Showing posts with label Saudi Arabia. Show all posts
Showing posts with label Saudi Arabia. Show all posts

Thursday, 2 October 2025

Triple Whammy of Crude Uncertainty

Oil prices rose slightly on Friday after four straight sessions of declines but were on track for their steepest weekly decline since late June due to market expectations that the OPEC Plus could hike output further despite oversupply concerns. If prices do not further recover in this session, Brent could close at the lowest level since the week ended May 30, while WTI would finish at a level not seen since May 02. On a weekly basis, Brent has plunged 8.3%, while WTI is 7.6% lower.

Oil markets thrive on stability, yet today they stand at the crossroads of three unpredictable forces: OPEC’s internal calculations, China’s demand swings, and the broader geopolitical turmoil stretching from the Middle East to Eastern Europe. Together, these factors create a triple whammy of uncertainty that is shaking investor confidence and distorting price forecasts.

First, OPEC remains the central player, but its cohesion is under strain. Saudi Arabia’s output discipline often clashes with the fiscal needs of smaller producers desperate for higher revenues. The cartel’s recent production adjustments reflect less a unified strategy and more a fragile balancing act between market control and survival. Traders now treat OPEC announcements with skepticism, wary that compliance may fracture under pressure.

Second, China—the world’s largest crude importer—casts a long shadow. Its slowing economy, punctuated by property sector woes and uneven industrial growth, has dampened energy consumption. Yet at the same time, Beijing stockpiles aggressively when prices dip, injecting volatility into the market. A single policy shift in China, from stimulus measures to green energy acceleration, can ripple through global demand curves in weeks, leaving analysts scrambling to adjust projections.

Finally, geopolitics adds combustible uncertainty. Wars in Ukraine and the Middle East, sanctions on Russia and Iran, and maritime tensions in the South China Sea all threaten supply chains and shipping lanes. Insurance premiums on crude shipments rise, pipelines face sabotage risks, and diplomatic fractures widen the unpredictability. Energy markets are not just reacting to supply and demand—they are hostage to political brinkmanship.

What makes this triad dangerous is their intersection. OPEC’s decisions are influenced by geopolitical rivalries; China’s demand patterns intersect with U.S. foreign policy and sanctions regimes. The market is no longer shaped by economics alone—it is choreographed by power struggles, both overt and hidden.

For investors, refiners, and consumers alike, the message is clear: crude is no longer just a commodity. It is a barometer of global instability. Until OPEC, China, and geopolitics align toward predictability—a highly unlikely prospect—oil will remain the most uncertain asset of our time.

 

Wednesday, 24 September 2025

Saudi Support to Pakistan Beyond Diplomacy

Saudi Arabia and Pakistan share a relationship that is often described as “brotherly” rather than merely diplomatic. Rooted in faith, history, and mutual respect, the Kingdom’s support to Pakistan over the decades has been nothing short of exceptional. At every critical juncture—from wars and economic crises to natural disasters—Riyadh has stepped forward with generosity, affirming its role as Islamabad’s most trusted partner.

Historical Foundations of Brotherhood

Saudi Arabia was among the very first nations to recognize Pakistan after its independence in 1947. Since then, ties have been nurtured on shared Islamic values and common aspirations. The relationship quickly matured into a strategic alliance, with both nations backing each other in times of need. During Pakistan’s wars in 1965 and 1971, Riyadh extended strong political and moral support. Similarly, Pakistan stood firmly with the Kingdom during regional crises, cementing trust that has endured for generations.

Financial Lifelines in Times of Need

Perhaps the most visible manifestation of Saudi support has been on the economic front. Pakistan, a developing country often facing fiscal and balance-of-payment challenges, has repeatedly found in Riyadh a source of immediate relief.

In recent years alone, the Kingdom deposited billions of dollars in Pakistan’s State Bank reserves, providing crucial breathing space at a time when international institutions were either hesitant or demanded painful reforms. Oil supplies on deferred payment have cushioned Pakistan’s import bill, helping stabilize inflation and energy costs. Unlike Western lenders, Saudi assistance has rarely been tied to political or structural conditions, making it uniquely generous and timely.

This pattern is not new. Since the 1970s, Riyadh has offered concessional oil facilities, long-term loans, and grants to help Pakistan weather external shocks. Time and again, Saudi Arabia has proven to be Pakistan’s financial first responder.

Energy Security and Investment Potential

Saudi Arabia has also played a key role in Pakistan’s energy security. Its oil facilities have ensured that Pakistan’s economy continues to function even during periods of global energy volatility. Looking ahead, Riyadh has expressed strong interest in investing in Pakistan’s energy infrastructure, particularly in the proposed multibillion-dollar Gwadar Oil Refinery. Such projects not only promise to reduce Pakistan’s dependence on imported petroleum products but also strengthen its role as a regional energy hub.

Humanitarian Generosity and People to People Impact

The Kingdom’s generosity extends far beyond state to state transactions. During Pakistan’s worst humanitarian crises, including the devastating 2005 earthquake and the catastrophic floods of 2010 and 2022, Saudi Arabia was among the largest donors of aid. Relief goods, medical teams, and financial contributions directly helped millions of displaced and vulnerable citizens.

Saudi-funded development projects—ranging from schools and hospitals to water supply schemes—have left a lasting impact on communities across Pakistan. These initiatives reflect Riyadh’s recognition that real support lies not just in financial transfers but in uplifting the quality of life of ordinary people.

Strategic and Defense Cooperation

Defense and security cooperation remain another cornerstone of the relationship. Pakistani military personnel have long been involved in training Saudi armed forces, a partnership that has enhanced Riyadh’s defense capacity while deepening trust between the two establishments.

At the diplomatic level, Saudi Arabia has consistently stood by Pakistan on sensitive issues, particularly Kashmir. By lending its political weight to Islamabad’s positions at the Organization of Islamic Cooperation (OIC) and other global platforms, Riyadh has amplified Pakistan’s voice in the international arena.

Mutuality of Interests

Although Saudi Arabia’s exceptional support to Pakistan often takes the spotlight, the relationship is not one-sided. Pakistan has consistently extended manpower, expertise, and solidarity to the Kingdom. Millions of Pakistani workers in Saudi Arabia are a vital part of the Kingdom’s development, especially under Crown Prince Mohammed bin Salman’s Vision 2030. Their contributions not only drive Saudi progress but also sustain Pakistan’s economy through remittances that exceed billions of dollars annually.

In times of regional tension, Pakistan has also stood firmly with Riyadh, whether by providing military expertise or diplomatic support. This reciprocity underscores the fact that the partnership is built on mutual respect and shared strategic interests.

