{"id":87236,"date":"2024-06-24T00:00:00","date_gmt":"2024-06-24T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2024\/06\/24\/health-minister-confirms-more-than-1-3k-pilgrims-died-during-this-years-hajj-most-as-a-result-of-extreme-heat\/"},"modified":"2024-06-24T00:00:00","modified_gmt":"2024-06-24T00:00:00","slug":"health-minister-confirms-more-than-1-3k-pilgrims-died-during-this-years-hajj-most-as-a-result-of-extreme-heat","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2024\/06\/24\/health-minister-confirms-more-than-1-3k-pilgrims-died-during-this-years-hajj-most-as-a-result-of-extreme-heat\/","title":{"rendered":"Health minister confirms more than 1.3k pilgrims died during this year\u2019s Hajj, most as a result of extreme heat"},"content":{"rendered":"

Good morning, friends. <\/strong>The high cost of building real estate in Riyadh and the prospect of a new cement champion in the kingdom\u2019s west lead the business headlines this morning, but the story that everyone is talking about remains the death of hundreds of pilgrims during this year\u2019s Hajj. <\/p>\n

<\/a> The Health Ministry has for the first time confirmed a toll, saying some 1.3k pilgrims died <\/strong>during Hajj.<\/strong> Most succumbed to heat stroke or other complications from extreme heat, mirroring an uptick in deaths in India and North America as the world breaks one heat record after another. <\/p>\n

A big factor in the deaths: An influx of pilgrims on unauthorized tours<\/strong> who didn\u2019t have the same on-site and medical support from tour operators that those on official visits had. \u201cEighty-three percent of [those who died] were unauthorized pilgrims who walked long distances under direct sun with no suitable shelter or comfort,\u201d state news agency SPA<\/a> reported Health Minister Fahad bin Abdurrahman Al Jalajel as saying.<\/p>\n

Al Jalajel said most of those who died were elderly or had chronic illness<\/strong>, but stopped short of saying exactly how many fo the deaths could be directly attributed to heat. It\u2019s the first time the government has confirmed a death figure. <\/p>\n

Background: <\/strong>Hundreds died during this year\u2019s pilgrimage as an extreme heat wave settled in over Makkah and the surrounding area. More Egyptians died than did any other nationality: 672 are confirmed dead and another 25 are missing, according to Reuters<\/a>. The rise in fatalities led the Egyptian government to crack down on tourism operators who facilitated the travel of pilgrims who lacked hajj permits, rescinding the licenses<\/a> of 16 tourism companies.<\/p>\n

PSAs- <\/p>\n

WEATHER- No respite from the<\/strong> searing heat:<\/strong> Riyadh is looking at a daytime of 46\u00b0C and a nighttime low of 31\u00b0C. In Makkah, the mercury will peak at 44\u00b0C before dropping to a cooler 30\u00b0C at night. Madinah will see the temperature hitting 45\u00b0C during the day and will fall to a low of 30\u00b0C. <\/p>\n

WATCH THIS SPACE-<\/p>\n

<\/a> #1- Qatar is making an AI play<\/strong> as it looks to chip into the lead (pun intended, we\u2019re afraid) already established by the Saudi and the UAE. Ooredoo CEO Aziz Aluthman Fakhroo told Reuters<\/a>. <\/p>\n

What\u2019s happening: <\/strong>The Qatari network operator will deploy Nvidia chips at data centers in Qatar, Algeria, Tunisia, Oman, Kuwait, and the Maldives, the company said in a statement<\/a>. <\/p>\n

Why it matters: <\/strong>It will give some companies in our part of the world access the core tech behind much of the current boom in generative AI \u2014 at the same time as the US continues to block the export of some of Nvidia\u2019s most advanced chips to the rest of our region. <\/p>\n

What to watch for: <\/strong>A sweeping pact on defense and nuclear power between Riyadh and Washington is likely to also include an agreement on AI and other advanced technologies. That could see see Saudi companies get more access to cutting edge tech provided the Kingdom turns its back on rival Chinese gear, much as the UAE\u2019s G42 promised to do<\/a> as it embraced Microsoft technology<\/a> earlier this year.<\/p>\n

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#2- SPEAKING OF AI\u2026 Singapore-headquartered startup <\/strong>Dyna.Ai<\/a><\/strong> plans to set up an <\/strong>office in Saudi<\/strong>, Chairman Tomas Skoumal told Arab News<\/a>. The company wants to pitch government institutions and related agencies with AI-powered financial solutions. Dyna.Ai \u2014 which has already launched two of its products in Saudi \u2014 focuses on addressing digitization challenges for financial services players. <\/p>\n

