Latest news with #MohammedAl-Jadaan
Saudi Gazette
a day ago
- Business
- Saudi Gazette
Al-Jadaan commends OPEC Fund's flexible response to global market fluctuations
Saudi Gazette report RIYADH — Minister of Finance Mohammed Al-Jadaan commended the flexibility of OPEC Fund for International Development in responding to global market fluctuations, saying that this has ensured the continued flow of available resources to countries and communities in need. Addressing the 46th Meeting of the Ministerial Council of the Fund in Vienna, Al-Jadaan praised the Fund's vision and alignment of its operations with global development priorities, including the Sustainable Development Goals (SDGs) and food security, while maintaining its core focus areas. The Ministerial Council, as the OPEC Fund's highest governing body, convenes annually to approve the fund's audited financial statements, annual activity reports, and any other items submitted by the management. Al-Jadaan also addressed the OPEC Fund Development Forum. The events brought together leaders, ministers, and heads of multilateral development finance institutions to discuss ways to strengthen responses to global challenges. The opening session of the forum emphasized the vital role of inclusive, equitable, and sustainable transitions in global development, exploring how strategic finance, innovative policies, and global cooperation—particularly through South-South partnerships—can drive progress across key global frameworks. In his speech at the inaugural session of the forum, Al-Jadaan emphasized that energy security is not a luxury but a fundamental pillar for achieving development and inclusive growth. Its absence, he said, disrupts vital sectors such as healthcare, education, economic productivity, environmental sustainability, water extraction, and food security. He noted that the pursuit of more secure and diverse energy sources has become more urgent than ever amid escalating geopolitical tensions, market volatility, and increasing global energy demand. Al-Jadaan called for a strategic move toward energy diversification and increased investment in clean energy technologies, as well as emerging energy technologies, such as Carbon Capture, Utilization, and Storage (CCUS), and encouraged the adoption of innovative financing solutions to accelerate energy access and enhance long-term energy security. He also reaffirmed Saudi Arabia's commitment to working with all its partners to enhance energy security and eliminate energy poverty, while continuing efforts to combat climate change. 'We have set an ambitious target to generate 50% of our electricity from renewable sources by 2030 and achieve net-zero emissions by 2060, under the Circular Carbon Economy framework,' he said.
Saudi Gazette
3 days ago
- Business
- Saudi Gazette
Al-Jadaan: Saudi Arabia is working with all to eradicate energy poverty
Saudi Gazette report VIENNA — Saudi Minister of Finance Mohammed Al-Jadaan said that multilateral development banks must provide concessional financing to accelerate the response to the needs of regions suffering from energy insecurity. During his speech at the inaugural session of the fourth Development Forum of OPEC Fund for International Development in Vienna on Tuesday, he emphasized that Saudi Arabia is working with everyone to enhance energy security and eradicate energy poverty, while continuing its efforts to combat climate change. Al-Jadaan praised the "My Mission 300" initiative, co-led by the World Bank and the African Development Bank, which aims to provide energy access to 300 million people in Africa by 2030, with significant contributions from partners such as the Islamic Development Bank and the OPEC Fund for International Development. Al-Jadaan also lauded the Forward 7 Clean Fuel Solutions for Food initiative, one of the Green Middle East initiatives announced by Saudi Arabia, which aims to provide clean fuel solutions to millions of people around the world. He pointed to cooperation with key partners in this sector, such as the OPEC Fund for International Development, the Islamic Development Bank, the World Bank, and the International Islamic Trade Finance Corporation. Al-Jadaan addressed the importance of reducing investment risks in the energy sector to stimulate private sector participation. "This can be achieved through a range of tools such as partial risk guarantees, political risk insurance, and blended financing structures," he said while emphasizing that these tools contribute to reducing expected risks and enhancing project bankability, especially in low-income or high-risk countries. Al-Jadaan called for increased investment in emerging technologies in the energy sector, such as carbon capture, utilization, and storage (CCUS), and the development of more sustainable uses of hydrocarbons such as gas. He noted that this contributes to addressing carbon emissions and ensuring energy security during the transition to net-zero. Al-Jadaan noted that the repercussions of energy poverty know no boundaries and affect all countries through economic instability, increased migration pressures, and increased humanitarian burdens. He stated that the Kingdom has set an ambitious goal of generating 50 percent of its electricity needs from renewable sources by 2030 and achieving net-zero emissions by 2060. This is within the framework of the circular carbon economy model. The Development Forum, under the theme "A transition that empowers our tomorrow," will spotlight inclusive growth, climate resilience and the power of South-South cooperation in advancing equitable and sustainable development. OPEC Fund President Abdulhamid Alkhalifa opened the Forum alongside President Mohamed Ould Ghazouani of Mauritania and Minister of Finance Mohammed Al-Jadaan. Senior government officials from across Africa, Asia, the Middle East, Latin American and the Caribbean, along with heads of multilateral institutions, are attending the forum aimed to drive solutions to some of the world's most pressing challenges.
