K2K Spring 2011

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Contents The Ambassador’s Foreword.....................................3 HRH Prince Saudi Al Faisal in Downing Street talks......4 UK/Saudi health sector MOU signed ..........................5 Baroness Warsi at the OIC .......................................6 UK Secretary of State for Energy and Climate Change meets with H.H Ali Al Naimi .....................................7 HRH Prince Turki Al Faisal addresses the MEA .............8 DFID Minister visits Saudi Arabia ..............................9 Members of the Shoura Council visit the UK ............. 10 Gordon Brown speaks at Saudi Forum ..................... 12 British Consulate contributes to flood relief efforts .... 14 500 days to the London Olympics ........................... 16 British Goverment plans for economic growth........... 18 New Era for Producer-Consumer Dialogue ................ 20 LCCI Trade Mission ............................................... 22 New faces at the British Embassy ........................... 24 Large delegation from the UK................................. 28 Lord Mayor of the City of London ............................ 30 Jaspar Capital assist new Saudi J.V. ........................ 32 Belfast Company secures KKUH .............................. 34 Latest support for ICING ....................................... 35 Saudi Education Minister attends London Forum ....... 36 British Embassy Contacts ......... 38 Diary Dates ......... 40 Cover image: UK Minister of Energy, Charles Hendry MP signing the International Energy Forum Charter in Riyadh in February. see page 20 Kingdom to Kingdom

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Foreword Welcome

Welcome to another edition of Kingdom to Kingdom magazine. It has been an extraordinary few months across the Middle East and an absolutely essential time for Britain and Saudi Arabia to put into practise the strong and diverse relationship between our two Kingdoms. I was in London last month with HRH Prince Saud Al Faisal as he met the Prime Minister at Number 10 and had lunch with the Foreign Secretary at Carlton Gardens. At the top of the agenda was obviously the situations in Bahrain, Libya and Yemen. But the meetings also cemented the growing bilateral relationship between our two countries, something which you can see by reading the diversity of articles in this magazine.

With oil over $100 dollars a barrel there is also a lot of activity around energy markets at the moment and the last few months have seen important visits by the Secretary of State for Energy and Climate Change the Rt Hon Chris Huhne MP and the Minister for Energy Charles Hendry MP. Mr Hendry was here to sign the charter of the International Energy Forum, a major step in furthering the dialogue between consuming and producing nations.

The UK has been working closely with the IEF for a number of years and the successful conclusion of the Charter is a major achievement, for NoÊ Van Hulst at the IEF, for the Saudi Ministry of Petroleum and Minerals, particularly HRH Prince Abd Al Aziz bin Salman, and for the Department of Energy and Climate Change in the UK. Otherwise I would characterise the last few months as being about the full breadth of the relationship between our countries. We have seen a very successful visit to the UK by the Saudi British Friendship Committee of the Shura Council. A visit by the Minister of Health to the UK and the signing of a Memorandum of Understanding with the Secretary of State the Rt Hon Andrew Lansley was another highlight. And we welcomed another Lord Mayor of the City of London in what is becoming an annual visit by the City of London’s financial services champion.

Let me conclude by expressing my condolences to all the victims of the tragic flooding in Jeddah. Their families and communities have been in our thoughts and prayers.

Sir Tom Phillips KCMG 3 British Ambassador Kingdom to Kingdom

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HRH PRINCE SAUD AL FAISAL IN DOWNING STREET TALKS that we encouraged all parties to take part in it. The Prime Minister stressed that the Bahraini Government’s approach to the situation needed to be based on the principle of reform to address the legitimate aspirations of the people of Bahrain.”

Following UK Foreign Secretary’s meeting with Prince Saud, Foreign Minister of Saudi Arabia, a Foreign Office spokesperson said:

Prime Minister David Cameron, meeting with Saudi Arabia’s Foreign Minister Prince Saud Al Faisal inside 10 Downing Street.

The British Prime Minister David Cameron welcomed Saudi Foreign Minister Prince Saud Al Faisal to Downing Street on 22 March, for their first meeting since the Prime Minister took office.

Foreign Secretary the Rt Hon William Hague MP hosted Prince Saud for Lunch and bilateral talks.

Events in the region were the focus of both meetings, particularly the situation in Libya.

A Downing Street spokesman said: “The Prime Minister met with Prince Saud, the Saudi Foreign Minister, this afternoon in Downing Street.

“The Foreign Secretary William Hague met Prince Saud in London on Tuesday 22 March, 2011. They had a series of meetings in which the Foreign Secretary reaffirmed the strength of the UK’s bilateral relationship with Saudi Arabia, a key strategic partner in the region.”

The Foreign Secretary and Prince Saud had a wide-ranging discussion of developments in the region, in particular in Libya, Bahrain and Yemen. They also discussed how both countries could further strengthen UK/Saudi bilateral relationship and strategic dialogue.”

On Libya Prince Saud underlined Saudi Arabia’s firm support for the implementation of UNSCR 1973 in order to protect Libyan civilians. Prince Saud said there would be further discussion within the Arab League of how Arab states would support implementation of this resolution, and the Foreign Secretary reaffirmed the importance the UK places on working with Saudi Arabia and the Arab League on Libya.”

The leaders welcomed the strength of the bilateral relationship between the UK and Saudi Arabia and agreed to establish a regular strategic dialogue.

On Libya, the Prime Minister set out the action we were taking in support of implementation of UNSCR 1973. Prince Saud expressed strong support for the aims of UNSCR 1973 and the steps being taken by the international community to enforce it.

They also discussed Bahrain. The Prime Minister made clear that we supported the process of political dialogue that the Bahraini Government was seeking to take forward and 4

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Foreign Secretary the Rt Hon William Hague MP hosted Prince Saud for Lunch and bilateral talks

THE SAUDI MINISTER OF HEALTH SIGNS UK/SAUDI HEALTH SECTOR CO-OPERATION MOU IN LONDON On Yemen, the UK and Saudi Arabia agreed that it is urgent all parties play a responsible role in bringing about political and economic reform, and take immediate action to defuse the tense situation and prevent further violence. Any process of reform must address the genuine demands of the Yemeni people and build a peaceful and secure future for the country.”

The Foreign Secretary and the Saudi Foreign Minister also had a constructive discussion on Bahrain. They agreed that both countries shared the same goal: a process of dialogue leading to political reform that can addresses the legitimate aspirations of all the people of Bahrain. The Crown Prince’s initiative for national dialogue offers an opportunity to achieve this, and the UK Government urges all parties to join without preconditions. The Government further urges all sides to take steps to de-escalate tensions in the country. The Foreign Secretary and Prince Saud agreed that the GCC forces, who are in Bahrain at the legitimate invitation of the Bahraini Government, should work to create the right conditions for the national dialogue.

“The UK will continue to work closely with Saudi Arabia across the range of issues of mutual interest, including the ongoing threat posed by Iran’s nuclear programme, the Middle East Peace Process and in Afghanistan, where the UK and Saudi Arabia want to work together to support any transition and reconciliation.” said the spokesperson.

British medicine already has an enviable reputation in Saudi Arabia, not least because of the number of Saudi doctors who have trained in the UK. So it was a great pleasure to welcome the Saudi Minister of Health HE Dr Abdullah Al Rabeeah to the United Kingdom on 4 and 5 April for his first official trip to Britain since his appointment in February 2009.

The main purpose of the visit was to sign a memorandum of understanding on health co-operation between the two Health Ministries. The signing ceremony for this took place in the Department of Health in London on 4 April. In the MOU, both Ministers committed to exchange information and consider medical staff training programmes; to examine the opportunity for joint research and conferences; to share experience in the area of pharmaceutical industry and medical equipment; and to share best practice in hospital design and management.

Commenting on the agreement, Health Minister Simon Burns said “Health is a global issue that transcends borders and

boundaries. I am proud to sign this memorandum of understanding between the UK and Saudi Arabia to share our expertise, best practice and experience in healthcare.

Saudi Arabia is currently modernising their healthcare system. We share a vision of a modern healthcare system that continually improves the quality of patient care. This agreement will ensure that the history of cooperation and understanding that we have with Saudi Arabia will now extend into healthcare and benefit patients in both of our countries.”

