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RIYADH: The Saudi Paper Manufacturing Co. signed a SR300-million ($80 million) deal to purchase a tissue paper manufacturing machine for its fifth production line from Italian firm Toscotec.
Through the agreement, the company aims to expand its production capacity for raw tissue paper rolls from 130,000 tons to 190,000 tons, according to a bourse filing.
The company said the agreement will boost its market share as well as support exports to other countries and the Middle East as part of the 2030 plan.
RIYADH: Saudi Arabia imported some 320,000 cars during the first half of this year — equivalent to 57 percent of last year’s total figure, the Zakat, Tax and Customs Authority told Aleqtisadiah.
The authority revealed the number of vehicles imported into the Kingdom during 2021 amounted to about 562,000, up 2.9 percent on the previous year.
Key import partners include Japan, US, and South Korea, the authority said, with Thailand, Germany, China, and India also playing a prominent role.
Saudi ports have witnessed a growth in car imports during the first quarter of 2022, amid an increase in cargo throughput tonnage, official statistics showed in April.
The first three months of the year recorded an increase in the numbers of cars by 12.85 percent with a total of 219,488 cars, data published by the Saudi Ports Authority, MAWANI showed.
WASHINGTON: US consumer spending barely rose in July, but inflation eased considerably, which could give the Federal Reserve room to scale back its aggressive interest rate increases, according to Reuters.
Consumer spending, which accounts for more than two-thirds of US economic activity, edged up 0.1 percent last month, the Commerce Department said on Friday. Data for June was revised slightly down to show outlays advancing 1.0 percent instead of 1.1 percent as previously reported.
Economists polled by Reuters had forecast consumer spending would gain 0.4 percent.
The national average gasoline price dropped to about $4.27 per gallon in the last week of July after hitting an all-time high just above $5 in mid-June, according to data from motorist advocacy group AAA. That likely freed money for spending elsewhere.
Prices of apparel and services like air travel, hotel and motel accommodation also declined in July, curbing inflation.
A moderate pace of consumer spending in the second quarter helped to blunt the drag on the economy from a sharp slowdown in inventory accumulation caused by supply chain bottlenecks.
Gross domestic product contracted at a 0.6 percent annualized rate last quarter after shrinking at a 1.6 percent pace in the first quarter.
The economy is, however, not in a recession. When measured from the income side, the economy grew at a 1.4 percent pace, slowing from the January-March quarter’s 1.8 percent rate, the government reported on Thursday.
Risks of a downturn remain as the Federal Reserve aggressively tightens monetary policy to control inflation. There is, however, cautious optimism that the US central bank could slow the pace of its rate hikes if inflation continues to moderate.
The personal consumption expenditures price index dipped 0.1 percent last month after surging 1.0 percent in June. In the 12 months through July, the PCE price index increased 6.3 percent. The PCE price index shot up 6.8 percent on a year-on-year basis in June.
Excluding the volatile food and energy components, the PCE price index gained 0.1 percent after racing 0.6 percent in June. The so-called core PCE price index increased 4.6 percent on a year-on-year basis in July after rising 4.8 percent in June.
Fed officials are closely watching the PCE price indexes, in addition to the consumer price index. Though oil prices have dropped significantly, rental costs have remained hot, leaving some economists hesitant to declare that inflation has peaked.
Fed Chair Jerome Powell’s address on Friday at the annual Jackson Hole global central banking conference in Wyoming could shed more light on how much further US borrowing costs need to rise.
NEW YORK: Stocks in the US and Europe turned lower Friday ahead of a speech by the Federal Reserve chair that could more shed light on the potential for more interest rate hikes, according to Reuters.
The DAX in Frankfurt fell 0.3 percent while the CAC 40 in Paris slipped 0.1 percent. The FTSE in London held onto a slight gain. Earlier, markets in Tokyo and Hong Kong advanced while Shanghai declined.
In the US, futures for all three major indexes declined, with the S&P 500 down 0.3 percent. The benchmark index gained 1.4 percent Thursday.
The focus is on Jerome Powell’s speech at the Fed’s annual Jackson Hole meeting later Friday. Investors and economists will be turning over his remarks for any clues about how fast the Fed may continue to raise its key interest rate — and for how long.
Traders worry the Fed’s rate hikes this year, plus increases by central banks in Europe and Asia, might derail global growth. Some expect the Fed to reverse course and start cutting rates in 2023 due to signs the US economy might be cooling.
“The Fed could start thinking about a pause in rate hikes, potentially for the end of the year,” Thomas Costerg of Pictet said in a report. “However, it is still too early to talk about rate cuts.”
Global markets have swung between optimism about stronger corporate profits and unease about possible recession risks.
On Thursday, the US government reported the economy didn’t contract by as much as previously thought during the spring. It shrank 0.6 percent on an annualized basis, the government said, less than the previous 0.9 percent estimate.
The Fed’s Jackson Hole meeting in Wyoming, which attracts economists from around the world, has been the setting for market-defining announcements in the past.
Investors are hoping for clarity from Powell after a number of Fed officials said they still supported rate hikes despite hopes inflation might be peaking.
In energy markets, benchmark US crude gained $1.13 to $93.65 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the price basis for international trading, advanced $1.26 to $99.75 per barrel in London.
