Rolls-Royce charts net-zero path
26 October 2023
UK-headquartered Rolls-Royce aims to achieve net zero carbon emissions from its operations and facilities, excluding product testing and development, by 2030.
This entails building energy-efficient facilities and a significant reduction in energy consumption and waste sent to landfills.
Meeting its long-term sustainable target will inevitably require facilitating its customers – which range from aircraft and transport operators to utilities – meet theirs.
“We have a long history of bringing to market ever more efficient technologies in aviation, transport and mobility and nuclear power generation,” says John Kelly, Rolls-Royce’s president for the Middle East, Turkiye and Africa (Meta) region. “These sectors being hard-to-abate or decarbonise does not stop us [from pursuing energy efficient solutions].”
Sustainable jet fuel
The company recognises that the adoption of sustainable aviation fuel (saf) and other synthetic fuels produced in a non-carbon-generative process, among other technologies, will play a key role in decarbonising the aviation sector.
Kelly says Rolls-Royce continues to work on and invest in more efficient gas turbine jet engines, such as the UltraFan, a demonstrator aero engine that is designed to burn 25 per cent less fuel compared to the first generation of its Trent jet engine.
UltraFan can be used for narrowbody and widebody aircraft that may be developed from the 2030s. It will also be ready to run on saf from day one of service.
“Regulations and enabling factors are key to reducing the carbon footprint of jet engines,” says Kelly.
Related read: Emirates and Shell Aviation sign sustainable fuel deal
It is understood that Rolls-Royce's ongoing research and tests drawn from initiatives such as its UltraFan programme will also contribute towards improving the efficiency of aircraft fleets and operators.
“We do not produce saf, but we work with partners and regulators and fuel offtakers to look for ways to improve its commercial viability.
“We have tested commercial and business aircraft limit of 50 per cent saf, and established that we can operate a flight safely using 50 per cent saf. We are also pushing to get to 100 per cent, which should lead to increased offtake of saf in future,” says Kelly.

The key issues today for saf, as well as other synthetic fuels, include price point, availability and competitiveness compared to conventional jet fuel.
“The key is to scale up not just saf but other synthetic fuels from manufactured chemicals, or fuels that are produced in a non-carbon-generative way," the executive explains. "This requires regulations and government incentives in line with net-zero targets. It also requires ongoing dialogues, as this obviously has a political angle."
Kelly says events like the upcoming Cop28 climate summit and the airshow in Dubai can foster an environment that allows these dialogues and conversations to advance.
Hydrogen fuel
Beyond retrofits and the development of energy-efficient jet engines, Rolls-Royce is also looking at other alternative technologies, such as hydrogen both as a direct fuel source for aircraft as well as for the electrification of transport.
“We have conducted ground tests on engines using hydrogen as a direct fuel source with excellent results. Electrification in airport shuttles and mobility also offers opportunities, leading to shorter commute time or minimising traffic and reducing or eliminating fossil fuel requirement,” explains Kelly.
Air taxis are another area of opportunity, with air taxi engines being tested today.

Kelly reiterates the need for ongoing dialogues with the region’s sovereign wealth funds and regulators, among others, about how existing products across its business can be improved.
“Technology is a route to decarbonise. We have a range of solutions that will be available at different times as we get to net-zero… these solutions offer potential incremental benefits to users and customers.”
New nuclear
Small modular reactors (SMR), or the so-called 'new nuclear', is another non-carbon power resource that Rolls-Royce has up its sleeve.
“We have products that can produce 470MW of electricity, which is another option for a non-carbon power source,” says Kelly.
“On one hand, we try to help enable synthetic fuels for aviation, on the other we also have SMR that helps enable synthetic fuels or enable utility companies and electricity grids to produce non-carbon power.”
While Rolls-Royce supports the development of wind and solar energy, both require tremendous amounts of cement and steel and using SMRs can help alleviate the carbon intensity of these materials and technologies.
“SMRs help scale up synthetic fuel production in a non-carbon-generative way,” says Kelly.
With at least two to three jurisdictions in the Middle East and North Africa region looking at SMRs, Kelly confirms ongoing discussions with those countries.
Related read: Small reactors top nuclear agenda
The confluence of significant growth and the drive to achieve long-term economic programmes such as Saudi Vision 2030, which in turn places a strong focus on manufacturing and development, means Rolls-Royce is on hand to explore partnerships and potential local production for relevant products or technologies.
