PIF Governor: Saudi Arabia Seeks to Become Global Hub for AI

Yasir Al-Rumayyan said the FII focuses on several key sectors, primarily sustainability, education, healthcare, artificial intelligence (AI), and robotics. SPA
Yasir Al-Rumayyan said the FII focuses on several key sectors, primarily sustainability, education, healthcare, artificial intelligence (AI), and robotics. SPA
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PIF Governor: Saudi Arabia Seeks to Become Global Hub for AI

Yasir Al-Rumayyan said the FII focuses on several key sectors, primarily sustainability, education, healthcare, artificial intelligence (AI), and robotics. SPA
Yasir Al-Rumayyan said the FII focuses on several key sectors, primarily sustainability, education, healthcare, artificial intelligence (AI), and robotics. SPA

Public Investment Fund (PIF) Governor, Chairman of the Future Investment Initiative (FII) Institute, and Chairman of Saudi Aramco’s Board of Directors Yasir Al-Rumayyan said that the FII focuses on several key sectors, primarily sustainability, education, healthcare, artificial intelligence (AI), and robotics.

He said it has invested in several companies operating in these sectors and established partnerships with research, academic and consulting institutions to support these goals.

Delivering a speech at the FII PRIORITY summit in Miami, Al-Rumayyan explained that the initiative will expand its global presence in the coming period by organizing events in Brazil and Kenya to enhance links and investment opportunities with markets in Latin America and Africa and discuss issues such as environmental protection and the transition towards renewable energy.

According to the Saudi Press Agency, he also addressed the PIF’s strategy, saying that more than 70% of its investments are local and directed towards the Kingdom's economy, while the public share of international investments has declined to less than 25%.

Al-Rumayyan also explained that PIF investments mainly target new sectors under its goal to make a long-term impact by being the economic driver of the transformation journey within the Saudi Vision 2030, which is distinguished from other international strategic plans by its success in achieving many of its goals before their set timelines.

“The fund invests between $40 billion to $50 billion annually and this will continue until 2025, and we look at our investments in the Kingdom with regard to their impact on the gross domestic product, job creation, and local content increase, and we are looking forward to increase local revenues generated from investments as per the framework to create sustainable impact on the Saudi economy and realize the targets of the Saudi Vision 2030,” he said.

On the fund's international investments, Al-Rumyyan said that their value continues to rise in terms of volume despite a decline in their percentage compared to local investments, pointing out that investments in the US market amount to 40% of the fund's total international investments in the form of investments or purchases, which amounted to more than $100 billion between 2017 and the end of 2023.

The PIF governor stressed that Saudi Arabia is well positioned to be a major global hub for AI and related industries, explaining that it has many competitive advantages to achieve this goal, including its leadership in clean energy resources, political will, funding capabilities, and human competencies.

The Aramco chairman also discussed the priority that the company gives to sustainability issues, saying that it is the most sustainable of all oil producers in the world, with the amount of carbon produced per barrel of oil not exceeding 25% of what other companies produce. He also said that Aramco has 12 research-and-development centers around the world to work on clean energy technology.

Aramco and the PIF are interested in blue hydrogen, SPA quoted him as saying.

He added that the Kingdom aims to provide 15% of blue hydrogen production globally and it pays special attention to green hydrogen while having clean energy resources that contribute to hydrogen production.

“The price per kilowatt-hour of solar energy in the Kingdom does not exceed 2 cents, making it the lowest in the world and giving the Kingdom a key competitive advantage,” he said.



Fire, Smoke Upend Western Canada’s Summer Tourism Season

 A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)
A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)
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Fire, Smoke Upend Western Canada’s Summer Tourism Season

 A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)
A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)

Severe wildfire seasons are increasingly hurting western Canada's lucrative tourism industry, with some visitors beginning to avoid the busy late-summer months due to concerns about uncontrolled blazes, smoke-filled skies and road closures.

After a scorching start to July, nearly 600 wildfires are now ablaze across British Columbia and Alberta, including a huge fire that this week devastated the picturesque tourist town of Jasper in the Canadian Rockies.

Dozens of communities, including popular holiday spots in British Columbia's Kootenay region, are under evacuation orders and several highways are closed.

This year's surge in wildfire activity comes after Canada endured its worst-ever year for wildfires in 2023, when more than 15 million hectares (37 million acres) burned, including parts of the city of West Kelowna in the heart of British Columbia's wine region.

Ellen Walker-Matthews, head of the Thompson Okanagan Tourism Association, said the industry was seeing a lot more last-minute travel decisions instead of booking in advance.

"It's a huge blow. July and August are traditionally the busiest months in the region," said Walker-Matthews, adding that while her region has been relatively unscathed by wildfires this summer, some visitors are choosing to avoid interior British Columbia altogether.

The members of the British Columbia Lodging and Campgrounds Association are reporting a 5-15% drop in bookings from a year ago, with the biggest declines coming from the hotter Okanagan and Cariboo regions, said Joss Penny, who heads the association.

"The concern is that this is something we have to live with and we have it every year now," said Penny.

Although wildfires in Canada's forests are natural and common, scientists say drier, hotter conditions fueled by climate change are leading to more volatile and frequent blazes.

'SMOKEY SKIES'

Some events, like the Salmon Arm Roots and Blues Festival, usually held in August, have now been rescheduled to earlier in the summer to avoid what is now seen as peak smoke season. The festival, which was cancelled last year due to nearby wildfires, was this year moved to July to benefit from "less smokey skies."

Wildfires and extreme climatic events are prompting tourists to "change their plans not just temporarily, but permanently," said Elizabeth Halpenny, a tourism researcher and professor at the University of Alberta, noting that seasonal workers in the sector are often the hardest hit as they have few protections during a bad season or amid a cataclysmic fire.

Tourism contributed C$7.2 billion to the British Columbia economy in 2022, and C$9.9 billion to Alberta in 2023, according to the latest government data.

Jasper National Park is one of Canada's premier tourist destinations, with more than 2 million visitors a year flocking to see its pristine mountain landscapes and abundant wildlife, including grizzly bears, moose and elk.

Kelly Torrens, vice-president of product at international tour company Kensington Tours, described western Canada as a bucket-list destination. But the company now has 49 trips that were supposed to pass through Jasper this season in limbo. Six others were forced to evacuate the park when the fire hit.

Parks Canada has cancelled all camping reservations within Jasper National Park until Aug. 6 and with potentially 50% of the town's structures destroyed by fire, the cleanup and rebuild could take years.

Halpenny is among those hedging their bets.

"I've booked a campsite stay in the mountain parks but at the same time, I booked a campsite out on the prairie somewhere and that's my backup plan because I don't want to miss out on my vacation with my family."