Kuwait is Top Investor in Jordan with $18 Billion

General view of an empty roundabout during a COVID-19 coronavirus pandemic curfew in the center of Jordan's capital Amman. (AFP)
General view of an empty roundabout during a COVID-19 coronavirus pandemic curfew in the center of Jordan's capital Amman. (AFP)
TT

Kuwait is Top Investor in Jordan with $18 Billion

General view of an empty roundabout during a COVID-19 coronavirus pandemic curfew in the center of Jordan's capital Amman. (AFP)
General view of an empty roundabout during a COVID-19 coronavirus pandemic curfew in the center of Jordan's capital Amman. (AFP)

Kuwait's ambassador to Jordan Aziz Al-Daihani revealed on Saturday that Kuwait is the first investor in Jordan with investments worth 5.5 billion Kuwaiti dinars ($18 billion).

During a meeting organized by the Jordanian Businessmen Association under the title (the development of Jordanian-Kuwaiti economic relations), Al-Daihani said he hoped economic cooperation between between the two brotherly countries would expand to reach a political cooperation level.

Al-Daihani said Jordan and Kuwait have signed up to 73 joint agreements, most of which are economic, noting that meetings between the joint committee and the technical committee of both countries are being organized.

He also hailed the investment climate in Jordan and the interest of the political leadership in supporting the investor who are looking for an encouraging climate and a stable investment environment, calling on Jordanian businessmen to take advantage of investment opportunities in Kuwait.

Al-Daihani reviewed the Kuwaiti humanitarian role in supporting Jordanian efforts to absorb the repercussions of refugee crises in the region, appreciating the role of the Jordanian Businessmen Association in strengthening economic cooperation relations between the two countries and discussing issues of concern to the Kuwaiti and Jordanian private sectors.



Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
TT

Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)

As Saudi companies start reporting their Q2 financial results, experts are optimistic about the transport and logistics sector. They expect a 10% annual growth, with total net profits reaching around SAR 900 million ($240 million), driven by tourism and an economic corridor project.

In Q1, the seven listed transport and logistics companies in Saudi Arabia showed positive results, with combined profits increasing by 5.8% to SAR 818.7 million ($218 million) compared to the previous year.

Four companies reported profit growth, while three saw declines, including two with losses, according to Arbah Capital.

Al Rajhi Capital projects significant gains for Q2 compared to last year: Lumi Rental’s profits are expected to rise by 31% to SAR 65 million, SAL’s by 76% to SAR 192 million, and Theeb’s by 23% to SAR 37 million.

On the other hand, Aljazira Capital predicts a 13% decrease in Lumi Rental’s net profit to SAR 43 million, despite a 44% rise in revenue. This is due to higher operational costs post-IPO.

SAL’s annual profit is expected to grow by 76% to SAR 191.6 million, driven by a 29% increase in revenue and higher profit margins.

Aljazira Capital also expects a 2.8% drop in the sector’s net profit from Q1 due to lower profits for SAL and Seera, caused by reduced revenue and profit margins.

Mohammad Al Farraj, Head of Asset Management at Arbah Capital, told Asharq Al-Awsat that the sector’s continued profit growth is supported by seasonal factors like summer travel and higher demand for transport services.

He predicts Q2 profits will reach around SAR 900 million ($240 million), up 10% from Q1.

Al Farraj highlighted that the India-Middle East-Europe Economic Corridor (IMEC), linking India with the GCC and Europe, is expected to boost sector growth by improving trade and transport connections.

However, he warned that companies may still face challenges, including rising costs and workforce shortages.