Looking Toward the Future

As the global order undergoes transformation, the Saudi-Pakistan relationship is poised to enter a new phase. Vision 2030, which seeks to diversify the Saudi economy beyond oil, opens new avenues for Pakistani professionals, investors, and skilled workers. Pakistan, with its youthful population and strategic location at the crossroads of South Asia, Central Asia, and the Middle East, remains a natural partner for Riyadh’s long-term ambitions.

Furthermore, investment in renewable energy, technology, agriculture, and infrastructure can redefine the contours of this relationship. What has historically been dominated by financial and defense cooperation is now broadening into sectors that will drive growth in the 21st century.

Exceptional Saudi support to Pakistan is not merely about financial bailouts or humanitarian aid. It is the reflection of a bond rooted in shared faith, tested by history, and strengthened by mutual benefit. For Pakistan, Saudi Arabia has been a dependable partner in times of uncertainty. For Riyadh, Islamabad remains a steadfast ally with strategic depth and human capital.

As both nations look ahead, their challenge is to transform this exceptional support into sustainable, future-oriented cooperation. By building on decades of trust, Saudi Arabia and Pakistan can not only uplift their own people but also set an example of solidarity and resilience for the wider Muslim world.

 

Monday, 22 September 2025

President Trump Gaza Belongs to Palestinians

US President Donald Trump is scheduled to meet leaders and officials from multiple Muslim-majority countries on Tuesday and discuss the situation in Gaza, which has been under a mounting assault from Washington's ally Israel.

White House Press Secretary Karoline Leavitt told reporters on Monday that Trump will hold a multilateral meeting with Saudi Arabia, the UAE, Qatar, Egypt, Jordan, Turkey, Indonesia and Pakistan.

Axios reported Trump will present the group with a proposal for peace and post-war governance in Gaza.

In addition to freeing hostages and ending the war, Trump is expected to discuss US plans around an Israeli withdrawal and post-war governance in Gaza, without Hamas involvement, according to Axios.

Washington wants Arab and Muslim countries to agree to send military forces to Gaza to enable Israel's withdrawal and to secure funding for transition and rebuilding programs, Axios reported.

Trump will address the UN General Assembly on Tuesday, a day after dozens of world leaders gathered at the United Nations to embrace a Palestinian state, a landmark diplomatic shift nearly two years into the Gaza war that faces fierce resistance from Israel and the United States.

The nations said a two-state solution was the only way to achieve peace, but Israel said the recognition of a Palestinian state was a reward to extremism.

Israel's assault on Gaza since October 2023 has killed tens of thousands, internally displaced Gaza's entire population, and set off a starvation crisis. Multiple rights experts, scholars and a UN inquiry assessed it amounts to genocide.

Israel calls its actions self-defense and has also bombed Iran, Lebanon, Yemen, Syria and Qatar during the course of its war in Gaza.

Trump had promised a quick end to the war in Gaza, but a resolution remains elusive eight months into his term.

In February, Trump proposed a US takeover of Gaza and a permanent displacement of Palestinians from there. It was labeled as an "ethnic cleansing" proposal by rights experts and the United Nations. Forcible displacement is illegal under international law. Trump cast the plan as a re-development idea.

Wednesday, 17 September 2025

Significance of Saudi Arabia-Pakistan defence pact

The Saudi Arabia-Pakistan defence pact is not just a military arrangement—it is a strategic partnership that underpins Pakistan’s economic security and Saudi Arabia’s military security. For Pakistan, it guarantees vital financial and diplomatic backing; for Saudi Arabia, it provides trusted military support and, indirectly, a nuclear-armed ally. Together, it represents one of the strongest security relationships in the Muslim world.

The Saudi Arabia- Pakistan defence pact carries deep strategic, political, and economic significance for both countries and the wider region. Its importance can be seen from multiple angles:

Strategic and Security Dimension

Mutual Security Guarantee:

Pakistan has historically provided military training, expertise, and manpower to Saudi Arabia, reinforcing the Kingdom’s defence at times of regional tension. In return, Saudi Arabia has been a security partner for Pakistan in times of external pressure.

Balancing Iran’s Influence:

For Saudi Arabia, Pakistan’s military cooperation is part of a broader strategy to counterbalance Iran in the Gulf and beyond. For Pakistan, it ensures strong backing from the Kingdom while maintaining a delicate balance in its own relations with Iran.

Nuclear Umbrella:

Although not formalized, Pakistan’s nuclear capability is sometimes seen as a potential backstop for Saudi security in case of existential threats, making the defence relationship symbolically powerful.

Military Cooperation

Training and Deployment:

Thousands of Pakistani military personnel have served in Saudi Arabia over the decades, providing training to Saudi forces. Even today, a contingent of Pakistani troops is stationed there for defence cooperation.

Arms and Defence Technology:

Pakistan has supplied small arms, ammunition, and defence equipment to Saudi Arabia. Joint ventures in defence production are under discussion.

Counterterrorism and Intelligence Sharing:

Both states have collaborated closely in intelligence sharing, counterterrorism operations, and combating extremist networks that threaten regional stability.

Economic and Political Significance

Financial Lifeline for Pakistan:

Saudi Arabia has been one of Pakistan’s most consistent financial supporters—providing oil on deferred payments, direct loans, and balance-of-payments support. The defence pact strengthens this bond by ensuring Pakistan’s military commitment in return.

Diplomatic Support:

Saudi Arabia often champions Pakistan’s stance on international platforms, including on Kashmir and economic cooperation within the OIC. Pakistan reciprocates by supporting Saudi positions on regional security and Islamic solidarity.

Regional and Global Context

Gulf Security:

Saudi Arabia views Pakistan as a reliable partner in securing the Gulf, especially in moments of instability.

Islamic Military Alliance:

Pakistan plays a central role in the Saudi-led Islamic Military Counter Terrorism Coalition (IMCTC), with former Pakistani Army Chief Gen. Raheel Sharif appointed as its first commander.

US–China Factor:

The pact also gives Saudi Arabia an alternative to over-reliance on Western defence support, while Pakistan uses it to diversify its security partnerships alongside China.

Symbolic and Religious Aspect

Custodianship of Holy Places:

Pakistan attaches special reverence to Saudi Arabia as the custodian of Islam’s holiest sites, and defence cooperation is also framed as protecting the sanctity of the Two Holy Mosques.

Soft Power and Legitimacy:

The pact signals unity of two major Muslim powers—Saudi Arabia with its economic and religious clout, and Pakistan with its military strength and nuclear capability.

Saudi Arabia and Pakistan sign defence pact

According to Reuters, Saudi Arabia and nuclear-armed Pakistan have signed a formal mutual defense pact on Wednesday, in a move that significantly strengthens a decades-long security partnership amid heightened regional tensions.

