shift to a circular economy and support the country’s green development drive.

The initiatives come in line with the directives of the UAE’s wise leadership to fast-track the country’s transition to a circular economy as one of the sustainability, flexibility, and growth drivers of the new economic model as per the Principles of the 50.

Approved in January 2021, the UAE Circular Economy Policy identifies the optimal approach to the country’s transition to a circular economy.

Its objectives include building a sustainable economy, promoting efficient use of natural resources, encouraging the private sector to shift to cleaner industrial production methods that involve the use of artificial intelligence and other Fourth Industrial Revolution (4IR) technologies, and adopting sustainable consumption and production patterns that reduce environmental stress while meeting the basic needs of the population.



IATA: Saudi Aviation Contributes $90.6 Billion to Economy, Supports 1.4 Million Jobs

A Boeing 787-9 Dreamliner operated by Riyadh Air at King Khalid International Airport (Riyadh)
A Boeing 787-9 Dreamliner operated by Riyadh Air at King Khalid International Airport (Riyadh)
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IATA: Saudi Aviation Contributes $90.6 Billion to Economy, Supports 1.4 Million Jobs

A Boeing 787-9 Dreamliner operated by Riyadh Air at King Khalid International Airport (Riyadh)
A Boeing 787-9 Dreamliner operated by Riyadh Air at King Khalid International Airport (Riyadh)

A recent study by the International Air Transport Association (IATA) has revealed the substantial economic and social contributions of Saudi Arabia’s aviation sector.

Released during IATA Aviation Day for the Middle East and North Africa, the report—titled The Value of Air Transport in Saudi Arabia—highlights how aviation and related tourism are key engines of job creation and economic activity across the Kingdom.

According to 2023 data, the aviation sector in Saudi Arabia contributed $90.6 billion to the national economy, representing approximately 8.5% of GDP. This figure accounts for the sector’s direct impact, extended supply chain activities, employee spending, and tourism-driven revenue. The report positions aviation as a critical pillar of the Kingdom’s economic development strategy, especially within the framework of Vision 2030, where enhanced air connectivity plays a central role.

The study found that around 141,100 people are directly employed in the aviation sector, contributing $14.3 billion - or 1.3% of GDP - through their work. When factoring in indirect employment, such as jobs in supply chains, hospitality, and services tied to aviation and tourism, the sector supports approximately 1.4 million jobs across the country.

Tourism alone, underpinned by air connectivity, contributed $52.9 billion to the Saudi economy and generated 1.1 million jobs. International tourists arriving by air added an estimated $60.6 billion annually through their spending on goods and services provided by local businesses.

Beyond its economic footprint, the aviation industry also delivers strong social value and supports the United Nations’ Sustainable Development Goals. Greater accessibility has played a major role in this, with global airfares declining by 70% over the past 50 years. In Saudi Arabia, real ticket prices fell by 30% between 2011 and 2023, during which the country recorded an average of 1,429 flights per 1,000 residents.

The sector’s role extends to facilitating trade, investment, and innovation. In 2023, Saudi airports handled 713,000 tons of air freight, helping to power e-commerce growth and strengthen the country’s supply chain resilience, especially during times of crisis.

International flights accounted for 54% of total outbound traffic from Saudi Arabia in 2023, with 28.6 million passengers departing the country. The Asia-Pacific region was the top destination, with 11.4 million travelers (40% of total international passengers), followed by Africa with 7.1 million (25%) and other Middle Eastern countries with 5.9 million (21%).

Kamil Al-Awadhi, IATA Regional Vice President for Africa and the Middle East, emphasized that keeping aviation a strategic priority - while maintaining global standards, offering competitive operating costs, and adopting smart regulatory frameworks - will further enhance Saudi Arabia’s global competitiveness and support its economic and social development goals.

Looking ahead, IATA identified three key areas to ensure long-term sustainability in Saudi aviation. These include strengthening collaboration with stakeholders and aligning with global best practices; ensuring that expanding airport and digital infrastructure projects are efficient and competitive, particularly through private sector partnerships; and investing in human capital development. In support of this, IATA has signed agreements with Saudi partners to train more than 1,000 graduates and aviation professionals.