Time of India
09-06-2025
- Business
- Time of India
Saudi Arabia's first-quarter GDP grows by 3.4%, beating flash estimates
Saudi Arabia 's economy grew by more than expected in the first quarter of 2025, according to government data estimates, with lower oil prices impacting the economy less than previously forecast. First-quarter GDP grew by 3.4% compared to the same quarter of the previous year, beating flash estimates of 2.7% released in May by the Saudi General Authority for Statistics. "The upward revision was both due to a smaller annual contraction from the oil sector and stronger private sector growth," said Monica Malik , chief economist at Abu Dhabi Commercial Bank. Oil GDP shrank by 0.5%, while initial flash estimates had shown it contracting by 1.4%. Non-oil growth reached 4.9% compared to estimates last month pointing to a 4.2% increase. Live Events The impact of lower oil prices may have been blunted by the kingdom's increase of oil output. The kingdom faces a widening budget deficit with the International Monetary Fund saying Riyadh needs a price of oil of over $90 per barrel to balance its books compared to prices of around $60 per barrel in recent weeks. Saudi Arabia, the world's biggest oil exporter, lowered its July prices for Asian buyers at the beginning of June, after Organization of the Petroleum Exporting Countries and allies, known as OPEC+, hiked output for a fourth month. OPEC+ agreed to another big output increase of 411,000 bpd for July, having increased output by the same amount in May and June. Saudi Arabia is in the midst of a costly economic transformation program known as Vision 2030 that aims to wean the economy off oil dependency and has been funneling billions into massive new development projects. Saudi Finance Minister Mohammed Al-Jadaan said the kingdom would "take stock" of its spending priorities in response to a significant decline in oil revenue, the Financial Times reported in May. "We also expect to see some pullback in government spending to limit the widening of the fiscal deficit , which will likely weigh on non-oil growth," said Malik. Daniel Richards , senior economist at Emirates NBD, said that still, the bank believes that spending will remain high. "There is still sufficient project spending already in progress that growth will remain supported through this year and next at least," he wrote in a note. Saudi Arabia is committed to hosting several large international events, each of which require significant spending on construction and development. These include the 2029 Asian Winter Games, set to feature artificial snow and a man-made freshwater lake, and the 2034 World Cup, for which 11 new stadiums will be built and others renovated. Saudi Arabia's 2025 fiscal deficit is forecast at around 101 billion riyals ($27 billion).