The enhanced defense ties come as Gulf Arab states grow increasingly wary about the reliability of the United States as their longstanding security guarantor. Israel's attack on Qatar last week heightened those concerns.

"This agreement is a culmination of years of discussions. This is not a response to specific countries or specific events but an institutionalization of longstanding and deep cooperation between our two countries," a senior Saudi official told Reuters when asked about its timing.

Israel's attempt to kill the political leaders of Hamas with airstrikes on Doha, while they were discussing a ceasefire proposal that Qatar is helping to mediate, infuriated Arab countries.

The pact could shift the strategic calculus in a complex region. Allies of Washington, Gulf monarchies have sought to stabilize ties with both Iran and Israel to resolve longstanding security concerns.

But the Gaza war has upended the region and Gulf state Qatar has been subjected to direct hits twice in a year, once by Iran and once by Israel.

The senior Saudi official, who spoke on condition of anonymity, acknowledged the need to balance relations with Pakistan's rival, India, also a nuclear power.

"Our relationship with India is more robust than it has ever been. We will continue to grow this relationship and seek to contribute to regional peace whichever way we can."

Asked whether Pakistan would be obliged to provide Saudi Arabia with a nuclear umbrella under the pact, the official said, "This is a comprehensive defensive agreement that encompasses all military means."

Pakistani state television showed Pakistani Prime Minister Shehbaz Sharif and Saudi Crown Prince Mohammed bin Salman, the kingdom's de facto ruler, embracing after signing the agreement. In attendance was Pakistan's army chief, Field Marshal Asim Munir, regarded as the country's most powerful person.

"This agreement, which reflects the shared commitment of both nations to enhance their security and to achieving security and peace in the region and the world, aims to develop aspects of defense cooperation between the two countries and strengthen joint deterrence against any aggression. The agreement states that any aggression against either country shall be considered an aggression against both," a statement from the Pakistani prime minister's office said.

Thursday, 11 September 2025

Significance of US base in Qatar

There are contrary responses to the Israeli attack on Hamas leaders in Qatar. These could be broadly clubbed in two categories: 1) Israel will have to pay a huge price and 2) Arabs have no spine to teach Israel a lesson. We invite the readers to first understand the significance of the US military base in Qatar. We should also keep in mind what some cynics say “Qatar is in total control of United States and the Arabs just can’t dare to think about causing even the smallest damage to the base”.

According to the details available about the US military base in Qatar (Al Udeid Air Base, near Doha) it holds very high strategic and geopolitical significance for both Washington and its regional allies.  Here’s why it matters:

1. Largest US Military Presence in the Middle East

Al Udeid hosts around 10,000–13,000 US and coalition troops. It is home to the US Air Force Central Command (AFCENT) forward headquarters. The base has one of the longest runways in the Gulf, capable of handling heavy bombers, cargo planes, and refueling aircraft.

2. Command and Control Hub

It houses the Combined Air Operations Center (CAOC), which directs US and allied air missions across the Middle East, including Iraq, Syria, Afghanistan, and the Persian Gulf. It provides real-time surveillance, intelligence, and command capabilities for regional operations.

3. Geostrategic Location

Qatar sits between Iran and Saudi Arabia, giving the US a vantage point to monitor both. Its Gulf location allows rapid deployment to hotspots in the Middle East, North Africa, and South Asia. It acts as a deterrent against Iran’s influence and provides a security guarantee to Gulf states.

4. Operations and Wars

It has played a central role in the 2001 invasion of Afghanistan and the 2003 Iraq War. It remains critical for ongoing counterterrorism, anti-ISIS missions, and monitoring the Strait of Hormuz.

5. Political Significance

The base signals a deep US-Qatar partnership, despite Qatar’s sometimes independent stance in Gulf politics (relations with Iran, hosting Hamas leaders, supporting Muslim Brotherhood).

It provides Qatar with security insurance against regional rivals (Saudi Arabia, UAE, Bahrain), especially after the 2017 Gulf blockade.

On top of all it helps the US project power without being fully dependent on bases in Saudi Arabia, Bahrain, or Turkey.

6. Energy Security

Qatar is the world’s leading LNG exporter. US presence protects not only Qatar’s infrastructure but also the global energy supply routes in the Gulf.

In short, the US base in Qatar is the backbone of American military power projection in the Middle East. It protects Gulf allies, counters Iran, secures energy flows, and anchors US influence in a volatile region.

The United States faces certain risks and vulnerabilities by relying so heavily on this base. Let us look at the risks and vulnerabilities:

1. Overdependence on a Single Hub

Al Udeid is the largest US forward operating base in the Middle East, so any disruption (attack, political fallout, or natural disaster) could cripple US operations in the region. To be precise, it acts as a “single point of failure” for command and control.

2. Exposure to Iran

Iran sees Al Udeid as a primary military threat on its doorstep. The base is well within range of Iranian ballistic missiles, cruise missiles, and drones. In a war scenario, it would likely be one of the first targets.

3. Qatar’s Independent Foreign Policy

Unlike Saudi Arabia or UAE, Qatar often balances relations with both the U.S. and rivals like Iran, Turkey, and Islamist movements. Hosting Hamas leaders and maintaining ties with Tehran means Qatar could, in theory, restrict US operations if its own diplomacy is at risk. The 2017 Gulf blockade showed how fragile intra-GCC politics are, leaving Washington in an awkward position between allies.

4. Local Political Sensitivities

Presence of US troops in Muslim-majority countries can be a political flashpoint, supporting the narratives of foreign occupation. While Qatar welcomes the base for protection, its presence could become domestically unpopular in times of crisis.

5. Energy Infrastructure as Collateral

Qatar’s LNG facilities and shipping routes are near the base. Any attack on US forces risks spilling into global energy markets, creating vulnerabilities for both Qatar and the rest of world.

6. Shifting US Strategy

The US is trying to pivot to Asia and reduce military exposure in the Middle East. Heavy reliance on Al Udeid ties Washington to regional conflicts it may want to step back from. Over time, this dependency could look like a strategic liability rather than an asset.

Other US bases in the Middle East

While Al Udeid is a strategic jewel, it’s also a big, exposed target that ties US interests tightly to Gulf politics and risks. Let us compare it with other US military footholds in the Middle East (Bahrain, Kuwait, Saudi Arabia, and Djibouti) — to show how it fits into the bigger US military puzzle?

1. Qatar – Al Udeid Air Base

Regional command-and-control hub that houses 10,000 to 13,000 troops. It houses Combined Air Operations Center (CAOC). Long runways for heavy bombers, refueling aircraft, and transports. Central location for quick reach to Gulf, Levant, Afghanistan. Its biggest Weaknesses are: 1) within easy range of Iranian missiles and 2) Qatar’s independent diplomacy (ties with Iran, Turkey and Hamas) can complicate US use in a crisis.

