Rami Shabaneh, Senior Fellow, King Abdullah Petroleum Studies and Research Center (KAPSARC) joins host Richard Wilson and The 966 for Episode #135. 

Rami is a senior fellow with KAPSARC’s Oil and Gas program, with a focus on global gas and hydrogen markets. He has nearly 15 years of research and industry experience analyzing energy markets and energy policy.

Rami also co-edited the recently published, Clean Hydrogen Economy in Saudi Arabia, Domestic Developments and International Opportunitiesavailable for purchase on Amazon or Routledge as well as Taylor & Francis. 

Spanning 28 chapters the book is a first-of-its-kind analysis of the emerging global hydrogen economy from the vantage point of one of the world’s biggest energy providers: Saudi Arabia. The Kingdom is optimally situated geographically between the major demand markets in Europe and North Asia, from where it can leverage clean hydrogen exports as a potential tool to become a player of strategic importance and successfully diversify its economy under its Vision 2030 program.

In his discussion with Richard and The 966 Rami Shabaneh provides informed analysis of the "who," "what," "where," and "why" related to clean hydrogen development within and beyond Saudi Arabia.

Coincidentally, this past week NEOM Green Hydrogen Company (NGHC) initiated a major recruitment campaign for its world-leading green hydrogen plant as the project moves closer to its operational phase.

The $8.4 billion facility, set to be the world’s largest green hydrogen production plant, is targeting full operations by the end of 2026 and aims to produce up to 600 tonnes of carbon-free hydrogen daily, potentially eliminating five million tonnes of CO2 emissions annually.

Rami Shabaneh is the second KAPSARC expert to join The 966. In January 2022, for Episode #22, Adam Sieminski, who had just finished serving as President of KAPSARC talked renewable energy and the Circular Carbon Economy. Another terrific conversation you can listen to here.

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The 966 and host, Richard Wilson welcome to Episode #134 Laura Morgan, Market Intelligence Lead, MEA, JLL to discuss Saudi Arabia’s Booming Construction Sector.  Ms. Morgan expands on JLL's Q1 2024 KSA Construction Market Intelligence Report which noted that with $1.5 trillion in the Saudi pipeline of unawarded construction projects, Saudi Arabia accounts for almost 40% of the total MENA pipeline value.  Within that pipeline the construction sector represents $950 billion (62% of the total $1.5 trillion), while transportation, infrastructure, and other utilities account for $582 billion (38%). 

According to MEED Projects, the thriving KSA construction sector reported the highest value of awarded projects in 2023, reaching USD97 billion compared to USD60 billion in 2022. Aligning with the Kingdom’s Vision 2030 economic diversification and investment goals, this value represents only 6% of the potential pipeline, highlighting substantial opportunities within the sector.

Join us for another timely and informative episode of The 966.

Summary

Laura Morgan, Market Intelligence Lead Middle East, and Africa for JLL, discusses JLL's latest KSA Construction Market Intelligence Report and the construction market in Saudi Arabia. The report highlights the potential for GDP growth in Saudi Arabia, driven by Vision 2030 giga projects and infrastructure developments. The report also examines the construction pipeline, awarded and unawarded projects, and the challenges faced by the sector. Laura emphasizes the importance of data and transparency in understanding market trends and risks. She also discusses the progress of economic diversification in Saudi Arabia and the impact of rationalization efforts on the contracting sector.

Keywords JLL, KSA Construction Market Intelligence Report, Saudi Arabia, construction market, Vision 2030, infrastructure developments, GDP growth, construction pipeline, awarded projects, unawarded projects, challenges, data, transparency, economic diversification, rationalization, contracting sector.

Takeaways

• Saudi Arabia's construction market is experiencing significant growth, driven by Vision 2030 projects and infrastructure developments.
• The construction pipeline in Saudi Arabia is substantial, with a value of around $1.5 trillion, and there is still a large portion of projects in the design and pre-qualification phases.
• Data and transparency are crucial in understanding market trends and risks in the construction sector.
• The efforts to build up local contracting capability in Saudi Arabia are progressing, but there is still a need for skilled labor, particularly in the MEP sector.
• Despite challenges such as inflation and geopolitical tensions, Saudi Arabia remains committed to its Vision 2030 goals and the construction projects associated with it.

Titles

• Data and Transparency: Understanding Market Trends and Risks
• The Construction Pipeline: A Look at the Projects in Saudi Arabia

Sound Bites

"Saudi Arabia's progress on numerous Vision 2030 giga projects and infrastructure developments has cemented the kingdom's position as a leader in construction activity regionally and globally."

• "Around 5% of the pipeline projects in Saudi Arabia are under a main contract, while the remaining 94-95% are in the design and pre-qualification phases."
• "Despite challenges such as inflation and geopolitical tensions, Saudi Arabia remains committed to what they've announced and what they've said they want to achieve by 2030."

Chapters

00:00    Introduction and Overview of JLL and the Construction Market in Saudi Arabia

03:11    Vision 2030 and Infrastructure Developments Driving Growth

08:11    The Construction Pipeline: Overview and Status of Projects

13:12    Data and Transparency: Understanding Market Trends and Risks

15:57    Building Local Capability: Challenges and Progress in the Contracting Sector

23:14    Commitment to Vision 2030: Overcoming Challenges in Saudi Arabia's Construction Market

 

In Episode 125, the hosts welcome veteran columnist and analyst Hussein Ibish onto The 966 for his third appearance on the program to unpack the implications of Israel's brutal war in Gaza and the shifting regional and global power dynamics since October 7th. 

Hussein Ibish is a senior resident scholar at the Arab Gulf States Institute in Washington and is a weekly columnist for The National (UAE) and The Atlantic. He's also a former columnist for Bloomberg, regular contributor to The New York Times and The Daily Beast, and frequent contributor to many other U.S. and Middle Eastern publications.

Hussein discusses the war in Gaza and calls it a "savage war of vengeance" and the Biden Administration's response to it. He also talks about how the war has aligned the U.S. and Saudi Arabia's interests in forming a Palestinian state when the war is over and how the issue has brought the U.S. and Saudi Arabia closer diplomatically. 

The rapidly evolving venture capital environment in the Middle East, Gulf and Saudi Arabia is in focus in this special conversation for The 966. 

1:00 -- Saudi Arabia's incredible, award-winning pavilion at Dubai's Expo 2020 signed off with a big ceremony. Will Saudi Arabia host Expo 2030?
Of the top 5 candidate-cities, two are in Russia and Ukraine. The Russian invasion of Ukraine weakens their candidacy, leaving Saudi Arabia in competition with only Italy (which hosted in 2015) and South Korea. 
So, what would an Expo 2030 Riyadh Saudi Arabia look like? 
Crown Prince Mohammed bin Salman announced the Saudi bid to host Expo 2030 in October last year and the Kingdom submitted its formal application in December to the Bureau International des Expositions, the organization behind the expo.
In its presentation to the BIE in December, Saudi Arabia outlined bold plans to transform Riyadh and the rest of the country into a world-class venue for global connectivity, culture and climate action.
Indeed, Riyadh is a fast-changing city, and the hosts agree, could make for an excellent host to Expo 2030.

7:07 -- Trojena in Saudi Arabia at Neom: You have to see this ambitious new tourism project in the mountains along Saudi Arabia's northwest coast.
Trojena is newly announced year-round tourist destination that will consist of a series of facilities such as the ski village, ultra-luxury family and wellness resorts, a wide range of retail stores and restaurants, in addition to sports activities, including a ski slope, watersports and mountain biking, as well as an interactive nature reserve, according to Saudi Press Agency.
The project is set to be ready by 2026.
The location has some winter-feeling temperatures: the temp in the mountains above NEOM frequently drops below zero celcius. Located at approximately 2,600 meters above sea level, outdoor skiing will be a unique feature of Trojena which is positioning itself as the GCC’s first outdoor skiing destination.

14:38 -- The 966 talks with Col. Brad Gandy, former Chief of the US Training Mission in Saudi Arabia (USMTM) about the U.S.-Saudi security relationship and the ongoing transformation in Saudi Arabia's military.
Col. Gandy has one of the more impressive resumes out there. Before serving as head of USMTM in Saudi Arabia, he served as the senior US defense official and defense attache to Yemen, and he has spent years in the region and in Saudi Arabia in various capacities. He also served as U.S. army attache to the Kingdom of Saudi Arabia between 2006 and 2010...
The hosts ask Brad to help us better understand what the USMTM is and the role it plays, how the Foreign Military Sales (FMS) process works, and more.
The hosts also ask about the ongoing military transformation in Saudi Arabia and the role USMTM plays in it. The Saudi defense transformation plan is coordinating with the USMTM by embedding, for the first time ever, U.S. military and civilian advisors throughout the Saudi Ministry of Defense, and that included select U.S. defense companies to implement advice, assist, and mentor components of the project.
As chief of the USMTM from 2019-2021, Col. Gandy oversaw this process.

1:08:47 - Yallah! Six storylines to get you up to date on Saudi Arabia headed into the Weekend.
•Riyadh Season 2021, the marquis festival of the Saudi Seasons program closes today after a 5-month run begun on October 20, 2021. It has welcomed over 15 million visitors to its 13 zones, spanning 5.4 million square meters. With the slogan ’Imagine More’ this Riyadh Season included several concerts performed by the likes of Sean Paul, Pitbull, Amr Diab, and Mohamed Hamaki, among many others. According to Trade Arabia it also hosted the kingdom’s first cosplay event, attended by hundreds of Saudi nationals, residents and visitors who dressed up as their favorite movie and cartoon characters.

•The second phase of Saudi Arabia's decision to localize professions in grocery stores and supermarkets came into force on Monday, according to a report in the Saudi Gazette. This phase aims to reduce the number of foreign staff in sales by half in the roles of department manager, deputy branch manager, and branch manager. As of 2021, the Ministry of Human Resources and Social Development (HRSD) announced the localization of 20 professions and activities from a variety of sectors, as well as the establishment of nearly 378,000 employment openings.

•Saudi budget airline flynas is in negotiations with both Boeing and its current supplier Airbus to buy aircraft worth $13 billion to $15 billion, according to a report in Reuters. The carrier has increased the number of planned new orders to 250 aircraft and also plans to increase the number of destinations to 165 from 70.

•About 499,000 Saudis entered the employment market in 2021; an average of 1,367 Saudis per day, according to an Okaz/Saudi Gazette study of recently released government reports. The total number of male and female Saudi employees in the local labor market reached about 2.25 million in 2021, marking a 28.51% increase from 2020, when their number reached about 1.75 million.

•FDI inflows totaled $19.3 billion, the most since 2010, according to data published by the Saudi central bank on Monday. according to Bloomberg. The bulk of last year’s FDI total was from state oil company Saudi Aramco selling a $12.4 billion stake in an oil pipelines entity to investors led by EIG Global Energy Partners LLC. A new national investment strategy last year set an FDI target of more than $100 billion annually by 2030.

•SPA announced on Wednesday that Saudi Arabia deposited $5 billion in Egypt's central bank as the Egyptian economy faces new economic pressures as a result of the war in Ukraine. On March 21 Egypt devalued its currency by around 14% after investors had pulled billions of dollars out of Egyptian treasury markets. Saudi Arabia said last October it had deposited $3 billion with Egypt's central bank and extended the term of another $2.3 bln in previous deposits. This new deposit would bring the total to $10.3 billion, this according to a report in Reuters.

0:57 - A new personal status law in Saudi Arabia is set to be a game-changer for Saudi women, in addition to having significant real-life impact for everyone in Saudi Arabia. The personal status law is one of the four laws announced by the Crown Prince Mohammed bin Salman bin Abdulaziz in February, which is designed to enhance the efficiency and integrity of the kingdom's judicial system – a move that will eventually lead to a fully codified law. The crown prince noted that the personal status draft was drawn from the provisions of Islamic Shariah, and took into account the latest legal trends and modern international judicial practices, keeping abreast of developments and changes.

7:46 - Foxconn might build a $9 billion plant in Saudi Arabia, and that could be a big deal. Foxconn, the world’s largest contract assembler of consumer electronics, is in talks with Saudi officials about the prospect of opening a $9 billion factory in NEOM, according to a report in the Wall Street Journal. The company is looking at jointly building a $9 billion multipurpose facility that could make microchips, electric-vehicle components and other electronics like displays.

18:26 - One of the biggest transformations in Saudi Arabia has very little to do with Vision 2030: Saudi Arabia's military is undergoing a massive overhaul...the largest since the founding of the Kingdom. We talk with author, researcher and professor Bilal Saab about the major modernizations and thorough reconstruction of the security apparatus in the Kingdom. Bilal talks about his recent piece for the MEI.edu, A Gradual Reset with Saudi Arabia, as well as his forthcoming book, Rebuilding Arab Defense, available in May.

1:14:57 - Yallah!
•Aramco, ACWA Power, Saudi Arabian Airlines, Ma’aden and ENOWA (a water and energy firm) signed non-binding MOUs to become the first members of Middle East and North Africa regional Voluntary Carbon Market, which the Public Investment Fund launched last year in cooperation with the Saudi stock exchange. PIF said further partners on both the demand and supply side will be on boarded in the coming months, ahead of an introductory round of auctions in fourth quarter of 2022. [Bloomberg]

•Saudi Arabia plans to introduce 60 water projects worth 35 billion Saudi riyals ($9.33bn) as the kingdom accelerates efforts to become the world's largest desalination market. Once completed, the projects will nearly triple Saudi Arabia's desalination capacity to 7.5 million cubic meters of water a day by 2027, from 2.54 cubic metres per day in 2021. [The National]

•The Saudi Super League will begin in June, and attention is now turning to the venues selected for its debut season. The challenger to the PGA tour that has caused controversy for months will begin without the major defection that league CEO Greg Norman had hoped would occur. The eight-tournament series runs from 9 June to 30 October and will comprise seven regular season events and a Team Championship grand finale Match Play. [CNN]

•Saudi Arabia's state oil company Aramco pledged to hike investments by around 50% this year as it reported a doubling in 2021 profits. Aramco benefitted from a more than 50% surge in oil prices last year, as increased COVID-19 vaccination rates and loosening restrictions resulted in demand outpacing supply. [Nasdaq]

•Saudi Arabia’s Ministry of Investment and the Jada Fund of Funds have teamed up to create a platform that will connect Saudi entrepreneurs with investors abroad, according to a report in the National. Catalyse Saudi will host a series of events, the first of which will take place this month in Jeddah and Riyadh under the theme of disruptive technology. [The National]

•Saudi Arabia is planning to raise its port occupancy rate to 70 percent by 2030, CNBC reported citing the head of the Saudi Ports Authority. This comes as the transshipment rate at the Saudi ports grew by more than 35 percent in 2021, Omar bin Talal Hariri disclosed.

