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Saudi Housing Finance Jumps 11% in H1 2021

Government-backed housing finance programs continue to grow in Saudi Arabia. (Asharq Al-Awsat)
Government-backed housing finance programs continue to grow in Saudi Arabia. (Asharq Al-Awsat)
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Saudi Housing Finance Jumps 11% in H1 2021

Government-backed housing finance programs continue to grow in Saudi Arabia. (Asharq Al-Awsat)
Government-backed housing finance programs continue to grow in Saudi Arabia. (Asharq Al-Awsat)

The demand for the subsidized residential real estate financing program in Saudi Arabia jumped 11% in H1 2021 at time when the Real Estate Development Fund announced that more than 520,000 families have benefited from the subsidized mortgage loan program since June 2017.

According to data released by the Fund, 103,000 families benefited from the financing and housing options of the “subsidized loan” program during the first six months of 2021.

Real Estate Development Fund CEO Mansour bin Madi explained that the subsidized real estate financing program recorded an increase of 11% during the first half of 2021, with the signing of more than 103,000 financing contracts, compared to 92,000 during the same period in 2020.

The total value of signed contracts exceeded SAR63 billion.

Madi referred to the Fund providing financing and housing options under the subsidized loan program allowing more than 45,000 individuals to benefit from ready-made housing units and more than 33,000 to sign up for self-construction projects.

The program has also given about 12,000 beneficiaries the opportunity to apply for housing units under construction.

Madi indicated that the subsidized real estate financing program recorded more than 520,000 financing contracts from June 2017 until the end of June 2021.

According to the chief executive, this is equivalent to 60% of what has been achieved during the past four decades.

“What has been achieved from the total subsidized financing contracts since its launch in 2017, confirms the confidence of Saudi families in the subsidized loan program,” said Madi in a statement on Wednesday.

The subsidized real estate loan provides a good loan of up to SAR500,000, supported by profits of up to 100%.

This is done through financing and housing solutions that suit the needs and financial capabilities of citizens, and provides several housing options, including self-construction, the purchase of ready-made or under-construction housing units.

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Business

UK Economy Grows as Expected before Iran War Impact

FILE PHOTO: The London skyline is seen with the financial district in the background, in London, Britain, March 25, 2026. REUTERS/Isabel Infantes/File Photo
FILE PHOTO: The London skyline is seen with the financial district in the background, in London, Britain, March 25, 2026. REUTERS/Isabel Infantes/File Photo
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UK Economy Grows as Expected before Iran War Impact

FILE PHOTO: The London skyline is seen with the financial district in the background, in London, Britain, March 25, 2026. REUTERS/Isabel Infantes/File Photo
FILE PHOTO: The London skyline is seen with the financial district in the background, in London, Britain, March 25, 2026. REUTERS/Isabel Infantes/File Photo

Britain's economy grew robustly in the first quarter of 2026, official data confirmed on Tuesday, but households were squeezed even before the worst effects of the US-Iran conflict started to feed through.

Economic output grew by 0.6% in the first three months of the year, unchanged from an initial estimate by the Office for National Statistics.

"Services were the main driver of growth in the latest quarter, with strengths in computer programming, wholesale and advertising only offset by falls in rental companies and recruitment agencies," ⁠Liz McKeown, director ⁠of economic statistics at the ONS, said.

It marked the third year running of conspicuously strong growth in the first quarter — and some economists have raised concerns with the statistics office's seasonal adjustment processes.

According to Reuters, the ONS reiterated on Tuesday that a review had found no statistically significant seasonality, although it was monitoring it closely.

Business surveys and economic growth data for April suggest Britain's likely next prime minister to replace ⁠Keir Starmer, Andy Burnham, will face a tougher inheritance.

"Alongside softer household spending, tighter financial conditions and economic uncertainty will weigh on investment," said Matt Swannell, chief economic adviser to the EY ITEM Club, a consultancy.

"Even though the government will soon be under new leadership, fiscal policy is likely to remain tight in the near term."

The ONS revised growth in the final three months of 2025 down to 0.1%.

Output in 2025 as a whole was also slightly lower than previously thought at 1.3%, compared with a previous estimate of 1.4%.

Sterling showed little reaction to the data.

Real household disposable income per head, a measure of living standards that the Labour government aims to ⁠raise by the end ⁠of the parliamentary term, contracted by 0.8% in the first quarter, after a 1.2% rise at the end of 2025.

Households put less money aside in the first quarter with the savings ratio decreasing by 0.7 percentage points to 8.9%, driven by a fall in the contribution of non-pension saving.

The squeeze on households looks set to continue as the Bank of England held interest rates at 3.75% in June and investors are pricing in the first quarter-point increase by February 2027.

Britain's budget watchdog in March forecast the economy to expand 1.1%, although the projections were made before the Iran war started.

Compared with a year earlier, GDP was 0.9% higher, the ONS said, revised down from a previous estimate of 1.1%, while output on a per capita basis was 0.7% higher than the year before.

Business

Shell Expects 65% Rise in Global LNG Demand by 2050

FILE PHOTO: Shell logo and stock graph are seen through a magnifier displayed in this illustration taken September 4, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Shell logo and stock graph are seen through a magnifier displayed in this illustration taken September 4, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
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Shell Expects 65% Rise in Global LNG Demand by 2050

FILE PHOTO: Shell logo and stock graph are seen through a magnifier displayed in this illustration taken September 4, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Shell logo and stock graph are seen through a magnifier displayed in this illustration taken September 4, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

Global liquefied natural gas demand is expected to rise by around 65% by 2050, driven largely by Asia as countries seek lower-emission alternatives to coal and data centers boost power demand, Shell said in an annual report on Tuesday.

