The bitter war between Israel and Hamas is already hurting the economies of neighboring countries, the managing director of the International Monetary Fund told a Saudi investor forum on Wednesday.
“If you look at the neighboring countries (Egypt, Lebanon, Jordan), the effect on the channels is already visible there,” Georgieva said at the Future Investment Initiative (FII) in Riyadh, the Saudi capital.
The Palestinian militant organization Hamas launched a surprise attack on Israel on Oct. 7, killing more than 1,400 people and taking 222 hostages, according to Israeli authorities.
Israel has responded with devastating airstrikes and a near-total land, sea and air blockade of Gaza, where the Hamas-run Health Ministry says another 5,791 people have been killed in the war.
Georgieva spoke a day after Wall Street titans told the forum that the war could simply deal a severe blow to the global economy, especially if it draws in other countries.
“What we’re seeing is more nervousness in a world that’s already worried,” Georgieva said.
“There are countries that depend on tourism: uncertainty kills tourist flows,” he said, describing the economic burden for countries in the region before the board expresses risks.
“Investors are reluctant to go to this place. The insurance charge is that if they move, they let you through. There is even more threat of refugees in countries that are already accepting more refugees. “
Turkey’s annual consumer value inflation fell for the first time in three months to 61. 36% in October, data from the Turkish Statistical Institute showed on Friday, as the fallout from the summer lira’s sharp fall and tax hikes eased.
On a monthly basis, inflation is 3. 43%.
The Domestic Manufacturers Value Index increased by 1. 94% MoM in October, a year-on-year increase of 39. 39%.
The annual inflation rate rose to 61. 53% in September and is expected to rise next year; The central bank raised the interest rate by 2,650 basis points to 35%.
Turkey’s central bank (CBRT) has raised its year-end inflation forecast for this year and the following by about 65% and 36% respectively, Governor Hafize Gaye Erkan said on Thursday.
The bank’s past inflation released 3 months ago forecasts year-end inflation of 58% in 2023 and 33% next year.
In addition, inflation forecasts for 2025 have been lowered from 15 percent to 14 percent.
Erkan said at a press conference to present the CBRT inflation report that disinflation would begin after peaking at around 70-75% in May.
“We expect a transitory increase in monthly inflation in November, January and May due to several points that are not within the scope of financial policy,” Erkan said.
“We will continue to use our entire team decisively until the inflation outlook improves significantly. “
He added that the bank maintains a medium-term target of five percent.
Turkey will switch to inflation-adjusted accounting, but monetary establishments could be excluded from the practice, Finance Minister Mehmet Simsek said.
Unemployment in Morocco stood at 13. 5% in the third quarter of 2023, up from 11. 4% last year.
The national economy lost 297,000 jobs between the 3rd quarter of 2022 and the 3rd quarter of 2023, according to a report through the Higher Planning Commission (HCP).
Rural areas were the most affected, wasting 269,000 jobs, including 29,000 in urban areas, according to the report.
The HCP noted that unemployment rates are equally incredibly high among 15- to 24-year-olds, women, and college graduates, at 38. 2 percent, 19. 8 percent, and 19. 8 percent, respectively.
In addition, the government has taken several measures in recent weeks to deal with emerging olive oil prices in the local market, adding restrictions on the export of olives and olive oil until the end of 2024.
Olive oil is one of Morocco’s main industries, one of the world’s leading manufacturers and exporters of olives and olive oil. The Arab world press reported that olive cultivation accounts for 68 percent of the country’s fruit tree area.
Last month, the Ministry of Agriculture and Fisheries announced new measures to promote olive production.
Rachid Benali, president of Morocco’s olive industry, said Morocco, like other countries, was affected by climate change. Olive production in the country has been affected, leading to an increase in olive oil prices in local markets to 120 dirhams per liter. .
In his remarks to the AWP, Benali added that restricting the export of olives of all kinds would ensure balance and self-sufficiency.
Morocco exports about 25,000 olives a year, according to Benali.
The Saudi government has established a mechanism to provide entry permits to Saudi businessmen in Iraq and has introduced an electronic service through the Ministry of Commerce’s website to allow investors to explore industrial and investment opportunities and participate in forums, exhibitions and forums in Baghdad.
