Riyadh, Vienna Eye More Cooperation, Promoting Environmental, Water Protection

Austrian Minister for Digital and Economic Affairs Margarete Schramböck. (Asharq Al-Awsat)
Austrian Minister for Digital and Economic Affairs Margarete Schramböck. (Asharq Al-Awsat)
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Riyadh, Vienna Eye More Cooperation, Promoting Environmental, Water Protection

Austrian Minister for Digital and Economic Affairs Margarete Schramböck. (Asharq Al-Awsat)
Austrian Minister for Digital and Economic Affairs Margarete Schramböck. (Asharq Al-Awsat)

Austrian Minister for Digital and Economic Affairs Margarete Schramböck clearly admitted that the current Russian-Ukrainian war has exposed Europe’s urgent need for a roadmap that accommodates economic diversification, especially in the energy sector, to secure its demands.

This need made her visit to Saudi Arabia vital to finding the best way to enhance cooperation between Austria and the Kingdom and achieve what she is looking for in these geopolitical and geospatial conditions.

Speaking to Asharq Al-Awsat, Schramböck said there should be new partnerships and cooperation in the energy sector, noting that Austria is looking to become climate neutral by 2040.

Therefore, her visit to Saudi Arabia is an opportunity to exchange views with Saudi ministers on potential areas of cooperation in the energy sector.

Schramböck revealed that new agreements to boost cooperation and the signing of a memorandum of understanding in the field of environment and water protection are currently under study, noting that this would pave the way for Austrian companies to engage in Saudi Arabia.

As for Saudi-Austrian relations, she confirmed that the Kingdom enjoys an attractive commercial location for Austrian companies, indicating that Riyadh will witness the holding of the eighth session of the Saudi-Austrian Joint Committee, where a huge trade delegation will make contacts with Saudi companies within the framework of a Saudi-Austrian economic forum to deepen existing ties between the two countries. .

According to Schramböck, Austria’s great economic interest in the Saudi market is evident through its 40-member commercial delegation. She pointed out that the delegation is the largest trade mission in the long-term Saudi-Austrian partnership.

She stressed that Saudi Arabia, which has the largest economy in the region, offers excellent opportunities for Austrian companies in many countries over the coming years.

Cooperation fields

“We are looking for new partnerships and cooperation in the tourism sector, which tourism experts plan to pursue this fall... We would also like to intensify cooperation in the energy sector,” Schramböck told Asharq Al-Awsat.

“We look forward to Austria becoming climate neutral by 2040 and a leading country in climate protection by switching to renewable energy as much as possible,” she added.

The minister said she believes there is evidence of the need for new partnerships and cooperation in the energy sector, explaining that investing in green technology makes sense for the environment and the economy as a whole.

Schramböck noted that sustainable hydrogen would be a game-changer in achieving climate neutrality.

“In Athens, we are committed to producing green hydrogen in the long term. However, we will not meet the industry’s demand by ourselves. Cooperation in the hydrogen sector may be mutually beneficial,” she said.

Austrian investments

On the level of joint investments, Schramböck explained that in 2020, Austrian investments in the Kingdom amounted to about 54 million euros, while direct Saudi investments in Austria amounted to about 246 million euros.

According to the minister, the volume of trade exchange of goods and services in 2020 amounted to about 496 million euros. It dropped to about 342 million euros in 2021.

Russian crisis

Regarding geopolitical circumstances related to the Russian-Ukrainian crisis, Schramböck made it clear that her country fully supports Ukraine’s sovereignty and territorial integrity. She voiced the Austrian government’s solidarity with Kyiv and the Ukrainian people, stressing that it condemns Russia’s unjustified military aggression.

Schramböck believes that tightening the European Union’s sanctions against Russia and Belarus is necessary, stressing that her country fully supports them.

Economic losses

The minister went on to say that the Russian-Ukrainian crisis is directly affecting Austrian companies in their trade relations with Russia and Ukraine. There are currently about 650 Austrian companies with local branches in Russia and 200 in Ukraine.

Moreover, about 35,000 to 40,000 jobs are secured in Austria through trade with Russia.

Schramböck stressed that the increase in energy prices would continue.

The hike in prices can already be observed now, she remarked.

