PIF and Malaysia's MRCB explore SAR 21 bn transit development at Makkah's King Salman Gate

A PIF-Malaysian tie-up is being explored for a SAR 21 bn transit-integrated development in Makkah. PIF subsidiary Rua Al Haram Al Makki is mulling a joint development with Malaysian Resources Corporation Berhad (MRCB) to build a SAR 21 bn transit-integrated, mixed-use destination within Makkah’s King Salman Gate, the company said in a press release. The project would include residential, commercial, retail, and other mixed-use components, along with a public bus terminal within King Salman Gate. This aims to streamline the movement of visitors, including pilgrims to Makkah.

Background: Crown Prince Mohammed bin Salman launched Makkah’s King Salman Gate project last October. Billed as a mixed-use development adjacent to the Grand Mosque, the 12 mn sqm project features residential, hospitality, commercial, and cultural spaces designed to elevate services for pilgrims and residents while accommodating up to 900k worshippers.

Made in Morocco

Chinese battery maker Gotion High-Tech and Volkswagen’s battery arm PowerCo will build a EUR 480 mn plant in Morocco’s Kenitra to produce 100k tons a year of lithium iron phosphate (LFP) cathode for their 37.5 GWh of cell capacity in Valencia and Šurany, Volkswagen said in a statement. Gotion will hold 51% of the JV. The plant would supply material Europe doesn’t make: The continent has “no meaningful LFP production,” VW says, and Chinese firms make nearly 90% of global LFP cathode.

The JV joins a growing cluster of Chinese battery-materials investments that are making Morocco the upstream end of Europe’s EV supply chain. Gotion is building a separate gigafactory in Kenitra, backed by a EUR 100 mn AfDB loan in July. BTR is building a cathode plant near Tangier, and CNGR has a precursor JV with Al Mada at Jorf Lasfar.

What’s next: Gotion shareholders vote on the agreement on 20 October. The agreement then needs Beijing’s approval, because China has required a license to export LFP cathode technology since July 2025.

Exemption granted

Iraqi Airways will resume flights between Najaf and Iran in October after the US granted a sanctions waiver for the route, Iraq's Transport Ministry said, although Washington has yet to confirm the news. The waiver runs for one month, and a more permanent one could follow, a source involved in the deliberations told Reuters.

Background: Baghdad halted Iran flights on Friday. US Treasury sanctions on 27 Iranian airlines on 8 September had led ground handlers to stop serving the routes. A full ban on flights carrying Shia pilgrims to Najaf risked a backlash against the Iraqi government from followers of both Iran's supreme leader and Grand Ayatollah Ali Al Sistani, the Reuters source said. According to the same source, Prime Minister Ali Al Zaidi offered screening and information sharing, and guarantees that the flights would not carry weapons, sanctioned individuals or illicit money.

What’s next: Baghdad is also seeking exemptions for medical, educational and other civilian travel.

Back in the air

Air Algérie resumed flights to Doha yesterday, seven months after suspending the route in February over the regional war. It’s the first of the airline’s suspended Middle East routes to come back. The carrier will run three weekly flights before moving to daily service from 25 October. Flights to Dubai and Amman, which were halted at the same time, remain suspended.

Field work

Germany and Lebanon’s Agriculture Ministry launched a EUR 12 mn project to build climate resilience and agricultural livelihoods across Bekaa, Baalbek-Hermel, South Lebanon and Nabatiyeh. The project is financed through KfW Development Bank by the Federal Ministry for Economic Cooperation and Development of Germany and implemented by Action Against Hunger. It aims to create close to 6k temporary jobs and benefit some 4k farmers according to Uta Simon, Head of Development Cooperation at the German embassy in Beirut.