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G20 Finance Ministers and Central Bank Governors to Meet Saturday

G20 Finance Ministers and Central Bank Governors to Meet Saturday
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G20 Finance Ministers and Central Bank Governors to Meet Saturday

G20 Finance Ministers and Central Bank Governors to Meet Saturday

Finance Ministers and Central Bank Governors from the Group of 20 major economies are set to hold a virtual meeting on Saturday to discuss global economic outlook and coordinate collective action for a robust and sustained global economic recovery.

The FMCBG meeting will be held under the Saudi G20 Presidency and will be chaired by Saudi Finance Minister Mohammed Aljadaan and Dr. Ahmed Alkholifey, Governor of the Saudi Arabian Monetary Authority.

The G20 Finance Ministers and Central Bank Governors endorsed in April the G20 Action Plan in response to the COVID-19 pandemic and will be reviewing, tracking its implementation in upcoming FMCBG meetings and reporting on its progress to the G20 Leaders’ Summit in November.

The Plan “sets out the key principles guiding the G20 response and its commitments to specific actions to drive forward international economic cooperation as we navigate this crisis and look ahead to a robust, sustained and inclusive global economic recovery,” the G20 Saudi Secretariat said in a statement.

“The Action Plan aims also to strengthen international financial assistance to countries in need, especially the poorest countries. This includes agreement on a G20 historic initiative that calls for debt suspension and can provide over USD 14 billion in relief to the poorest countries, enabling them to redirect resources to fight the pandemic,” it said.

“The FMCBG meeting will also review progress on previously agreed G20 Finance Track priorities in 2020, including on enhancing access to opportunities for all, financial resilience and development, infrastructure investment, addressing tax challenges arising from the digitalization of the economy, and Financial Sector issues around enhancing global crossborder payment arrangements, LIBOR transition and digital financial inclusion for youth, women, and SMEs,” it added.

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Business

IATA: Middle East Will Lead the World in Airline Profitability in 2026

International Air Transport Association (IATA) flags
International Air Transport Association (IATA) flags
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IATA: Middle East Will Lead the World in Airline Profitability in 2026

International Air Transport Association (IATA) flags
International Air Transport Association (IATA) flags

The International Air Transport Association (IATA) has said the Middle East will lead the world in airline profitability next year.

According to its outlook for the region as part of its 2026 global industry forecast, which it released on Thursday, Middle East carriers are expected to deliver the highest net profit margin globally (9.3%) and the highest profit per passenger ($28.6)—well above the global averages of 3.9% and $7.9 respectively.

“The Middle East’s position as the most profitable region in 2026, in terms of profit margin and profit per passenger, underscores the benefits of strategic investment, supportive policy frameworks, and the region’s role as a global connecting hub,” IATA Regional Vice President, Africa and Middle East Kamil Al-Awadhi said.

“But this success is far from uniform. Several carriers continue to face severe financial pressure due to geopolitical instability, blocked funds, and uneven infrastructure development,” he added.

According to IATA, Middle East airlines are forecast to generate $6.9 billion in net profit in 2026, reflecting the region’s strong fundamentals, including robust long-haul traffic, expanding hub capacity, and continued investment in infrastructure.

By comparison, global industry net profit is projected to reach $41 billion, with a total of 5.2 billion passengers expected to travel worldwide.

Cargo demand is expected to grow 2.6% globally, with Middle East cargo volumes remaining stable.

The regional passenger market is forecast to reach 240 million passengers in 2026, supported by an expected 6.1% growth rate, outpacing the global average of 4.9%.

Despite positive performance, the region faces several structural challenges:

Blocked Funds: Of the $1.2 billion in airline funds blocked globally as of October 2025, 43% ($515 million) is held in the Middle East and North Africa (MENA). Algeria now represents the largest share of blocked funds, driven by new approval requirements that have added administrative delays. Lebanon’s blocked funds remain static, representing legacy balances from 2019–2021.

Geopolitical Instability: Conflicts in Yemen, Syria, Iraq, and Lebanon continue to restrict airspace and disrupt operations. Airlines face longer routings around closed or restricted airspace, increasing fuel burn, emissions, and flight times.

Economic Disparities: Gulf Cooperation Council (GCC) states have made significant progress in building world-class aviation systems. In contrast, lower-income countries such as Yemen, Lebanon, and Syria face outdated infrastructure, under-resourced aviation authorities, and limited investment capacity.

IATA underscored the importance of greater cooperation to unlock aviation’s full potential in the Middle East. Key priorities include:

Advancing toward a more integrated air transport market to improve connectivity and reduce market fragmentation.

Ensuring fair and proportionate consumer protection by aligning national regulations with ICAO principles and global best practices.