Saudi Arabia and Iraq must increase the volume of their trade.
Non-oil exports to Iraq over the past five years amounted to SAR 14. 8 billion ($3. 9 billion), with structural fabrics accounting for the largest export sector at SAR 4. 4 billion ($1. 1 billion), followed by food products with SAR. four billion ($1 billion).
According to data received through Asharq Al-Awsat, the Saudi General Authority for Foreign Trade (GAFT) has informed all local corporations and establishments about the final touch of automating the permitting mechanism for Saudi entrepreneurs in Iraq and the release of the service. , taking into account the demands of the personal sector to explore industrial and investment opportunities and participate in the country’s economic events.
The Saudi Export Development Authority (SEDA) organizes meetings between Saudi and Iraqi businessmen, the most recent being the Business Sector Meetings, held on the sidelines of the Saudi-Iraqi Economic Forum in May in Jeddah.
The occasion was attended by more than 190 corporations from both sides, operating in sectors such as petrochemicals, packaging, construction materials, food and medicines.
Iraq was the guest of honour at the second edition of the “Made in Saudi Arabia” exhibition, held in Riyadh in mid-October last year, with the participation of more than 24 Iraqi corporations from different sectors.
The resolution to include Iraq as guest of honor is an extension of the strong economic ties between Riyadh and Baghdad. The land port of Jadidat Arar in Saudi Arabia’s northern border region, opened two years ago, is one of the gateways for industry between the two countries. two countries.
A recent report by the Northern Border Chamber of Commerce and Industry indicates that the bilateral industry grew in March this year to approximately SAR 381 million (US$101. 6 million), up from approximately SAR 305 million (US$81. 3 million) in January.
The latest Global Construction Monitor, through the Royal Institution of Chartered Surveyors (RICS), found that Saudi Arabia’s structural activity index showed the most powerful effects in the world.
The monitor is a quarterly consultant on trends in infrastructure markets.
The UK index registered 69% in the third quarter of 2023, up from 63% in the last quarter.
The data highlights the exceptional and ongoing impact of megaprojects in Saudi Arabia, which are largely fueling the positive climate for the sector.
However, there are some points that restrict further growth, with a growing demand for highly professional labor as well as needs for building materials.
Looking ahead, the 12-month outlook for personal and non-residential housing remains good for the entire Middle East region, according to the report.
In this context, Saudi Arabia achieves the effects in a global comparison. New ad requests continued to rise in the third quarter, with the most recent net rate of 28 percent setting a new record.
The Kingdom recorded a remarkable 80 percent in terms of overall demand, representing one of the largest increases in new advertising orders in the world.
Meanwhile, seven percent of respondents in a survey that spanned all regions of Saudi Arabia indicated an increase in the number of workers in the structure sector in the third quarter of 2023, compared to the steady reading of minus one percent in the second quarter.
According to these results, Saudi Arabia remains the world’s most powerful structural market, which is not surprising, according to the report, given the record impact of its megaprojects.
But to reach new heights, the industry will want to triumph over capacity building and a shortage of hard work, as well as emerging curtain prices brought on by overwhelming demand. Despite those challenges, the report confirms that continued investment in projects builds resilience and that the Kingdom’s structural sector looks poised to take its position as a global leader for the foreseeable future.
Turkey’s central bank (CBRT) has raised its year-end inflation forecast for this year and the following by about 65% and 36% respectively, Governor Hafize Gaye Erkan said on Thursday.
The bank’s past inflation released 3 months ago forecasts year-end inflation of 58% in 2023 and 33% next year.
In addition, inflation forecasts for 2025 have been lowered from 15 percent to 14 percent.
Erkan said at a press conference to present the CBRT inflation report that disinflation would begin after peaking at around 70-75% in May.
“As we indicated in our financial policy resolution papers, we also expect the underlying trend in monthly inflation to subside. However, we will be expecting transitory increases in monthly inflation in November, January and May due to several points outside the scope of financial policy.
“For example, we expect families to exceed the herbal fuel use limit once herbal fuel consumption increases in November. This will have an upward mechanical effect on inflation, causing a transitory increase in monthly inflation in November. In January 2024, “We expect changes to the minimum wage, time-based changes to service prices, and automatic tax changes to be felt. “
“The peak of annual inflation will be recorded in May 2024 due to the base effects of vegetable fuel prices. In the second part of 2024, we expect a strong and uninterrupted disinflationary proceeding to begin as the cumulative effects of financial tightening begin to be felt. to take advantage,” the governor added.
