Latest news with #RiyadBank
Zawya
3 days ago
- Business
- Zawya
Saudi's MESC unit secures $33mln loan from First Abu Dhabi Bank
Middle East Specialized Cables Company (MESC) said one of its subsidiaries has secured a credit facility worth 120 million UAE dirhams ($32.67 million) from UAE-based First Abu Dhabi Bank. The loan was obtained by Middle East Specialized Cables Company (MESC) LLC, the company stated in a press release to the Saudi Stock Exchange on Wednesday. The facility is planned to finance working capital and provide bank guarantees, including performance and advance payment, as well as to fund capital expenditures for plant and machinery. The credit facility, which is valid until May 31, 2026, is secured by a promissory note worth AED 120 million, an assignment of insurance proceeds, and a pledge over plant & machinery. In April, MESC signed a Sharia-compliant facility deal worth SAR 140 million with Riyad Bank. (Editing by Seban Scaria
Arab News
08-07-2025
- Business
- Arab News
Closing Bell: Saudi main index slips to 11,294
RIYADH: Saudi Arabia's Tadawul All Share Index slipped on Tuesday, shedding 51.39 points, or 0.45 percent, to close at 11,294.07. The total trading turnover on the benchmark index reached SR5.32 billion ($1.42 billion), with 65 stocks advancing and 187 declining. The Kingdom's parallel market Nomu also edged down by 119.05 points to close at 27,343.79, while the MSCI Tadawul Index declined by 0.35 percent to 1,449.23. The best-performing stock on the main market was Arabian Centers Co., also known as Cenomi Centers, with its share price rising 7.60 percent to SR21.10. Arabian Drilling Co. also gained 5.66 percent to close at SR88.60, while Tourism Enterprise Co. climbed 5.49 percent to SR0.96. BAAN Holding Group Co. shares slipped 4.35 percent to SR2.42, ranking among the weaker performers of the day. On the announcement front, Alinma Bank launched a US dollar-denominated sukuk under its Trust Certificate Issuance Program, with the offering opening and closing on July 8, according to a Tadawul filing. The sukuk, which has a five-year maturity, requires a minimum subscription of $200,000, with increments in multiples of $1,000. The bank noted that the sukuk will be listed on the International Securities Market of the London Stock Exchange, and issued in reliance on Regulation S under the US Securities Act of 1933. Following the announcement, Alinma Bank's share price declined 0.74 percent to SR27. Meanwhile, Riyad Bank announced it had completed the issuance of US dollar-denominated Tier 2 trust certificates under its International Trust Certificate Issuance Program, with a total value of SR1.2 billion. According to a Tadawul statement, the bank issued 6,250 certificates, each with a nominal value of $200,000. These certificates will also be listed on the London Stock Exchange's International Securities Market. Riyad Bank's share price edged down 0.07 percent to close at SR28.88.
Al Arabiya
08-07-2025
- Business
- Al Arabiya
Demand for Saudi commercial real estate soars and Monopoly gets Riyadh makeover
In the latest episode of The Riyal Deal, Tom Burges Watson looks at the rising demand for commercial spaces, primarily high-end offices as more firms establish their regional headquarters in Saudi Arabia. JLL's Country Head Saud Alsulaimani joins the show to discuss key trends in the industry, where the sector is attracting investments from, and why warehousing is seeing a big uptick in demand. The Chief Economist at Riyad Bank Naif Al-Ghaith joins to discuss a recent report published by the one of the largest financial institutions in Saudi Arabia regarding the Purchasing Managers Index and why staffing costs across the Kingdom is rising. Ali Raza of Haytham & Co. discusses the impact of Saudi Arabia's Public Investment Fund as it reports that its total assets under management exceeds $1 trillion in 2024. And Monopoly will soon have a Riyadh edition. A key player in the game's entry into the Kingdom, Adam Jackson, COO and Co-founder of KEAD Entertainment, talks about the philosophy behind the edition of one of the most-played board games in the world.
