Khaled Al-Faisal inaugurates Jeddah Waterfront project

Riyadh, Mar 15: Saudi Aramco on Sunday reported a 20.6 percent drop in its net profit for 2019 due to low oil prices and production levels, the company said in a statement.

These are the first annual results to be announced by the energy giant after its historical $29.4 billion initial public offering and listing on the Saudi Tadawul market last December.

Aramco posted net profits of $88.2 billion last year compared to $111.1 billion in 2018, Monday's statement said.

"The decrease was primarily due to lower crude oil prices and production volumes, coupled with declining refining and chemical margins," it said.

The company also made $1.6 billion of impairment provisions for losses associated with Sadara Chemical Company, an Aramco subsidiary.

"2019 was an exceptional year for Saudi Aramco. Through a variety of circumstances -- some planned and some not -- the world was offered unprecedented insight into Saudi Aramco's agility and resilience," CEO Amin Nasser said.

"Our unique scale, low costs, and resilience came together to deliver both growth and world-leading returns, while also maintaining our position as one of the world's most reliable energy companies," Nasser said.

The earnings for last year are not affected by the coronavirus outbreak or the ongoing price war between Saudi Arabia and Russia that has sent oil prices crashing.

Aramco said it will distribute dividends worth $73.2 billion for 2019 but based on its commitments under the IPO, its dividends for the next five years starting this year will be at least $75 billion.

It said its capital spending last year dropped to $32.8 billion from $35.1 billion in 2018.

The company expects capital spending, which is expenditure on projects, to be between $25 billion and $30 billion this year "in light of current market conditions and recent commodity price volatility."

But it said that capital expenditure for 2021 and beyond is currently under review.

The results were announced amid a price war between Saudi Arabia and Russia after they failed to agree on additional output cuts to support prices dented by the outbreak of the coronavirus pandemic.

"The recent COVID-19 outbreak and its rapid spread illustrate the importance of agility and adaptability in an ever-changing global landscape," Nasser said.

The kingdom said last week Aramco will pump 12.3 million barrels of oil per day, boosting output by at least 2.5 million bpd.

It also announced plans to raise production capacity from 12 million bpd to 13 million bpd.

Forecasts for future crude prices and demand are also bleak.

In its latest monthly report, the Organization of Petroleum Exporting Countries lowered its forecast for global average daily demand by 0.92 million barrels to 99.73 million barrels.

Saudi Arabia is also in the midst of a royal purge that saw King Salman's brother and nephew detained after sources said they were accused of plotting a palace coup to unseat the crown prince, heir to the Saudi throne.

Aramco shares rallied immediately after the listing on December 11, rising by 19 percent to 38 riyals ($10.1) and temporarily lifting the company's valuation above the $2 trillion mark, which was sought by Crown Prince Mohammed bin Salman, Saudi Arabia's de facto ruler.

But as oil prices tumble, Aramco shares have lost 29 percent from its highest point, slipping below the listing price.

On Thursday, Aramco's market value dropped to around $1.55 trillion, but it still remains the world's largest publicly listed company.

Riyadh, Jun 20:  Speaking at an exclusive webinar organized by the London Business School’s (LBS) Riyadh Chapter, Saudi Arabia’s first sports minister Prince Abdulaziz Bin Turki Al Faisal proudly reflected back on his nation’s sports achievements over the last few years.

Attended by over 170 people, the highest record set at an LBS webinar, various topics were discussed including the Kingdom’s sports strategy, investment opportunities, role of the media and advantages of hosting international sporting events, among other things.

Saudi Arabia has recently presented itself as one of the major players in the global sports industry thanks to its transformative Vision 2030, which aims to diversify the economy and create a more vibrant society.

Recognizing the importance of the vision, Prince Abdulaziz said: “Vision 2030 is something we all believe in. Everywhere you go within the Kingdom, you feel that people are passionate about the vision and its targets. Sport is part of it, and it has a big role in it.”

At the heart of the newly created Ministry of Sport’s strategy is increasing mass participation across all types of sports and preparing the next generation of elite athletes capable of competing on the international stage.

The ambitious prince asserted, “We want to make sure that we create an ecosystem that is sustainable, creates jobs, income and provides a lot of opportunities for everyone. We are creating academies around the Kingdom for kids to get into sports to make sure we have a base for them to start off from.”

Over 50 questions were addressed during the open and transparent webinar, a reflection of the attitude and culture the prince is creating at the Ministry. He admitted that while Saudi Arabia is a nation bound by a love and passion for sport, until recently sports has been looked at as a tool for entertainment rather than an important industry.

One of his key goals is to shift this mentality. Hosting major sports events has greatly contributed in doing so, he is a strong believer of their long-lasting impact and legacy.

“These events will shed light on enlightening people about certain sports and making sure they get attracted by it and enjoy it. From these events that we hosted, we found out there’s interest for tennis, golf, and boxing.”

“We will continue to host these events to make sure that people enjoy them as entertainment but to also make sure that people are passionate about these sports get to watch them live in the Kingdom and hopefully from that get someone passionate enough to participate,” he explained.

A former professional motorsports racer, Prince Abdulaziz was appointed chairman of the then-General Sports Authority at the start of 2019 after holding the position of vice chairman for the previous two years. Under his leadership, the Ministry of Sport doubled the number of its ever-growing sports federations and invested heavily at the grassroots level.

When asked about the significance of such investments, he said: “We give them [athletes] an opportunity to compete under the name of the Kingdom, to shine and make sure there’s a future for them. Today we look at a holistic view of sports. We use it to change certain mindsets and restrictions within the Kingdom to make sure we can evolve within the industry and complete against leading countries.”