The annual inflation rate rose to 61. 53% in September and is expected to rise next year; The central bank raised the interest rate by 2,650 basis points to 35%.
“During this transition period, we are seeing a transitory in inflation, as we had transparently shared in the July inflation report. “
He added: “In this process, we are painstakingly preparing the ground for a sustainable disinflation process. The effect of economic policy on inflation is determined through a variety of channels, including demand, expectations, asset prices, and economic conditions. and loans.
“We will continue to use our entire team decisively until the inflation outlook improves significantly. “
He added that the bank maintains a medium-term target of five percent.
“We will see the effects of our financial adjustment procedure in 2024, when disinflation sets in. During the era of disinflation, exchange rate stability, improvement of the existing account balance, sustained accumulation of capital inflows and accumulation of reserves will continue.
“As a result of our decisions, the demand for Turkish lira savings instruments, especially term deposits, has increased. . . TL deposits increased to 970 billion TL in just 8 weeks, while foreign exchange deposits decreased to 300 billion Turkish Lira and Foreign Currency Deposits. Deposits worth $3. 9 billion.
The exchange rate volatility implied by the one-month characteristics of the U. S. dollar and Turkish lira has fallen sharply from about 60 core issues in May to just about 10 issues, he added.
The Governor of the CBRT announced the withdrawal of 350 billion TRY of liquidity from the formula with the latest reserve requirements.
According to the Istanbul Chamber of Commerce (İTO), the increase in retail prices, which in September was 73. 18%, fell to an annual rate of 72. 73% in October.
In October 2023 in Istanbul, the Istanbul Cost of Living Index, an indicator of retail price growth, increased by 3. 69% from last month, while the Wholesale Commodity Price Index, which reflects the evolution of wholesale prices, increased by 3. 53%.
Saudi Arabia is actively seeking cooperation with four regional countries in the field of cybersecurity.
The Kingdom’s National Cybersecurity Authority (NCA) has signed four memorandums of understanding (MoUs) for cybersecurity cooperation with national bodies in Qatar, Romania, Spain and Kuwait, on the sidelines of the third edition of the Global Cybersecurity Forum (GCF).
The GCF concluded after several sessions and discussions, with the participation of more than 150 foreign speakers and the participation of elite decision-makers and CEOs of similar foreign organizations in the field.
They represented the government and education sectors, as well as leading global corporations from 120 countries.
Minister of State for Foreign Affairs, cabinet member and envoy for Climate Affairs Adel Al-Jubeir said Saudi Arabia is moving towards achieving many goals that are in the interest of the Muslim Ummah.
Speaking on Thursday at the Global Cybersecurity Forum consultation entitled “Sustainability in Cyberspace”, he said that the Kingdom has achieved the goals that have made its history richer and stronger.
Al-Jubeir said that the Kingdom continues to maintain stability in the realm of cybersecurity, saying, “This has become of utmost importance in our lives today and also for global economies. The Kingdom has many goals to achieve in the area of cybersecurity. “cybersecurity.
The minister pointed out that Saudi Arabia is one of the world’s leading countries investing in the field of cybersecurity, as it enjoys the merit of its geographical location, in the middle of the 3 continents.
He stressed that countries should come together and work together for a longer period of time and that the cybersecurity framework should be one of their priorities, in addition to exchanging reports and agreeing on basic principles to face all challenges.
Al-Jubeir noted that today the world is witnessing an immediate advancement of technologies. “Therefore, we will need to keep up with modern clinical strategies while also working in combination to combat cybercrime well and protect this important sector. “
Egypt has increased domestic gas by as much as 14. 3% but kept diesel unchanged, state media said on Friday.
State media, publishing the official gazette, said the value of 80-octane gasoline had been higher than 1. 25 Egyptian pounds, 92-octane to 1. 25 pounds, and 95-octane from 1 pound to 10 Egyptian pounds ($0. 3241), 11. 50. and 12. 50 per liter, respectively, Reuters reported.
