Saudi Arabia to Increase Agricultural Funding to $2 Bn in 2025

The Agricultural Development Fund of Saudi Arabia supports all investment opportunities that comply with its regulations. (SPA)
The Agricultural Development Fund of Saudi Arabia supports all investment opportunities that comply with its regulations. (SPA)
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Saudi Arabia to Increase Agricultural Funding to $2 Bn in 2025

The Agricultural Development Fund of Saudi Arabia supports all investment opportunities that comply with its regulations. (SPA)
The Agricultural Development Fund of Saudi Arabia supports all investment opportunities that comply with its regulations. (SPA)

Spokesperson of the Agricultural Development Fund of Saudi Arabia Habib bin Abdullah Al-Shammari expects loan approvals to reach SAR 7.4 billion ($2 billion) this year, supporting key agricultural projects under the National Agriculture and Food Security Strategies.

He also announced that the Fund’s contribution to the agricultural sector’s GDP has increased to 11% in 2024, up from 3.6% in 2016.

Speaking to Asharq Al-Awsat, Al-Shammari said the Fund has increased financing for local agricultural production and modern technology initiatives from 50% to 70% of the loan value, due to their importance for food security and resource sustainability.

The Fund is reviewing funding requests from five innovative companies that meet its criteria and supporting mergers and acquisitions in the agricultural sector to strengthen food security, he revealed.

The Fund aims to increase its support for agricultural projects, especially those in the National Agriculture and Food Security Strategies, he went on to say.

Moreover, it is boosting financing for modern technologies in agriculture, raising support from 50% to 70% due to their importance for food security and resource sustainability.

It is funding supply chain and marketing projects that support food security and the food industry. These projects help close marketing gaps and ensure sustainable resources and income for farmers and small businesses, promoting investment in agriculture, he explained.

Al-Shammari expects loan approvals to reach SAR 7.4 billion ($2 billion) in 2025, up from SAR 7.17 billion ($1.9 billion) last year, marking a 9% increase from 2023.

The funding will cover a variety of developmental loans for small farmers, beekeepers, and livestock breeders across several regions of the Kingdom.

It will also support projects in sectors aimed at boosting local production and ensuring food security. These include red meat production, poultry farming, greenhouse vegetable cultivation, fish farming, and cold storage facilities.

Additionally, the loans will finance supply chains and processing industries, such as tomato paste production, a coffee bean sorting and roasting plant, cold storage, and agricultural product marketing centers.

Al-Shammari stressed that the Fund has launched several initiatives and financing programs that have contributed to increased local production, improved self-sufficiency, and bolstered the domestic stock of food commodities.

These efforts have also supported supply chains and enhanced the strategic reserves of targeted agricultural products within the Kingdom’s food security initiative.

As a result of these initiatives and financing programs, loan approvals have risen from SAR 455 million ($121 million) in 2016 to over SAR 7 billion ($1.9 billion) by the end of 2024. Since its establishment, the Fund has provided a total of SAR 65 billion ($17.3 billion).

Al-Shammari explained that the Fund offers financing for mergers and acquisitions within the agricultural sector to support food security, enhance project efficiency, and ensure sustainability.

The Fund also facilitates these processes to boost production and market value, address struggling projects, and provide opportunities for new investors in agriculture.

Additionally, it supports expansion and both horizontal and vertical integration.

He added that the Fund also provides loans to innovative start-ups focused on developing agricultural production, boosting local output, and increasing the competitiveness of domestic agricultural products.

These loans aim to help start-ups grow and launch new, innovative products, including in water and energy technologies, agriculture and food, and deep-tech and biotech sectors.

Since the introduction of its new regulations, the Fund has been extending loans to foreign investors and licensed foreign agricultural companies operating in the Kingdom under the Foreign Investment Law.



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.”


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.


Saudi Arabia’s flynas, Syrian Civil Aviation Authority Partner to Launch 'flynas Syria'

The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)
The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)
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Saudi Arabia’s flynas, Syrian Civil Aviation Authority Partner to Launch 'flynas Syria'

The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)
The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)

Saudi budget carrier flynas has signed an agreement with the Syrian General Authority of Civil Aviation and Air Transport to establish a new commercial airline under the name "flynas Syria," with operations scheduled to begin in the fourth quarter of 2026.

Saturday’s agreement comes within the framework of bilateral cooperation between Saudi Arabia and Syria, as well as the strategic investment agreements between the two countries, coordinated with the Saudi Ministry of Investment and the Syrian General Authority of Civil Aviation and Air Transport.

The new airline will operate commercial air transport services in accordance with approved regulations and standards, meeting the highest safety and aviation security requirements. All licensing and operational procedures will be completed in coordination with the relevant authorities.

The carrier will be established as a joint venture, with 51% ownership held by the Syrian General Authority of Civil Aviation and Air Transport and 49% by flynas.

The new airline will operate flights to several destinations across the Middle East, Africa, and Europe. This expansion aims to bolster air traffic to and from Syria, enhance regional and international connectivity, and meet growing demand for air travel.

"This step is part of our commitment to supporting high-quality cross-border investments. The aviation sector is a key enabler of economic development, and the establishment of 'flynas Syria' serves as a model for constructive investment cooperation,” said Saudi Minister of Investment Khalid Al-Falih.

“This partnership enhances economic integration and market connectivity and supports development goals by advancing air transport infrastructure, ultimately serving the mutual interests of both nations and promoting regional economic stability,” he added.

President of the Syrian General Authority of Civil Aviation and Air Transport Omar Hosari also stated that the establishment of flynas Syria represents a strategic step within a comprehensive national vision aimed at rebuilding and developing Syria's civil aviation sector on modern economic and regulatory foundations.

“This will be achieved while balancing safety requirements, operational sustainability, investment stimulation, and passenger services. The partnership reflects the state's orientation toward smart cooperation models with trusted regional partners, ensuring the transfer of expertise, the development of national capabilities, and the enhancement of Syria's air connectivity with regional and international destinations, in line with global best practices in the air transport industry."

flynas Chairman Ayed Al-Jeaid stated that the company continues to pursue strategies aimed at growth and international expansion, describing the agreement as a historic milestone in the company's journey and a promising investment model in partnership with Syria.

flynas CEO Bander Al-mohanna said the step represents a qualitative leap in the company's strategy and financial performance, highlighting the transfer of the company's low-cost aviation experience to the Syrian market to support regional and international air connectivity.

flynas currently operates 23 weekly flights from Riyadh, Jeddah, and Dammam to Damascus, including two daily direct flights from Riyadh, one daily flight from Jeddah, and two weekly flights from Dammam.

The airline made history on June 5, 2025, by adding the Syrian capital to its network, becoming the first Saudi carrier to resume scheduled flights to Damascus.