Saudi Entertainment Authority Announces 1st Entertainment Business Accelerator

Saudi Arabia aims to make entertainment a vital sector in diversifying sources of income (Asharq Al-Awsat)
Saudi Arabia aims to make entertainment a vital sector in diversifying sources of income (Asharq Al-Awsat)
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Saudi Entertainment Authority Announces 1st Entertainment Business Accelerator

Saudi Arabia aims to make entertainment a vital sector in diversifying sources of income (Asharq Al-Awsat)
Saudi Arabia aims to make entertainment a vital sector in diversifying sources of income (Asharq Al-Awsat)

The Saudi General Entertainment Authority launched the Entertainment Business Accelerator program to encourage entrepreneurs interested in the rapidly growing sector.

Experts told Asharq Al-Awsat that the Kingdom is experiencing an unprecedented leap in entertainment, which requires qualifying the most significant number of enterprises to cope with the high demand in the current and upcoming phases.

The 12-week program will operate in two phases, aiming to provide entrepreneurs with guidance and training and link them with experts and consultants specialized in project development and a network of investors.

It provides weekly training workshops, and individual advisory sessions between entrepreneurs and specialized consultants will be provided as part of the program.

Experts will monitor participants' performance, support them in developing their projects, and help them prepare for the advanced investment rounds, where they will meet mentors weekly to expand their businesses.

The experts explained that entertainment projects in Saudi Arabia have recently proven successful in diversifying sources of income and increasing contribution to the gross domestic product.

They create job opportunities for male and female citizens, confirming the importance of providing and qualifying national companies capable of absorbing the size of mega projects and events to meet the government's ambition to promote the sector.

The program aligns with Vision 2030 in attracting 100 million visitors annually.

The Chairman of the Entertainment National Committee in the Federation of Saudi Chambers, al-Walid al-Baltan, explained that launching a program to accelerate and boost local competencies coincides with the upcoming projects that the Kingdom will witness in the entertainment sector.

Baltan told Asharq Al-Awsat that the business accelerator program would enable the owners of emerging projects to expand their business in the entertainment and compete to provide the best quality of services in line with the government's ambition.

He said it also creates multiple jobs for Saudis, adding that it diversifies sources of income and boosts the sector's contribution to the gross domestic product.

Managing Director of al-Hokair Tourism and Development Group Majed al-Hokair explained to Asharq Al-Awsat that the Kingdom is witnessing a quantum leap in entertainment, increasing the number of visitors from neighboring countries after Saudis used to travel to these countries for recreation.

Hokair indicated that the business accelerator launched by the Authority would enable small and medium enterprises and entrepreneurs to expand their businesses by linking them with the largest network of investors in several mega projects in the Kingdom.

The Entertainment Business Accelerator program accepts applications that end in March. The program would continue until June, targeting seven sectors: cities and centers, organizing events and crowd control, operating facilities, technical solutions, managing and developing technical talents, ticketing, and supporting services.

"Riyadh Calendar" welcomed 14 million visitors in all its regions, hosting various events of various interests and entertainment.

Visitors to Riyadh Calendar increased with its activities, including many aspects of entertainment at the local, regional, and global levels, forming a new and innovative industry to enjoy throughout the capital.

Riyadh is hosting exceptional events, most notably "The Earth Voice Night," which was held in February with the participation of top Arab artists.



Euro Zone Poised to Enter Trade Quagmire as Trump Wins

A container ship unloads its cargo in the German port of Hamburg (Reuters)
A container ship unloads its cargo in the German port of Hamburg (Reuters)
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Euro Zone Poised to Enter Trade Quagmire as Trump Wins

A container ship unloads its cargo in the German port of Hamburg (Reuters)
A container ship unloads its cargo in the German port of Hamburg (Reuters)

As Trump 2.0 becomes a reality, Europe is poised to enter a new geopolitical and trade quagmire with its biggest trading partner.

Donald Trump's victory may harm Europe's economy as proposed 10% US tariffs risk hitting European exports such as cars and chemicals, eroding Europe's GDP by up to 1.5% or about €260 billion.

Analysts warn of European Central Bank (ECB) rate cuts, euro weakness, and a recession risk.

According to several economic analyses, there is broad agreement that Trump's proposed 10% universal tariff on all US imports may significantly disrupt European growth, intensify monetary policy divergence, and strain key trade-dependent sectors such as autos and chemicals.

The long-term effects on Europe's economic resilience could prove even more significant if tariffs lead to protracted trade conflicts, prompting the European Central Bank (ECB) to respond with aggressive rate cuts to cushion the impact, according to Euronews.

Trump's proposed across-the-board tariff on imports, including those from Europe, could profoundly impact sectors such as cars and chemicals, which rely heavily on US exports.

Data from the European Commission shows that the European Union exported €502.3 billion in goods to the US in 2023, making up a fifth of all non-European Union exports.

European exports to the US are led by machinery and vehicles (€207.6 billion), chemicals (€137.4 billion), and other manufactured goods (€103.7 billion), which together comprise nearly 90% of the bloc's transatlantic exports.

ABN Amro analysts, including head of macro research Bill Diviney, warn that tariffs “would cause a collapse in exports to the US,” with trade-oriented economies such as Germany and the Netherlands likely to be hardest hit.

According to the Dutch bank, Trump's tariffs would shave approximately 1.5 percentage points off European growth, translating to a potential €260 bn economic loss based on Europe's estimated 2024 GDP of €17.4 tn.

Should Europe's growth falter under Trump's tariffs, the European Central Bank (ECB) may be compelled to respond aggressively, slashing rates to near zero by 2025.

In contrast, the US Federal Reserve may continue raising rates, leading to “one of the biggest and most sustained monetary policy divergences” between the ECB and the Fed since the euro's inception in 1999.

Dirk Schumacher, head of European macro research at Natixis Corporate & Investment Banking Germany, suggests that a 10% tariff increase could reduce GDP by approximately 0.5% in Germany, 0.3% in France, 0.4% in Italy, and 0.2% in Spain.

Schumacher warns that “the euro area could slide into recession in response to higher tariffs.”

According to Goldman Sachs' economists James Moberly and Sven Jari Stehn, the broad tariff would likely erode eurozone GDP by approximately 1%.

Goldman Sachs analysts project that a 1% GDP loss translates into a hit to earnings per share (EPS) for European firms by 6-7 percentage points, which would be sufficient to erase expected EPS growth for 2025.