Monthly briefing: 14 key developments in the region
21 November 2022
By MEED staff
> Lukewarm Cop27 ends
> UAE and US sign $100bn energy programme
> BlackRock looks to invest in projects with PIF
> Riyadh signs construction deals during Seoul visit
> Middle East outpaces global economic growth
> Riyadh Grade A office occupancy hits 98 per cent
> Dubai developer plans world's tallest residential building
> Saudi Arabia launches national automaker
> Alba reaches Block 4 financial close
> Partners award contracts for $8.5bn US chemicals project
> Investors launch Sohar industrial projects
> Aramco and IBM plan Riyadh innovation hub
COP27
Egypt climate conference ends with agreement on payout
Negotiators from nearly 200 countries at the 2022 UN climate summit Cop27, which took place in Egypt on 6-18 November, have agreed to set up a loss and damage fund aimed at helping vulnerable countries to cope with climate disasters. They also agreed that global greenhouse gas emissions need to be cut nearly in half by 2030.
The agreement also reaffirmed the goal of keeping global warming to 1.5 degrees Celsius above pre-industrial levels. However, a deal to phase out the use of fossil fuels, and not just coal, could not be agreed upon after a number of nations, including China and Saudi Arabia, blocked the proposal. Read more
The Middle East was thrust firmly onto the global stage on 20 November when football’s 2022 World Cup kicked off in Qatar
Region pitches to be global sporting hub
OIL
Opec and non-Opec partners cut 2 million b/d of production
Saudi Arabia, the world’s largest crude oil exporter, has started to cut its exports as Opec+ begins to reduce its overall target production by 2 million barrels a day (b/d).
Saudi Arabia had cut its crude oil exports by more than 400,000 b/d by the third week of November, while exports from Opec could be on course to drop by 1 million b/d.
In October, Opec+ announced it would slash its collective target by 2 million b/d from November. Although the actual reduction is expected to be about 1.1 million b/d, it is still the biggest cut since the record reduction announced in April 2020, when oil demand plunged at the start of the pandemic.
UAE-US DEAL
UAE and US sign $100bn clean energy partnership
The UAE and the US have signed a partnership that aims to catalyse $100bn in financing and other support, in addition to deploying 100GW of clean energy in the US, UAE and emerging economies around the world by 2035. They also reaffirmed their commitment to climate action, in line with their 2050 net-zero goals.
The two countries plan to stimulate private and public sector support in four areas: clean energy innovation, financing, deployment and supply chains; carbon and methane management; advanced reactors; and industrial and transport decarbonisation. Read more
PIF-BLACKROCK PARTNERSHIP
PIF and BlackRock agree to explore infrastructure projects
Saudi Arabia’s Public Investment Fund (PIF) has signed a non-binding memorandum of understanding with US asset manager BlackRock to jointly explore infrastructure projects in the Middle East, with a majority of the investment activity focused on Saudi Arabia.
The target projects are in several sectors, including energy, power, utilities, water, environment, transportation, telecommunications and social infrastructure.
BlackRock will look to build a dedicated infrastructure investment team in Riyadh to cover the Middle East region.
In a statement, the PIF said that the aim is to leverage positive Saudi and regional market dynamics to deliver sustainable long-term returns.
The sovereign wealth fund added that the two entities plan to work together to attract regional and international investors to participate in investment projects, and boost foreign direct investment into Saudi Arabia.
This will add value to the Saudi economy and the wider market while facilitating knowledge and skills transfer. Read more
ECONOMIC OUTLOOK
IMF predicts economic growth for the Middle East in 2022
The real GDP of oil exporting countries in the Middle East is projected to grow at 5.2 per cent in 2022, up from 4.5 per cent in 2021, according to the Washington-based IMF.
Growth is projected to slow to 3.5 per cent in 2023 as Opec+ production wanes, oil prices ease and global demand slows.