Gulf Insider
30-05-2025
- Business
- Gulf Insider
Saudi Arabia to Review Spending Priorities
Saudi Arabia will review its spending priorities after the oil price decline, and will consider whether to delay or accelerate some projects, the Kingdom's Finance Minister, Mohammed Al-Jadaan, told the Financial Times in an interview published on Thursday. Saudi Arabia needs oil prices at about $90 per barrel to balance its budget. The world's top crude oil exporter is already running a higher-than-planned deficit, which is set to swell with the oil price dip in the second quarter. With oil prices having crashed into the $60 a barrel range, the Kingdom will look to avoid falling again into the 'trap of booms and busts,' Al-Jadaan told FT. A 'crisis provides us an opportunity to take stock and consider', the minister added. 'Should we delay? Should we reschedule? Should we accelerate?' Al-Jadaan said. Last week, Saudi Minister of Economy and Planning, Faisal Alibrahim, said that the Kingdom is always ready for multiple oil price scenarios. 'We have the long-term fiscal planning and medium-term frameworks that help us adjust depending on what scenario actually plays out,' Alibrahim said at the Qatar Economic Forum in Doha. Saudi Arabia booked a hefty budget deficit for the first quarter of the year, even before oil prices plunged in April. Saudi Arabia's budget deficit jumped to $15.6 billion (58.7 billion Saudi riyals). That's already more than half of the deficit the Kingdom had forecast for the full year—a deficit of $27 billion (101 billion riyals). The second-quarter deficit will be even higher than in Q1, as oil prices have languished in the low $60s per barrel Brent since they crashed in early April. All the deficit in the first quarter was covered by borrowing, suggesting that Saudi Arabia prefers to continue tapping debt markets to using central bank foreign currency reserves. With oil at $60-$65 per barrel, Saudi Arabia may have to accelerate borrowings and defer planned investments in its mega initiatives such as the futuristic city of Neom, analysts say. Also read: Refiners Expect Saudi Arabia to Cut Oil Price
Saudi Gazette
28-05-2025
- Business
- Saudi Gazette
Al-Jadaan underscores pivotal Saudi, Chinese roles in promoting global economic integration
Saudi Gazette report RIYADH — The Financial Sub-Committee of the High-Level Saudi-Chinese Joint Committee convened its fourth meeting via video conference on Wednesday. The session was co-chaired by Saudi Minister of Finance Mohammed Al-Jadaan and Chinese Minister of Finance Lan Fo'an, with the participation of senior officials and representatives from both sides. Discussions focused on strengthening bilateral and multilateral economic and financial cooperation between Saudi Arabia and China, improving the effectiveness of international financial institutions, and furthering the strategic partnership between the two countries. Participants exchanged views on enhancing collaboration in key areas including tax policy, capital markets, banking regulations, financing, infrastructure development, and public-private partnerships. In his speech, Al-Jadaan underscored the pivotal roles of Saudi Arabia and China in promoting global economic integration through active engagement in multilateral platforms. He emphasized that such platforms offer a valuable opportunity to support emerging economies and contribute to development, poverty reduction, and inclusive global dialogue. He highlighted the importance of deepening trade and investment ties, enhancing financial integration, and aligning economic policies to promote shared prosperity and sustainable growth. Al-Jadaan called for greater innovation, strengthened research and development, and expanded public-private partnerships to create a more inclusive and competitive financial ecosystem. The minister noted the Kingdom's promising investment prospects for Chinese partners, particularly in infrastructure, tourism, and industrial sectors, as well as in collaboration with Saudi public sector entities. Speaking during the session titled 'Economic and Financial Multilateral Coordination,' Vice Minister of Finance Abdulmuhsen Al-Khalaf praised the leadership roles of Saudi Arabia and China in global financial institutions such as the International Monetary Fund (IMF) and World Bank. He stressed the need for global forums like the Group of Twenty (G20) to prioritize economic challenges and adopt cooperative, solution-driven approaches. Al-Khalaf commended both countries' contributions to international efforts such as the Debt Service Suspension Initiative and the Common Framework for Debt Treatment, describing them as impactful tools for supporting global and emerging economies. He urged continued engagement and exploration of new opportunities within global and regional multilateral platforms to enhance both nations' international standing.
