Saudi Arabia Expands its Economic Capabilities to Space

A photo taken from the Riyadh Space Exhibition, which was held at the King Salman Science Park last month under the slogan “Man and Space”. (SPA)
A photo taken from the Riyadh Space Exhibition, which was held at the King Salman Science Park last month under the slogan “Man and Space”. (SPA)
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Saudi Arabia Expands its Economic Capabilities to Space

A photo taken from the Riyadh Space Exhibition, which was held at the King Salman Science Park last month under the slogan “Man and Space”. (SPA)
A photo taken from the Riyadh Space Exhibition, which was held at the King Salman Science Park last month under the slogan “Man and Space”. (SPA)

Saudi Arabia’s recent announcement that it was sending two Saudi astronauts to the International Space Station (ISS) has kicked off talks about the Kingdom’s serious endeavor to benefit from the space economy as a giant sector, where global visions of sustainability and technology intersect.

The astronauts will make their trip during the second quarter of 2023, in a first-of-its-kind move for the Kingdom.

Last year, the Saudi government decided to establish the Supreme Space Council in view of the strategic importance of the space sector, which represents the main engine to stimulate innovation and inspire future generations, according to a statement of the Communications, Space and Technology Commission (CSTC).

Saudi Minister of Communications and Information Technology Abdullah Alswaha said the efforts would focus on creating the space market and stimulating research and innovation, and then moving towards the stage of regulation and governance.

The authority will play a pivotal role in setting the adequate regulations, as well as coordinating and cooperating with space regulators at the global level and building relationships with industry stakeholders.

Capacity building

In September 2022, the Saudi Space Authority launched the Kingdom’s Astronaut Program, which aims to qualify experienced national cadres for long- and short-term space flights. The program also seeks to train Saudi astronauts to participate in scientific experiments, international research, and future space-related missions.

The program aims to take advantage of the promising opportunities offered by the space sector and its industries globally and to contribute to research to serve humanity in a number of priority areas, such as health, sustainability and space technology.

Last week, the Saudi Press Agency (SPA) reported that Saudi female and male astronauts Rayana Bernawi and Ali Al-Qarni will join the crew of the Axiom Mission 2 (or Ax-2), with the aim of building national capacities.

The space mission aims to empower capabilities of Saudi scientists in human spaceflight geared towards serving humanity and benefiting from the promising opportunities offered by the space industry.

SPA added that the journey would start from the United States to the ISS. The program includes two other astronauts Maryam Firdous and Ali Al-Ghamdi, who will be trained on all mission requirements, but not take part in the journey.

In 1985, Prince Sultan bin Salman bin Abdulaziz was the first Arab astronaut to participate in a space flight, which also launched from the United States.

NASA announcement

NASA announced that Bernawi and Al-Qarni will take off “in the spring of 2023” from the Kennedy Space Center in Florida, in the United States, on a private mission operated by Axiom Space.

The two Saudi astronauts will accompany Peggy Whitson and John Shoffner on the Ax-2 mission, a Crew Dragon flight set to launch no earlier than May 1, 2023, to the ISS.

Economic dimension

In previous remarks, Minister Alswaha emphasized the importance of the space sector as “the next trillion global economy”, saying that the establishment of Supreme Space Council was “an important step to stimulate innovation and inspire future generations for our beloved country.”

Observers have underscored the importance of the decision, which corresponds with the vision followed by Saudi Arabia in launching programs and projects that are compatible with its financial and human capabilities, to create complementary industries for this sector, and a specialized market in the world of space.

Space agreements

Saudi Arabia had earlier concluded many agreements and contracts, including the Artemis Accords with the NASA, to join the international coalition in the field of civil exploration and the use of the moon, Mars, comets and asteroids for peaceful purposes.

Government attention

Alswaha said the fact that Prince Mohammed bin Salman, Crown Prince and Prime Minister, was president of the Supreme Space Council was a clear message of the importance that the Kingdom places on the space sector.

The council will focus on three main axes: adopting policies and strategies for the sector’s programs, approving its annual plans and monitoring the implementation of its national strategy, and achieving compatibility with various sectors and national needs.

Saudi transformation

The decision to establish the Supreme Space Council came in line with the industrial and economic transformation in Saudi Arabia, based on the initial steps taken by the Saudi Space Authority since its establishment in 2018.

These moves have resulted in the conclusion of an agreement in mid-March with the British Space Agency for cooperation in the field of peaceful use of outer space, aimed at providing a framework for cooperation in space activities.