Supporting states emerging from sanctions to safely reintegrate into the global aviation system, including access to aircraft, financing, and international standards.

“Greater regional coordination is essential for the Middle East to realize its full aviation potential. An integrated air transport market, fair consumer protection rules, and clearing blocked funds will strengthen connectivity and efficiency across the region,” said Al-Awadhi.

Business

SME Bank Signs 19 Agreements Worth over SAR3 Billion to Strengthen Finance, Development

The memoranda of understanding aim to establish a unified development-finance model that serves small and medium enterprises (SMEs) across various economic sectors - SPA
The memoranda of understanding aim to establish a unified development-finance model that serves small and medium enterprises (SMEs) across various economic sectors - SPA
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SME Bank Signs 19 Agreements Worth over SAR3 Billion to Strengthen Finance, Development

The memoranda of understanding aim to establish a unified development-finance model that serves small and medium enterprises (SMEs) across various economic sectors - SPA
The memoranda of understanding aim to establish a unified development-finance model that serves small and medium enterprises (SMEs) across various economic sectors - SPA

The Small and Medium Enterprises Bank (SME Bank) signed 19 cooperation agreements and memoranda of understanding with entities from both the public and private sectors, with a total value exceeding SAR3 billion, in support of the development finance ecosystem and the empowerment of enterprises as part of the Development Finance Conference MOMENTUM 2025, SPA reported.

The memoranda of understanding aim to establish a unified development-finance model that serves small and medium enterprises (SMEs) across various economic sectors and enhances integration among development entities under the National Development Fund ecosystem, thereby contributing to improving financing efficiency and expanding SMEs’ access to sustainable financing solutions.

The cooperation agreements come as an extension of the bank's commitment to expanding the range of financing options through strategic partnerships that support growth and sustainability, enable entrepreneurs to scale their businesses, and strengthen the role of the private sector in supporting the national economy and increasing its contribution to gross domestic product (GDP).

Business

Saudi Arabia Seals 62 Market Access Deals Since Joining WTO

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
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Saudi Arabia Seals 62 Market Access Deals Since Joining WTO

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)

Saudi Arabia has secured 62 market access deals in goods and services since joining the World Trade Organization, alongside 379 rounds of in person and virtual negotiations, and 42 laws and regulations enacted to fulfill its pre-accession commitments, the General Authority for Foreign Trade said in a report.

The kingdom became the WTO’s 149th member in December 2005 after 12 years of talks, a milestone that reshaped Saudi Arabia’s trade landscape and pushed it toward deeper global integration.

Accession paved the way for foreign investment, expanded non oil exports, strengthened the commercial ecosystem and enhanced transparency and international dispute settlement in line with WTO rules.

This month marks two decades since Saudi Arabia entered the global trade body, a period defined by sweeping reforms, expanding partnerships and a more assertive Saudi presence in international commerce.

Decision making role

Over the past 20 years, Saudi Arabia has steadily grown its influence within the WTO, moving from a new entrant to an active participant in global rulemaking.

Riyadh continues to overhaul its commercial framework to stimulate economic activity.

Key changes include the Commercial Register Law, the Trade Names Law, amendments to the Precious Metals and Gemstones Law, and updated executive regulations governing private laboratories.

The new Commercial Register and Trade Names laws aim to streamline business operations and ease regulatory burdens by consolidating company documentation into a single nationwide register and tightening procedures for reserving and protecting trade names.

Both laws align with Saudi Arabia’s accelerating economic and digital transformation under Vision 2030.

The Commercial Register Law, which comprises 29 articles, improves the ease of doing business by regulating registration procedures, ensuring data accuracy, mandating regular updates and making information readily accessible to investors and regulators.

Commercial register

The revamped system introduces a centralized electronic database that records traders’ names and key information, and sets out clearly defined responsibilities and procedures for registration.

It simplifies commercial activity by abolishing branch level records for firms and establishments. Instead, each entity will operate under one unified commercial register covering all activities nationwide, a shift expected to reduce costs and administrative burdens.

The law grants companies and sole proprietorships a five year transition period to settle existing branch records. Options include transferring a sole proprietorship’s branch record to another party as a main record, converting a branch record into a standalone company, or canceling the branch record and moving its assets and activities to the main register.

The legislation also obliges businesses to open bank accounts directly linked to their commercial entities to bolster credibility and ensure the integrity of financial transactions.

It eliminates the requirement to renew commercial registers and removes expiry dates altogether. Instead, businesses must complete an annual electronic confirmation of their data. Registers are suspended after a three month delay and deleted automatically after one year of suspension.

The law also introduces alternative enforcement tools that emphasize compliance over punitive action, including formal warnings and compulsory correction of violations.