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Saudi Future Investment Initiative Institute Concludes Deal to Support Tourism

The signing ceremony between Saudi Tourism Development Fund and the Future Investment Initiative Institute (FII) (Asharq Al-Awsat)
The signing ceremony between Saudi Tourism Development Fund and the Future Investment Initiative Institute (FII) (Asharq Al-Awsat)
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Saudi Future Investment Initiative Institute Concludes Deal to Support Tourism

The signing ceremony between Saudi Tourism Development Fund and the Future Investment Initiative Institute (FII) (Asharq Al-Awsat)
The signing ceremony between Saudi Tourism Development Fund and the Future Investment Initiative Institute (FII) (Asharq Al-Awsat)

The Saudi Future Investment Initiative Institute (FII) announced it concluded an agreement to boost the tourism sector. It organized the "Priority Summit" in New York on the sidelines of the 77th session of the United Nations General Assembly.

CEO Richard Attias presented the global survey results aimed at determining the most critical priority for each individual.

The results revealed the priority in terms of population and continental composition to build an innovative roadmap to help humanity transition to assist humanity in surviving and thriving in a new complex world.

- A different experience

Attias explained that the Foundation made this report in 13 countries to understand the recent trends, which can monitor the emerging economies of the countries that represent approximately 50 percent of the population and see them on the map shown for the nations.

"In the ten main findings of the report, we noticed that people are very positive about themselves, as 77% of normal people in countries were going in the right direction," the CEO was quoted by SPA.

He pointed out that another analysis was done that shows the relationship between optimism and GDP that can gradually improve the citizen's outlook by paying attention to his priorities.

He reported that 53 percent of high-income countries enjoy a nutritionally better life.

- Quality of life

Saudi Minister of Investment Khalid al-Falih addressed the priority sectors in investment after the economic transformation the world is witnessing, highlighting the Kingdom's efforts and plans to invest in industries that focus on improving the quality of life.

The minister stressed that technology has a significant and fundamental impact on investing, living, and the interaction mechanisms between companies.

"In light of the outbreak of the epidemic, it has been proven that the use of technology is important to deal with the challenges we face and provide opportunities for investors," Falih said.

- Companies and individuals

Speaking at the summit, the governor of the Public Investment Fund (PIF) and Chairman of the Board of Directors of Saudi Aramco, Yasir al-Rumayyan, discussed the role of companies and investors in supporting the most critical priorities of individuals.

During a plenary session with the Honorary President of the University of Pennsylvania, Judith Rodin, he disclosed the difference between a crisis management approach and a crisis management approach that causes other crises.

PIF plays a significant role in stimulating the Saudi economy, noted Rumayyan, noting that the Fund has an initiative dedicated to ensuring the achievement of the goals set in the Vision Realization Program.

- Tourism development

The Saudi Tourism Development Fund and the FII signed a strategic partnership agreement to work together in advancing projects and initiatives in line with the Institute's core focus areas.

It will also support the curation of the upcoming sixth edition of the FII forum, which will be held in Riyadh from October 25-27 under the theme of "Impact on Humanity: Enabling a New Global Order."

The CEO of the Fund, Qusai al-Fakhri, explained that the partnership with FII will enhance efforts between the two parties and seek jointly to encourage and support investment in the tourism sector in Saudi Arabia.

"We look forward to exploring together how the face of tourism is changing and how we can work with global efforts to make tourism growth sustainable," said Fakhri.

The Fund's partnership with FII is a testament to the Fund's enthusiasm to contribute to the Institute's work and its investment in the four essential pillars of Sustainability, Healthcare, Education, Artificial Intelligence, and Robotics, on which the Institute was founded.

The Tourism Development Fund was established to empower one of Saudi Arabia's most rapidly growing industries. It aims to facilitate local and international investors access to tourism investments across the Kingdom.

The Fund's efforts align with Saudi Arabia's bold ambition to bolster the country's reputation as a top tourist destination.

- Foreign Trade

Furthermore, the Minister of Commerce and Chairman of the Board of Directors of the Saudi General Authority for Foreign Trade, Majid al-Qasabi, held bilateral meetings in Bali on the sidelines of the G20 working group on commerce, investment, and industry.

Qasabi with ministers of trade of Türkiye, India, Argentina, South Africa, and Russia.

During the meetings, opportunities for cooperation on investment and industry and an increase in trade exchanges were reviewed.

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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).
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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.

Business

Aljadaan: Emerging Markets Account for 70% of Global Growth

Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
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Aljadaan: Emerging Markets Account for 70% of Global Growth

Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat

Saudi Minister of Finance Mohammed Aljadaan stressed Sunday that the world economy is going through a “profound transition,” saying emerging markets and developing economies now account for nearly 60 percent of the global Gross Domestic Product (GDP) in purchasing power terms and over 70 percent of global growth.

In his opening remarks at the AlUla Conference for Emerging Market Economies, organized by the Saudi Ministry of Finance and the IMF in AlUla, the minister said these economies have become an increasingly important driver of global growth with their share of global economy more than doubling since 2010.

“Today, the 10 emerging economies in the G20 alone account for more than half of the world growth. Yet, they face a more complex and fragmented environment, elevated debt levels, slower trade growth and increasing exposure to geopolitical shocks.”

“Unfortunately, more than half of low income countries are either in or at the risk of debt distress. At the same time global trade growth has slowed at around half of what it was pre the pandemic,” Aljadaan added.

The Finance Minister stressed that the Saudi experience over the past decade has reinforced three lessons that may be relevant to the discussions at the two-day conference, which brings together a select group of ministers and central bank governors, leaders of international organizations, leading investors and academics.

“First, macroeconomic stability is not the enemy of growth. It is actually the foundation,” he said.

“Structural reforms deliver results only when institutions deliver. So there is no point of reforming ... if the institutions are unable to deliver,” he stated.

Finally, he said that “international cooperation matters more, not less, in a fragmented world.”

Business

Georgieva from AlUla: Growth Still Lacks Pre-pandemic Levels

Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
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Georgieva from AlUla: Growth Still Lacks Pre-pandemic Levels

Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)

International Monetary Fund (IMF) Managing Director Kristalina Georgieva said Sunday that world growth still lacks pre-pandemic levels, expressing concern as she expected more shocks amid high spending and rising debt levels in many countries.

Georgieva spoke at the AlUla Conference for Emerging Market Economies, organized by the Saudi Ministry of Finance and the IMF in AlUla.

The two-day conference brings together a select group of ministers and central bank governors, leaders of international organizations, leading investors and academics to deliberate on policies to global stability, prosperity, and multilateral collaboration.

Georgieva said that the conference was launched last year in recognition of the growing role of emerging market economies in a world of sweeping transformations.

“I came out of this gathering .... With a sense of hope for the pragmatic attitude and determination to pursue good policies and build strong institutions,” she said.

Georgieva stressed that “good policies pay off,” and said that growth rates across emerging economies reached four percent this year, exceeding by a large margin those of advanced economies that are around 1.5 percent.