Saudi satellites

Between 2000 and 2019, the Kingdom launched 16 Saudi satellites into space under the supervision of the King Abdulaziz City for Science and Technology (KACST). The latest was the Saudi Communications Satellite (SGS1), which was launched on February 6, 2019, bearing the signature of Crown Prince Mohammed with the words, “Above the clouds.”

SGS1 works to serve the modern satellite communications sector, which includes broadband and secure military communications, as well as the provision of communications to semi-remote and stricken areas for use in various fields of sustainable development such as: applications (high-speed broadband communications, and secure communications for government agencies).

The satellite is operated and managed through advanced ground control stations in the Kingdom.

An international map

Dr. Faisal Al-Fadil, member of the Saudi Shura Council, said the decision to establish the Supreme Space Council is part of the moves taken by Saudi Arabia in all economic and social fields, which aim to place the Kingdom on the international map in science, economy and politics.

According to Al-Fadil, these three branches depend on two pillars: cadres and a clear strategy.

Twenty companies

The Saudi Space Authority is currently seeking to attract 20 emerging companies in the fields of space tourism, exploration, satellite communications and space photography.

The program will enable these companies to work and connect with world-class resources to enhance their chances of success, in partnership with Techstars, a global investment firm that provides access to capital, individual mentorship, a global network, and customized programming for early-stage entrepreneurs.

Space economy

According to Morgan Stanley’s 2018 report, the size of the space economy in the world is $360 billion. It is expected to reach $1.1 trillion in 2040 and $2.7 trillion by 2050.

The G20 countries account for the largest share, at about 92 percent.

The private sector

The private sector plays a pivotal role in the space industry. According to the latest statistics, the sector achieved huge revenues of $254 billion, through six main activities that included satellite communication services and applications by around 36 percent, chips and receivers for satellite navigation by 23 percent, as well as ground equipment and devices by 23 percent, and satellite manufacturing by 9 percent.

This is in addition to space applications and remote sensing, and services for launching vehicles and human space flights by about 5 percent for each activity.



Oil Prices Rise as Fragile US-Iran Talks Sustain Supply Worries

FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026./File Photo
FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026./File Photo
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Oil Prices Rise as Fragile US-Iran Talks Sustain Supply Worries

FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026./File Photo
FILE PHOTO: Cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the US-Israeli conflict with Iran, in United Arab Emirates, March 11, 2026./File Photo

Oil prices rose nearly 1% on Tuesday as talks to end the US-Israeli war on Iran appeared fragile, with Tehran's response to a Washington proposal highlighting stark differences that have kept supply concerns alive.

Brent crude futures were up 86 cents, or 0.8%, at $105.07 per barrel, while US West Texas Intermediate gained 99 cents, or 1%, to $99.06 at 0411 GMT. Both benchmarks increased nearly 2.8% on Monday.

US President Donald Trump ‌on Monday said ‌the ceasefire with Iran was "on life support," pointing to ‌disagreements ⁠over several demands, such ⁠as the cessation of hostilities on all fronts, the removal of a US naval blockade, the resumption of Iranian oil sales and compensation for war damage, Reuters said.

Tehran also emphasized its sovereignty over the Strait of Hormuz, through which about a fifth of global oil and liquefied natural gas flows.

"Optimism regarding an imminent (peace) deal seems to be fading again and if we don’t see a ⁠deal by the end of May, then upside risks for ‌oil prices are definitely on the ‌table," said DBS Bank energy sector team lead Suvro Sarkar.

Disruptions linked to the near-closure ‌of the strait have prompted producers to curtail exports, with a Reuters ‌survey on Monday showing OPEC oil output in April falling to its lowest level in more than two decades.

"A genuine breakthrough toward a peace deal could trigger a sharp $8-$12 correction, while any escalation or renewed blockade threats would quickly push Brent ‌back toward $115+," said Tim Waterer, chief market analyst at KCM Trade.

Saudi Aramco CEO Amin Nasser on Monday warned ⁠that disruptions to oil ⁠exports through the strait could delay a return to market stability until 2027, with the loss of about 100 million barrels of oil per week.

Elsewhere on the supply front, US crude stocks were forecast by analysts in a Reuters poll to be down by around 1.7 million barrels in the previous week.

The draw comes against "a backdrop of continued strong net waterborne export flows for crude and products, across the next several weeks," said Walt Chancellor, an energy strategist at Macquarie Group.

Meanwhile, market participants were also keeping a close eye on Trump's planned meeting with Chinese President Xi Jinping on Wednesday, after Washington imposed sanctions on three individuals and nine companies for facilitating Iranian oil shipments to China.


Riyadh, Moscow Take Strategic Step toward Free Movement, Support for Investment and Tourism

Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)
Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)
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Riyadh, Moscow Take Strategic Step toward Free Movement, Support for Investment and Tourism

Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)
Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)

The mutual visa waiver for visits between Saudi Arabia and Russia took effect on Monday, marking a significant strategic step to strengthen economic and tourism openness between them.

