Look for Opportunities in Kingdom Records Flat Oil Market Shows Steady Kingdom’s Banks Maintain Challenges Deposits, But Higher Credit Outlook Good Credit level

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The 4th International

Officially Supported by the Ministry of Transport, Kingdom of Saudi Arabia Exhibition & Conference www.sauditranstec.com

TRANSPORTATION, MATERIALS HANDLING, WAREHOUSING & LOGISTICS

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INSIDE   C O    L  Sector to VibrantSector be Kingdom’s Downstream ISSUE Saudi Commerce Saudi

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43 20 60 Tenders 59 Contracts Products56 New & Technology 55 OilinPerspective 46 Projects Update 44 Report 19 Quotes oftheMonth 16 Regional News Up Round 12 News 10 ChamberSpotlight 09 Comment 08 Events 06 Contents COVER FEATURE REGULAR FEATURESREGULAR More Vibrant Sector to be Downstream Kingdom’s Trade Enquiries 22 Credit level Maintain Good Kingdom’s Banks FOCUS 30 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 5

e n e r a l G s e r e n e r a l b G r e t a r y e m c e h a i r m e n M . S -C t r e t a r y e c c ss o a r d i h a i r m a n e Abdul Hadi H. Al Zoubi Abdul Hadi H. Al Zoubi Abdullah A. Almajdouie Abdullah M. Al Zamil S. Al Quraishi Faisal Ghassan A. Al Nemer Hana A. Al Zuhair Ms. Hassan M. Al Zahrani Ibrahim M. Al Jomaih Khalid M. Al Ammar Ghadran S. Al Ghamdi Mohammad S. Al Farraj Nasser S. Al Hajri Saleh A. Al Sayed Salman M. Al Jishi Samira A. Al Suwaigh Ms. S Relations & Media; Supervisor Editorial Public Al Homiyn Abdul Rahman F. Engr. C Abdulrahman R. Al Rashed V Abdullah H. Al Ammar A. Al Shureia Fahad B Abdul Rahman A. Al Wabel Abdul Rahman A. Al A P. O. Box 719, Dammam 31421, Kingdom of Saudi Arabia Box O. P. http://www.chamber.org.sa 48 20

INTERVIEW Oil Market Shows Shows Market Oil Outlook Steady Look for Opportunities Opportunities for Look in Challenges SPECIAL REPORT SPECIAL 40

SPECIAL REPORT Higher Credit Flat Deposits, But But Deposits, Flat Kingdom Records Records Kingdom

6 6 SAUDIa u d i CCOMMERo m m e r Cc Ee ANDa n d ECc ONOMIo n o m i Cc REVIEWe v i e w //IISSss UEu e 236/236/DDEECCEMBEREMB 2013ER 2013 TRADEtrade ENQUIRIESenquiries credentials. Commerce concerned. parties the to directly respond may o ers business these in interested Readers 2084. Email: [email protected] Tel: 92-321-242-7747, 92-345-477- Bazaar,RA Lahore Cantt., Pakistan. H#679, St#1, Ali Park Nadir Abad, Contact: Sultan Enterprises, (Mandarin) P http://www.yieh.com Website: [email protected]. Mobile: 886-988-198-035.Email: ext.132. Fax: 886-7-6153000. 82445, R.O.C. Tel: 886-7-6151000 ship, Kaohsiung County, Taiwan No. Road, 6,E-Da Yanchao Town- VP, YIEHCORP., Sales Department., Contact: Ms.Margaret Ye –Sales P R R ODUCTS: Pakistani Kinnos ODUCTS: S TRADE ENQUIRIES TRADE does not assume responsibility for their PAKIS TAIWAN teel products T AN

Saudi

R.J. International, 2 Contact: Mr. Naresh Jain, CEO, P [email protected] Ammabhahavaan Email: Exports. Contact: Mr. Ajith Kumar, Shri cashewnuts P www.irfani.biz Website: [email protected]. Email: 92-41- 8757234.Fax: 92-41-8850081. Pakistan. Tel: 92-41-8751206, Area, Kashmir Road, Faisalabad, Malikpur203-R.B., Road, Factory Manager, International, Irfani Export Contact: Mr. Abdur Razzaq Khan, printed) and dyed (gray fabrics polycotton P Precision Metal Crafts, Moradabad. Contact: Mr. Praveen Sharma, items P indiandepartmentalstore.com 91-98296-25233. Email: info@ Tel: 91-141-2812068.Mobile: Enterprises, Jaipur, Rajasthan. Swannadi Sudhir, Mr.L. Contact: P [email protected] 30797, 91-93412-57535.Email: Bangalore 560008.Mobile: 91-99582- 4 th R R R R R Main, 5 ODUCTS: Natural stones spices, Handicrafts, ODUCTS: and cotton 100% ODUCTS: : Handicrafts and gift gift and Handicrafts ODUCTS: ODUCTS: FM th Cross Road, Kodihalli, I NDIA C G products nd Floor, No. 85,

Tech, Flat No. 504,5 Contact: Mr. Anup Kumar, Aadhi P commercials.com 22227. Email: info@tanna- 22-2790 4790.Mobile: 91-99699- 2590-0088, 91-22-2590-0099,91- Ltd., Mumbai, India. Tel: 91-22- Director, Tanna Commercial Pvt. Contact: Mr. Kartik V. Tanna, P [email protected] Tel: 91-591-2430031.Email: garments P yahoo.co.in [email protected], vasusachdev@ Contact: Amin Farm, Gujarat. Email: palamrosa oil, phalsa P [email protected] 7762, 91-22-2876-7763.Email: Mumbai 400104.Tel: 91-22-2876- Industrial Estate, Goregaon (W), B.N. Industries, No. 222,Oshiwara Contact: Mr. Ritesh Singhal, Director, zinc ash. P ymail.com 91-44-2821-4883. Email: kmalthaf@ 4214-4467, 91-44-2825-5806, 3944, 91-44-2827-8342,91-44- Chennai 600034.Tel: 91-44-2826- Nungambakkam High Road, 3 Partner, Corporation, GTC Suite 5, Contact: Mr. K.M.Althaf, Managing extracts apparels,textiles, herbs, herbal P nanditube.com 91-40-2322-0424. Email: nandi@ 500 029.Tel: 91-40-2322-0328, Hyderabad Narayanaguda, Towers, rd R R R R R R Floor, Rosy Towers, 7 ODUCTS: Vehicle tires ODUCTS: Food products ODUCTS: sapota, amla, Lemon, ODUCTS: ingots, zinc dross, Zinc ODUCTS: : Granites, silica quartz, quartz, silica Granites, ODUCTS: C oconut, paper, lemon, th Floor, Mubera

a uS dAUDI i om C mOMMER e r c e aC nE d ANDc o E nC oONOMI m i c eC v R i eEVIEW w ss /uI eSSUE 236/DECEMBER 2013 TRADE ENQUIRIES S C E R /I 236/DECEMBER 2013 7 trade enquiries 7 ommercial vehicles, TURKEY TURKEY V and wall units and and wall units V and : (Manufacturer) : (Manufacturer) ODUCTS ODUCTS: (Manufacturer) High ODUCTS: Bituminous ODUCTS: C R R R R P Furniture bedroom sets, sofa room & living sets, room dining T furniture, accessories. furniture Avanti Koca, Contact: Mr.Sevil 24, +90 216 349 49 Tel: Mobilya, 349 36 37, E-mail: +90 216 Fax [email protected], Website: www.avantimobilya.com P quality machine woven carpets. pure and wool pure of Production acrylic and (wool woollen and acrylic carpets. blend) A.S., Tel: Hali Contact: Atlantik (352) +90 +90 (352) 322 06 70 Fax: ckeskalan@ 322 06 69, E-mail: atlantikhali.com.tr P (Producer) Membrane Waterproof membrane waterproof bituminous sector) – construction (in roofing Contact: HakanMr. Acil, Import & Malz. Ins. Topak Export Manager, Address: Sti., Ltd. Tic. San. Taah. Cad., Arasli Mh. Dogan Incirtepe 34510 Esenyurt / P.Code No.50/A +90 212 620 00 Tel: Istanbul-Turkey, +90 212 620 08 69; E-mail: 60, Fax: www. [email protected]; topakinsaat.com P trailer brake calipers, truck calipers, hydraulic calipers, brake road off locks, cabin wheel covers, pumps, platform and walking plates, foot spare hood other parts and plates, parts. Contact: Turgay Mr. Balkan, Bosfor +90 312 354 80 Tel: Turkey, Makina, +90 312 354 08 06, E-mail: 30 Fax: info@ bosformakina.com, Website: www.bosformakina.com

SO A anadian anadian food G (Fast Moving Moving G (Fast C ur experience and CANADA PPINES PHILI G sector. O G sector. C : Gemstones ODUCTS ODUCTS: FM ODUCTS: Bananas, mangoes, products ODUCTS: Agricultural onsumer Goods) C of onsumer anadian origin especially in the especially origin in the anadian R R R R P Mantri, Kumar Dinesh Contact: Mr. Gems Madhav Export Manager, Exports, 346, Mantri Bhawan, Akron 302 Jaipur Bazar, Kishanple K Rasta, Email: 91-98292-35225. 001. Mobile: [email protected] P C trading connected A well origin. based in Montreal company of products source you help could C FM P furniture A. Edralin, Contact: Ms. Marichu 7696 Gamao Trading, GM-DOXO Norte, de Davao City, Panabo Subd, 63-99999-37425. Mobile: Philippines. [email protected] Email: P 632- Tel: Source. Food Contact: Farm 63-91782-04253 634-6773. Mobile: contacts with the C with contacts industry could get you the right S to conforming products, standards. Samman, Bali Contact: Ms. Nayla 815 Muir, Trading, Peregrine C.O.O, #1108, St Laurent H4L5H9, Quebec, 1-514-575-6459. Email: Tel: Canada. [email protected]

osmetics : Fresh vegetables, fruits vegetables, ODUCTS: Fresh ODUCTS: Plastic houseware and ODUCTS: C : Flavored food products food products ODUCTS: Flavored ODUCTS: Food products, R R R R R Contact: L.N.Mr. Bhola, Chief – Development, Business International Apt., 108A, Pratap LNB Consortium, Gala No. 2, Ground Floor, Ganapati Visarjan LaneTalav Sec-19, Kopar 400 709. Mumbai Navi Khairane, 91-22- 91-93231-46359. Fax: Mobile: lnb.consortium@ 2208-3184. Email: gmail.com P kitchenware Punamia, Sanjay Contact: Mr. Apt., B-5 Jayashree last Rishabh Prarthana Samaj Road, Vile Parle 91-22- 400 057. Tel: (E), Mumbai 91-98925- 2610-5577. Mobile: rishabhrealpet@yahoo. 95300. Email: com P Contact: Ms. Aarti, Reshlon Cosmetics Pvt. Ltd., 73, Samkruti Prasad, Ram Maruti Road, Thane 91-22-2536-8261. 400 602. Tel: (W) rekha@ 91-22-2543-4546. Email: Fax: reshlon.com P and herbal products and Export Patel, Contact: Ms. Sejal Ingredients. Food Hi-Tech Executive, [email protected] Email: P P vegetables, spices, fruits, cosmetics, pickles Kukku Jain, Vikas Contact: Mr. (Pvt.) 235, Bharat Ltd., Jewellers Gopalpura Nagar, Surya Marg, 91- 302 015. Mobile: Jaipur Bypass, vikas69@gmail. 94140-44580. Email: com Contact: Ganesh, Oneness Exports & Mobile: India. Nadu, Tamil Imports, oeiganesh@ Email: 91-99525-82323. gmail.com 10 8 SAUDIa u d i CCOMMERo m m e r Cc Ee ANDa n d ECc ONOMIo n o m i Cc REVIEWe v i e w /IISSss UEu e 236/236/DDEECCEMBEREMB 2013ER 2013 eventsEVENTS vegetables, sheries, milkandproducts, processing, eration andthermo fruitsand processing, frozen packaging, food, refrig- andfood processing,canning, dairy specialty ing technologies, andequipment, skills The pro le for exhibitsincludesfood process - HORECA Saudi Jeddah Venue: Centre Jeddah for Forums &Events, Date: 08-11,2013 December ucts, amongotheritems. products, foods prod gourmet andgrocery - foods, dairy, dietfoods, fresh produced food ucts, colddrinks, confectionery, convenience beverages, company catering bakery, prod- food items anddierent and ofspirits types products, tea and coee, various kinds of techniques, restaurantpackaging andcafé ing healthfoods, ingredients, processing and includ- most advancedproductsandservices The pro le for exhibitsincludesthelatest and Foodex Saudi Venue: ExhibitionCentre, Riyadh Riyadh Date: 08-10,2013 December and majorcontractors, amongothers. ers, planners, urban engineering consultants management companies, architects, design- investors,companies, equity private asset companies, hedgefunds, fundmanagement funds, REITs, venture capitalists, insurance tions, investment companies, pension banks, fundmanagement, nancialinstitu- real estate investors, nancialconsultants, developers, citiesandregional authorities, The pro le for exhibitors includesreal estate Cityscape Riyadh Dammam Center (DIEC), Venue: Exhibition DhahranInternational Date: 09-11,2013 December andcenters,nectors amongothers. lights, seats, antennas, shockabsorbers, con- automotive plugs, spark lters, spare parts, tems, alternators, clutches, hoses, lubricants, suspensions, axes, sys- rims, bearings, brake load andunloadingtrailers, transmissions, tows, semi-tows, platforms, boxes, chassis and facturers ofbuses, trucksanddieselmotors, The pro le for exhibitors includesmanu- Saudi Transtec KINGDO M OF S A UDI A UDI RA BIA M Jeddah Venue: Center Jeddah for Forums &Events, Date: 24-28,2013 December among others. tires, andupholstery, batteries, auto electrical oils andlubricants, petrol vending machines, equipment,mouldsanddyes, and service environment andsafety equipment,garage products, equipment,car-care audio-video automobiles, componentsandaccessories, vehicles manufacturersanddealersof scooterscycles, andmopeds, ando-road passenger cars, specialistvehicles, motor The cars, pro le for exhibitsincludesluxury I Saudi Jeddah Venue: Center Jeddah for Forums &Events, Date: 15-18,2013 December help intheexpansionofabusiness. whichwill innovative products andservices and of businessrelated productsandservices kinds includingvarious products andservices Fair willexhibitthelatest andadvanced The exhibitors International ofJeddah Trade Jeddah I Riyadh Exhibition Center (RICEC), ConventionVenue: International & Riyadh Date: 10-12,2013 December food grains, amongothers. beverages, drinks, mineralwater soft and equipment, andconfectionery foods, bakery convenience meat andpoultry, packaged Venue: Al Faisaliah Hotel, Riyadh 20-22,2014 Date: January equipment. facilitiesand also infrastructuresupport exploration technology, energy supplyand technology,drilling conveying equipment, miningequipment, equipment, surface and exhibited here are miningmachinery and environment. oftheproducts Some communications, power andelectricity, water and transport help buildingandconstruction, ofSaudiArabia,whichwill the miningsector for and nancialexpertise ment capability technology, manage services, consultancy machinery, equipment,materials, products, is asigni cant platform for exhibitors in Arabia Investment &Infrastructure Mining I nfrastructure Arabia ining I nternational M nvestment & nternational Trade Fair otor Show - - Center, AbuDhabi Venue: Exhibition Abu DhabiInternational 14-16,2014 Date: January sales. attend thisexpoto boosttheir equipment, andbuildingstructurewillalso ofbuildingmaterials,Manufacturers mining providers andmore willattend thisfair. consultants, foundation specialists, transport ing companies, BIM companies, engineering business. anddredgthe construction Drilling - number ofreputed exhibitors dealing in World will beattended ecoConstruct by a World ecoConstruct Dubai Venue: Dubai World Trade Centre (DWTC), 07-09,2014 Date: January will exhibittheirproductsattheexhibition. photo imaging andmany andprinting more signdoor advertising, substrates/equipment, large formatgraphic printing, services, out signage,electric graphic imaging industry, tising, architectural hardware, digital imaging, Exhibitors from diverse pro les suchasadver andworldwide. tion, from across thecountry EastExhibi- Sign Middle &GraphicImaging inthe A poolofexhibitors willparticipate Sign &G Venue: Carlton, Riyadh The Ritz 28-30, 2014 January ing, cigarsandshishas, amongothers. commercial bank private banking, banking, systems, spasandwellness technology, art, realservices, estate,VIP services, security instruments, aviation, private professional air travel, islands, private safaris, trains, musical residences,private hotels, islanddestinations, travel, super yachts, villas, resorts, luxury rine, speedboatsandcruisers, megayachts, ma- fashionbrands, luxury accessories, luxury cars, fashion executivesports cars, luxury automobiles, jewelry, luxury opportunities, furniture, gems, grooming, health, investment nedining,tainment, equestrian, fragrances, pieces, includingcollectors enter services willexhibitthelatest productsand Riyadh The exhibitors atthe World Expo Luxury World Riyadh Expo Luxury U raphic I NITED A maging RA B EMI RATES

- - - - Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 comment 9 - - Helen Keller - Helen ingly a few hurdles in the form of hostility and denunciation from certain quarters. But if you audi you Arabia if in recent But years has taken quarters. a few certain tough from measures which may have created seemdenunciation - and hostility of form the in hurdles few a ingly country the of interests best the in are decisions the all that see clearly can you deep, it dissect [email protected] S Do not think of today’s failures, but of the successes that may come tomorrow. You have set yourself a yourself set have You tomorrow. come may that successes the of but failures, today’s of think Do not obstacles. overcoming in joy find youwill and persevere; you if succeed youwill but task, difficult and and its citizens. Be it turning down its seat at the UN Security Council, cor its toward intolerance ruption or corrective actions in hiring foreign workforce… all these account for a good cheer. cheer. good a for account these all workforce… foreign hiring in actions corrective or ruption about. cheer to more something is Here Firstly the Capital Human Index (HCI), which was developed by global human Saudi - resources consul placed (WEF), Forum Thailand, Economic as well World the with as collaboration in Russia, Mercer and China organization tancy heavyweights global of ahead countries, 122 of out 39 at Arabia Capital Report inHCI HumanTheis the contained which first isIndonesia. global and be- Poland workforce effective to contribute to positioned best countries the identifying of means a as used ing and Thesuccess. economic growth potential, 122on countries the development, index comprise ranking, HCI global overall the headed Switzerland population. world’s the of percent 90 than more - employ Index, Capital Human the “With Sweden. and Netherlands Singapore Finland, by followed ers can about decisions make their that country-specific willtalent investments impact business Arabia. Saudi Mercer of Head O’Byrne, Tom said success,” long-term to and growth comes it when Arabia Saudi toward stand myopic a takes often so which media western Secondly, 90 over by praised overwhelmingly was Kingdom The rethinking. little a do to needs rights, human of human out rights of in and 102 enforcement protection” a countries for recently its “expansion, Council Geneva. in meeting Rights Human Nations United held the celebrating are youth Saudi too. deadline Nitaqat the inpost coming news good issome There be impacted would business how Of course, to them. open now are that opportunities of plethora by this can projects only SABIC be by gauged the ofThequarter firstone-billion-riyal next year. of also a the that would support in industry development auto viable by SABIC the were launched Kingdom Saudis. for jobs 100,000 than more create to expected are projects These Abdullah. King for employment more parkswill create The parks. specialized industrial to specialized plans craft the citizens. year. current the in surplus budget billion SR266 a estimating already are Experts Year. New in the coming about cheer to reasons more many have we Hope Cheers! Be Of Good Cheer The Kingdom was was Kingdom The overwhelmingly 90 over by praised countries 102 of out “expansion, its for and enforcement human of protection” recently a in rights Nations United held Rights Human in meeting Council Geneva 10 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 chamber spotlight Philippines Show Catalog Business to Ties Boost ness, educationandhealth. agribusi- infrastructure, energy, tainable sus- like areas in solutions integrated ing provid- in strong are they and technology and innovation in reputation good a have companies Dutch sectors. these in whow kno with Arabia Saudi provide to able is which base R&D and consultancy strong a has Netherlands The education. and food agro- logistics, & infrastructure healthcare, renewable), and efficiency energy lutions, so energy sustainable (mainly energy of fields the in particularly sectors economic various in companies Dutch for portunities op provided have economy edge-based to diversify its economy and to plans build a - knowl ambitious Kingdom’s “The said, Laurens Mr. interaction, the During catalog show. the inaugurated jointly Weshoff, Chamber. strength in a recent catalog show at Asharqia Europe,tourism of showcasedtheir tinations Holland Philippines, head of delegation said, “The “The said, delegation of head Philippines, Head, Consul Vice Political & Economic Section Embassy of the and Secretary Third local partners.” with cooperation in technology of transfer through Kingdom the in products their of offices service up setting of possibility the consider to firms Philippines encourage to establish new business contacts. I would like to and countries two the of companies the “Asharqia together bringing by business bilateral tate said, facili- to platform strong a Chamber gives Chamber Asharqia of General Secretary Al-Wabel, Abdulrahman with Sauditraders. ties business boosting at aimed Chamber Asharqia at Delegation Trade Philippines Holland Showcases Tourism Opportunities A catalog Abdulrahman Al-Wabel and Mr. Laurens Madam Maria Angelica C. Genotiva, Genotiva, C. Angelica Maria Madam show, catalog the Inaugurating , one of the premier tourism des- premier tourism the of one , hw a ognzd y the by organized was show - - - Embassy ofthePhilippines withAbdulrahman Al-Wabel, General ofAsharqia Chamber. Secretary Madam MariaAngelica andVice C.Genotiva, Consul Third Head, Secretary Political &Economic Section and Research Centre which is in the world’s world’s the in is which Centre Research and University Wageningen and Twente and Eindhoven Delft, in Universities Technical the include in universities courses Dutch Top English. full offer them Top of Times all and the 100 in are universities Seven Kingdom.” Dutch the to offer to we lot and have economy knowledge-based a is Ambassador to the Kingdom of Saudi Arabia ofSaudi are to inaugurating theKingdom Ambassador thecatalog show. Abdulrahman Al-Wabel, General ofAsharqia ChamberandMr. Secretary Laurens Weshoff,Dutch Kingdom and we want to take this oppor this take to want we and the Kingdom to suppliers manpower major the of one are We sectors. service and agriculture to develop business ties with Saudi in partners keen is Riyadh in embassy Philippines He further observed: “The Netherlands Netherlands “The observed: further He - the agricultural and herbal food the agricultural andherbal sectors. alogshow andmajority a ofthem were from traders, especiallyintheagricultural sector.” Saudi with ties business develop to tunity Saudi businessmen visited the catalog show. tourismsector, participatedaround and300 added. he management, and science medical study currently students Saudi of hundreds where Maastricht and addition, Groningen in universities In famous are there science. medical and water and food agriculture, of field the in 3 top Fifteen companies in participated the cat Over sevencompanies,Over mainlyfromthe - chamber spotlight Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 11 Meanwhile, the trade between two-way Meanwhile, Mr. Mohammed Al Radhwan, Manager, Manager, Mohammed Al Radhwan, Mr. Development of Asharqia Investment Center ME, Director, Ryan Radke, Chamber is seen with Mr. Relations and Intergovernmental AB International from a host of facilities offered by VFS Global Global VFS by offered a of facilities host from Application Visa Schengen the operates which (SVAC). Center Saudi Arabia and France has gone nificantly. up According to sig- the French Embassy, the bilateral trade reached 8.7 billion euro in 2012, representing a 13 percent increase over from imports Saudi 2012, In year. previous the France amounted to 3.2 billion euro Saudi while exports to France accounted billion for euro. Over 70 5.5 French companies have been active in the Saudi market billion. with $15 at an in- estimated vestment - Mr. Mr. Ryan Radke, Director, M.E., AB Fifteen companies participated in the In addition to visa processing, France- According to a the According French release, press “We are the third largest investor in the range of products and services from fields the of Agriculture, Power, industrial ma- chinery, Health, IT consulting, Telecom and Construction. All these sectors have bright prospects in the Saudi market.” Relations, Intergovernmental & International said, “The Canadian embassy in Riyadh is keen to help develop business Saudi ties partners in with IT & Telecom and service sectors. We have major IT companies that and can Telecom offer advanced tech- Saudi with ties business develop to nologies companies.” catalog show. Mr. Arnaud Montebourg, French Minister of Industry (2nd left), during his visit to Asharqia Chamber, is seen with Minister of Industry Chamber, (2nd left), Asharqia during his visit to French Arnaud Montebourg, Mr. Al A. Abdulrahman Mr. General Secretary and right) (2nd Jishi Al M. Salmam Mr. Member Board Chamber’s left. Ambassador is at the extreme Saudi to Arabia French Bertrand Besancenot, right). Mr. (extreme Wabel bound travelers from the region can from the benefit region travelers bound food industries,” added Mr. Montebourg. added Mr. industries,” food Minister Minister said that the opening of this VFS Global office in Al-Khobar will simplify the Saudi of number growing the for procedures France. to traveling citizens Saudi with veryclosely work we and Kingdom authorities and companies to strengthen our coopera- develop to and partnership strategic tion in new sectors such as nuclear and solar energies, energy efficiency, health andagro - - - show organized by Visa Visa Application was Center inau-