2. Bahrain – Naval Support Activity (NSA) Bahrain, Manama

It is home of the US Fifth Fleet with 7,000 troops. Its strengths include: 1) provides control to US naval operations in the Persian Gulf, Red Sea, Arabian Sea., it plays vital role in keeping the Strait of Hormuz and Gulf shipping lanes open.

Its weaknesses include: Bahrain is politically unstable; Shi’a majority often protests US presence, and 2) it is vulnerable to Iran-backed militias and unrest.

3. Kuwait – Camp Arifjan, Ali Al Salem Air Base

It is the army logistics hub that houses more than 13,000 troops and can be termed the largest US ground presence in Gulf).

Its strengths are: 1) key supply and logistics backbone for all Gulf operations and 2) it hosts pre-positioned equipment for rapid deployment. Its weaknesses are: 1) less glamorous than Qatar/ Bahrain but essential — if disrupted, US supply lines suffer.

4. Saudi Arabia – Prince Sultan Air Base (PSAB)

It is basically a backup air operations center where around 2,500 troops are kept.

Its strengths: 1) gives US redundancy in case Qatar base is hit or denied and 2) hosts missile defense systems, fighter jets, and ISR (intelligence, surveillance, reconnaissance).

Its major weaknesses include: 1) US presence has been historically controversial in Saudi Arabia (linked to Bin Laden’s anti-US narrative) and Saudis prefer limited, rotational deployments, not permanent bases.

5. Djibouti – Camp Lemonnier (Horn of Africa)

It is primarily Africa and Red Sea operations hub with 4,000 troops.

Its strengths are: 1) key to anti-terror missions in Somalia and Yemen, and 2) strategic position on the Bab el-Mandeb Strait, choke point for global shipping.

It biggest weakness is proximity to China’s naval base (first overseas Chinese base).

6. Iraq & Syria – Smaller Outposts

This is primarily to counter-ISIS missions, with 2,500 troops in Iraq and 900 Syria. It is considered highly vulnerable to political backlash and militia attacks; not long-term sustainable.

In short, Qatar’s Al Udeid is the nerve center, but the US builds redundancy through Bahrain (navy), Kuwait (logistics), and Saudi (backup). If Al Udeid went offline, US operations could still continue — but far less smoothly.

Tuesday, 2 September 2025

Macron and MBS to co-chair two-state solution conference in New York

French President Emmanuel Macron said on Tuesday that he had spoken with Saudi Crown Prince Mohammed bin Salman and that the two leaders will co-chair the Conference on the Two-State Solution in New York on September 22, reports Saudi Gazette.

Macron criticized Washington’s move to deny visas to Palestinian officials, calling it “unacceptable” and urging that the decision be reversed in line with the UN Host Country Agreement to ensure Palestinian participation.

“Our objective is clear, to rally the broadest possible international support for the Two-State Solution—the only way to meet the legitimate aspirations of both Israelis and Palestinians,” Macron said.

He added that achieving this would require a permanent ceasefire, the release of all hostages, large-scale humanitarian aid deliveries to Gaza, and the deployment of a stabilization mission.

Macron also said efforts were underway to ensure that “the day after” Hamas would be disarmed and excluded from governance, while the Palestinian Authority would be reformed and strengthened, and Gaza fully reconstructed.

“No offensive, annexation attempt, or forced displacement of populations will derail the momentum we have created with the Crown Prince momentum that many partners have already joined,” he stressed.

He concluded, “See you in New York on September 22. Together, let us make this Conference on the Two-State Solution a decisive turning point for peace and security for all in the region.”

Wednesday, 20 August 2025

Geopolitical stunts are created to maneuver oil prices

It may not be wrong to say that geopolitical stunts (or deliberate political maneuvers) are often used to influence oil prices. The time proves that oil is one of the most geopolitically sensitive commodities, and even the perception of instability can trigger price movements. Here are some ways this happens:

Military Conflicts and Threats

Tensions in oil-producing regions (Middle East, Russia, and Ukraine) raise fears of supply disruptions. Even without actual disruption, rhetoric, military drills, or strikes can cause speculative buying, lifting prices.

Sanctions and Embargoes

Sanctions on major producers (Iran, Venezuela, and Russia) reduce their exports, tightening supply. Announcements of new sanctions, even before implementation, often drive markets up.

OPEC Plus Announcements

OPEC and allies strategically announce production cuts or increases to move prices. Sometimes the timing is politically motivated — for example, cuts ahead of US elections or global summits.

Diplomatic Stunts

Leaders may signal alliances, threats, or peace talks to calm or unsettle oil markets. For instance, US–Saudi or US–Iran engagements often coincide with volatility in oil futures.

Domestic Politics

Countries that depend heavily on oil revenues (Russia, Saudi Arabia, Iran, Nigeria, and Venezuela) may trigger or amplify tensions abroad to keep oil prices high. Conversely, big consumers (United States, China, and European Union) may release strategic oil reserves to cool prices.

Media Amplification

Headlines about “possible war,” “pipeline sabotage,” or “shipping lane blockades” often move markets more than the actual underlying event. Traders react to expectations and fear, not just physical supply-demand.

Therefore, it could be concluded that oil markets are not purely economic — they are political battlegrounds, and states often use geopolitical stunts as levers to maneuver prices in their favor.

Here are three recent real world examples (2025) where geopolitical maneuvers clearly influenced oil prices—either via threat driven surges or optimism amid shifting sanctions and diplomacy.

Threat to Close the Strait of Hormuz

In June 2025, escalating attacks between Israel and Iran triggered a spike in oil prices—Brent crude climbed to US$70 per barrel amid concerns over supply disruptions and potential threats to the vital Strait of Hormuz.

On June 14, 2025, Iran explicitly threatened to close the Strait, which handles nearly 20% of global oil traffic. Analysts warned this could push prices even higher—possibly into the US$100 to US$150 per barrel range.

While a full closure didn’t materialize, the mere threat created a sharp short-term price shock, echoing how geopolitical risk can rapidly alter market sentiment.

Russia Ukraine Peace Talks

In August 2025, oil markets closely tracked developments—or lack thereof—in high-profile diplomatic efforts involving Russia, the United States, and Ukraine.

When President Trump proposed a trilateral summit (Putin–Zelenskiy–himself), Brent crude briefly climbed—markets anticipated that a ceasefire could eventually ease sanctions and boost supply.

Conversely, when the Trump–Putin summit yielded no binding oil or policy changes, markets cooled; analysts noted the event lacked the "magic lever" to relieve supply constraints.