While in London Dr Al Rabeeah was entertained to dinner in the House of Lords by Lord Darzi of Denham, one of the world’s leading surgeons and Chairman of the Institute for Global Health Innovation at Imperial College London. The Minister also visited King’s College Hospital to discuss how the National Health Service model worked in the UK; the Academy of Medical Royal Colleges to discuss medical staff training programmes; and the Sutton and Merton Primary Care Trust to discuss the use of e-Health Technologies in public healthcare.

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BARONESS WARSI MEETING THE SECRETARY GENERAL OF THE ORGANISATION OF ISLAMIC CONFERENCE announced the UK Special Representative to the OIC, the current Consul-General in Jeddah, Kate Rudd.

Britain’s first female cabinet minister, Baroness Sayeeda Warsi met the Secretary General of the Organisation of the Islamic Conference, His Excellent Prof Ekmeleddin Ihsanoglu, in the OIC headquarters in November after completing a private Hajj.

It was the second time the two had met, the first was in London in June last year when they

The second meeting proved very useful in hammering out a path for closer UK and OIC engagement. The OIC is increasingly playing a vital role in facilitating international discussions on such issues such as the future stability of Afghanistan and also Pakistan. The UK warmly acknowledges this and encourages the OIC to continue to provide this important platform for discussions.

The Prime Minister and the Foreign Secretary have both emphasised the importance attached to Britain’s relationships with the countries of the Gulf, the Middle East and the wider Islamic world and look forward to cooperation with the OIC over the years to come.

April Visit Sir Tom Phillips KCMG met the Secretary General of the Organisation of the Islamic Conference, HE Prof Ekmeleddin Ihsanoglu, on 3 April at his Jeddah headquarters on his return from attending the Libya Conference in London. The Ambassador handed him an invitation from Baroness Warsi to visit London this summer. The Secretary General confirmed that Baroness Warsi would be invited by the Kazaks to speak at the OIC Foreign Minister’s Meeting 28-30 June in Astana, a first for a minister of a non-OIC Member State.

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SECRETARY OF STATE FOR ENERGY AND CLIMATE CHANGE VISITS SAUDI ARABIA One of the most important areas of co-operation between the UK and Saudi Arabia is in the field of energy. Following shortly on the heels of the signing of the International Energy Forum (IEF) Charter, which is detailed later in the magazine, British Secretary of State for Energy and Climate Change Chris Huhne visited Riyadh on 4 and 5 April. This was Mr Huhne’s first visit to Saudi Arabia and it came at a timely moment as oil prices rose to $120 dollars a barrel on international markets.

Understandably the centrepiece of the Secretary of State’s talks with his counterpart Dr Ali Al-Naimi, the Minister of Petroleum & Mineral Resources, was on international energy markets. As the international economy continues its recovery towards growth, volatile and high oil prices remain a serious concern to governments and to business leaders. The two sides agreed that the current high oil prices were not connected to the realities of the physical market. Supply had kept pace with demand and as Minister Al-Naimi had said previously Saudi Arabia stood ready to supply any shortfall in supply to meet international demand.

Events in the region, most notably the disruption to supply in Libya, were clearly causing anxiety amongst markets, but the two Ministers sought to send a message of reassurance.

As Mr Huhne said “There is no shortage of supply, and yet the price has remained high.

International energy markets should understand that the current price of oil does not reflect the realities of supply and demand.”

The situation in international energy markets underlined the importance of the work on consumer and producer dialogue being carried out by the IEF. Saudi Arabia has played a key role in the development of the IEF and HRH Prince Abd Al Aziz bin Salman, the Deputy Minister of Petroleum and Mineral Resources briefed the Secretary of State on the actions the IEF was taking to improve the flow of information between consumers and producers, and to the oil markets. Both countries remain committed to such an interchange and recognise the importance of having the IEF grounded on a firm footing with a mandate from member states to carry out research and analysis.

Mr Huhne strongly supported both the principle of consumer producer dialogue and the role the IEF were playing. He said “Building greater understanding between consumer and producer countries is more important than ever in these present circumstances.”

Another strand of the Secretary of State’s discussion with the Minister and Deputy Minister

of Oil as well as during his visit to the King Abdullah Centre for Atomic and Renewable Energy (KACARE), was about international climate change. The UK and Saudi Arabia have important cooperation in the field of Carbon Capture and Storage, notably through the 4 Kingdom’s dialogue, which also brings in expertise from Norway and the Netherlands. Saudi Arabia is conducting pioneering research in Carbon Capture and Storage technology in its oil production.

Whilst at KACARE the Secretary of State discussed how the UK and Saudi Arabia could work together on the ground breaking research and development taking place in the renewables field.

After a very busy visit the Secretary of State left Saudi Arabia having strengthened the dialogue between the our two kingdoms “there could be no more important time to be in Saudi Arabia, whose response to events in recent months has been crucial for keeping the market supplied to meet global demand” he said.

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HRH PRINCE TURKI AL FAISAL ADDRESSES MIDDLE EAST ASSOCIATION ANNUAL LUNCH “There will be a continuing need to inform and encourage UK business to look to the region for export potential and investment opportunities.

The Middle East Association will be there to help and facilitate participation in these exciting markets with their enormous potential.”

A record 503 members and guests, including the Arab Ambassadors and other VIPs, attended the Middle East Association (MEA) Annual Lunch at The Dorchester Hotel, London, on 15 March.

The event, which launched the Association’s 50th Anniversary celebrations, was sponsored

by Europe Arab Bank. Guest of Honour was HRH Prince Turki Al Faisal bin Abdulaziz Al Saud, the former Saudi Ambassador to London.

Opening the proceedings, MEA Chairman Terry Stone commented, “We meet at a time when there is uncertainty as to the future political and economic shape of some countries in the region.

We all hope these current uncertainties will soon be resolved, in line with the wishes of each country’s citizens.

The Middle East Association was formed with the objective of promoting and encouraging closer trade relationships with the countries of the Middle East... during the past 12 months we have taken over 220 executives on 12 trade missions to the region, held 6 major conferences, 11 business briefings, 2 major lunches such as this and 18 VIP lunches. “The Middle East market is vitally important to us.

In 2010 the UK’s exports to the Middle East increased by 14% to nearly £15 billion. At the same time our imports increased by 55% to £11.6 billion ...Our exports to the MENA region are still more than those to China, India and Brazil combined. We have a positive balanced of trade of nearly £3 billion with the Middle East which compares with a deficit of £27 billion with the 4 BRIC countries.”

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HRH Prince Turki Al Faisal gave a keynote speech charting the Kingdom of Saudi Arabia’s political history. He highlighted the Kingdom’s recent achievements under the leadership of King Abdullah, from the acquisition of membership of the WTO to the establishment of King Abdullah University for Science and Technology and the establishment of a dialogue between religions and cultures.

He concluded “The Kingdom is a place of progress and stability. And this progress and stability have been hard won by actions of the past which continue very much today as the nation strives for a better future.” He added, “The Saudi leadership will tirelessly pursue its agenda of improving the government institutions to better address and improve the lives of its people - an agenda it has been pursuing for over 80 years.”

Speaking after the lunch MEA Director Charles Hollis commented, “The record number of people attending the lunch today is an indication of the importance of the MENA region to British business. The Middle East Association has played a vital role over the past fifty years in assisting and guiding British companies in doing business with the region, a role which is more important than ever given the current uncertainties.”

L-R: Charles Hollis, Alan Duncan, Terry Stone

DFID MINISTER IN TALKS WITH SAUDI MINISTER OF FINANCE & ASSISTANT MINISTER OF DEFENCE strategy to build a sustained and productive partnership with the Kingdom on development issues and follows up on the Secretary of State’s visit in October 2010.

The Minister of State for International Development, the Rt Hon Alan Duncan MP visited Riyadh 7 – 8 February. Mr Duncan knows the Middle East well having worked in the oil industry before entering politics.

This was Mr Duncan’s first visit to the Kingdom since being appointed a Minister in May 2010.