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Inaugurating the catalog show on behalf Mr. Arnaud Montebourg, French Minister Minister French Montebourg, Arnaud Mr. leading was who Montebourg, Mr. Earlier, The new Visa Application Center was The

h French A Canadian Companies Interested in More IT Projects in More Interested Companies Canadian General Secretary Al-Wabel, of Abdulrahman of Asharqia Chamber, Mr. Mohammed Development Investment Manager Radhwan, economy Al- The “ said, Chamber Asharqia Center, is wide open and opportunities are immense. Taking advantage of the favorable invest ment climate, many have already global set up their facilities in companies Saudi Arabia. Many foreign companies are panding their facilities to utilize ex the oppor tunities. This delegation represents a wide Canadian Canadian trade delegation Chamber sought at more business in Asharqia IT and sector. Telecom

gurated gurated at Al Khobar last month. It is the sec- Riyadh, after Kingdom the in facility such ond in Center Al-Katheery the at located is it where area. Al-Rakaa the of Industry, inaugurated through the which VFS Global, the largest world’s new center outsourcing and technology services special- governments, and missions diplomatic for ist will extend its visa application France. services for a French trade delegation, visited Asharqia Chamber and met with Chamber’s officials headed by its Board Member M. Mr. Al Jishi. Salmam Mr. French Bertrand Besancenot, General Secretary Arabia, Saudi to Ambassador A. Al Abdulrahman Mr. Chamber, of Asharqia Wabel and Mr. Michel Director of Gélénine, occasion. the on present were Ubifrance, demand growing the with up keep to opened from France-bound travelers in the region. It and benefits facilities will new offer services, to visa applicants and boost tourism, trade and and investments ties bilateral between the of official an said France, and Arabia Saudi Embassy in Riyadh. French France Visa Application Center Opens at Al Khobar Opens at Center Application Visa France 12 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 news round up tions operating in the Islamic finance space.finance Islamic the in operating tions billion, itsaid. $251 with sukuk and assets, in billion $985 with banking Islamic were industry the of institutions.Islamic components largestThe of bottom-up statements financial disclosed of analysis a on based was This 2012. of as trillion $1.35 at globally industry finance valuedat$194billion. market, banking Islamic largest second the and lion bil- $171 at valued largestmarket, the sukuk has Malaysia report, the per As awareness. and knowledge responsibility, social nance, gover development, quantitative – nents Bank (IDB). Development Islamic the of arm velopment the Private Sector (ICD), the private sector de of Development the for Corporation Islamic the with collaboration Indicator in developed (IFDI)” Development Finance latest “Islamic its in said Reuters Thomson billion, $412 worth assets total with market finance professionals said. and businesses for information intelligent of provider leading world’s the billion, $217 of assets total with market largest banking Islamic the has in also Kingdom Summit The Dubai. Economy Islamic Global the at Monday launched report new a in said Reuters Thomson billion, $270 worth sets as- with globally economy finance Islamic Saudi Kingdom Tops Islamic Finance Economy Maaden Awards for SR25b Deal Phosphate Plant between Maaden, Saudi Basic Industries Industries Basic Saudi Maaden, between Waad Industries. for Al-Shimal City Mining city in the north of the country known as the of the development part of a new industrial Umm the of itself Wual project, part is plant The economy. Saudi the diversify help to designedprogram billion $7 a of Khair,part Al Ras of city port the at plant phosphate a build to contract billion SR2.25 a awarded Saudi IFDI said there are 1,003 financial institu- The IFDI report put the size of the Islamic Theindicator compo measures key five Globally, Malaysia dominates the Islamic The Umm Wual project is a joint venture Arabia Arabian s h scn largest second the is Mining Co. (Maaden) has - - - officer of ICD, said accurate information on information accurate said ICD, of officer added. Haworth estimates, than higher percent 20 to 10 be could industry the of value total the fore there assets, Islamic undisclosed account into take not dustry,”did Analysis noted. he in- the developing at aimed analysis ingful mean- providing to key is conjecture, and cial information as opposed to assumptions finan- disclosed on based industry, finance forward. going growth its for point reference critical a as serve will economy and finance Islamic the of breadth and size the demonstrate findings IFDI’s the said Reuters, Thomson director,MENA, managing Haworth, Russell iy nedd o rae os o Sui as Saudis for jobs create to intended city industrial new a is Shimal Al Waadbourse. 2016, Maaden said in a statement to the Saudi dueto becompleted inthe fourth quarter of plant, theprocurement construction of and planned phosphate capacity. Maaden’s of to annually oxide tons phosphorus million 1.5 nearly add would Industrial Spain’s Intecsa by built be to plant phosphate The Mosaic. and Corp hld lAod, h cif executive chief the Al-Aboodi, Khaled ability “The to accurately size the Islamic Intecsa will carry out detailed engineering, - velop the industry intheirlocalmarkets.”velop theindustry de to require they that information precise vide policy makers and practitioners with the minimized subjectivity and bias. This will pro have we and for, accounted is dollar each that in unique is industry the of sizing“Our said: Reuters, Thomson for Markets Capital space anditssub-components,” headded. finance Islamic entire the on information accurate provides IFDI the estimates, their sample testing and assumptions to develop orutilize or regions, countries specific on Islamic Finance Indicator. Development up analysis, was one of the key outputs of its bottomon based performance, and tutions the size of Islamic financial industry, its insti- rm ud poie b te ates in partners to their shareholding,”proportion the itsaid. by provided funds from met be will project costs the the implementing time of that to “Prior year. end the the of before project billion $7 fundraising the close for to aim partners the as 2014 during start will institutions financial by oil on developing itsminingindustry. relying from diversifies away economy exporter its oil largest world’s the Dr Sayd Farook, the global head of Islamic focused are that sources other “Unlike Maaden added that financing from financing that added Maaden - - news round up Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 13 “In “In terms of business, we regard Saudi hire to intention the has flydubai if Asked In the past two years, the airline has Dubai’s pioneer low-cost airline has ment in opening its skies to carriers from oth- from carriers to skies its opening in ment er Gulf Cooperation Council (GCC) member nations, in a radical attempt to improve the marketdomestic aviation the country. in With said. he GCC,” the of center the as Arabia a market that is under-served and keen for domestic air greater services, Al Ghaith said area. a keythe Kingdom growth represents organization, its within youth Saudi train and Al Ghaith “Why responded, not…we will be youth Saudi capable see to happy than more working for us and that is our duty to pay back what the Saudi has government been access its airports.” us to doing for more than doubled the number of destina- tions it fliesand last year carried 5.1 million by carrier largest second the It is passengers. passenger numbers operating out of Dubai airport. to its expanding 16 new destinations added network bringing this the year, total number of destinations served to more than 65. points Iteight to Russia in network its doubled and added its fourth point in Ukraine. The carrier continues to grow its GCC network with additional points in Saudi Arabia, Oman Ghaith Al Kuwait. to frequency increased and forflydubai business that confident seemed veryoptimis- are “We boom. to continue will tic that 2014 will be another successful year,” he noted. Ghaith Al Ghaith, the CEO of flydubai. Asked Asked if will flydubai raise its prices due “Since day one, flydubai has been com- of Speaking the Al market, Saudi Ghaith He praised the role of the Saudi - govern expect demand from our existing customers, customers, existing our from demand expect along with attracting new travelers on our routes.” to the new aircraft, adding business class seats and also due to higher fuel costs, he will “Nothing change and we will answered, remain a low-cost airline but we are offering our customers new options to choose from we mean not does aircrafts new buying and will increase prices on our consumers but it expanding our fleet.” are means we mitted to delivering a unique experience. We passenger have already differentiated ourselves through our existing product of- Al in new technologies,” investing and fering Ghaith said. “So said, far, we have reached 10 points and key a remains Arabia Saudi it. of proud are we for focus the and airline, we look to forward continue to grow with additional points in Saudi Arabia.” ------headlines at last week’s

aking

m Commenting on the new deal, Ghaith Al Al Ghaith deal, new the on Commenting “flydubai has been diligent in adding air He added that their network now covers covers now network their that added He flydubai Reports Successful Year Successful Reports flydubai After Dubai Air Show with an order for 111 Boeing 111 for order an with Show Air Dubai 737s worth $11.4 billion, this year will again be a record year for Dubai’s fast growing low-cost airline flydubai, its chief executive officer said. for look “We said, flydubai of CEO the Ghaith, partnerthis strengthening continue to ward ship and see our next-generation 737-800s central a play MAX 737 the subsequently and rapid expansion plans.” flydubai’s in role crafts and routes ever since it started in 2009 2009 in started it since ever routes and crafts new on focus to always is goal main our and markets and at the same time develop the old markets within a five-and-a-half-hour fly- He added. he Dubai,” in hub our of radius ing destina- new of launch the with that said also tions and an increase in frequencies to exist they expect the of number ing destinations, grow. to aircraft the regions: the following Gulf Cooperation Council (GCC), the Middle East, Europe, the Indian subcontinent, the Caucasus, Central Asia and “And we Africa. will continue to ex plore opportunities within these he areas,” said. As the airline recently added business- class seats on a number of “We plained, flights,launched based business-class he ex on the of feedback our and passengers, we 14 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 news round up Industries to Showcase Products SAOGE 2013:Providing Platform to &Gas Oil through theSAOGE 2013exhibition. network and establish contacts for their to future, opportunities great with students provided experts. Participation Programmeand the in were given direct access to key industry couragingleaders and developing local students who sector,gas and en- oil by the in working Saudis the programme aimed to boost the number of Kingdom’s Saudization plan. Now in its Programme” the supported“Student 4th which year, opportunities. new discover and developments technical relationships,ness latestveryabouthearthe busi- build to opportunity the with attendees provide and industries leading together bring designed to gion”. was event three-day The re the in event gas and attend’oil ‘mustthe as itself established has Exhibition, Gas and Oil International Arabia Saudi the year, fifth its in “Now said: Srl, IES organisers, SAOGE of President Zipoli, Piero industry. the in cialists spe attention and researchers leaders, much industry from attracted exhibition the respective products and technology. from various parts of the world Qatarto display came companies Participatingtheir and Petroleum. Fouad Abdulkarim Abdullah Co, AlHolding Corporation, Petroleum General Egyptian the Cables, BahraGroup), ing YusufBinAhmed Kanoo(CommercialCo includ- sector gas and oil the in companies regional and multinational major several to and strengthen relationships. learn network, to industry the allowed and for businesses platform excellent an offered andDraeger -the sponsors of the exhibition which (FAMCO) Machinery & Auto Futtaim in it. participated countries exhibition.thecompanies 180Over from25 at stalls various visited he when major companies of number a of representatives with Exhibition-- Gas met He month. last Dammam in SAOGE2013 & Oil International Arabia Saudi the of Edition offi- 5th the inaugurated cially Province, Eastern of Governor Deputy Prince h eet lo nldd h SAOGE the included also event The SAOGE, of years past the in as year, This host played exhibition 2013 SAOGE The Al HP, to awards presented Prince The Jalawi Bin Abdulaziz Bin Mosaad, Mosaad, Bin Abdulaziz Bin Jalawi - - opening theexhibition Prince Governor BinAbdulazizMosaad,ofEastern Jalawi Province, Deputy officially news round up Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 15 - - In general, they act as financial advis- in Malaysia, which captures sukuk the issuances in biggest the world, he said. On presence EFG-Hermes’ in the Saudi market, Jamal said it dates back to 2004 when they collaboration in advisers financial as worked tele second the when Sachs Goldman with Mobily. to com license was awarded ers in merger and acquisition deals. He said EFG-Hermes plans to play an active role in the initial public offerings (IPOs) and help investors expand their activities inside and outside the Kingdom. “We also plan to ex management asset fund of area the in pand he said. in the Kingdom,” - by by 23 percent since the beginning of the year and is currently over 8,300 points. He said banking sectors and petrochemical are the most attractive in the market having for strong future potential, and are expected to witness substantial growth in the me dium term. Despite the fact the oil remains the major growth engine economy, for the the Saudi Kingdom could, minimize however, its dependence on oil and step economy based multi-sector a to shift its up which is an enormous success, he said. He said the Saudi sukuk trade was progressing in tandem with advanced markets. Saudi Arabia is also the biggest investor in sukuks King Abdullah Bin Abdulaziz Al-Saud. - - is all set to record a budget

However, However, he that acknowledged some The Saudi stock exchange (Tadawul) He said the entry of foreign investors The EFG-Hermes chief predicted that

surplus of SR266 billion in the current year (2013), and it will continue to have surplus budgets in the years to come so long oil as price remains above $100 per barrel, a financialexpert has said. In an interviewto local Newspaper, Khalid Jamal, the CEO of EFG-Hermes (Saudi Arabia), said oil prices bar per $110 around hover to expected are Kingdom to Post SR266 Billion Budget Surplus Surplus Budget Billion SR266 Post to Kingdom Saudi Arabia rel till the end of this year. the end of this year. till rel negative impact was possible post-2013 if the US reviewed its current quantitative eas- the to risks major out ruled also He policy. ing boom gas and oil shale the from region Gulf the next 10-15 years. in the US, at least for is the most attractive bourse in the region due to its huge liquidity, which accounts for 70 percent of the GCC market, besides sector diversification, depth and strong ba- sics. On the opening of the Saudi market to said chief EFG-Hermes the investors, foreign the move would facilitate the entry of well- experienced investment funds. This performance of the in fluctuations end help will experience of lack of result a as shares some he said. among some individual dealers, mar the to stability more provide also would ket, increase liquidity and diversify investor individuals base – or local whether regional, or corporate. He said the decision to open up the Saudi stock market was for foreigners based on a variety of factors including the of and position economy global the market preparedness in terms of rules and - regula He said investments. to foreign related tions the Saudi stock market could derive addi- tional benefitsby tappingforeign expertise. On fears over the possible escape of “hot money” in the event of any crisis, as experi- enced earlier in some regional markets, he said Saudi market has a solid regulatory and organizational structure as well as qualified who cadres could draw up rules to regulate the exit and entry of investors. the Saudi stock market would retain gains and year the of beginning the since made it maintain its present levels till the year end. The Tadawul index has reportedly grown 16 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 REGIONAL NEWS sonal factors and single large transactions). andsinglelargesonal factors transactions). ing average, which reduces the of impact sea- mov- 12-month a of basis the of (on November half first the through 2013 July from ing fall- been has land of price the that indicates estate prices. real in easing an to leading be could this and acquired already is land the of much phase, construction the reached have ects as Msheireb and Lusail. Now that these proj - such developments, estate real mixed-use and malls shopping large metro, Doha the for land particularly Qatar, being in implemented are that projects major for land of acquisition the to related mainly was 2013 May to up Index Price Estate Real QCB the er real areto estate goup. prices alsolikely rise, the forprice and villas,oth- apartments estate prices is the cost of land. If land prices real for driver fundamental the Group, QNB villas and residential buildings. According to in2007-08. an asset-price bubblelike experiencing again is sector estate real the Qatari economy and relieving concerns that the of competitiveness the enhancing tion, infla- rental on pressures upward ease to ly has fallen in the last five months. This is like land of cost the that indicates which (MoJ), statistics published by the Ministry of Justice weekly Qatar,on in based transactions land slower rate goingforward. a at increase to rents expects Group QNB Accordingly,percent. 6.2 of prices in drop a shows index estate real September QCB’s the year, this to May from However, 2013. May to 2009 July from percent 109 rising crisis, the steadily,up picked prices estate realQatar’s Following world. the around spread crisis financial global the from fects ef- ripple the as 2009 in collapsing before 2008, in spiked prices showsthat index This 2006. to back going data with Index Price Estate Real a produces (QCB) Bank Central Qatar The Group. QNB to according prices, rent in increase of rate the down slow and Horns of Rental Inflation Drop inQatar’s Estate Real Prices to Hold Real QNB Group’s analysis of land transactions transactions land Group’sof QNB analysis in rise the Group, QNB to According land, for prices includes index QCB The QNB Group has analyzed data purely on

estate rcs r epce t fall to expected are prices - Therefore, the drop in land prices since July since prices land in Therefore,drop the first half of 2012 rather than the second half. the in rise to beginning rents, before tion August. Average changed direcland prices - to year the in percent 6.7 reach to 2013 in reversed but 2010-12, in percent -6.9 aged aver CPI of component rental the infla- in tion Annual risen. have they then since but 2012, of half second the until 2009 of beginning the from consistently fell Qatar determined by international prices. Rents in is CPI the of remainder the of Most basket. (CPI) index price consumer the of percent 32.2 for accounting inflation, domestic of with asixmonthdelay. other words, rents tend to follow land prices In months. six by lagged CPI of component percent) between land prices and the rental that there is a strong positive correlation (84 Qatar, in this relationship finding confirmed Group QNB prices. land as direction same the in move to likely are rents completed, is construction and Therefore, purchased is land prices. after land rising with line in rents raise to need developers estate real buying real estate. To recoup costs, and landowners and developing building, of cost the of component main the is Land Qatar. in rents of driver fundamental a are prices Land inflation. on prices land in changes of etl rcs r a e component key a are prices Rental impact the examined also Group QNB - tion of the Qatari economy.tion oftheQatari diversifica- the and growth economic ing support lending, and investment courage en- help should competitiveness stronger and inflation rent economy.Low Qatari the of competitiveness the raise to helping and ate workers, drawing in more talented labor - expatri for destination relocation attractive more a Qatar making down, living of cost the keep help should inflation rent stable economy is overheating. Furthermore, more the that or is bubble asset-price an sector entering the that concerns any alleviate should inflation estate real in slowdown A competitiveness. and soundness financial stability, macroeconomic for implications lower landprices. to owing months six next the over slow to Therefore, QNB Group rentexpects inflation markets. rental main the in pressures mand housing, which reducescost temporary de share of incoming laborers is going into low large a because or estate real of oversupply on land or prices rents. This could be due to impact significant a had have to ap not pears growth population analysis, Group’s QNB on based However, demand. housing potentially drive up rents owing to stronger few next the in months. The rapid population growth slow could to likely is rents in increasethe that indicator leading a is 2013 Low rent inflation in Qatar has important - - - REGIONAL NEWS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 17 - - - Edgen Edgen Group is a leading global dis- “We are delighted that Capstone Related Related Goods & Chemical & Electronics. Services; Energy, Resources, and Mineral tributor of specialized products and ser vices to the energy sector and infrastructure industrial markets, pipe, valves, quenched including and tempered and steel high yield heavy plate, and related com- ponents, under two brands, Edgen Murray and Bourland & Leverich. Edgen Group is headquartered in Baton Rouge, Louisiana with over 35 locations around the world. in 18 countries budgets, budgets, forecasts, construction, and main- tenance for a holistic view of the Capstone portfolio. Property Services has chosen Yardi to pro vide them with the best possible leverage over their real estate operational needs. We are thrilled with the continued rapid adop tion of Voyager SaaS in Qatar and commented Mr. Said United Haider, Arab Emirates,” Regional Sales Manager for Yardi, Middle East and North Africa. Sumitomo Sumitomo Corporation is a leading sive sive set of management and accounting tools for residential, office, retail, and indus- trial property management, all built the into fully integrated web-based platform. Voyager From small portfolios automates Voyager Yardi global enterprises, to large processes with role-based workflows, critical date dashboards, notifications, and increase Capstone help will which analytics, efficiency andimprove decisionmaking. Voyager combines property management and accounting with ownership, financials, CEO, SCOA and SC General SCOA Manager the CEO, for Americas. global with trading 116 company, locations in 65 countries and 24 locations in Japan. The entire Sumitomo Corporation Group consists of nearly 800 companies and more than 70,000 personnel. The SC business is range diverse a into expanding continuously of products and services. Its core business units are Metal Products; & Transportation Construction Systems; Environment Infrastructure; & Media, Network, Lifestyle - -

Corporation (“SC”) and

a leading developer of software ,

“What we particularly like is that Yardi Yardi Yardi Voyager features a - comprehen Dan O’Leary, President and Chief a “As leader in the supply of steel - prod

ardi Yardi Solutions for Qatar’s Real Estate Management Real Estate Qatar’s for Solutions Yardi Y solutions for the real asset estate and property investment, management industry, has been selected by Voyager® Yardi Capstone deploy to Property (Capstone) Services for its commercial and residential property management solution. offers a Software as a Service (SaaS) solu- tion that will allow us to implement a new platform quickly with less will cost. help us Voyager enhance the services we pro vide our customers without the headache of managing internally hosted technology said systems,” Mr. Anthony Awkar, General Manager at Capstone. mo Sumito Executive Executive Officer continue Edgenof to Group, lead will Edgen gic growth Group’s initiatives. strate Mr. O’Leary stated: “This transaction gives us the capacity to serve the expanding needs and complex procurement requirements of the global energy infrastructure industry on an even leveraging to forward look We scale. greater the value of this new partnership on behalf the world.” around of our customers ucts across the upstream, midstream and downstream oil and gas United market States, in the the acquisition Group gives of us a Edgen broader global distribu- tion platform, including experienced staff, facilities, and an expanded specialized steel product offering that will allow usto con- tinue our and growth to support the - devel infrastructure,” energy global our of opment said Mr. Kazuhiro Takeuchi, President and Sumitomo Corporation of America (“SCOA”), (“SCOA”), America of Corporation Sumitomo collectively “Sumitomo”, last month nounced that an- it has closed its acquisition of Edgen Group Inc. (“Edgen Group”) $12.00 per share. for Sumitomo Corporation Acquires Edgen Group Edgen Acquires Corporation Sumitomo 18 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 REGIONAL NEWS en wre oe rcn yas o its for years strong andconsistent performance. recent over awarded been continuously has team Management Asset investment track record in the region and the Executive ofSHUAA Chairman Capital. Maktoum, Al Hasher Maktoum Sheikh said economic recovery,” of times of in as times as well difficulties in well perform to ability our and team, Management Asset SHUAA’s of recognizing performance outstanding again the once Best Manager for award Asset the the winning and in region industry Management Asset the year. East consecutive fourth the for Awards Banking Middle annual magazine’s Finance 2013”EMEA Emirates by Arab United the in Manager Asset “Best awarded been has it SHUAA C SHUAA Capital UAE’s Asset Manager Best the best possible – experience helping trav- provide that stations design to need neers engi- and architects and networks, transit to gateways as serve Stations construction. are many and choosing European expertise for design and metros, and railways ing fast-track said: are Fze, across governments East “MENA Middle - Douglas Hunter Association and consultantsA.T. Kearney. Chemicals & GCC Petrochemicals km Gulf the by 2177 report a to the according Railway, by led billion, $100 Transport. Public of Association International the from report a to according development, urban boosting and transport public in vestments expert. to anindustry metros,and accordingrailways construct to firms European choose governments many MENA’senhance can that as stations,els rail produced innovative aluminium ceiling pan- New Panels Ceiling to Enhance MENA Stations Rail Dutch HA’ fns ae h longest the have funds SHUAA’s pioneering of history a has “SHUAA r Snhs Vli, ae Manager, Sales Vallil, Santhosh Mr. than more worth are projects rail GCC in- driving are MENA in Mega-events manufacturer Hunter Douglas has Douglas Hunter manufacturer apital

recently announced that - enhance station lighting and reduce energy reduce the noise of the trains, reflect light to Hunter engineers. Douglas to according panels, aluminum single-layer like sag not and rigid remain to panels the enables filling honeycomb a by separated aluminum of double-layer their and me 1.25 ters, by 2.5 as large as made be can Line. North-South under-construction the Station and Central Amsterdam’s ceiling in aluminium panels XL Douglas’ Hunter installing are Projectafbouw Verwol and Architects Crouwel Benthem firms Dutch ex where Metro, the Amsterdam the of pansion is project rail European major One Europe. in their working from applying expertise are and include firms, that European consortia by won being maintain.” to easy being and noise, reducing and ing light enhancing bearings, their find elers The ceiling panels also absorb sound tosound absorb also Thepanels ceiling panels standard-sized Douglas’ Hunter are projects rail region’s the of Many - - - and A.T. report. Kearney to direct train traffic, according to the GPCA the adopting signaling of Railway System ControlEuropeanTrain GCC and Arabia Saudi with GCC, the across place in ready lighting.” on station energy saving warmth, and light of reflector good a also is Aluminum ones. additional order to easier much be will it damaged, get panels if And click. single a less far with unlocked be can and effort, and time takes panels these Installing els. pan- expensive more and sized uniquely any need not will we means standard measurement single a Using location. on size to made be can that panels standard their of because Douglas Hunter for opted “We and Purchasing, Verwolf Projectafbouw, said: Egypt, andAlgeria. construction in the UAE, Saudi Arabia, Qatar, under or expanding are metros as useful ly standards. These features could be especial- safety fire European strict meet and costs, uoen al aey tnad ae al- are standards safety rail European Calculation of Head Verlegh, Erwin Mr. Wh a t t h e y Sa i d q uotes

of

New digital media is not a threat but an opportunity for conventional t h e

media companies to make investments and achieve further progress. m ont h The general impression that new media is a threat to conventional media is not true. They, in fact, complement each other. Experiences have proved that conventional media can achieve success by making use of new media. – Mohammed Fahad Al-Harthi, editor-in-chief of Arab News and Sayidaty