“We are here to partner… the Rolls-Royce vision is to enable local development and to be able to manufacture globally and foster a global supply chain,” he concludes.
Photos: Rolls-Royce
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Caution governs Jordanian bank lending12 June 2026
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Conflict to push global growth to post-pandemic low12 June 2026
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Emaar announces $55bn Dubai project12 June 2026
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Caution governs Jordanian bank lending12 June 2026

In a region where geopolitical turbulence has amplified by an order of magnitude, Jordan is managing to stand out as a beacon of relative stability, with the Hashemite kingdom’s banking sector acting as a case in point.
Lending has grown in recent years, with credit up by an average 4.9% between 2020 and 2025, according to the Central Bank of Jordan (CBJ) – a faster rate than average nominal GDP growth of 2.3% over the same period.
The IMF took care to note an increase in credit to the private sector in its latest Article IV assessment of Jordan, standing at 80.1% of GDP at end-2024, compared to just 66.6% 10 years earlier.
Banks in the kingdom ended 2025 in a liquid state, but caution remains the watchword for local lenders. The loan-to-deposit relationship bears that out. For that year, deposits ended up 7.1% to JD50bn ($70.5bn), while credit facilities were up just 3.7% to JD36.1bn ($50.9bn).
Analysts see this as a case of Jordanian banks being prudent, given the tricky operating environment and limited lending opportunities, rather than banks being excessively defensive.
According to Christos Theofilou, an analyst at Moody’s Investors Service, it is cautious lending in fraught macroeconomic conditions.
“On the one hand, we’ve seen a structurally strong and stable deposit base that has been growing more compared to lending. That indicates a certain degree of limited risk appetite, but also the fact that, given the challenging operating conditions, there were limited business opportunities in the market,” says Theofilou.
Liquidity banked
Jordan’s banks look able to withstand further shocks, given solid capital positions and relatively strong earnings performances. Arab Bank, the largest lender, saw net profits grow 12% last year to $1.13bn, despite a highly charged geopolitical situation across Jordan and the neighbouring Palestinian territories.
As Moody’s notes, Jordanian banks’ funding base remains stable, with banks mainly deposit-funded – with deposits at 67% of total assets as of December 2025 – mostly comprising well-diversified retail deposits. The ratings agency noted that banks retain the capacity to increase lending without relying on more volatile and costly external funding, as indicated by the 72% loan-to-deposit ratio.
The earnings outlook in Jordan may be better than other banking sectors in the immediate region, but this does not translate into a picture of booming profits going forward.
“Profits should remain resilient, but we’re not expecting any significant improvement,” says Theofilou. “We have the challenging operating conditions, and the lower interest rates that have come down over the past few years. On the other hand, banks have had lower provisioning in the past 12 to 18 months compared to the period prior to that.”
Asset quality remains a strong point, despite some weakening over recent years. Moody’s sees non-performing loans (NPLs) falling below 5.5% this year from 5.8% in June 2025.
However, the continuing Iran conflict and its deleterious regional impacts – including on the West Bank, where about 9% of Jordanian banks’ loans are located – suggest that bank exposures to troubled sectors will require focus.
Concentration bites
Another challenge is the banks’ high credit concentration among large corporates, with a noted high exposure to real estate.
Commercial and residential real estate loans accounted for 17.4% of total credit facilities as of year-end 2024, while residential mortgages accounted for 40.9% of household credit. Regulatory oversight may limit the impacts – the CBJ caps loans for real estate at 20% of local currency customer deposits.
The real estate exposures are meaningful, but Moody’s views overall concentration risk as more material rather than real estate risk per se.
“So, on the one hand, Jordanian banks have real estate loans, both commercial and residential, slightly below a fifth of the total credit facilities,” says Theofilou. “Banks also face challenges in quickly disposing of properties, but within the context of a relatively lengthy foreclosure process. On the flipside, we see Jordanian banks having fairly high collateralisation, so they do hold a lot of collateral against the real estate exposures.”
The CBJ has earned plaudits for its regulatory oversight, with the IMF lauding its strengthening of the Financial Stability Committee, while refocusing its role on macroprudential policies and systemic risks.
Jordanian banks’ brisk uptake of digital technologies has also been a positive.
Last year, digital payment systems in Jordan recorded over 184 million digital transactions, exceeding $38bn in value. The CBJ has introduced an AI regulatory framework for the sector and the authorities are now working to burnish the country’s credentials as a fintech hub, based on a 90% plus internet penetration.