Nusf specializes in preparing and qualifying women for executive leadership in Saudi Arabia. The organization was founded to help Saudi and Arab women develop professionally, lead in the corporate world, and make a lasting positive impact on society. Nusf is committed to advancing the Kingdom’s national development agenda and Vision 2030 objective of increasing women’s participation in the workforce. 
Nusf believes that no country can achieve prosperity or realize its full potential if it leaves behind half its population. “Nusf” means “half” in Arabic, hence the company's tagline “Investing in Half the Population.”

Nusf aims to raise the percentage of women in leadership in Saudi Arabia by providing both emerging and accomplished female leaders with the knowledge, skills and networks needed to expand their impact on their individual organizations as well as their wider communities. The organization works to build capacity and boost confidence in professional women through programs that will foster their advancement and enrich their careers, enabling them to become the future leaders in their industries and society.

2:36 - Where is shale oil and why isn't it more impactful in the U.S. energy mix?
U.S. shale oil production transformed global energy markets when it helped U.S. oil production go from just under 4mbd in September 2008 to 13.1 mbd in February 2020. And, despite rapid depletion rates, shale oil production is cheaper and faster to bring online than traditional methods of oil production. By 2014 U.S. oil – specifically shale oil – was widely viewed as the ‘swing producer’ – a role OPEC and specifically Saudi Arabia had held for decades.
By 2014 U.S. shale oil set the ceiling for global oil prices leaving OPEC to try to maintain the floor as best it could.
Still, U.S. Shale Oil won’t be saving the day any time soon. The hosts explore why this is and talk about what might be next for energy markets and U.S. energy policy.

26:05 - A recent study by Uber in Saudi Arabia reveals that female participation in the labor force keeps climbing - and is ahead of schedule for Vision 2030.
Between 2018 and 2021 - female participation in the labor force grew from around 22% to almost 36%.
The increase means that the country has met its Vision 2030 target of 30% female labor force participation almost 10 years ahead of schedule.

32:00 - Dr. Mark Thompson, Senior Research Fellow at the King Faisal Center for Research and Islamic Studies (KFCRIS) and author of the book, Being Young Male and Saudi: Identity and Politics in a Globalized Kingdom (Cambridge University Press) joins The 966 to talk about his research and experiences in Saudi Arabia. Mark also has a new book forthcoming, Governance and Domestic Policy Making in Saudi Arabia: Transforming Society, Economics, Politics and Culture.

The hosts talk with Mark about his methodology, and what it's like to engage with Saudi youth to find out what they want and see for the future. They also discuss educational reforms in Saudi Arabia, Vision 2030 progress, and much more. 

1:49 - Lucid's new Saudi plant is official. Lucid announced a long-term plan to bring advanced automotive manufacturing to Saudi Arabia to address global demand.

The plant will be designed for a maximum annual production capacity of 150,000 vehicles. Lucid estimates that the site could result in up to $3.4 billion in value for the company over 15 years. The plant is expected to create “several thousand highly skilled jobs.”

6:25 - Saudi Arabia is hosting its first ever major defense show this week. The World Defense Show begins in Riyadh in just a few days, and the event will showcase the latest in defense industry tech.

Saudi Arabia is one of the top spenders globally on defense.
In 2020, it was the 6th largest spender on defense, plopping down an estimated $57.5 billion on defense, according to SIPRI.
For 2020, Saudi Arabia's budgeted defense spending is down from that figure, however, at $45.5 billion. That's a trend in the right direction for Saudi Arabia as it looks to localize half of its defense spending by Vision 2030.
Over 420 exhibitors are registered for the event, which will also feature a special zone for startups in the defense space.
Saudi Arabia created a purpose-built space for this event, which will take place every other year.

11:26 - Ukraine, global security, and the Middle East with David Des Roches.

The situation in Ukraine is constantly evolving. So, too, is the geopolitical situation in the region and world in the aftermath of the invasion.

The Wall Street Journal reports that "From the Persian Gulf’s oil-rich monarchies to Israel, U.S. allies and partners are staying neutral or tempering their criticism of Moscow in a revealing sign of Russia’s growing influence in the region." 
The hosts and Des Roches discuss why this is, and if it perhaps could change?

53:24  Yallah! Six headlines to get you caught up before the weekend...

According to a report in Arab News, Saudi Arabia on Monday welcomed the UN Security Council’s resolution labeling the Houthi militia fighting in Yemen a terrorist group, in addition to expanding the scope of an existing arms embargo to encompass the entire membership of the Iran-backed group, which was previously limited to specific individuals and companies.

Another week, another big Saudi IPO...Nahdi Medical Co, Saudi Arabia's market leader in retail pharmacies, aims to raise up to 5.11 billion riyals ($1.36 billion) in the country's biggest initial public offering since Saudi Aramco's listing in 2019, according to a report in Reuters.

Saudi Arabia announced the discovery of 5 new gas wells in four separate regions across the Kingdom, adding more natual gas capacity at an important time in the global energy transition.

Local runner Emblem Road runs out an 80-1 shock winner of $20 million Saudi Cup. The Saudi-trained horse rallied with a wide, sweeping move on the outside to win the $20million (£14.9m) Saudi Cup at 80-1 odds. Established in 2020 and organised by the Jockey Club of Saudi Arabia, the Saudi Cup is a two-day international racing festival, headlined by the USD$20m.

Construction for Gulf Railway connecting Qatar to Saudi kicking-off - The construction of the GCC Railway connecting Qatar to neighboring country Saudi Arabia will kick off soon. The 2,177 km Gulf Railway is a proposed railway system connecting all six GCC countries in Eastern Arabia. The project, expected to cost US$250 billion, is scheduled to be completed by 2023. The completion date is not yet estimated.

Saudi Arabia’s newest travel experience is inspired by the renowned Burning Man festival in the US...Caravan by Habitas AlUla will open in March in one of the oldest cities on the Arabian Peninsula. Surrounded by mountains and ancient Nabatean settlements, Caravan AlUla consists of 22 Airstream trailers.

1:29 - Richard's one big thing this week in Saudi Arabia is an update to Saudi Arabia's founding story as the Kingdom celebrated its Founding Day on February 22.
 
Earlier this year, the government announced the new holiday will be celebrated with a day off for both public and private sector workers, and released a vintage-looking logo used to mark the event.

The Saudi English-daily Arab News features a fascinating report on how historians and experts in the Kingdom worked to reveal the actual founding day as 17 years off from previous recording, instead using the first date of Bin Saud’s first day as ruler of Diryiah, in what is now modern-day Riyadh, instead of his alliance with Sheikh Mohammed ibn Abdulwahhab.

“There is no doubt that the events of 1744, the year in which Imam Mohammed ibn Saud of Diriyah offered sanctuary to the religious reformer Sheikh Mohammed ibn Abdulwahhab, were hugely significant….But over time the importance of that admittedly historic moment of common cause between state and faith came to obscure the far more complex and deeper-rooted origins of the First Saudi State…

“It is to correct this neglect of the Kingdom’s crucial embryonic years that Founding Day has been created, to celebrate 1727 as the true moment of birth and to give Saudis a deeper appreciation of a past far richer than many realize.”

“The theoretical effort of “laying the foundation” for Founding Day is crucial to building states, cementing identity, and enlightening society. The Saudi identity is coherent, modernist, and developed; and like identities throughout history and across the globe, it must be reimagined and reestablished constantly, especially during transitional, historic periods. Today in Saudi Arabia, this effort takes the form of Vision 2030.”

11:43 - Lucien's one big thing in Saudi Arabia this week is a look at the oil market and Saudi oil exports as the Russian invasion in Ukraine rages. Where is Saudi Arabia's oil going now, and what's next for energy markets? With oil now headed over $100 a barrel on Brent and possibly even higher as the situation in Ukraine deteriorates, Washington is already in close coordination with Saudi Arabia on energy markets.
Russia of course is a big player in the oil markets - making up the "plus" in the new market-setting cartel "OPEC+," which adds a layer of complexity to the crisis in Ukraine and as as sanctions against Russia start to ratchet up, although the West is not sanctioning the Russian oil sector yet.
But much of Saudi Arabia's oil now heads to Asia - in fact in 2021, 80% of Saudi crude headed to Asia, with China as the leading consumer.
The top four destinations for Saudi crude are China, Japan, South Korea and India.
Recent data show that US was again the only non-Asian importer of Saudi oil to make the top five, but the amount the U.S. imported from Saudi Arabia decreased from 407,000 b/d in 2020 to 376,000 b/d in 2021.  This is the lowest in 36 years.
Saudi exports to European markets also dropped in 2021.

39:58 - Yallah! Six storylines in Saudi Arabia from the week to get you updated heading into the weekend.

•Expo 2020 in Dubai is not just jaw-dropping national pavilions and entertainment. Governments and global leaders convened this week at the Dubai Exhibition Centre at Expo 2020 for the Food, Agriculture and Livelihoods Business Forum. New Zealand, which is recognized globally as one of the most progressive agricultural and aqua-cultural nations – its food sector feeds around 40 million global consumers each year, eight times its population – is New Zealand is taking the lead on the forum that will address the urgent need to transform the world’s food and agricultural systems to feed 10 billion people by 2050, within environmental limits.

 
•It was a historic day for Saudi Arabia as the women's national football team played, and won, its first official international match on Sunday. The Saudi squad traveled to the Maldives to beat the Seychelles 2-0 in a friendly which comes just a month after the final team was named. It will now face the Maldives in its second match today. The team was congratulated by Brazilian soccer legend Pelé, who called it a "historic day."

•Speaking at the Munich Security Conference, Saudi Foreign Minister Prince Faisal bin Farhan Al Saud said that Lebanon must offer stronger signals that it is serious about reform to secure support from the international community as it struggles with a financial crisis. “Lebanon first needs to be actively saving itself… We need a stronger signal from the Lebanese body politic that they are going to step up.”  He said this included stabilizing the economy and addressing issues of corruption and mismanagement as well as “regional interference and loss of state sovereignty.”

•To mark World Radio Day, the Saudi Broadcasting Authority recently launched Al-Ekhbariya Radio, the first news radio station in Saudi Arabia. The station will have a network of 85 correspondents and will focus 80% of its programming on local news with the remainder focused on Arab and international news. Station director Mubarak Al-Ati said, “Launching the station is in the interest of the Saudi media renaissance to keep pace with the developments the kingdom is undergoing at all levels. Saudi media will continue to advance in service of the kingdom’s leadership and people.”

 
•Arab News recently reported that the government has not yet decided to integrate it innovative Tawakkalna application with the Absher platform. The Absher app was introduced in 2015 by the Ministry of Interior and is the leading e-services platform in Saudi Arabia. It served 23 million users who carried out more than 85 million operations in 2021.  Tawakkalna was launched in 2020 by the Ministry of Health and is mandatory for all people in the country to enter worksites, shops, and malls. It also has more than 23 million users and last year was selected among the top applications in the e-health category by World Summit on the Information Society Prizes.

•Leading Saudi soccer clubs Al-Nassr and Al-Hilal have each signed long-term strategic partnerships with the investment vehicle of Qiddiya, the new entertainment district near Riyadh which plans to build a new 40,000-seat, cliff-top stadium for the two Riyadh-based clubs. Likewise, the PIF-owned Central Jeddah Development Company has also signed deals with two other top clubs Al-Ittihad and Al-Ahli for the same annual amount of $26.6 million and the same duration – until 2042.

2:10 - Richard's "One Big Thing" this week: Al Dawaa Medical Services Co., one of the largest pharmaceutical retail companies in Saudi Arabia, will list 25.5 million shares on the Saudi Stock Market (Tadawul) seeking to raise about $500 million. Al Nahdi Medical Co., the kingdom’s largest pharmacy retail chain, plans to seek about $1.3 billion in an IPO in the next few months in what could be the largest share sale in the kingdom since state oil giant Saudi Aramco went public in 2019...

10:35 - Lucien's "One Big Thing" this week: The Saudi Ministry of Industry and Mineral Resources has opened the next stage for licensing the Khnaiguiyah site, the largest exploration site in the Kingdom. Extensive exploration work already has been carried out at Khnaiguiyah site, covering 100,000m drilled and a 3D geological model. The Saudi Geological Survey has confirmed the site's considerable geological potential of approximately 26mn tons of zinc and copper, both critical minerals for the global energy transition. With over 40 years of experience in the sector, Amr talks about the importance of the revitalization of the mining sector in the Kingdom and the opportunities that are waiting for investors. 

25:10 - How has Saudi foreign policy evolved since the rise of King Salman, and how the Kingdom's position and influence in global affairs has grown? This is the starting point for The 966's discussion with Amr Khashoggi, who begins by placing it in context starting with the 9/11 attacks and the damage that did to U.S.-Saudi relations and Saudi Arabia's reputation. After those attacks, Amr represented the Kingdom in delegations that engaged directly with graduate students and professors at U.S. Universities for several years. Amr also discussed how the U.S.-Saudi relationship remains strong and endures from president to president and has withstood an array of tests and challenges. 

47:52 - The conversation pivots to talking about Amr Khashoggi's work as chairman of Amkest Group, how his business has grown under the Kingdom's Vision 2030 economic and social diversification plans, and the renewable energy space, in which Amkest is invested. The group then discusses the good work that Amr is doing with Qaederoon, which is a successful non-profit in Saudi Arabia and with an inspiring mission.

1:17:00 - Yallah! 🐪 Six news stories to get you up to date headed into the weekend...

•The Saudi Cabinet has approved a license for a local digital bank to be established with a capital of$440 million. The D360 Bank will be established through a consortium of individual and corporate investors, led by Derayah Financial Company, with the Public Investment Fund being one of the main investors. With the newly issued license, the total number of licensed banks in the Kingdom will reach 35, including 11 local banks, three local digital banks and 21 foreign bank branches, according to SAMA.