Security is essential for the growth and prosperity of nations. The bounties that the Kingdom enjoys is due to the environment of security in which both citizens and expats live and work across the Kingdom. Security is the first pillar of development and also the prime mover for any economy and a ladder for the rise of a renaissance. People who live in fear will not be able to think productively as they will still be in the pursuit of security. Security keeps and maintains its economic achievements, service facilities and petroleum and plays a great role in public security. – Gen. Saeed Al-Qahtani, director of Public Security, Saudi Arabia

The global Islamic finance industry has undoubtedly undergone significant change over the past two decades, playing an ever increasing role in the international financial system. The industry has also grown significantly in geographic coverage, now encompassing even more new jurisdictions and emerging markets as well as the deepening and mainstreaming of its footprint in its core markets. However, in order for Islamic finance to continue to be successful as well as robust and resilient across all phases of the economic cycle, a genuine transformation is now required in order to progress to the next level of development. – Rasheed Mohammed Al Maraj, governor of the Central Bank of Bahrain

Over the last three decades, the GCC petrochemicals sector has evolved from a chemical importing industry to one that exports the vast majority of its high-value goods to global markets. This has transformed the region’s economy and created jobs for thousands of people. Historically, the GCC petrochemicals industry has been cost-leader on a global level primarily due to access to favorably priced feedstock. However, global trends show that cheap raw materials are becoming available elsewhere, so the Gulf’s chemical producers will have to draft more informed strategies in order to maintain their cost leadership. – Abdulwahab Al-Sadoun, secretary general, Gulf Petrochemicals & Chemicals Association (GPCA) S i d u a C The government has been working hard to solve the problems encountered in completing the construction of r e m m o

500,000 units of housing all over the Kingdom on time. The Ministry of Housing has been closely working to ease c e the residential problem in the Kingdom. The housing sector recently made key decisions, which include issuing a d n a E mortgage law and ordering the Ministry of Municipal and Rural Affairs to abstain from disrupting grant lands and c i m o n o hand over plans and government lands to the Ministry of Housing, which will re-plan these lands. c – Shuwaish Al-Dhuwaihi, Saudi Housing Minister R w e i v e / I Qatar Airways will launch domestic operations in Saudi Arabia in the first half of 2014. Saudi domestic services S S e u carrier will be called Al Maha Airways and will start with the main cities of the Kingdom including Riyadh 236/ DE C EM B ER 2013 and Jeddah, and then move to the second-tier cities. We have chosen the name of the Saudi carrier ... Al Maha Airways. We hope to start operations in the first half of next year. There is huge potential in Saudi Arabia. The airline is looking to expand further into new growth markets. – Akbar Al-Baker, chief executive officer, Qatar Airways

19 20 special report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 interview Look inChallenges for Opportunities for many reasons. option second a have to preferred I ness. busi- of ideas own his having of thinking start and us around opportunities ample the for look definitely start- would business up in involved risks who the those understand But graduates. the of most fort zone. Perhaps com- this a is the trend is among which companies, prestigious and large in jobs secure to wishing ates gradu- young of number large see Wedo launching. of months six within track on sonal project. IThankfully had my project hashelped me to greata extent myin per andculture thatperceivedfrom I Aramco the point of success. The work atmosphere to project my take to mind my up made and involved risks the for prepared was I However Aramco. at job the and office my manage to easy not was it course, Of region. the entrepreneurshipofin culture the lead and market the of opportunity the seize Al-Khobar.to intention was The at office small a from partners business my with project my for hours free my in SaudiinworkjobAramcotoused andI completeddegree,myBS thoughhada I myI business personal afterprojects soon on working start did I speak. to portunity op- an me giving for thanks all, of First graduation? after box, venturing into business soon What made you think out of the ae w hv se mn Sui getting Saudis many seen have we late, Of run. long the in results good yielded which project, this intoventured and ties opportuni- the realized and correct ing understand- market our got we think I MNCs. few a except companies IT many hugewasin demand, and wenot did have sector. this in However, it webegan, when behind far still are Saudis think I mand. de- in still is which IT,for opportunities huge were there when about 2003-04 year talking the am I demand. and need market the at look to new need of we business think we whenever all, of First Why theITsector? you did choose - volved in that. We lost that culture of hard reasons for that, one being a fear of risk in- had in our forefathers. There maybe many we that culture entrepreneurship the lost we somewhere think I that. beyond ing noth- salary, high a earning up end they and jobs high-paid for searches graduate working on new projects. Nowadays every and risks taking about talk few Very life. in necessary is which security, job about speak will Many future. the shaping in role vital a play parents and community the Certainly own.your on something do high-paid job at a high profile company or gradu - ation,options.theretwo finish are Eithera get you When deadlock. the discouragesbreakingyoungfromminds by the community around him. This often raised questions many answer and issues many face to have will he business, own his start to job highly-paid a leaves one some - If them. the surrounding community from opposition strong of because reluctant are own their of business start to want who people young many think I preneurship? play indeveloping SMEs and entre- Do you think society has any role to catching trend. the about understandingall is market the and It successful. become and sector this into ment and programming. Then we moved we Then programming.and ment develop- web with started We IT. is ing work- am I which in project the instance, For level. global the at compete to order puttoconcrete in in them correctstepsto need we as possible, as soon as addressed be to need system education the in fects de- The subjects. job-oriented on stress much too giving are we and expert main is that it never allows you to become a do- education of systempresent our with lem prob- The that. in expert domain a come in-depth knowledge in the subject and - be an get to was intention only this The subject. chose and passion my with went I the employment that it would provide me. about pondered never I choose, should I subject what to as decision a making was me choose aerospace engineering. When I My curiosity to learn how to fly! This made engineering? What is your interest in aviation reached where my Iset sight. Ultimatelywhatcoulddo I wanted I and I sion to start business also developed along. - vi grew,my I As days. school my during self-employment of idea this had I risks. dynamism among the youth who can take promote to enterprises needs community The today. big companies small many made have which risk-taking, and work interview Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 21 Nasser Mansoor Al Fear Al Sharief is a graduate of of graduate a is Sharief Al Fear Al Mansoor Nasser from Science Space and Aeronautics in Engineering He Minerals. and Petroleum of University Fahd King Management & Information in Masters a holds also of Curtin, the University from Australia. Systems of of cutting edge IT experience required is not Experienceavailable. plays a vital role the is there course of Then sector. IT the in the problems. to which adds visa issue, Who is your role model? role is your Who my It’s father. May Allah give him good health and happiness. He is in the trade thirty last years. for business would advice be- bud your What to entrepreneurs? ding We have an enthusiastic young - genera tion, which requires proper mentoring and guidance. I would advise allheading those to start their own plan and have a business credible feasibility report to for their project. Do a random check on the details, prepare yourself for the - chal lenges. Never let yourself down with ini- the overcome to need you turbulences, tial successful be to order in blocks stumbling businessmen. Where there is a will, there a way. is How do you see the Chamber’s Chamber’s the see you do How of Development the for Center Enterprises? Small Medium and I would like to thank the this starting Chamber and center their continuing for support for young people and small and medium enterprises. I think no one has such a facility in the Kingdom exclusively will andisjob a This great the SMEs. for coming the in results good extremely yield days. I think we the people of the Eastern Province should be proud of such efforts, for generation coming the mold can which a better Thoughtomorrow. I cameto the center by chance, it has training The become my training. hub and information for help great of was CDSME the by provided business. my in conducting solving financial problems, well, we solved we well, problems, financial solving thepartners for strategic introducing by it I project. think this so - is theof one many problems. financial overcome to lutions What are the major obstacles that that obstacles major the are What the during encountered have you days? initial finding However, funding. was it Initially the proper workforce was a major - obsta cle. is It still a For problem. many reasons it looks like a continuous phenomenon. it whether of talent shortage huge is There faces sector IT The expatriates. or Saudis is a scarcity of major talent in the Kingdom. not only the it’s Perhaps Saudi companies that are facing this problem, worldwide this has been a problem. CEO Even Microsoft Gates, Bill why That’s issue. this had of Microsofthas been Indiavisiting every year looking for talent. I think he India, visitsnot just to see his business offshore which is cost effective,but also in search Saudi of number large a have We talent. of and expatriate IT graduates, but the kind It It is true that businessmen do chance little not have which plans trust and projects of success. This is quite However, natural. here the case is something else, - business men want to see something concrete and project the see to want they projects, viable on the ground, not on paper. This policy has helped us and many in the Kingdom shouldone project, a defining While a lot. will products one’s what enunciate clearly be, who will be the customers market. the in and product how one’s will place one Theseshould be detailed, even if- theproj definitely would projects Such small. is ect Of businessmen. the among interest create relationship and trust mutual prior course difference. also big make Young people do complain about about complain do people Young in businessmen of the reluctance Most business. start-up a financing people’s young trust not do them of projects. - - Saudi Commerce and Economic Review and Economic on of Saudi Shariff ohammed Commerce ’s passion for flying made him an Aeronautical Aeronautical him an flying made for passion ’s Sharief Al Fear ansoor Al Nasser M Nasser He entrepreneur. a young made him and excellence success for desire and the Engineer his views M with shares in the Kingdom entrepreneurship ly, corrected the mistakes in our feasibility feasibility in our the mistakes corrected ly, report. If you ask me how one goes about Yes, financefor theproject is veryYes, crucial, and this has been the major obstacle for many budding entrepreneurs. Normally, SMEs get wrong and unreliable - feasibil ity studies, which affect the growth.If we start on a wrong note, it will the reflect finance. on We have suffered from this problem in the initial three to four years. had sessions to brain-storming fix theWe and problems did our homework proper Aspiring young entrepreneurs are entrepreneurs young Aspiring - suffi in getting problems facing What projects. their for funds cient this overcome to suggest you do problem? ket for that. During that time I realized the realized I time that During that. for ket Kingdom’s the in sector this of importance study the feasibility that I found economy. that was conducted was basedwrong perception and outdated - informa on the tion. This made me think twice and get into the depth of the market. Within a and micro the learned I time of span short macro details of the market as well as the product. My getting conviction in lot and a me - determina helped cause the to tion to the core of the making Despite issue. mistakes in the initial stages, I never gave reached I tillidea my behind stood and up to. I wanted that the level I started this company in 2001. It started with a simple idea when we days. university our decided during website a build to of lots took it simple, was idea the Though effortto and complete find proper a mar Any instance that provoked you to to you provoked that instance Any the IT sector? get into to infrastructure and telecommunications to infrastructure telecommunications and sector and we are expanding much more. This does not have any connection with Of course I learned in the university. what I am using that in a different young the field. to set in among needs This attitude graduates. 22 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 COVER FEATURE Sector to beMore Sector Vibrant Kingdom’s Downstream COVER FEATURE Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 23 he he fifthIndustrial Forum 2013 onthe theme of Minerals’ ‘Investment & Petrochemicals Downstream the in Opportunities has for Chamber held the become all at platform Asharqia Opening the official ceremony ofthe Tawfig summit, Dr. F. Al- Eng. Eng. Ali A. Al-Omeir, Investment Opportunity Manager at The heavy spending on industrial infrastructure going is to be Speaking on Potential Downstream Industries, Eng. Samir major players to propose their ideas and way forward. forward. way their ideas and propose to players major Rabiah, Minister of Commerce & Saudi Industry, Arabia said, “The and times, best its of one through passing is Arabia Saudi of Kingdom we should be able to tap all the sectors that reduces our dependency on oil and gas. Our plans for diversificationand industrial- develop in the future.” will take new dimensions ment T Economy Downstream Bearer of a Torch MODON MODON is for the of responsible industrial development cities with integrated infrastructure and services. MODON has established in- dustrial cities in various regions of the Kingdom, and overseeing 28 is existing cities which and include: under-development currently Riyadh (1, 2 & 3), Jeddah (1, Ar’ar, 2 & 3), Tabuk, Dammam Hail, (1, 2 & Sudair, 3), Al-Kharj, Makkah,Madinah, Al-Ahssa’, 1&2, Qassim Hafr and Shaqraa Al-Zulfi, Taif, Al-Baha, Najran, Jazan, Assir, Al-Jouf, designing and planning under cities are there addition, In Al-Baten. It 4. Jeddah industries, Military Nawan, Dhuba, Salwa, include: which - indus the of number the years, five coming the during that targeted is - me square million 160 than more with cities 40 reach shall trialcities factories 3,000 than more are There lands. industrial developed of ters billion 250 exceeding investments with cities industrial existing the in riyals, and than more 300,000 MODON employees. is also- responsi of development and growth for environment ideal the creating for ble is MODON where Arabia, Saudi of Kingdom the in earmark zones technologyto seeking is and zones technology two overseeing currently investments. technological the latest acquiring further towards zones - indus prepare ofMODON isto the plan “The said, MODON future trial with cities all facilities, the shopping as facilities, residential such area and schooling for the staff. Thiswould attract more localsand international companies and MODON would create an atmosphere all types industries.” for of feasible which is another milestone, as it will be specialized industrial clusters. Ready factories will be another feature of upcoming industrial cities across the to In order limit Kingdom. the from migration rural areas, many in the northern region. been commissioned have cities industrial Development- Business & Strategy Manager, General Al-Jishi, Jameel require which pipeline the in products many are “There said, Sipchem SipchemThe to use, technical which support needs to locally. tapped has consistently delivered value to its investors and it has products.” innovative many got into ohammed Shariff The Kingdom of Saudi Arabia is in its best period to expedite the process of economic of economic KingdomThe the process period is in its best of Saudi Arabia expedite to and minerals. sectors petrochemicals such as the downstream and improve diversification, Basic Industries MODON, Saudi such as stakeholders major The of this process Corporation local talents, attracting drive by expansion more on a massive are (SABIC) and Ma’aden writes M 24 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 COVER FEATURE Eng. Mohammed A. Al-Azzaz, ManagerSadaraEng. Value Mohammed A.Al-Azzaz, Parks Sipchem Development- Strategy &Business General Manager, Al-Jishi,Jameel Eng. Samir Saudi ArabianSaudi Commerce Minister, &Industry Dr. Tawfig Fawzan Alrabiah. Mr. AlJishi,board and Mr. member(left) Salman AlRashed, Rashed chairmanofAsharqia Chamberwith Eng. Vice AbdullahAl-Rabeeah, President, SABIC COVER FEATURE Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 25 2015 e - eting Establishing: Singapor mark oces 2014 2013

pe 2012 ra: ro ct 2011 eting into Eu Acquisition of Ae expanding Sipchem mark Sukuk issue: SAR 1,800m 2010 2009 Eng. Eng. Mohammed A. Al-Azzaz, Manager, Sadara Speaking on Phosphate Downstream Opportunities, through PlasChem Park and its construction began in 3Qin began construction its and Park PlasChem through pro- full and 2015 in expected are products first The 2011. II. City Industrial Jubail expected at 2016 duction by Value Parks, speaking on ‘Sadara Product local of organizations Conversion “Collaboration said, Opportunities’ LLC will like support Wa’ed entrepreneurs and SMEs to in value create assets. and downstream investment In the same way, Dhahran which Techno Valley, can integrate the - can ecosystem pro to drive the knowledge economy, vide development, production and marketing support for Some innovation. EO derivatives R&D are already in place. King is Abdullah another Foundation stake holder in partnership, which is interested in injecting equity in selected investments. Sadara is a game changer for chemical industry the with region’s positive impact on KSA’s TheGDP. Kingdom is supporting downstream- develop ments in and sectors, Park many PlasChem important opportunity.” a unique presents Ma’aden’s Phosphate Vision: To Be Be To Vision: Phosphate Ma’aden’s Players The Phosphate Among Leading as Phosphate for demand sustained indicate trends Global industries.a of fertilizers key downstream and ingredient Increased demand for food driven by a growing - popula agriculture, in fertilizers phosphate of usage growing tion, increased use of fertilizers to achieve higher yields as ar will in biofuels growth and declines per capita land able further. growth demand accelerate Eng. Faisal Abdulaziz Al-Jandal, Business Development ights issue 2008 R 2007 2006

IPO 2005 2004 e Establishment of Sipchem as green eld sit 2000 Sipchem Sipchem is planning to start three new plants in MTPA 63,000 (capacity Company Chemical Sipchem Al-Jishi said, “When there are opportunities in the 2014. International Polymer Company with the - capac ity of 200,000 Gulf MTPA EVA/LDPE; Advanced Cable Insulation Company (GACI) with the capacity of 25,000 MTPA XLPE/SC; and Acetate/Butyl Ethyl Sipchem MTPA of 100,000 with the capacity Chemical Company Acetate. PBT), Saudi Specialized Products (SSPC) Company (un- der formation – Molds & Dies) and Saudi Products Company (SSPC) Specialized (under formation – capacity 4,000 Film) EVA MTPA will be commissioned by 2015. will “Sipchem be a leading center for technology - innova tion to advance Sipchem growth and catalyze the - devel opment of the downstream industry Sipchem added. Al-Jishi Product Centre,” Development Application and in a thisfew needwe challenges consider to downstream, sector, such as it requiring competitive feedstock supply from upstream to downstream, strategic interest from technology owners, technical support, securing the right market.” potential technology and With With an investment of $20 billion, Sadara the first- com chemicals largest the is GCC, the in Naphtha crack to plex world- 26 with phase single a in constructed ever complex scale plants with over 3 million metric tons of capacity. It has a differentiatedProduct Slate and its 14out of the 26 plants are new to KSA. It has dedicated Off-Takers Sadara, the Game Changer in in Changer Game the Sadara, Petrochem Sector Petrochem 26 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 COVER FEATURE Glimpse EO/PO Derivativ PE SpecialtyApplications PU Derivativ EV Amines Derivativ Pro Co BGE Derivativ RO Membranes A/LDPE Vi ating A duc ew onC Pro duc t dditiv es Cluster employers in KSA. It is also contributing to the develop- the contributingto also is It KSA. employersin largest the of one becoming and nationals Saudi for jobs Kingdom’s GDP, creating thousands of direct and indirect the to indirectly and directly contributing heavily is and stream products.” down- and industry fertilizer the in element main the is Phosphate products. each for market proper the tifying said, “Ma’aden has worked step by step in this regard iden- Specialist, Phosphate & Industrial Minerals SBU-Ma’aden ts es Cluster urrent In es Ma’aden is aligned to the Kingdom’s strategic goals, goals, Kingdom’s strategic the to aligned Ma’aden is es es Packaging v estors Home andP Oil &Ga Insulations Industrial &Architec Po Adhesive tential DownstreamOpportunitiesEV Brake F s, Ma Mark Wa A Wa dhesive/Sealan Gas Sect ersonal Care Hy , Fu terial, Detergen ter ter giene F ets luids rniture & Tr Tr Tr Compounding ors eatmen eatment Chemicals Ta eatment Products , Solvents rgeted ilms tural P , C Au t onstruc t to foams t ain Consumer t tion Goods logistic services, and otherinputs tobusiness. services, critical logistic The workforce, skilled resources, research facilities, to banking access easy offering development, national Arabia’s Saudi for platform important an is Park Industrial The Industrial ParksSpecialized SABIC’s Innovative Proposal to Create employees was built with 500housing units. Among other projects a residential village for the Ma’aden 2014. by completed be to scheduled is project The 2010. June 19 on was Alcoa (Ma’aden)Companyand Mining SaudialuminiumArabianbreakingprojectforby the the productsammoniumand phosphate. ground The official aluminum for hub export major a become to thought is Jubailport the processingThe line.proposed via facilities agriculturalthe center Al-Basyataat and oilthewelltoasas Jalamid near deposits phosphate the Zabirah, near Dammam. mine bauxite the to connected to be will Al-Zour Ras and Thus Jubail to port new the connect line will another Project, Bridge Land Saudi the of part As Junction. Zubairah so-called the at Haditha to Buraidah Riyadhviafrom linethe meet extendedto be will line the Later Project.North-South the branchof railwayline new a with Zabirah at bauxitemines the Organizationto and Arabian Central the shield. Borders Northern the especially regions,remote of ment Ras Al-Zour will be linked by the Saudi Railways Railways Saudi the by linked be will Al-Zour Ras

Adhesive: • • • • Compounding Producers: • • • • • • • • Consumer Goods: • • • • • • • Packaging: A/LDPE polymers Im Ca mate batche Color concentrates& Wire &Cabl Compounds f Closur Medical good Fu Syringes Hose & Lids &Closur To Fo Ther Meat &P Construc Agr P Lacquers woodfinishing Hot meltadhesiv ack ys rnitur am f rpet backpr pac icultural F mal laminationfilm aging F Application e liner t modilisersinthe or shoes T e ubing oultr tion F e ilms &Bags s es ilm y wraps or s oduc ilm e ts End use COVER FEATURE Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 27

s tilizers ent r er tilizer Fe r ype of Main elements in diff t fe

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� ThePaintsand CoatingsPark will be designedto in-

develop develop applications such as wind energy, construction, and aviation, Polyurethane industry. Thethe automotive Park will target key from applications the in- automotive Thesedustry. automotive PU clusters willfocus on - auto motive seats, & interior ceiling modules, as well as - mold ing applications for steering wheels and panels interior and encapsulations. door Such applications will serve - manufac and converters, molders, needs for the essential industry.” in the automotive turers sure all facilities and industry requirements are available and coating painting to manufacture investors to attract end products such as Architectural Paint and Coating, Automotive OEM, Automotive Refinish Anticorrosion, Traffic, Coil, Container, general industrial - and consum industries The willpark supply more. many paints and ts

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Highlighting Highlighting the proposals, Eng. Abdullah Al- � � � � Industrial Produc Ma’aden is aligned to the Kingdom’s Kingdom’s the to is aligned Ma’aden is heavily and goals, strategic indirectly and directly contributing creating GDP, Kingdom’s the to jobs indirect and direct of thousands becoming and nationals Saudi for KSA in employers largest the of one Rabeeah, Vice President, SABIC said, park ”The said, rubber SABIC President, Vice Rabeeah, - estab to looking investors, that willinsure bedesigned to lish manufacturing units for rubber parts such as tires, hoses, belts, sealing systems, find all therequired infra- structure and supporting facilities they require to enable a rapid start-up and cost effectiveoperation. The carbon fiber park will be designedto insure all facilitiesand in- dustry are available to requirements andattract investors park park is designed to provide investors with a dependable to support meet stream of entrepreneurial and consistent their short, intermediate and long-term goals. The au- tomotive industry at the park is particularly advantaged with the ready availability of raw materials from - compa nies like SABIC, a world leader in automotive materials solutions. 28 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 COVER FEATURE Elec portfolio includes – but is not limited to – products for the investors thissegment. The investments goods finished of and intermediates both attract to aims which rangement ar unique a under downstream-relatedindustries the of Home Care & Industries Park Personal will promote The the development services. required other and insurance vide raw materials, research centers, logistic sales services, pro- will it and products, innovative with worldwide ers Ex St tr onics: Acr yr ter ene (ABS), P ior par olyur Ethylene Glycol P P and Ethox L olyur Anti-fr Struc ubricants: LA olyur ethane ts: Plastics ylonitrile Butadiene Seats: ethane, Plastics tural panels: ethane Po eeze lyur ylates ethane , O SABIC ChemicalsandP F iber (potential),P P MM aints andcoatings:Ac Ex ter A, P ior par olyur ts: Carbon ethane &Etho olyur ethane ry olymers EnableAu late xy s, late OXO - s cants and diesel fuel additives. The Engineering Plastics Plastics cantsEngineering additives. andfuel diesel The lubri- synthetic fluids, recovery, drilling oil as such tions ments are available to attract investors to develop applica- require - industry and facilities all insure to designed be hard surface cleaners and softeners, others. fabric The Additives liquids, dishwashing Park detergents, will liquid & powder soaps, toothpastes, ointments, & creams gels, shower conditioners, hair shampoos, of manufacturing Hoses, Rubber: belts to Industr Po chassis: Metals we rt y rain body& Rubber seals: EPDM Light shield: Rubber tir Po Monomer) /DOP POM (P Po PM Light shield: Ex Elec Car lycarbonat lycarbonat te MA rior par bon Black trical par olyAcetal e: PBR& ts: e e ts:

PLUG & PLAY BENEFITS COVER FEATURE

• Low capital investment (CapEx), lower by almost 30-40 percent • Low operation cost by 10% due to shared services • Faster business start up • Easy entry for investor • Ready-made specialized infrastructure • Under the ground (water, electric power, communication …etc) • Above the ground (building, shared facilities, warehouses …etc) • Ready-made utilities; steam, waste treatment, cooling water • Employment in the Plug & Play City is more concentrated in the region and it is emerging area of specialization • Increased productivity through specialized inputs, access to information, and synergies • More rapid innovation through T&I coordination center • Fast response to constant changes in the marketplace • Economies of scale can be gained by group purchasing within the park • Access to a specialized workforce program • Access to specialized suppliers within the park

Park will support the use of the various raw materials • Technology and Innovation coordination center and aid in application development for a wide range on site of automotive applications including electrical com- • Market information center ponents, lighting parts, gears, fuel systems and many • Park strategic procurement services; synergize more. Investors will receive the necessary guidance on volume and support to improve their competitive position, and be provided with the infrastructure needed to Dr. Hathim Al-Dakhiel, General Manager, further propel their success forward. The Metal Park Technology Management, SABIC, while explaining will be designed to insure state of the art facilities to the ‘role of technology & innovation coordination develop long and flat products, such as Hot Rolled center’ said, “The GCC coatings market was estimated Coil, Hot Dip Galvanized Coil, long steel products, at $2.2 billion in the year 2011. The market is expected etc. to grow at a compounded annual growth rate (CAGR) Explaining ‘Special Industrial Parks realization; of about 6 percent over the next five years. The Saudi the plug and play models’, Eng. Turki Al-Hamdan, Arabian market remains the biggest and brightest General Manager, Business Strategy, SABIC said, jewel in the region, with paint demand approaching “The plug & play model offers a complete integrated 900,000 tons during Saudi Arabia’s $385 billion con- infrastructures, general and specialized services, sup- struction boom (2011-2015).” ported by the enablers which bring competitiveness World-class T&I Infrastructure and know-how can for investors. ‘Plug & Play Cities’ will produce parts provide: 12 Technology & Innovation Centers in KSA, and finished materials for wide industrial application The Netherlands, Spain, USA, South Korea, India and S hosted in the Kingdom of Saudi Arabia for consump- China; five Application Centers in KSA, USA, Japan, i d u a tion by markets in Saudi Arabia, Middle East, Africa China and South Korea;. one Corporate Research & C r e m m o and Europe. ‘Plug & Play Cities’ are geographic con- Innovation Center at KAUST in KSA; more than 1925 c centrations of industry focus competing, comple- professionals in research and development; 600+ PhD e

d n a

mentary, or interdependent firms and industries that holders; 10+ pilot plants to serve business and cus- E c do business with each other and/or have common tomer needs of product development; and improve i m o n o

needs for talent, technology, and infrastructure. The research infrastructure in the Kingdom and tap tal- c R firms included in the city may be both competitive ented graduates for employment. w e i v e

and cooperative.” “SABIC T&I coordination office will be a window / I S S

• One-stop shop for all paper work approval and to access our global T&I capabilities to enable you e u 236/ DE C EM B ER 2013 permits to sustain your competitiveness and grow your busi- • Synergize your industry presence with other ness,” said Al-Dakhiel. manufacturers SABIC’s proposal was welcomed by many young • Access trained workforce entrepreneurs who termed it as one of the best ideas • Rent general services to materialize in a long time and that it would revolu- • Rent specialized industrial services tionize the industrial arena of the Kingdom. 29 30 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 FOCUS to NCB’s onSaudiEconomic andFinancial Review Monthly Developments fromcredit arising anexpandingeconomy, expansionsgiven theopportunities according encourage astrong foothold for the index.Banksareto maintaintheircurrent level likely of profit. isled by fundamentallystrong Nonetheless, stocks theupward whichwill trajectory toThe moderate strong thismonthislikely asinvestors rise capitalgainsfor seekto skim CreditGood level Kingdom’s Banks Maintain FOCUS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 31 100 Nov-13 0 Sep-13 ls re Jul-13 On the side, demand IEA trimmed its 05 for for higher oil prices to justify investing in new wells. shale for demand global incremental for forecast consumption daily with 1.1mmbd, to 2014 projected at 92.1mmbd. TheAsianregion of global 11 percent for about accounted oil consumption in 2013, compared with 21 percent for the US. European demand Thousand Bar - y-13 Ma Monthly Oil Production Changes -50 Oil Price Developments, YTD YTD Developments, Oil Price ’s I WT SA Light, Asia Deliveries -13 OPEC Mar

ey -100 a E Iran Iraq UA Jan-13 Libya Qatar Saudi Kuwait Algeri Nigeria Angola 5% 0% -5% Ecuador 25% 20% 15% 10% -10% Source: Thompson Reuters Source: of of 2013. the However, EIA acknowledges that the tight oil is development still at an early stage, and the outlook is still uncer tain. In order for the production of tight oil to continue at increasing rates, the in- dustry must – overcome besides- environ mental challenges – other - chal economic lenges which include diminishing rates of return, high depletion rates and the need Source: OPEC Surv Source: Venezuela - On the supply side, OPEC increased In addition, the US crude oil - produc Oil Market: Prices Moderating Prices Oil Market: USD109 averaged have futures crude Brent a barrel this year amid disruptions supply in Libya, Syria, and the US and European Union sanction on purchases of Iranian crude. Benchmark oil futures have rallied on speculation that Middle East unrest may disrupt shipments from the region, yet further increases in Brent crude price are seen limited as expansion of US shale addi- In overseas. barrels more up frees oil healthy a at inventory oil OECD with tion, level, amounting to 59 days’ demand, it has kept a lid on further gains. In the US, bar 388.1 million to rose crude stockpiles rels rels in early November, as output surged to the highest rate in level lowest the to since fell WTI Accordingly, January 1989. Brent between spread the and months, five and WTI of crude oils USD14 a topped April. since seen not level a recently, barrel a provided had dollar a weaker However, boost bothfor types - of the dollar-denom crudes in October. inated production to 30.6mmbd, as Iraqi output rebounded with the completion of - main tenance work. Iraqi production increased Saudi behind 3.08mmbd, to 0.28mmbd by Arabia as the second largest producer in OPEC. Saudi output rose to 10mmbd in October, coinciding with a sharp drop in Supply from ca- willits production Kingdom maintain Libya. Moreover, the pacity at 12.5mmbd, as - additional capaci ties from offshore Manifa, Shaybah, and Khurais will replace the oil that is no - lon ger produced from aging fields.In Libya, strikes led by who local politicians seek - govern central fragile the from autonomy east the from production halted have ment Although months. three nearly for Libya of Libyan increased output by 0.15mmbd to reach 0.45mmbd in October, down from it is a still long in September, 0.70mmbd way from its level 1.6mmbd production in 2011. the conflict to prior tion increased to 7.9mmbd in October, the 1989. highest - Thesince exploi March frac- hudraulic using basins shale of tation turing and horizontal drilling techniques has helped the US to meet 87 percent of its energy needs in the first six months 32 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 FOCUS Macroec Av Real Sect Av GDP atC GDP atC P Real GDPGrowthR P GDP /Capita,USD Mer Ex CPI Infl Net Unilateral Net F Cu Cu F Budgeted Expenditure Ac Ac Expenditure O T T Break-Even OilP Ov Budget Balance/GDP USD/SAR Ex F Growth inCredittotheP Growth inBroadMoney(M3) Av Av Spread, inBasisP otal Revenues/GDP otal Expenditure/GDP opulation, million opulation GrowthR iscal Se inancial Se erage KSACrudeSpotP erage DailyCrudeOilP ternal Se tual Revenues tual Expenditure erage 3MSARDepositR erage 3MUSDDepositR rr rr erall BudgetBalance chandise Non- Oil Sec ent A ent A Oil Expor Non- Mer oreign AssetswithSAMA,USDbillion a tion, chandise Impor urrent MarketP urrent MarketP ct oil Sec oil Expor ccount Balance/GDP ccount Balance,USDbillion onomic Indicators or or (C tor GDPGrowthR change R ct ct Y/Y %Change Tr ts or Tr ver or , USDbillion ade Balance tor GDPGrowthR entr ansf rice , SARbillion oints run, % ts ate , SARbillion , USDbillion ers al Gov ate ate , SAIBOR-LIBOR , SARbillion , USDbillion , SARbillion ts rices rices rivate Secto roduc , USDbillion rice ate ate ernment) , A , USDbillion ate , SARbillion , USDbillion verage , ArabLight,USD/BBL tion, MMBD ate r2 20,184.2 1,949.2 1,101.0 -100.6 25.4% 26.8% 56.5% 26.7%3 29.8% 17.6% 520.5 212.0 281.0 438.5 132.3 520.1 2008 580.9 -23.0 9.8% 8.4% 4.3% 3.4% 6.1% 3.3% 3.0% 94.9 25.8 32.5 40.2 3.75 37.4 410 7.9% 9.2 16,116.2 1,609.1 25.6% 31.7%3 10.7% -8.0% -5.4% -0.6% 429.7 105.2 163.1 405.9 509.8 596.4 2009 -86.4 -27.7 5.3% 1.8% 3.4% -86.6 4.1% 4.9% 0.9% 0.7% 59.2 26.7 29.3 21.0 60.8 3.75 26.4 475 7.1% 8.2 19,112.7 1,975.5 12.7% 21.1% 33.1% 526.8 153.7 215.2 441.0 741.6 653.9 2010 -96.7 -27.9 9.6% 0.3% 7.4% 3.4% 3.8% 4.4% 5.0% 4.8% 0.7% 0.4% 77.6 27.6 35.9 66.8 87.7 64.1 3.75 39.8 540 7.5% 8.2 23,625.3 2,510.7 1,117.8 -119.0 11.0% 23.6% 42.5% 44.5% 32.9% 11.6% 13.3% 11.0% 108.1 670.4 244.7 317.6 158.5 535.9 826.7 291.1 2011 -29.4 8.0% 8.6% 2.9% 3.7% 0.7% 0.3% 28.4 47.1 75.3 3.75 40.9 580 9.3 24,387.0 2,666.4 1,247.4 2012F -140.7 23.1% 26.6% 46.8% 32.8% 14.0% 13.9% 16.4% 110.2 712.0 246.6 357.1 164.8 648.5 873.3 374.1 -30.4 5.0% 5.5% 5.1% 2.9% 2.9% 0.9% 0.4% 29.2 51.0 73.9 3.75 55.2 690 9.8 24,005.1 2,703.4 1,045.8 2013F -152.0 19.0% 38.7% 32.6% 17.2% 18.8% -0.9% 105.0 721.9 215.1 312.1 137.4 710.9 882.0 163.7 -33.2 5.6% 4.1% 3.0% 3.8% 7.6% 6.1% 1.0% 0.3% 30.1 55.1 77.0 3.75 70.0 820 9.6 24,021.9 2,786.5 1,012.2 2014F -154.2 16.9% 36.3% 33.6% 11.7% 18.8% 100.0 744.1 204.2 297.5 125.7 740.6 877.4 935.0 -36.2 2.2% 5.3% 4.6% 3.0% 3.3% 6.6% 2.8% 1.1% 0.5% 31.0 60.9 77.2 80.8 4.75 60.0 9.8

FOCUS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013

33

R MY

IDR

INR

D AU

W KR

Y TR

PLN

SGD RUB

China’s China’s manufacturing sector im- MXN

cided to cut its refinance rate down to 0.25 to down rate refinance its cut to cided percent early November, which exerted on the EUR, pressure leaving downward By the end October, of the on it defensive. the EUR/USD pair moderated down to M/M. 0.44 percent by 1.35, strengthening at proved the fastest rate in October since March. TheHSBC PMI posted from 50.2 in September. The a 50.9 report also indicates that the improvement from an acceleration in exports as well as stems internal demand – in line with the upbeat global data. Theappreciatory fixing trend in the CNY remains as saw new record highs against the USD the in Renminbi October. However, the ongoing risks of further CNY reforms, including a band- widening before the end of the - pro year, vides for furtherresistance strengthening. Consequently, the USD/CNY pair fell by 6.09. to 0.46 percent Commodities: Low Sticky Prices Commodity prices continued to during slip October, furthering September’s negative outlook. Despite the pickup in the pace of Thomson-Reuters/ the manufacturing Europe, and China activity in from percent 2.7 by slid index CRB Jeffries last month, down to 277.86. Declines in agricultural prices amid improving - sup ply prospects, combined with a shying

change Rate Changes change Rate CNY

THB JPY

reign Ex

Fo CHF

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R ZA

Monthly

GBP

L BR CLP Thompson Reuters ce: Investor-sensitive Investor-sensitive policy - develop 4% 3% 2% 1% 0% -1% -2% Sour ments ments in the US the pressured EUR/USD pair to close at a two-year high of However, 1.38. the announcement of as Yellen Federal Reserve Chair Janet softened the tone on the tapering rhetoric and - re newed for appetite riskier assets. Global market participants are becoming more a about optimistic positive structural shift in Europe shown by a steady - ment improve in systemic risk indicators. Spanish securitiesequity rallied in all sectors since late June which reflects an improvement in the outlook of the in progress fiscalreformsand deficit cuts, country. Due to upwards rating credit revised Spain’s Fitch to from “stable” a negative BBB. Spanish benchmark yields eased from the record high of 7.6 in Summer 2012 to below 4 percent in October for the first time in 3 impact disinflationary the However, years. with the - combined up euro, of a stronger tick in ECB the the stubbornly high prompting is 12.2 rate percent unemployment to turn more dovish. According to European the Commission, inflationin the Eurozone has fallen down to 0.7 percent September, in percent 1.1 from October in drifting furtheraway from the 2 percent inflation target. Therefore, the ECB de- hand, hand, the S&P500 broke the 1,700 level, overshooting last average month’s by 4.5 1,756.5. at closing and percent, - cent. Although there are faint speculations faint are there Although cent. that the Fed’s tapering might soon as come December or consensus January, as among economists indicates a As 2014. March the than earlier no of hood - likeli result, 10 year note yields eased from the two year highs seen in August down to 2.5 percent, losing 7 basis points from the beginning of October. The equitybubble - highs benefit to fresh inflate to continued ting from the fiscalmoratorium and the Fed’s dovish stance. The Dow surged by close to month the throughout percent 2.8 at 15,545.75, and continued its upward trajectory onto November. On the other In In the month of US-centered political October, uncertainties, heightened and core amongst monetarypolicy divergence of the shaped behavior banks central have the USD’s 5.3 trillion/day forex market. The 16-daybipartisan impassehave dealt blows to the greenback throughout most of the month, driving the - weight average ed USD below the 80 level. It rebounded towards the end of the month, ing a - record net loss of 3 M/M, closing percent at 80.2. TheFed decidedto with continue its asset purchases pending more evident onlyof creation Jobs the on data recovery. 148,000 in September alarmed the of Fed the fragility, recovery’s and despite the October, in jobs high204,000 surprisingly the Fed is erring on the side of caution. In contrast, the upbeat US ISM report for October increased risk investors’ appetite improvement percent 0.2 a showed it after 56.2 to percent 56.4 per last over month’s Foreign Exchange: USD Battered Battered USD Exchange: Foreign EUR Gains Over Uncertainty, is in structural decline though region’s oil oil region’s though decline structural in is economy firmer as rolling longer no intake creates In momentum. the longer term, it in- will demand oil world that estimated is of 0.9mmbd to crease reachan by average 94.4mmbd in 2018, driven by growth in attributed However, economies. emerging to surging production from shale - forma seen is which Canada, and US the in tions climbing to 4.9mmbd in 2018, the need for crude from OPEC, currently - produc will oil, fall ing of 40 the percent world’s by 1.1mmbd to 29.2mmbd between 2013 and 2018, according to OPEC annual outlook. oil world 34 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 FOCUS creasing use of wheat for livestock feed feed livestock for wheat of use creasing in- an to addition in expectations, below stocks wheat led weather wet and cold a about September.Concerns since percent 2.2 losing 6.69/bushel, USD at closed ery deliv- December for futures wheat CME, the to According 363.7. to percent 2.5 by S&P GSCI agriculture index inched down have slipped towards the end of October as longing its QE3 program. on pro- decided Fed the after up picked demand as USD21.95/oz at percent 0.97 rallied Silver deficit. account current its – restricting gold imports in order to curb gold physical of consumerworld’s largest the – India to addition in tapering, wards to- geared being policy monetary US the to due persist risks Downside decline. to continued prices gold default, US a of ity possibil- the despitehaven” “safewhere a October revealed the loss of gold’s status as early brinkmanship ceiling debt US The USD1,324.4/oz. at session last the ending sliding 0.3 percent by the end of the month, trend, downward its continued gold Spot ity relative to their industrial counterparts. broad-based decline during 3Q2013. witnessingbeenhavealthougha tieswe dropUSDdenominatedof the commodi- The depreciation ofthe dollarsoftened the prices. on pressure upward an providing metal, the for demand increasing stoke should loans short-term for collateral as copper use to firms some of direction the rebounding.copperMoreover, see to pect manufacturingactivity, export and ex- we in footing stronger gains – buyer modity earlier. As China – the world’s month largest a com- megatons 5.37 5.85 to from megatons shrank stock aluminum September, while in tons thousand 574 from tons thousand 502 to up.fell copper for stock eased backlogs London Metal Exchange (LME) inventory inventory as ton USD1,859/ at standing percent, 0.8 by up edged aluminum while USD7,249/ton, to month the dropping ended percent by0.7 Copper markets. aluminum and copper disrupting in role Indonesia a played in metals industrial on ban export looming Europe,seasonalalongsidedemandin a weakculprits. mainA marketsthe were demandforprecious emergingmetalsin Most agricultural commodity prices prices commodity agricultural Most Precious metals showed higher volatil- the end of September, an annual increase increase annual September,an of end the by billion SR305.3 reached which (M0) base monetary increasing an in resulted revenues Higher surpluses. through budget financed huge easily was policy cal fis- expansionary The years. few past the as it benefitedfrom large oil revenues over economy Saudi the for well boded levels production higher and prices oil Elevated Market Liquid Money & Inflation: A Controlled cheaper beans. from benefiting stock, their replenish to crushersseekandmillsNovember asin surge to due is supply which lower on fell Imports market. tight a on September in megatons 4.7 from down megatons, 4.27 at delivery October’s estimates – buyer soybean world’stop the – China bushel. USD12.8/ to percent 0.3 by downturn a saw Soy,for Asalso corn. pricesfor clines de- price further curbing in aid to ditions con - worsening expect we factor, mining deter most the being conditionsweather with However, bushels. billion 13.989 of crop record new a to bushels/acre, pointing- 155.3 from bushels/acre 160.4 at upwards yield corn average US for casts fore- its revised (NASS) Service Statistics cappingprices. The National are Agricultural corn of supply Ample shock. 2012 supply Summer post slide its continuing declinedpercentby3 USD4.29/bushelto futures Corn soy. and corn to compared Sour -20% -15% -10% -5% 0% 5% Jan-13 ce: Thompson Reuters Mar -13 Ma y-13 Base Metals - this year.this of months three last the in 2011 January the expect first annual decline in M0 since atedto percent2.4 on an annual basis.We deceler SAMA with deposits while Y/Y percent 26.7 by increased vault in cash as percent5.4 annuallygained reserves bank Meanwhile, accounts. bank open to able sumers in the short term as illegals are un- con - between handling cash up spike will latest the government crackdown on illegal workers addition, In trajectory. ward up - controlled a on relativelyremain will unitsindicate outsidethat currency banks sale of points through cards credit of use ments in online banking and an increasing cent Y/ Y during September. The advance- Currency outside banks increased 6.9 per effects. base to due decelerating been has growth annual of pace The percent. 6.1 of of 10.8 percent to reach SR325.6 billion, billion, SR325.6 reach to percent 10.8 of gain annual an with behind lagging still are deposits savings and Meanwhile, time Y/Y.percent 19.2 of rise a months,twelve which SR132.8added billion over the past deposits, demand component, largest its by driven is Growth months. coming the over acceleration M3’s of pace the slow should which moderated have to seems uted to M3’s contrib - growth. However, heavily local credit market credit in local the expansion robust The deceleration. consecutive third the September, during annually percent 13.4 by grew (M3) ply Jul-13S The broadest measure of money sup- money of measure broadest The ep Aluminum Copper -13 Nov-1 3 - - FOCUS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 35 - - - - ties ties gauge, dropped 1.9 percent during The in deceleration localSeptember. pric- es was undermined by a weakening USD as the trade weighted dollar decreased 2.3 percent in September. Imported inflation will to continue burden consumers as the dollar faces difficulties against other cur rencies (see Foreign Exchange Section). Rental price hikes peaked in July at percent 5.0 due to the academic holiday and Ramadan season. During rental prices September, increased at 4 government execution percent plans as to address the housing situation have been lacking. In our opinion, the high liquidity level the economy of state the robust by backed will likely contribute to relatively consumer prices over high the medium term. Imported inflation will also be decisive in localcur prices, of direction the assessing rent USD trends are not in favor of Saudi consumers. Capital Markets: Strong Corporate Corporate Strong Markets: Capital Prices Drive Profitability Geopolitical tensions, US congressional gridlock, and anticipation of corporate earnings held investors captive in uncer stock Saudi The month. last earlier tainty market, Tadawul, recorded a marginal gain of 1.0 percent during the month of October. As the US government back into full operation, were investors at came ease and the flowof - announce corporate ments meant that portfolios are reshuffledagain. to be general, In market the outperformed expectations and recorded higher. prices drove which earnings strong The leading petrochemicalstock, SABIC, a announced during SR6.5 profit billion quar same the over gain percent 2.5 a 3Q, ter last year. Similarly, other “blue chip” stocks have also recorded strong profits last quarter such as Saudi Telecom and Riyad bank posting a gain of 73.3 percent and 18.8 percent Y/Y, respectively. The market created a good momentum the - above go reached and November into ing By 2008. since level highest the level, 8,300 the end of last month, the best perform- by followed hotels are thissectors ing year percent, 102.9 posting estate real and retail 48.5 percent, and 47.2 percent, tively. The- respec agriculture sectorgained 32.4 over up picked activity business as percent

- Sep-13 D

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11 4.4 Sep-11 alue V most most influential categories, furnishings and household equipment coupled with transport recorded price hikes by 6.7 per cent cent and 0.9 percent, respectively, on up make an categories two The basis. annual bas - rebased 2007 the of percent 20 almost ket of goods. Meanwhile, food and bev- remaining albeit decelerated prices erage elevated at 5.8 percent TheY/Y. Reuters/ Jefferies CRB index, aglobal commodi -

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10.3 A, NCB Estimates Sep-08 Following the holy month of Ramadan, of month holy the Following adawul T ce: ing ing September. Within the largest and the highest level since November 2009. Additionally, other quasi monetary de- posits, which includes residents’ foreign - remittanc outstanding deposits, currency es, and other deposits, increased by September. 0.9 of the end Y/Y by percent benchmark the as ease to continue prices inflation rate droppedto 3.2 percentdur ce: SAM 0% 5% 0 2 4 6 8 -5% 10% 15% 20% 25% 10 SAR Billion 12 Sour Sour -10% 36 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 FOCUS local market.local the of development progressive the sure en- to efficiency and transparency higher for vowed Authority Market Capital stocks. The entry for stability create and als individu - for trading speculative limit to from trading within the firstthree months guarantors investor IPO limit and public Tadawulstrongly advised Council turn to further next year. Additionally, the the Shoura expect marketembraceto financing this weoftype and funds, attracting in alternative rising a been have issuances 68bpstenoroversevenaofyears. Sukuk plus SAIBOR 3M at set be will rate profit The Sukuk. corporate rate floating billion Riyad bank concluded the issuance of SR4 market, Sukuk the the for for As offered. shares prices their disclosed not have companies Both shares. million 11 offer - agri culturalcompany the willwhichAstra Food for is IPO announced second The public. the to company’s capital, the of percent representing30 shares, million 15 issuing be will Bawan December. and November for (IPO) offerings public tial activity. However, no Tadawul has with announced two October ini- of month the strong foothold for index. the tallystrong stocks which will encourage a the upward trajectory is led by fundamen- profit. Nonetheless, for gains capital skim to seek investors as moderate to likely is month this rise strong The brokers. local through SWAPs as available only rently Tadawul,in cur trade to foreignersof ity - abil limited the reflecting market, total the of percent 94.1 represented trading Saudi nationality, By September. during percent 8.7 from up month, last 10.5 percent to increased share trading their as stocks riskier to exposure their increased However,institutionsmarket. Saudiating fluctu- a in results which investorsvidual indi- Saudi by driven predominantly still a plunge of 19 percent M/M. The market is parison to SR5.7 billion during September, volumes averaged at SR4.6 billion in com- tivity levels. During October, daily ac- tradingin drop a triggered portfolios revamp to announcements quarterly of ticipation increased funding. their by determined months, few past the The primary market concluded market primary The an- the mentioned, previously As - annual basis by 3.5 percent albeit record- albeit percent 3.5 by basis annual foreign currency deposits decreased on an unchanged at SR176.0 billion. In addition, businesses and individuals were somewhat Meanwhile, jump. annual percent 26.7 a billion, SR149.6 to deposits their creased in- which entities government by driven solely was growth deposits, savings and time for As September. during Y/Y cent per 86.8 staggering a recording rapidly, rising been deposits demand have ment However,govern- percent. 8.7 remaining governmentwhile entities represented the 3Q2013 in percent 91.3 at stood deposits demand of share their as individuals and businesses favoredby still are deposits est al gain of 14.1 percent. Non-bearing inter posits reached SR1,346.2 billion, an annu- de- total September, of end the By levels. pre-crisis to comparison in doubled than more has it banks, Saudi in deposits total assessing domestic market. In the in ity such performances waslevel the high of liquid - facilitating of components sential es- the of One crisis. financial global the from suffering still are economies many whereas system financial a strong reflect continue and to 2013 months nine of first SaudiArabia’s profitablerecordeda banks MarketCredit Loans Market: Moderating Sour -10% 10% 20% 30% 40% 0% ce: SAM