CAIRO: The Saudi Central Bank has granted permits for two fintech startups, Saudi-based Lean Technologies and Mod5r, to provide open banking solutions.
Bringing the total number of permitted companies operating under its regulatory SandBox to 38, SAMA — as the central bank is also known — is currently working on developing and implementing a high standard network to carry out open banking solutions across the Kingdom.
Founded in 2019, Lean Technologies is the first technical service provider to be approved by the SAMA SandBox and is set to support fintech companies in building the next generation of financial services.
Mod5r was founded in 2020 as it provides a mobile application for users to have all their financial transactions in one place.
UAE-based fintech Zywa raised a $3m seed funding round as it prepares to launch in Saudi Arabia in early 2023
Zywa, a UAE-based fintech that offers a gamified community banking app, has raised $3 million in a seed funding round from venture capital firms Goodwater Capital, Dubai Future District Fund, Rebel Fund, Trampoline Venture Partners, and Zemu VC.
Backed by one of the largest global venture capital firms, Y-Combinator, the company is aiming to utilize its acquired funding to support product development, accelerate its growth in UAE and Egypt, and launch in Saudi Arabia by early 2023, Wamda reported.
Founded in 2021, Zywa raised a $1 million pre-seed round in February 2022 as the company is currently valued at approximately $30 million.
UAE-based logistics startup Cargoz receives undisclosed funding from Saudi’s Nama Ventures
UAE-based logistics startup Cargoz has secured a pre-seed funding by Saudi-based venture capital firm, Nama Ventures.
The company connects small and medium enterprises looking for storage space with warehousing companies that have extra capacity.
Founded in 2022, Cargoz will use its acquired funding to launch its simply-to-use platform for SME’s and warehousing companies.
Pakistan’s Mahaana Wealth raises $2.1m in a pre-seed funding round
Pakistan-based digital wealth management company, Mahaana Wealth raised $2.1 million in a pre-seed funding round led by Swedish investment company, Vostok Emerging Finance.
The company has received regulatory approval from the Securities and Exchange Commission of Pakistan to launch its investment management services.
Founded in 2021, the company is the first and only digital wealth manager in Pakistan, and will use its acquired funding to meet regulatory capital requirements, MAGNiTT reported.
UAE-based Property-tech startup Huspy acquires two mortgage brokers Just Mortgages and Finance Lab
UAE-based prop-tech startup, Huspy, announced the acquisition of two mortgage brokerages, Just Mortgages and Finance Lab, to improve the home buying ecosystem in the region.
“Joining Huspy is a dream come true. I can now be sure my extensive banking knowledge and experience are backed by the best technology and strong talent,” Just Mortgages Founder Ramesh Khemani, said in a statement.
CEO and founder of Finance Lab commented: “This partnership will allow us to further accelerate our business and add more value to our clients and partners.”
Huspy was established in 2020 with the aim to simplify the home financing sector as it provides buyers with market-leading financing offers, MAGNiTT reported.
Qatar-based sport-tech Sponix Tech receives undisclosed investment amount from UK’s Aser Ventures
Doha-based sports-tech startup Sponix Tech has received an undisclosed investment amount from UK-based Aser Ventures.
Founded in 2020, Sponix Tech provides solutions and services for leagues, clubs, broadcasters, and advertisers to increase viewership and enhance fan experience.
The company will use its acquired investment to boost growth and technology as Aser Ventures will leverage its global network, Wamda reported.
Egypt’s subscription management platform SubsBase raises $2.4m in a seed funding round
Egypt-based subscription management platform, SubsBase, raised $2.4 million in a seed funding round led by venture capital firm Global Ventures.
The round also saw participation from other venture capitals like HALA Ventures, P1 Ventures, Plus Venture Capital, Plug and Play, Ingressive Capital, Camel Ventures, Falak Startups, and Arzan Venture Capital.
Stating that it is the first and only subscription management platform catering to the MENA region, Mohamed M. Farag, co-founder and CEO at SubsBase, said: “We have a first-mover advantage and a strong business model which is endorsed by our esteemed investors.”
Founded in 2020, the company will utilize its funding to accelerate product development to cater customer demands as well as boost its expansion strategy across the MENA region.
SubsBase is a cloud-based subscription management and billing platform that empowers businesses that are based on recurring revenue.
RIYADH: Saudi Agricultural and Livestock Investment Co. is working with the private sector to establish a storage center for imported edible oil, SALIC CEO Sulaiman Al-Rumaih revealed.
The announcement came during a Saudi-Malaysian private sector meeting in Riyadh on Thursday, which discussed areas of cooperation and investment opportunities in the field of food security, Saudi Press Agency reported.
The meeting was an opportunity for the Malaysian side to benefit from the center, which will be constructed by the Public Investment Fund-owned firm, as a distribution point for its edible oils in the region, Al-Rumaih noted.
Malaysia’s food security strategy aims to produce a group of basic commodities with the aim of achieving self-sufficiency, such as rice, meat and corn, the Malaysian minister of agriculture and food industries said.
The Asian country’s strategy wants to exploit the comparative advantage of palm oil production and export to various countries, Ronald Kiandee said.
SALIC Chairman Abdul Rahman Al-Fadli stressed the importance of cooperation and discussing investment opportunities for the private sector between Saudi Arabia and Malaysia, according to the comparative advantage of each of them, with the need for joint coordination to follow up on those initiatives.