Saudi Arabia, South Africa Hold Meeting to Discuss Qualitative Investments in Entrepreneurial Firms

The Saudi-South African roundtable meeting held in Jeddah on Sunday, October 16, 2022.  (Asharq Al-Awsat)
The Saudi-South African roundtable meeting held in Jeddah on Sunday, October 16, 2022. (Asharq Al-Awsat)
TT

Saudi Arabia, South Africa Hold Meeting to Discuss Qualitative Investments in Entrepreneurial Firms

The Saudi-South African roundtable meeting held in Jeddah on Sunday, October 16, 2022.  (Asharq Al-Awsat)
The Saudi-South African roundtable meeting held in Jeddah on Sunday, October 16, 2022. (Asharq Al-Awsat)

A Saudi-South African roundtable meeting was held Sunday in the Saudi city of Jeddah.

The meeting aimed at promoting investment relations, bolstering efforts to develop economic ties and qualitative investments for entrepreneurial companies, and enabling the private sector to benefit from the opportunities available in the two countries.

South African President Cyril Ramaphosa, Saudi Minister of Investment Eng. Khalid al-Falih, Minister of Tourism Ahmad al-Khateeb, and Minister of Industry and Mineral Resources Bandar al-Khorayef, as well as South African Minister of Trade, Industry and Competition Ebrahim Patel attended the meeting.

The roundtable talks saw the participation of Saudi and South African entrepreneurship companies, the Federation of Saudi Chambers and representatives of the private sectors and companies from the two sides.

The agenda included presentations by Saudi and South African companies, opportunities to develop their businesses and means to address challenges they are facing in an attempt to enhance business and investments in the fields of energy, renewable energy, mining, agriculture, food, tourism, logistics, and ICT.

The meeting represents a step to support the outcomes of the Saudi-South African Investment Forum that was held Saturday and reviewed bilateral investment opportunities, with the participation of several officials from the two countries and representatives of the private sectors and companies.

Falih underscored the importance of Ramaphosa’s active participation in strengthening investment, trade and business ties.

He pointed out that the two countries and their commercial societies have ambitious plans for investment and economic development.

Falih indicated that the roundtable represents the next step in achieving the aspirations, with two governments working to help provide business growth opportunities for the vibrant and innovative private sector companies in both countries.

On Saturday, the Kingdom’s Ministry of Investment held the Saudi-South African Investment Forum in Jeddah. The event was attended by Ramaphosa and dozens of senior officials from the two countries.

The two countries signed 11 agreements and Memoranda of Understanding to boost investment in energy, water, green hydrogen, waste diversion, and logistics.

The agreements aimed to promote the developing investment sectors between the two nations and between the Middle East and South Africa, and transfer specialized technical knowledge and expertise.

Bilateral trade between the two countries increased from $4.6 billion in 2019 to around $4.8 billion last year, and is expected to exceed $5.3 billion this year, Falih said.

The minister praised the solid and friendly ties between the two countries, including their economic and trade cooperation which has stood for over three decades.

He stated that the priority areas of cooperation between the two countries include renewable and green energy, mining, agriculture and food processing, hydrogen and solar energy, tourism, aerospace, and information technology, among others.



OPEC Again Cuts 2024, 2025 Oil Demand Growth Forecasts

The OPEC logo. Reuters
The OPEC logo. Reuters
TT

OPEC Again Cuts 2024, 2025 Oil Demand Growth Forecasts

The OPEC logo. Reuters
The OPEC logo. Reuters

OPEC cut its forecast for global oil demand growth this year and next on Tuesday, highlighting weakness in China, India and other regions, marking the producer group's fourth consecutive downward revision in the 2024 outlook.

The weaker outlook highlights the challenge facing OPEC+, which comprises the Organization of the Petroleum Exporting Countries and allies such as Russia, which earlier this month postponed a plan to start raising output in December against a backdrop of falling prices.

In a monthly report on Tuesday, OPEC said world oil demand would rise by 1.82 million barrels per day in 2024, down from growth of 1.93 million bpd forecast last month. Until August, OPEC had kept the outlook unchanged since its first forecast in July 2023.

In the report, OPEC also cut its 2025 global demand growth estimate to 1.54 million bpd from 1.64 million bpd, Reuters.

China accounted for the bulk of the 2024 downgrade. OPEC trimmed its Chinese growth forecast to 450,000 bpd from 580,000 bpd and said diesel use in September fell year-on-year for a seventh consecutive month.

"Diesel has been under pressure from a slowdown in construction amid weak manufacturing activity, combined with the ongoing deployment of LNG-fuelled trucks," OPEC said with reference to China.

Oil pared gains after the report was issued, with Brent crude trading below $73 a barrel.

Forecasts on the strength of demand growth in 2024 vary widely, partly due to differences over demand from China and the pace of the world's switch to cleaner fuels.

OPEC is still at the top of industry estimates and has a long way to go to match the International Energy Agency's far lower view.

The IEA, which represents industrialised countries, sees demand growth of 860,000 bpd in 2024. The agency is scheduled to update its figures on Thursday.

- OUTPUT RISES

OPEC+ has implemented a series of output cuts since late 2022 to support prices, most of which are in place until the end of 2025.

The group was to start unwinding the most recent layer of cuts of 2.2 million bpd from December but said on Nov. 3 it will delay the plan for a month, as weak demand and rising supply outside the group maintain downward pressure on the market.

OPEC's output is also rising, the report showed, with Libyan production rebounding after being cut by unrest. OPEC+ pumped 40.34 million bpd in October, up 215,000 bpd from September. Iraq cut output to 4.07 million bpd, closer to its 4 million bpd quota.

As well as Iraq, OPEC has named Russia and Kazakhstan as among the OPEC+ countries which pumped above quotas.

Russia's output edged up in October by 9,000 bpd to about 9.01 million bpd, OPEC said, slightly above its quota.