•Golf Saudi has attained full member status of the European Disabled Golf Association (EDGA) as part of its efforts to promote the sport for all players in Saudi Arabia. The news was revealed during the Saudi International tournament by Majed Al Sorour, CEO of Golf Saudi and the Saudi Golf Federation, who said its membership in EDGA would enhance the accessibility of golf in Saudi Arabia.

•NADEC – the country’s leading agricultural and food processing company and one of the largest in the Middle East and North Africa has announced that its solar energy project is now commercially operational. The solar PV park was developed as part of a 25-year corporate power purchase agreement between NADEC and French energy company ENGIE, the first of its kind in the country. The facility is roughly equivalent to 21 football pitches, has a capacity of 30 MW and is expected to lower carbon emissions by 53 million kg per year.

•Fresh off her sold-out concert at The Maraya Concert Hall in AlUla, singer-songwriter Alicia Keys joined Saudi Ambassador to the United States, Princess Reema Bint Bandar Al-Saud, and a group of other creative Saudi women in an intimate conversation under the theme “Women to Women.” The off-the-record dialogue, hosted by Good Intentions, a newly launched Saudi-based creative consultancy, was held in a town hall style, where audience members asked questions, made comments, and interacted with the panel.

•On Sunday 4% of Saudi Aramco shares worth $80 billion were transferred to the kingdom’s Public Investment Fund which is taking the lead in efforts to transform the Saudi economy and diversify away from oil revenues. The Saudi state remains the largest shareholder in Saudi Aramco after the transfer process with more than 94% of the company’s shares. The shares transfer is expected to help the PIF achieve its goal of growing to over $1 trillion under management by the end of 2025.

•For centuries millions of saksaul trees, commonly known by their Arabic name Al-Ghadha, provided firewood, animal feed and respite from the desert heat for the Bedouin forefathers of modern Saudis. Planting saksaul trees is now part of green initiative by the Saudi government aimed at reducing carbon emissions, pollution, and land degradation. 250,000 of the drought-resistant trees will be planted this year in the central Qassim region. The kingdom aims to plant 10 billion trees in the coming decades as well as work with other Arab states to plant an additional 40 billion trees across the Middle East.

Saudi Arabia’s changing society, economy, and the impact of King Salman with guest David Rundell, author of the book Vision or Mirage, Saudi Arabia at the Crossroads.

7:16 - Richard's one big thing this week is the Saudi Games 2022 will welcome 6,000 athletes in March - the first time this huge event has been held in the Kingdom.
6000 athletes from both sexes will compete in 45 sports in the host city Riyadh from March 10 - 20 with big prizes awarded.

13:08 - Lucien's one big thing is a new report from the World Bank highlights the truly staggering annual cost of pollution in the MENA Region.
Air pollution alone costs the MENA region about $141 billion a year, or 2% of economic output. Air pollution levels in MENA’s largest cities are among the highest in the world. The average citizen in these cities is breathing in air that is 10 times more polluted than the WHO says is safe. 

The World Bank study said air pollution causes about 270,000 deaths a year, and the average MENA resident is sick at least 60 days in his/her lifetime due to exposure to elevated air pollution levels.

The report talks about damage to the region's seas and coasts, which is especially interesting for Saudi Arabia as it is full steam ahead with plans to develop its Red Sea coastline for tourism.

24:05 - The hosts take advantage of David Rundell's extensive experiences and knowledge about Saudi Arabia, and ask about the important role of Saudi Arabia's King Salman, changes in Saudi Arabia, and the "stakeholders" outlined in David's book, Vision or Mirage: Saudi Arabia at the Crossroads. 

1:05:35 - Yallah!
•Authorities in Saudi Arabia released the new logo for the “Founding Day,” a new holiday in Saudi Arabia to be celebrated in February, which includes various historical and traditional symbols linked to the glories, heroisms and nobility of the Saudi state. Per Arab News, "The phrase “Foundation Day — 1727 AD” is written below in a font inspired by several ancient manuscripts chronicling the history of the first Saudi state, so that the logo’s comprehensive message is linked to the values ​​that represent the common Saudi culture, and conveys the meanings of pride, enthusiasm, authenticity, interdependence, hospitality, generosity, knowledge and science."

•Organizers for the upcoming World Defense Show in Riyadh said they have sold out all of its pavilllions, as the Kingdom gears up to host its first major global defense and security event of its kind in Saudi Arabia. On March 5, as a pre-cursor to the inaugural World Defense Show, the first-ever Riyadh Defense Forum will be conducted by the International Institute for Strategic Studies (IISS). Founded by the General Authority for Military Industries (GAMI), the World Defense Show will kick off the first day with a "spectacular opening ceremony featuring live demonstrations of interoperable defense capabilities across all key domains."

•U.S. Central Command boss Gen. Kenneth F. McKenzie Jr said there is ‘Rare Opportunity’ to Integrate Air, Missile Defense in Gulf Region, according to a report from Airforcemag.com. McKenzie said that “the most immediate and credible threats to the American homeland” are still coming from the Middle East. Iran “remains the central threat around which U.S. Central Command is organized and my top priority as its commander,” McKenzie said in remarks to the Middle East Institute. "Specifically, my mission is to deter Iran from undertaking malign activities that undermine the security and stability of the region.”

•Saudi Arabia’s Public Investment Fund (PIF) has been assigned debut ratings by agencies Fitch and Moody’s, receiving an ‘A’ rating and ‘A1’ rating, respectively. The PIF is looking to extend credit facilities and raise public debt to fund its ambitious spending and investment commitments at home and abroad, according to the Financial Times. Fitch said when issuing the rating, "“It is Fitch’s view that the government has an oversight over PIF, notably over its investment and funding strategies through its Board of Directors, which is chaired by the Crown Prince and governed by appointed Ministries and government officials. Since 2015 PIF is organised under Council of Economic and Development Affairs of Saudi Arabia (CEDA) chaired by the Crown Prince, which is the supervisory body over PIF’s operations. As the key policy -driven economic agent of Saudi Arabia, Fitch does not expect changes to PIF’s status, ownership and control over the medium term.”

•Saudi Arabia’s Ministry of Human Resources and Social Development (MHRSD) has approved the introduction of work from home in the government sector. The ministry’s approval of telework as a new method of work in the government sector is part of achieving diversification and ensuring continuity of jobs in various work environments.

•The Richard Mille AlUla Desert Polo 2022 is set to become the first modern polo tournament in the world to be staged in the desert. Taking place on 11 – 12 February, the event will bring together polo patrons and professionals from around the world. Organized by RCU in partnership with the SPF and Richard Mille, the event marks the second season of the two-day tournament, first introduced by RCU in 2020. Richard Mille became the name sponsor as of today.

1:48 - Richard's one big thing is the announcement of Saudi Arabia's Founding Day - a new holiday in Saudi Arabia.
Saudi Arabia's Council of Ministers has chosen Feb. 22 to commemorate the Founding Day of Saudi Arabia.
Annual celebrations will recognize the foundation of the first Saudi state in 1727 by Imam Mohammed bin Saud, a move that brought unity, peace, and stability to the Arabian Peninsula following centuries of fragmentation and dissension.

11:44 - Lucien's one big thing is the one big golf tournament that happens in Saudi Arabia every year begins this week. The tournament itself is growing, with a $5 million purse and superstars like Bryson and Dustin and many others teeing it up on the Red Sea. But it is Saudi Arabia's wider golf ambitions that have the world watching this weekend.
Greg Norman is again pushing his (and the PIF's) vision to grow the game of golf internationally.
At a press conference this week, Norman said the PIF and LIV Golf is increasing its annual investment in a series of 10 Asian Tour events from $200 million to $300 million. Those events, called the International Series, will be played in Thailand, England, Korea, Vietnam, the Middle East, China, Singapore and Hong Kong, LIV Golf said in a press conference.
Norman said that was just the start.

23:43 - Social entrepreneurship in Saudi Arabia and the social enterprise sector in Saudi Arabia - where is it now, and where is it going?
The importance of entrepreneurship for Saudi Arabia's ambitious Vision 2030 social and economic reform program is well-known. And in that respect, the Kingdom is experiencing measurable success: The Global Entrepreneurship Monitor report 2020/2021 said the kingdom ranked 7th in entrepreneurship, and 9 out of 10 asked said it was easy to start a business in Saudi Arabia.
But what about social entrepreneurship?
This sector sits between philanthropy and private enterprise, using commercial methods to address social needs in innovative, financially sustainable ways.
A recent report by the consulting firm PWC noted that social entrepreneurship in developed economies leads to economic activity...and although the social enterprise sector is in its infancy in Saudi Arabia, it presents a significant opportunity.
The hosts tap into Ghadah's research experience in this space in Saudi Arabia and talk about what the future holds for Saudi Arabia's social entrepreneurs.

45:45 - Yallah! 🐪  The 966's finishing segment to get you informed before the weekend.
•According to Bloomberg’s recently released Covid Resilience Ranking, Saudi Arabia ranks second among countries ‘best coexisting with COVID-19 pandemic.’ The top five countries are UAE, Saudi Arabia, Finland, Turkey and Singapore.

•Neom is set to issue its first tenders to build a renewable power grid later this year, according to the executive director of Neom Energy. The first tender packages to be issued will be in the range of 400 MW to 800 MW. Ultimately, Neom is planning to install 8 to 10 GW of wind power and 16 to 20 GW of solar power generation.

•Red Sea Farms, which is backed by investors from Saudi Arabia and the UAE, is expanding into the US through its new agriculture technology that tackles food security problems by helping countries to grow crops in areas with scarce water resources. The University of Arizona's College of Agriculture and Life Sciences will evaluate the company's latest technology with the aim of introducing it in the world’s largest economy. 

•The 2021 Riyadh Season which was launched on October 20 has attracted over 10 million visitors and 1 million tourists in roughly 100 days. The five-month Season lasts until March 22.

•The Saudi Shura Council unanimously approved on Monday a draft amendment to the flag, emblem and national anthem system. The proposed changes aim to more clearly define the proper uses of the state emblem, raise awareness about the importance of the flag and anthem and protect the flag from infringement or neglect. 

•If you have not noticed how fast Saudi Arabia’s art scene is moving, we recommend Rahel Aima’s recent article for ArtForum – Stepping Stones: The Saudi Scene Takes the World Stage – a terrific report on the current state of the Jeddah and Riyadh art scenes.

Abdullah Alshamrani, General Manager of the Digital Entrepreneurship Center at Saudi Arabia’s MCIT join The 966 to talk ecosystem development in the Kingdom, the entrepreneurship scene, and the Kingdom as a future destination for tech.

The conversation comes as the Kingdom's flagship tech event, LEAP, is set to kick off in Riyadh in March.

He also shares his journey to becoming General Manager of Digital Entrepreneurship Center at Ministry of Communications and Information Technology, his time in the USA, and more...

The Kingdom’s Ministry of Communications and Information Technology works to grow KSA’s digital economy and investment to make Saudi Arabia a global leader in the digital economy. 

1:16 - Richard’s one big thing is a recent item by Ali Shihabi for the Hoover Institution, The Saudi Succession And The Sociocultural-Religious Reforms Of Mohammed Bin Salman.

4:43 - Lucien's one big thing is Saudi Arabia's Public Investment Fund (PIF) has created a new hospitality company called The Boutique Group that will transform palaces into ultra-lux hotels.
The Boutique Group will convert iconic historic and cultural palaces into luxurious boutique hotels in Saudi Arabia, and then manage them.

8:11 - Natural gas production in Saudi Arabia is booming. The hosts discuss the how and the why of the Kingdom's natural gas production boom.
Natural gas production is up 30% since 2010, according to the US Energy Information Agency.
What is significant about Saudi Arabia ramping up gas output is not only the increase itself, but the type of increase it is seeing, and why.
The EIA released a report on Saudi Arabia’s natural gas production, noting that it is standalone natural gas wells growing the industry, instead of associated natural gas production (natural gas produced as a by-product of oil production).

“Oil production cuts related to the December 2016 OPEC+ agreement have reduced Saudi Arabia’s associated natural gas production (natural gas produced as a by-product of oil production). However, the country’s total natural gas output has steadily grown over the past two decades because of the development of non-associated, or stand-alone, natural gas fields,” the EIA said.

Natural gas is also an important factor in the Kingdom's hydrogen goals and in its overall energy mix. 

17:50 - Yallah! The hosts begin their segment covering six other storylines from the week to get you up to speed for the weekend.
•Per the AP, Thailand’s prime minister arrived in Saudi Arabia on Tuesday for the first high-level meeting since relations between the nations soured three decades ago over a sensational jewelry heist that led to a diplomatic row and string of mysterious killings.
•The Saudi General Authority for Statistics reported that non-oil exports in November 2021 totaled $6.9 billion, up from $5.5 billion in November 2020. An increase of 26.1%. Non-oil exports also increased 9% from October to November 2021.
•ESL Gaming and FACEIT merge, with the companies bought by Saudi-backed PIF for $1.5bn. 
•Elm Co., a digital security firm owned by Saudi Arabia’s sovereign wealth fund, is seeking to raise as much $820 million from an IPO.
•Lebanon's leading Sunni Muslim politician Saad al-Hariri said on Monday he would not run in a forthcoming parliamentary election and was suspending his role in political life, urging his political party to do the same....
•The Saudi cabinet just met for the first time in person since the covid era began, and it was chaired by King Salman.

3:15 - Richard's One Big Thing this week is fintech startup Tamara's big Series A investment.

Riyadh-based buy now pay later platform Tamara has raised $110 million in a Series A round led by leading global payment processor Checkout.com. The hosts discuss this in the context of the Kingdom's growing venture capital ecosystem and the importance of startups for the Kingdom's Vision 2030 economic and social reforms. 

6:20 - Lucien's One Big Thing this week is Saudi Arabia's first ever delegation to the Winter Olympics, starting February 4th, 2022 in Beijing.
Cool Runnings 2: Saudi Arabia? The Kingdom's first winter olympian will bear the Saudi flag at the upcoming Winter Olympic games in Beijing, China, starting February 4th. Two Saudis qualified for the games, Salman Al-Howaish and Fayik Abdi, both in skiing.
The hosts and guest discuss this and the forthcoming Mall of Saudi that will boast a massive indoor winter and ski complex under the heat of the Saudi sun. 