The Department for International Development (DFID) is the part of the UK government that manages Britain’s aid to poor countries and works to get eradicate extreme poverty. DFID works with governments of developing countries as well as charities, businesses and international bodies, including the World Bank, UN agencies and the European Commission. DFID are working to achieve the Millennium Development Goals (MDGs), which are the international targets agreed by the United Nations (UN) to halve world poverty by 2015. Saudi Arabia is one of the world’s biggest Development donors, giving approximately 1.2% of its GDP to support development, poverty alleviation and humanitarian relief. Mr Duncan’s visit was part of the UK

During his visit the Minister had the opportunity to call on HE Dr Ibrahim Al Assaf, the Minister of Finance. In addition to being Finance Minister, Dr Al Assaf is also the Chairman of the Saudi Development Fund. Mr Duncan was able to brief the Minister that the UK aid budget will increase to £ 7.8 billion this year and by 2013 the equivalent of 0.7% of the UK’s gross national income will be dedicated to development assistance.

A major focus of the visit was the situation in Yemen. Yemen is the poorest country in the Middle East and is facing a range of challenges. The objective of the UK is to reduce the the risk of state failure in Yemen and DFID is working to create a more favorable environment for sustained development and peace. DFID are also focused

on basic service delivery such as health, education and water.

They are looking at ways to stimulate a sustainable economy in order to create wealth and jobs. On the health agenda one of their major goals is to improve the nutrition of women and children. In order to improve the situation in Yemen, DFID have made provision to spend an average of £76 million a year until 2015.

Both the UK and Saudi Arabia have been working closely on the challenges facing Yemen.

The Minister was able to discuss developments with HRH Prince Khalid bin Sultan, the Assistant Defence Minister as well as senior officials at the Saudi Development Fund. Mr Duncan also held talks with the Gulf Cooperation Council which is playing a leading role in coordinating donor efforts in Yemen.

Following his visit to Riyadh Mr Duncan travelled to Sana’a where he accompanied the Foreign Secretary on a two day visit.

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THE SHURA COUNCIL VISIT LONDON AND SHREWSBURY The Palace of Westminster seems older than it is. Parts of it are, of course, very old indeed – Westminster Hall dates from the reign of William II (1087 – 1100). But much of the iconic gothic building is the product of Charles Barry and Augustus Pugin’s imagination after the fire of 1834. Westminster is known as the mother of parliaments, the seat of a parliamentary tradition that had shaped Britain’s history.

In more recent times this ancient parliamentary body has built one of its most productive relationships with one of the world’s newest parliamentary bodies – the Shura Council of Saudi Arabia. There are of course similarities between the Shura Council and the House of Lords, both being appointed bodies of experts, without constituency duties. And there is of course the extensive shared interests between the UK and Saudi Arabia. But as important as either of these in forging the personal links between the two parliaments has been the two sets of Parliamentarians. Many of the British MP and Lords

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have visited Saudi Arabia on pilgrimage or business. And many of the members of the Shura Council have lived or studied in the UK, ambassadors for their Kingdom in a foreign land.

So it was with much familiarity that the Saudi British Friendship Committee of the Shura Council arrived at Heathrow in the middle of March.

Ahead of them lay five days of meetings, discussions and deliberations that would take them from Southwark to North Kensington to Shrewsbury.

The visit started with a day’s programme organized by the Royal Saudi Embassy in London. The Shura delegation spent time at the hub of the King Abdullah Scholarship Programme in the UK, the office of the Saudi Cultural Attache in Chiswick. They also visited Saudi communities in London.

Day two saw the delegation arrive at the Palace of Westminster early, buttoned up against the kind of wind that rarely blows through Riyadh.

After a tour of the Palace and a briefing on the constitutional process in which Parliament operates, the Committee attended an evidence session of the Business Innovation and Skills Select Committee which was conducting a important and controversial hearing into the takeover by Kraft foods of Cadbury. Three Kraft executives were asked searching questions on the commitments they made before taking over Cadbury in front of a packed committee room.

Daniel Kawczynski MP

The Saudi British Friendship Committee then joined their Westminster equivalents the All Parliamentary Group on Saudi Arabia, chaired by Daniel Kawczynski MP the Chair of the All Party Parliamentary Group and MP for Shrewsbury.

A large number of British Parliamentarians attended interested in a wide range of subject areas including religious issues, trade issues and foreign policy questions. In the course of a wide ranging two hour discussion new friendships were formed and plans for future collaboration discussed.

At the conclusions of the talks the Committee travelled to the Foreign and Commonwealth

Office for a meeting with Minister for the Middle East Alastair Burt MP. The next two days broadly followed the theme of the way in which parliament works to hold the executive to account.

There were trips to the National Audit Office and meetings with Civil Society Organisations. The Committee visited University College London to understand more about the current debates in the UK about University funding. They also visited the Al Manar cultural centre in North Kensington, engaging with the Muslim community there and hearing more about the joint community fundraising project which helped finance the centre.

Another theme of discussions was around medical training for Saudi students in the UK where members of the Committee wanted to identify ways to strengthen the educational and training links between the two countries. They visited Kings College Medical School in South London and met with the Royal College of Physicians and Officials from the Department of Health.

The final day of the visit saw the Friendship Committee travel to Shrewsbury, the constituency of Daniel Kawczynski MP. The trip to Shrewsbury was an excellent opportunity to showcase one of Britain’s most beautiful towns and to show the Committee the vibrant and diverse culture of the UK. The Committee members met a number of teachers and students, had a tour of the city from the official town crier and met local business owners. Despite the time of year, the weather was kind, and the Committee were left with an impression

of Shrewsbury, just as many of the citizens of Shrewsbury were left with an impression of Saudi Arabia.

This was the first visit by the Shura Council’s Friendship Committee to the UK for a number of years and all sides hoped that we would see an increase in contacts and links in the future. The All Party Parliamentary Group are committed to strengthening the parliamentary ties between the two nations, and are looking forward to a return trip to the Kingdom in the near future.

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ENTREPRENEURSHIP, KNOWLEDGE-BASED ECONOMY FORUM

In January, King Saud University hosted the Forum on Entrepreneurship and Knowledge-Based Economy 2011. The three-day event, organised by the Prince Salman Entrepreneurship Centre at King Saud University in Riyadh, and the Wadi Al-Riyadh Technology Company, was addressed by several notable figures including former British and New Zealand prime ministers Gordon Brown (pitured left) and Mike Moore.

The forum discussed the requirements and incentives for building a knowledge-based economy and the procedures to put it into action in the Kingdom through encouraging the government’s role and developing relations between organisations, and developing a knowledge ecosystem by improving the role of the government and institutional relationships.

Five key topics of discussion were the focus of the three days of the forum, concentrating on developing investment in the knowledgebased economy and promoting its culture. The first area considered was investment in human resources and the role of society in encouraging creativity and innovation, with the second looking at legislation related to promoting creativity and investment, the introduction of technology, and 12

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protecting intellectual ownership. The third area focused on investment and financing, government financing and the provision of infrastructure and the role of the private sector, while the fourth focal point of discussion covered the complementary roles played by the public and private sectors in development and investment, coordination between entrepreneurial programs and projects and international relations. The final discussion point looked at the role of research in applied science, science oases and technology regions, centres of creativity and invention, and the strengthening of technology.

Speaking during the opening ceremony, former British Prime Minister Gordon Brown expressed his confidence in the ability of the Kingdom to assume “a prominent position in the knowledge-based economy,” saying that the country’s investment in intellectual capital, a prime mover, will yield desired results in this direction.”

“There is a need to develop untapped potentials of Saudi Arabia, its people and its resources,” he said. “With knowledge replacing physical resources as the key ingredient in economic development, “education and human resource development policies require rethinking,” he added.

NEW VISA RULES SIGNAL UK’S WARM WELCOME FOR GLOBAL ENTREPRENEURS AND INVESTORS Foreign entrepreneurs and investors coming to the UK have been given an extra boost in March with the announcement that the UK Government has introduced new visa rules which fast track settlement for high-value investors and entrepreneurs.

While the standard investment threshold for an entrepreneur to qualify for a visa will remain at £200,000, the Government will also make provision for high potential businesses to come to the UK with £50,000 in funding from a reputable organisation. Entrepreneurs will also be allowed to enter the UK with their business partners as long as they have access to joint funds.

Recalling his talks with Custodian of the Two Holy Mosques King Abdullah, whilst he was Prime Minister, Gordon Brown commented on the need for the Kingdom to benefit from international experience in the development of public education and higher education. He also praised the King’s vision and plans for the development of education in Saudi Arabia.

