Net foreign assets rebound in May + Listed banks had a good 1Q

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WHAT WE’RE TRACKING TODAY

THIS MORNING: Al Hilal stuns Manchester City with 4-3 victory in Club World Cup

Good morning, ladies and gentlemen — and welcome to the back half of the year. We’re kicking off July with what The Athletic is calling “the game of the tournament so far” in the Club World Cup, as Al Hilal delivered a 4-3 victory against Manchester United in Orlando. Al Hilal is now heading to the quarter finals on Friday, where the club will go head-to-head against Brazil’s Fluminese — which also had a stunning victory yesterday over Inter Milan.

With the close of a quarter and 1H 2025, our news well is rather heavily dominated by reports this morning, leading with the top 10 listed banks’ earnings performance in 1Q 2025, as well as net foreign asset levels across the banking sector.

PLUS- PIF’s 2024 bottom line dropped, despite the fund’s revenues and assets under management both rising during the year, as interest rates and impairments on some projects delivered a hit.

WEATHER- Riyadh is expected to see a high of 44°C and a low of 32°C today, while Jeddah’s mercury will go as high as 41°C and as low as 31°C. Makkah will see a 42°C high and 35°C low.

PSAs-

Public consultation on 21 economic and development projects is now open on the Istitlaa platform, state news agency SPA reports. The projects include updates to municipal fines, agricultural labor regulations, sidewalk permit rules, vocational training for individuals with disabilities, and a new ins. draft law.

GCC citizens and residents can now perform Umrah throughout the year with a permit from Nusuk, the Hajj and Umrah Ministry said on X. Beside the Umrah visa, GCC residents can apply for a transit visa, issued in coordination with Saudia and flynas, or a tourist visa through the Foreign Affairs Ministry-run website KSA Visa. Praying in Al Rawdah Al Sharifah also requires permission through Nusuk.

WATCH THIS SPACE-

#1- Factories in 46 industries are now permitted to set up shop within cities due to their low environmental impact, as part of new regulations and directives from the Industry and Mineral Resources Ministry on industrial zoning, the ministry said on X yesterday. Factories across another 972 industries are permitted on cities’ outskirts after obtaining safety and industrial permits. A breakdown of where different industrial activities are allowed to establish factories is available on the ministry’s website.

#2- The National Water Company is expected to award a construction contract for the Hail Region Water Networks project in 3Q 2025, Zawya reported yesterday, citing a source it said is in the know. The project, the tender for which was issued on 22 May and bidding ended on 19 June, involves laying around 105 km of water pipelines, installing a water tank, and building two pumping stations. Completion is scheduled for 2Q 2027.

#3- Abdulaziz Ahmad Altwijri Trading received the greenlight to offer 20% of its shares — comprising 1 mn shares — on Tadawul’s parallel market Nomu, according to a Capital Market Authority statement. The prospectus has not yet been published.

DATA POINTS-

#1- Middle East borrowers lined up a six-year high of USD 5.2 bn in loans syndicated in Asia Pacific in 2024, mainly drawn from Chinese, Japanese, and Taiwanese lenders, Bloomberg data shows. The Kingdom has increasingly taken out loans to finance Vision 2030 projects against a backdrop of falling oil prices. Most recently, the Saudi Electricity Company took a USD 1 bn loan, while Banque Saudi Fransi closed a USD 750 mn facility.

#2- Foreign tourist spending in Saudi Arabia hit a record SAR 49.4 bn (USD 13.2 bn) in 1Q 2025, up 9.7% y-o-y, Mubasher reported yesterday, citing data from the Saudi Central Bank. This inflow spurred a surplus of SAR 26.8 bn (USD 7.1 bn) in the travel balance of payments for the quarter, up 11.7% y-o-y. Meanwhile, spending by Saudi travelers overseas totaled SAR 22.6 bn (USD 6 bn) in 1Q 2025, marking a 7.4% y-o-y increase.

REMEMBER- International tourists spent an annual all-time high of SAR 168.5 bn in 2024, up 19% y-o-y, with an average spend per trip of SAR 5.7k. Meanwhile, domestic tourists spent a total of SAR 115.3 bn, inching up 1% y-o-y, with an average spend per trip of SAR 1.3k.