The waiver helps save time and simplify procedures, and reduces costs for businesspeople, investors, and tourists, helping increase the frequency of direct travel and expanding opportunities for establishing business and investment partnerships.

On the business level, facilitating visa-free entry for up to 90 days gives Saudi and Russian companies greater flexibility to hold meetings, explore opportunities, and participate in trade fairs and economic events without bureaucratic complications, especially in sectors such as energy, industry, technology, tourism, and logistics.

This also boosts private sector confidence and encourages greater trade and joint investments.

The volume of trade between Saudi Arabia and Russia increased by more than 60% in 2024, reaching $3.8 billion. Both countries are taking accelerated steps to expand this trade and increase the volume of investments.

For tourism, the decision paves the way for more travel between the two countries, given the growing interest of Russian tourists in new Saudi destinations under Vision 2030, such as AlUla and the Red Sea, as well as entertainment and cultural events and tourist seasons. In return, Saudis are given greater flexibility to explore Russian cities, and cultural and natural destinations.

Facilitating movement

The agreement carries an important diplomatic dimension as it reflects the development of Saudi-Russian relations and their shift towards a deeper partnership at the economic, tourism, and cultural levels, in line with global trends aimed at facilitating the movement of people and deepening international cooperation.

Speaking to Asharq Al-Awsat, experts believe that the mutual visa waiver is a significant shift in relations as they are no longer limited to political coordination and energy, but are moving towards strengthening direct economic and tourism exchanges.

The experts said these steps often have a quick impact on investors and companies as they reduce procedural barriers and provide greater flexibility for holding meetings and exploring business opportunities, especially in sectors that attract mutual interest such as tourism, energy, technology, and logistics services.

Trade exchange

Dr. Salem Baajajah, an economics professor at King Abdulaziz University, told Asharq Al-Awsat that the move will pave the way for investment and increase the volume of trade between the two countries, allowing businesspeople to discover commercial and investment opportunities in Saudi Arabia and Russia.

From a tourism perspective, the agreement comes at an important time with the rapid development of the Saudi tourism sector under Vision 2030 as the Kingdom seeks to attract more international tourists and diversify its target markets, he added.

Economic researcher Fadwa AlBawardi told Asharq Al-Awsat the implementation of the mutual visa waiver is an important strategic step that deepens bilateral relations between the two countries at all levels.

The agreement is part of Saudi Arabia and Russia’s efforts to facilitate the movement of citizens and businesspeople, and to boost cultural and economic exchange, especially amid aspirations to achieve sustainable development and strengthen economic ties between the two sides, she went on to say.


Ongoing Strait of Hormuz Disruption Could Drag Oil Market Recovery into 2027, Aramco CEO Says

Aramco CEO Amin Nasser speaks at a conference. (Reuters file)
Aramco CEO Amin Nasser speaks at a conference. (Reuters file)
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Ongoing Strait of Hormuz Disruption Could Drag Oil Market Recovery into 2027, Aramco CEO Says

Aramco CEO Amin Nasser speaks at a conference. (Reuters file)
Aramco CEO Amin Nasser speaks at a conference. (Reuters file)

The ongoing energy supply shock is the largest the world has ever experienced, and continued disruption of the Strait of Hormuz could delay oil market normalization into 2027, Saudi Aramco CEO Amin Nasser warned on Monday.

"The longer the supply ‌disruptions continue, even ‌for another few more weeks, it ‌is ⁠going to take ⁠a much longer time for the oil market to rebalance and stabilize," he told analysts on a call to discuss the company's first-quarter results, which were released on Sunday and beat expectations.

The recovery could drag into 2027 if the situation continues until ⁠mid-June, Nasser said.

Iranian authorities effectively blocked ‌the vital waterway ‌in response to the US-Israel attacks on Iran that began ‌on February 28, sending energy prices surging and ‌stoking fears of spiraling inflation and a looming economic downturn.

Aramco has ramped up its East-West pipeline to its expanded capacity of 7 million barrels per day (bpd) to ‌divert crude from its production heartland to the Red Sea port of Yanbu.

⁠Nasser on Sunday ⁠called the pipeline a "critical lifeline".

The market is losing around 100 million barrels of oil for every week the maritime chokepoint remains closed, Nasser said, adding that only two to five vessels are now crossing the strait daily compared to around 70 before the war.

Even if the strait opens today, it will still take months for the market to rebalance, he said.

Nasser, however, predicted a very robust return to demand growth once normal shipping and trade resume.