AFP Asia Business

Saudi Arabia must punch its weight on global stage: minister

Saudi Arabia “needs to punch at (its) weight” on the global stage given its growing institutional presence and the return of Donald Trump, the kingdom’s finance minister told AFP in Davos.The wealthiest country in the Arab world has taken a larger place on the international scene since assuming the presidency of the G20 in 2020, and is seeking the right balance between its Western allies and emerging countries.”We are a key player in the world, the world economy, and we need to punch at our weight”, Finance Minister Mohammed al-Jadaan said on the sidelines of the annual World Economic Forum in Davos.Through al-Jadaan, the Gulf state also chairs the committee advising the International Monetary Fund (IMF) on monetary and financial matters. Riyadh is also a key geopolitical player in the Middle East and a Global South looking to make its voice heard. “We need to make sure that emerging economies and low income countries’ voice is heard,” al-Jadaan said. “This is why we are really protecting, in every possible way, their interests in these multilateral institutions,” he said, stressing that emerging economies were “becoming actually larger than advanced economies in total population and size of economy.””Collectively, they need to be represented in the table.”- BRICS -The Kingdom has been invited to join the BRICs, a group of emerging economies including Brazil, China, India and Russia, but al-Jadaan said they “have not made that decision yet” and were still assessing “whether it is in our interest.”The Carnegie Endowment for International Peace think tank said that “Saudi Arabia cannot risk alienating China or Russia,” in a paper released in November.”But it also cannot afford to burden its relationships with the West by in any way endorsing China and Russia’s attempts to build an anti-Western bloc,” it added.This partly explains the Saudi Arabia’s hesitation, especially given US President Donald Trump’s close relationship with Saudi Crown Prince Mohammed bin Salman during his first term in office.”We enjoy a very important strategic economic relationship with the US,” regardless of who’s in the White House, al-Jadaan said a day after Riyadh announced it will pile $600 billion into US trade and investments.AFP spoke with al-Jadaan Thursday night before Trump’s video appearance at Davos, in which he asked Riyadh and OPEC to reduce oil prices.Saudi Arabia’s Crown Prince launched in 2016 a vast modernisation plan and reform agenda, Vision 2030, which seeks to attract foreign investors and to develop its tourism industry. As part of its global charm offensive, the kingdom has also used soft power, massively investing in tennis, golf, Formula 1 racing and football, with the 2021 purchase of the Newcastle United football club in England.It scored a major coup last year when it was selected to host the 2034 World Cup, prompting strong criticism from some NGOs that say a high number of migrant workers died on Vision 2030 construction sites.”This is categorically not true,” the finance minister said about the accusations.”If you compare our standards of workers protection today to the best in class in the world, we would be the same today.”

UN says more staff detained by Huthi rebels in Yemen

Yemen’s Huthi rebels have detained another group of UN personnel, a United Nations statement said on Friday, after 13 staff were held last June.The UN called for the “immediate and unconditional” release of its staff held in Yemen, which is suffering one of the world’s worst humanitarian crises.”Yesterday, the de facto authorities in Sanaa detained additional UN personnel working in areas under their control,” the office of the resident United Nations coordinator for Yemen said.It did not say how many were held in the latest swoop by the Iran-backed Huthis, who have detained dozens of staff from UN and other humanitarian organisations, most since the middle of last year. Reeling from a decade of war, Yemen is mired in a humanitarian catastrophe with more than 18 million people needing assistance and protection, according to the United Nations.The UN has now suspended “all official movements into and within” areas held by Huthis, the statement said.”UN officials in Yemen are actively engaging with senior representatives of the de facto authorities, demanding the immediate and unconditional release of all detained UN personnel and partners,” the statement added.The detentions come after United States President Donald Trump ordered the Huthis placed back on the US list of foreign terrorist organisations.Re-listing the Huthis will trigger a review of UN agencies and other NGOs working in Yemen that receive US funding, according to the executive order signed on Wednesday.- ‘Pressure Trump’ -Mohammed al-Basha of the Basha Report, a US-based risk advisory, called the latest detentions “an expected reaction” to the “terrorist” designation.”They assume that by detaining UN staff they’re going to be able to pressure the international community to pressure the Trump administration.”No immediate comment was available from the Huthis, who seized the capital Sanaa in 2014 and rule large parts of the impoverished country.The rebels, saying they are acting in solidarity with the Palestinians, have been attacking the Red Sea shipping route and firing on Israel since the outbreak of the Gaza war, prompting reprisal strikes from US, Israeli and British forces.With a Gaza ceasefire starting last Sunday, the Huthis have made conciliatory moves including releasing the 25-strong international crew of the Galaxy Leader, a cargo ship they seized in the Red Sea in November 2023.The rebels have also promised to tone down the Red Sea attacks and have said they would stop targeting Israel if it sticks to the ceasefire.The Huthis have been at war with a Saudi-led coalition since 2015, although hostilities have fallen sharply since a UN-brokered ceasefire in 2022.Since the start of the war, the Huthis have kidnapped, arbitrarily detained and tortured hundreds of civilians, including UN and NGO workers, according to rights groups.In June, the rebels detained 13 UN personnel, including six employees of the Human Rights Office, and more than 50 NGO staff plus an embassy staff member.They claimed they had arrested “an American-Israeli spy network” operating under the cover of humanitarian organisations — allegations emphatically rejected by the UN Human Rights Office.Two other UN human rights staff had already been detained since November 2021 and August 2023 respectively.In early August, the Huthis stormed the UNHCR office, forced staff to hand over the keys, and seized documents and property, before returning it later that month.