Ongoing sanctions and inventory draws in the US—especially amid strong demand—continued to support prices amid supply uncertainty.

OPEC Plus Production Moves

In June 2025, OPEC Plus surprised markets by announcing a modest output increase of around 411,000 barrels per day, despite prevailing worries of oversupply. This unexpected move served as a geopolitical reminder of OPEC Plus ability to tweak supply—and kept oil prices elevated.

This came at a time when global crude production was running high, yet the announcement shaped expectations that geopolitical coordination could still swing the market.

Geopolitical Stunts Still Matter

Perception matters:

Markets often react more sharply to the fear of disruption—like threats to chokepoints—than to actual events.

Short-term risk channel:

As historical analyses show, geopolitical shocks typically drive short-term price spikes via risk premiums, though long-term economic slowdown may offset these gains.

Strategic signaling:

Diplomatic posturing—summits, threats, tariffs—can sway trader sentiment and pricing, even without concrete policy shifts.

Tuesday, 12 August 2025

What is the ultimate objective of Netanyahu?

If we strip away the diplomatic language and look at Netanyahu’s actions in Gaza through the lens of political strategy rather than morality, the objectives many analysts see are not just about “defense” — they align with a set of long-term political, security, and ideological goals.

Here’s how many observers interpret what he seeks to attain:

Erase or cripple Palestinian political sovereignty

By devastating Gaza’s infrastructure, governance, and population capacity, Netanyahu can make any future independent Palestinian state nearly impossible to sustain. This aligns with the position of many in his coalition who reject a two-state solution entirely.

Consolidate his own political survival

Netanyahu has faced massive protests, corruption trials, and political instability. War shifts the national focus to “security,” rallying his right-wing base and delaying domestic accountability.

Cement Israel’s control over territory

By depopulating or making parts of Gaza uninhabitable, Israel could increase its long-term security buffer and limit the demographic growth of Palestinians near its borders.

Appease ultranationalist coalition partners

His government depends on far-right figures who openly call for resettling Gaza with Israelis and removing large numbers of Palestinians. Maintaining their support keeps his fragile coalition in power.

Send a deterrent message regionally

By showing overwhelming force, Netanyahu signals to Hezbollah, Iran, and other adversaries that challenges to Israel will be met with total military dominance.

Align with Zionist ideology

Some in Netanyahu’s camp believe a “Greater Israel” — without a viable Palestinian state — is the only acceptable outcome. The destruction of Gaza is seen as a step toward making that reality irreversible.

Moral of the story

It may be concluded that the genocide accusation isn’t just about punishing Hamas; it’s about shaping a future where Palestinian political and demographic influence is permanently weakened, while Netanyahu secures his political survival and cements an ideological vision.

 

Thursday, 7 August 2025

Pleasing Trump may annoy Saudi Arabia

Energy diversification is smart, but foreign policy tact is essential.

Importing US crude oil may please US President Donald Trump, but it could also annoy Saudi Arabia, especially given the special relationship between Pakistan and the Kingdom, which includes:

Long standing energy ties
Saudi Arabia is Pakistan’s largest crude oil supplier, often providing oil on deferred payment (US$3 billion oil credit facility renewed multiple times).

Financial assistance
Saudi Arabia has provided billions in loans, deposits, and grants to support Pakistan’s economy, particularly during IMF negotiations.

Strategic alignment
The Saudi-Pakistan relationship is not just economic but also political and military, including defense cooperation and labor remittances.

Though, to begin with import of crude oil from United will be small, the move could strain ties between Pakistan and Saudi Arabia.

Geopolitical optics
Importing US crude might be seen as Pakistan pivoting westward, especially if framed as part of a larger US trade deal.

Loss of market share

Even a 10% reduction in demand from a long-time buyer like Pakistan might raise commercial and symbolic concerns.

Trust and alignment issues

If the decision isn't communicated diplomatically, Riyadh may perceive it as ungrateful, especially if deferred payment oil continues.

Not necessarily a rupture

Scale is limited
Pakistan is not replacing Saudi oil. The pilot phase is just 10% of imports. It's a diversification move, not a shift in allegiance.

Economic logic
The US crude provides lighter grades and higher gasoline yield, improving domestic refining output. If positioned as a technical decision, it’s easier to justify.

Diplomatic communication
Pakistan can explain this as part of energy diversification—a common practice by many countries—and reaffirm its strategic ties with Riyadh.

Pakistan should do:

Step

Why it matters

Engage Saudi leadership in advance

Avoid surprises and reassure that US crude is a supplement, not a replacement

Reaffirm oil diplomacy

Continue or even expand the deferred payment arrangement with Saudi Arabia

Highlight refining needs

Explain that lighter crude grades improve fuel mix, not reduce strategic ties

Balance optics

Avoid appearing to pivot entirely toward US or using this purely as a bargaining chip in US trade diplomacy

 

Bottom Line

Importing US crude could cause diplomatic unease in Saudi Arabia—especially if it's perceived as Pakistan drifting from its long-standing partner. But the impact can be minimized through: 1) Transparent diplomacy, 2) Economic rationale, and 3) Strategic reassurance

 

Tuesday, 5 August 2025

Significance of Iranian President's visit to Pakistan

The world knows that Iran was the first country to recognize Pakistan’s independence in 1947 and open its embassy in Karachi, which was then the capital of Pakistan. Likewise, Pakistanis were the first to officially recognize the victory of the Islamic Revolution in Iran in 1979.

The people of both countries share cultural, linguistic, historical, and religious ties, and have supported each other in both bitter and sweet moments throughout history. The cultural commonalities between the two nations are such that citizens of either country do not feel estranged or alien when traveling to the neighboring country.

In Tehran, prominent places such as Mohammad Ali Jinnah Highway and Pakistan Street exist. Likewise, in major Pakistani cities, including Karachi, street signs bearing names like Iran Avenue and streets named after Iranian poets like Ferdowsi, Saadi, Hafez, Khayyam, and others can be found.

Islamabad, the capital of the Islamic Republic of Pakistan, hosted Dr. Pezeshkian, President of Iran, and his accompanying delegation from August 02 to 03, 2025. This was, in fact, Pezeshkian’s first official visit to Pakistan since winning Iran’s 14th presidential election.

It is worth noting that in April 2024, the martyred Ayatollah Raisi also made a three-day visit to Pakistan, including the cities of Lahore, Karachi, and Islamabad, where he was warmly welcomed by the people and officials of that country. Following the helicopter crash and martyrdom of Ayatollah Raisi and his companions, Prime Minister Shehbaz Sharif of Pakistan, along with other officials, traveled to Tehran to pay their respects and attend the memorial ceremony.

