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Natural Resources in Saudi Arabia Exceed $1.3 Trillion

Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat
Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat
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Natural Resources in Saudi Arabia Exceed $1.3 Trillion

Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat
Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat Saudi Energy Minister Khalid al-Falih during the “Bounties of our land” conference (Asharq Al-Awsat

Preliminary estimates indicate that the total value of mineral resources in the Kingdom of Saudi Arabia exceeds $1.3 trillion, in addition to what can be achieved by transforming this wealth into value-added products, announced Saudi Energy Minister Khalid al-Falih.

Speaking at the inauguration of the 12th International Geological Conference on Sunday “Bounties of our land” in Jeddah, Falih discussed Saudi Arabia's progress in geosciences.

The conference has been organized by the Saudi Geological Survey (SGS) in cooperation with the Saudi Society for Geosciences. It was attended by the head of the SGS, Hussein al-Otaibi, and a number of local and international experts in geology.

The conference also discussed studies of earthquakes and volcanoes, ways of mitigating the damage caused by natural disasters and methods to reduce geological hazards, and studies in surveying and exploration of mineral resources.

“The strategy aims to increase the production of base metals and precious metals to 10 times the current production to put the Kingdom among the top 10 aluminum producers in the world," Falih indicated.

He said mineral wealth is very important in helping to achieve the goals set in Vision 2030. He also indicated that "Maaden" will be responsible for producing aluminum and phosphate, which will make Saudi Arabia the pioneer in renewable energy sources.

The minister said the SGS will organize and implement the comprehensive geological regional survey project over the next five years, adding that the results of the exploration will be placed in the national geological database.

Falih stressed Vision 2030 aims to make Saudi Arabia a global power in renewable energy, and the Kingdom has all the elements for success in that field.

“Our country is witnessing a giant transformation which requires doubling the size and diversity of the national economy, including the mining sector, to meet the increasing global and domestic demand for energy through the development and diversification of the energy mix, including traditional hydrocarbon sources as well as renewable energy sources and nuclear energy," concluded the minister.

Head of Metallophilical Department at SGS Zubin al-Harbi, confirmed there are several short and long-term plans for the exploitation of economically useful minerals, the pillar of mining in Saudi Arabia, and find local stable sources of minerals such as uranium, gold, copper, lead and zinc.

Speaking to Asharq Al-Awsat, Harbi pointed out there are several indicators confirming Saudi Arabia has minerals with reserves and self-sufficiency, which qualifies the country to reach the export stage.

He added that, based on the evidence carried out by the Survey Authority, Saudi Arabia possesses large quantities of metals, pointing out that what was has been discovered so far comprises 50 per cent of the acutal amount underground.

The conference was attended by local and international experts who discussed the scientific progress made by Saudi Arabia in the field of geology of the earth sciences, as well as a series of research and studies in the field of mineral resources exploration and studies, earthquakes, volcanoes, and methods to reduce geological hazards.

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Business

IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
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IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA

The International Monetary Fund (IMF) and the Arab Monetary Fund (AMF) signed a memorandum of understanding (MoU) on the sidelines of the AlUla Conference on Emerging Market Economies (EME) to enhance cooperation between the two institutions.

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki, SPA reported.

The agreement aims to strengthen coordination in economic and financial policy areas, including surveillance and lending activities, data and analytical exchange, capacity building, and the provision of technical assistance, in support of regional financial and economic stability.

Both sides affirmed that the MoU represents an important step toward deepening their strategic partnership and strengthening the regional financial safety net, serving member countries and enhancing their ability to address economic challenges.

Business

Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT
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Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT

The Federation of Saudi Chambers announced the formation of the first joint Saudi-Kuwaiti Business Council for its inaugural term (1447–1451 AH) and the election of Salman bin Hassan Al-Oqayel as its chairman.