Sep-08 A, NCBEstimates

Mar-09

Sep-09 Private Se Gr owth inD

Mar-10

Sep-10 eposits - - ct or F of Labor’s Saudisation strict quest. quartersthree of due2012 Ministry to the first the for billion SR10.9 to comparison averaged SR14.7 billion during 9M2013 in Interestingly, outstanding remittances have ing a strong M/M rebound by 8.9 percent. lion worth of T-bills over the past twelve past the over T-bills of worth lion bil- SR54.0 additional an issued has ment bills to control liquidity levels. The govern- government the have using Treasury been publicthe spikedsector by 23.5 percent as to September.Additionally,credit oftotal end percentannually the by5.5 growthof percent 16.9 short-term a annually posted credit and of gain a recorded credit medium-term Meanwhile, Y/Y. 30.5 percent at gain substantial another posted credit long-termlongermaturities as seek to continue efforts Financing September. during 82.3 droppedslightly to ratio its loans-to-depos- the byrepresented gauge efficiency the portfolio, loans the paced out- deposits at total As easing levels. sustainable evidently is momentum the and 2009 following market credit the for comeback sturdy a experienced banks Saudi deceleration. consecutive fifth the September, during percent 13.8 of crease in- annual an posted bonds, government excludingT-billssystem, bankingand the Mar-11 inancing On the financing front, total claims of front,claims of financing total the On

Sep-11 Gr owth in

Mar-12 Pr ivate Se

Sep-12 ct or Cr edit Mar-13

Sep-13 FOCUS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 37 By composition, the largest non-oil ex- non-oil largest the composition, By Sorted by destination, 15.7 percent

opportunities arising from an expanding from an expanding arising opportunities economy. External Trade: Global Exuberance Exuberance Global Trade: External Trade Supports In the month of August, Saudi Arabian seasonaldeclinea tradewitnessed non-oil in both exports and imports. Albeit mod- percent, 16.7 by dip year’s last from erating non-oil exports slid by 15.2 percent from July, amounting to SR14.046 billion. The weight of exports have increased by 11.6 - mega 3.5 to year last to compared percent shifts major no are there Considering tons. increase larger the composition, exports in to - indi in weight exports relative revenue cates competitive prices. On the imports side, total value translating of non-oil Y/Y, goods inchedpercent 4.3 by downwards imports to SR40.804 billion. Weight-wise, slumped by 11.6 percent Y/Y down to 4.7 megatons. The lower decreaseof imports value relative to weight might be - indica pressures. global of inflationary tive ports remain plastics and chemical - prod - bil SR5.7 registering former the with ucts, - com exports of percent 40.4 roughly lion, position. Revenue from plastics climbed by 28 percent compared to August 2012, measuring a continued improvement in global demand. chemical Similarly, - prod non-oil of percent 36 up make which ucts exports experienced a sizeable upturn of Base billion. SR5.1 registering percent, 54.6 metals which are the third largest export exports) of non-oil (7.2 percent category This percent. 79.2 tremendous a by surged large spike is mostly attributed to the - up beat factory data in the trade Kingdom’s partners, charging up demand for input materials. of Saudi exports in China August in which demand headed soared by 132.9 to the fastest percent paceY/Y, in two years. Heightened manufacturing activity China in yielded SR2.2 billion revenue. of Exports export to Singapore SR1.1 realized billion of revenue, a 24.5 percent surge over last year. Exports to the UAE - annu percent 52.2 of downturn a marked ally as they recorded a return of just un- der SR1 billion. On the other hand, over a quarter of imports the (26.5 Kingdom’s

7 6 5 4 3 2 1 0 Aug-13

Nov-13

y-13 Ma

-13 b Fe

Nov-12

Nov-12 Aug-12 e r

to

Nov-11 y-12 Ma

-12 b ade Balanc Fe which only recorded a marginal gain of 0.2 of gain marginal a recorded only which percent on an annual basis. On the other hand, credit to the mining and ing quarry- sector increased by 39.7 percent Y/Y. banks Furthermore, expanded their expo- sure to agriculture and fishingbusinesses percent 34.5 by thesectorgrew to credit as annually during September. NCB’s Saudi Business Optimism Index rebounded to 54 from 49 on the back of stronger - out look on volumes, new orders, and - profit ability. Banks are likely to maintain their the given expansions credit of level current SAIBOR - LIBOR, LHS SAIBOR - LIBOR, Tr

ead,

Oil Nov-11

3M SAR SAIBOR, RHS 3M SAR SAIBOR, RHS 3M USD LIBOR, Spr Nov-10 Aug-11 ts

Liquidity and Risk Detec Liquidity

Saudi Non- y-11 Ma

mpor I Nov-09

-11 b Fe

s

Nov-10 Export

Nov-08 Thompson Reuters Aug-10 oints ce: ce: CDSI, NCB Estimates In In assessing credit to different eco- 0 50 0 -50 100 150 200 250 300 10 20 30 -100 Sour Basis P Sour -60 -50 -40 -30 -20 SAR Billion -10 nomic nomic activities, the commerce sector is of in funds the local recipient the largest market. Since the beginning of the year, banks have granted SR24.7 billion worth of credit lines to commerce related - busi ness activities by the end of September, bringing the stock credit level to SR230.7 billion. The least active sector wasutilities services) health and gas, water, (electricity, months, indicating the proactive measures proactive the indicating months, the to risks any control to SAMA by taken local market. 38 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 FOCUS by 4.3percent Y/Y. grew which durables, for appetite sumer con- a strong reflect to continued ever, Saudi labor reforms. Motor vehicles, how- rigorous the to due activities contracting short-term stagnation of construction and expected the with line in is categories tal vi- these in seen decline respectively.The percent 22.5 and percent 37.1 by clined de- materials building and machinery as basis such categories Major annual board. the an across on plummeted have lion, losing 6.9percent Y/Y. bil- 2.6 SR to declined also composition, imports of percent 13.6 as much as tute consti- which origin German of Imports billion. SR5.4 to down fell kingdom the percent, to imports 28.5 as percent 3 by up back-pedalled make which US, the from Imports period. 12-month percent the over 7.1 increased imports Chinese billion, SR6 Valuedat China. from nated percent of imports inflow in August - origi at SR5.3 billion. ports,dwindled by 19.6 percent, standing metals, which constitute 13 percent of im- Base billion. SR7.3 to August,amounting ports, edged up by 0.9 percent Y/Y during im- ofpercent 17.9 up make which ment, equipImportedtransport- billion. SR10.8 Y/Y, percent totaling 2.9 by declined ry catego- this of imports Saudiyear, last to comparison In equipment. electrical and machinery of mainly consisted percent) use of economic stabilization policy is is policy stabilization economic of use The reforms. structural for need in mies econo - developed the rendered ization - global marketof impact contrast, the In levels. growth digit double ity,to leading capac- absorptive their of expansion the prompted and market the inflated mies towardsmoneyeconohotemerging- the and oftenfragile, misleading. The of flow intricate, more much is activities such indicatorsinthe financial sector backing sembly line or computer chips processed, as steel shipments, autos driven offthe as- such indicators by gauged be can sector manufacturingthe of growth the While Crisis? Union Put a Leash on the Debt Special Focus: Will the Banking Settled Settled Letters of Credit for September 32 that reveal imports of Analysis mean an addition of EUR40 billion into billion EUR40 of addition an mean would this effect, multiplier money the for Accounting result. a as HVB sidiary sub- German its from repatriated be to billion EUR7 estimatesmuchasas assets by bank biggest Italy’s UniCredit, ized. - equal be also to requirements capital would allow It region. the across tions direc- banking successive harmonize expected to is Union Banking European The survival. its for crucial is union the the by European on Council May 2012. proposed is insurance deposit and recapitalization resolution, oversees which union banking in a Eurozone, union the economic the foster and en strength - to order In insolvency. of fear and risk credit higher to due peripheries the into moving stopped bloc the across freely move to supposed is which flow Capitalsupport.governmentsfor tional na- their on relied andnational, become of crisis, banks that were “European” have Euro area’sthe times market. financial In of fragmentation the to led This banks. sufficient financial control over European no has ECB the as resolve to difficult are regulationscommonbankingand policy monetary from arising components the as complex more much be to revealed with varying sovereign affiliations. A task banks 6,000 over union, of 17-country the policy monetary the administering with tasked is ECB the framework, tory EU’sregula- the per As runs. bank vent pre- to banks commercial supervise and stability,ensurepriceto policy monetary utilize banks central that Therefore, imperativeit’s ramifications. political social and negative the dampen to critical eetn fnnil nerto in integration financial Cementing credit misallocation. in result could andunjust, as viewed ten banking debt via the banking union is of- unfavorably by Germany, and socializing by introducing the Eurobonds is still held debt government Socializing taxpayers. German on banks failing of burden the position has been uneasy towards levying distribution of risk. Therefore,Germany’s equal an entail would market single a as and EFSF. ESM However, Europe’stoevaluate Eurozone the from funds gency emer and funds, government capitalmarkets, into tapping necessitate wouldturn in This capitalized. fully as count next year, a tier 1 ratio of 9 percent earlywould enforced be to due is which cord, ac- III economy. Basel ItalianUnder the visions. proamounts- of larger allocate to required be will banks profitabilitygrows, as banks; profitability the to linked be will strategy of SAMA’sloans. doubtful of futureprovision coverage andvolume of terms in zone safe ered. Thisallows Saudibanks to stand in the percentareandloanscovcent150 totalof - per 1.5 than less up make loans doubtful Currently, sheets. balance sound maintain and banks supervise to ability (SAMA)’s Agency Arabian Monetary Saudi the flects re- This 2019. by comply fully to expected is and 2012, December since quirements re - III Basel of some meet to able was cies, more the to conventional nature ofits- poli dermining union. the capital core, fromthe un- shift of a cause could peripheries the in swaps default credit of forms the in insurance free and costs, borrowing market below mented, On the other hand, Saudi Arabia, due due Arabia, Saudi hand, other the On imple - is framework careful Unlessa across the region banking directions harmonize successive Union expected is to The EuropeanBanking crucialis for its survival. integration in the union Cementing financial - - Complete business magazine of Saudi Arabia

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s Reliable business information... s New trade and investment opportunities... s New projects and tenders... s Trade rules and regulations... s Products and market studies... s Latest News & Views...  Name : Mr. / Ms. / Dr. Saudi Commerce Position : AND ECONOMIC REVIEW Company : P. O. Box : City: Zip Code: Asharqia Chamber Street Address 1 : www.chamber.org.sa Street Address 2 : Street Address 3 : Country : P. O. Box 719, Dammam 31421, Telephone : Fax: Kingdom of Saudi Arabia Tel.: + 966 3 859 8176 E-mail : Mobile: Fax: + 966 3 857 0607 Annual Subscription: SR240 for Saudi Arabia. For other countries US$100 Payment by Cheque/Bank Draft (payable to “Asharqia Chamber”) E-mail: For bank transfer; IBAN: SA7430400108001101080015; (A/c#: 0108001101080015). Bank Address: Arab National Bank, Main Branch, Dammam, K.S.A. [email protected] 40 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 special report Deposits, But Higher CreditDeposits, ButHigher Kingdom Records Flat Saudi Monetary Update Report ofQ22013by Research Jadwa Update Report Saudi Monetary of higheroilrevenues, thoughthepaceofassetsaccumulationslows, according to to lowest 2008.Foreign level sinceDecember ontheback assetscontinueto rise growth maintainsadoubledigit growth. Bankexcess depositswithSAMA shrink ratioupto 82.5percent,Loan-to-deposit supply thehighestin8months. Money Kingdom’s total depositsremain to demanddepositscontinues. flat,though shift special report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 41 - - - TheNFAs of commercial the banks

cent. The notable decline in deposits with deposits in decline notable The cent. banks abroad reflects in part the recent announcement by the government support Egypt by $5 to billion including $1 billion in cash. The paceassetsof foreign the over pick-up to likely is accumulation next few months as oil prices and - pro duction trend but it upward, will remain shy of its levels last foreign year. assets Year-to-July, have increased by SR120 billion compared with SR239 billion for the same period last Theseyear. levelsof reserve accumulation will support the government budget and are consistent with our view for a budget surplus of 6.3 percent of GDP despite the current ex- fiscalpansionary policy. slightly declined the for second consecu- tive month in July to SR138.3 billion or 0.1 percent lower than its level in June. Thisdue declineto was mainly a0.8 per cent decrease month-on-month in gross foreign assets to SR212 billion while for eign liabilities fell by 2 percent. Despite the decline in NFA, the foreign assets- foreign liability ratio rose to 2.9 in July with compared 2.8 in and June 2.7 at the end of last year. On the domestic front, bank liquidity position starts to shrink, SR45 - bil though At adequate. it remains lion, bank excess deposits with SAMA Saudi Arabia’s foreign assets assets foreign Arabia’s Saudi of high a record to grew as a July in billion SR2,560 revenues oil robust of result return a higher possibly and investments. SAMA’s on averaged (Brent) prices Oil July in barrel $108.6 per per $103.2 to compared June in barrel deposits with banks foreign contracted 9 investments in July, year-on-year percent in foreign securities accelerated by 21.4 percent and foreign currency assets (ex- cluding gold reserves) rose by 13.4 per

ent) rc pe in n-year -o year 20 16 12 8 4 0 Jul-13 Jul-13 owth, RHS Jan-13 M3 gr Jan-13 Jul-12 Jul-12 Foreign Foreign assets accumulation - contin ues. Saudi Arabia’s foreign ues. assets Saudi grew Arabia’s to as high in billion SR2,560 July a of record a result of robust oil revenues and pos- sibly a higher return - on invest SAMA’s $108.6 averaged (Brent) Oil prices ments. to per$103.2 percompared barrel in July barrel in June while the Kingdom’s output oil rose from 9.6 million barrel per day (mbpd) in June to 9.7 mbpd in July. With regard to foreign assets, SAMA’s money, money, stood at 7.8 year-on-year in July (0.6 percent month-on-month). money liquid that While indicates expansion this is being deployed in it the alsoeconomy, raises inflationaryconcerns particularly as currency outside banks accelerated by 14.5 percent the year-on-year, highest in liquidity the of result a As months. sixteen increase, the money multiplier broke its 2-month trend upward in May and June, in July. 4.94 percent recording A Jan-12 ND Jan-12 ntribution to M3 Growth Bank Credit A Co r r to Jul-11 to Jul-11 A & ND NF A Jan-11 edit to private sec NF Jan-11 Cr Claims on public sec on-year change) Jul-10 0

Jul-10

0

30 20 10

40 30 20 10 -10 -20 cent) er (P centage point) centage er -10 (P -20 -30 (year- Monetary and banking data from the Saudi Arabian Monetary (SAMA) are Agency consistent with our that view private sector performance in bank of Growth solid. theremains Kingdom credit to the sector private is and healthy high oil revenues are supporting foreign assets. This performanceis alsoreflected by a buoyant growth of money supply which a maintained digit double year-on year growth for the eleventh consecutive month. Growth in broad money (M3) picked up to 15 percent (0.5 percent year-on-year month-on-month) in July from 14 percent in June. The narrower M2 measure, which includes deposits, demand time and savings deposits and currency outside banks, also increased (0.7 percent to 15.9 year-on-year percent month-on-month) in July versus 14.3percent in TheJune. ofgrowth the- mon etary base, the most liquid measure of 42 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 special report and December this year period between August by SR67 billion for the their credit portfolio we expect banks to grow 16 percent. this On basis, year-on-year growth of retain our forecast of rest of the year, thus we remain strong for the sector most is likely to Credit to the private of lending growth picked up in the fourth fourth the in uppicked growth lending of type this of pace The lending. consumer for demand growing a meet to portfolios banking retail strong maintained have a billion. SR1,092 to July in year-on-year percent 15.6 advanced privatesecurities, in ment invest- include which sector, private on claims year.Overall last period same the SR86.6percentbillion,in than4.4 higher to expansion credit year-to-date the ing push- July in billion SR10.9 by portfolio credit solute their increased banks terms, ab- In appetite. risk in change a than er to seasonal factors during Ramadan rath- related appears year. since This last November rate lowest the percent, 1 to July in slowed also credit private in pansion ex- month-on-month of pace The June. in year-on-year percent 15.9 from July in year-on-year percent 15.3 to slowed (excludingtorinvestmentssecurities) in sec- the private to credit of growth The Maintained Positive Growth Credit to Private Sector of deposits slow. growth while entities quasi-government to credit and bills treasury as well as tor - sec private the on claims of form the in economy the into deployed being funds additional to due mainly is This 2008. December since level lowest their to fell The latest data also shows that banks banks that shows also data latest The in the public sector employmentand five increasingyears labor of reforms,strong of market years two by boosted is which Kingdom the in demand domestic strong rapid the This growth 2010. ofend reflects Marchofpercentthe at compared27 with percent 31 lendingofat bank end total the for accounts lending Consumer available. is data which for rate growth highest the year, this quarter first the in percent 24.5 growthhas accelerated recently, recording of pace The then. since rates growth digit quarter of 2010, recording quarterly double (year- 12 16 20 24 28 -4 (percent) 0 4 8 10 12 14 16 18 0 2 4 6 8 Jul-10 on-year change) Mar-09 Consumer L Real EstateF Cars &Equipment,ppt O ther ConsumerL Jan-11 Sep-09 Co oans inance, ppt

Mar-10 ntribution toC , %y/y Bank DepositsandLoan oans Jul-11 , ppt

Sep-10 Gr Jan-12 onsumer Lending oss loans h piae etr s ot iey o re- to likely most is sector private the national disposable income. risingasparticularly well housingasfor demand domestic strong both by ported sup- years two next the over sector vate pri- the to credit bank digit double a ing maintainof- part key a remain to likely is cent.Looking forward, consumer lending per 15 up was finance auto while year earlier the from percent 23 surged nance fi- estate real 31, March to months three GDP.privatenon-oil the in growththe In Mar-11 We maintain our view that credit to to credit that view our maintainWe

Jul-12 Sep-11 s

Mar-12 To Jan-13 tal deposits

Sep-12

Jul-13 Mar-13 -

special report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 43 - As As monthly growth in credit to - pri Bank profitabilitycontinues to ben-

July which with coincide July the beginning of Ramadan this Demand year. deposits ac- counted for 63 percent of overall deposits percent 60 with compared July, of end the at deposits demand July, In December. last in grew by SR9.4 billion or 1.1 percent from At and up 20.3 June year-on-year. percent the same time, time and saving deposits though June, from percent 2.5 by declined year a than higher percent 6.1 remain they earlier. Foreign currency deposits falling month, eased consecutive second the for by 0.6 percent month-on-month in July. Thisis normal as depositors began a sea- occurs typically dur that withdraws sonal months. the summer ing vate sector and non-financial ment - govern entities (1.2 percent) has not been matched by growth system-wide in loan-to-deposit ratio - accel deposits, the erated from 81.5 percent in June to 82.5 percent in July, the highest level year. last November since efit from preferred operation lower - face environ banks as Kingdom the in ment funding cost, rising demand for credit and lower accumulation of - provision ing. As of July, cumulative bank profits fact, In year-on-year. 4.6 percent up were monthly profitsrecorded new highs for - com July in month consecutive third the pared with the in months corresponding the last years.five This is in linewith our view that bank profits thisyear on track - bil SR34.7 of high all-time the surpass to in 2006 recorded lion Bank profitability continues to benefit from preferred operation environment in the Kingdom as banks face lower funding cost, rising demand for credit and lower accumulation of provisioning. As of July, cumulative bank profits were year-on-year 4.6 percent up

cent) er (P - c De 30 25 20 15 10 5 0 -5 ov Jul-13

n tN n-year change - RHS Oc -o ar Ye 5-year mi ep gS Au x Jul-11 Jul 5-year ma Strong Profit Flat Bank Deposits But But Deposits Bank Flat Following a small contraction in bank June, deposits were flat in July. low The interest rate environment has continued to support deposits in non-interest bear ing demand deposits. This trendhas also in factors seasonal other by enforced been largely due to their- due bank hold increasing largely ings of treasury bills which expanded by 1 percent month-on-month while their investment in bonds fell by 6 Credit to percent. public sector enterprises also rose almost 4 percent in 0.8 contracted the having billion, SR48 to month July to in June. percent Jun Time & Saving - y

Bank Profits Ma Jul-09 Apr o t in 2013 omposition of Bank Deposits of omposition C Demand Mar Monthly pr

eb nF Ja ther O Jul-07 0 600

400 200 800 4.0 3.5 3.0 2.5 2.0 1.5 1.0 0.5 0.0

Bank claims on the public sector rosesector public the on Bankclaims -0.5 1,400 1,200 1,000