8:46 - The Circular Carbon Economy in Saudi Arabia and the global energy transition.
The Circular Carbon Economy concept has gained momentum in recent years as the best way for individual nations to combat climate change.
It is a holistic approach that uses all the tools in the toolbox to reduce emissions. The CCE introduces a fourth "R" in the reduce, reuse, recycle framework --- and that is to "remove." This includes removal of carbon from the air - carbon capture, as well as other methods.
The G20 endorsed the CCE in 2020.
One of KAPSARC's many ongoing research projects is the Circular Carbon Economy (CCE) Index project, which is a tool for governments and other climate change policy stakeholders to evaluate progress in support of domestic planning and decision making in the nexus of energy, emissions, and the economy.
Saudi Arabia and Aramco have now adopted the circular carbon economy framework as a way to reduce their carbon footprints.
The hosts ask guest Adam Sieminski what Saudi Arabia is doing now and is planning to do to in order to achieve a fully circular carbon economy nationally.

34:49 - Renewable energy in Saudi Arabia - getting to 50% renewable energy in Saudi Arabia by 2030 and a look at solar's role in achieving that milestone.
Saudi Arabia plans to generate 50% of its electricity from clean sources by 2030.
After COP 26, and the Kingdom's first utilities-scale solar plant launched in June, Sakaka, the Kingdom has some momentum in this critical space.
The Kingdom has 7 independent power producer schemes in the pipeline for approximately 3 GW of PV projects coming online soon.
But the Kingdom's total electrical capacity right now is 70 GW, so there's a long way to go to get to Saudi Arabia's stated goal.
Is the 50% goal of renewables by 2030 realistically achievable?

1:01:44 - Yallah! 🐪  The 966's finishing segment to get you informed before the weekend.

•According to an OECD report, India, Saudi Arabia, France and Turkey are leading the bounceback from COVID-19 across the G20 forum of the world’s major economies. The report estimates that in the third quarter of 2021, India’s GDP grew 12.7% followed by Saudi Arabia at 5.8%.

•Of the ocean’s seven known species of sea turtles, five can be found in the Red Sea and Arabian Gulf surrounding Saudi Arabia. These five species are the Olive Ridley, Loggerhead and Leatherback which are classified as vulnerable by the World Wildlife Fund and the Green and Hawksbill which are classified as endangered. The Saudi National Center of Wildlife is working to identify and protect their nesting sites and has also s established a safe haven for these turtles near Waqadi Island which is an area protected by the Red Sea Development Company.

•Saudi Energy Minister Prince Abdulaziz bin Salman Al Saud has declared the Kingdom’s intention to harness uranium as an alternative energy source. The announcement came during the recent Future Minerals Forum. He stressed that uranium mining and the development of a nuclear energy program will anchor the Kingdom’s clean energy initiative. The minister confirmed that Saudi Arabia holds a vast quantity of natural uranium, emphasizing that the government “will deal with the uranium reserves with the utmost transparency”

•Later this month Newcastle United players will travel to Saudi Arabia for the first time since the club was purchased by the country's Public Investment Fund. The trip is designed to give the magpies, a chance to enjoy a warm-weather training camp while also giving the club the chance to take part in some media duties in an attempt to raise their profile in Saudi Arabia.

•After a one-year hiatus in 2021 due to the pandemic, 16 international teams will compete in the Saudi Tour cycling event held February 1-5 in Al-Ula. The course will be in 5 stages and will take riders through heritage sites and the challenging desert terrain of AlUla.

•Golf Saudi has produced a five-episode documentary that follows Saud Al Sharif and Faisal Salhab, two young Saudi golfers who will participate in the star-studded Saudi International being played February 3-6. The ‘See it All’ series will follow the two as they practice, train and spend time on the golf course and with their families. It will also include ‘inside the ropes’ self-shot footage from actual Saudi International tournament.

0:45 - Richard's one big thing this week is Saudi Arabia in 2021 continued its exponential growth as a theatrical box office market.
According to reports. Revenue totaling $238 million for the year, a 95% increase compared with 2020 when the total intake had been $122 million, according to figures provided by Comscore. Interesting news for the bourgeoning cinema industry in Saudi Arabia with an ongoing pandemic.

5:10 - Lucien's one big thing this week is (again?) Saudi golf.
A new podcast from Golf Digest focuses on the history behind Greg Norman’s quest to shake up the sport of golf, backed by the Saudi Arabia Public Investment Fund’s LIV Golf Investments.

In the podcast Local Knowledge: Greg Norman vs. the PGA Tour, host Dan Rapaport provides context to the move by Norman and LIV Golf Investments to provide an alternative to the PGA Tour in which players receive guaranteed money for big, new events around the world. The podcast discusses the history of the World Golf Tour’s failure, and includes comments from Norman himself, talking about why the move is in the best interest of the sport – namely, that a competing league will help grow the game globally and reward players who participate in events that increase interest in the game.

17:13 - Our guest wrote a great piece recently for the AGSIW on Saudi Arabia's Patriot buys and the Political Aspects of Missile Defense.
Des Roches wrote in the article, Saudi security conditions are "continuing to deteriorate...Over 300 attacks have been launched into the kingdom in the last year alone."
And the current problem is that the kingdom is running out of missiles to defend itself against attacks from Iran and the Iranian-backed Houthis in Yemen.
The hosts ask Des Roches to provide an update on the U.S.-Saudi security relationship and discuss the topic in-depth.

48:30 - The hosts and David Des Roches talk about the aspirations for a homegrown defense industry in Saudi Arabia.
The Kingdom has long been a big time buyer of foreign military weapons and equipment, especially from the U.S. But under Vision 2030, Saudi Arabia has said it is seeking to localize 50% of its military expenditure.
In 2021, the Kingdom spent 190 billion riyals on the military ($50 billion) - but has decreased its budgeted spending for this year, 2022, to 171 billion riyals ($46 billion).
That may be of course good news for Saudi Arabia, if and when it is achieved, but potentially concerning for U.S. defense contractors.
The United States is by far the largest exporter of weapons globally. The US was responsible for 37% of the exports of major conventional weapons worldwide between 2016-2020.
The hosts tap into Des Roches deep understanding of the space and talk about the homegrown defense industry in Saudi Arabia, and the challenges and opportunities presented therein.
An upcoming defense industry event held in Saudi Arabia will be the first of its kind there - the World Defense Show begins March 6th in Riyadh.

1:08:30 - Yallah! The hosts discuss six other storylines from this week to get you informed headed into the weekend...
•Foreign ministers from four Gulf states of Saudi Arabia, Kuwait, Oman and Bahrain and the secretary-general of the Gulf Cooperation Council (GCC) arrived in Beijing on Monday for a five-day visit in a "positive" push to the negotiations over the China-GCC Free Trade Agreement (FTA) and strengthening China's economic ties with the bloc.

•Authorities in Saudi Arabia are preparing to launch the 2022 census, which will be the fifth in the Kingdom’s history.

•The 2021 Spanish Super Cup kicks off this week in Riyadh with four sides competing for the title, they include 2020-21 LaLiga winners Atletico Madrid plus league runners-up Real Madrid. The sides from the Spanish capital will be joined by 2020-21 Copa del Rey winners and runners-up in Barça and current Super Cup champions Athletic Club.

•According to a report this week in Reuters, Qatar and Saudi Arabia have halted efforts at the WTO to resolve a dispute over the alleged piracy of content produced by Doha-owned sports and entertainment channel beIN.

•In 2021 Saudi Arabia seized more than 37 tons of illegal drugs as well as 190 million pieces of the highly addictive Captagon pills.  The haul included hashish, heroin, cocaine, qat and other narcotics. In addition, authorities seized more than 234,000 bottles and 4,155 litres of smuggled alcohol.

•The UN Office for the Coordination of Humanitarian Affairs financial tracking services showed that Saudi Arabia ranked sixth among the world’s most generous donors, providing 3% of global humanitarian aid.

***

The 966 is a podcast that focuses on all things Saudi Arabia and beyond. 

Episode 20! The 966 Hosts discuss Gaussin's hydrogen-powered Dakar Rally truck in partnership with Aramco, why Saudi coffee is so delicious and how 2022 is "The Year of Saudi Coffee," the mining and minerals sector in Saudi Arabia, a discussion oil in 2022, and much more in the program's "Yallah" final segment.

1:00 - Richard's one big thing this week is the first hydrogen-powered truck to take part in the legendary Dakar Rally set off Saturday from the Saudi Arabian city of Jeddah. 

Produced by the French automotive startup Gaussin SA and sponsored by the state-owned oil company Saudi Aramco, the H2 Racing Truck ran the first 12-mile stage of the race as a demonstration vehicle.

Gaussin also plans to install a temporary hydrogen-powered tent at the end of the race.

9:15 - Lucien's one big thing this week is Saudi coffee.

Saudi Arabia is launching a new publicity drive called "The Year of Saudi Coffee" as part of a drive to create awareness of the unique brew of one of the world's favorite drinks and perhaps create a larger market for the export of Saudi coffee. Lucien talks about how Saudi coffee is one of his favorite things about Saudi Arabia, and how it represents the famous Saudi hospitality and culture. In the past few years, coffee bean farms in Jazan have been given special attention as support for farmers has increased, and special care has been given to the Khawlani bean.

14:16 - The first topic the hosts tackle today is the mining and minerals sector in the Kingdom. 

Saudi Arabia has the largest mineral deposits in the Middle East. And now, the government is looking to build on its resource endowment with a “new, modern and responsible mining industry in a new and emerging mining hub.” And the Kingdom wants to offer the opportunities in this sector to investors. In the west of the country, the Arabian Shield is a major source of precious and basic minerals such as gold, silver, copper, zinc, chromium, manganese, tungsten, lead, tin, Aluminum and iron.

The upcoming Future Minerals Forum, an event focusing on the mining and minerals sector in the Kingdom, starts Monday, January 11-13 at the King Abdulaziz International Conference Center, Riyadh, Saudi Arabia. 

25:33 - Topic 2, Oil's Price in 2022: a Bumpy year ahead?

We're looking at a likely volatile year for oil in 2022. Oil is off to a strong start to 2022. Brent crude on Tuesday jumped to $80 a barrel, its highest since November, as OPEC+ agreed to stick with its planned increase for February. 

Oil is what Saudi Arabia wants to diversify away from, but still remains key in the short and medium term the Kingdom. The hosts discuss the oil market at the start of 2022. 

39:05  - Yallah, the big finish for the 966 includes a quick discussion of six other top storylines to keep you informed heading into the weekend.

•The Traffic Police of Saudi Arabia recently updated its list of fines due to the high rate of Traffic Violations. Fines range from Category 8 fines of SR100-150 all the way up to Category 1 with fines of SR20,000 to SR 60,000.

•The Saudi International Festival of Motoring (Autoville) is coming to Dirab Motor Park in Riyadh January 8 to 14. Autoville promises to be a wholly experiential and immersive festival, bringing an action-packed experience with stunt shows, driving experiences such as Tokyo drift ride-along, Suzuki Swift track experience, and sprint tracks, and a dedicated after-sales pavilion.

•Saudi Aramco has awarded contracts worth more than $4.5 billion for five key packages meant for its giant Zuluf offshore oilfield expansion project in the Persian Gulf. Zuluf is currently said to be producing between 550,000 and 600,000 bpd of Arabian Medium crude and Aramco is targeting as much as 600,000 barrels per day in additional volumes from the Arabian Heavy reservoir in its next expansion phase.

•Dolce & Gabbana is bringing its lavish Alta Moda, Alta Sartoria and Alta Gioielleria shows to Saudi Arabia for the first time on January 27.
"Known for staging large-scale, theatrical events that fuse emotion with high fashion, Dolce & Gabbana has previously shown its Alta Moda collections in a temple in Sicily, the storied houses of Milan and even inside New York's Metropolitan Opera House. Its last outing in August was in Venice's famed St Mark's Square, where the thunderstorms added to the theatrical beauty of the clothes."
•Jahez IPO'd this week in Saudi Arabia, listing on Nomu, Saudi Arabia's Parallel exchange. The Saudi food delivery firm became the first Saudi tech startup to list on a public exchange in the Kingdom.

The 966's first "topical" discussion format is with energy expert Kate Dourian, non-resident fellow at the Arab Gulf States Institute in Washington and contributing editor at MEES, the Middle East Economic Survey. Kate is also a former editor and veteran journalist covering energy and more in the region for Reuters and Platts, and joins The 966 from London.

The hosts kick off each each with their “one big interesting thing this week in Saudi Arabia.” Richard highlights a forthcoming conversation The 966 has with energy expert Kate Dourian and discusses dwindling new oil supplies coming on-line in 2021. Lucien notes that, while not a done deal, a PIF takeover of Inter Milan would be a big deal for Saudi Arabia’s global sports ambitions and would be a strong blue chip global football brand to add to the powerful investment fund’s portfolio. Chris Johnson weighs in on both of these topics before the group discusses Nitaqat, a concerning letter from the U.S. Embassy in Riyadh, and then discuss Chris’s work in Riyadh with MECACC and as a lawyer navigating the Kingdom’s changing legal landscape.

2:00 – Oil and gas firms are having “their worst year for new fossil fuel discoveries in decades and reserves are dwindling. The oil and gas industry is on track to discover just 4.7 billion barrels of oil equivalent (boe) by the end of 2021, its worst performance in 75 years, according to the research firm Rystad Energy,” Quartz reports. Richard discusses the implications of this news and highlight a forthcoming interview the hosts have publishing on Monday with energy expert Kate Dourian.

8:25 – Saudi Arabia’s PIF is reportedly close to acquiring another major European soccer team.
The PIF is reportedly looking to buy a controlling stake in Inter Milan for an estimated $1 billion, and of course if it goes through, would be the second major soccer club in the PIF portfolio, having recently closed its deal to buy Newcastle United. The club’s got some money problems. An IBT report this week said it was losing $15 million bucks a month, and has had to sell off some of its star players recently. Currently owned by the Suning Holdings Group Co., Ltd, a private Chinese company, the club was founded in 1908 and since its debut in 1909, Inter is the only Italian team to have always competed in the top flight of Italian football.

13:00 -Nitaqat, also known as Saudization, is a policy in Saudi Arabia aimed at increasing Saudi citizen participation in the workforce – especially the private sector workforce. The policy dates back to 2011 and over the last decade has grown into a series of policies aimed at reforming the country’s labor market and lowering the Kingdom’s chronically high unemployment rates and also increasing female employment.