In May of this year, Shehbaz Sharif once again visited Tehran to express his gratitude for Iran’s stance regarding the India-Pakistan war. Therefore, Dr. Pezeshkian’s recent visit was in response to Shehbaz Sharif’s invitation and, essentially, a reciprocation of his visit to Tehran.

Dr. Pezeshkian began his official visit in Lahore, the capital of Punjab province, by paying respects at the mausoleum of Allama Iqbal, the Pakistani philosopher and poet. It is said that over 8,000 verses of Iqbal’s poetry comprising 70% of his total works are written in Persian.

During the continuation of the visit in Islamabad, the Iranian delegation met with the Prime Minister, President, Foreign Minister, Army Chief, Speakers of the Senate and National Assembly, and Pakistani business community, seeking to implement the "Neighbor First" policy in practice. 

The current volume of annual trade between the two countries is about US$3 billion, yet many economic and commercial potentials remain untapped. During this recent visit, 12 cooperation agreements were signed in areas such as transportation, science and technology, tourism, and free trade, which, if implemented, could significantly boost bilateral relations.

One indicator of strong political relations is the frequent travel of officials between countries. In less than two years, top officials from Iran and Pakistan have visited each other’s countries four times, not including the meetings held on the sidelines of key regional and international summits. These frequent meetings highlight the close bond and significance of the relationship particularly now, when there is a growing need to expand cooperation.

Over the past few decades, Iran-Pakistan relations have enjoyed relative stability, and mutual visits and exchanges between officials have been a regular occurrence. What gives special importance to the recent presidential visit to Pakistan is the unique political situation and the developments that have taken place in recent months in South and West Asia and even globally.

The four-day war between India and Pakistan in May 2025, as two nuclear powers, created a highly sensitive situation in the region. Although brief, the consequences of this conflict continue to affect both countries and the broader region and world.

Additionally, the ongoing war and genocide in Gaza have significantly influenced global politics. In this context, the stances of Islamic countries such as Iran and Pakistan are of great importance. Tehran and Islamabad have consistently adopted shared, firm positions and have emphasized full support for the Palestinian cause. The 12-day imposed war by Israel on Iran drastically altered the geopolitics of the region and the Islamic world.

Pakistan’s positions as one of the largest and most influential Muslim nations and a nuclear power have been crucial, and the Iranian public and officials have always appreciated Pakistan’s brave and brotherly stance.

Islamabad's officials have expressed their appreciation, in various ways, for Iran’s goodwill and initiative in offering to mediate between the two countries, and for the highly important visit of Iran’s Foreign Minister Dr. Araghchi to Pakistan and India to reduce the tensions.

A key factor linking Iran and Pakistan’s foreign policies is the sensitivity of public opinion in both nations toward the Palestinian issue and their mutual opposition to Zionist occupation and crimes in Gaza. This shared stance is rooted in the principled policies laid down by the founding leaders of both nations, Imam Khomeini and Muhammad Ali Jinnah and continues today. Currently, there is deep concern over the joint illegal actions of the Zionist regime and the United States against Iran’s nuclear facilities, and the potential for similar scenarios to be repeated elsewhere.

The condemnation of the Zionist regime’s aggressive attack on Iran by Pakistan’s permanent representative at the UN Security Council, as a non-permanent member and rotating president, was well-received. Pakistan’s support for dialogue and negotiation and its affirmation of Iran’s right to nuclear knowledge were also reflected in the joint press conference held by Shehbaz Sharif and Dr. Pezeshkian.

Iranian and Pakistani officials have come to a shared understanding that the 900 plus km border between the two nations should transition from being a security border to an economic one. The two sides have created joint mechanisms to improve coordination in the fight against terrorism. There exists an ocean of untapped potential in both countries, which requires serious political will to activate. The travel of hundreds of thousands of Pakistani pilgrims as part of religious tourism is one such opportunity.

Currently, two land borders at Rimdan and Mirjaveh are operational, facilitating travel for tourists and traders. Strengthening infrastructure is essential for increasing travel between the two peoples. People-to-people ties and citizen interactions can play a critical role in raising awareness of each other’s capabilities. 

Meeting mutual needs given that the two economies complement each other should be a top priority for private sectors and businesspeople in both nations. Much of what Iran imports from other countries is easily accessible in Pakistan, and Pakistan exports goods that Iranians also import from various sources.

Pakistan can meet many of its needs through Iranian producers and benefit from the proximity and low logistics costs. There is an urgent need to upgrade the joint Iran-Pakistan Chamber of Commerce to play a more significant role.

An Iranian proverb says, “A good neighbor is better than a distant relative.” Pakistan is both a good neighbor and a good relative and we Iranians are grateful for this valued neighbor.

Courtesy: Tehran Times

 

Saturday, 2 August 2025

Upcoming visit of Iranian President to Pakistan

Iran-Pakistan relationship are unique — one defined not simply by geography, but by centuries of shared civilizational experience, religious affinity, cultural kinship and converging strategic interests. The two sovereign nations can gain from an enduring partnership — and even more to contribute to the future of the region.

The upcoming state visit of Iranian President Masoud Pezeshkian to Pakistan reflects this growing momentum. It builds upon a history of high-level engagement that includes the late President Ebrahim Raisi’s landmark visit to Islamabad and Prime Minister Shehbaz Sharif’s reciprocal visit to Tehran.

These exchanges, along with sustained diplomatic consultation between senior officials of both the countries, represent a deepening alignment that extends well beyond ceremonial diplomacy. These reflect a conscious, strategic choice to elevate the bilateral relationship into one of regional consequence.

Iran and Pakistan share a 900-kilometre border that is more than a line dividing two states; it is a bridge that has connected peoples and civilizations for centuries. Through this frontier flowed not only trade, but ideas, languages, poetry and faiths that continue to animate our societies today.

From the celebration of Nowruz to shared Sufi traditions, the depth of cultural and spiritual interconnection has forged an enduring sense of familiarity and trust that forms the bedrock of political cooperation.

As two proud Muslim nations, Iran and Pakistan are anchored in the principles of Islam -- justice, compassion and solidarity. These values are not only sources of internal cohesion; they serve as guiding lights for international engagement. The two countries stand together in support of causes such as the Palestinian struggle, to speak out against injustice and to promote peace through cooperation and mutual respect.

Their economic complementarities offer enormous potential. Pakistan’s agricultural dynamism and Iran’s abundant energy resources, coupled with shared interest in connectivity, provide a natural basis for integration.

In addition to sectoral synergies, both nations share a long-term interest in fostering an open, equitable, and interdependent regional economy. By aligning visions, Iran and Pakistan can build a sustainable economic partnership grounded in mutual resilience, technological progress and inclusive growth. Such cooperation can play a transformative role in lifting communities, creating employment and promoting a model of development that benefits the wider region.