In the year ahead, Jordanian banks will be looking to find exposures to new lending opportunities, given the past risk aversion that has prevented them from building stronger growth avenues.
Projects beckon
Big new infrastructure projects could yet come to the fore as bankable opportunities for local players. For example, the National Water Carrier Project, costed at $5.8bn and aiming to increase water supply by 40%, is looking to achieve financial close this summer. It is the type of project that could prove significant in helping diversify local lenders’ exposure away from real estate towards infrastructure.
“If we see a lot of these infrastructure projects requiring financing coming to the market, then we could see a bit of a pickup in lending growth as well,” says Theofilou.
New lending opportunities will come from large corporates and infrastructure-related lending. Those will play the key role in any significant pickup in credit growth, says the Moody’s analyst, in contrast to the small- and medium-enterprise (SME) sector, which poses a different challenge for banks.
“The SME segment does represent a potential growth opportunity and it’s supported by policy focus, however its expansion is constrained by the operating environment. The sector is exposed to high overall credit risks, and when conditions are challenging, banks tend to be more cautious in lending to the SME markets,” says Theofilou.
So long as the regional conflict persists, banks will be inclined more towards caution than exuberance in their lending approaches. And yet that strong and stable inclination may be what serves them best in a notably turbulent year in the Middle East’s recent history.
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Oman tenders environmental survey consultancy contract12 June 2026
Nama Power & Water Procurement Company (Nama PWP) has issued a tender seeking consultancy firms to provide environmental and seawater quality surveys under an ad hoc services contract.
The selected consultants will be appointed for a four-year period and engaged on an as-needed basis to undertake environmental survey work.
According to the tender notice, the scope of work includes environmental surveys, vertical profiling of seawater quality, seawater sampling and testing, environmental and social baseline studies, and bird and bat surveys.
Bids are due by 1 July.
Environmental and seawater studies are typically undertaken during the early development stages of power generation, desalination and other water infrastructure projects.
Oman’s project pipeline includes a series of large-scale independent power projects (IPPs) scheduled for delivery between 2027 and 2031, according to the seven-year plan released by Nama PWP in March.
Earlier in June, Nama PWP issued a supervisory consultancy tender for the 280MW Marsa solar IPP project in North Al-Batinah Governorate.
The project is scheduled to enter commercial operation in the first quarter of 2028.
The company is seeking project management and supervisory consultancy services during the construction, commissioning and testing phases of the project.
The bid submission deadline is 26 July.
> Be recognised among the best in the industry at the MEED Projects Awards 2026 …
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Emirates to offer passengers insurance amid travel warnings12 June 2026
Dubai-based airline Emirates is to offer its own insurance product to passengers flying to or through Dubai, as it seeks to reassure travellers deterred by government advisories against travel to the region.
The airline’s president, Tim Clark, confirmed the move in an interview with the London-based Financial Times. He said Emirates was working with insurance companies to introduce a “reasonably priced” product that would guarantee passengers could get home regardless of whether they returned on Emirates or another carrier.
The move is designed to address concerns that travellers could become stranded if the conflict were to restart. More than three months after fighting began, several countries continue to maintain no-fly recommendations covering Gulf routes, leaving passengers unable to obtain conventional insurance for trips to or through the region.
“I think one of the big concerns is that if they get caught overseas and they can’t get back,” Clark said. The group was working with insurance companies “to do the right thing”, he added.
Emirates has played a leading role in supporting Dubai’s tourism sector since Iran began targeting the UAE with missiles and drones on 28 February.
In early June, the Department of Economy and Tourism told stakeholders attending its bi-annual City Briefing that the emirate worked closely with airports and aviation partners, including Emirates and FlyDubai, to ensure continued connectivity for travellers.
READ THE JUNE 2026 MEED BUSINESS REVIEW – click here to view PDFGCC looks beyond the Strait; Iraq’s reform window narrows as fiscal assumptions shatter; MEED Top 100 companies.
Distributed to senior decision-makers in the region and around the world, the June 2026 edition of MEED Business Review includes:
> AGENDA: Gulf races to reroute trade> EXPORT ROUTES: Regional war boosts oil and gas pipeline project activity> CURRENT AFFAIRS: UAE’s Opec departure fulfils multiple ends> MEED TOP 100: Middle East stocks recover unevenly> LEADERSHIP: Building the infrastructure that makes net zero possible> TRADE DEAL: UK-GCC trade deal talks concludeTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17206867/main.jpg -
Conflict to push global growth to post-pandemic low12 June 2026
The ongoing conflict in the Middle East is expected to drag global economic growth to its lowest level since the Covid-19 pandemic, with Gulf states bearing the heaviest burden of any region, the World Bank Group has warned in its latest Global Economic Prospects report.