Nitaqat uses a rating system which classifies companies into four zones; platinum, green, yellow and red. Nitaqat requires employers in the private sector with over nine employees to hire a certain percentage of Saudi nationals, depending on the company’s industry and the number of employees in the company. Companies with less than 10 employees are exempt from the zoning system, but are still required to hire at least one Saudi national.

December 1st, the latest version of the Nitaqat program comes in effect and contains several new features, and has a goal of creating 340,000 jobs by 2024 as well as simplifying the compliance rules for businesses.

The hosts discuss: how is Nitaqat going?

25:52 – The environment for U.S. business in Saudi Arabia.
Per a Bloomberg report in November, The U.S. embassy in Riyadh criticized Saudi Arabia’s tax authorities and warned that disputes with foreign companies risk discouraging investment in the country. “Numerous multinational enterprises” operating in Saudi Arabia “have experienced tax issues exhibiting a lack of transparency, consistency and due process compared to what they have come to expect from other nations,” the U.S. embassy in Riyadh said in a letter to the Saudi Ministry of Investment.

The hosts unpack this challenge to securing additional foreign investment and discuss the current business climate in Saudi Arabia.

39:37 – The hosts ask Chris Johnson about his work in Riyadh as an attorney. Mr. Johnson also publishes the Saudi Business Continuity updates for Sharif Law, and discuss his work with the AmCham Saudi Arabia (once ABGR) as well as his efforts with the MECACC and the latest Door Knock.

52:10 – ‘Yallah,’ The 966 podcast’s finish which includes a range of quick-hit topics to get you up to speed on more going on in Saudi Arabia before the weekend. The hosts and Chris Johnson react to, and discuss, each one. The topics this week:

•Saudi Arabia has reintroduced mandatory wearing of face masks and maintaining social distancing indoors and outdoors effective from Thursday, in a new move to curb the rapid increase in cases of COVID-19 variants.

•A new Law of Evidence was just approved by the Council of Ministers.  This is the first of the four key judicial reform legislations that includes a new Civil Status Law, Civil Transactions Law, and Penal Code for Discretionary Sentences.

•The real estate sector provided 40,000 job opportunities in 2021, increasing the private sector’s participation to more than $103 billion, said Majid Al-Hogail, minister of Municipal and Rural Affairs and Housing.

•Diriyah in Saudi Arabia has announced the first 14 of its 38 hotels which will be opened in coming years at the development north-west of Riyadh.

•American cinema giant AMC which partners with Saudi Entertainment Ventures was an early mover after cinemas were re-opened in 2018.  AMC had hoped to open 20 cinemas by the end of 2020 but currently only runs 10 with 65 screens.

•Saudi police have arrested three people who destroyed a traffic monitoring device at Umwah governorate in the southwestern region of Asir. Dozens of motorists had been criminally charged in the past for destroying Saher cameras when the monitoring scheme was first introduced in Saudi Arabia in the past few years.

•Saudi Arabia has delayed the launch of a major development strategy for the city of Riyadh up to 2030 until next year due to some “incomplete elements”, the state news agency SPA reported on Tuesday.

Today - with the holiday season fast approaching and Christmas on Saturday, The 966 features a special episode for today's weekly podcast.

3:35 - Lucid is building a factory in Saudi Arabia:
Lucid has recently announced that the USA-based electric car manufacturer will be producing vehicles in Saudi Arabia by 2024. Lucid will be competing against its rival Tesla and hopes to outperform the Tesla Model S in the Saudi market.

8:14 - Saudi Arabia plans airport takeovers privatizations for at least some of them.
Earlier this week, Reuters and Asharq Alawsat said the kingdom’s 22 airports will be set up as airport holding companies, which will oversee construction, operation and management. They will then be transferred to the Public Investment Fund (PIF) to ‘put on the market at a later time.’

10:55 - The top 7 companies in Saudi Arabia to work for
Novo Nordisk Saudi, Manga Productions, Foodics, Tamkeen Technologies, Roshn, International Maritime Industries and Saudi Arabian Packaging Industry are recognized as the top 7 best places to work in Saudi Arabia for 2021, according to the annual “Best Places to Work” certification program.

13:50 - EDM festival Soundstorm wrapped in Riyadh, with 700,000 attending the 4-day outdoor rave. DJ David Guetta played a unique set, and gave an interesting interview with the AP on Saudi reforms.
Guetta said “I was happy to be part of this. Of course there’s more things to be done to improve the country but I think they are opening and really going to the right direction…Four years ago women couldn’t drive, and now they can come to a David Guetta concert and dance, you know it’s a huge evolution.”

19:58 - Dakar Saudi Arabia 2021
Two Saudi women, Mashael Al-Obaidan and Dania Akeel, will be the first female drivers from Saudi Arabia to compete in the Dakar Rally next month, Reuters reports. The announcement marks a significant about-face for Saudi Arabia, which only recently allowed women to legally drive in the Kingdom.

23:23 - The Saudi-backed golf tour and the PGA will avoid a confrontation over player loyalties --- for now.
The PGA granted waivers for Golf's biggest stars to play in the upcoming Saudi International in KAEC.
PGA kicked the can down the road - avoiding preventing players from playing in the Saudi tournament, which takes place Feb. 3-6, 2022.

29:36 - Omicron comes to Saudi Arabia.
The first confirmed case of the Omicron variant was December 1st. This past week confirmed cases of COVID-19 in Saudi Arabia more than doubled in the past two days, from 104 on Sunday to 222 on Tuesday. The Health Ministry urged all residents to avoid traveling outside the country and new arrivals to avoid social contact for five days.

33:50 - According to the Center for Strategic and International Studies, Attacks by the Iran-backed Houthi militant group against Saudi Arabia have more than doubled this year from their pace last year.
The WSJ cited a report from the Center for Strategic and International Studies, which found the Houthi group launched 78 attacks a month this year (or 702 in total)
That compares with 38 a month last year.

40:48 - Crown Prince Mohammed bin Salman launched the Jeddah Central project, another huge outlay of investment to make Saudi Arabia's second largest city a more attractive tourism and entertainment destination.
The plan was launched with a price tag and main features by the Crown Prince.
The Jeddah Central Development Company is a PIF Subsidiary. Includes a marina, opera house, stadium, revitalized beaches...

43:35 - Saudi Startups record the best ever funding quarter in Q3 2021.

According to data platform Magnitt, Start-ups in Saudi Arabia recorded their best ever quarter for fund-raising in the three months ending September 30, attracting $205 million in 34 deals. Total venture capital investment reached $376m year-to-date in 2021 — more than double the funding invested during the full year of 2020.

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The 966 wishes happy holidays to all our listeners. 

The 966 features an exclusive, two-part interview with Fahad Nazer, spokesperson for the Saudi embassy in Washington. In Part 2 of the interview, the hosts ask Mr. Nazer about a wide range of issues, including about Saudi Arabia's students in the United States, Iran, Saudi Arabia's relationship with Israel. The hosts also ask Fahad a little bit about growing up in the United States, including how he became a fan of the NFL's New York Jets.

Nazer, who has been a contributor to SUSTG.com as well as Arab News and other publications in the region and United States, has served in the role since January 2019. Previously, Nazer served as a political consultant to the Embassy. He has held positions with JTG, Inc., Array Information Technology, Inc., and the Arab Gulf States Institute in Washington.

1:00 - The Saudi Ministry of Culture hosted the Riyadh Philosophy Conference with a virtual talk from professor Michael Sandel.
A major international conference on philosophy has been held in Saudi Arabia aimed at encouraging critical thinking, according to the BBC and other local sources.
In a virtual appearance, Harvard professor Michael Sandel - who's been described as having the global profile of a rock star - "told the organizers that he didn't want to give a lecture, but instead sought to engage directly with young Saudis, including women," the BBC reports.
The hosts discuss the importance of the rare event in Saudi Arabia.

6:14 - Expo 2030 in Saudi Arabia?
Saudi Arabia has officially submitted a bid to host Expo 2030 in Riyadh, with the Royal Commission for Riyadh City (RCRC) CEO Fahd Al-Rasheed submitting the Kingdom’s bid while addressing a virtual gathering of 170 member countries assembled to kickstart the five-stage bidding process that will conclude with voting in November 2023.

According to the local english daily Saudi Gazette, the Kingdom’s dossier submission came in its participation in the virtual meeting of the Bureau of International Exhibitions (BIE) General Assembly, which was held Tuesday in Paris.

Saudi Arabia has four rivals to fend off in hopes of securing the bid: South Korea, Italy, the Ukraine, and Russia are in the running for the six-month long event organized by the BIE.
“The 2030 World Expo in Riyadh will coincide with the culmination of Vision 2030, and it will be an extraordinary opportunity to showcase the achievements of the Vision and share valuable lessons from this unprecedented transformation,” Al-Rasheed said in announcing the plan.

10:44 - Saudi Arabia's art and culture industry is blossoming.
Saudi Arabia’s inaugural Diriyah Contemporary Art Biennale, which is underway and runs until March, is getting praise from critics and visitors alike. The ongoing event overlapped briefly with another cultural milestone in Saudi Arabia, the Kingdom's first ever major film festival in Jeddah. Writing in Artnet.com, Nadine Khalil called displays and performances in Riyadh as part of the Biennale "paradigm-shifting moments"
On one performance, Khalil said, "People seemed compelled not just by the visceral choreography of women performing live, but by the act of witnessing this historic moment in the artistic life of a country."
The Art Newspaper, another strong source in the industry, said the inaugural Diriyah Biennale and the opening of Hayy Jameel "are the latest in a series of initiatives helping the kingdom emerge from artistic isolation."
The Art Newspaper goes on to say, "while the dusty Riyadh air was thick with pronouncements of “game-changing” and even “world-changing,” the hyperbole was not far off. For the relatively isolated Saudi art scene, 2021/22 will be a moment of decisive shift."

29:23 - Saudi Arabia's 2022 budget - it's final. And the Saudi economy has a head of steam going into 2022.
Saudi Arabia released its budget for the 2022 fiscal year following the endorsement by the Council of Ministers on December 12th, with a few changes from the preliminary budget released earlier in September this year.
As expected, Saudi Arabia is expected to register its first fiscal surplus since 2013.
Despite the Kingdom's strong position, the budget notes that it will not spend more. Total expenditure for 2022 is set to be $254.56 billion, that's 6 percent lower than actual expenditure this year in 2021.
The budget announcement earlier this week comes on the back of mounting evidence of a Saudi economy that could have a big near next year.
Saudi Arabia's economy expanded 7% in Q3, the highest rate since 2012.
Riyadh said on Sunday it expected the economy to grow 2.9% this year and 7.4% next year.

40:53 - 'Yallah: Saudi in a Minute'
A new weekly segment for The 966 is launched. Yallah: Saudi in a Minute includes a quick rundown of other top storylines in Saudi Arabia to get you caught up before the weekend. 

1:04 - The UAE weekend is changing.
The United Arab Emirates is changing its workweek to have half days on Fridays and a Saturday-Sunday weekend.

8:46 - The hosts discuss their first time visiting the Kingdom of Saudi Arabia - and how perceptions differed from reality on the ground.
The 966 recently interviewed the Saudi Embassy in Washington's top spokesperson Fahad Nazer. One of his answers to a question from the hosts prompted a new discussion on the importance of visiting Saudi Arabia and seeing the ongoing changes for yourself.

15:50 - Saudi Arabia's Ever More Ambitious Investment Strategy
Attracting investment is pivotal to the Kingdom's economic transformation plans. Late last month, our guest host today, Robert Mogielnicki, wrote about the Kingdom's investment drive in an excellent piece for the Arab Gulf States Institute in Washington's blog.
"There is still time for Saudi Arabia to accomplish many of Vision 2030’s foreign investment objectives, but the window of opportunity is closing quickly...Saudi Arabia’s recent FDI figures are not overly promising, but the low investment levels offer plenty of room for growth..."
The hosts discuss the article and the investment climate in Saudi Arabia, as well as the challenges in reaching stated goals.

36:08 - Crown Prince Mohammed bin Salman's GCC Tour and Regional Diplomacy
The tour began in Oman. MBS was awarded a top honor by the Sultan. MBS then arrived in Dubai on Tuesday and visited Expo 2020.
Wednesday, the Crown Prince visited Qatar - his first trip there since the diplomatic standoff between the two nations which lasted several years.

47:28 - The PIF is selling shares in STC. It's the latest in a privatization push by the Saudi government.
In the latest privatization push from the Saudi Public Investment Fund, the PIF plans to raise as much as $3.1 billion through the sale of shares in Saudi Telecom Co. (STC).
The PIF is offering a 5% stake in STC. That's 100 million shares.
The STC is the Middle East’s most profitable mobile-phone operator, and the Kingdom's largest telecom company.
The price will be offered at between 100 riyals ($26.70) to 116 riyals starting Dec. 10.
This could be the biggest secondary offering of the year in Europe, the Middle East and Africa. A secondary offering is A secondary offering is the sale of new or closely held shares of a company that has already made an initial public offering (IPO).
The Saudi Arabia telecom market is expected to register a CAGR of over 10% through 2026, according to a forecast by mordorintelligence.com.

***

The boys are back for their normal format and catch up on just some of the seemingly endless new developments and storylines emerging from Saudi Arabia of late. 

Lucien's "One Big Thing" this week is a first person perspective on living in Riyadh with his family during Riyadh Season, and all of the events, activities and other things to do in the Kingdom that make for an amazing experience for citizens and expats alike. Lucien notes that he's tried to attend every event possible, from sports to arts exhibitions to conferences and more. Formula E, Riyadh Season Cup,  World Defense Show, Diriyah Season, Saudi Ladies International presented by PIF, PIF Private Sector Forum, Formula 1, art exhibitions, tech conferences, AI events...the list goes on. Lucien notes that even with an active schedule he's been unable to see even close to all the things on offer in Riyadh, leaving him to draw the conclusion that the Kingdom is increasingly becoming a globally attractive destination for people looking for nice weather and a busy "high" season when cold winters plague other world capitals. 

The hosts jump then to Yallah! and offer a bonus two additional storylines, bringing the total to 8 this week. 

-Saudi Arabia has tapped an ex-Dell Technologies executive to lead the recently formed Public Investment Fund company Alat, an industrial electronics company with $100 billion in backing that aims to become a local manufacturing powerhouse. 