Crude producers are projected to accrue a cumulative oil windfall of about $1tn in 2022−26, which the IMF said oil-exporting countries like Saudi Arabia and the UAE could use to continue to invest in projects that support future economic growth. Read more
SAUDI-KOREA PROJECTS
Deals worth $30bn signed during royal visit to Seoul
Agreements totalling an estimated $30bn were signed during Saudi Crown Prince Mohammed bin Salman al-Saud’s visit to Seoul, South Korea on 17 November.
The biggest deal was a commitment from Saudi Aramco to invest $7bn in building an integrated refinery and petrochemicals complex in South Korea through its local affiliate S-Oil.
The new plant will have capacity to produce 3.2 million tonnes a year of petrochemicals.
Five South Korean companies – Korea Electric Power Corporation (Kepco), Korea Southern Power Company, Korea National Oil Corporation, Posco Holdings and Samsung C&T Corporation – have also signed agreements with Saudi Arabia’s Public Investment Fund to build and operate a green hydrogen and green ammonia production facility in Saudi Arabia. Read more
RIYADH REAL ESTATE
Riyadh Grade A office occupancy hits 98 per cent
Occupancy levels for prime office space in Riyadh have risen by four percentage points to 98 per cent according to a report by property consultancy Knight Frank.
Average lease rates for prime office space have increased by 18 per cent over the past 12 months to about SR1,775 ($473) a square foot. The company said there is unprecedented demand for Grade A office space.
“As the kingdom’s economic transformation plan unfolds, business activity is rising at an extraordinary pace. Seventy firms have now committed to relocating their regional headquarters to Riyadh, including Aldeham Education Group and French rolling stock manufacturer Alstom,” Knight Frank said. Read more
UAE
Dubai developer plans world’s tallest residential building
Local real estate developer Binghatti and jewellery brand Jacob & Co have announced plans to build the world’s tallest residential structure in Dubai’s Business Bay district.
Known as Burj Binghatti Jacob & Co Residences, the tower will comprise more than 100 storeys and will offer two- and three-bedroom apartments. Amenities in the building will include an infinity pool, a spa and a gymnasium.
Companies recently moved onsite in Business Bay to work on a 116-storey tower for Binghatti. The contractor is Granada Europe Construction. The consultant is Silver Stone Engineering Consultants. Read more
ELECTRIC VEHICLES
Saudi Arabia launches electric vehicle manufacturer
Saudi Arabia’s Crown Prince Mohammad bin Salman al-Saud has announced the launch of Ceer, the first Saudi electric vehicle brand. Ceer is the first Saudi automotive brand to produce electric vehicles in Saudi Arabia.
The company is a joint venture of Saudi sovereign wealth entity the Public Investment Fund and Taiwan-based Hon Hai Precision Industry Company, which trades as Foxconn internationally.
Foxconn will license component technology from BMW for use in the vehicle development process, with the first vehicles – sedans and sports utility vehicles – expected to be available in 2025.
Foxconn will develop the electrical architecture of the vehicles, which will feature infotainment, connectivity and autonomous driving technologies.
Ceer is expected to attract over $150m in foreign direct investment and create up to 30,000 direct and indirect jobs. Read more
Further reading
Alba agrees Block 4 financing
Aluminium Bahrain (Alba) has reached financial close on the 681MW combined-cycle gas turbine plant that comprises Block 4 of the smelter’s Power Station 5. China Export & Credit Insurance Corporation (Sinosure) will provide a $225m facility.
Contracts awarded for US plant
QatarEnergy and Chevron Phillips Chemical Company have reached final investment decision on the Golden Triangle Polymers Plant, an $8.5bn integrated polymers facility in the US. The plant will include the biggest ethylene cracker in the world with a capacity of 2.1 million tonnes a year.
Investors launch Sohar projects
Investors have launched two non-oil industrial projects in Sohar Freezone in Oman. The sultanate’s first petroleum coke calcining facility will be built at a total investment of about $155.9m, while a titanium dioxide production facility will be established at a cost of $112m.