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<\/a> #3- A delay in regulatory approvals in \u201cseveral countries\u201d <\/strong>is holding up a USD 10 bn JV <\/strong>between <\/strong>Neom<\/strong> and <\/strong>Denmark-based freight company DSV<\/strong>, Bloomberg<\/a> reports, citing a report from German outlet DVZ. The now-delayed joint venture \u2014 which was set to kick off operations in 2Q 2024 \u2014 is pending regulatory approvals from the Kingdom and Egypt before it can proceed. \u201cIt\u2019s not unusual for delays to occur in projects of this size, and this doesn\u2019t change our preparations and long-term expectations for the collaboration,\u201d a DSV spokesperson told the business information service.<\/p>\n

Background: <\/strong>The venture \u2014 which was announced in October<\/a> of last year \u2014 will see the Danish freight company provide logistical services to Neom over the coming years. DSV had initially pledged USD 2.5 bn towards the project, but intends to cut its investment down to USD 1 bn \u201cunder the current business case,\u201d Bloomberg reports.<\/p>\n

IPO WATCH-<\/p>\n

<\/a> Automotive oil manufacturer Neft Alsharq will ring the opening bell for<\/strong> parallel<\/strong> market <\/strong>Nomu<\/strong> tomorrow<\/strong> as its shares start trading for the first time, according to a Tadawul statement<\/a>. Neft\u2019s offering was oversubscribed as it priced IPO at the top range of SAR 3.60 per share.<\/p>\n

Background:<\/strong> Neft Alsharq is taking a 20% stake to the market<\/a> in an offering that saw the company raise SAR 18 mn<\/a> and lock-in a market cap of 90 mn at the start of trading, according to our calculations. Net proceeds from the share sale will support the company\u2019s growth and working capital needs.<\/p>\n

What to expect tomorrow: <\/strong>Shares will be allowed to trade within a \u00b130% band in daily price fluctuation limits and a \u00b110% band in static price fluctuation limits.<\/p>\n

DATA POINTS-<\/p>\n

#1- <\/strong>Saudi Arabia is expected to attract an estimated <\/strong>300 m\u2019naires in 2024<\/strong>, thanks in part to the Kingdom\u2019s Premium Residency program, giga-projects, and advancements in aviation, according to Henley & Partners\u2019 Private Wealth Migration Report 2024<\/a>. The report lists Saudi as the top country to watch \u2014 edging out Malta, Mauritius, Monaco, Spain, France, and New Zealand \u2014 after seeing a 40% growth in its number of m\u2019naires in the last 10 years. <\/p>\n

Riyadh and Jeddah were highlighted as \u201chotspots\u201d<\/strong> for m\u2019naire inflows, especially from neighboring MENA countries, with potential to rival Dubai and Abu Dhabi in the future. <\/p>\n

Zooming out: <\/strong>The UAE leads the charts as the top magnet for high-net worth individuals for the third year in a row with a projected record net inflow of 6.7k m\u2019naires this year. That\u2019s twice as many as its runners-up, the US (3.8k) and Singapore (3.5k). The report cites the UAE\u2019s no-tax income, golden visa residency program, and geographic location as its secrets to success for attracting migrating m\u2019naires. China, meanwhile, has the highest outflows of m\u2019naires with an anticipated exit of 15.2k m\u2019naires.<\/p>\n

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#2- The total number of complaints lodged against airline carriers rose 62.5% y-o-y to <\/strong>1.3k complaints in May 2024<\/strong>, according to data by aviation regulator Gaca<\/a>. Flagship carrier Saudia saw the least complaints in May at a rate of ten per 100k passengers, followed by budget airline flyadeal at 11 and low-cost airline Flynas at 13. Most of the complaints were related to boarding services, customer service, tickets, baggage services and others.<\/p>\n

#3- The fourth phase of the Jeddah-Makkah road is 24% complete, <\/strong>according to Okaz<\/a>. This phase spans 11 km and is part of the larger 73 km, four-lane highway which has already opened its first three phases to traffic. <\/p>\n

#4- Motorcycle imports grew in volume by 95.5% y-o-y in 2023<\/strong>, with the total value of motorcycle exports growing 36.6% y-o-y to SAR 258.5 mn, Aleqtisadiah<\/a> reports, citing the General Authority for Statistics. The upward trend is expected to continue into 2024, with SAR 41 mn worth of motorcycles imported in the first two months of the year. <\/p>\n

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THE BIG STORY ABROAD- <\/p>\n

Expect a big week of politics to dominate headlines in the global business press<\/strong>, though AI and the stock market (is a correction finally in the cards?) aren\u2019t going anywhere anytime soon. <\/p>\n

Elections will be the big theme, with three televised debates setting up a high-stakes <\/strong>week <\/strong>for incumbents on both sides of the pond:<\/p>\n