-Saudi Arabia’s budget deficit reached $21.57 billion in the 2023 fiscal year, narrower than the government’s previous estimates, as oil revenue dipped amid production cuts.
It came as the kingdom increased its spending to boost the economy, the Ministry of Finance said in a budget update on Wednesday.

-Saudi Arabia's Ambassador to the United States Princess Reema bint Bandar has addressed criticisms leveled against Saudi Arabia’s potential hosting of the Women's Tennis Association Finals. The ambassador's remarks came as a direct response to an opinion piece in The Washington Post, by tennis greats Chris Evert and Martina Navratilova, which she described as laden with "outdated stereotypes and western-centric views."

-Saudi Arabia’s NEOM has opened its first US office in New York City, which will serve as a base for its business across the US. The announcement comes months after it launched its London office in November to serve as a base for its UK and European business.

-Saudi Arabia’s state-controlled Aramco announced it is pausing plans to raise its crude production capacity from 12 million barrels per day to 13 million barrels per day.

-Organized by Saudi defense regulator General Authority for Military Industries (GAMI), the World Defense Show CEO Andrew Pearcy said the biennial event held February 4-8 aims to “grow and support” an industry for which the government has budgeted $71.73 billion in 2024 – up from $69 billion in 2023.

-South Korea beat Saudi Arabia 4-2 in a penalty shootout to advance to the Asian Cup quarter-finals after a thrilling last-16 tie ended 1-1 after extra time at Education City Stadium on Tuesday. After South Korea's Cho Gue-sung equalised in the 9th minute of second-half added time to cancel out Abdullah Radif's opener, Sami Al-Najei and Abdulrahman Ghareeb had their penalties saved by Jo Hyeon-Woo to send South Korea through.

-According to a recent report from Knight Frank, Residential transactions, which accounted for 58.7% of all real estate deals by total value, registered a -16% fall in the number of deals to just under 150,000 sales between January and November 2023, according to global property consultancy Knight Frank’s Winter 2023/24 Saudi Residential Market Review report.

***
 

The 966 features an exclusive, two-part interview with Fahad Nazer, spokesperson for the Saudi embassy in Washington. In  part of the interview, the hosts ask Mr. Nazer about a wide range of issues, including Saudi Arabia's energy plans, the Kingdom's relationship with the U.S. Congress (and the Biden administration), the Jamal Khashoggi murder, and other domestic-focused topics in part 1 of this exclusive two part interview.

Nazer, who has been a contributor to SUSTG.com as well as Arab News and other publications in the region and United States, has served in the role since January 2019. Previously, Nazer served as a political consultant to the Embassy. He has held positions with JTG, Inc., Array Information Technology, Inc., and the Arab Gulf States Institute in Washington.

1:31 - A significant number of entertainment and other events in Riyadh this winter has transformed the Saudi capital.
The hosts discuss the significant changes ongoing in Riyadh as the city hosts "Riyadh Season." The grouping of events as part of a massive season-long entertainment push has Saudis traveling from all over the country to visit the capital, as guest co-host Fahad Almaliki attested. Saudi Arabia’s Riyadh Season has welcomed more than 4.5 million visits in a month, according to the Saudi Press Agency. The season also generated more than 122,000 jobs.

7:50 - A rundown of all the Saudi-related golf news this week.
Saudi Arabia's annual golf tournament got some big names to commit this week. The Saudi International, which is hosted at the really beautiful Royal Greens golf club in Saudi Arabia, got commitments from Dustin Johnson, Bryson DeChambeau, Phil Mickelson, Tommy Fleetwood, Abraham Ancer, Paul Casey, Sergio, Kokrak...This is a who's who of golf. This is interest that can be fairly described as "overwhelming" from some of the top names in the sport. The PGA has 30 days before to not allow the players to play...or face a fine. Saudi Arabia's moves in this sport are generating widespread interest.

10:55 - Saudi Arabia's Tadawul is set to IPO. It's just the latest in a hot streak for the Saudi bourse.
Earlier this month Tadawul got approval for the IPO in what could be one of the biggest in the exchange sector since Euronext NV’s $1.2 billion listing. This has been in the works for years, since at least 2016. Tadawul at that time hired HSBC to help with the listing, and has since replaced HSBC with Citigroup Inc., JPMorgan Chase & Co., and SNB Capital as financial advisers and global coordinators for the IPO.
The hosts get Fahad Almaliki's valuable take on this space.

27:25 - Shale gas in...Saudi Arabia?
We've talked a lot about Shale so far on this podcast, but mostly we've discussed U.S. shale. Saudi Arabia is making a shale gas play within the Kingdom's borders, on the Eastern province, The Jafurah shale field, according to several reports including one in SPGlobal.com.
Saudi Aramco expects its Jafurah shale play to yield up to 2 Bcf/d of gas and contribute a significant amount of 418 MMcf/d of ethane and 630,000 boe/d of gas liquids and condensates by 2030.
Aramco is really beginning to accelerate the company's development of unconventional resources.
Just this week, Aramco awarded $10 billion dollars in EPC contracts for work at the field.

35:15 - Saudi Arabia's growing economy and a year of optimism in 2022
Economic forecasts are starting to congeal around the fact that the Saudi economy is set for a big year in 2022. The Saudi Government is forecasting growth at 7.5% in 2022. The World Bank says 4.9 percent. Jadwa Investment predicts 7 percent year-on-year growth.
The consensus is not in the number but in the sentiment: the Kingdom is set for a pretty strong year economically, Omicron and other externalities notwithstanding...

1:20 - Women's soccer in Saudi Arabia takes a big leap forward.
Saudi soccer officials said they will launch the first edition of a women’s league. The new women’s league will be playing in two phases within the regional league, and sixteen teams will take part in the first phase with games played in three cities — the capital Riyadh, Jeddah and Dammam. Saudi officials also announced the hiring of Monika Staab to lead the Saudi Arabian national women’s team.

7:30 - SOUNDSTORM, a massive EDM festival in Saudi Arabia, features some of the world's best DJs.
SOUNDSTORM is a music festival that is taking place in Saudi Arabia - the second installment after the first in 2019 (and a break in 2020 during the pandemic). It is being billed as the region’s biggest and loudest music festival. SOUNDSTORM will take place in Riyadh from December 16 to 19, and will feature a world-class international music lineup, including more than 150 global superstar headliners and international dance acts, as well as local and regional talent. International artists Armin Van Buuren, David Guetta, Deadmau5, DJ Snake, Eric Prydz, Steve Aoki, are among those slated to perform.
Saudi Arabia’s MDLBeast, the organizing company, said that the festival will include at least 6 female DJs.

14:08 - President Biden's decision to tap the Strategic Petroleum Reserve, and what this means for oil.
President Biden will release 50 million barrels of oil from the SPR, of which 32 million will be an exchange of oil that will be returned in the years ahead, and 18 million will be the acceleration of a sale of oil previously authorized by Congress. Pump prices in the U.S. are up 61% from a year ago, with regular unleaded selling last week at a national average price of $3.40 a gallon, according to Energy Department data.
The SPR is a complex of four sites with deep underground storage caverns created in salt domes along the Texas and Louisiana Gulf Coasts which can hold 714 million barrels.
The SPR's very existence is tied to Saudi Arabia, having been set up 40 years ago in response to the Arab Oil crisis of 1973.

27:58 - Saudi Arabia's Covid 19 response - the envy of the world?
Saudi Arabia has had fewer than 100 new daily cases of Covid since mid-September. The Kingdom has all but beaten the pandemic, and has taken bold, progressive actions that have put their economy in an advantageous position for a major comeback in the months to come. 
As of today 70% of Saudi Arabia has had at least one vaccine.
 
42:25 - Why "sportswashing" fails to tell the whole story of Saudi Arabia's sports ambitions.
Sportswashing is when a country or corporation uses international sport to improve its reputation. Usually this is done through hosting a sporting event, the purchase or sponsorship of sporting teams, or by participation in the sport itself. 
A report out earlier this year said that Saudi Arabia spent $1.5 billion on high-profile international sports and sporting events, and that report was published before the purchase of Newcastle United by Saudi Arabia's Public Investment Fund. 
The hosts discuss why this term doesn't come close to telling the whole story of Saudi Arabia's sporting ambitions, and argue that what the Kingdom is doing is not "sportswashing," but instead attempting to develop sports at home while making savvy investments into sporting properties around the world. 

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1:35 - Richard's One Big Thing This Week is the recent U.S.-GCC statement on Iran.
Diplomats from the U.S., Saudi Arabia and other GCC nations convened in Riyadh this week to discuss a coordinated effort to counter Iran’s “range of aggressive and dangerous policies,” the State Department confirmed in a statement. The U.S. GCC Iran Working Group Statement “affirmed the longstanding partnership between the U.S. and the members of the GCC and our shared determination to contribute to regional security and stability, under the framework of the GCC-US Strategic Partnership.”

The statement said that all participants urged the new Iranian Administration “to seize the current diplomatic opportunity to prevent conflict and crisis and create the basis for enhanced regional security and prosperity.”
6:37 - Lucien's One Big Thing This Week is the recent news that Saudia (Saudi Airlines) may be a huge buyer of planes in the coming years.
Saudia, also known as Saudi Airlines, is potentially targeting an aircraft order from Airbus SE or Boeing Co. that could total well above 100 jets as part of a push to lure more tourists,” Bloomberg reports. The carrier is targeting a fleet of 250 aircraft by 2030, which would mean adding around “100 for growth while renewing a significant chunk of an existing 150-plane fleet,” according to Saudia's CEO Ibrahim Koshy.
9:37 - Topic 1 - Where is oil's price going in 2022?
The International Energy Agency (IEA) on Tuesday upped its average Brent crude oil price assumption for 2022 to $79.40 a barrel. Brent is expected to average $71.50 a barrel this year. U.S. output made up for half the increase in global oil production last month, but the IEA doesn't see US production getting to pre-pandemic levels until the end of next year. The hosts discuss why Saudi Arabia sets the price floor and shale oil sets the ceiling.
21:10 - Topic 2 - Saudi Arabia grants citizenship to talented expats. What does that mean for Saudi Arabia?
Saudi Arabia is redefining citizenship, at least for a few. A royal decree issued last Thursday grants citizenship to "experts and exceptional global talents" who will contribute to the growth of the kingdom, according to the news carried by state news agency SPA.
The naturalization program will seek out individuals in Islamic scholarship, medicine, science, culture, sports and technology with a view to creating an "attractive environment" to cultivate and retain exceptional talent to help achieve Vision 2030 goals, SPA said.
31:28 - Topic 3 - Saudi Arabia announces two new mega-development plans in a Week
Two huge announcements this week. Let's start first near the capital Riyadh, where MBS is planning an eponymous new city called the Prince Mohammed bin Salman Non-Profit City, which will be built on a 3.4 square kilometer (1.3 square mile) plot of land donated by the Crown Prince.The second is Oxagon: the world's largest floating industrial complex, which will be located just outside of NEOM.
Neom didn’t say how much the city would cost, or how the complex would be engineered to float.
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The 966 is a new podcast focusing on all things Saudi Arabia.

From the team that publishes the most widely-read daily email newsletter on Saudi Arabia, The 966 explores the news, people, and issues that actually matter for the Kingdom through weekly conversations and interviews with Saudi business leaders, officials, newsmakers and others.  Hosted by Richard Wilson and Lucien Zeigler, The 966 goes beyond the headlines and tackles complex economic, social and political issues – why they matter to and within Saudi Arabia, how they impact U.S. interests in the region and what they mean for the U.S.-Saudi relationship.

2:58 - Rivian’s IPO. Rivian, the electric adventure vehicle company, IPOed this week. The stock began trading at $106.75 a share, giving Rivian a market valuation of $91 billion.

5:36 - Saudi Arabia gears up to host world’s largest camel fest.   

8:24 - Saudi Arabia's Red Sea International Festival. This is Saudi Arabia's first-ever film festival, and it will run from December 6-15 in Jeddah, Saudi Arabia. The original date was in 2020. In total, the Red Sea Film Festival will feature 138 feature films and shorts from 67 countries in 34 languages, including 25 world premieres. Among this lineup are a slate of 27 new Saudi features from emerging local filmmakers.

13:41 - 7 Years of King Salman. Saudi's worldwide celebrated the 7th anniversary of King Salman ascending to the throne as custodian of the two holy mosques. The second youngest of the Sudairy seven, King Salman is the 7th King of Saudi Arabia. The hosts discuss why he is the Reformer King.

35:54 - Saudi Arabia at COP 26. OPEC+ countries, including Saudi Arabia, are defending a future role for fossil fuels at COP26.
"It is imperative that we recognise the diversity of climate solutions, and the importance of emissions ... without any bias towards or against any particular source of energy," Saudi Arabian Energy Minister Prince Abdulaziz bin Salman Al-Saud said in a speech to the conference.
“We should use all [energy] resources as long as we congregate around mitigating.” 

1:19: A slow-reveal of Richard's one big thing this week...but it involves the PMI and Saudi Arabia's economy.
6:02: One of the most interesting men in Saudi Arabia is Turki Al-Sheikh. According to Al-Sheikh's insta, he's written a horror film. The Cello is coming out in 2022, and stars academy award-winner Jememy Irons. Al-Sheikh shared the film’s poster in a Twitter post with the caption “2022.”
8:39: Saudi Arabia wants to host the world's fair in 2030. Riyadh has submitted a formal request to host Expo 2030 under the theme "The era of change: Leading the planet to a foresighted tomorrow." This year, Expo 2020, which was delayed due to the Coronavirus pandemic, is ongoing and hosted in neighboring Dubai.
13:35: A team of French and Saudi archaeologists has begun work on excavating near Al-Ula in Saudi Arabia in hopes of discovering the remnants of the ancient and long-forgotten kingdoms of Dadan and Lihyan, according to a Reuters report.
20:08: Can Saudi Arabia become a home for carmakers? A deep answer from Richard reveals all the things going for the potential for a car industry in Saudi Arabia. Saudi Arabia is in talks with several carmakers about manufacturing in the Kingdom's borders, according to Khalid Al Falih, Saudi Arabia's minister of investment.