Aramco plans innovation hub
Saudi Aramco and US technology company IBM plan to establish an innovation hub in Riyadh. The hub will support tech-driven economic growth in Saudi Arabia with the help of emerging technologies in hybrid cloud, artificial intelligence and quantum computing.
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Oman awards $2.3bn water services contract30 June 2026
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Read the July 2026 MEED Business Review30 June 2026
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Oman awards $2.3bn water services contract
30 June 2026
Oman Water & Wastewater Services Company (Nama Water Services) has awarded a $2.28bn contract to a consortium led by French utility firm Suez to operate and maintain water and wastewater services in parts of the sultanate.
In a statement, the operator said the 15-year performance-based contract covers Muscat and the North Sharqiyah and South Sharqiyah governorates, known as Cluster 1. The area is home to approximately 2.3 million people, representing about 43% of Oman’s population.
The consortium also includes local firms National Trading Company and National Energy Centre, a local utility development and infrastructure company. It will deliver the contract through a dedicated company, National Sustainable Water Alliance.
According to Suez, the contract is the company’s largest ever in the Middle East.
The scope includes the operation and maintenance of 240 wells and 10,700 kilometres of water pipelines that distribute 470,000 cubic metres a day (cm/d) of drinking water. It also covers the refurbishment and upgrading of four desalination plants and the operation of more than 400,000 smart water meters.
The wastewater package includes the operation and maintenance of 22 wastewater treatment plants with a combined treatment capacity of 280,000 cm/d. It also covers about 3,000km of sewer networks, 400km of treated effluent networks, and the installation and operation of new wastewater house connections.
The contract includes 33 key performance indicators that will determine the consortium’s remuneration. These include reducing water losses from 34% to 11% by 2040, maintaining a continuous 24-hour water supply and improving preventive maintenance to extend the lifespan of water assets.
The contract also includes a capacity-building programme to develop operational and management skills. Suez said the project will target more than 83% Omanisation in support of the government’s Vision 2040 objectives.
Under the agreement, Nama Water Services will retain responsibility for strategic oversight and regulation, while the consortium will manage day-to-day operations.
READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDFStress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.
Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
> AIRPORTS: Dubai and Riyadh reaffirm airport ambitions> INDUSTRY REPORT: Dubai eyes tourism sector recovery> DATA CENTRES: Big Tech falls short on data centre promise> LEADERSHIP: Aramco’s citizen developers accelerate digital changeTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17492322/main.jpg -
Gulf aviation’s toughest test since the pandemic
30 June 2026
Commentary
Colin Foreman
EditorThe conflict that erupted on 28 February has tested Gulf aviation more severely than any event since the Covid-19 pandemic. Yet the sector’s response has revealed both its vulnerability and its underlying resilience in equal measure.
The scale of the disruption has been severe. Between 28 February and 5 March alone, more than 15,000 flights were cancelled across seven major regional airports. Jet fuel prices are expected to average $152 a barrel this year, almost 70% above 2025 levels, while the International Air Transport Association now forecasts global airline net profit of $23bn in 2026, roughly half its earlier projection.
For Gulf hub carriers, whose business models depend on stable long-haul routings and transfer traffic, the financial hit has been unavoidable.
The sector’s response has revealed both its vulnerability and its underlying resilience
What is striking, however, is the speed and confidence of the recovery. Etihad is already operating at 90% of pre-war capacity, with fares back at pre-war levels and no plans to discount. Emirates, despite flying at just 58% of its capacity in March, posted a record annual profit and announced a 20-week salary bonus for staff. Riyadh Air pressed ahead with five new destinations in June. Dubai and Riyadh are together preparing to award tens of billions of dollars in airport construction contracts before the year is out.
The pattern is consistent across tourism, too. Hotel and resort construction contracts in the GCC have already surpassed last year’s full-year total, and sovereign entertainment projects such as the Sphere Abu Dhabi are being formalised mid-conflict. Governments are making clear that their long-term infrastructure ambitions are not contingent on short-term demand.
The coming months will determine how quickly international airline confidence, and the passengers that follow it, returns to the Gulf. The signals from within the region point firmly in one direction.
READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDFStress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.
Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
> AIRPORTS: Dubai and Riyadh reaffirm airport ambitions> INDUSTRY REPORT: Dubai eyes tourism sector recovery> DATA CENTRES: Big Tech falls short on data centre promise> LEADERSHIP: Aramco’s citizen developers accelerate digital changeTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17492201/main.gif -
DP World and Bahraini firm break ground on Jafza facility
30 June 2026
Dubai-based ports operator DP World and Lintara Properties, the real estate development arm of Bahrain-headquartered Arcapita Group Holdings, have commenced construction of a new 20,000-square-metre (sq m) build-to-suit logistics facility at Jebel Ali Free Zone (Jafza) in Dubai.
The Grade A asset is being developed by Lintara Properties and will be operated by DP World as part of its integrated, end-to-end supply chain offering in the region.
The project is slated for completion in Q1 2027.
The facility will provide high-clearance warehousing, temperature-controlled zones, dedicated dangerous goods storage, office accommodation and related operational support amenities.
The latest announcement follows Arcapita’s agreement last week with US-based firm Hines to establish an investment platform focused on industrial and logistics real estate assets across the GCC.
The initiative will be supported by Lintara Properties.
Arcapita has also signed an agreement with Asmo, the logistics joint venture of Saudi Aramco and DHL Supply Chain, to deliver a 1.4 sq m built-to-suit logistics complex at King Salman Energy Park (Spark) in Saudi Arabia.
The project will feature a 43,000 sq m temperature-controlled Grade A warehouse; more than 3,000 sq m of office space and staff amenities; 5,300 sq m dedicated to chemical storage; and an open yard spanning about 1.2 million sq m.
Planned for large-scale industrial use, the site is expected to incorporate advanced warehouse and building management systems, end-to-end digital connectivity, and automation and robotics.
Lintara Properties was formally launched in October last year as a dedicated real estate asset management, development and investment advisory firm.
READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDFStress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.
Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
> AIRPORTS: Dubai and Riyadh reaffirm airport ambitions> INDUSTRY REPORT: Dubai eyes tourism sector recovery> DATA CENTRES: Big Tech falls short on data centre promise> LEADERSHIP: Aramco’s citizen developers accelerate digital changeTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17491690/main.jpg -
Read the July 2026 MEED Business Review
30 June 2026
Download / Subscribe / 14-day trial access The events that unfolded from 28 February delivered the Gulf aviation sector its toughest test since the Covid-19 pandemic.
Missile and drone attacks exposed the fragility of one of the region’s most vital economic engines, triggering unprecedented disruption. In just one week, more than 15,000 flights were cancelled across seven major Gulf airports, leaving over 1.5 million passengers stranded and sending shockwaves through global travel networks.
While the Gulf's national airlines have largely restored services, many international carriers remain absent, highlighting the lasting impact of the crisis.So what does this mean for the future of Gulf aviation? In the July issue of MEED Business Review, MEED editor Colin Foreman examines how the industry responded under extraordinary pressure – and why the crisis revealed not only its vulnerabilities, but also the remarkable resilience that will shape its next chapter.
July’s market focus is on the Levant, and finds the region’s three markets – Jordan, Lebanon and Syria – recovering at different speeds and from very different starting points.
This edition also includes a tourism report as the first signs of recovery begin to emerge in Dubai, and the region presses ahead with tourism projects.
In the latest issue, we speak to EtihadWE about its roadmap for future projects, examine why the Mena projects market continues to show remarkable resilience despite regional conflict, and investigate whether Big Tech is delivering on its data centre ambitions.
We also explore the multibillion-dollar opportunity emerging from the region’s evolving retirement savings market and discover how Aramco's citizen developers are accelerating digital transformation from within.
We hope our valued subscribers enjoy the July 2026 issue of MEED Business Review.