(SR billion) (SR (SR billion) (SR main main strong for the rest of the thus year, we retain our forecast of growth year-on-year of 16 percent. On this basis, we expect banks to grow their credit port - folio by SR67 billion for the period be- tween August and December this year. While both and demand of supply credit is likely to remain strong for this period fun - economic domestic to owing strong turmoil political the regional damentals, mar general on risk downside a presents growth. credit on hence sentiment, ket by only 0.3 percent inmonth-on-month July. The SR266.6 billion in public sec- tor claims are up 21.3 percent from the was in July loan growth New earlier. year 44 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 report while bringingwhile together the world’s most market, regional value high the into way gate- effective an provides it – platform is networking business important Week an such Jewelry International Dubai why is This world. the around from ers consum- luxury attracting sector, the of forefront the at been always has Dubai and market, luxury East’s Middle the to contributor major a is jewelry and Gold globally.and regionally jewelry, both and gold for demand consumer of increase significant a confidence in has resulted er “Lowergold prices and growing consum - said: Week, Jewelry International Dubai organizes which DWTC, President, Vice Senior LohMirmand, Trixie event. trade and exhibitorsconsumer four-day the in 360 part taking than more from jewelry fine finished and metals andpreciousgems will look to purchase the latest rough stones, Macedonia, Ukraine, Turkeyand Arabia, Kuwait,Saudi Russia, Bahrain, Albania, Dubai World Trade Centre (DWTC). at 4-7 Dec. on held be Weekto Jewelry upcomingatInternationalers the Dubai turnout ofregisteredpected hostedbuy - ex- the in reflected also is demand elry - consumerjew goldofupswingregional and global year-on-year.percentThe 13 up – billion 3.4 $ worthdemand jewelry Saudi gold consumer of while tons 71.7 saw Arabia billion, $3.5 worth tons 73.1 reaching percent, 23 by grown has prominently. with the UAE and Saudi Arabia featuring ing 225.8 tons and valued at $10.9 billion, reach- percent, 25 by grown has jewelry said regional consumer demand for gold report the period, time same the During Trends report published this month said. World the Council’s Gold Demand Gold billion, $183.9 at valued and tons 3,757 reaching 2013, September ending year the for percent 20 by grew worldwide C Reports Double Digit Double Growth Reports Consumer Demand for Gold Jewelry onsumer Dedicated top-level buyers from from buyers top-level Dedicated demand jewelry gold UAE, the In

demand for gold jewelry jewelry gold for demand report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 45 - - gov Indian of the “The intervention For the 11th consecutive quarter, The largest component of component largest The 487t in was demand global with compared Q3 2013, last period same the 462t in percent. 5 of increase an year, particularly was Demand the where China, in strong a 164t, of rise reached figure with to compared 29 percent year. last period same the jewelry the in growth Robust the in seen also was sector and, Turkey East, Middle South across significantly, China. beyond Asia, East that that full year consumer demand is still - to 2012 the exceed narrowly to track on while that was this of effect side One tal. global recycling of gold fell 11 percent compared to the same quarter in 2012, in India the recycling figureincreased to 61t. fivefold than more ernment in restricting gold imports to the country is reflectedobviously in the official levels demandof this quarter, but this by no means indicates that the for appetite gold in India is waning. We have seen some increases in demand in other countries which have close links with some India, of which bemay mak- ing its way back to the country through illicit channels, which have reopened in recent quarters following a long period added. Grubb inactivity,” of central banks were net buyers of gold, purchasing 93t. Meanwhile demand in the technology sector was at 103t. Theaverage gold stable, price for the quarter was $1,326/oz, down 20 per cent on the same quarter last year. In value terms, gold demand in Q3 2013 was $37 billion, down 37 - com percent Q3 2012. to pared - - - - The restrictions introduced by the Far and away the largest - compo Global bar and coin demand also “The growthwe are seeing in - jewel Indian Indian government on importing gold through official channels had tended effectthe in- of substantially - suppress ing demand, with total gold - consump tion in India standing at 148t compared in to Q3, 310t in Q2 of However, this the year. strength of Indian mand in the firsthalf of theyear means de- nent nent of global demand was 487t in Q3 2013, compared with 462t in the same period last year, an increase of 5 per showed a year-on-year increase, - reach ing 304t, a rise of 6 percent compared to the same period last year. This takes overall investment in bars and coins so far this year to 1,252t, a rise of 36 per bars ry, and coins - in demon particular, strates once again the unique diversity of gold demand, as different sectors in- points crease different at in prominence in the global economic cycle, clear evi- dence of the ebb and flowof whatis an added. he market,” liquid extremely compared against the first three quarters quarters three first the against compared of previous years. As of the end of Q3 2013, demand stood at 2,896t, 26 per cent higher than the same year-to-date in 2012. figure in strong particularly was Demand cent. China, where the figurereached 164t, a rise of 29 percent to compared with the same period Robust growth in last year. the jewelry sector was also seen in the Middle East, Turkey and, significantly, across South East Asia, beyond China. Afterof eightyears decline, the US jew- elry market had its third quarter of growth consecutive with a shiftto higher re-emergence the signaling – items carat of aspiration and luxury as key drivers jewelry gold of in the US. cent compared to the first three quar ters of 2012. Marcus Grubb, Managing at Gold Investment the Director, World Council, said: with “Consistent the first two quarters of 2013, the global market gold remains resilient, underpinned by the continued shift in demand from West to East, strong demand in sumer and categories solid - con central bank technology sectors.” and - Jamil Jamil M. Ali Farsi, founder of Farsi Thirdquarter gold demandof 869t Investment in bar and coins saw 2013 in Q3 gold Overall for demand the far, so whole a as year the Taking prominent prominent jewelry makers and serious buyers.” international Jewellers from Saudi Arabia, the one hosted buyers of at last year’s Dubai International Jewelry Week, “The show’s Hosted Buyer added: Program is a highly-effective wayto meet new and existing vendors, engage from suppliers - new prod source and the world around ucts – is the always quality of exhibitors outstanding.” this 2012, Q3 than lower percent 21 was is due primarily to the Indian - govern ment intervention in ETF in fall year-on-year the their and market, domestic this in gold of price Average investment. 20 percent down was $1,326/oz, quarter on Q3 2012. Global demand jewelryfor up 5 on was percent 487t in the quarter, last year. US jewelry demand increased quarter third highest the – percent 14 by Q3 2009. jewelry since figure demand robust demand, up 6 percent year on year to 304t. Therewas net a adjusted investors 119t, as of ETFs from outflow their portfolios. Net central bank pur chases totaled 93t, 17 percent down on Q3 2012. Central banks have now been net purchasers of gold for 11 consecu- technology the in Demand quarters. tive sector was stable once again, totaling 103t, a rise the on same 1 peof percent - 1,146t. is supply Total riod year. last was 869 tons, down 21 percent on the same period a year ago. However, de- mand remained strong countries across and sectors. most The exceptions were gold-backed ETFs, which had net outflowsof 119t this compared quarter, to 402t the in where Q2 India 2013, and the in intervention government of result Indian gold market was to reduce de- this 71t quarter. by mand jewelry, bar and coin sectors are - show ing year-to-date increases, while - tech nology demand remains robust. ETF investment demand is the notable ex- The weakened having ception, this year. de- coin and jewelrybar of and strength mand in 2013 to date can be seen when 46 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 PROJEcTs UPDATE

SaudiSaudi Arabia Arabia Pr ojecProjectsts Update Update

Award Start Completion ProjectCitySectorFacility Budget Status Date Date Date Engineering & Kemya Elastomer Plant – O sites and Utilities Jubail Petrochemicals O sites & Utilities 500000000 Q2-2012 Q1-2009 Q3-2015 Procurement Engineering & Kemya Elastomer Plant – Polybutadiene Rubber (PBR) Plant Jubail Petrochemicals Petrochemical Plant 600000000 Q2-2012 Q1-2011 Q1-2015 Procurement Engineering & Kemya Elastomer Plant – Carbon Black Plant Jubail Industrial Carbon Black 300000000 Q2-2012 Q4-2008 Q4-2015 Procurement King Abdullah Financial District – Capital Markets Riyadh Construction O ce Buildings 300000000 Construction Q4-2010 Q2-2008 Q1-2013 Authority Tower King Abdullah Financial District – Saudi Stock Exchange Infrastructure, Commercial Engineering & Riyadh 267000000 Q3-2012 Q1-2010 Q1-2014 Headquarters – Tadawul Tower Construction Buildings Procurement King Fahd Causeway Authority – Saudi-Bahrain Eastern Region InfrastructureRoads 285000000 Design Q4-2013 Q2-2011 Q4-2016 Causeway Expansion Kingdom Holding – Emaar Properties – Kingdom Tower or Mixed-Use Jeddah Construction 1300000000 Construction Q1-2011 Q3-2007 Q1-2017 Mile High Tower Development Mixed-Use Engineering & Knowledge Economic City (Overview) Medina Construction 8000000000 Q2-2011 Q3-2006 Q4-2020 Development Procurement Kuwait Gulf Oil Company (KGOC) – Gas and Condensate Condensate Kha iRe ning 2000000000 Construction Q1-2012 Q1-2011 Q2-2014 Export System Re nery Engineering & LUBEREF – Lubricants Re nery Expansion Yanbu Re ning Lube Oil 1000000000 Q4-2012 Q4-2009 Q1-2016 Procurement Maaden – Alcoa – Al Zabirah/Al Baitha Bauxite Mine North Mining Bauxite 200000000 Construction Q1-2011 Q4-2002 Q3-2014 Petrochemical Engineering & MAADEN – Development Overview Ras Az Zawr Industrial 5000000000 Q3-2006 Q4-2004 Q4-2013 Complex Procurement Engineering & Maaden – Gold Processing PlantAl Humiyah Industrial Gold Re nery 300000000 Q1-2013 Q1-2013 Q1-2015 Procurement Maaden – Phosphate Mine – Al Khabra Deposit Al SharqiyaMining Phosphate 6000000000 FEED Q4-2013 Q1-2010 Q4-2016 MAADEN – Ras Al Khair Alumina Re neryRas Al Zour Industrial Aluminium Smelter 1000000000 Construction Q1-2012 Q2-2003 Q3-2014 MAADEN – Ras Al Khair Aluminium Smelter Ras Al Zour Industrial Aluminium Smelter 7000000000 Construction Q4-2008 Q2-2006 Q2-2013 Maaden – Sabic – Mosaic – Waad Al Shamaal Mining Mining, Engineering & Ras Al Khair Phosphate 6900000000 Q3-2013 Q1-2010 Q4-2019 City (Overview) Infrastructure Procurement Maaden – Sabic – Mosaic – Waad Al Shamaal Mining Petrochemicals, Engineering & Ras Al Khair Petrochemical Plant 850000000 Q3-2013 Q1-2013 Q4-2016 City (Package 1) – Ammonia Plant Fertilizers Procurement Maaden – Sabic – Mosaic – Waad Al Shamaal Mining Petrochemicals, Ras Al Khair Petrochemical Plant 750000000 EPC ITB Q4-2013 Q3-2007 Q4-2016 City (Package 2) – DAP / NPK / BOP Fertilizers Maaden – Sabic – Mosaic – Waad Al Shamaal Mining North Fertilizers Phosphoric Acid 400000000 EPC ITB Q1-2014 Q2-2013 Q4-2016 City – Phosphoric Acid Plant Feasibility Madinah Development Authority – Madinah MetroMedina InfrastructureRailway 1000000000 Q3-2014 Q2-2013 Q4-2016 Study Makkah Municipality – Solar Power PlantMakkahPower Solar Power 640000000 EPC ITB Q3-2013 Q1-2012 Q3-2015 Makkah-Madinah Rail Link – Haramain High Speed Engineering & Western Region Industrial Railway 12000000000 Q1-2009 Q3-2006 Q4-2014 Rail Link (Overview) Procurement Makkah-Madinah Rail Link – Haramain High Speed Engineering & Makkah InfrastructureRailway 2000000000 Q1-2011 Q1-2009 Q1-2015 Rail Link (Phase 1, Package 2) Procurement

Award Start Completion ProjectCitySectorFacility Budget Status Date Date Date Makkah-Madinah Rail Link – Haramain High Speed Makkah InfrastructureRailway 9900000000 Construction Q4-2011 Q2-2009 Q4-2014 Rail Link (Phase 2) Engineering & Mara q – Jubail Sea Water Reverse Osmosis 4 Jubail WaterWater Treatment 250000000 Q4-2012 Q2-2011 Q4-2014 Procurement Engineering & Minerals Railway – Al Zabirah to Al Jalamid Railway ProjectAl Jalamid InfrastructureRailway 280000000 Q1-2012 Q2-2003 Q1-2014 Procurement Ministry of Education – Imam Mohammed bin Saud Mixed-Use Riyadh Construction 400000000 EPC ITB Q4-2012 Q4-2007 Q4-2014 Islamic University Development Ministry of Health (MOH) – Expansion of the King Faisal Medical/Health Engineering & Jeddah Construction 354000000 Q1-2013 Q1-2010 Q3-2014 Specialist Hospital and Research Centre Facilities/Spa Procurement Medical/Health Ministry of Health (MOH) – King Abdullah Medical City Western Region Construction 300000000 EPC ITB Q3-2012 Q2-2015 Facilities/Spa Ministry of Health (MOH) – King Fahad Medical City Medical/Health Engineering & Riyadh Construction 950000000 Q3-2012 Q3-2011 Q4-2015 Development (Overview) Facilities/Spa Procurement Ministry of Health (MOH) – King Fahad Medical City Medical/Health Engineering & Riyadh Construction 370000000 Q3-2012 Q3-2011 Q4-2015 Development – Cancer Center Facilities/Spa Procurement Ministry of Health (MOH) – King Fahad Medical City Medical/Health Engineering & Riyadh Construction 80000000 Q3-2012 Q3-2011 Q4-2015 Development – Central Services Building Facilities/Spa Procurement Ministry of Health (MOH) – King Fahad Medical City Medical/Health Engineering & Riyadh Construction 290000000 Q4-2012 Q3-2011 Q4-2015 Development – Neuroscience Center Facilities/Spa Procurement Ministry of Health (MOH) – King Fahad Medical City Medical/Health Engineering & Riyadh Construction 200000000 Q3-2012 Q3-2011 Q4-2015 Development – Research Laboratory and Consultant O ces Facilities/Spa Procurement Medical/Health Ministry of Health – King Khalid Medical City Dammam Construction 4300000000 Design Q1-2013 Q1-2011 Q1-2017 Facilities/Spa Ministry of Higher Education – Najran University – Medical Medical/Health Engineering & Najran Construction 48000000 Q2-2011 Q3-2010 Q2-2014 College for Women Facilities/Spa Procurement Medical/Health Engineering & Ministry of Higher Education – Najran University Hospital Najran Construction 150000000 Q4-2011 Q1-2010 Q1-2015 Facilities/Spa Procurement Residential Ministry of Housing – Housing Programme Various Construction 67000000000 EPC ITB Q4-2012 Q4-2011 Q4-2016 Development Ministry of Transport & Communication – GCC Various InfrastructureRailway 12000000000 Design Q4-2013 Q2-2005 Q2-2017 Railway Network Ministry of Transport – Jeddah Light Rail Transit (LRT) Jeddah InfrastructureRailway 5600000000 EPC ITB Q1-2013 Q2-2010 Q4-2016 Network {Jeddah Metro} Engineering & Ministry of Transport – Jeddah Ring Road Scheme (Phase 3) Jeddah InfrastructureRoads 61000000 Q4-2010 Q2-2008 Q1-2013 Procurement Engineering & Ministry of Transport – Jeddah Ring Road Scheme (Phase 4) Jeddah InfrastructureRoads 66000000 Q3-2011 Q1-2011 Q1-2014 Procurement Ministry of Transportat – Dammam Light Rail and Bus Feasibility Dammam InfrastructureRailway 7500000000 Q3-2015 Q3-2013 Q3-2019 Network (Dammam Metro) Study National Industrialization Company (TASNEE) – Metals Feasibility Yanbu Mining Zinc 1000000000 Q4-2012 Q1-2010 Q4-2014 Smelter Complex Study

PROJEcTs UPDATE Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 47

or www.dmsglobal.net or Review Economic and

For more information contact Editorial Department Department Editorial contact information more For Saudi Commerce Commerce Saudi

tudy S x omple C Smelter

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t ocuremen Pr

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Engineering & & Engineering

t ocuremen Pr

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Engineering & & Engineering

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acilities/Spa F

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elopment – Neuroscience Neuroscience – elopment Dev acilities/Spa F nter Ce t ocuremen Pr

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acilities/Spa F Building vices Ser ntral Ce – elopment Dev t ocuremen Pr

80000000 tion onstruc C adh Riy Q4-2015 Q3-2011 Q3-2012

y of Health (MOH) – King F King – (MOH) Health of y Ministr Engineering & & Engineering Medical/Health City Medical ahad

nter Ce Cancer – elopment Dev acilities/Spa F t ocuremen Pr

tion onstruc C adh Riy 370000000 Q4-2015 Q3-2011 Q3-2012

y of Health (MOH) – King F King – (MOH) Health of y Ministr Medical/Health City Medical ahad Engineering & & Engineering

view) ver (O elopment Dev acilities/Spa F t ocuremen Pr

tion onstruc C adh Riy 950000000 Q4-2015 Q3-2011 Q3-2012

y of Health (MOH) – King F King – (MOH) Health of y Ministr City Medical ahad Medical/Health Engineering & & Engineering

acilities/Spa F

y of Health (MOH) – King Abdullah Medical City Medical Abdullah King – (MOH) Health of y Ministr tion onstruc C Region estern W EPC ITB EPC 300000000 Q2-2015 Q3-2012

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Engineering & & Engineering

hase 2) hase (P Link Rail

ah kk Ma astruc Infr eR tur ailway 9900000000 onstruc C tion Q4-2011 Q2-2009 Q4-2014

ah-Madinah R ah-Madinah kk Ma ail Link – Haramain High Speed High Haramain – Link ail

Date Date Date

Projec tC yS it rF to ec acility Budget Status

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Rail Link (P Link Rail hase 1, P 1, hase ack age 2) age Pr ocuremen t

Ma kk ah Infr astruc tur eR ailway 2000000000 Q1-2011 Q1-2009 Q1-2015

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t ocuremen Pr

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Engineering & & Engineering

Date Date Date

Status Budget acility rF to ec yS it tC Projec

d d ar Aw t t tar S ompletion C

ts Update ts ojec Pr Arabia Saudi 48 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 special report Outlook Shows Steady Oil Market

special report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013

49

Jul-13

-13 Mar

Nov-12

Jul-12

-12 Mar

Nov-11 Jul-11

tion

-11 Mar of of the Assad regime also regional complicates geopolitics. All in all, includes if the one 1mb/d-plus of sanctions- affected Iranian oil, the markets have had to deal with some 2-3mb/d of - sup ply at disruptions various points during the year. Prices Have Remained Elevated Remained Have Prices These supply disruptions sured prices remain relatively elevated. have en- However, having briefly worried markets when August in $120/b approached about a possible US strike against Syria have prices cards), the on longer no (now not spiked as much as the scale of - sup In suggested. have might disruptions ply fact, the average price for in Brent 2013 is expected to come in lower than last The reason main $107/b. year around at for this is the continued boom in shale oil which production is adding al- US most enough oil on its own to the cover

, Bloomberg) - Nov-10

(000b/d

Oil Produc Jul-10

-10 Mar

ran raq I I

Nov-09

Jul-09

-09 Mar Nov-08 Syrian Syrian and Yemeni production 4000 3500 3000 2500 2000 also remain disrupted, and output Nigeria in has been affectedby politically motivated attacks on oil infrastructure. Meanwhile, Iranian supply continues to be curtailed by US sanctions which, despite the resumption of talks over its nuclear program, seem likely to stay in place for some time - yet. involve Iran’s ment in Syria and poor relations with Saudi Arabia which supports the fall rently still running at just 650,000b/d, or or 650,000b/d, just at running still rently Political capacity. of percent 50 than less strains are also negatively from the where spill-over in Iraq supply impacting Syria ledhas to athe in deterio- conflict ration in the security Iraqi situation. oil production was scheduled to increase strongly during 2013-14, but the instead country has struggled to maintain production much above 3mb/d, and it tar 3.8mb/d its hit will it unlikely seems end-2014. by get arket Outlook reportarket - is projected to rise by demand

US shale oil production continues to to continues production oil shale US il O The aftermath of the Arab Spring which ofthe Arab aftermath The began in Tunisia in 2010 continues to Middle broader the through reverberate region African (MENA) North Eastand with adverse consequences for oil - sup ply. In particular, post Libya’s Gaddafi political framework fragileremains and disjointed, leading to periodic supply disruptions as factions vie for control of oil revenues. Such disputes almost completely stopped Libyan supply in September and, although production has since been restored in the western cur is supply overall country, the of part Recent Developments: Supply Supply Developments: Recent in 2013 Continue Disruptions Saudi Arabia has responded to supply problems in OPEC producers Libya and Iraq and Libya by in OPEC producers problems supply to has responded Saudi Arabia the likelihood Given year in the sustained disruptions of 10mb/d. output to boosting its maintain is expected OPEC to MENA region, strains in the the political to ahead due cartel30mb/d balance the market, to supply Arabia adjusting quota, with Saudi wide Oil MBA M SA to according around around 1mb/d during 2014-15. will be This driven by increases in ing - emerg markets while consumption in the OECD continues to decline, albeit at a be will growth demand Such rate. slower comfortably met by sustained increases in non-OPEC led supply, by growth in North America, and expanded OPEC NGL output. As a result decline. to crude willOPEC continue the call on rise strongly and has boosted total US oil supply by 2mb/d since early 2011. Current oil production is now around 7.7mb/d, and most analysts expect this to rise to 10mb/d by 2020-22. However, this is dependent on oil prices - remain ing high enough capital to investments – fund estimated to necessary be around $95/b for Brent. This potential price floor could betested should there be an (unexpected) easing in political constraints currently affecting supply. Thiscould lead torecovery a Libya in gains production, stronger in Iraqi - sup and the ply, return of sanctions affected output. Iranian 50 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 special report declining rate to contract, albeit at a the OECD continue will pick up, oil demand in impetus. Despite this providing much of the advanced economies 4 percent by 2015,with percent in 2013to near to revive from under 3 GDP growth projected is consumption. Global help15 will support oil economy during 2014- recovery in the global demand side, an expected mixed outlook. the On The oil markets face a demand will thus continue to depend depend to continue thus will demand oil in Growth rate. declining a at albeit contract, to continue will OECD the in demand oil up, pick this Despite petus. im- the of much providing economies advanced with 2015, by percent 4 near to 2013 in percent 3 under from revive tion. Global GDP growth is projected to consumpoil support- help will 2014-15 during economy global the in re covery - expected an side, demand the On outlook. a mixed face markets oil The Market Outlook spate of supply disruptions. the to response price stronger a prevented- and supplied adequately remain markets that ensured has This OPEC. in elsewhere disruptions supply offset to recently, 10mb/d topped has which production,own its boosted has Arabia Saudi substantially, more But April. in production Sudanese South of return year (estimated at around 970,000b/d). increase expected in demandglobal this Supply has also been bolstered by the emerging markets assets again. This is This again. assets markets emerging nerable if global sentiment turns against - vul remain some and subdued, tively rela- rates growth keep will imbalances structural address to need the although 2013, in slowdown a after recover to ed - emergingmarkets.on expect are These Samba estima 1000 1200 1400 1600 1800 200 400 600 800 Emerging Markets China Brent Euro Area Japan US Euro Area Japan US Wo 0 rl

d Nov-08 t es andfo Apr-09

Sep-09 r ecasts 111.0 2012 0.75 0.25 0.10 Real GDPgrowth(per -0.6 5.1 Feb -10 7.8 1.9 2.8 3.2 O Oil Pric Libya OilProduc

Wo cial polic Jul-10 rld Ec (000b/d e ($/bperiod onomic Outlook 2013f 107.0 y rate , Bloomberg) -0.5 0.10 0.50 0.25 Dec-10 4.0 7.7 1.9 1.7 2.9 tries to address fiscal and current ac- count imbalances. current and fiscal address to tries coun- on pressure the rise, keep will to which rates interest market for and 2014 in end an to program easing tive quantitaits - bring to Fed US the expect not our central scenario, although we do (endperiod)

ce Ma y-11 av nt change) tion er age) Oct -11 2014f 105.0 0.10 0.50 0.25 4.4 7.3 1.5 2.8 3.5 1.0 Mar -12

Aug-12 2015f 0.10 0.50 0.75 Jan-13 99.0 5.1 7.1 1.4 1.5 3.3 3.9

Jun-13 special report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 51 - Non-OPEC Non-OPEC crude oil production is

output, output, are expected to in 2014, 1.4mb/d and this 1.3mb/d year, total around 1.2mb/d in 2015. Given this scenario the expected call on OPEC supply will continue to decline from an estimated 30.5mb/d in 2013 to around 29.8mb/d in 2015. All serious things some with OPEC present should being equal this supply management challenges as Iraqi production is scheduled to expand - rap output in idly, the eastern part of Libya could be fully restored, and there is return may oil Iranian a that chance small to the Prices market. should also be un- der pressure but, as we have seen this year, supply disruptions, mainly within OPEC, have helped tighten the market and it seems likely that this trend will continue. In fact oil analysts have now generally raised their the assumption amount of oil likely to be off of lineat any time from a historic 500,000b/d to 1mb/d. 900,000b/d around by up be expectedto this year (2013), driven almost entirely by sustained gains in North which America have offset where, contractions most notably else in - the North Sea shale - In oil particular, pro and Mexico. duction continues to grow rapidly the in USA, and this is being augmented by strong increases in while ahead, Looking production. sands Canadian oil still strong at 670,000b/d in 2014 and 530,000b/d in 2015, US supply growth offset will be this But off. ease to likely is by returning Sudanese production and gains in Brazil and Kazakhstan, that such non-OPEC crude growth will rise to easing before year 940,000b/d next to 870,000 in 2015. to Add this the growth in NGL production from both OPEC and and producers, non-OPEC the new biofuels supply, and the look impressive. volumes supply incremental tel will have to address the issue of - indi of the issue address to willtel have vidual quotas in the of context bringing increasing Iraqi supply under control The cartel next meets in December when December in meets next cartel The we expect it will just continue production OPEC total current the to over roll car the point some At 30mb/d. of quota OPEC OPEC 2015f

2015

2014f 2013f tal

To 2012

Global Demand 2011

2014 2010 ) )

OECD expand, and is projected to add between add to projected is and expand, 300-350,000b/d in incremental oil de- years. two the next in each of mand Underlying Supply Growth Likely Growth Supply Underlying Demand Outstrip to an- for projection modest relatively This nual growth in global oil demand over 2014-15 should be easily met by in Increases tained in expansion supply. - sus non-OPEC crude and liquids - produc tion, together with gains in OPEC NGL 2009

(mb/d; PFC

(000b/d; PFC 2008

2013 2007 Global Oil Demand Growth Global Oil

OPEC + OPEC NGL Supply 2006 OECD Non-

Change in Global Supply and Demand

Non- 2005

2012

2004 2003 Overall we expect global oil de- 0 500 0 2 4 1000 1500 -2 mand mand will grow by just over 1mb/d in both 2014 and 2015, up from around 970,000b/d this year. China will - con tinue to drive much of this with annual - own car as 400,000b/d over of increases ership and miles driven continue to ex- pand despite a rapidly, likely slowdown two next the over growth GDP overall in to will also continue Arabia Saudi years. be as its a growth demand key of source population and economy continue to 52 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 special report -1000 1000 1500 2000 are also likely to remain in place for the the for place in remainto likely also are sanctionsearlier, Iranianmentioned As flows. oil disrupt to continue to likely is situation security and political tense the butyear, next early Iraq in up start a longer.while for Large new fields are due avoided to be can this like looks it circumstances, current However,under crude. OPEC on call declining a of face the in outputIranian of return possible War), the accommodatingGulf and the (Iraq has been exempt from quotas since -500 105 115 125 500 65 75 85 95 0 Jan-10 2011 May-10 Br WT ent Sep-10 I 2012 Shale OilPromptsPric T otal Non- Jan-11

May-11 2013 OPEC SupplyGrowth ($/b (mb/d

Sep-11 , Bloomberg) , PFC) 2014 ply disruptions within OPEC, it is thus is it OPEC, within disruptions ply hard to do. putting afigure the on amount is clearly large although line, off keepoil Libyan amountsof to continue probably discordwill Political 2.6-2.7mb/d. at tion pre- a sanctionsofproduclevel2.2mb/dwith - from down 1mb/d, around at hold to likely thus are exports Iranian sides. both on demands irreconcilable potentially the given future foreseeable

Jan-12 e Di ie eitn ad oeta sup- potential and existing Given ve May-12 rgenc 2015

Sep-12 e

Jan-13 crude Non- USA Canada OPEC NGLs (inc T otal

May-13 OPEC ) &biofuel .

