Saudi Arabia Introduces New Irrigation Code to Save 2 Billion Cubic Meters of Water Annually

Part of the meetings of Saudi Water Week
Part of the meetings of Saudi Water Week
TT

Saudi Arabia Introduces New Irrigation Code to Save 2 Billion Cubic Meters of Water Annually

Part of the meetings of Saudi Water Week
Part of the meetings of Saudi Water Week

Saudi Arabia is expanding the use of treated wastewater as a strategic resource to support industrial and urban growth, with industrial consumption projected to exceed 100 million cubic meters annually by 2030.

The push comes alongside the launch of a new national irrigation code designed to save about 2 billion cubic meters of water each year.

CEO of the Saudi Irrigation Organization (SIO) Mohammed bin Zaid Abu Haid told Asharq Al-Awsat that water has become a cornerstone of the Kingdom’s development agenda.

He said rapid economic growth and the rollout of megaprojects across Saudi Arabia are driving demand for treated water as a key component of project infrastructure.

The corporation manages and operates dams while overseeing the transport, distribution, and reuse of treated water for urban, industrial, and agricultural purposes, a sector that is expanding rapidly, he said.

Treated water use in industry has risen by about 50 percent over the past two years, increasing from roughly 20 million cubic meters to 30 million cubic meters by the end of 2025. Abu Haid expects consumption to surpass 100 million cubic meters by 2030.

Urban demand has also grown sharply. Consumption for parks, green spaces, and projects under the Saudi Green Initiative climbed from about 65,000 cubic meters to nearly 13 million cubic meters, with forecasts pointing to 150 million cubic meters annually by 2030.

Abu Haid identified the Saudi Green Initiative as one of the main drivers of demand for treated water, alongside development projects, nature reserves, and expanding urban applications.

He also announced the imminent launch of the Irrigation Practices Code, developed by the corporation in partnership with the Food and Agriculture Organization of the United Nations. The code is expected to raise irrigation efficiency in the Kingdom from about 55 percent to more than 70 percent.

Once fully implemented, the code is projected to save around 2 billion cubic meters of water annually. Field trials have shown higher farm productivity, increased farmer incomes, and more efficient water use.

The code also aims to reduce water consumption in grain cultivation from 9,750 cubic meters per hectare to about 6,500 cubic meters per hectare. Abu Haid said the project is in its final stages and will be officially launched during the World Water Forum.



Iraqi Daily Oil Exports in August Highest since Start of War

A view across Shatt al-Arab of the 'Bin Omar' oil field north of Basra, Iraq (Reuters)
A view across Shatt al-Arab of the 'Bin Omar' oil field north of Basra, Iraq (Reuters)
TT

Iraqi Daily Oil Exports in August Highest since Start of War

A view across Shatt al-Arab of the 'Bin Omar' oil field north of Basra, Iraq (Reuters)
A view across Shatt al-Arab of the 'Bin Omar' oil field north of Basra, Iraq (Reuters)

Iraq's average daily oil exports since the beginning of August are the highest since the outbreak of the Middle East war between Iran and the United States, which has choked off the Strait of Hormuz, the oil ministry said Friday.

Iraqi Oil Minister Bassem Mohammed Khudair told a press conference that "exports since the beginning of the month have reached a rate of two million barrels" per day, for a total of around 26 million barrels, saying the daily rate was achieved "for the first time since the crisis began".


Fitch Keeps US at 'AA+', Cites Economic Resilience amid Fiscal Risks

The American flag flies in the National Mall near the Capitol building in Washington (Reuters)
The American flag flies in the National Mall near the Capitol building in Washington (Reuters)
TT

Fitch Keeps US at 'AA+', Cites Economic Resilience amid Fiscal Risks

The American flag flies in the National Mall near the Capitol building in Washington (Reuters)
The American flag flies in the National Mall near the Capitol building in Washington (Reuters)

Fitch on Thursday affirmed the sovereign credit rating for the United States at "AA+" with a stable outlook, citing its large economy, high per-capita income and the US dollar's status as the world's leading reserve currency.