Al-Oqayel said the council’s formation marks a pivotal milestone in economic relations between Saudi Arabia and Kuwait, reflecting a practical approach to enabling the business sectors in both countries to capitalize on promising investment opportunities and strengthen bilateral trade and investment partnerships, SPA reported.

He noted that trade between Saudi Arabia and Kuwait reached approximately SAR9.5 billion by the end of November 2025, including SAR8 billion in Saudi exports and SAR1.5 billion in Kuwaiti imports.

Business

Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
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Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).

Harvard University economics professor Pol Antràs said Saudi Arabia represents an exceptional model in the shifting global trade landscape, differing fundamentally from traditional emerging-market frameworks. He also stressed that globalization has not ended but has instead re-formed into what he describes as fragmented integration.

Speaking to Asharq Al-Awsat on the sidelines of the AlUla Conference for Emerging Market Economies, Antràs said Saudi Arabia’s Vision-driven structural reforms position the Kingdom to benefit from the ongoing phase of fragmented integration, adding that the country’s strategic focus on logistics transformation and artificial intelligence constitutes a key engine for sustainable growth that extends beyond the volatility of global crises.

Antràs, the Robert G. Ory Professor of Economics at Harvard University, is one of the leading contemporary theorists of international trade. His research, which reshaped understanding of global value chains, focuses on how firms organize cross-border production and how regulation and technological change influence global trade flows and corporate decision-making.

He said conventional classifications of economies often obscure important structural differences, noting that the term emerging markets groups together countries with widely divergent industrial bases. Economies that depend heavily on manufacturing exports rely critically on market access and trade integration and therefore face stronger competitive pressures from Chinese exports that are increasingly shifting toward alternative markets.

Saudi Arabia, by contrast, exports extensively while facing limited direct competition from China in its primary export commodity, a situation that creates a strategic opportunity. The current environment allows the Kingdom to obtain imports from China at lower cost and access a broader range of goods that previously flowed largely toward the United States market.

Addressing how emerging economies should respond to dumping pressures and rising competition, Antràs said countries should minimize protectionist tendencies and instead position themselves as committed participants in the multilateral trading system, allowing foreign producers to access domestic markets while encouraging domestic firms to expand internationally.

He noted that although Chinese dumping presents concerns for countries with manufacturing sectors that compete directly with Chinese production, the risk is lower for Saudi Arabia because it does not maintain a large manufacturing base that overlaps directly with Chinese exports. Lower-cost imports could benefit Saudi consumers, while targeted policy tools such as credit programs, subsidies, and support for firms seeking to redesign and upgrade business models represent more effective responses than broad protectionist measures.

Globalization has not ended

Antràs said globalization continues but through more complex structures, with trade agreements increasingly negotiated through diverse arrangements rather than relying primarily on multilateral negotiations. Trade deals will continue to be concluded, but they are likely to become more complex, with uncertainty remaining a defining feature of the global trading environment.

Interest rates and artificial intelligence

According to Antràs, high global interest rates, combined with the additional risk premiums faced by emerging markets, are constraining investment, particularly in sectors that require export financing, capital expenditure, and continuous quality upgrading.

However, he noted that elevated interest rates partly reflect expectations of stronger long-term growth driven by artificial intelligence and broader technological transformation.

He also said if those growth expectations materialize, productivity gains could enable small and medium-sized enterprises to forecast demand more accurately and identify previously untapped markets, partially offsetting the negative effects of higher borrowing costs.

Employment concerns and the role of government

The Harvard professor warned that labor markets face a dual challenge stemming from intensified Chinese export competition and accelerating job automation driven by artificial intelligence, developments that could lead to significant disruptions, particularly among younger workers. He said governments must adopt proactive strategies requiring substantial fiscal resources to mitigate near-term labor-market shocks.

According to Antràs, productivity growth remains the central condition for success: if new technologies deliver the anticipated productivity gains, governments will gain the fiscal space needed to compensate affected groups and retrain the workforce, achieving a balance between addressing short-term disruptions and investing in long-term strategic gains.