OIL WATCH-

Aramco reduced its official selling prices for propane and butane (LPG) for July, setting propane at USD 575 / ton and butane at USD 545 / ton, Arab News reports, citing an Aramco statement. The oil giant cut LPG rates between 1.6% and 11.2% in June from May prices to USD 600 / ton and USD 570 / ton for propane and butane, respectively.

The macro picture: China is moving away from US-sourced LPG cargoes due to high tariffs, opening the door for Middle Eastern suppliers to gain market share. The shift is benefiting exporters in the Middle East, who are stepping in to fill the supply gap left by the US. Some buyers across Asia, including Japan and India, are taking advantage of the lower prices to negotiate better supply agreements.

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THE BIG STORY ABROAD-

All eyes are on the US Senate as they race to vote on amendments to US President Donald Trump’s so-called “big, beautiful bill” — a sweeping legislation that aims to pass a trove of tax cuts and reduce spending on medicaid and clean energy tax credits — ahead of the president’s 4 July deadline. Senate Republicans are expected to vote throughout the night, after a day that saw discussions drag as they work to find a balance that would appease the bill’s opposers, and that could pass the House later. The Senate needs no more than three GOP Senators to reject the bill in order to still be able to pass it — and currently, two senators have already decided they are firmly against it.

What’s on the drawing board? Softening the phase-out of clean energy subsidies, changes to Medicaid, and changes to the rural hospital fund.

The story is leading front pages everywhere: Bloomberg | New York Times | Guardian | Wall Street Journal | Financial Times

PLUS- Trade talks between Canada and the US are back on track after Canada scrapped its plans to tax US tech firms, with an eye to complete talks by 21 July. (Guardian | Reuters)

AND- Netanyahu to visit Trump next week: Israeli Prime Minister Benjamin Netanyahu will meet US President Donald Trump at the White House next Monday to talk Iran, Gaza, Syria, and regional security. The visit comes as Trump presses Israel to end its war on Gaza and secure hostage releases. (Reuters | Bloomberg | Associated Press)

News of the visit came after Israeli strikes killed at least 60 people across Gaza yesterday. The attacks came following fresh evacuation orders from the Israeli military in northern Gaza, as Israeli Strategic Affairs Minister Ron Dermer travelled to Washington for talks on a possible ceasefire and hostage release agreement. (Reuters | The Guardian | BBC)

ALSO- Trump lifts US sanctions on Syria post-Assad: Trump signed an executive order yesterday terminating US sanctions on Syria to boost its war-torn economy and support its new government. (Reuters | Bloomberg | Financial Times)

Saudi Arabia’s top 10 listed banks shine in 1Q 2025

The aggregate net income of the Kingdom’s top 10 listed banks grew by 6.3% q-o-q in 1Q 2025 to SAR 22.2 bn, compared to a 1.9% increase in 4Q 2024, supported by higher fee income and cost efficiency, global consulting firm Alvarez & Marsal’s (A&M) said in its Saudi Arabia Banking Pulse 1Q report (pdf). Net loans and advances for Saudi banks grew by 5.4% q-o-q in 1Q, supported by an increase in corporate loans and deposits.

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Meet the banks: The report analyzed Saudi National Bank (SNB), Al Rajhi Bank, Riyad Bank (RIBL), Saudi Awwal Bank (SAB), Banque Saudi Fransi (BSF), Arab National Bank (ANB), Alinma Bank, Bank Albilad (BALB), Saudi Investment Bank (SIB), and Bank Aljazira (BJAZ).

Corporate loans increased by 7.5% q-o-q in 1Q 2025, compared to 3.4% in 4Q 2024, accounting for 57.4% of the total gross loans, the report noted. Aggregate customer deposits rose 4.0% q-o-q in 1Q 2025, compared to a 1.3% drop q-o-q in 4Q 2024, driven by a rise in time deposits of 8%, accounting for 39.0% of total deposits.

Saudi banks’ LDR hit 106.1%: Surveyed banks’ loan-to-deposit ratio (LDR) increased to 106.1%, reflecting “faster credit expansion relative to funding growth — the highest LDR level in recent quarters,” according to the report. Cost-to-income ratio strengthened to 29.8%, down 149 bps q-o-q, as banks tightened expenses and boosted operating efficiency.