Must-read sections in the July 2026 issue of MEED Business Review include:
> AGENDA: Gulf aviation ambitions face uncertain future
> AIRPORTS: Dubai and Riyadh reaffirm airport ambitionsINDUSTRY REPORT:
Tourism investment
> Dubai eyes tourism sector recovery
> GCC presses ahead with tourism projects> INTERVIEW: EtihadWE prepares roadmap for future projects
> PROJECTS MARKET: Mena project momentum holds despite conflict
> DATA CENTRES: Big Tech falls short on data centre promise
> SAVINGS: Retirement creates multibillion-dollar opportunity for region
> LEADERSHIP: Aramco’s citizen developers accelerate digital change
> INTERVIEW: Samsung E&A’s hydrocarbons business rooted in Mena
> LEVANT MARKET FOCUS:
> COMMENT: Levant recovers in three speeds
> GOVERNMENT: Jordan consolidates as deeper reforms lag
> BANKING: Caution governs Jordanian bank lending
> POWER & WATER: Record investment drives Jordan’s utilities market
> ECONOMY: Gulf liquidity outpaces Syria’s financial revival
> PROJECTS: Momentum builds for Syrian projects
> OIL & GAS: Activity ramps up in Syria’s oil and gas sector
> CONSTRUCTION: Prospects improve for Levant construction
> OIL & GAS: Lebanon taps foreign players to assess resources
> DATABANK: Jordan faces fresh round of challenges> MEED COMMENTS:
> UAE clears the path for recovery
> Water tariffs near their floor
> Petrofac seeks to reclaim lost ground
> The UAE’s eastern pivot> GULF PROJECTS INDEX: Gulf index extends growth streak into 15th month
> MAY 2026 CONTRACTS: Middle East contract awards
> ECONOMIC DATA: Data drives regional projects
> OPINION: The price of permanent risk
> BUSINESS OUTLOOK: Finance, oil and gas, construction, power and water contracts
To see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17490904/main.gif -
Consortiums sign agreements to develop Oman energy projects
30 June 2026
Consortiums led by France’s EDF Power Solutions have signed agreements to develop a 2,000MW pumped hydro energy storage (PHES) project and a 500MW solar independent power producer (IPP) project in Oman.
The agreements were signed in Paris on 29 June during the official visit of a high-level Omani delegation to France, led by Sultan Haitham Bin Tariq.
The framework agreement for the 2,000MW Jabal Abyad PHES project was signed by a consortium comprising EDF Power Solutions, Oman National Engineering & Investment Company (ONEIC), Takhzeen Oman and local firm Green Universe Enterprise, along with the Authority for Public Services Regulation.
The project will be located near Wadi Dayqah Dam and is expected to be the Middle East’s largest PHES plant.
The power purchase agreement for the 500MW Al-Kamil solar IPP was signed by a separate consortium comprising EDF Power Solutions, ONEIC and the local OQ Alternative Energy, alongside Nama Power & Water Procurement Company (Nama PWP).
The project will be financed, built and operated by the consortium.
The Al-Kamil solar photovoltaic IPP is EDF Power Solutions’ third renewable energy project in Oman following the 500MW Manah 1 solar PV IPP and the 120MW JBB wind IPP.
As previously reported, the Kamil IPP sits alongside renewables schemes in Nama PWP’s development pipeline, including the 400MW Sina and 280MW Marsa solar IPPs. Plans also include the 800MW Mahout and 300MW Duqm 2 wind IPPs, both of which are targeted for commissioning between 2027 and 2029.
Separately, the Omani government, EDF Power Solutions and Synergy Investments signed a memorandum of understanding to develop a 1,000MW sustainable digital infrastructure platform.
The project aims to position Oman as a regional hub for artificial intelligence, advanced computing and cloud services in line with Oman Vision 2040.
READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDFStress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.
Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
> AIRPORTS: Dubai and Riyadh reaffirm airport ambitions> INDUSTRY REPORT: Dubai eyes tourism sector recovery> DATA CENTRES: Big Tech falls short on data centre promise> LEADERSHIP: Aramco’s citizen developers accelerate digital changeTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17491165/main.jpg