The Riyadh Chapter of the London Business School aims to increase engagement and opportunities for LBS alumni in the Kingdom and to develop stronger ties that help build a better future for the business community.

Co-presidents Majed Al Hugail and Faris Al Shareef expressed their delight in hosting Prince Abdulaziz for the first time by saying: “The webinar was very insightful to the elite group of LBS alumni both locally and internationally. It helped them further understand how the Ministry is reshaping the sports sector as part of Vision 2030.

“The session left many of the attendees with a great sense of appreciation of the Ministry’s support to the community, an area where stronger partnerships can potentially be explored for the country and region’s benefits.”

In line with new progressive government policies, a lot of attention and investment has geared towards the inclusion of women in sports on both the elite and amateur levels.

When asked by an audience member about this matter, the sports leader proudly replied by saying: “We’ve seen an increase of active women participation in sports by about 149% from 2015 till today. Only five years ago, women were not allowed to participate in the street but it’s a completely different ball game today.”

A testament to this great progress is the participation of 22 women’s national teams in competitive regional games across a wide range of sports in recent years, in addition to newly incepted Women’s Football League.

Among the topics discussed during the 1-hour long webinar was the Ministry’s journey towards the privatization of some of its assets.

Highlighting the significant role that the private sector contributes towards future growth and development, the Minister said: “The private sector is a fundamental aspect for the evolution of sports within the Kingdom and anywhere else in the world. We have to make sure that the platform is open for the private sector to come in and play its role in increasing the number of participants and to add the number of clubs within the Kingdom.”

He continued: “It is our role to provide the right regulatory process. Today we are ready with a platform to make sure that we can deliver on this for the private sector and for the public. This will add towards the evolvement and the development of sports within the Kingdom.”

Saudi Arabia’s successful hosting of high-profile sports events attracted thousands of locals and visitors; it now has bigger plans to cement its strong position in the global sports industry. Among these plans include bids for two of the continent’s most sought after competitions, the 2027 AFC Asian Cup and 2030 Asian Games.

When asked about the reason behind them, he was confident in his response highlighting that Saudi Arabia has celebrated multiples trophies and medals in the past, but this is the first time that they’re aiming to host the events.

“It is time to do so. It’s unheard of that you win a competition but don’t host it. Saudi should host these events and we are capable of hosting them as a nation. It is something that our people are very passionate about, they love it and follow it. It will showcase what Saudi can do on the Asian front.”

Prince Abdulaziz recognizes Saudi Arabia’s recent sporting achievements, but he remains humble on his mission to use sports as a tool to tell his country’s story to the world and build a healthier, more vibrant society capable of nurturing athletes who can compete on the elite level for many years to come.

Ramallah, May 19: India has given USD 2 million in aid to the United Nations Relief and Works Agency working for the welfare of Palestinian refugees in support of its core programmes and services, including education and health, amidst the coronavirus crisis.

India had increased its annual contribution to the UNRWA from USD 1.25 million in 2016 to USD 5 million in 2019. It pledged another USD 5 million for 2020 which opens its way to become a member of the agency's advisory commission, according to official sources.

The United Nations Relief and Works Agency (UNRWA) applauded India's financial support to keep its basic services operating, especially under the challenges posed by the COVID-19 pandemic.

The contribution was presented to the UN agency by the Representative of India (ROI) to the State of Palestine, Sunil Kumar.

"On behalf of the agency, I would like to express my deep appreciation to the Government of India for advancing part of its contribution, which will help UNRWA address cash flow challenges," Marc Lassouaoui, chief of the Donor Relations at the agency said.

"The continued determination and commitment of India in support of the Palestine refugees is commendable, in particular under the current circumstances brought on us by COVID-19," he said.

"On behalf of the Government of India, I would like to express my appreciation for the commendable work and endeavours carried out by the UNRWA. We believe that our contribution will support the agency's activities in providing the needed assistance to Palestinian refugees, and assist in achieving their full human development potential," Kumar said.

India's contribution will support the agency's "dire" financial situation due to the funding gaps that risk its core services to the Palestinian refugees in the fields of education and health.

About 3.1 million Palestine refugees depend on health services provided by the UNRWA. At the same time, the agency's schools educate 526,000 students every year, of which half are female.

The agency was created in December 1949 by the UN to support the relief and human development of Palestinian refugees.

The UNRWA definition of “refugee” covers Palestinians who fled or were expelled from their homes during the 1948 War.

Meanwhile, India is preparing medical supplies for the Palestinians to help them in their fight against the coronavirus which is likely to reach the Palestine soon, the Indian mission in the West Bank said in a statement.

Prime Minister Narendra Modi last month spoke to Palestinian President Mahmoud Abbas over phone and discussed the challenges posed by the COVID-19 pandemic. He appreciated efforts being made by the Palestinian Authority (PA) to protect its population and assured all possible support from India.

External Affairs Minister S Jaishankar later talked to his Palestinian counterpart Riad Malki and reiterated India's commitment to support Palestine in its battle against the global pandemic.

So far, 554 COVID-19 cases have been detected in the West Bank under PA and east Jerusalem, with two casualties.

Twenty people were found infected with the virus in Gaza, of which 14 are said to have recovered.

Separately, 17 agreements have been signed under an India-Palestine development partnership between the two sides in the fields of agriculture, health care, information technology, youth affairs, consular affairs, women empowerment and media in the past five years.

New Delhi is to provide an assistance of around USD 72 million through these agreements in projects like the post-2014 war reconstruction efforts in Gaza, construction of five schools, setting up a centre of excellence for information and communication technologies at Al-Quds University and developing a satellite centre in Ramallah.