Operating income of the banks rose 3.2% q-o-q, compared to 1.1% q-o-q in 4Q 2024, on the back of a 9.6% increase in non-interest income, driven primarily by trade finance, foreign exchange, and investment gains. Among the top banks, SNB and SAB led the growth in fee and commission income, the report read. This led to the cost-to-income ratio improving by 149 bps to 29.8%, as banks curbed expenses and enhanced operating efficiency, with seven out of ten banks reporting an improvement in C/I ratio.

Also worth noting: Eight out of 10 banks reported a decline in net interest margin (NIM), with RIBL and ANB reporting the highest decrease of 25 bps q-o-q — RIBL coming in at 2.9% and ANB at 3.2%. Meanwhile, the central bank kept its repurchase agreement (repo) rate steady at 5.0% in 1Q 2025.

The picture remains positive for the banking sector: “Despite recent fluctuations in the Tadawul… and amid falling oil prices, global risk-off sentiment, geopolitical tensions, global trade uncertainties (e.g. US-China tariffs, Red Sea disruptions) and softer earnings in select non-bank sectors, the Saudi banking sector remains resilient, supported by strong fundamentals and ongoing economic reforms,” the report reads.

Saudi Arabia’s net foreign assets grew to SAR 1.5 tn surplus in May

Net foreign assets in the Kingdom’s banking sector rebounded in May following a slight dip in April, reaching a surplus of some SAR 1.5 tn by the end of the month yet representing a 10.5% y-o-y drop, according to the Saudi Central Bank’s (Sama) latest monthly statistical bulletin (pdf).

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The rise was driven by an improved foreign asset position from Sama, whose net foreign assets rose to a surplus of SAR 1.63 tn by the end of the month, making up the bulk of the sector’s external position. This offset a drop in commercial banks, which recorded a deficit of just under SAR 129.9 bn.

MEANWHILE- Bank credit across all segments increased 16.3% y-o-y to SAR 3.2 tn in May. Personal loans once again accounted for the majority of all credit handed out by local banks during the month at SAR 1.4 tn, followed by corporate credit to the real estate sector, and financial, and ins. activities.

Residential mortgages financed by banks reached just under SAR 7.4 bn during the same period, down 3.9% y-o-y, with a total of just under 10k contracts. This includes SAR 4.9 bn for houses, less than SAR 1.8 bn for apartments, and SAR 534 mn for land contracts.

ALSO- Broad money supply (M3) grew by 9.4% y-o-y to SAR 3.09 tn. Demand deposits (48.6%) topped the list of currency supply components, followed by time and savings deposits (35.2%), other quasi-cash deposits (8.3%), and banknotes in circulation outside banks (7.96%). Meanwhile, total liabilities reached just under SAR 5.4 tn, recording a 6.9% y-o-y increase.

SOUND SMART- M3 is the broadest measure of money supply in a given economy. It includes banknotes, current accounts, and other money that can be quickly mobilized (what econ-nerds call M2) as well as large time deposits, institutional money market funds, short-term repurchase agreements, and larger liquid funds.

On the investment front: Government bonds rose for the 11th consecutive month to SAR 622.9 bn, up 0.95% m-o-m and 11.8% y-o-y, representing 73.6% of total public sector liabilities. At the same time, bank credit to public institutions increased 37.5% y-o-y to just under SAR 223.6 bn.

Local equity saw bullish sentiment from foreign, regional investors last week, in contrast to local investors

Foreign and regional investors were net buyers on the main market Tadawul and the parallel market Nomu during the week ending 26 July, according to the exchange’s weekly ownership and trading activity report (pdf).

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Foreign investors were bullish with net purchases worth SAR 1.2 bn on the main market, and their holdings rose by SAR 19.6 bn during the week to SAR 407.9 bn.

Regional investors recorded net purchases worth SAR 232.7 mn, and the value of their holdings increased by SAR 3.8 bn to 69.7 bn.

Local investors were bearish with net sales worth a total of SAR 1.4 bn, while the value of their holdings rose to SAR 8.6 tn from SAR 23.7 bn. Retail investors were net buyers, while institutional investors led the selling action.