Global demand is likely to reach nearly 700 million metric tons a year by that date, the world's largest trader of the superchilled fuel said in its 2026 LNG Outlook.

LNG trade, which reached 422 million tons in 2025, had been set to increase in 2026, it added.

However, severe disruption to shipping through the Strait of Hormuz has shut in around one-fifth of global monthly LNG ⁠supply since the ⁠Middle East conflict began.

As a result, global LNG trade in 2026 could be similar to last year's level if shipping through the strait returns to normal this summer, before returning to growth in 2027, Reuters quoted Shell as saying.

"The conflict created a system-wide shock with disruption cascading across all segments of the economy, but the LNG industry has proved resilient and able to adapt to changing market conditions," Cederic Cremers, Shell's president of integrated gas, said in the report.

The company said recent ⁠growth in LNG supply and regasification infrastructure had improved market resilience and helped limit the impact of the disruption to shipping through Hormuz.

In addition, the ramp-up of new liquefaction facilities in North America, improved performance at existing plants and slower Asian LNG imports have helped offset reduced supply from the Middle East.

Although Asian LNG spot prices rose above $20 per million British thermal units at the peak of the Middle East crisis, they remained well below levels seen in 2022 following Russia's invasion of Ukraine, reflecting greater resilience in the LNG market, Shell said.

About 180 million tons per year of new LNG supply is forecast to enter the market by 2030, improving the availability and affordability of gas and opening up demand ⁠in new markets.

Forecasts ⁠show South and Southeast Asia will account for around 40% of global LNG imports by 2050 as countries seek lower-emission alternatives to coal to meet rapidly growing energy demand.

In more mature Asian markets such as Japan, data centers are emerging as a new source of power demand, the report said.

LNG will also continue to play a key role in European energy security and help balance intermittent renewable power generation as domestic gas production declines, Shell said.

To meet rising demand, significant additional investment will be needed in new LNG export projects through the 2030s and 2040s, with around 200 million tons per year of new liquefaction capacity required in addition to projects already under construction.

"While more investment in both supply and demand infrastructure is needed, the long-term outlook remains strong and LNG will continue to be a stabilizing force in the global energy system," Cremers said.

Business

Saudi Arabia Emerges as Global AI Hub as Tech Firms Base Regional Operations in Riyadh

The SAS pavilion at the Global AI Show in Riyadh. (Asharq Al-Awsat)
The SAS pavilion at the Global AI Show in Riyadh. (Asharq Al-Awsat)
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Saudi Arabia Emerges as Global AI Hub as Tech Firms Base Regional Operations in Riyadh

The SAS pavilion at the Global AI Show in Riyadh. (Asharq Al-Awsat)
The SAS pavilion at the Global AI Show in Riyadh. (Asharq Al-Awsat)

Saudi Arabia is no longer preparing for the age of artificial intelligence; it is helping shape it. After designating 2026 as the Year of AI, the Kingdom has evolved from a promising market into a major technology hub, attracting global companies eager to establish regional operations.

Reflecting that momentum, US data and AI company SAS selected Riyadh as its regional headquarters for the Middle East and North Africa a year ago. Founded in 1976, SAS is marking its 50th anniversary this year and is among the world’s leading providers of predictive analytics, data management, and machine learning solutions, serving industries including energy, finance, and healthcare.

Speaking to Asharq Al-Awsat on the sidelines of the Global AI Show, held in Riyadh on June 29-30, Khaled Moussa, Senior Customer Account Manager at SAS, said Saudi Arabia’s Vision 2030 has accelerated the adoption of advanced and sophisticated technologies.

He noted that the Kingdom’s modern digital infrastructure has enabled increasingly complex technological operations, fueling demand for SAS solutions and those of other technology firms across multiple sectors.

“The remarkable growth taking place in Saudi Arabia is attracting significant attention in the United States and beyond,” Moussa said. “That has encouraged international companies to make serious commitments to the market because of its rapid adoption of intelligent technologies.”

Although SAS has operated in Saudi Arabia since 1984, he added, “the market has reached a new level of maturity, both in terms of regulation and technology adoption.”

Moussa said SAS maintains a strong presence across several strategic sectors, particularly energy, through its collaboration with Saudi Aramco, the world’s largest energy company.

The company also works with the Saudi Electricity Company, providing advanced forecasting tools to predict electricity demand and support long-term planning, helping improve operational efficiency and future preparedness. SAS also supplies analytical solutions for the water sector to strengthen sustainability efforts.

Moussa highlighted two areas where predictive analytics deliver particular value. The first is market forecasting, where SAS helps organizations anticipate trends and make data-driven decisions while reducing unnecessary costs. The second is predictive maintenance, which allows industrial operators to identify potential equipment failures before they occur, minimizing downtime and avoiding costly repairs.

He also underlined SAS’s long-term commitment to developing Saudi talent. The company partners directly with universities to offer six-month paid internships, equipping students with practical experience before they enter the workforce.

In addition, SAS extends its training initiatives to schools and universities, teaching students how to apply AI technologies and preparing them for future careers.

The Global AI Show brought together more than 100 experts and global leaders from 80 countries, including government officials, innovators, and digital transformation specialists.

The event attracted more than 10,000 participants, 100 exhibitors and sponsors, and coverage from 200 international media organizations, reinforcing Riyadh’s growing role as a global platform for AI policymaking and international technology cooperation.