1:18 - A discussion about Boeing's prospects in the Middle East and beyond with a recent issue of its commercial market outlook
3:48 - Saudi Arabia's golf scene is set to come alive with the reported announcement of a partnership with Greg Norman. Saudi Arabia is interested in golf. Regardless of what happens in the coming week, Saudi Arabia is building several new and potentially awesome golf courses, and will continue with hosting The Saudi International this year with the Asian Tour.
5:31 - Net-Zero for Saudi Arabia + Climate Change Summit in Riyadh. Saudi Arabia has pledged to achieve net-zero emissions by 2060. The announcement was made in a speech Saturday by Crown Prince Mohammed bin Salman at the Saudi Green Initiative (SGI), an event in Riyadh timed to take place just before this weekend's climate change summit which starts on Sunday in Glasgow. 2060 is a decade after the United States has promised to reach net-zero. The announcement makes it clear that Saudi Arabia will still export oil and continue as a reliable supplier and market regulator during the transition.
21:00 - The 5th FII in Saudi Arabia. Sometimes casually referred to as “Davos in the Desert,” the FII saw conversations and public comments from (just to name a few) Larry Fink of BlackRock, David Solomon, chairman of Goldman Sachs Group, Ray Dalio, founder and co-chairman of Bridgewater Associates and many more. It also saw appearances and comments from just about every Saudi minister, top CEO in Saudi, and more. The hosts discuss why this year's vibe felt different.
26:20 - Is Saudi Arabia's tourism industry set to grow? Saudi Arabia wants to be a tourist destination, and the Kingdom is building a tourism industry effectively from scratch. As part of the ongoing economic reforms in Saudi Arabia, authorities want Saudis to want to travel within the Kingdom's borders instead of going abroad for vacation, and they want foreigners to visit. The goal is both to open the Kingdom up to the world - and more importantly to grow the Saudi economy. 
After the pandemic year, Saudi Arabia is going to be looking closely for a big rebound in tourism.

Dress Code at the Jeddah Grand Prix?
The Upcoming Formula One Grand Prix in Jeddah is December 5th, and a new dress code for the event is making the rounds on the internet.
The dress code includes "no excessive makeup, no transparent clothing, no clothing which rests above the knee, no miniskirts, no backless dresses, nothing which shows straps, no tight clothing and no bikinis."
Saudi may want tourism, but it doesn't want to be Las Vegas.
The Puzzle of U.S.-Saudi Ties
Jon Alterman from the Center for Strategic and International Studies (CSIS), a reputable DC-based think tank, published a commentary on "the Puzzle" of U.S.-Saudi relations. It begins, "By most accounts, the Biden administration is pleased with the results of its policy toward Saudi Arabia, Alterman writes. But, he says, "The Saudis seem less satisfied, though. They feel the Biden team has pocketed their efforts at partnership and has given little in return." The hosts discuss why this commentary gets it right.
Saudi Arabia's Stock Market, the Tadawul, hits a 15-YEAR high
On Tuesday of this week, Saudi stocks reached a more than 15-year high. Those gains continued through the rest of the week, and the Tadawul ended even higher on Thursday.
The 966 hosts discuss why investors remain optimistic in the region.
The Rising Cost of Solar in Saudi Arabia
Bid prices to develop Saudi Arabia’s latest round of solar-power projects rose substantially from earlier this year. This underscores how soaring panel costs are hitting the renewable-energy industry, according to a Bloomberg report. The hosts discuss the status of solar development in Saudi Arabia and why they would like to see it move faster. 

The 966 interviews Saudi Arabia's Lina Almaeena, who spent well over a decade leading the charge for women’s sports in Saudi Arabia after co-founding Jeddah United in 2006.  Almaeena then served on Saudi Arabia's top legislative advisory body, the Shura Council, and continues to work to advance women's empowerment in Saudi Arabia in line with Vision 2030's reforms. 
After the launch of Vision 2030 by Saudi Arabia's Crown Prince Mohammed bin Salman in 2016, Lina was appointed to the Shoura Council, the highest legislative body in Saudi Arabia. 
Almaeena discusses her experiences in starting a growing a business, government service, and her work going forward with The 966 in this exclusive interview. 
The 966 is a podcast and show that focuses on all things Saudi Arabia. Get updates and subscribe on the show's page, 966.transistor.fm, and get the podcast on Apple Podcasts, Spotify and more.

4:30 - Topic #1: This week, An Australian company called EV Metals Group Plc plans to invest $3 billion in Saudi Arabia, according to Bloomberg. The investment is a bet on the metals used in batteries for electric vehicles (EVs.) 

9:08 - Topic #2: Electricity and Power demand in Saudi Arabia. Electricity demand in Saudi Arabia changing after the implementation of efficiency measures and energy price reforms. KAPSARC projected the growth in total Saudi electricity demand to significantly decelerate over the coming decade compared with the historical trend. Has consumer behavior structurally shifted?

14:00 - Topic #3: Saudi Arabia plans to create special economic zones offering incentives to invest in sectors including health care, manufacturing and cloud computing. Investment in the kingdom has been “less than hoped for,” Al-Falih said, according to Bloomberg. “We want to import capital -- and bring back Saudi capital that didn’t find opportunities inside our kingdom.”

Waleed Abdel-Fattah, President of the MENA Region at Hill International, joins The 966 to talk about Saudi Arabia’s building boom and Hill’s traction in KSA since entering the market to help build out what is now known as KAFD. Hill has 100 offices across 42 countries, and its main geographical areas are the US, Europe and the North Africa/Middle East region.

Hill has worked on developments like King Salman Park, Jabal Omar development in Makkah, the Riyadh Metro, and others.

0:15 --- Saudi Arabia keeps ranking high in Covid mitigation indices, recently ranking second for recovery from the Pandemic by Nikkei
2:49 ---  Saudi Arabian authorities have imposed a permanent ban on planting of palm trees - the symbol of Saudi Arabia - along roads as well as in parks and gardens across the Kingdom. This is part of measures to prevent the spread of the red palm weevil.  The proportion of Saudi Arabia’s land area covered by forest has remained unchanged since 1990 at about 0.5%.
4:33 --- It's been another big week for the price of oil. Saudi Arabia is making more money on oil, - a lot more money - and that's good news for Vision 2030.  And now, with oil prices rising, Aramco's value is approaching the $2 Trillion mark.
17:23 - Saudi and Iran continue talks. The Biden Administration said it welcomes the news of direct communication between Saudi Arabia and Iran. Saudi Arabia confirmed on Sunday it had held its first round of direct talks with Iran’s new government last month. But Saudi Foreign Minister Prince Faisal bin Farhan said the talks were still in the exploratory phase. Saudi and Iranian officials reportedly met in Iraq last month,
but the number of situations that Saudi Arabia and Iran find themselves at opposing ends, in Yemen, Syria, and elsewhere, is significant. 
20:53 - The end of a piracy dispute between Saudi Arabia and Premier League broadcaster beIN Sports, which is based in Qatar, clears the way for a PIF-led group to buy the Newcastle United for $400 million. This is over a year after Saudi Arabia first tried, but failed, to acquire the team. 

What was it like to host the G20 in Saudi Arabia, and what was left behind? In 2020, Saudi Arabia became the first Arab nation to assume the G20 presidency. Hosting the G20 is a massive undertaking, involving close to two years of event planning, policy development and strategy, and much more. In the first feature-length interview for The 966, the hosts interview Abdullah AlHassan, who served as Saudi G20 Sous Sherpa and Executive Director of Policy during the Saudi G20 Presidency.
The hosts asked Abdullah about the successes and challenges with hosting the G20 in a year the world faced the global pandemic, and discussed the legacy of hosting such a large-scale international diplomatic event. Abdullah also talked about the work that goes on behind the scenes with the G20. The 966 also asked AlHassan, who left the IMF to serve as Sous-Sherpa for the G20 Saudi secretariat and has returned to the IMF, about the legacy of Saudi Arabia's G20 Presidency going forward.

"Those who work on the G20, which many of them by the way are youth -- this is the human capital that will be left, that's already been left, after the G20 that will continue to sharpen their skills in terms of policy, negotiation, event planning, and so forth," AlHassan told The 966. "Those people who work at the G20, now they are in a different part of the government, executing the government's vision for the future, Vision 2030. So those people, they acquire a unique international skills that now they are able basically to put it into place in order to execute domestic policies that will take the country to a higher level in the future."

The G20 is a significant organization. The 20 member-nations represent 90% of global GDP, 80% of world trade, and two-thirds of the world's population.

"When you have to create this out of whole cloth and go from zero to a hundred, it was really a masterclass for Saudi," SUSTG's president and 966 co-host Richard Wilson noted, adding that a whole generation of Saudis expanded their skillset as a result of working on hosting the G20 meetings in Saudi Arabia.

Abdullah AlHassan discussed how he was first tapped to serve his country for the G20 presidency, and how, during his two year sabbatical from the IMF, he worked his way up from senior policy advisor to serving in two more senior roles: Sous-Sherpa and the Executive Director of Policy. 

"These are basically two jobs. I mean, as a director of policy, you are building the policies, coordinating with at least 12 government entities on a day-to-day basis, trying to execute the presidency agenda...And then as a Sous-Sherpa, more as a political engagement with other Sherpa offices to ensure that they can reach consensus and this creates the issues where needed.

Organizing the G20 is a significant undertaking for every host country. But just two months into the Saudi presidency, the organizers were dealt a curveball: how to proceed with the event during the global pandemic.

"When the World Health Organization declared COVID-19 as a pandemic just before middle of March, we moved swiftly, and his majesty King Salman invited the G20 countries for an extraordinary summit that was held on March 26," AlHassan said. "And it was Chaired by his majesty king Salman. So during the summit, the leaders, they were really committed to addressing both the health and the economic crisis, and at that summit, they sent pretty much two messages....One, protecting life and livelihoods. This is a top priority. And second, ensuring that the economy can get back on its feet over the short term, but also ensuring having a stronger recovery over the medium term."

"2020 was a very challenging year globally. You have a healthcare crisis, you have an economic crisis. We have also an election that is happening in many countries. So there are lots of moving parts at the same time, but what you have, you have a commitment from the G20 countries to deal with the issues. Yes, there are some easier issues than another, but as long as you continue to have the dialogue among the G20 countries, you are able to reach a consensus."

🎥[WATCH NOW ON YOUTUBE]  🎧[PODCAST VERSION - AUDIO]  📝[FULL TEXT TRANSCRIPT OF THE INTERVIEW]

3:00 - A Contemporary Art Biennale in Saudi Arabia
7:00 - The future of OPEC and oil in the global energy transition
17:30 - Lucid Air's New Car

In the first episode of THE 966, Richard Wilson and Lucien Zeigler discuss their "one big thing" this week in Saudi Arabia. Then the two hosts discuss the meaning behind Saudi Arabia's National Day, the dramatic increase in new residential mortgages in the Kingdom, and assessing U.S.-Saudi relations under President Biden so far. 

The 966 is a new podcast covering all things Saudi Arabia. In this introduction to the show, hosts Richard Wilson and Lucien Zeigler discuss the origins of The 966, why Saudi Arabia is strategically important and why it’s fortunes – good or bad – matter to the U.S. The 966 explores the news, people, and issues that actually matter for the Kingdom through weekly conversations and interviews with Saudi business leaders, officials, newsmakers and others. 
THE 966 goes beyond the headlines and tackles complex economic, social and political issues – why they matter to and within Saudi Arabia, how they impact U.S. interests in the region and what they mean for the U.S.-Saudi relationship.

Lucien Zeigler sits down with an exclusive conversation with Jerry Todd, Head of the National Development Division at the Public Investment Fund (PIF) of Saudi Arabia, in a new format and program called 966 Live, recorded at PIF studios in a fireside chat style of engagement.

Jerry Todd, who is also on the PIF’s Management Investment Committee, speaks with Lucien about a range of topics related to the PIF’s investment in key sectors in the local economy, human capital in Saudi Arabia, the development of strong supply chains and competitive ecosystems, and more. 

The conversation takes place just days before the PIF is launching its second annual major forum in Riyadh, called the Private Sector Forum, which will see the massive sovereign wealth fund engaging directly with private sector partners as the PIF continues to develop the local content ecosystem. That Forum, which is set to be at least twice the size of the inaugural event in 2023 in Riyadh, will feature panel discussions, fireside chats, an exhibition for the PIF’s 80+ companies to engage with private sector suppliers, and more. 

The conversation begins with a discussion of the Forum and what it hopes to accomplish. 

Then, Lucien asks Jerry about the PIF as an investment institution. How can the PIF “crowd-in” competing companies in spaces in which it is operating to create a thriving local ecosystem? 

The conversation then steers to a discussion of Musahama, the formal name of the PIF’s wide-ranging efforts to achieve important local content goals, and how PIF companies are working toward achieving a local content target of 60% by 2025.

Jerry Todd is a member of the PIF Management Investment Committee. Prior to joining the PIF, he served as a Managing Director and Head of Business Development for NCB Capital, the largest investment bank in Saudi Arabia (2014-2020). Previously, he was a Managing Director and Head of Private Equity and Investment Banking at Jadwa Investment, a Saudi merchant bank (2007-2014). Mr. Todd was an Associate Principal at McKinsey & Company, where he focused on identifying and evaluating investment opportunities, developing and implementing growth strategies, and creating high performing organizations (1999-2006). Early in his career, Mr. Todd worked as an Energy Engineer for Dobbs International and Johnson Controls (1994-1997). Mr. Todd holds an MBA from Cornell University (1999) and a B.S. in Mechanical Engineering from Christian Brothers University (1994).

In episode 120, The 966 once again has on offer a menu of excellence discussing some of the most important topics happening in Saudi Arabia this week -- a tough decision for the editorial team as Saudi Arabia continues to create headlines as it marches forward with economic and social reforms. 

5:55 - Richard's One Big Thing this week is Saudi Arabia's Arab Peace Initiative and the status of Saudi diplomacy vis-a-vis the ongoing Israeli invasion of Gaza. 5 countries are working on a path to peace, including Saudi Arabia, which is contingent on a Palestinian state living side by side with Israel. The hosts lament the tragedy unfolding on the ground in Gaza and identify the troubling developments rippling across the region as a result. 