ON THE PARALLEL MARKET-

Foreign investors were also net buyers on Nomu with net purchases of SAR 2.5 mn during the same week, and the value of their holdings rose by SAR 38.6 mn to SAR 721.9 mn.

Regional investors recorded net purchases worth SAR 328.6k during the same week, and their holdings rose by SAR 3.1 mn to SAR 223.5 mn.

Local investors were bearish with net sales worth SAR 2.9 mn during the same week, while their holdings rose by SAR 1.8 bn to SAR 52.9 bn. Institutions led the buying action.

NWC launches water and sewage projects worth SAR 814 mn in various districts in Madinah

The National Water Company (NWC) launched 23 water and environmental projects across Madinah worth over SAR 814 mn to expand and improve service coverage, it said in a statement yesterday.

The scheme includes 15 projects worth over SAR 454.6 mn covering a 726-km network expansion in various districts, including Shuran, Al Matar, Al Iskan, Mahzour, Hamra Al Assad, Al Shafiya, Al Ghaba, Al Katana, Al Mahamid, East Madinah, Al Aqoul, Al Sakab, Al Shahabaa, Warqan, and Al Nablaa.

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Also included in the bundle: Eight sewage expansion projects extending 98 km were also launched at a total cost of over SAR 157.8 mn. Four of these serve districts like Al Nabala, Al Rawabi, Qurban, and Al Sih, among others, while the other four projects cover 54 km of sewage network in Al Ula, Badr, and Yanbu governorates and cost over SAR 84.6 mn. NWC also launched four projects adding some 223 km of water pipelines worth over SAR 117.7 mn in the Al Hanakiyah, Al Eis, and Badr governorates.

IN CONTEXT- These new projects build on the nine drinking water and sewage network projects in Madinah announced last year, estimated at SAR 500 mn.

Saudi Arabia sees air carrier + airport complaints inch up in May

Air carrier complaints rose 1.8% y-o-y to 1.3k in May, according to our calculations based on data shared by the General Authority of Civil Aviation (Gaca). Airport complaints also saw a sharper 51.6% y-o-y rise, reaching 97.

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Flynas recorded the fewest complaints per 100k passengers in May, receiving 35 complaints, followed by Saudia with 39, and flyadeal with 40. All three airlines resolved all complaints on time.

Among international airports serving over 6 mn passengers annually, King Khaled International Airport had the lowest complaint rate at 0.4 per 100k passengers, with 16 total complaints. King Abdulaziz, Prince Mohammed, and King Fahad international airports each recorded a rate of one complaint per 100k passengers.

For airports serving fewer than 6 mn passengers annually, Prince Naif, Abha, and Najran airports each recorded the lowest complaint rate at 1 per 100k passengers. Prince Abdulmohsen followed with a rate of 4 complaints per 100k passengers, while King Abdullah logged 5. Meanwhile, Al Qaisumah had the highest complaint rate at 7 per 100k passengers.

Always on time: All domestic and international airports achieved a 100% on-time complaint resolution rate.

Jadwa leads USD 50 mn round for PetroApp

Jadwa invests USD 45 mn in PetroApp: Local private equity firm Jadwa Investment invested USD 45 mn in digital fuel and fleet management company PetroApp as part of a USD 50 mn funding round that included Abu Dhabi-based Bunat Ventures, Bloomberg reports.

Use of proceeds: The funding will be used to support PetroApp’s regional growth, launch its retail offering in the Kingdom, and prepare for a planned IPO by 2028.

About PetroApp: Founded in 2018, PetroApp helps businesses and government entities manage fuel spending and vehicle fleets through its digital platform. It currently operates across more than 5k fuel stations in the Kingdom, Egypt, Thailand, and Nigeria.

ICYMI- Jadwa is looking to sell its entire 51% stake in United Pharma Group (UniPharma), reportedly targeting a valuation of SAR 1 bn (USD 267 mn) for the exit.

PIF’s net income dipped to SAR 25.8 bn in 2024 despite revenues, AUM increasing

The Public Investment Fund’s (PIF) net income declined by 60% y-o-y to SAR 25.8 bn in 2024, Reuters reports, citing a statement issued by the fund. The fund’s revenue increased by 25% y-o-y to SAR 413 bn, Arab News reports.

