“Saudi Arabia will be a particularly diverse source of urbanisation-related opportunities over the coming decade. The kingdom has an above-average per capita income for MENA ($23,339 in 2018) and its urban population is expected to increase by almost 5m by 2030. Moreover, according to the UN, Saudi Arabia has the largest construction industry in the region, valued at $40.3bn in 2018.”
-Castlereagh Associates examines how the MENA region will handle the expected 25% growth in urban populations over the next decade. Iraq and Egypt will see the largest increases, with almost 10m additional urban residents in both countries over the period. [Castlereagh]
“People’s reaction[s] prove how aware the audience has become to the point where you can’t just present TV shows with any content and call it comedy or drama. Because of streaming services and movies reopening, people have a lot to compare it to, and if it doesn’t live up to their expectations, then it has to go.”
–Arab News reports on popular Saudi YouTuber Abdul Majeed Al-Kinani’s take on the popular Ramadan Viewing Season of TV shows and specials. Not surprisingly, the season has inspired plenty of commentary with many increasing their focus on the production quality of home-grown Saudi content. [Arab News]
“One of the first businesses I launched was when I asked my mother to make me balela (a traditional chickpea soup), and I sold it to my friends in the street.”
–Saleh Kamel, the Saudi billionaire who rose from humble beginnings to achieve great success as a businessman. Kamel passed away Monday at the age of 79. Arab News celebrated the life and accomplishments of Kamel in a feature story today. [Arab News]
“Vision Fund’s results are not something to be proud of. If the results are bad, you can’t raise money from investors. Things aren’t good, that’s why we are investing with our own money.”
-Masayoshi Son, chairman, president and CEO of Softbank, discussing SoftBank’s Vision Fund whose net value has declined 6% over the last 12 months representing a $17.6 billion loss. [Bloomberg]
“For an hour, the eight of us talked about video games, about being unable to function during the workday abstaining from coffee while fasting, and about finding community in the times where it’s most needed. Having grown up Muslim, the experience struck me as outright familiar — regardless of how abstract the little avatars eating apples on the screen may seem to outside observers.”
-Imran Khan reports on the virtual Suhoor/Iftar environment created by Rami Ismail for his Animal Crossing avatar. Animal Crossing only allows seven guests on a host’s island at one time and Ismail’s on-line sign up form to visit booked up immediately for the entire month of Ramadan. [Washington Post]
“VAT has several advantages as a tax instrument: By using exemptions for basic commodities, it can be used progressively; it generates a stable revenue stream; it is relatively cheap to collect; and compared to other taxes, such as capital gains tax, it does not disincentivize investment.”
-Omar Al-Ubaydli, an economist who is Director of Research at the Bahrain Center for Strategic, International and Energy Studies, and affiliated with George Mason University, analyzes the history of value-added tax (VAT) and the thinking behind the Saudi government’s decision to increase VAT to 15%. [Al Arabiya]
“This virus just may become another endemic virus in our communities and this virus may never go away…”
-Dr. Mike Ryan, executive director of the World Health Organization’s health emergencies program. [CNN]
“Here, Islam is presented not in creedal but rather in motivational tenets: moderation and tolerance, excellence and discipline, equity and transparency, and determination and perseverance.”
-Kristin Smith Diwan discusses the Saudi Character Enrichment Program, part of Saudi Vision 2030 that was stressed in the initial roll-out of Vision 2030. With new austerity measures being introduced, Diwan suggests the program and it’s social and economic goals may see renewed emphasis. [Arab Gulf States Institute in Washington]
“Looking ahead to the remainder of 2020, we expect the impact of the COVID-19 pandemic on global energy demand and oil prices to weigh on our earnings. We continue to reinforce the business during this period by reducing our capex and driving operational excellence.”
-Amin Nasser, CEO of Saudi Aramco.
“…the increase in VAT will impact all sectors in the economy, and that will impact the whole market. Yes, we will see change in sentiment. We will see pressure, but nevertheless, this is something that is needed; certain austerity measures are needed at times when you’re required to act.”
-Marwan Shurrab of Al Ramz Capital commenting on Saudi austerity measures in Bloomberg Quint. [Bloomberg]