Major investors will also enjoy more flexibility as they will be allowed to have spent up to 180 days a year, rather than 90, outside of the UK before they lose their right to settlement. This addresses a major concern that investors often cite as they need to be constantly mobile.

Separately, a new innovative route for exceptionally talented migrants, which will be restricted to 1,000 visas under the annual limit, will facilitate those who have already been recognised or have the potential to be recognised as a leader in the fields of science, arts and humanities

The opening session was also addressed by Michael Moore, former prime minister of New Zealand, who once served as the director general of the WTO, who confirmed his opinion that the Kingdom has all the components needed to go a long way in promoting a knowledge-based economy.

Dr. Abdullah Bin Abdul Rahman Al-Othman, President of King Saud University, revealed that King Saud University has launched a fund with initial capital of SR160 million to invest in innovators and inventors. The major objective of the fund, he said, is to finance innovators and inventors to enable them to convert their ideas into valuable economic products, whether in the form of consumer products or assist small companies that could help to overcome unemployment.

Damian Green, UK Government Immigration Minister, said of the changes: “Today I have sent out a clear message – the UK remains open for business and we want those who have the most to offer to come and settle here.

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JEDDAH CONSULATE CONTRIBUTES TO FLOOD RELIEF EFFORT

After heaving rains throughout December Jeddah was affected by devastating floods in January. Intense rain and high volumes of runoff from the surrounding mountains combined and swept through the south of the city. People and cars were pushed along in the huge surges of water that rose to over a metre and a half in some areas. This was a repeat of floods only 14 months before in 2009 when the city also suffered loss of life and destruction to businesses and property.

The predicament of many of those whose personal belongings were washed away generated a huge response, particularly among the young people of Jeddah. Youth groups formed and set-up a flood relief centre accepting and distributing collections of food, clothes and household items. The British Consulate-General in Jeddah supported the relief effort with a donation of foodstuffs. Edwin Deus is pictured handing over the donation to one of the youth workers.

The participation of young Jeddawis in a collective response to an event like this was unprecedented.

The young people involved were committed and excited about the prospect of helping others in a difficult time. Unusually it brought young men and women together in a way not normally seen in Saudi Arabia proving that such collaboration is not only possible, but effective and desirable.

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500 DAYS TO THE LONDON OLYMPICS This is the English translation of an article published by the Ambassador in Al Riyadh newspaper on 17 March 2011.

London Games would later give birth to the Paralympic movement. In 2012 we intend to honour this tradition of innovation by organising games that are more environmentally sustainable, accessible and inclusive than ever.

On Tuesday I stood with His Royal Highness Prince Nawwaf bin Faisal bin Fahd bin Abdul Aziz, the President of the General Presidency of Youth Welfare, in the Al Kindi Plaza in the Diplomatic Quarter, to watch 100 schoolchildren from the King Faisal School launch 500 balloons to mark the start of the 500 day countdown to the 2012 London Olympics. This was a happy and memorable event.

I hope that many Saudis will be in London as spectators when the games take place, and that the Kingdom will send a team ready to take part in many events. London is, I know, already a real second home for many Saudis, and I welcome the deep links this creates between our two countries.

Here is what my Foreign Secretary, William Hague, has written on the subject ‘500 Days to Go’: 16

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In just 500 days, the world’s gaze will turn to the UK as the lights go up on the opening ceremony of the 2012 Olympic Games.

The British people stand ready to welcome friends from across the globe, athletes and spectators alike, to what my friend and Chairman of the Games, Lord Coe, describes as the greatest show on earth. Our preparations are well under way, with our stunning new parkland development, the largest in Europe, already three quarters complete.

London is privileged to have been selected to host this international sporting extravaganza more times than any other city. On each occasion we have sought to make a lasting contribution to the Olympic movement. During London’s 1908 games athletes paraded for the first time under their national flag and events held to coincide with the 1948

As such the 2012 Olympic park design has energy efficiency at its core, providing a blue print for sustainable living. 90% of the material from buildings demolished to prepare the site has been channelled back into construction and we have planted 20,000 trees providing a new lung for the city of London, a new habitat for wildlife and a new haven of relaxation for Londoners.

We have also incorporated disability access into the design and construction of buildings, open spaces and public transport; ensuring all can fully enjoy the spectacle of the Games. Such work is of vital importance and I am deeply committed to opening up access to the Games. To this day, designing and passing the Disability Discrimination Act is my proudest political achievement. That is why I am so pleased that we expect 80,000 spectators for the Paralympic games in 2012, a 16 fold increase since its inception in 1960, as through the Paralympics we continue to transform attitudes to disabled people with brilliant showcases of disability sport.

As part of our Singapore bid we pledged to connect young people across the globe to the power sport. The International Inspiration programme aims

to give 12 million children in 20 countries access to high quality and inclusive physical education, sport and play. It has already reached more than 7 million children globally and over 300 schools in the UK have built partnerships with counterparts around the world as part of the programme.

Our Olympics will aim to bring

people from across Britain together. Regions up and down the country will host visiting athletes at pre-Games training camps and the Olympic torch will light a path around the British Isles, bringing the spirit of the games to the four corners of our nation. The tour will come within an hour of 95 percent of the UK’s population and entertainment, shows and

concerts will mark its arrival at each stop.

We see our stewardship of the Olympics as part of a four year celebration of British culture.

Cultural Olympiad projects in the art, film, music, digital and museum sectors are already under way and will bring further opportunities for everyone to take part in the celebrations, as will a 12 week festival of arts in the summer of 2012.

As British Foreign Secretary, I would like to invite you to see for yourself what the UK has to offer during this truly momentous occasion. I want to show you that our great nation is one of the best places to live, work, visit and do business in. As of today, you can book your tickets to the greatest show on earth. Come and join us for what promises to be a truly unforgettable experience.

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BRITISH GOVERNMENT PLANS FOR ECONOMIC GROWTH The UK Government published a White Paper on 9 February, 2011 setting out its strategy for using trade and investment to rebalance the economy and drive global economic growth. Key principles are the rejection of protectionism and the need to ensure a greater openness. Only by taking a new approach can countries be sure that they are supporting the poorest whilst capitalising on all the opportunities offered by a growth in global trade.

Prime Minister David Cameron said: “Strong trade policies and strong trade outcomes are of the utmost importance for our economy, helping to create jobs and build sustainable growth. That is why, since day one, we have put the promotion of trade at the heart of our foreign and economic policy. Harnessing the resources of every part of government; changing mindsets, sharpening our focus and doing all that we can to bolster UK trade and investment.”

British businesses, particularly SMEs, have said they want to take advantage of the huge opportunities that exist in vital emerging markets, but can’t always access the trade credit insurance or finance to take the risk. Since the economic crisis they feel it has become much harder to get cover from private credit insurers at reasonable rates and that in some markets it has become almost impossible. They also complain that foreign Governments do much more to fill the gaps in private sector cover.

So the UK government will create four new schemes and extend an existing one. These will be launched as soon as possible in the coming months and businesses will be signposted to them by their banks.

1. An Export Enterprise Finance Guarantee Scheme offering export finance valued up to £1m to SMEs. 2. An Export Working Capital Scheme for those not eligible for the Export EFG, offering export finance worth over £1m.

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3. A Bond Support Scheme under which the government will share risk with lending banks on the issue of contract bonds.

4. A Foreign Exchange Credit Support Scheme – this will support banks offering foreign exchange hedging contracts to SMEs by sharing credit risk.

5. Extend the Short Term Credit Insurance Scheme to cover a broader range of exporters, including SMEs. UK Trade and Investment will also increase its focus on emerging markets and launch: • A new online service offering access to sales leads around the world.

• A new on-line peer to peer exchange to enable companies to help themselves and help each other.

• A new high profile award for companies which are ready to export, but need encouragement to take the next step.

Also included in the strategy are a range of actions to help secure a strong, sustainable and open economy that benefits business both domestically and internationally. This means…

Strengthening the multilateral trading system: • Increased engagement within the European Union, World Trade Organisation (WTO), G20 and Organisation for Economic Co-operation and Development (OECD) • Working to finalise the Doha round of trade negotiations delivering a £110bn boost per year to the global economy - 2011 is the make or break year; • Working with partners to help develop ideas for strengthening the WTO, and address the shifting challenges of global trade and investment.