Asharq Al-Awsat
04-07-2025
- Business
- Asharq Al-Awsat
Saudi Business and Job Growth Hit 14-Year High
Business conditions in Saudi Arabia's non-oil private sector improved notably in June, driven by a marked rise in customer demand and expanded production, according to the latest Riyad Bank Purchasing Managers' Index (PMI) data. New business volumes surged, fueling the fastest pace of employment growth since May 2011. This strong demand for workers pushed wage costs to record highs, adding pressure on overall expenses and contributing to a fresh increase in output prices. The headline PMI climbed to 57.2 in June from 55.8 in May - its highest level in three months and slightly above the long-term average of 56.9. The reading signaled a robust improvement in the health of the non-oil private sector economy. Companies reported another rise in new orders last month, with growth accelerating following a recent low in April. Many firms cited gaining new clients, alongside improved marketing efforts and stronger demand conditions. Domestic sales were the main driver of the increase, while export sales edged up slightly. Purchasing Activity Expands Production continued to expand through the end of Q2, although growth slowed to a 10-month low. Purchasing activity picked up sharply as companies sought to secure additional inputs to meet rising demand, with the pace of purchase growth reaching its fastest in two years. Employment growth accelerated as businesses rapidly expanded their workforce to keep pace with incoming orders, pushing hiring to the highest level since mid-2011. This strong recruitment trend, which began early in 2025, was largely driven by a rising need for skilled workers, prompting companies to increase salary offers. Consequently, overall wage costs rose at the fastest rate since the PMI survey started in 2009. Facing mounting cost pressures from higher raw material prices, firms raised their selling prices sharply in June , the biggest increase since late 2023, reversing declines recorded in two of the previous three months. This price hike largely reflected the passing of higher operating costs onto customers, although some companies opted for competitive pricing strategies by cutting prices. Resilient Economic Outlook Looking ahead, non-oil private sector firms remained confident about business activity over the next 12 months. Optimism hit a two-year high, supported by resilient domestic economic conditions, strong demand, and improved sales. Supply-side conditions also showed positive momentum, with another strong improvement in supplier performance. Dr. Naif Alghaith, Chief Economist at Riyad Bank, said: 'Future expectations among non-oil companies remain very positive. Business confidence reached its highest level in two years, underpinned by strong order inflows and improving local economic conditions.' He added: 'However, cost pressures became more pronounced in June, with wage growth hitting record levels as companies compete to retain talent. Purchasing prices also rose at the fastest pace since February, partly driven by increased demand and geopolitical risks. Despite these challenges, companies broadly raised selling prices to recover from May's declines, reflecting an improved ability to pass higher costs onto customers.'
Gulf Insider
03-07-2025
- Business
- Gulf Insider
Saudi Businesses Add New Jobs At Fastest Pace In 14 Years: Riyad Bank PMI
Saudi businesses are continuing to add new jobs at top speed – but this is also leading to a 'record rise' in their wage costs. Across sectors, new jobs are seeing the 'sharpest rise' since May 2011, according to the latest PMI data. This is where the cost factor kicks in. 'This surge in demand for staff contributed to a record increase in wage costs, which added to overall cost pressures and led to a renewed rise in output prices,' according to a report by Riyad Bank. Adding to this is the cost of purchases, which in June rose at the fastest since February 2025, in part 'driven by stronger demand and rising geopolitical risks'. 'Despite these cost challenges, firms broadly raised their selling prices, reversing the declines seen in May and signaling an improved ability to pass on higher costs to customers,' said Naif Al-Ghaith, Chief Economist at Riyad Bank. The Saudi travel and tourism sector is, these days, one of the biggest hirers in the Kingdom, with the launch date of Riyadh Air coming closer on the horizon. According to hiring consultants, there is a whole slew of aviation facing businesses that are also adding to their payrolls. The Saudi non-oil economy saw its June PMI climb to 57.2 from 55.8 in May. The higher reading is 'supported by higher output levels, rising demand, and an active labour market', says Riyad Bank. 'Firms largely linked the pickup in activity to improving sales, new project starts, and better demand conditions, although the pace of output growth was softer compared to previous highs.' (The Purchasing Managers Index is a composite score that tallies business spending patterns, order intake and output, inventory levels as well as hiring. A score of 50 plus shows businesses in expansion drive.) 'Sentiment among non-oil businesses remains highly positive,' said Al-Ghaith. 'Confidence about future activity climbed to a two-year peak, supported by healthy order pipelines and stronger domestic economic conditions. 'However, cost pressures became more pronounced in June. Staff costs rose at a record pace as firms worked to retain talent, while purchase prices saw their fastest increase since February, partly driven by stronger demand and rising geopolitical risks.'