Behind the dip: The lower bottom line was attributed to high interest rates, inflationary pressures, and impairments tied to changes in operational plans and budgeted costs. "The prioritization of some projects and the extension in the timelines of some giga projects could have been a factor for the impairments," chief economist at Abu Dhabi Commercial Bank Monica Malik said.

Revenue gains were driven by the robust performance of several portfolio companies, including Savvy, Ma’aden, stc, Saudi National Bank, AviLease, and Gulf International Bank, as well as dividend income from Saudi Aramco — despite Aramco slashing its total 2025 dividend policy. “Long-term projects, that are beginning to mature, are also now generating significantly more revenue,” the disclosure mentioned.

PIF’s total assets under management rose 18% y-o-y to SAR 4.3 tn in 2024, Al Arabiya reports. This growth came despite impairments which reduced total assets by less than 2%. The fund’s cash reserves stood at SAR 316 bn, while loans and borrowings increased slightly to SAR 570 bn, with the debt-to-asset ratio unchanged at 13%.

Top sectors: PIF made strategic gains in leisure and tourism, industry, capital markets, and new industries.

Looking ahead: PIF previously aimed to reach SAR 4 tn in AUM by 2025 — a target it has now exceeded. It also plans to invest up to SAR 1 tn in domestic projects and contribute SAR 1.2 tn to non-oil GDP under its medium-and long-term strategy.

Saudi Arabia imposes anti-dumping duties on steel pipes from China, Taiwan

TRADE-

New anti-dumping duties coming to longitudinally welded steel pipes from China, Taiwan: The General Authority of Foreign Trade (Gaft) imposed five-year anti-dumping duties on Chinese and Taiwanese longitudinally welded stainless steel pipes and tubes of circular cross-section, effective as of yesterday, according to a statement. Pipes arriving from China will be subject to tariffs ranging from 6.5% to 27.3% of CIF value, while those coming from Taiwan will face tariffs between 23.7% and 27.3%.

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IN CONTEXT- The decision follows an investigation launched in May 2024 by Gaft, following a complaint submitted by local manufacturers, state news agency SPA reports. The measure is compliant with the Law of Trade Remedies in International Trade to shield national industries against unfair trade.

TELECOMS-

Solutions to build SAR 157.6 mn private cloud with stc: Arabian Internet and Communications Services Company (solutions) signed a SAR 157.6 mn contract with its parent company Saudi Telecom Company (stc) to build a private cloud by 2Q 2025, according to a disclosure to Tadawul.

The details: The five-year contract is part of a larger partnership between both companies to modernize and hyperscale IT infrastructure — including upgrading IT systems linked to computing, storage, and databases — as well as renew Oracle software licenses.

REAL ESTATE-

Two plots sold at Masar Destination: Umm Al Qura for Development and Construction sold a 2.4 sqm land plot to Watheeq Capital -managed Watheeq Retal Roya Al Haram Real Estate Fund for SAR 145.3 mn and a 2.7 sqm plot to Tomooh AlKhaleej Financial Company for SAR 264.9 mn, it said in disclosures to Tadawul (here and here). Both plots are located in the Masar Destination project.

What drives the sales? Umm Al Qura will allocate the proceeds of both transactions to finance working capital and ongoing projects, while Watheeq Retal Roya Al Haram and Tomooh AlKhaleej will use the plots to develop residential towers. Earlier this week, Umm Al Qura sold a 2.5 sqm plot within Masar Destination to Home Investment Fund for SAR 255.8 mn for the same purpose.

AVIATION-

Jeddah-Haikou route takes off: Chinese carrier Hainan Airlines saw its first flight between Haikou and Jeddah arrive at King Abdulaziz International Airport yesterday, inaugurating a new route connecting Saudi Arabia and China, Asharq Al Awsat reports. The Chinese airline will operate the service three times a week, making the Jeddah airport the first in the Kingdom to offer direct flights to Haikou.

REMEMBER- The General Authority of Civil Aviation signed an MoU with the Civil Aviation Administration of China last year to expand the number of destinations between the Kingdom and China and drive air traffic growth, with Chinese carrier China Southern Airways launching a service connecting Riyadh and Beijing soon after.