Enabling developing countries to benefit from trade and investment:

UK TRADE & INVESTMENT DIRECTOR SPEAKS AT JEDDAH ECONOMIC FORUM • Working with developing countries to ensure that global trade rules support their needs • Promoting greater market access for Least Developed Countries • Implementing ambitious bilateral aid programmes that promote trade and regional integration, particularly in Africa, where the UK is launching an Africa Free Trade Initiative Maximising and realising the opportunities for UK businesses to trade and invest: • Resisting protectionism, championing open markets, and pushing back the remaining trade and investment barriers within the European Single Market and the wider world.

• Pursuing an ambitious programme of EU Free Trade Agreements with key trading partners including India, Canada, Singapore, the South American Mercosur countries (Argentina, Brazil, Paraguay, Uruguay) and hopefully also Japan; • Using the FCO and UKTI networks overseas to support British business and encourage greater inward investment in the UK.

Foreign Secretary William Hague said: “This is an important milestone in our journey towards rebuilding the world economy. The White Paper is the Government’s initial statement to our trade and investment partners around the world on how we want to work together for mutual benefit and sets out the overwhelming case in favour of openness as the route to prosperity.

Jeddah’s answer to Davos, the Jeddah Economic Forum, kickedoff on 19 March with keynote addresses from HE Abdullah Xenel Alireza, Minister of Commerce, HRH Prince Khalid Al Faisal, Governor of Jeddah, Sheikh Salah Kamel, Chairman of the Jeddah Chamber of Commerce and Industry and notably the Prime Minister of Turkey Recep Tayyip Erdogan on the overall theme of 21st Century Transformation.

The UK was represented by Edward Oakden, Director Global Markets, UK Trade and Investment in the panel discussion on State as Equity Partner. Edward highlighted the UK’s strong track record on Public Private Partnerships and gave a balanced view of where that has worked well in the UK and what we have learned from our experience.

He commented on how PPP might be effective in structuring projects in the Kingdom. He also highlighted the importance of SMEs and start-ups to the UK economy, particularly in terms of job creation. He commented that if every SME in the UK generated one job then unemployment would be wiped-out at a stroke.

He contrasted that with the proportionally fewer jobs created by big business.

The panel discussion was one of the most lively during the forum and discussed, among other topics, how the UK experience of PPP and facilitating a climate that fostered SME growth could be valuable to the Kingdom, particularly young jobseekers. The moderator was CEO of Gulf One Investment Bank, Dr Nahid Taher who encouraged discussion between the other members of the panel: Ali Al Barrak, CEO, Saudi Electricity Company; Khaled Al Molhem, Director General, Saudi Arabia Airlines; and Richard McCormack, Executive Vice Chairman of the Bank of America.

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ENERGY CHARTER HERALDS NEW ERA FOR PRODUCER-CONSUMER DIALOGUE The United Kingdom is an active and committed participant in the producer-consumer dialogue and a member of the Executive Board which governs the work of the IEF Secretariat.

The International Energy Forum (IEF) is the world’s largest gathering of Energy Ministers. The Forum is an intergovernmental arrangement that serves as a neutral facilitator of informal, open, informed and continuing global energy dialogue among its membership of energy producing and energy consuming States, including transit States.

The 86 Member Countries of the IEF account for around 90% of global oil and gas supply and demand. In addition to IEA and OPEC countries, transit states and key energy players, including Brazil, China, India, Mexico, Russia and South Africa, participate in the Forum. The magnitude and diversity of this engagement is a testament to the IEF’s position as a neutral facilitator. Through the Forum and its associated events, IEF Ministers, their officials, energy industry executives, and other experts engage in a dialogue of increasing importance to global energy security. The IEF and the global energy dialogue are promoted by a permanent Secretariat of international staff based in the Diplomatic Quarter of Riyadh, Saudi Arabia.

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In 2008 the world witnessed one of the worst periods of excessive energy market volatility in recent history. As many still vividly remember, oil prices hit nearly $150 per barrel in the summer of 2008 and subsequently went down to under $40 per barrel by the end of the same year.

Energy experts know that with oil still dominating the global energy mix, oil prices have a very important impact not only on the oil market, but also on global trade and the markets for other fossil fuels as well as on renewable energy. There is general consensus now among Energy Ministers that excessive volatility is bad for consuming countries and producing countries alike, because it creates huge uncertainty that seriously hampers investment and makes energy policy planning nearly impossible. Hence we can now see a broad acknowledgement among policy makers around the world for the need to do everything we can to minimize the chances that such violent price swings will recur with their devastating consequences for investment.

In addressing this issue and as follow-up to the ad hoc IEF Jeddah Energy meeting hosted by the Custodian of The Two Holy Mosques, King Abdullah Bin Abdulaziz Al Saud in June, the London ad-hoc IEF Energy Ministers’ Meeting was hosted by the UK’s then Prime Minister,

by Noé van Hulst

Gordon Brown in December 2008.

In London, Ministers agreed “to establish an expert group to provide recommendations to the 12th IEF Ministerial Meeting for strengthening the architecture of the international dialogue, the IEF, and reducing volatility in oil markets”.

At the beginning of 2009, an eleven country High-Level Steering Group (HLSG) was formed under the chairmanship of HRH Prince Abdulaziz Bin Salman Bin Abdulaziz Al-Saud, (Kingdom of Saudi Arabia), and the cochairmanship of Graham White (United Kingdom). The work of the HLSG and its associated expert group culminated in the delivery of the Cancun Declaration which was approved by 66 countries on the occasion of the 12th IEF Ministerial Meeting in Cancun, Mexico on 31 March 2010. The Cancun Declaration addressed two main points: an enhanced IEF framework to strengthen the producer-consumer dialogue and ways to reduce energy market volatility.

Following the 12th IEF an expanded HLSG was formed to facilitate input from countries associated with the Cancun Declaration. Over the next 11 months the Saudi Cair and UK co-chair Graham White and the members of the expanded HLSG worked tirelessly to manage the development of the IEF Charter document required to deliver upon the expectations of the Cancun Declaration. The personal energy expended by the Chair and co-chair in fulfilling their mandate was such that the IEF Charter captured the interest and commitment of an additional

Photographs by Cissy Bartelink

20 countries and on 22 February 2011, eighty six (86) countries signed the Charter to become IEF Members at an historic Extraordinary IEF Ministerial Meeting in Riyadh, under the patronage of the Custodian of The Two Holy Mosques, King Abdullah Bin Abdulaziz Al Saud.

20 years after the humble start of a Ministerial producer-consumer dialogue in Paris, the signing of the IEF Charter by so many countries and the strengthening of a focused cooperation between the IEF, IEA, OPEC (and other organisations where relevant) signals a new and promising era of international energy governance.

We live in an increasingly complex and interdependent world, no single country or group of countries can solve the global energy problems on its own.

Therefore, we need stronger international cooperation on a global scale. The IEF with its global coverage, including energy consuming, producing

and transit countries from IEA, OPEC and emerging economies is well placed in this respect.

The global dialogue on energy through the IEF helps foster greater mutual understanding on energy policy issues and, where possible, narrows differences in views and helps build trust in policy intentions. The IEF Charter which came into effect on 24 March 2011 marks a new era of international energy cooperation built on greater mutual understanding and trust, demonstrating a significantly reinforced political commitment to an informal and open global energy dialogue in the framework of the IEF. A fruitful producer-consumer dialogue needs to be focused on critical issues of substance. One key issue now is to do whatever we can collectively to mitigate energy market volatility. A crucial part of this effort is the IEA/IEF/OPEC cooperation programme, first announced in the Cancun Declaration and now well underway. In the recent past

we have learned that oil is not only a physical commodity, but has also become a financial asset (like gold, currencies etcetera).

We need to understand much better how these linkages work, including what this implies for the improvement of the regulation of paper oil markets. As part of their cooperation programme the IEA/IEF/OPEC organised two joint events which took place in November 2010 in London.

The success of these timely events clearly demonstrated the value added by organising an open and constructive dialogue between market players in the physical oil markets and regulators in the financial markets and provides a solid basis for ongoing co-operation and improved understanding of this highly complex issue which impacts us all.

The IEF Secretariat stands ready to work constructively with its partners to the best of its abilities in the interest of greater stability and transparency of energy markets.