The price of diesel remained at £8. 25 per litre. The decision comes into force at 08:00 (06:00 GMT) on Friday.
Fuel has been set in quarterly reviews since 2019, taking into account global markets and the exchange rate, in line with past commitments to the International Monetary Fund (IMF).
Saudi Arabia’s National Cybersecurity Authority (NCA) has signed four cybersecurity cooperation memorandums with national bodies in Qatar, Romania, Spain and Kuwait, on the sidelines of the third edition of the Global Cybersecurity Forum (GCF).
A foreign meeting on cybersecurity opened Wednesday in the Saudi capital, Riyadh, attended by representatives of global organizations and corporations from some 120 countries.
The event, sponsored by Saudi King Salman bin Abdulaziz, was opened by Prince Faisal bin Bandar bin Abdulaziz, Governor of Riyadh, in its third edition, under the theme “Defining Shared Priorities in Cyberspace”.
Prince Faisal highlighted the immediate evolution of the field of cybersecurity in today’s world and emphasized the pressing need for greater cooperation and collaborative efforts to address it.
He stressed the importance of leveraging the expertise of foreign participants, bringing together policymakers and specialists from around the world, to produce valuable data and foreign reporting percentages similar to critical and strategic cyber issues.
The ultimate goal is to create a secure and trustworthy cyberspace that fosters progress, innovation, growth, and prosperity for all nations.
Addressing the meeting, Saudi Arabia’s Head of Cybersecurity, Majed Al-Mazyad, said the occasion represents a platform for global bodies to come together with the aim of strengthening cooperation in cybersecurity, which, in turn, tests the foreign network as a whole. .
It should be noted that the two-day forum is organized through the National Cybersecurity Authority and the Saudi Information Technology Society (SITE).
It also has more than 150 speakers.
Prominent decision-makers, CEOs of similar foreign organizations in the field, representing the government and education sectors, as well as leading global corporations from more than 120 countries attend.
The holding of this forum reaffirms Saudi Arabia’s global leadership in the field of cybersecurity, given the achievements of its pioneering experience at the local, regional and international levels.
The Saudi style in cybersecurity has a success and a reference point identified throughout the world.
The Global Cybersecurity Forum is a global platform for policymakers, experts, and practitioners interested in critical and strategic cybersecurity issues.
It aims to provide a broad opportunity for knowledge transfer, exchange of experiences, and collaborative exploration on strategic cybersecurity topics.
The Forum will map out customary priorities in cyberspace through discussions and sessions on strategic topics similar to cybersecurity, focusing on five sub-themes: cyberspace in the midst of the polycrisis, cyber growth unlocked, across cyber divides, inner cyber minds, and emerging cyber horizons. .
The Saudi government is stepping up its efforts to facilitate foreign corporations’ access to the local market by stimulating capital laws and regulations.
In this context, the Council of Ministers approved at the end of October the amendment of article 51 of the Law on the Bar Association, which allows foreign offices to provide legal advice, in order to strengthen the legal environment at the local level. .
Last year, the Ministry of Justice approved executive procedures for the licensing of foreign law firms, with the aim of improving the profession, expanding its efficiency and improving the business and investment environment in the country.
Speaking to Asharq Al-Awsat, lawyer Ahmed Mohammad Al-Ansari underlined the importance of the government’s efforts to strengthen the power of the legal career and the legal framework, in line with modern Saudi systems and more productive foreign judicial practices. .
He noted that the presence of foreign corporations in Saudi Arabia necessitates creating an opportunity for foreign-law companies to provide legal advice on foreign laws and non-Saudi regulations, as well as arbitration, mediation, and conciliation services.
Al-Ansari explained that according to the Saudi ruling, authorized foreign-law companies will have to be of prime price and quality, have a reputation abroad, have been established for 10 years or more, and have representation or partnerships in 3 or more countries. or five countries, or multiple regions within the same country. They will also have to dedicate themselves to transferring their wisdom to local professionals and carrying out their activities through an established professional company through one or more Saudi lawyers, or by opening one or more. branches within the Kingdom.
He added that the measures taken by the government will create a festival among local legal professionals and encourage professional practice in a way that promotes career in the country, which in turn will gain advantages for the business and investment sector and the achievement of the Vision 2030 goals.