Global growth is forecast to slow to 2.5% in 2026, down from 2.9% in 2025, with forecasts downgraded for two-thirds of economies. Economies in the Gulf directly affected by the conflict are expected to see growth collapse from 3.9% in 2025 to nearly zero this year, marking the steepest regional decline.
The closure of the Strait of Hormuz has severely disrupted energy markets, with Brent crude prices projected to average $94 a barrel in 2026, 36% above 2025 levels, assuming the worst disruptions ease by July. Fertiliser price increases are compounding the pressure, feeding through to food prices and pushing global inflation to an expected 4.0% this year, up from 3.3% in 2025.
The World Bank says downside risks remain substantial. Should energy supply disruptions prove more severe than currently assumed and be accompanied by significant financial stress, global growth could fall as low as 1.3% in 2026, with inflation climbing to 4.4%.
The World Bank is making up to $50bn-$60bn immediately available through existing instruments, including $25bn in pre-arranged financing, to support affected countries through social safety nets, fiscal capacity and working capital for businesses. More than 30 countries are actively working with the bank to enhance readiness under the response plan. If the conflict and its economic fallout persist, support could be scaled to $80bn-$100bn over 15 months.
Despite the severity of the near-term shock, the bank projects a significant Gulf rebound, with growth recovering to around 5% in 2027-28 as trade normalises and reconstruction spending begins.
READ THE JUNE 2026 MEED BUSINESS REVIEW – click here to view PDFGCC looks beyond the Strait; Iraq’s reform window narrows as fiscal assumptions shatter; MEED Top 100 companies.
Distributed to senior decision-makers in the region and around the world, the June 2026 edition of MEED Business Review includes:
> AGENDA: Gulf races to reroute trade> EXPORT ROUTES: Regional war boosts oil and gas pipeline project activity> CURRENT AFFAIRS: UAE’s Opec departure fulfils multiple ends> MEED TOP 100: Middle East stocks recover unevenly> LEADERSHIP: Building the infrastructure that makes net zero possible> TRADE DEAL: UK-GCC trade deal talks concludeTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/17204153/main.jpg -
Emaar announces $55bn Dubai project12 June 2026
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Mohammed Alabbar, the founder of Emaar Properties, has released a statement saying that the Dubai-based real estate developer is about to announce a $55bn project in Dubai.
On his social media channels including Instagram and X, he said: “Emaar is preparing to unveil its most ambitious project yet: a development worth AED200bn (around $55bn), commanding an extraordinary vista that brings together, in a single frame, three of the city’s timeless icons – Burj Khalifa, Burj Al-Arab and Palm Jumeirah – complete with the finest essentials of modern living, in the city of Dubai.”
Emaar has delivered some of the world’s most ambitious real estate projects, including the world’s tallest tower, the 828-metre-tall Burj Khalifa, and the surrounding Downtown Dubai development.
Commenting on the new project, Alabbar added: “This is no ordinary new development. It is a landmark that takes its place in the legacy of the United Arab Emirates, writing a new chapter in the story of a nation that knows no limits to its ambition.”
In a statement on the Dubai Financial Market on 11 June, Emaar Properties said it “stands on the threshold of a historic announcement” and revealed more details about the project. It said it will have a total development value of AED200bn, with a gross floor area exceeding 4.5 million square metres.
It added that it will include a mix of landmark residential towers, signature villas and mansions, Grade-A commercial offices, world-class retail destinations, luxury hospitality, and civic and cultural amenities. Altogether, the development will accommodate a projected population of nearly 150,000 residents. The statement also said the development will be connected to proposed metro lines.
The exact location of the development was not revealed. Emaar has announced major projects in the past without giving precise locations. In June 2023, it announced the $20bn Oasis project. At the time, the details on the site’s location indicated it was situated in a prime location in Dubai, surrounded by high-end developments and within proximity to four international golf courses. It was later confirmed that the site sits between Damac Properties’ Lagoons development and Dubai Investment Park.
> Be recognised among the best in the industry at the MEED Projects Awards 2026 …
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