Saudis showcase charm offensive in Davos

Two buildings branded “Saudi House” and “Saudi At Davos” stand out on the chic main street of the Swiss Alpine village hosting the World Economic Forum, showcasing the kingdom’s growing presence at major international events.Saudi officials and business leaders make the annual pilgrimage to the meeting of the world’s global elites every year, with this year’s delegation counting 57 people.Nine ministers made the trip this time, the most from any country, with some participating in panel discussions alongside other powerbrokers from around the world.The “Saudi At Davos” building, where the delegation hosts guests, overlooks the congress centre hosting the WEF talks where world leaders and entrepreneurs hold their annual talkfest. A European official who attends major international conferences said the Saudis have a “strong” presence at formal events such as G20 or IMF meetings or informal ones like the WEF.”The delegations even seem large by our standards,” he said on condition of anonymity.Saudi Arabia began to increase its footprint in global events after Crown Prince Mohammed bin Salman launched his Vision 2030 reform agenda in 2016, an official said.Since 2017, Saudi Arabia has held its own annual “Davos in the Desert” conference, officially dubbed the Future Investment Initiative (FII), to showcase the crown prince’s vision of diversifying the country’s oil-dependent economy.It hosted a special meeting of the WEF in Riyadh last year and announced in Davos on Friday that it would become a regular feature.”We are a key player in the world, the world economy. And we need to punch at our weight (category),” Saudi Finance Minister Mohammed al-Jadaan told AFP on the sidelines of the WEF.- ‘It’s about visibility’ -The kingdom has used soft power diplomacy as part of a global charm offensive for a country that has been criticised over human rights abuses, including the 2018 killing of Saudi journalist Jamal Khashoggi.It hosts Formula 1 races and professional golf tournaments. In 2021, the Saudi Public Investment Fund bought the Newcastle United football club in England.It scored a major coup last year when it was selected to host the 2034 World Cup.”It is about visibility. It’s about leadership,” Karen Young, a political economist at the Middle East Institute in Washington, told AFP.The Saudi efforts are aimed at two audiences, domestic and international, Young said.”This is really to demonstrate to Saudi citizens that there is a government that’s interested in what people want, especially what young people (want),” she said. “That’s the first priority.”Two-thirds of the Saudi population is under 30 years old.- ‘Good economic investment’ -“The second priority is this visibility on the international stage,” she said.The focus on sports is “a conscious decision by the government to say, ‘hey, we’re here, we’re part of a bigger community’,” she said.The European politician said Saudi diplomacy “is deeply rooted as a value in their economic interests”.The sports industry contributed $6.9 billion to Saudi Arabia’s gross domestic product last year, compared to $2.4 billion in 2016, according to figures from the Saudi sovereign wealth fund.”For us, to invest in sports and entertainment and culture to attract investors is actually a very good economic investment,” Jadaan said.