Saudi Arabia Discusses Solutions to Overcome Global Economy Crises

Spain’s Acting Foreign Minister Josep Borrell Fontelles (C) gestures during a family photo session at the G20 Foreign Ministers' Meeting in Nagoya, Japan, November 23, 2019. REUTERS/Kim Kyung-Hoon
Spain’s Acting Foreign Minister Josep Borrell Fontelles (C) gestures during a family photo session at the G20 Foreign Ministers' Meeting in Nagoya, Japan, November 23, 2019. REUTERS/Kim Kyung-Hoon
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Saudi Arabia Discusses Solutions to Overcome Global Economy Crises

Spain’s Acting Foreign Minister Josep Borrell Fontelles (C) gestures during a family photo session at the G20 Foreign Ministers' Meeting in Nagoya, Japan, November 23, 2019. REUTERS/Kim Kyung-Hoon
Spain’s Acting Foreign Minister Josep Borrell Fontelles (C) gestures during a family photo session at the G20 Foreign Ministers' Meeting in Nagoya, Japan, November 23, 2019. REUTERS/Kim Kyung-Hoon

Saudi Arabia steps into the new year amid a challenge to provide sustainable development solutions to overcome the new century’s crises. This was revealed in the G20 hosting statement.

The kingdom relies on its capabilities, potentials, and successful experiences, which enable it to lead the 2020 G20 Riyadh Summit.

Saudi Arabia is expected to present suggestions that contribute positively to reinforcing the global economy, which has been staggering since the global financial crisis in 2008.

For his part, Accounting Professor at Taif University Salem Baajaja explained to Asharq Al-Awsat newspaper that the economic policies going in tandem with the changes have consolidated the kingdom’s economic posture.

Notably, these policies resulted in the programs of Saudi Vision 2030 and the National Transformation Program besides other programs.

Baajaja noted that the Saudi Vision 2030 embraced the transformation changes and requirements in order to achieve a transition in structural activities and infrastructure and to introduce new sectors.

He affirmed that the kingdom has the ability to issue more visions and ideas during the G20 Summit, to be held in Riyadh in 2020 -- the kingdom is starting the new year in its capacity as a main producer of oil in the world with reserves of global oil equal to 18.1 percent.

Further, President of al-Shorouk Center for Economic Studies Dr. Abdulrahman Baashen told Asharq Al-Awsat that the kingdom enjoys a rich and diversified weight as new sectors get involved in the output.

Baashen noted that the kingdom has issued the Saudi Vision 2030 and the National Transformation Program in a rational manner in order to empower the added value of output. The reforms have resulted in urging the private sector to lead the budget and reinforce the domestic product as well as increase its contribution to the Saudi economy, he added.

Moreover, economist Dr. Khaled Ramadan said that the kingdom is qualified to provide experiences that could get the G20 countries’ confidence in Riyadh next year.



Gold Extends Gains as Trump Tariffs Fuel Safe Haven Flows

Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo
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Gold Extends Gains as Trump Tariffs Fuel Safe Haven Flows

Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo

Gold prices rose for a second straight session on Tuesday, but traded below the recent all-time highs, as uncertainty around US President Donald Trump's tariff plans continued to fuel economic growth concerns and safe haven flows into bullion.

Spot gold gained 0.6% at $2,913.79 an ounce as of 0714 GMT. It hit a record high of $2,942.70 last week.

US gold futures added 0.9% to $2,925.50.

"Trump's disruptive modus operandi, aggressive rhetoric and tariffs - whether actual or threatened - could unravel global trade and intricate supply chains," said Nikos Tzabouras, senior financial writer at trading platform Tradu, Reuters reported.

"With uncertainty surrounding the global economy and the broader geopolitical landscape in the Trump 2.0 era, gold is set to remain a natural beneficiary of risk-off flows and central bank buying."

Since taking office last month, Trump has swiftly redrawn the global trade battlefield with a series of tariffs, while plans are already in motion for sweeping reciprocal tariffs, aimed squarely at any nation that taxes US products.

"Gold continues to benefit from the uncertainty surrounding the US. government's tariff policy. Central bank buying should also continue to provide support, even if there is no new data on this," Commerzbank analysts said in a note.

The market's focus has now shifted to the US Federal Reserve's January meeting minutes due on Wednesday for clues into the central bank's interest rate trajectory.

"Price gains are also supported by growing expectations that the Fed will cut rates in 2025 - a sentiment that gained further traction among traders after last week's disappointing US retail sales figures," Ricardo Evangelista, senior analyst at brokerage firm ActivTrades, said.

Bullion benefits from geopolitical and economic uncertainties, as well as rising price pressures, but higher interest rates diminish the asset's allure.

Spot silver fell 0.9% to $32.50 an ounce. Platinum jumped 0.9% to $985.20 and palladium climbed 1.6% to $978.00.