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LONDON CHAMBER OF COMMERCE AND INDUSTRY BRITISH TRADE MISSION TO SAUDI ARABIA 5-9 MARCH 2011

Mission Leader Annabel Fogden with UK Trade & Investment Director Chris Innes-Hopkins

A group of seven London-based companies visited Jeddah and Riyadh between 5-9 March as part of London Chamber of Commerce and Industry’s trade mission to Saudi Arabia.

London Chamber of Commerce and Industry (LCCI) is the UK’s premier Chamber of Commerce. Its World Trade team promotes the business interests of Chamber members in the international market place.

The mission participants arrived with a range of objectives including looking for local representatives, agents and clients. Many were visiting the market for the first time. The mission was sponsored

by London Development Agency and UK Trade & Investment.

UK Trade & Investment (UKTI) is the government department that helps UK-based companies succeed in the global economy. It also help overseas companies bring their high quality investment to the UK’s economy – acknowledged as Europe’s best place from which to succeed in global business.

UKTI offers expertise and contacts through its extensive network of specialists in the UK, and in British embassies and other diplomatic offices around the world. It provides companies with the tools they require to be competitive on the world stage.

Chamber of Commerce to facilitate future collaboration. The UK Trade & Investment team at the British Embassy also hosted an evening networking reception on Tuesday 8th March which was attended by 80 local businessmen and proved hugely valuable to the visiting companies. Newly arrived Director of Trade & Investment Chris Innes-Hopkins spoke at the event and during an address to the delegation commented “that he was delighted to welcome the London Chamber of Commerce delegation to the Kingdom. He referred to the strong trade relationship between the UK and Saudi Arabia, and the opportunities for exchanging experience in the education, healthcare and infrastructure sectors as Saudi Arabia diversifies its economy”.

Daytime activities included a morning briefing from an Attorney at Law, Mr Marcus Latta, from the local firm Salah Al-Hejailan. The mission enjoyed a brief on legal issues and the topic of signing contracts in Saudi Arabia. Mr John Lawton, General Manager of the Riyadh based Agricultural Technology Company, also briefed the delegation on market opportunities in the Kingdom and how to conduct business in the Saudi Arabian market.

A wide range of products and services were promoted by the delegation which included: generators and equipment for the power generation field; photographic film and paper; and IT for database solutions. Services represented included: business consultancy, recruitment and training for the banking and financial services sectors; advisory services on reputational risk and corporate governance; advisory for investors in international real estate projects.

The aim of the mission was to help delegates develop business contacts with local Saudi Arabian companies and to increase trade between Saudi Arabia and the United Kingdom.

During their time in Kingdom, the LCCI delegates attended a networking reception at the Riyadh

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Deputy Director UK Trade & Investment Peter Broom with one of the visitors, Jeremy Green.

NEW FACES AT THE BRITISH EMBASSY CHRISTOPHER INNES-HOPKINS TAKES OVER AS DIRECTOR OF TRADE & INVESTMENT Christopher Innes-Hopkins has replaced Paul Williams as Commercial Counsellor and Director of UK Trade & Investment.

Chris says “It is an exciting time to be coming to Saudi Arabia. The Saudi economy has weathered the global recession, and significant growth is resuming.

As the Saudi economy diversifies, there are great opportunities to develop our economic and commercial relations particularly in the education,

healthcare, infrastructure and technology sectors.

I am particularly keen to promote new UK/Saudi partnerships as well as supporting the interests of UK investors already here.

It is great to see increasing numbers of UK practitioners working alongside Saudi colleagues in key agencies and exchanging experience.

Saudi Arabia continues to be our most important market in the region. Despite headwinds in the region it is very much business as normal. UK exports

Christopher Innes-Hopkins

were up 16% in 2010 to £3.04 billion, and exports of services accounted for at least another £2 billion. But competition is increasing and we cannot rest on our laurels, or take our

PETER BROOM APPOINTED FIRST SECRETARY AND HEAD OF TRADE & INVESTMENT AT BRITISH EMBASSY IN RIYADH

Peter Broom arrived in the Kingdom in December to take on the job as Deputy Director for United Kingdom Trade and Investment. His previous appointments include Deputy Consul General in Brisbane, Deputy Consul General in 24

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San Francisco, Deputy High Commissioner in Yaoundé and Consul General in Cape Town.

In all of these positions he managed the trade promotion work of the Post.

He is looking forward to helping

British business thrive in Saudi Arabia where he and his wife, Vivienne, served on their first joint posting in the Diplomatic Service in Jeddah in the 1970’s’.

Peter is pictured above when addresing the RGBB Financial Interest Group.

traditionally close historical relations for granted. We need to keep up the flow of business visitors, encourage more UK firms to enter the market, and respond to the many training and skills transfer opportunities from a predominantly young Saudi population.

I am keen to build a strong relationship with the Riyadh business community and Saudi counterparts in developing these opportunities, with the support of the energetic UKTI trade teams in Riyadh, Jeddah and Al Khobar.

For those who do not know me, this will be my fourth commercial management post overseas after Paris, Tunis and more recently Ankara where I headed the Economic and Commercial Team in the Embassy from 2001-04.

I have also served in a variety of diplomatic roles in Jerusalem, Kuwait and Cairo, and with the EU in Brussels. From 200610 I gained some experience outside the FCO first as Trade Director of the London-based Middle East Association, and then as Corporate Affairs Director for BG Group in Egypt.

So I have also been a client as well as a provider of Embassy services!

On the family front my wife Soraya is accompanying me.

Our daughter Laura is studying for IB in the UK, and our son Jeremy who is a product designer, will visit from time to time.

I look forward to getting out and about in the commercial world of Saudi Arabia.”

BRIGADIER ALASDAIR WILD MBE APPOINTED DEFENCE AND MILITARY ATTACHÉ Brigadier Alasdair Wild MBE has succeeded Graeme Morrison as Defence and Military Attaché at the British Embassy in Riyadh.

An Infantry Officer by background, he spent most of his early career in Germany, Northern Ireland and the Balkans and commanded 2nd Battalion The Royal Anglian Regiment in Cyprus, the UK, Northern Ireland and Sierra Leone.

When not commanding soldiers he has worked in a wide variety of defence appointments including: deployed operational headquarters (Iraq, Afghanistan and Bosnia), the Ministry of Defence Operations Directorate, Permanent Joint Headquarters, Staff College (Director of Studies for Army Intermediate Course) and, most recently, MOD Abbey Wood.

Educated at Manchester University, Brigadier Wild also has an MBA (Open University), MSc (Information System Design) and MA (International Relations).

He is a graduate of the Australian Army Command and Staff College and a Member of the Royal College of Defence Studies (2009).

Brigadier Alasdair Wild MBE

He is also a Trustee of The Royal Anglian Regiment.

His wife Annie accompanies him in Riyadh and his 3 children will join them during university and school holidays. When he is not working, he is likely to be found playing poor golf, combat tennis, padding around the DQ Trail, shouting at his computer or learning to speak Arabic.

Brigadier Wild is delighted to have the opportunity to work in Saudi Arabia at such a very interesting time and looks forward to meeting new people across the broad range of the Saudi Arabian, business, diplomatic and defence communities that he will be working with.

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NEW ADVERTISING CAMPAIGN BAE Systems has an established presence in the Kingdom and the Company’s involvement in Saudi Arabia can be traced back to the 1960s, but not many people know BAE Systems – what does the Company do?

To increase the awareness of BAE Systems within Saudi Arabia, at the end of November, the Company embarked on a national advertising campaign that will feature in national newspapers, on LED screens in Riyadh, Jeddah and Dhahran and online.

“Inspired by the UK Advertising campaign where the ‘Union Flag’ was used, we have used the ‘Shumagh’ - a distinct identity representing Saudi Arabia - as the creative platform for our campaign,” said Peter Wilson, Managing Director for BAE Systems Saudi Arabia.

Mother Tayeb, BAE Systems Saudi Arabia’s Director for PR and Communications continued, “The campaign aims to reinvigorate the perception, both amongst key stakeholders and the general public, that BAE Systems has a central role in Saudi Arabia. The advertising will help build awareness of the Company and position the business as a firm that employs and trains local nationals, invests in the local market, brings in the latest technology and has a long term vision in Saudi Arabia.”

