Saudi Arabia announced plans on Thursday to spend billions on building new venues and flying in Western acts, in a total overhaul of its entertainment sector that would have been unthinkable not long ago.
Long known for its ultra-conservative mores, the kingdom has embarked on a wide-ranging programme of social and economic reforms driven by Crown Prince Mohammed bin Salman.
At a glitzy press conference in Riyadh, General Entertainment Authority (GEA) chief Ahmad bin Aqeel al-Khatib told reporters the kingdom is set to invest $64 billion in its entertainment sector over the coming decade.
“We are already building the infrastructure,” Khatib said, adding that ground had been broken for an opera house.
Khatib said hundreds of new companies have sprung up over the past year, registering for licences to take advantage of the budding sector.
“God willing, you will see a real change by 2020,” the entertainment chief said, adding that more than 5,000 events were planned for the coming year.
The funding for new infrastructure and entertainment offerings will come from both the government and the private sector, he said.
Behind Khatib, a screen teased the names of international acts like Maroon 5, Andrea Bocelli and Cirque du Soleil.
Neither a breakdown of how the money would be spent nor a schedule for the cultural programme were provided.
But it follows a series of events in recent months including concerts, a Comic-Con festival and a mixed-gender national day celebration that saw people dancing in the streets to thumping electronic music for the first time.
Authorities have also announced plans to lift a decades-old ban on cinemas this year, with some 300 expected to open by 2030.
Senior GEA official Faisal Bafrat said the past year had already seen exceptional development in the entertainment sector with more than 2,000 events involving 100,000 volunteers and 150 small and medium businesses organised in 2017.
The newfound openness, which includes plans to allow women to drive from June this year, has been hailed by some as a crucial liberalisation of Saudi society.
Critics have pointed to continued restrictions however, especially on women who remain under a strict “guardianship” system that gives male relatives significant control over their lives.
Yet even that could be changing.
With the lifting of the driving ban on the horizon, Riyadh announced Sunday that women can now open their own businesses without the consent of a husband or male relative.
The reforms are part of Prince Mohammed’s ambitious “Vision 2030” programme, which seeks to diversify the Saudi economy as it reels from a slump in energy prices, with the entertainment sector seen as a key potential source of growth.
Saudis splurge billions annually on movies and visits to amusement parks in the neighbouring tourist hubs of Dubai and Bahrain, which is accessible by a land causeway.
Khatib vowed turn around that trend.
“I went to Bahrain. The bridge is being reversed,” he said, adding that Bahraini nationals were now coming to Saudi Arabia for events — accounting for 10 percent of ticket sales in recent months.
The goal to keep Saudis — more than half of whom are under 25 — spending their disposable income at home is part of a wider campaign called “Don’t travel”.
Saudi Arabia, the world’s top oil exporter, has been struggling to cope with persistent budget deficits that began in 2014 when crude prices plummeted.
The kingdom withdrew around $250 billion from its financial reserves in the past four years.
Authorities have also increased fuel prices, introduced a value-added tax and cut subsidies in an effort to reduce costs and boost non-oil revenues.
The shift has been a painful one for many Saudis accustomed to a generous welfare system.
In December, the government announced a budget with record spending as it seeks to stimulate growth.
Source : https://www.dawn.com/news/1391018
Saudi Arabia said on Wednesday it will further trim oil production and exports next month to reduce excess stockpiles that have weighed on crude prices, as concerns mount over US oversupply.
Saudi Aramco’s crude output in March will be 100,000 barrels per day (bpd) below its February level while exports will be kept below seven million bpd, the energy ministry said.
“Saudi Arabia remains focused on working down excess oil inventories,” a ministry spokesman said.
“Market volatility is a common concern for producers and consumers, and the kingdom is committed to mitigating this volatility and moderating its negative impacts.”
Saudi Arabia, the world’s top oil exporter, last month called for extending cooperation between OPEC and non-OPEC producers beyond 2018, after a deal to throttle output succeeded in shoring up prices.
Oil prices fell from above $110 per barrel in 2014 to around $30 at the start of 2016. But the market has seen a turnaround since and oil prices are now close to $60.
However, oversupply remains a concern for the market.
Surging oil production in the United States is putting the brakes on crude prices, the International Energy Agency said on Tuesday.
Shale producers, particularly in the US — who are not party to the deal — are ramping up output to cash in on rebounding crude prices.
Saudi Energy Minister Khalid al-Falih expressed confidence on Wednesday that cooperation between OPEC and non-OPEC allies will stabilise oil markets.
“I am confident that our high degree of cooperation and coordination will continue to bring the desired results,” Falih told an industry conference in Riyadh.
source : https://www.dawn.com/news/1389388/saudi-arabia-seeks-to-further-reduce-oil-stockpiles