RETAIL-

Abdullah Al OthaimMarkets signed a partnership agreement to offer groceries and household products online through AliExpress, the global marketplace for Alibaba International Digital Commerce Group, according to a press release. The collaboration will also offer Riyadh customers the possibility to choose between store pickup or delivery.

CONSTRUCTION-

New Murabba + Naver explore smart city tech: PIF-backed New Murabba signed a three-year MoU with South Korean tech mogul Naver Cloud to test and potentially introduce smart city technologies — including robotics, automation, self-driving systems, and digital construction tools — to the New Murabba development in Riyadh, it said on LinkedIn yesterday.

ICYMI- Riyadh’s USD 50 bn New Murabba downtown project will use stc’s digital solutions for its communications and information technology infrastructure under a partnership agreement signed between them last year.

M&A WATCH-

Al Khaleej Training and Education scrapped its plans to acquire 80% of Adhwaa Al HedeyaSchools after the agreement expired yesterday without receiving approval from the Capital Markets Authority, it said in a disclosure to Tadawul. The expiration of the agreement came after the deadline was extended from the end of March.

ICYMI-The potential acquisition agreement got the greenlight from the General Authority for Competition in September last year.

USD bns of capital cross the Atlantic as investor confidence in the US wanes

Investors are increasingly diverting funds to Europe, viewing it as a more stable market amid the “absolute uncertainty” of US tariff policies and increased political intervention under President Donald Trump, Reuters reported yesterday, citing interviews with over a dozen executives and fund managers. Investors are being pushed from the US by fears that Trump’s tariff policies and tax cuts will harm corporate earnings, increase inflation, and widen the budget deficit. Meanwhile, Europe is pulling investors in with a new era of fiscal stimulus marked by increased government spending on defense and infrastructure — especially Germany — and aggressive interest rate cuts from the European Central Bank (ECB).

By the numbers: So far this year, investors have poured over USD 100 bn into European equity funds — a threefold y-o-y increase — while US funds recorded outflows of USD 87 bn, according to LSEG data. This shift is echoed in Germany, Europe’s largest economy, where foreign direct investment has more than doubled to EUR 46 bn over January-April 2025, reaching its highest level since 2022, according to Bundesbank data.

Investors’ rising appetite for European markets comes as a 9 July deadline approaches for a potential trade agreement between Washington and Brussels, with Trump threatening to impose 50% tariffs on all EU goods if no agreement is reached.

Ending a decade of underperformance, European markets dramatically outpaced the US in 1H 2025, with the pan-European Stoxx 600 index’s returns hitting 16% — outperforming “US peers by the biggest margin on record in USD terms during the first half,” Bloomberg reports. The EUR gained 13% y-o-y against the USD in 1H and is forecasted to reach USD 1.20 by year-end, up from USD 1.04 in 2024.

Investors are now overweight European equities (net 34%) and underweight US stocks (net 36%), a Bank of America survey shows. Meanwhile, European equity funds have seen a USD 46 bn inflow so far this year, compared to a USD 66 bn outflow last year. For fixed income, European bond funds have attracted over USD 42 bn, far outpacing the USD 5.6 bn flowing into US funds.

Despite the rally, European stocks remain attractively valued, trading at a 35% markdown to their US peers. They also offer higher dividends and comparable buyback yields, which Goldman Sachs’ Peter Oppenheimer expects to gain momentum. “While [earnings] growth in Europe may not be as strong as in the US, the valuation gap remains very big,” he said.

Analysts are split on Europe’s long-term outlook, with some cautioning that Europe’s prospectus window is temporary, with KfW's Stefan Wintels warning, “This sentiment can quickly turn again.” A potential US rebound hinges on tech strength and Fed rate cuts, though structural changes in Europe’s fiscal policy provide a compelling long-term growth story.

Others see a more permanent shift, with UBS forecasting a EUR 1.2 tn (USD 1.4 tn) of capital rotation to European equities from the US in the next five years.

Not all sunshine and rainbows in the Eurozone: Despite rate cuts by the ECB, lending growth to Eurozone businesses stalled at 2.5% in May from 2.6% in April, as trade uncertainty and weak economic growth weighed on investment, Reuters reports, citing ECB data. The monthly flow of new business loans turned negative for the first time in over a year. While household lending growth edged up slightly to 2.0%, the M3 money supply indicator held steady at 3.9%, signaling a continued but anemic economic activity dominated by uncertainty.