The four adverts focus on: Investment: Saudi Arabia is one of the Company’s home markets Industrialisation: Developing an industrial capability Transferring Technology: Committed to transferring technology Saudisation: Largest global company employing Saudi Nationals “People who see these adverts will understand better our contribution to Investment, Industrialisation, Transferring Technology and Saudisation. And as a leading global employer of Saudi Nationals, it is imperative that we communicate the importance of our activities to encourage our future workforce to think about a career with BAE Systems – advertising is one of the ways to do this,” added Monther.

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SOUTH EAST, SOUTH WEST AND INVEST NORTHERN IRELAND TRADE MISSIONS A delegation of 32 businesses from the UK’s South East, South West and Northern Ireland regions visited Al Khobar, Jeddah and Riyadh between 5 and 9 February this year as part of a multi-sector visit organised

by UK Trade & Investment, the UK Government’s support organisation for companies wishing to internationalise their business.

The companies were supported

by UK Trade & Investment at the British Embassy, which hosted a reception in both Riyadh and Al Khobar allowing local businesses to meet the UK companies during their five day visit. The Riyadh reception was held in the beautiful surroundings of the Ambassador’s garden and was attended by Minister Alan Duncan, (pictured above) UK State Minster of International Development. Minister Duncan spent time with local Saudi businessmen and delegates alike and addressed those present encouraging delegates to exploit the wealth of economic opportunities found in the Saudi Arabian market.

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The reception, the largest of its kind this year for the Commercial team, was attended by a record 102 visitors. The visiting delegation covered a wide range of products and services including: architectural products, interior decoration, education and training, healthcare and dental products and consultancy, ambulance services, medical recruitment, marine and aviation uniforms, nanotechnology, technology enabled solutions and services.

Although many of the companies were new to the Saudi Arabian market, certain delegates such as AES Distribution, a developer of wireless technology for access systems, and Bubble (NI), which specialises in digital presentation software, had already gained their first business in Saudi last year.

Prior to joining the trade mission the majority of companies had already commissioned an OMIS, so were well prepared for their

visit, many with concrete meetings with local businesses already in place. UK Trade & Investment’s Overseas Market Introduction Service (OMIS) is a flexible business tool, allowing the customer to use the services of our trade teams. The UKTI teams in Saudi Arabia are at the heart of the service because of their local language skills, market knowledge and extensive political and commercial contacts. OMIS can provide help at any stage - from initial research, to arranging a market visit such as this trade mission, to using UKTI contacts and impressive facilities to help close a major deal. A service package can include market and sector advice, analysis of market entry strategies, support during overseas visits and identification of possible business partners.

Among participating companies with longer established business in Saudi Arabia were Andor Technology, a world leader in scientific cameras, Rapid International,

LORD MAYOR IN JEDDAH a manufacturer of concrete production equipment, SRS Finlay, a manufacturer of concrete blockmaking machinery, Ulster Carpets, a specialist in Axminster carpets for hotels and conference centres, and Liddell, a supplier of linens and other textiles to the hospitality and retail sectors worldwide.

Quigg Golden, a company providing dispute arbitration services to the construction industry, also has a joint venture with a legal practice in Jeddah.

For any company based in the Kingdom of Saudi Arabia looking at a possible entry to the UK/Europe, this market visit afforded unique possibilities of linking with dynamic internationally aware market leaders.

In fact, the trade mission proved such a success that the Northern Irish delegation, led by Noel Johnston of Invest NI has already booked two return visits to the Kingdom.

Noel will lead two further missions to Saudi Arabia in October this year and again in February 2012. Invest NI offers the Northern Ireland business community a single organisation that provides high-quality services, programmes, support and expert advice. They aim to grow the economy by helping new and existing businesses to compete internationally, and by attracting new investment to Northern Ireland.

The Lord Mayor of London, The Right Honourable Alderman Michael Bear kicked off his visit to Saudi Arabia in Jeddah in February. He stepped off the plane and headed directly to the heart of Jeddah, the Old Town, and enjoyed a tour around Al Bilad by the Director of Cultural Heritage and Tourism in Jeddah, Sami Nawar. The visit culminated with tea at the top of Bait Nasif, the best preserved example of the traditional Jeddah Roshan house.

A beautiful building constructed of wood and coral. The Lord Mayor took tea on the uppermost floor enjoying views of the Old Town and listening to the call to prayer from over 36 mosques.

Sheriff Fiona Wolf, an energy lawyer, is pictured sipping tea and enjoying hot bread and honey. A perfect start for an extremely successful visit to the Kingdom.

The Lord Mayor’s background in construction and urban regeneration chimed with Saudi Binladin Group’s Senior Vice President, Sheikh Saleh Binladin, when they met at their Jeddah headquarters. The Lord Mayor and his delegation enjoyed a presentation on the work of SBG which highlighted the Makkah clock tower which dwarfs Big Ben many times over. The Lord Mayor is pictured signing the vistors book after discussing the Spitalfields Market regeneration project that he managed for over 20 years during a networking lunch with SGB and invited guests.

Photo: Left, The Lord Mayor with Samir Nawar, Sheriff Fiona Wolf and Billy King-Harman. Upper right: taking tea on top of Bait Nassif.

Lower Right: Signing the visitors book at Saudi Binladin Group.

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LORD MAYOR OF THE CITY OF LONDON

East, while the UK is the second largest foreign investor in the Kingdom.

Alderman Michael Bear is Lord Mayor of the City of London

Having visited the Kingdom of Saudi Arabia in February, I am delighted to find that the longstanding partnership between our Two Kingdoms is stronger than ever.

Despite recent turbulence in global financial markets, SaudiUK ties continue to prosper when it comes to business, culture, education and many other areas.

Many Saudis spend part of the summer in London, coming and going without fuss. They are more than visitors – they are honorary Londoners.

Underpinning this relationship is the sense of a shared history.

Around 30,000 British Nationals live and work here, while thousands of valued friends from Saudi Arabia come to the UK to do business or as tourists and students.

I reiterated this in my meetings with key figures in Riyadh and Jeddah. The range of contacts made was excellent and included the Saudi Arabian Monetary Authority, SAGIA, Islamic Development Bank, National Commercial Bank and Saudi BinLadin Group.

Saudi Arabia remains by far Britain’s largest trade and investment partner in the Middle

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As Lord Mayor of London my principal role today is promoting and supporting all UK-based financial and professional services – key components of our trade relationship.

From the City of London’s perspective, we view this relationship as a partnership sharing skills and experiences to grow both financial sectors. This closer partnership will support the common goals of economic diversification and growth.

Infrastructure development is crucial to both our countries. The scope of projects such as Saudi Arabia’s new Economic Cities – each of which aims to offer a sustainable metropolis for up to five million residents to live, work and play – means that delivering power, water and transport services will require a major effort over the coming decade.

The City has considerable expertise in mobilising the twoway flow of capital needed for such large-scale development.

In particular, public-private partnership (PPP) can provide a financing model that enables Saudi Arabia to lock in long-term expertise through involving the private sector in public service delivery.

But the City’s offering also extends into less ‘conventional’ routes such as Shariah-compliant finance. We have a proven track record when it comes to devising, developing and marketing these products. Indeed, the UK is the leading European centre for

Shariah-compliant finance and home to over 55 bodies offering training and qualifications - more than anywhere else in the world.

Education, training and qualifications are crucial when it comes to nurturing the skills base of our people. Closer collaboration between Saudi Arabia and the UK in this area will help to boost the mutually beneficial exchange of talent, ideas and capital.

The provision of world class education has been central to the UK’s reputation for developing and attracting the talent needed by firms operating in the global financial services industry. This reality is not changed by the increasing shift of economic influence towards the East – far from it.

I am often asked whether this shift is a threat to London’s position as a leading international financial centre. The answer is no – as long as we remain open for business and work closely with key partners across the globe.

That is why I am here in the Kingdom.

London today is a financial centre which is truly internationally owned, managed and staffed: it leads the world in cross border lending, plays host to nearly 300 foreign owned banks, and is a second home to people from all corners of the world.

We are also a key centre for capital raising and London’s deep and internationally-focused equity markets offer scope for companies based in Saudi Arabia to list, to increase their international profile and to widen their shareholder base.

This is mirrored by the large number of British financial and professional services firms operating in Saudi Arabia, contributing to the process of diversification and infrastructure development, advising on legal frameworks and, importantly, both employing Saudi nationals and giving them scope to develop their careers across their international networks.