Sep-13 in balance output to help keep markets on Saudi Arabia to tailor its that it continue will to fall OPEC, it quite is possible supply disruptions within Given existing and potential will hold at around $105/b average foraverage $105/b around at hold will Brent that project we such As suggest. would outlook fundamental loose the as much as falling from prices keep to likelyproductionremainsareelevated, Saudi as capacity spare about worries well as a geopolitical risk premium and as disruptions, These years. of couple next the over market oil the of feature supply disruptions will continue to be a largetensions,hence political lutionto reso- limited only be will there that is assumption working Our Nigeria. and - spe most Sudan,Iran, Syria, Libya, Iraq, cifically world, the of parts many in supply affecting currently are that the myriad political stresses and strains belargelybydevelopments determined in will prices oil for path future The forOutlook Prices lenging. chal- politically be will which ducers, pro- OPEC other from cuts secure to look maySaudiaround$90-100/b, then should this be insufficient tokeep prices However, necessary. if supply curb to act UAEKuwait the 2013. also mayand during has it as 9-10mb/d between ate the kingdom’s see output continue to to fluctu - likely is this outlook, uncertain helpmarketskeep balance.Givenin the to output its tailor to Arabia Saudi on quite possible that it continuewill to fall special report Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 53

33000 32000 31000 30000 29000 28000

Nov-19

-19

Mar Jul-13

Jul-18

-13

Mar Nov-17 ) es

Saudi Arabia (lhs)

tion Nov-12 -17

telligence Mar a time when North American oil supply a supply timeoil American when North al - However, strongly. grow to continues though short-term slumps are clearly a possibility, we think that oil prices will is in This $90-95/b. around at floor a find line with research suggesting new shale oil plays in the US need prices around this level to fund capital expenditures growth projected the deliver to required output. in oil In utures Pric

, Energy Jul-12 Jul-16 , 24/10/2013 Bloomberg) ($/b OPEC Produc (000 b/d Brent F

OPEC

Nov-15

-12

Mar

-15

Mar

Nov-11

Jul-14

Jul-11 Nov-13 Thisis more or less consistent with 95 90 85 115 110 105 100 9500 9000 8500 8000 the current futures markets which are signaling a steady decline over the next few years, with prices projected to slip below $90/b by late 2017. Clearly there are downside risks as an easing of po- litical constraints could lead to a surge in supply from Libya, Iraq and Iran at 2014, before slipping just below $100/b $100/b below just slipping before 2014, in 2015. 10500 10000 - - - USA Shale Oil Developments OilUSA Shale Developments rise continues to US shale oil production in line with earlier projections strongly oil in total a 2mb/d increase and has led to US oil pro output since early 2011. Current 7.7mb/d, duction at around running is now to and most oil analysts expect grow this to it seems 2020-22, at which level 10mb/d by are these gains However, likely plateau. to high dependent on oil prices remaining fund the necessaryenough to in- capital with most analysis undertakenvestments, price of around Brent suggesting a required is also some uncertaintyThere over $95/b. but these in shale oil plays, the decline rates - be high, such that produc expected to are drillingand at keep to investing have will ers shale based The historically very high levels. boom in the USA (which startedenergy with soaring shale gas production) has had It has acceler a number of repercussions. the decline in oil importsated was which underway the structuralalready de given the US to According cline in US oil demand. Departmentimportsoil net (DOE), Energy of five last the in percent 40 over by fallen have further and 6.5mb/d today, around to years it needs However, declines can be expected. that much of this decline has be noted to risingbeen driven by oil product exports, in crude oil importsand the drop has been 9mb/d in 2010 around less dramatic – from of 7.8mb/d through an average and 2011 to The DOE data. to according July this year, historical boom has also disrupted energy with the land-locked price relationships, WTIUS based oil price shifting trade at a to discount This Brent. substantial discount to was running at between$10-25/b during as new recently 2011-12, but has tightened flow pipeline capacity oil to allow is built to US natural gas prices the Gulf Coast. have to whereas US oil prices, also decoupled from historically oil and natural gas prices have in tandem. moved 54 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 OIL IN PERSPECTIVE Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 55 - The WEO-2013, however, alsoThe looks WEO-2013,however, Consequently, due to developments hence growth demand oil of pace The Gulf the should why scenario, this In base (of US tight oil), it is going to - pla be will there 2020 After decline. and teau East Middle oil.” of dominance a major closely at how technology is up new types opening of resources, such as light tight oil and ultra-deepwater fields, that were until recently considered too dif- ficult or too expensive to access. would necessarily This result in some loss in market share by Middle East, it agrees concedes. and all around, the share of fossil fuels in the to projected now also is mix energy global per 76 to percent 82 current the from fall sources energy Low-carbon 2035. by cent (renewables and nuclear) has been - pro jected to meet around 40 percent of the growth in primary energy demand. And nearly half of the net increase in electric- ity generation would come from - renew ables. Steadily rising oil prices to per $128 barrel (in year-2012 dollars) in 2035 supports the development of these new deduced. the report resources, of 1 from an average mil - steadily, slows 400,000 just to 2020 to peryear bpd lion as bpd highthereafter, prices encourage efficiency and fuel switching, and the decline in OECD oil use the accelerates, admits. report energy producers invest in unleashing new resources – remains a major - ques answer to needs energyworld The tion? later! than – sooner rather it - Markets Markets are currently giving - con And And this is a real issue. In a buyer’s Warning against complacency in the in complacency against Warning Investments Investments in the sector are - slack tradictory signals. And WEO-13 also agrees to the fact that there are many uncertainties in the market. “We two chapters see in the oil markets. Up to 2020, we expect the tight oil to light, in- crease – I callwould And due a it surge. to the increase coming from Brazil, the need for Middle East oil in the next few years Fatihwill Birol, definitely be less,” the principal author of the outlook told the press. “Due to the limited resource market, with little demand security, why why security, demand little with market, would the producers invest in unleash- This base? resource new tapping and ing After a question. basic business remains all in investments any sector need to be too. feasible economically oil market, the under IEA hence report market, oil been have producers key Gulf lined that adopting a “wait and see approach” to investment, because of the perception that the - US would pro shale revolution oil”. of “abundance an duce ening. ening. Pointing out this anomaly, the WEO-13 projects the possibility of an emerging, possible, oil supply crunch. the in the Due sector, to less investment report speaks of possible higher global crude market prices after 2020, key as Gulf producers delay investment in the output. US shale surging face of - Emerging Supply Crunch Supply Emerging By Syed Rashid Husain* Syed By is a for month significant Thisyear has beenno For different. WEO-13 has beenfrom no different a has played - ma supply Non-OPEC Hence the Middle East needs to be happening! not is that Yet, ovember *The writer is Vice President of Al-Khobar-based Al-Azzaz He writes analyst. a Est., eminent journalist President and energy Vice writer is *The and the BBC. Dawn Saudi Pakistan’s and also contributes to Gazette for Outlook’ ‘Energy popular weekly column N the global energy industry. For it is in this for the each month past year, many years, that the Paris based International - watch energy OECD the Agency, Energy dog, unveils its EnergyWorld Outlook (WEO). The documentis regarded and respected as the most and authoritative on sought-after compilation thestate of global energy industry. 12, good old on November friend, Fatih Birol unveiled the eagerly awaited IEA flagshipcompilation, WEO-13, at the Crown Plaza in London in ence of the Maria van der Hoeven, the IEA - pres ener of galaxy a and Director Executive gy pundits, writers, commentators and correspondents. the previous ones. This too headlines is – all in around the globe the – un- derlining in rather explicit terms continued the importance of the theEast global to energy balance. Middle jor role in meeting the net oil demand growth this decade, but OPEC will play a far greater role after 2020, WEO-13 underlines. rising “Although oil output Brazil Americareduces and North from the role of OPEC countries in - quench next the over oil for thirst world’s the ing decade, large the EastMiddle – the only source of low-cost oil – takes back its growth supply oil of as a key source role the mid-2020s.” from prepared for this role beyond 2020, de- spite the current glut like situation, the report argued. Theregion needs to in- vest in adequately resources, so as to be arises.it when fill to in gap, the able 56 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 new products & technology a hard drive, upgrade memory or access the graphicsthe cardaccess byor snap harda drive, upgrade memory 7 andLinuxoperatingsystems. and front-facing dual-cone speakers. HP Z1 both supports Windows videos HD 1080p shooting of capable camera front megapixel 2.0 It comes with up to 32 GB RAM, Intel Xeon processors up to 3.5 GHz, professionals. entertainment and media digital design, puter-aided trg slto fr hn n lgt ytm, lme notebooks, slimmer systems, light and thin for solution storage drive. O ering OEMs, channel integrators and consumers a unique 1 2.5-inch thinnest hard new mm its 7 with Blue hard drive WD TB WD Brings World’s innest 1TBHard Drive All-in-one/HP Z1 HP WD Z1, A 27 INCH A Z1, The Z1 features a tool-less chassis that enables the user to add to user the enables that chassis tool-less a features Z1 The , A A , W ESTERN all-in-one workstation is aimed largely at com at largely aimed is workstation all-in-one D GTL COMPANYIGITAL o sis h world’s the ships now - - singular option of thin design and high capacity storage.singular optionofthindesign andhighcapacity capacities from 320 GB to 1 TB in the 7 mm height, now provides a in family, drive hard Blue WD the notebooks, mainstream of slots drive mm 9.5 industry-standard the with compatibility as well as load Blu-ray writer. slot- a including drives optical and Drives State Solid SATAdrives, 10K and 7.2K including options storage of range a using Z1 the ize pixels and up to one billion colors. Users have the option to custom all times. at cool stays machine the that ensures which space thermal own its has component Each parts. out swap to chassis the open ping The 27-inch LED IPS display supports a resolution of 2560x1440 resolutionof a supports display IPS LED 27-inch The - new products & Sa uS dAUDI i Co C mOMMER m e r c e aCE n dAND Ec oE nC oONOMI m i c RCe vR i e w /Iss u e 236/DECEMBER 2013 technology 57 - - ful premium experience.” ful premium brand with the power of BlackBerry said 10,” Nick Horton, Managing Director MiddleNorthand East BlackBerry. at Africa of been smartphonehas this of aspect“Every purposely designed and built a for power “Intel is introducing its fourth-generation Intel Core processor processor Core Intel fourth-generation its introducing is “Intel “The release of the WD Blue 7 mm hard drives offers a new thin and light notebook. This most compact 1TB hard drive to- cus- their for path upsell an systems of manufacturers offers date tomers who will now be able to choose systems offering both Capabilities said Roger Bradford, sleek and design high capacity,” Intel. Marketing Manager, family (codenamed Haswell) to deliver faster and more efficient performance to both desktop with and sig notebook platforms, added Bradford. portablenificant gains benefitting systems,” level of storage capacity that further enriches the experience computing for users of Ultrabooks, All-in-Ones and other thin and light said PCs,” Matt Rutledge, Vice President and General WD. Manager products, storage – Client “The new all-touch P’9982 smartphoneP’9982 all-touch “Thenew without compromises. With the P’9982 we extend our range of modern luxury smartphones and establish ourselves as a market in this segment.” leader combines a unique design from an iconic - - and BlackBerry anno- ESIGN D The P’9982, which extends the Porsche Porsche the extends which P’9982, The “Engineered Luxury meets Powered “Users with large portfolios of content no longer need to ORSCHE ORSCHE P mate mate personal experience. smartphone was unveiled at an exclusive The new event in Dubai where the media got chance a to have a hands-on experience with the device. Design luxury brand’s range luxury of smartphones, modern features a satin fin quality finest the from forged frame ished stainless complemented steel, by a hand- wrapped genuine Italian door. leather Distinguishable by its special series back of of owners PIN the numbers, P’9982 will be instantly recognizable in the exclusive world of Porsche owners. Design The smartphone carries smartphone Porsche luxurious, iconic styling uniquely Design’s through the BlackBerry 10 experience to give you an exquisite handset purposely built to excel at mobile communications, and productivity. messaging Performance – what has the been true first for Porsche is Design even truer smartphone for the says JuergenGessler, CEO all-touch of the P’9882,” Porsche “Once again the Design collabora- Group. tion with BlackBerry has led to a device that implements our Iconic Style credo unced the elite, new, all-touch Porsche Design P’9982 Smartphone from Black- Berry. Uniquely designed fashioned and exquisitely is P’9982 the crafted, expertly a features and high-qualitymaterials from version customized of the BlackBerry 10.2 Operating System to give you the ulti Porsche Design P’9982 Smartphone from BlackBerry from Design Smartphone P’9982 Porsche sacrifice capacity when buying an Ultrabook or upgrading to a Readership survey Saudi Commerce

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– Davis Ouseph Thattil Ouseph – Davis Under the terms of the agreement, RSH A contract signing ceremony was con The Salwa Customs housing project is will build nine new housing complexes in the in complexes housing new nine build will Eastern Province. It will also perform restora tion and maintenance works on two addi tional apartment blocks for Nabors, bringing the total housing areas covered by the con tract project 11.The will to be andcompleted the next months, over seven delivered Tanks EPC of Storage CB&I Awarded award been has Iron) & Bridge (Chicago CB&I ed a contract valued in excess of $70 million (SR262 million) by Petrofac Saudi Arabia Co. The project scope includes the engineer Ltd. ing, procurement and construction of crude beingrenery grassroots a at tanks storage oil constructed in Saudi Arabia. Salwa Customs Wins Group 3MCC Apartment Project The International ogy Engineering Company of the Technol 3rd China - Metallurgi cal Construction Group (3MCC Group) has procurement engineering, the awarded been and construction (EPC) contract to build the Apartments.Salwa Customs vened at the Headquarters Construction O ce in of Al Khobar. ETE Mr. Wang Zhou, General Manager of MCC’s branch in Saudi Arabia, and Mr. Basel, CEO of ETE Construc tion, signed the contract respectively on be half of each party. directly invested by the Saudi Finance Min istry. The EPC contract covers a land area of 400,000 square meters and a total oorarea of over 126,000 square meters.The jobsite is located at Salwa, which is on the border of Saudi Arabia and The Qatar. project con sists of 400 family apartments, 200 apartments, single Mosque, roads, The project duration and is other 36utilities. landscaping months. Sign a 4-year and STC Huawei Services Contract Saudi Telecom Company (STC) has signed a 4-year Managed Services contract with Hua wei, a leading global information and com munication technology (ICT) solutions pro provide will Huawei contract, the Under vider. operation and maintenance, and Network Performance Management Services for wire network. and core microwave, less, - - - - -

Serving the Saudi market with an ex socialize, socialize, play and relax in a landscaped set ting that provides an aesthetically pleasing says Fahd environment,” Al-Rasheed, MD & CEO of KAEC. with GE SR1.7B Contract SEC Signs Saudi Electricity Co. (SEC) signed two con tracts worth around SR1.7 billion with Gener al Electric for maintenance of gas turbines at new power plants in Riyadh. The deal would cover maintenance work on the 12 gas units for the combined-cycle The power 25plants. service deal has been divided years’ between and 17 optional years. 8 basic years Service SEC to Provide to Sawary Energy The Saudi Electricity Company awarded (SEC) a contract has to supply Sawary specialized manpower to Energy operate all to power plants in the Western Region. Sawary will execute the project in collaboration with their Malaysian partner, REMACO. REMACO is100-percent owned - byTenagaNasuional Berhad (TNB).Under the contract,Sawary will provide services for SEC to operate gas tur bines, steam turbines and combined cycle turbines. Jeddah Wins Electric Nesma tensive range of services and equipment for power transmission, distribution, protection and control, Nesma Electric has established itself as a leader in the region with distinctive expertise in gas insulated switchgear (GIS) substation extension projects on both the 110 kV and 132 kV levels. Nesma Electric is a fully owned subsidiary company of Nesma Ltd. Holding Co. Contract SR91m Wins Red Sea Housing Red Sea Housing Services Company (RSH) has won a SR91 million contract Naborsfrom and supply to Company Drilling International install prefabricated housing units near its oil exploration projects. Islamic Sea Port Contract SeaIslamic Contract Port Jeddah Islamic Sea Port recently signed an 110/13.8 a for Electric Nesma with agreement kV Substation located near to the sea port authority building. Nesma Electric will build a new substation that adds nearly 225 MVA currently equipment the of capabilities the to in use. When completed, the substation will greatly reduce the likelihood of a large-scale nancial signicant following the and outage losses. ------

S T

C ONTRA C The three-year contract to develop Area to develop contract The three-year hous of construction the for contract The The The rst phase will include construc “Al Waha is an innovative concept com

Development Projects Development The Royal Commission for Jubail and Yanbu (RCJY) has signed two contracts worth more of implementation the for million SR422 than projects inRas Al-Khair and cities. The Yanbu secontracts call for the development of Area B in Ras Al-Khair industrial city (RIC) and the indus Yanbu in units housing of construction trial city. B in Ras Al-Khair has been awarded Harbi Trading and to Contracting Co. The Al- work includes construction of roads, storm ter drainage, wa- power and telecom networks, street lighting and tra c control system, po table water network, irrigation networks, re- ghting and other industry services. related Royal Commission Signs SR422m Commission Royal Community at KAEC at Community Rezaik Al-Jedrawi Company has been award BishaCement plant expansion expansion plant BishaCement The Southern Province Cement Company (SPCC) has signed a turnkey contract with a construction Chinese company for a sec Waha Al for Deal SR300m ing units has been awarded to Bong Kyung Construction Co. Under the contract, Bong will implement a number of housing units in City. Industrial Yanbu in district Al-Jar ond production line at Bisha Cement plant. The SR713 million worth project will a build full production unit with capacity of 5,000 tons of clinker per day. The new production line is scheduled for completionwithin months. 24 ed a contract for the construction of the rst phase Communityof Waha Al at King Abdul lah Economic City (KAEC). The contract value is SR313 million. tion of 650 units oering both multifamily single housing and solutionsin an areaof about180,000 square meters.The pre-leasing will start in 2014 and customer handover is Q4-2015. scheduled for prising several distinct of a open system space corridorsaround and villages organized thatactivity centers with complete roadways, provide places to worship, learn, shop, dine,

CONTRACTS & TENDERS & CONTRACTS

C S

E R I / D 236/ 2013 AUDI OMMER AND E C C ONOMI C EVIEW UE SS

EMBER C E 60 60 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 CONTRACTS & TENDERS 12-Dec. 2013. Ext 1939/1937; Document price: SR1,000; D/L: +966115448300 Tel.:from: Details 2/26/1435; Al-Kharj: in Hospital Military the unit, oces, children’sdining hall and lecture hall at for building of Construction 29-Dec. 2013. Ext 1939/1937; Document price: SR1,000; D/L: 4/024/1435; Details from: Tel.: +966115448300 Al-Kharj: in Hospital at Military the installations various of Renovation D/L: 08-Dec. 2013. der#: 31/40/1434; Document price: SR1,000; Neurology: of Department the for Supply of equipment and requirements SR700;D/L:09-Dec. 2013. price: Tel.: Document 5023; Ext. 00966-114976500 from: Details 23/04/1434; Tender#: vices: Ser Medical Forces Armed the of sion divi maintenance and operation the for vehicles of types various of Supply Document SR2,000;D/L:10-Dec. 2013. price: 34/48/1434; Tender#: ment: Repair and maintenance of lifting equip- SR1,000;D/L:15-Dec. 2013. price: Document 1939/1937; Ext +966115448300 Tel.: from: tal in Al-Kharj: ForcesArmed the Hospi of building the vices for the detection de of new medical entrants of to installation and Supply SR5,000; D/L:15-Dec. 2013. price: Document 5023; Ext +966114976500 from: Tel.: Details ran: Tender#:23/20/1434; Fahd Military Medical Complex in Dhah King the at units chiller the Upgrading Dec. 2013. 24- D/L: SR25,000; price: 5023; Document Ext +96614976500 Tel.: from: Details 23/18/1434; Tender#:institute: service medical a establish to bid the for extension an announced has ate Director Medical Forces Armed The Institute Establishment ofMedical A RMED TENDER D Tender#: 23/20/1434; Details IRECTORATE F ORCES M L EDICA S Tender#: Tender#: Ten ------ment price: SR11,500;D/L:16-Dec. 2013. ment price: Docu 14183/1434; Tender#: 1434-1437: period Municipal - the for Madinah in buildings ity and municipalities in ers Maintenance and operation of comput- SR5,500;D/L:16-Dec. 2013. price: Document 13845/1434; Tender#: cities): and municipalities (suburban palities munici its and Secretariat the to ways gate of beauti cation and Expansion 16-Dec. 2013. D/L: SR23,500; price: Document palities in Madinah: munici its and Secretariat the to ways gate of beauti cation and Expansion 16-Dec. 2013. D/L: SR2,200; price: Document 13970/1434; Tender#: works): of (completion dinah Ma and in schemes new of streets neighborhoods internal of Maintenance D/L: 08-Dec. 2013. der#: 31/43/1434; Document price: SR1,000; upy f ugcl requirements: surgical of Supply Free; price: Document D/L:08-Dec. 2013. evacuation: medical air of department the for vehicles of Supply 08- Dec. 2013. D/L: SR1,000; price: Document 1434; years: ve for partment de sterilization and disinfection the of systems of cleaning and Maintenance D/L: 08-Dec. 2013. Tender#: 31/46/1434; Document price: Free; transportation: for vehicles of Supply price: SR3,500;D/L:16-Dec. 2013. price: Document 13871/1434; Tender#: Rakh): Abu of Municipality Al – Municipality Ola Sector (North Madinah in palities munici its and Secretariat the to ways gate of beauti cation and Expansion D/L: 11-Dec. 2013. 14182/1434; Document price: SR35,000; Tender#: division. technology infor mation computer the of services tion opera- and maintenance the for bids invited has Municipality Madinah The Maintenance ofITdivision M ADINAH MU Tender#: 13979/1434; NICIPAL Tender#: 31/44/ Tender#: IT Y Ten ------

governorate, Duba in surveillance and researches of Operation and maintenance of the boats D/L: 22-Dec. 2013. ests: SR500; Tender#: price: Document 2503; for the in signboards of Establishment SR1,000; D/L:22-Dec. 2013. price: Document 2527; in Tender#: Qassim: Center Research Recycling Waste Organic the for roof a of Construction 06-Jan. 2014. D/L: SR8,500; price: Document 13974/1434; plants in Al-Awali municipality: Tender#: Maintenance and irrigation of trees and 2013. 23-Dec. D/L: SR2,500; price: Document 1434; Silsiah: As in garage and building warehouse a of Establishment SR5,500;D/L:23-Dec. 2013. ment price: - Docu 14233/1434; Tender#:Silsiah: As in market commercial a of Establishment 2013. 18-Dec. D/L: SR3,000; price: Document 1434; slaughter in house typical a of Establishment 2013. 18-Dec. D/L: SR2,500; price: Document 1434; slaughter house inAl Suwayrqiyah: typical a of Establishment SR2,000;D/L:18-Dec. 2013. price: Document 14210/1434; Tender#: pality): Munici Nakhil (Al Madinah in palities munici its and Secretariat the to ways gate of beauti cation and Expansion D/L: 18-Dec. 2013. SR500; price: Document 13983/1434; der#: Municipality): (Ashash networks irrigation of establishment and tanks water of construction wells, of Drilling 18-Dec. 2013. D/L: SR5,000; price: Document 13975/1434; bodies: washing for rooms of Fencing of graveyards and construction 23-Dec. 2013. D/L: SR36,000; price: Document 14086/1434; of city the of intersections main the on es implementationbridg Studyand the of 2013. 18-Dec. D/L: SR1,000; price: Document 2502; Y Tender#: supervision: with anbu M INISTR Y Nakhil: al anbu Tender#: 13835/ U Y OF mluj and Al and Wajj:mluj A GRICUL Tender#: 14234/ 14234/ Tender#: Tender#: 13856/ T U Tender#: Tender#: RE Ten ------

61

CONTRACTS & TENDERS & CONTRACTS

2013 D 236/ I / R E C S EMBER C E UE SS EVIEW C ONOMI C AND E C OMMER AUDI CONTRACTS & TENDERS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 61 - - - - -