MARKETS THIS MORNING-

Asia-Pacific markets are looking like a mixed bag in early trading today. Investors are once again fretting over US President Donald Trump’s tariff policies as a 90-day pause on higher tariffs — which came into effect in April to grant time for negotiations — is scheduled to expire next week, according to CNBC. Japan’s Nikkei and the Hang Seng Index are both in the red, while South Korea’s Kospi and China’s Shanghai index are each trading up so far. Meanwhile on Wall Street, futures suggest that markets will open just barely in the green.

TASI	11,164	-0.4% (YTD: -7.3%)
MSCI Tadawul 30	1,429	-0.4% (YTD: -5.3%)
NomuC	27,342	+0.3% (YTD: -13.1%)
USD : SAR (SAMA)	USD 3.75 Sell	USD 3.75 Buy
Interest rates	5.0% repo	4.5% reverse repo
EGX30	32,858	-1.1% (YTD: +10.5%)
ADX	9,958	+0.7% (YTD: +5.7%)
DFM	5,706	+0.4% (YTD: +10.6%)
S&P 500	6,205	+0.5% (YTD: +5.5%)
FTSE 100	8,761	-0.4% (YTD: +7.2%)
Euro Stoxx 50	5,303	-0.4% (YTD:+8.3%)
Brent crude	USD 67.61	-0.2%
Natural gas (Nymex)	USD 3.45	-7.9%
Gold	USD 3,319	+1%
BTC	USD 107,515	-0.8% (YTD: +15%)
Sukuk/bond market index	911.87	-0.3% (YTD: +1.1%)
S&P MENA bond & sukuk	145.29	-0.1% (YTD: +3.8%)
VIX (Fear gauge)	16.66	+2.1% (YTD: -3.6%)

THE CLOSING BELL: TADAWUL-

The TASI fell 0.4% yesterday on turnover of SAR 7.4 bn. The index is down 7.3% YTD.

In the green: Cenomi Retail (+10.0%), Maadaniyah (+9.3%) and Buruj (+7.4%).

In the red: Al Maather Reit (-3.3%), Etihad Etisalat (-3.1%) and MBC Group (-3.0%).

THE CLOSING BELL: NOMU-

The NomuC rose 0.3% yesterday on turnover of SAR 29.6 mn. The index is down 13.1% YTD.

In the green: Mayar (+9.5%), Qomel (+8.9%) and Alhasoob (+8.7%).

In the red: NGDC (-10.1%), Future Care (-8.2%) and Alshehili Metal (-7.3%).

CORPORATE ACTIONS-

Bahri clears capital hike: The National Shipping Company of Saudi Arabia (Bahri) approved raising the company’s capital by 25% to SAR 9.2 bn at its latest general assembly meeting, according to a disclosure to Tadawul. The capital hike will be financed through retained earnings and followed by the issuance of bonus shares, increasing the total number of shares to 922.9 mn from 738.3 mn.

ALSO- The company’s general assembly approved the distribution of SAR 738.3 mn in dividends for FY 2024 at SAR 1 apiece. The distribution date is yet to be announced.

Acwa Power plans to increase its capital by 4.6% to SAR 7.7 bn via a rights issue at SAR 210 per share in a bid to triple its assets under management by 2030 and strengthen its financial position, it said in a disclosure to Tadawul yesterday. The hike, still pending shareholders’ approval, will see the company’s shares increase by 33.9 mn to around 766 mn shares.

ProfessionalMedical Expertise Company’s (ProMedEx) board recommended a dividend payout of SAR 3.5 mn for FY 2024 at SAR 1 per share, according to a disclosure to Tadawul. The distribution date is set for 6 July, the company said in a separate disclosure.

The Gulf General Cooperative Ins. board recommended a 54% capital reduction to SAR 137.9 mn, canceling over 16.2 mn shares while writing off SAR 162.1 mn in accumulated losses, it said in a disclosure to Tadawul.

Middle East Specialized Cables’ board recommended a SAR 20 mn dividend distribution at SAR 0.5 apiece for FY 2025, it said in a disclosure to Tadawul yesterday. Dividends will be distributed on 14 August 2025.