17:45 - Lucien's One Big Thing is the upcoming Private Sector Forum organized in Riyadh by Saudi Arabia's Public Investment Fund. The Forum is set to be much larger from its inaugural edition last year and expand the role of the event in fostering new opportunities in Saudi Arabia's private sector. The event will take place at the King Abdul Aziz International Conference Center, which is adjacent to the massive Ritz Carlton in Riyadh with the aim to support the fund’s private sector engagement strategic initiative. The Forum will showcase the PIF and its portfolio companies’ business opportunities, signal potential opportunities for investors/suppliers, and create probably one of the best networking platforms in Saudi Arabia this year. 

Lucien notes that the event will nearly double in size -- with double the expected attendees, double the number of exhibiting companies and booths, and double in physical size with a much larger area to work with at the KAICC. 

27:32 - Yallah!

•Saudi Arabia has said it will open a shop in Riyadh selling alcohol to a select band of non-Muslim expats, the first to open in more than 70 years.

•Rapper Ty Dolla $ign's performance in Jeddah's oldest neighbourhood, known as Al-Balad, alongside artists like Wu-Tang Clan and Major Lazer underscored efforts to revamp the UNESCO World Heritage site, expanding its allure for young Saudis and foreigners.

•The rapidly growing gaming market in Saudi Arabia has received a huge boost after Dubai-based e-sports brand, True Gamers, signed a franchise deal worth $45 million with investment firm, Falak, reports Meed.

•A Saudi doctor saw his fortune close in on $12 billion on Thursday as shares of his healthcare firm rebounded, returning him to the ranks of the Middle East’s wealthiest private individuals.

•Numerous foreign law firms are attempting to set up offices in Saudi Arabia following changes to the country’s Code of Law Practice, which mean that being affiliated with a local firm is no longer sufficient.

•The Israel-Hamas war has halted progress on what’s known as the India-Middle East-Europe Economic Corridor — a project touted last year by Washington and key allies that envisages building new rail links across the Arabian peninsula.

***

In Episode 119, The 966 hosts Lucien and Richard discuss a variety of topics and some of the latest news and developments on Saudi Arabia. First, the hosts discuss Richard's One Big Thing, an update on the Saudi Pro League and the latest news and developments for football in Saudi Arabia heading into key portion of season. The hosts discuss some developments with PIF's investments into the sport and the planned upcoming match between Ronaldo and Messi in the Kingdom. Next, the hosts discuss Lucien's One Big Thing, his first since moving to Riyadh for a few months with his family: two new announcements for large entertainment projects that are impressive and unique, even by Saudi standards these days. Lucien was struck by how quickly Riyadh is changing in virtually every neighborhood, and how seemingly every week there's a new announcement of a project or development. This last week saw the rollout of new designs for a Saudi football/soccer stadium in Qiddiya, the Mohammed Bin Salman Stadium, which are jaw-dropping and innovative. The second project that had been announced but which had new details released is The Rig, an entertainment destination that is situated on an oil rig 10km off the coast of Saudi Arabia to be built and owned by the Public Investment Fund. 

The hosts conclude as always with Yallah! 6 top storylines to get you up to speed on Saudi Arabia this week. 

•The 54th Annual Meeting of the World Economic Forum (WEF) is taking place in Davos-Klosters, Switzerland, from January 15–19.

•Aramco, one of the world’s leading integrated energy and chemicals companies, has allocated an additional $4 billion to its global venture capital arm, Aramco Ventures.

•Analysts at real estate firm Savills KSA told Arabian Business that apartment rents in Riyadh surged by as much as 23 percent in northern neighborhoods last year. 

•Aramco Digital and Intel plans to establish Saudi Arabia’s first Open RAN (radio access network) development center

•Konoz, an initiative of the Saudi Ministry of Media’s Center for Government Communication, launched "Horizon", a new documentary documenting the Kingdom’s rich biodiversity and natural resources.

•Rafael Nadal's role in helping to grow tennis in the Gulf is set to increase significantly after the Spanish great was appointed ambassador of the Saudi Tennis Federation (STF).

The 966 speaks with Rayan Alyusufi, a young Saudi researcher in public diplomacy and international communication to discuss the Kingdom’s public diplomacy, "sharp power," and evolution of Saudi as an emerging diplomatic player. Rayan is a PHD Candidate at Bournemouth University in the United Kingdom.

Recently, Rayan wrote a blog post entitled "The Transformation of Saudi Arabia’s Public Diplomacy" for the University of Southern California’s Center for Public Diplomacy website that discussed Saudi Arabia's "significant influence in the international arena."

"As the wealthiest Middle Eastern state and the birthplace of Islam, it holds a prominent position in the Middle East and the Muslim world. Internationally, Saudi Arabia is a major contributor to organizations such as the Global Fund and the World Health Organization, in addition to being the largest oil exporter. However, its soft power and public diplomacy remain underexplored."

The 996 team explores the reasons for this with Rayan and how Saudi Arabia's public diplomacy has evolved since the launch of Vision 2030.

The 966 hosts kick off the new year after a refreshing holiday break following a successful year for the podcast in which the growth of the audience more than doubled across all platforms, and in some cases, grew significantly more than that! The team thanks all of its listeners and viewers for tuning in each week.

First, the hosts discuss Richard's One Big Thing, the Dakar Rally, which is set to take place again this year across Saudi Arabia. The race has moved to the Kingdom and began January 5th, running until January 19th, and will pass Riyadh on January 13-14. Lucien will attend the festivities and race there in person. Richard gave a run-down of the race's challenges, vehicle classifications, and importance of Saudi Arabia as a host. According to the Dakar Rally's official site, the race's origins began in 1977, when Thierry Sabine got lost on his motorbike in the Libyan desert during the Abidjan-Nice Rally. Saved from the sands in extremis, he returned to France still in thrall to this landscape and promising himself he would share his fascination with as many people as possible. He proceeded to come up with a route starting in Europe, continuing to Algiers and crossing Agadez before eventually finishing at Dakar. The founder coined a motto for his inspiration: "A challenge for those who go. A dream for those who stay behind."

Next, the hosts discuss Lucien's One Big Thing, the PGA-LIV merger and the future of golf which hangs in the balance as a deadline for an agreement announced in 2023 between PIF and PGA passed with no concrete deal, other than to keep discussions going. The delay creates uncertainty for both pros and fans as the PGA season kicks off in Hawaii. Just weeks after top golfer John Rahm joined the LIV golf tour, 4-time champion Rory McIlroy walked back criticism of LIV players. "I think at this point, I was maybe a little judgmental of the guys who went to LIV golf at the start, and I think it was a bit of a mistake on my part because I now realise that not everyone is in my position or in Tiger Wood's position," the former world number one told the Stick to Football podcast. "We all turn professional to making a living playing the sports that we do, and I think that's what I realised over the last two years. I can't judge people for making that decision."

Lucien discusses the latest with the merger and notes a reason why many Saudis don't care as much about it compared to the coverage it receives.

The hosts conclude as always with Yallah! 6 top storylines from Saudi Arabia this week...

-U.S. Secretary of State Antony J. Blinken will travel to the Middle East region this week to “discuss urgent mechanisms to stem violence, calm rhetoric, and reduce regional tensions,” according to a press release from the State Department.

-A recent study by Gallup International, in collaboration with the Saudi Center for Opinion Polls, has revealed the high level of optimism among Saudi citizens as they look forward to the year 2024.

-Saudi state TV said on Tuesday that the Kingdom had officially begun its membership of the BRICS bloc. Saudi Arabia’s foreign minister had said in August that the Kingdom would study the details before the proposed January 1 joining date and take “the appropriate decision.” Prince Faisal bin Frahan had said BRICS was “a beneficial and important channel” to strengthen economic cooperation.

-Saudi capital Riyadh has emerged as a new regional hub for over 200 international companies, aligning with an upcoming Saudi government policy. Effective January 1, 2024, the policy requires international firms to establish their regional headquarters in the Kingdom to be eligible for government contracts.

-Saudi Arabia’s sovereign wealth fund spent more than any other last year after splashing out $31.5bn (£24.7bn) on investments ranging from a stake in Heathrow to ownership of a US gaming company. The Kingdom’s Public Investment Fund (PIF) has topped an annual ranking of sovereign investment fund spending, compiled by consultancy Global SWF, for the first time.

Investment by PIF accounted for just over a quarter of the $123.8bn (£97.2bn) spent in total

-The ongoing ‘Riyadh Season’, featuring a series of entertainment, fashion, technology and gaming events, attracted a whopping 12 million visitors in the last 60 days, the organizers said. The popular event, which opened in October 2023, targeted 12 million visitor participation during the entire event period, but achieved the target in the middle of the season.

The 966 speaks with Princess Mashael bint Saud Al Shalan and Princess Noura bint Turki Al Saud, co-founders of AEON Collective based in Riyadh, to discuss the recently-concluded COP28 meetings in the UAE earlier this month and where the world stands in the fight to combat climate change and transition away from fossil fuels. 

The two princesses, as part of AEON, played a leading role in support of the Kingdom's Net-Zero targets under the Saudi Green Initiative and the Circular Carbon Economy Framework, and recently co-authored an important report along with KAUST and KAPSARC that presents a broad perspective on the implications of a 3°C warmer world, highlighting how this scenario may challenge different aspects of the natural, social, and economic landscapes over the Kingdom of Saudi Arabia.

AEON Collective is a Riyadh-based consultancy and advocacy group that aims to lead Saudi Arabia towards a sustainable future by designing and scaling pioneering, science-backed, researched based business and policy solutions that create and sustain equal benefits for the nation’s economy, ecology and society.

Princess Mashael bint Saud Al Shalan and Princess Noura bint Turki Al Saud discuss their reactions to the dialogue and outcomes of COP28 as the world begins collective action to slow climate change and mitigate its damaging effects.

In Episode #133 of The 966 podcast, Dr. Jennifer Peck, Swarthmore College, expands on her excellent article in Foreign Affairs magazine (Working Women are Changing Saudi Arabia: Reforms Have Made the Economy More Productive, Families More Resilient, and Saudis More Tolerant) where she writes, "This economic transformation has also raised women’s visible participation in public life, made families more financially resilient, and boosted businesses’ productivity by increasing their access to talent. These shifts, in turn, appear to be driving a feedback loop: the more Saudi society embraces women in the workplace, the more the government is encouraged to pursue ambitious reforms." 

In this episode Dr. Peck also discusses the evolution of women's participation in the Saudi labor force and the impact of reforms on the economy and society. She highlights key historical timeframes, such as the 60s, 80s, Arab Spring, and Vision 2030, that have shaped women's access to and impact on the workforce. 

She also discusses the challenges and opportunities that remain, including cultural adaptation, mentorship programs, and the long-term effects of labor quotas on firms.

There's so much that has happened in Saudi Arabia since The 966's last full, normal-format episode. The hosts are back in their normal seats and with a special guest, Dr. Basma Al-Buhairan, Managing Director for the Center for the Fourth Industrial Revolution (C4IR), who joins The 966 to talk about tech adoption and the Center's role in enabling Vision 2030's success. 

Before the conversation, the hosts discuss some key projects for Vision 2030 being delayed, as reported in Bloomberg, and why that is a good thing. Richard reads from a recent Bloomberg item highlighting the delays based on comments from Mohammed Al-Jaddan, Minister of Finance. "The government, which is forecasting budget deficits every year out to 2026, has decided on the extension to build capacity and avert huge inflationary pressures and supply bottlenecks, Finance Minister Mohammed Al Jadaan said Thursday. He didn’t specify which projects would be affected..."

Then the hosts discuss Lucien's One Big Thing, the new US Embassy building in Saudi Arabia's capital, Riyadh. The United States has officially broken ground on its new embassy project in Saudi Arabia’s capital Riyadh, a sprawling new building blending traditional and modern architecture on a 27.5 acre site.

When completed, it will be the largest embassy in Riyadh. U.S. and Saudi officials participated in a ceremony to break ground on the new compound this week, marking a milestone in the longstanding U.S.-Saudi bilateral relationship. Deputy Assistant Secretary for Arabian Peninsula Affairs Daniel Benaim and Saudi Deputy Foreign Minister, His Excellency Mr. Waleed bin Abdulkarim Al-Khuraiji, joined U.S. Ambassador to Saudi Arabia Michael Ratney for the event. 

Next, Lucien and Richard welcome onto The 966 Dr. Basma Al-Buhairan, Managing Director for the Center for the Fourth Industrial Revolution (C4IR). Dr. Basma discusses her work leading Saudi Arabia's efforts at developing what is called "Industry 4.0" or "the Fourth Industrial Revolution" or "4IR" which is the next phase in the digitization of the manufacturing sector, driven by disruptive trends including the rise of data and connectivity, analytics, human-machine interaction, and improvements in robotics. The center supports Saudi Arabia’s Vision 2030 by being a platform for public-private, multi-stakeholder collaboration to maximize technological benefits to society and minimize the risks associated with 4IR technologies in The Kingdom. 

Dr. Basma is also an adviser and part of the founding team of the Research Development Innovation Authority (RDIA)

Lucien and Richard conclude as always with a jam-packed "Yallah!" segment, covering 6 top storylines from Saudi Arabia from the last few weeks, including Expo2030 in Riyadh, a new type of Saudi-made sustainable firewood, and much more...

The 966 Podcast features a special episode this week for episode 114 with an exclusive, live duo of conversations, first with HRH Dr. Haya Bint Khaled Bin Bandar Al-Saud, Vice President of Organizational Strategy and Development for the Hevolution Foundation, and then with Hevolution's CEO, Dr. Mehmood Khan. Lucien and Richard recorded conversations with top Hevolution officials after the launch of Hevolution's "Global Healthspan Summit" in Riyadh, Saudi Arabia. The event was the organization's coming out party and first major event - unique in the growing field of healthspan science in which Hevolution is aiming to make a big impact and lead the way with hundreds of millions in investments into figuring out how to make humans age healthier. 
HRH Dr. Haya tells Lucien and Richard how she got involved with Hevolution as "Employee #1," the importance of the Foundation's work, the importance of Hevolution as an impact investor, and much more.

After that conversation, Lucien and Richard welcome back onto The 966, in perhaps the quickest return for a special guest to-date, the incomparable Dr. Mehmood Khan, Chief Executive Officer of The Hevolution Foundation. Dr. Khan, always dynamic and engaging, recaps the event and all the prizes and grants awarded at the event, while discussing some of the Foundation's next steps in their battle to combat the challenges associated with aging and advancing geroscience from their main HQ in Riyadh.