At a time transnational threats continue to endanger their security, Iran and Pakistan remain vigilant against terrorist networks operating in border regions. Coordination in counterterrorism is not an option; it is an imperative.

Beyond local threats, both countries face broader strategic concerns arising from aggressive postures in the region. The Israeli regime’s ongoing genocide in Gaza, its occupation of Syria and Lebanon, and its recent unprovoked attacks on Iranian territory underscore the urgency of a collective response to belligerent forces that thrive on instability and domination. Responsible states cannot afford silence. It is time to strengthen coordination, deepen security cooperation and articulate a clear and united stance in international forums.

Iran deeply appreciates the principled position taken by the Government of Pakistan in unequivocally condemning the June 2025 Israeli and American military aggression against Iranian territory. At a time Western powers chose to stand on the wrong side of history, Pakistan stood firmly for international law, regional stability and solidarity with its neighbour.

Equally moving was the heartfelt support expressed by the people of Pakistan, whose spontaneous outpourings of compassion resonated deeply across Iranian society. The Iranian people watched with gratitude as their Pakistani brothers and sisters raised their voices in their support. This display of empathy and unity will never be forgotten. It reaffirmed the profound depth of our bond and the strength of the values we share.

Iran and Pakistan also enjoy a record of close cooperation across multilateral institutions. At the UN, the two have consistently worked together to defend the rights of the Palestinian people and advance sustainable development goals.

Within the Organization of Islamic Cooperation, we advocate for addressing the pressing challenges of the Muslim Ummah. As active members of the Shanghai Cooperation Organization, the Economic Cooperation Organization, and the D-8, pursue shared objectives in connectivity, economic integration, and regional peace.

Coordinated diplomacy amplifies their voice on the global stage and helps steer international discourse towards justice, equity, and multilateralism. This collaboration is not limited to crisis management. It also reflects a broader strategic convergence.

Both Iran and Pakistan uphold principles of sovereignty, non-interference, and the peaceful resolution of disputes. Both are committed to a regional order in which Muslim nations shape their own destinies and cooperate toward collective prosperity.

Their partnership holds promise in trilateral and broader regional settings as well. With Afghanistan as their mutual neighbour, the two share an interest in stabilizing the country and ensuring that peace and development replace conflict and extremism. By integrating their economic strategies and leveraging geostrategic positions, Iran and Pakistan can help transform the region into a hub of cooperation rather than competition.

The creation of functional trade and transit corridors, grounded in mutual benefit, brings tangible dividends to our peoples and reaffirms our leadership in crafting a forward-looking regional architecture.

The path ahead calls for unity, clarity of purpose, and a willingness to transform shared aspirations into lasting institutions and practical achievements. Enhancing diplomatic dialogue, expanding economic ties, fostering educational and cultural exchanges and institutionalizing cooperation on security and development will give real depth and resilience to our relationship.

President Pezeshkian’s visit provides an opportunity not only to reaffirm commitments but to reimagine possibilities. In doing so, the two may draw inspiration from Allama Iqbal — Pakistan’s national poet and a profound admirer of Persian thought — who reminded us that the soul of nations is shaped not in fleeting political cycles, but in enduring moral and spiritual visions. His words resonate still: “Nations are born in the hearts of poets; they prosper and die in the hands of politicians.”

Iran-Pakistan friendship is not merely a relic of the past; it is a strategic investment in the future. In unity, they find strength. In cooperation, they find purpose. And in mutual respect, they find the foundation for lasting peace and shared progress.

 

Monday, 28 July 2025

Two-state solution key to regional stability

Saudi Foreign Minister Prince Faisal bin Farhan affirmed the Kingdom’s unwavering belief in the two-state solution as the key to regional stability.

Prince Faisal made his remarks during the opening of the high-level international conference on the peaceful settlement of the Palestinian issue and the two-state solution at the United Nations in New York on Monday.

Co-hosted by Saudi Arabia and France, the conference marks a pivotal step toward advancing concrete international action to implement the two-state solution and end the decades-long conflict.

“The Kingdom believes that the two-state solution is the key to stability in the region,” Prince Faisal said in his opening remarks, adding that the New York conference represents a critical turning point toward its implementation.

He stressed that achieving regional stability begins by granting the Palestinian people their legitimate rights, and welcomed French President Emmanuel Macron’s recent pledge to recognize the State of Palestine.

Prince Faisal also called for an immediate end to the humanitarian catastrophe in Gaza and announced that Saudi Arabia and France have facilitated the transfer of US$300 million from the World Bank to support Palestinians.

He reiterated that the Arab Peace Initiative remains the foundation for any comprehensive and just resolution, while also emphasizing the importance of supporting the International Coalition for the Two-State Solution.

French Foreign Minister Jean-Noël Barrot echoed the urgency of action, condemning the ongoing targeting of civilians in Gaza. “This war has gone on far too long and must end,” he said.

Barrot urged the international community to make the two-state solution a tangible reality, describing the conference as a “turning point” that has generated “unstoppable momentum toward a political resolution in the Middle East.”

United Nations Secretary-General António Guterres thanked Saudi Arabia and France for organizing the conference, describing it as “a unique opportunity to seize the current momentum.”

Guterres emphasized that the conflict can be ended with real political will, and reaffirmed the UN’s commitment to the two-state solution.

He also condemned the illegal annexation of the West Bank, stating that all actions undermining a two-state solution must stop.

Palestinian Prime Minister Mohammad Mustafa described the two-state solution as a historic opportunity for all, and expressed deep gratitude to Saudi Arabia and France for spearheading the conference.

He stressed that the conference sends a clear message to Palestinians that the world stands with them. Mustafa also called for Palestinian unity and urged Hamas to hand over its weapons to the Palestinian Authority.

He proposed the deployment of international forces — coordinated with the PA — to protect civilians, adding, “We are ready to fulfill all our obligations in Gaza. Peace is the only way forward.”

The New York conference aims to lay the groundwork for an end to Israeli violations in the occupied territories and revive international consensus on the two-state framework as a path to lasting peace and regional security.

 

 

Sunday, 27 July 2025

Iran-Saudi Cordial Ties Upset US and Israel

Growing amicable relations between Iran and Saudi Arabia have played a significant role in promoting peace and security in West Asia over the past years. Such cordial ties have come into even sharper focus following Israel’s aggression against Iran last month.

On June 13, Israel launched unprovoked strikes on Iranian territory, targeting high-ranking military commanders, nuclear scientists, and civilians alike. The United States later joined the Israeli war effort, launching attacks on three of Iran’s nuclear facilities—actions widely viewed as violations of the United Nations Charter and the Non-Proliferation Treaty.