CALENDAR

JULY

July (Second week): World Intellectual Property Organization (WIPO) Global Awards 2025 awards ceremony, Geneva.

7 July-24 August (Monday-Sunday): Esports World Cup, Riyadh.

29-30 July (Tuesday-Wednesday): US Federal Reserve Open Market Committee meeting.

31 July (Thursday): Deadline for companies with SAR 2.5 mn or more in 2022/2023 revenues to integrate e-invoicing solutions with Fatoora.

AUGUST

7 July-24 August (Monday-Sunday): Esports World Cup, Riyadh.

5-17 August (Tuesday-Sunday): 2025 Fiba Asia Cup, Jeddah.

3Q 2025

The National Water Company is expected to award a construction contract for the Hail Region Water Networks project.

SEPTEMBER

3-4 September (Wednesday-Thursday): Sustainable Maritime Industry Conference (SMIC), Ritz-Cartlon, Jeddah.

15-17 September (Monday-Wednesday): Money 20/20 Middle East, Riyadh.

17-18 September (Wednesday-Thursday): US Federal Reserve Open Market Committee meeting and Summary of Economic Projections.

23 September (Tuesday): Saudi National Day.

OCTOBER

1-3 October (Wednesday-Friday): Saudi Green Building Forum, Riyadh.

7-8 October (Tuesday-Wednesday): Global EV & Mobility Technology (GEMTECH) Forum, Riyadh.

15 October (Wednesday): Russian-Arab Summit.

17 October (Friday): Saudization for private healthcare roles enters its second phase.

22-23 October (Wednesday-Thursday): Private Capital Forum, Riyadh.

28-30 October (Tuesday-Thursday): Future Investment Initiative (FII9), King Abdulaziz International Conference Center (KAICC) and the Ritz-Carlton, Riyadh.

28-29 October (Tuesday-Wednesday): US Federal Reserve Open Market Committee meeting.

NOVEMBER

3-9 November (Monday- Sunday): WTA Tour Finals, Riyadh.

11-13 November (Tuesday-Thursday): TouriseSummit, Riyadh.

17-20 November (Monday-Thursday): Cityscape Global, Riyadh Exhibition and Convention Centre, Riyadh.

23-26 November (Sunday-Wednesday): Saudi Food Exhibition and Conference, Riyadh.

24-26 November (Monday-Wednesday): The World Advanced Manufacturing & Logistics Saudi Expo, Riyadh.

24-26 November (Monday-Wednesday): Metropolis Madinah Conference for civilizational capitals, King Salman International Convention Centre (KSICC), Al Madinah.

27-30 November (Thursday-Sunday): World Rally Championship Saudi Arabia 2025, Jeddah.

30 November (Sunday): Zatca 21st E-invoicing integration wave deadline.

DECEMBER

1-4 December (Monday-Thursday): International Conference on Nuclear and Radiological Emergencies, Riyadh.

1-4 December (Monday-Thursday): 61st ISOCARP World Planning Congress, Riyadh.

9-10 December (Tuesday-Wednesday): Federal Open Market Committee meeting and Summary of Economic Projections.

25-27 December (Saturday-Monday): The Fortune Global Forum 2025, Riyadh.

31 December (Wednesday): Zatca 22nd E-invoicing integration wave deadline.

31 December (Wednesday): Cancellation of Fines and Exemption of Financial Penalties Initiative by the Zakat, Tax and Customs Authority (Zatca) deadline.

2026

UN Trade and Development Global Supply Chain Forum to take place in Saudi Arabia.

8-12 February (Sunday-Thursday): World Defense Show, Riyadh.

31 March (Tuesday): Zatca’s 23rd E-invoicing integration wave deadline.

27-29 April (Monday-Wednesday): Aluminum Arabia, The Arena, Riyadh.

26-29 October (Monday-Thursday): World Energy Congress, Riyadh.

Signposted to happen sometime in 2027:

The World Water Forum takes place in Riyadh.
The Ocean Race finishes in Amaala on the Red Sea.
Riyadh-Kudmi transmission line to be completed.

Signposted to happen sometime in 2Q 2027:

The Hail Region Water Networks Project is expected to be completed.

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