The US economy remained resilient despite higher tariffs, government spending cuts, tighter border controls and heightened policy uncertainty, reflecting its ability to absorb shocks and economic flexibility, Reuters quoted the credit ratings agency ⁠as saying.

Fitch, however, estimated ⁠economic growth of 1.9% in 2026-2027, lower than the 2.8% in 2025, and noted weakening labor demand and a significant slowdown in job creation this year.

Inflation remains a concern, with the agency expecting it to average 3.4% in ⁠2026, above the Federal Reserve's 2% target. Tariffs have added to core goods inflation, though their impact has been less severe than expected.

Fitch expects the general government deficit to widen to 7.4% of GDP in 2026 and remain at that level in 2027, the highest among "AA"-rated sovereigns.

Higher military and interest costs, along with rising Medicare and Social Security spending, would limit ⁠efforts ⁠to reduce the deficit.

Peer S&P Global also maintained its "AA+" rating on the US in June, citing the economy's resilience and strong institutions.

Fitch had downgraded the US sovereign rating by one notch from the top-tier triple-A rating in 2023, pointing to expected fiscal deterioration and repeated down-to-the-wire debt ceiling negotiations.

Moody's downgraded the US by one notch last year, citing rising debt levels and stripping the country of its last remaining triple-A rating.


Gold Heads for Weekly Loss as Investors Unwind Inflation-fueled Rally

An employee displays gold bars at the Korea Gold Exchange in Seoul (Reuters)
An employee displays gold bars at the Korea Gold Exchange in Seoul (Reuters)
TT

Gold Heads for Weekly Loss as Investors Unwind Inflation-fueled Rally

An employee displays gold bars at the Korea Gold Exchange in Seoul (Reuters)
An employee displays gold bars at the Korea Gold Exchange in Seoul (Reuters)

Gold prices slipped on Friday and were headed for a weekly loss as investors locked in profits a day after bullion was propelled to its highest level in more than two months on mild US inflation data that weakened the case for a near-term Federal Reserve rate hike.

Spot gold was down 0.5% at $4,330.70 per ounce, as of 0714 ‌GMT. US gold futures ‌for December delivery slid 0.7% to $4,387.40, said Reuters.

Bullion climbed to ‌its ⁠highest point since ⁠June 5 on Thursday, before settling lower, setting it on track for a weekly loss.

"There is some episodic and more speculative capital that's maybe taking a bit of profit in gold, because there's not a near-term catalyst quite so potent immediately in front of us," said Ilya Spivak, head of global macro at finance content network Tastylive.

"Gold ⁠may be setting up, with some choppy trading ‌along the way, for a meaningful ‌rally now. And if we can take out $4,400, I don't think $5,000 by year-end ‌is any kind of a sketch."

The non-yielding metal got ‌a boost after an unexpected drop in US July nonfarm payrolls last week, followed by softer inflation data this week, sharply reducing expectations of a rate hike next month.

US producer prices were unchanged in July, following a revised ‌0.1% drop in June, while US consumer prices barely increased in July as the cost of ⁠gasoline declined ⁠for a second consecutive month.

Traders are now pricing only a 33% chance of a rate hike in September, down from about 55% last week, according to the CME FedWatch Tool.

Lower interest rates make gold more attractive relative to yield-bearing assets.

On the geopolitical front, Washington on Thursday threatened to maintain a naval blockade of Iran indefinitely, ratcheting up economic pressure on Tehran as ceasefire talks have floundered.

In other metals, spot silver slipped 0.3% to $64.25 per ounce.

Platinum was steady at $1,717.40, while palladium inched 0.3% lower at $1,303.50, both touching their lowest levels since August 4 earlier in the session. Both metals were headed for a weekly drop.