In a swift and powerful response, Iranian Armed Forces launched retaliatory strikes on strategic Israeli targets in cities such as Tel Aviv and Haifa, and struck the al-Udeid air base in Qatar—the largest American military installation in West Asia.

By June 24, Iran’s coordinated operations had effectively brought Israeli and American aggression to a halt.

The scale and precision of Iran’s missile power shocked Israel and its Western allies, particularly the United States. 

 “Although Israel has its own sophisticated, multilayered defense, which includes systems like Arrow, David’s Sling and Iron Dome, the country was running low on its own interceptors and was husbanding resources by the time the conflict ended.

Had Iran fired a few more large volleys of missiles, Israel could have exhausted its supply of top-tier Arrow 3 munitions,” The Wall Street Journal reported on Friday, citing American officials familiar with the 12-day war. 

The Journal also revealed that despite deploying two advanced THAAD missile-defense systems to Israel in the wake of the conflict, the US efforts proved insufficient to fully stop Iran’s missile barrages. 

“Operating alongside Israeli systems, THAAD operators burned through munitions at a furious clip, firing more than 150 missiles to shoot down the waves of Iranian ballistic missiles,” the paper reported.

The intensity of the Iranian attacks created such a high demand for interceptors that, according to the Journal, the Pentagon considered diverting THAAD interceptors already purchased by Saudi Arabia to Israel. “Saudi Arabia refused US request to send interceptors to Israel”

Meanwhile, according to Middle East Eye, which cited two American officials, the US asked Saudi Arabia to turn over THAAD interceptors to help Israel, but Riyadh rejected the request.  “Saudi Arabia's refusal to help Israel will sting officials in Washington,” MEE added. 

Saudi Arabia’s “no” to the US demand underscores the deepening ties with Iran. 

On July 8, Saudi Crown Prince Mohammed bin Salman (MBS) held talks with Iranian Foreign Minister Abbas Araghchi in Jeddah. In the meeting, the Saudi crown prince condemned any military aggression against Iran’s sovereignty and territorial integrity. He welcomed the improving climate of cooperation between the two Islamic powers.

Araghchi, in turn, “thanked Saudi Arabia for its responsible stance in condemning the Israeli aggression against Iran.”

He put emphasis on Iran’s commitment to building stronger ties with its neighbors, including Saudi Arabia based on principles of good neighborliness and mutual interest.

Araghchi also held talks with Saudi Defense Minister Prince Khalid bin Salman and Foreign Minister Prince Faisal bin Farhan, reaffirming the countries’ commitment to closer strategic cooperation.

China’s mediation drives Iran-Saudi unity for regional stability

The renewed diplomatic warmth is rooted in a 2023 agreement brokered by China, which saw Iran and Saudi Arabia formally restore ties after years of estrangement. Since then, China's constructive mediation has played a key role in bringing Tehran and Riyadh closer together.

As the dust settles on the most intense Israel-Iran war in recent memory, the strengthening bond between Iran and Saudi Arabia emerges as a powerful force for stability in West Asia. Their growing diplomatic, political, and economic cooperation is not only reshaping the region's strategic landscape—but also offering a compelling alternative to the cycles of escalation driven by Israeli aggression.

Once geopolitical rivals, Tehran and Riyadh now appear poised to lead a new era—one rooted in sovereignty, mutual respect, and collective security. Their united front sends a clear message: regional peace is best preserved not through foreign intervention or militarism, but through regional unity and shared interests.

In a time of increasing volatility, Iran and Saudi Arabia are demonstrating that Islamic nations can rise above division and become pillars of stability—capable of defending their people, upholding international law, and resisting those who threaten the peace of the region. The path they have chosen may well define the future of West Asia.

 

 

 

 

Monday, 14 July 2025

Saudi energy minister urges action to address energy poverty

Saudi Arabia’s Minister of Energy, Prince Abdulaziz bin Salman, emphasized the urgent need to tackle global energy poverty during his address at the OPEC International Seminar in Vienna on Monday, reports Saudi Gazette.

Highlighting one of the most pressing global energy challenges, the minister cited United Nations estimates that 1.2 billion people suffer from energy poverty — a figure he believes could be nearly three times higher in reality.

He noted that over two billion people still rely on traditional, unsafe cooking fuels, which contribute to pollution and health hazards.

Prince Abdulaziz revealed that a dedicated Saudi team is actively working across Africa and Southeast Asia to address energy poverty, engaging directly with governments to implement practical solutions.

The minister underscored the Kingdom’s consistent energy policies and its commitment to translating them into real-world outcomes.

He cautioned that the global energy transition should not come at the expense of economic development, urging that each country’s economic context be considered in crafting energy strategies.

He further stressed the need for a balanced global energy mix, where oil and gas remain essential components alongside the expansion of renewable energy sources.

With global population projections reaching nearly 10 billion by 2050 and energy demand expected to rise by 50%, he said a diverse approach is crucial to ensuring sustainable energy access.

 

Saturday, 5 July 2025

Saudi Arabia among world top donors

The Saudi Aid Platform has revealed that the total value of financial assistance provided by Saudi Arabia to around the world is amounted to approximately SR528.4 billion (US$140.9 billion), cementing the Kingdom's position as one of the largest donors globally.

The Saudi official platform revealed that Egypt topped the list of countries that benefited most from Saudi aid, with a total of US$32.49 billion, followed by Yemen with US$27.69 billion, and then Pakistan with US$13.19 billion. The list of countries that benefited the most also included Syria (US$7.53 billion) Iraq (US$7.33 billion) and Palestine (US$5.37 billion).

These figures reflect the Kingdom's commitment to its humanitarian and development role by supporting peoples and countries in confronting humanitarian crises and natural disasters, and achieving sustainable development.

These efforts are part of the realization of Saudi Vision 2030 goals that focus on strengthening international partnerships and establishing the Kingdom as a pillar of regional and international peace and stability, under the leadership of Custodian of the Two Holy Mosques King Salman and Crown Prince and Prime Minister Mohammed bin Salman.

It is noteworthy that the Saudi Aid Platform is the precise electronic reference for the Kingdom's foreign contributions. The platform is divided into three categories: humanitarian, development and philanthropic projects, contributions to international organizations and bodies, and visitors’ services (refugees living inside the Kingdom).

The Saudi Aid Platform, inaugurated by King Salman in 2018, highlights the size and type of assistance provided by Saudi Arabia. The King Salman Humanitarian Aid and Relief Centre (KSrelief) re-launched this platform.

Due to the multiplicity of Saudi donor entities, this platform has become an imperative and effective tool for collecting, coordinating and documenting statistics on international assistance provided by the Kingdom to countries and people in need around the world.