She noted that this would affect Austrian households and companies. Nevertheless, she emphasized that the European Union would stand united behind the measures that have been identified, even if they lead to high energy prices and supply chain issues.



Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)
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Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)

Iraq produces more than 5 million barrels of oil per day (bpd), Oil Minister Basim Mohammed told state news agency INA on Saturday.

According to Reuters, Iraq is pushing for a higher OPEC production quota as the economic fallout from the Iran war and new investment by oil majors increase pressure on Baghdad to boost output, potentially putting it at odds with the producer group.

The conflict has hit Iraq particularly hard, forcing major export cuts and depriving the state of oil revenue, which accounted for 88% of government income last year.


IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
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IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)

Central bankers around the world would need to consider any slowdown in AI-driven growth as they assess steps in their fight against inflation, International Monetary Fund Managing Director Kristalina Georgieva said on Friday.

Georgieva said concerns about dependence on the AI investment boom and high valuations were impacting markets around the world.

"Things are going up and down, and this is likely to continue," she told an audience at IMF headquarters in Washington, adding that the volatility would complicate the job of central banks at a time when risks to price stability had been growing.

A steep rout in technology stocks on Thursday rippled through markets on fears that ⁠the Democrats' victory ⁠in the US midterm elections would increase regulatory scrutiny of AI and slow the data center build-out, sending investors to the safety of bonds.

The political jitters are hitting an AI trade already on shaky footing due to worry about return on massive spending on AI-related infrastructure, with the meltdown spurring margin calls and spooking retail investors and hedge ⁠funds alike.

Georgieva said the AI investment boom was lifting growth in some countries, helping to offset a negative oil-supply shock triggered by the war in the Middle East, but it was also adding to inflationary pressures and financial stability concerns.

The IMF last month flagged significant growth and financial stability risks from a potential ending of the AI investment boom, among other factors, including a prolonged Middle East war. At the time, it warned that a steep drop in AI investment could lead to a sharp fall in asset prices, ultimately cutting global GDP ⁠by 1.1% ⁠by 2028, including a 1.8% drop in US output.

Georgieva did not repeat the downside forecast on Friday, but acknowledged the recent market volatility.

"Should there be a slowdown in the AI-driven growth impulse, it would need to be factored in as central banks assess the necessary steps in the fight against stubborn inflation," she said.

Democrats are planning to unleash a flood of new legislation targeting artificial intelligence systems and data-center development when they take control of the US Congress in January, Reuters reported on Friday, citing congressional aides and advocates.

That would mark a sharp shift from the Republican-led Congress, where lawmakers largely focused on promoting AI development and declined to pass legislation restricting the technology.


World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
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World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)

World food prices edged lower in October as weaker import demand contributed to monthly declines in cereal, dairy and meat prices, but were still nearly 6% higher than a year earlier, the United Nations' Food and Agriculture Organization said on Friday.

The FAO Food Price Index, which tracks monthly changes in international prices for a basket of food commodities, ‌averaged 133.9 points ‌in October, down from a revised ‌135.6 ⁠in September.

The index ⁠was 5.9% higher than a year earlier, but remained 16.4% below its March 2022 peak.

FAO's cereal price index fell 4.5% from September and was 12.6% lower than a year ago, as wheat and maize quotations declined. Wheat prices eased on weak import demand ⁠and improved production prospects, especially in Argentina.

"Expectations of ‌easing constraints on Black ‌Sea export flows added to the downward pressure on prices, ‌although continued disruptions to Black Sea logistics limited the decline," ‌FAO said in a statement.

Maize prices also eased after reaching a three-year high in September, pressured by the US harvest, expectations of ample supplies in South America and renewed ‌prospects of easing tensions in the Black Sea region.

Vegetable oil prices edged up 0.3%, ⁠as ⁠higher soybean and sunflower oil prices more than offset a fall in rapeseed oil prices.

Sugar prices rose 6.6%, their fourth straight monthly increase, to the highest level since December 2024, after rainfall disrupted harvesting in Brazil. They were now 28.8% above a year ago.

The dairy index fell 1.1%, as lower butter and cheese prices linked to ample supplies and subdued demand outweighed gains in milk powder.

The meat index declined 1.2%, while still slightly above its year-earlier level, as ovine and bovine meat prices fell.