TVTC Tender#: FFAIRS Tender#: 4340055; Tender#: L OCATIONA V OCIAL A S NDOWMENTS ORPORATION Tender#: 4340054; Docu- Tender#: Tender#: 52/34; Document E C Y OF AND Tender#: 2/35; Document price: INISTR ECHNICAL AND M RAINING T T Operation Operation of security guards for eight Docu3340149; - Tender#: centers: training 2014. ment price: SR500; D/L: 12-Jan. Cleaning of secondary industrial insti Tender#: 3340146; Tender#: tute in Khamis Mushayt: 2014. Document price: SR500; D/L: 05-Jan. Construction of branch secondary buildings industrial for institutes Oula; Dhahran Al Janoub; Alqarn; Baqaa; (in Al Sharora; Taimaa; Deba; Tabrgl; Tanuma): Badia; Turaif; Al Badr; 2013. Document price: SR10,000; D/L: 25-Jan. for college technical a of Establishment girls in Rafha: ment price: 2013. SR10,000; D/L: 24-Dec. tenance tenance of electronic systems (devel opment) for the Social Development Agency: Tender#: 1/35; Document price: 2013. SR10,000; D/L: 23-Dec. Establishment of social ces in Najran, Dhahran Al security Janoub and of Al Aqiq: 2013. SR3,000; D/L: 15-Dec. Education and rehabilitation training program: Tender#: 3/35; Document price: 2014. SR3,000; D/L: 21-Jan. Establishment of social house in Jouf: surveillance 2014. price: SR3,000; D/L: 07-Jan. Establishment of social house in surveillance Al Ahsa: Tender#: 51/34; Docu- 2014. ment price: SR3,000; D/L: 05-Jan. Expansion and renovation of number Kingdom the in oces security social of (First Group): Tender#: 50/34; Document price: 2013. SR2,000; D/L: 31-Dec. Establishment of four projects for the 49/34; Docu- MinistryTender#: in Riyadh: ment price: 2013. SR10,000; D/L: 29-Dec. Establishment, Establishment, operation and main Tender#: 340481040006; D/L: 340481040006; Tender#: Hospital: yah 2013. 11-Dec. Supply of SR1,000; price:Document 340011020077; disinfectants: 2013. D/L: 08-Dec. Construction Construction of wall for the Al Hanaki

- - - - - Tender#: TH Tender#: 1579; Tender#: 1577; EAL H Tender#: 340011040048; Tender#: Y OF INISTR M grated service for customs and a mosque a and customs servicefor grated 1573; in Doc - Tender#: Al Haditha Border. 2014. ument price: SR20,000; D/L: 12-Jan. Customs Building in Al Haditha Building in Al Customs The Ministry of Finance has invited bids inte for building a of construction the for Replacement Replacement of main and subsidiary water networks and the sewage Al of region administrative net the in works Document 1582; Tender#: Border: Haditha 2014. price: SR10,000; D/L: 06-Jan. Bid Extension: Establishment of a customs new and passengers service building in Al Haditha Border: Tender#: 1546; Docu- ment price: 2013. SR50,000; D/L: 22-Dec. Expansion of power station in Salwa Port: Tender#: 1574; 2014. SR25,000; D/L: 19-Jan. Document price: Document price: SR30,000; D/L: 23-Dec.2013. Maintenance and cleaning of hospitals (Tumair, Sajur and Rumah): 340141030025; Document price: SR4,000; 2013. D/L: 15-Dec. Construction of a 300-bed hospital in theConstruction Hail: of South-West Cleaning Cleaning and checking of Nasria Al Elec Document price: 2013. 25-Dec. SR1,000; D/L: Maintenance and cleaning operations of plants in the Batha border power and the electric network belonging to them: D/L: SR2,000; price: Document 1578; Tender#: 2013. 30-Dec. Supply, installation and operation separate of air conditioning units and window (split type) for government de tricity diesel fuel tanks: partments and residential buildings at Al Wadiyah border port: Document price: 2013. SR1,000; D/L: 31-Dec. Installation of additional surveillance Min the of areas parking the in cameras istry building in Jeddah: Tender#: 1580; Document price: 2013. SR1,000; D/L: 31-Dec. Maintenance and cleaning operations of the residential city (four stages) and the facilities belonging to it in Batha border: Tender#: 1581; Document price: 2014. SR1,000; D/L: 05-Jan.

- - - INANCE F Tender#: Tender#: 1559; Docu- Y OF Tender#: 2500; Document INISTR Tender#: 2499; anbu: Tender#: Document M bors in Qatif and Az Zour in the Eastern the in Az and Qatif Zour in bors Province. Tender#: 2528; 2014. price: SR35,000; D/L: 12-Jan. Document Fishing Harbors Fishing The Ministry of Agriculture has invited the constructionbids for of shing har

Operation Operation and maintenance of boats for surveillance and research in several areas in Makkah: Tender#: 2501; Docu ment price: 2013. SR1,000; D/L: 18-Dec. Operation and maintenance of boats for surveillance and research in several areas in Jizan: price: 2013. SR1,000; D/L: 18-Dec. Operation and maintenance of boats for surveillance and research in several areas in Y price: 2013. SR1,000; D/L: 17-Dec. Operation and maintenance of boats for surveillance and research in several areas in the Eastern Region: 2488; Tender#: Document price: SR1,000; D/L: 2013. Dec. 17- Al- in water sewage using A orestation Ghat governorate: Tender#: 2497; Docu - ment price: 2013. SR500; D/L: 17-Dec. Construction of stone walls, gate and Thadiq in Sfrat Al Shoaib in room guard governorate: Tender#: 2495; Document price: 2013. SR500; D/L: 16-Dec. Completion of the restoration works of the second stage of the agriculture governorate: Al-Ghat in branch nursery Tender#: 2494; Document price: SR1,000; 2013. D/L: 15-Dec. ment price: 2013. SR10,000; D/L: 25-Dec. Supply of potable water to the border Alba port: Tender#: 1575; Document price: 2013. SR1,000; D/L: 15-Dec. Transfer of diesel in tankers from the Saudi Aramco loading stations in yadh to the Al Nasria electricity Ri station: D/L: SR1,000; price: Document 1576; Tender#: 2013. 23-Dec. Bid Extension: Project for the reghtingthe for Extension: Project Bid systems in government printing oces interest in Riyadh:

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EMBER C E 62 62 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 CONTRACTS & TENDERS ain n Cmuiain Technol- Communication and mation Infor the at studying students the for Supply of requirements and equipment SR500;D/L:15-Dec. 2013. price: Document 27/54/1434; Tender#: center: medical the for furniture medical and equipment systems, study of Supply SR3,000;D/L:08-Dec. 2013. price: Document 27/31/1434; Tender#: ments: treat respiratory and skin anesthesia, er requirements for the departments of oth and equipment medical of Supply Dec. 2013. Tender#: SR5,000; D/L: 08- price: 4340046; Document Arrar: in Mining of Institute Technical the of trainees and trainers the for units housing of Construction SR500;D/L:08-Dec. 2013. ment price: Alqarn: in tute insti industrial secondary of Cleaning 09-Dec. D/L: 2013. SR5,000; price: Document 4340047; Tender#: Jizan: in institute cal techni the of trainees the and trainers the for units housing of Establishment D/L: 10-Dec. 2013. Tender#: 4340048; Document price: SR5,000; Jizan: in studies electrical of institute higher the of trainees the and trainers the for units housing of Establishment 15-Dec. D/L: 2013. SR5,000; price: Document trial institute in Kalwa: indus- secondary a of Establishment 17-Dec. 2013. D/L: SR10,000; price: Document Abedah: Sarat in boys Establishment of a technical college for SR10,000;D/L:18-Dec. 2013. ument price: boys in Al Majardh: for college technical a of Establishment 22-Dec. 2013. D/L: SR10,000; price: 4340052; Document Tender#: Kalwa: in boys college for technical a of Establishment 23-Dec. 2013. D/L: SR10,000; price: Document college Majardh: Al Tender#:in girls for 4340053; technical a of Establishment R I Y ADH M - Docu 3340129; Tender#: I L ITAR Tender#: 4340051; Doc Y H Tender#:4340050; Tender#: 4340049; OSPITAL ------

2014. Port: Document price: SR7,000; D/L: 13-Jan. Jizan at cargos general unloading and Supply of equipmentlifting for loading SR3,000;D/L:25-Dec. 2013 price: Port: Khair Al three Ras at berths of construction and Dredging SR3,000;D/L:25-Dec. 2013. price: Document Jubail: in Port Industrial Fahd King at dock oating of installation and Supply 24- Dec. 2013. D/L: SR3,000; price: Document Port: Duba the for services safety and Fire SR5,000;D/L:17-Dec. 2013. price: Port: Commercial Jubail and Jubail in Port Industrial Fahd King for center technology information the for Development of infrastructure facilities Document price: price: Document SR10,000; D/L:27-Jan. 2014. Port: Khair Al 10) Ras & at (9 berths two of Construction SR2,000; D/L: 01-Jan.ument price: 2014. the for King Fahd Industrial Port in Jubail: Doc water desalinated of Supply 09-Dec. 2013. mercial Port: Document price: SR5,000; D/L: at terminal passenger the Maintenance and cleaning operations of D/L: 22-Dec. 2013. SR500; price: Document 27/01/1435; Ten der#: systems: digital of Maintenance SR1,000;D/L:15-Dec. 2013. ment price: - Docu 27/56/1434; Tender#: Center: ogy ships at Ras Tanura Port. Document Document SR7,000.D/L:26-Dec. 2013. price: Port. Tanura Ras at ships of maintenance and repair con- struction, the for yard a of establishment the for bid to date the of extension an announced has Authority Ports Saudi Ship building andmaintenance yard price: SR50,000;D/L:30-Dec. 2013. price: Document Port. Khair Al Ras at berths for dredging and establishment of three bids invited has Authority Ports Saudi Dredging and construction of berths S A U DI P ORTS AU THORIT Y nu Com- anbu Document Document Document Document Y - -

s n akh n te oy sites: holy the and Makkah in es bridg- of beautication and Expansion SR2,000; D/L: 17-Dec. 2013. price: Document 1/601/05/00/4; tunnels on King Fahd road: Tender#: 19/2/ the for room control of Establishment 2014. 12-Jan.D/L: SR1,000; price: Document 00/4; Green building: establishment a operationprototypeof and small a of Study, Extension: Bid SR15,000;D/L:12-Jan.price: 2014. Document 4/00/00/625/1/2/19; Tender#: (Ph-2): Makkah of North-east the in ect Bid Extension: Execution of a park proj- 2013. 25-Dec. D/L: SR500; price: Document 435; Supply of ice-cube maker: SR500;D/L:25-Dec. 2013. price: Document for road maintenance: Supply of fork lifts and other equipment SR3,000; D/L:17-Dec. 2013. price: Document 19/2/1/723/00/00/4; der#: aly ig road: ring Valley Madrakah at bridge a of construction kah and its suburban municipalities and WardingMak in ooding of dangers o Dec. 2013. 17- D/L: SR1,000; price: Document locations: some in transmission the strengthen to towers of installation and rooms control of construction operations, its and tems Dec. 2013. 334/1/2/19; Document price: SR5,000; D/L: 15- (Ph-1): garden and park theme a of Establishment Extension: Bid Dec. 2013. 18- D/L: SR3,000; price: Document 05/00/4; U pgrading of smart communication sys communication smart of pgrading SR50,000; D/L:29-Dec. 2013. Makkah in King Abdul Road.Aziz Document price: bridges pedestrian and tunnels of development the for bids invited has Municipality Makkah The destrian bridgesinMakkah Development oftunnelsandpe NORTHERN K ING M AKKAH K HAL Tender#: 19/2/1/0759/00/ ED A MU Tender#: 19/2/1/602/ 19/2/1/602/ Tender#: REA M NICIPAL I Tender#: 11/38/435; L C ITAR Tender#: 4/00/00/ 4/00/00/ Tender#: OMMAND Tender#: 11/39/ Y C IT Y IT Y - Ten - - -

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2013 D 236/ I / R E C S EMBER C E UE SS EVIEW C ONOMI C AND E C OMMER AUDI CONTRACTS & TENDERS Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 63 - Tender#: Tender#: Tender#: Tender#: Tender#: 618/ Tender#: Tender#: 693/ Tender#: 677/ Tender#: 679/1434/ Tender#: 674/1434/1435; Tender#: Supply of drinking water by to Talan tankers villages in Jizan: 1434/1435; Document price: SR1,000; D/L: 2014. 09-Jan. Supply of drinking water by to tankers Dafa villages in Jizan: 1434/1435; Document price: SR1,000; D/L: 2014. 09-Jan. Maintenance of sewage Hail: projects Tender#: 615/1434/1435; in Document 2014. price: SR2,000; D/L: 09-Jan. Supply of drinking water by tankers to the third group in Jizan: Tender#: 683/ 1434/1435; Document price: SR1,000; D/L: 2014. 08-Jan. Al in networks water main of Expansion Jouf: Tender#: 616/1434/1435; Document 2014. price: SR2,000; D/L: 08-Jan. Ministry the for cartridges ink of Supply and its Directorates: Tender#: 700/1434/ 1435; Document price: SR500; D/L: 07-Jan. 2014. Supply of drinking water by to Ahad tankers Al Musarihah in Jizan: Tender#: 675/1434/1435; Document price: SR1,000; 2014. D/L: 07-Jan. Supply of drinking water by tankers to Jizan: in Hajfar Al 2014. 07-Jan. D/L: Documentprice:SR1,000; Construction of overhead water tanks Border): (Northern Arrar in 1434/1435; Document price: SR3,000; D/L: 2014. 07-Jan. Supply of drinking water by tankers to the third group (Ph-2) in Jizan: 680/1434/1435; Document price: SR1,000; 2014. D/L: 01-Jan. Supply of drinking water by to villages of tankers Al Ghazi in Jizan: 689/1434/1435; Document price: SR1,000; 2014. D/L: 01-Jan. Supply of drinking water by tankers to Beni Malek in Jizan: 1435; Document price: SR1,000; D/L: 01-Jan. 01-Jan. D/L: Documentprice:SR1,000; 1435; 2014. - proj Mobile applications development ect 707/1434/1435; DocuTender#: (Ph-2): ment price: 2013. SR1,000; D/L: 31-Dec. Supply of drinking water by tankers to Ayyash villages in Jizan: Tender#: 691/ 1434/1435; Document price: SR1,000; D/L: 2013. 31-Dec.

- - - - Tender#: Tender#: Tender#: Tender#: Tender#: 682/1434/1435; 670/1434/1435; 670/1434/1435; Document price: SR2,000; 2014. D/L: 30-Jan. Supply of equipment for the mainte 2014. ment price: SR500; D/L: 15-Jan. Expansion of local plant treatment (23) in Jizan Area: Tender#: 710/1434/1435; 2014. Document price: SR500; D/L: 13-Jan. Supply of drinking water by tankers to the rst group (Ph-3) in Jizan: Tender#: 636/1434/1435; Document price: 2014. SR2,000; D/L: 14-Jan. Supply of drinking water by tankers to the rst group (Ph-2) in Jizan: Tender#: 697/1434/1435; Document price: 2014. SR500; D/L: 13-Jan. Supply of potable water by tankers to Fifa in Jizan: Tender#: 688/1434/1435; Document price: 2014. SR1,000; D/L: 10-Jan. Supply of drinking water by tank nance nance division of dam of operations in Docu 713/1434/1435; Tender#: Area: Jizan 699/1434/1435; Document price: SR1,000; 2014. D/L: 13-Jan. Expansion of water networks and con (Ph-1): Area Al-Jouf in tanks of struction 687/1434/1435; Document price: SR1,000; 2014. D/L: 13-Jan. Construction of water mountain tanks areas in Jizan region in (Ph-1): the 2014. 13-Jan. D/L: Documentprice:SR1,000; Supply of drinking water by tankers to villages of Al Qama’ah district in Jizan Area: Tender#: 692/1434/1435; Document 2014. price: SR1,000; D/L: 13-Jan. Execution of house sewage networks connections in Quriyat, to Al Jouf: Tender#: 711/1434/1435; Document price: 2014. SR1,500; D/L: 10-Jan. Supply of drinking water by to tankers the second group (Ph-2) in Jizan: ers to the rst group in Jizan: 686/1434/1435; Document price: SR1,000; 2014. D/L: 10-Jan. Supply of drinking water by tankers to 685/1434/1435; Samtah in Tender#: Jizan: 2014. 10-Jan. D/L: Documentprice: SR1,000; Supply of drinking water by to tankers the second group in Jizan: 684/1434/1435; Document price: SR1,000; 2014. D/L: 09-Jan.

------Ten Ten Y - Univer Tender#: Tender#:

Document Y ATER W niversity University - Hospi Z UNIVERSIT I niversity Hospital Hospital University Z ECTRICIT Y OF A EL BDUL INISTR AND A M ING K

sity Hospital: Tender#: 128690/D; Docu - ment price: 2013. SR4,000; D/L: 16-Dec. Supply of medical furniture for the pa cation cation of gateways to Makkah: der#: 4/00/02/603/1/2/19; Document price: 2013. SR20,000; D/L: 08-Dec. kinder- the for building a of Construction in college Women’s the in section garten Doc 4/00/02/603/1/2/19; Jeddah: Tender#: ument price: 2013. SR5,000; D/L: 10-Dec. Supply of medical equipment for the the of division transplant organ tient’s rooms at the 97660/D; Document price:Tender#: wards: 2013. SR3,000; D/L: 30-Dec. Setting up a laboratory resonance system with necessary - litera of magnetic tures and details at the Chemistry De partment in the Faculty of Science: der#: 150570/D; Document price: SR3,000; 2014. D/L: 02-Jan. Bid Extension: Execution of the - infra structure for establishment of the uni versity branch in 2014. Rabigh: price: SR50,000; D/L: 27-Jan. 4/00/00/755/1/2/19; 4/00/00/755/1/2/19; Document 2013. 15-Dec. SR5,000; D/L: price: the of some of Expansion Extension: Bid main roads to end tra c jams (Ph-2): Tender#: 4/00/00/612/1/2/19; Document price: 2013. SR20,000; D/L: 08-Dec. Bid Extension: Expansion and beauti tal: Tender#: 134716/D; Document price: 2013. SR3,000; D/L: 19-Dec. Supply of medical requirements and the to consumables Bid Extension: Establishment (Ph-2): garden and park theme of a Implementation of a sewage treatment of Implementation treatment a sewage plant in Makhwah (Ph-I) in Tender#: 696/1434/1435; Al Document price: Baha: 2014. SR2,000; D/L: 31-Jan. Operation and of maintenance dams in Hail: Tender#: 673/1434/1435; Document 2014. price: SR1,500; D/L: 30-Jan. Completion of the expansion of main water project the in Al-Jouf:

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EMBER C E 64 64 Sa u d i Co m m e r c e a n d Ec o n o m i c Re v i e w /Iss u e 236/DECEMBER 2013 CONTRACTS & TENDERS rectorate Di of Water building in Northern the of cleaning and Maintenance 1434/1435; D/L:18-Dec. 2013. ce in Khubbash in Najran: of branch the for building a Renting D/L: 18-Dec. 2013. in Thar in Najran: Tender#: 624/1434/1435; Renting a building for the branch o ce SR1,500;D/L:23-Dec. 2013. price: Document 655/1434/1435; Tender#: Area: leys of Al-Makhwa and Kalwa in Al-Baha val the in projects water of Execution D/L: 23-Dec. 2013. der#: 654/1434/1435; Document Region: price: Assir SR500; in Muhayil in sources re water the support (four to group) wells teenth manual seven of Digging SR2,000;D/L:23-Dec. 2013. price: Document with data transfer: of automatic meter reading (AMR) systems operation and installation Supply, 1435; D/L:29-Dec. 2013. 652/1434/ Tender#: Baha: Al in Aqiq Al in buildingRentingbranchtheforao ce SR1,500;D/L:25-Dec. 2013. ment price: Docu 648/1434/1435; Tender#:Area: jran in Badr (Ph-2) projects contract 1 in Na network water drinking of Completion SR500;D/L:25-Dec. 2013. price: Document 658/1434/1435; Tender#:Hail: in projects Digging of three wells to watersupport SR1,000;D/L:29-Dec. 2013. ment price: and electricity: Tender#: water 647/1434/1435; Docu saving of importance the on Province Eastern and Jeddah yadh, Ri in complexes commercial in paign - cam awareness an of Implementation D/L: 29-Dec. 2013. in in Sabia Jizan: Tender#: 647/1434/1435; Renting a building for the branch o ce SR1,500;D/L:30-Dec. 2013. price: Document ects in Najran city: proj waters drinking the and stations Completion of the works of the pumping SR1,500;D/L:30-Dec. 2013. ument price: Area (Ph-3): Tender#: 672/1434/1435; Doc ter networks in Domat Al-Jandal in Jouf wa- the executionof the Completionof SR1,000; D/L:31-Dec. 2013. price: Document 695/1434/1435; Jouf: Tender#: Al to Sakaka, in connections networks sewage house of Execution Tender#: 662/1434/1435; Tender#: 665/1434/1435; Tender#: 625/ Ten ------

in f Cr, 0 mm 500 Core, 1 of tion installa- and supply include also Works Station. Sub 1000MVA 380/115/33KV, North; #1 Station Sub Electrical Primary Area B and supplied with power from SEC located at Ras Al Khair Industrial City (RIC) Stations, approximately to apart, 6km be of two identical 33kV Electrical Switching neering, Procurement Construction and EPC of 33kV Switch Stations: Details: Engi D/L: 25-Dec. 2013. SR2,000; price: Document 97/1434; der#: Abdul Aziz bin Saud King of building the to systems and equipment of Supply SR3,000;D/L:08-Dec. 2013. ment price: years; three for insurance including services repair out call- emergency and accident routine, regularly scheduled preventive maintenance of and provision and types ous tails: Rental of 177 new vehicles of vari De Al-Khair: Ras in Vehicles Security Industrial & Transportation of Rental SR14,000. D/L:11-Dec. 2013. Stations; Switching two the and North #1 S.S Sub ber Electrical Primary between cablesoptic non-metallic Core 96 and cables SR1,500; D/L:11-Dec. 2013. price: (Ph-1): Document Baha 638/1434/1435; Tender#: Al of areas hilly the for Supply and installation of water pumps 2013. 15-Dec. D/L: SR1,000; price: Document 1435; tain villages of in Jizan: Tender#: 631/1434/ moun the to tankers in water of Supply SR1,500;D/L:15-Dec. 2013. price: Document 640/1434/1435; Tender#: Najran: in works net water drinking and plant,treatment station, pumping a of Implementation SR1,000; D/L:15-Dec. 2013. price: Document 641/1434/1435; Tender#: Najran: in stations pumping the to city Najran of west the from water carrying Construction of wall to protect the lines SR1,000;D/L:17-Dec. 2013. ment price: - Docu 625/1434/1435; Tender#: Border: N ATIONAL GU niversity for Health Science: Health for University R O Tender#: price: Document 099-C04; JUBAI Y A L C OMMISSION L AND ARD - Docu 32J-L08; Tender#: H

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tenders is somewhat an arbitrary process. tenders anarbitrary issomewhat the in descriptions and places the of some of names of version English the giving tion, transla in standards professional to maintain taken is care every While English. into translated been has which Arabic in is text original sources. The various is from collected tenders the for information The Note: D/L: 23-Dec. 2014. SR1,000; price: Document 23180; Tender#: Compound; Housing Khobar Al at 731, to 707 632; to 601 from villas ble-story dou and 520 to 514 429; villas to 419 from Single-story Details: paint): of supply (including villas 78 of Painting SR1,000; D/L:22-Dec. 2014. plants: Tender#: SEC2013; Document price: Integration of security systems in Jubail SR1,500;D/L:12-Dec. 2014. price: plants: Western & Eastern SWCC for equipment heavy of Supply SR1,000;D/L:24-Dec. 2014. price: Document 02/1435; Tender#: Aairs: Health National Guard the at unit control the infection for system monitoring Electronic SR1,000; D/L:23-Dec. 2013. price: Document 01/1435; Tender#: Clinic: Taif Aairs Health Guard National the systemat protection re Renovation of D/L: 01-Jan. 2014. Tender#: 99/1434; Document price: SR2,000; Riyadh: in City Medical Abdulaziz King of centers health primary of Expansion Following are thetenders: System. Transmission Water Feeders City the New for bids announced has (SWCC) Corporation Conversion Water Saline Transmission System NewRiyadh Feeders City Water - -

Pipe laying and construction works: works: construction and laying Pipe price: Document pipes: of Supply 03-Feb 2014. D/L: SR100,000; price: Document SR100,000; D/L:19-Jan. 2014. SWCC B – Davis Ouseph Thattil IDS Document Document - -

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