It is clear that the enduring Saudi-UK partnership continues to benefit both sides, and I hope my visit will serve as a learning tool for practitioners to share experiences and strengthen financial ties.

Of course, we have both encountered difficulties in the wake of the global financial crisis. But financial centres are not in a zero sum game and we can all be stronger if we work together through open markets to overcome our respective challenges.

The Saudi government continues to encourage economic reform and in the UK we hope this commitment will be ongoing.

Indeed, let me congratulate Saudi Arabia on reaching 11th in the World Bank’s latest “ease of doing business” survey.

This is a positive sign but more needs to be done. Lowering further the legal and regulatory barriers to trade between the UK and Saudi Arabia will only serve to increase the flow of financial services activity between the two countries. This in turn will help to strengthen our economies and create jobs for your young population – thereby increasing prosperity for us both.

LORD MAYOR AT THE ISLAMIC DEVELOPMENT BANK The Lord Mayor of London met the President of the Islamic Development Bank in Jeddah in what has become a yearly event. The Lord Mayor asked how the IDB’s deliberations on issuing a Sterling Sukuk (bond) were progressing and offered to host a discussion in London in September to help iron out any barriers to implementation.

Richard Thomas of Gatehouse Bank, a leading Islamic bank in the City of London, signalled his support of the initiative. He also suggested broadening the initiative to include a charitable element in support of the work that he, and others at Gatehouse do, in mentoring young Muslims in London.

present him one during the Sukuk talks in London.

The President warmly welcomed the news of the charitable work clearly already going on and highlighted the IDB’s own scholarship programmes and their links with the Prince’s Trust Mosaic Charity Programme.

All agreed that there were clearly many different strands of valuable working already taking place in support of young Muslims in education and that Mansion House and the IDB would co-ordinate more closely for a more cohesive approach and so that full value of all these efforts are realised.

The Lord Mayor welcomed this and explained the role he plays in enabling young Muslims from his predominantly Bangladeshi community in a small borough of London to enter higher education through his Bear Essentials charity.

The charity is a pun on the Lord Mayor’s surname, he was proudly sporting a tie with the charity’s logo and promised the President that he would Kingdom to Kingdom

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NEW JOINT VENTURE FOR ALUJAIN CORPORATION

Jasper Capital is delighted to announce the signature of a joint venture agreement between Low and Bonar plc, the international performance materials group, and National Petroleum Industrial Company (NATPET), a subsidiary of Alujain Corporation, to design, manufacture and sell geotextile products for the fast growing civil engineering markets in the Middle East and the Indian Subcontinent. The joint venture company will build a new manufacturing plant a site near to NATPET’s polypropylene production facility in Yanbu, in western Saudi Arabia and will benefit from a long term supply agreement with NATPET. Jasper Capital acted as adviser to Low and Bonar plc in both the introduction to NATPET and subsequent successful negotiations.

L&B will have a 50% equity interest in and shared operational control of the venture with NATPET. Each partner’s committed contribution to the venture will be SAR32 million (approximately £5.4 million), payable in cash during 2011, with L&B’s contribution being funded from its existing resources. The venture is expected to be earnings enhancing for L&B in 2013, in its first full year of operation.

Alujain is a public company in Saudi Arabia with a substantial stake held by Xenel Industries, a diversified industrial holding company based

Above: Left, Steve Good; Right, Marwan Nusair in Jeddah. Alujain leverages Saudi Arabia’s significant hydrocarbon resources in developing world-scale energy intensive industries.

The joint venture arrangements are subject to obtaining standard licences required to conduct business in Saudi Arabia, which are expected to be obtained by mid 2011.

Steve Good, Group Chief Executive of L&B, commented: “We are delighted to be partnering with such a well respected Saudi Arabian company.

The joint venture is well positioned to take full advantage of the high growth geotextile markets in the Middle East and the Indian subcontinent given its unparalleled technological, marketing and raw material strength. The venture increases the Group’s presence in fast growing emerging markets and is a further step in our development as a global performance materials group.”

Marwan Nusair, President, Alujain, commented: “The geotextiles joint venture is our first downstream venture under NATPET with a view to developing value-added products, creating employment opportunities for Saudis and bringing new technology to the Kingdom. We are proud to have joined hands with a leading player in the geotextiles business.”

Jasper Capital has advised on the creation of a series of successful joint ventures in the Middle East region and is currently advising on the creation of several joint ventures across the GCC.

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BELFAST BASED CEM SYSTEMS SECURES KING KHALID UNIVERSITY HOSPITAL CEM Systems, part of Tyco Security Products, has announced that the CEM AC2000 SE (Standard Edition) security management system has been chosen to secure access to King Khalid University Hospital, Saudi Arabia.

The contract was awarded to CEM Approved Reseller, Best InfoTech Solutions.

The dedicated university hospital, opened in 1982, provides 800 patient beds, over 20 operating rooms and fully equipped/ staffed laboratories.

The university hospital contains a special outpatient building and provides primary/ secondary care services for Saudi patients.

The university prides itself on preparing excellent doctors for the future and believe education of medical students, interns and residents go handin-hand with patient care.

“The CEM AC2000 SE system was our first choice on this project”, said Marwan A. Khater, Director of Sales & Marketing, Best InfoTech Solutions. “With it being installed in numerous facilities around the world, we knew it was a reliable and flexible system that would suit our customers need. CEM was very supportive throughout the project; no request was too much, allowing the project to run smoothly”.

“The CEM AC2000 SE system offers King Khalid University Hospital a powerful and fully integrated security management system that is an ideal solution where security is of paramount importance.” said Andrew Fulton, Business 34

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Development Director for CEM products. “AC2000 SE software offers an unparalleled collection of security applications that enhance security and customer operations including AC2000 AED (Alarm Event Display) and AC2000 VIPPS (Visual Imaging and Pass Production System)”.

King Khalid University Hospital has integrated the AC2000 SE system with a fire alarm system to control all hospital emergency exits.

The integration will increase efficiency as it will release the doors automatically for evacuation.

AC2000 VIPPS will allow security personnel at the hospital to produce permanent and temporary ID Badges for medical staff, intern students, residents and other individuals who may access the building regularly.

The hospital can then personalise these badges by including their own logo, background image and badge text fields.

AC2000 Alarm Event Display (AED) module enables security to view a graphical and textual representation of the status of the entire AC2000 system.

AED responds to all alarm situations in real time therefore if a door is forced at an access point such as the pharmacy, an alarm will trigger on the AED screen, allowing security to respond quickly to the event.

AC2000 ‘Access Levels’ application will also allow security personnel to link cardholders to access groups e.g. resident doctors may be in a higher access group to

first year medical students.

Resident doctors may have access to certain areas, such as the pharmacy, that first year medical students or research students working in a laboratory will not.

The King Khalid University Hospital installation utilised CEM eDCM 300 (Intelligent two-door controllers). The DCM 300 controllers are designed to interface third-party read heads with the AC2000 system and feature an internal database, which stores cardholder records at the door.

This means that even if communication is temporarily lost between the DCM 300 controller and the AC2000 SE server, the controller will continue to validate cards ensuring a zero system downtime policy.

The hospital, secured with an industry-renowned AC2000 SE security system, will ensure patients and staff feel secure in their surroundings.

RIYADH COMMUNITY CONTINUES TO DEMONSTRATE THEIR GENEROSITY Another serious personal effort was made in February by Gary Richardson who organised a Golf Tournament for the Riyadh Group of British Businessmen (RGBB). Over 140 golfers took part in a Texas Fourball which received sponsorship not only from Gary’s own company, the Almutlaq Furniture Group but also from SABB, La-z-boy, BMI, UPS, AMEX, El Ajou, Crane, Sheraton, Royal Air Maroc, Pepsi Al Jomaih, Almarai, AXA, Modelcraft, Arabian Shield, Rhondas Beauty Salon, Smile Dental Clinic, Saudi Xerox, NAS and the Dirab Golf & Country Club.

The event resulted in a donation from the RGBB of SR250.000 all of which has already been put to good causes. The event winners are pictured below with some of the sponsor representatives.

The latest contribution to the International Children in Need Group (ICING) has come from Riyad Bank’s Sean McPoland. Sean is pictured above presenting SR35,000 to ICING’s Patron, Lady Anne Phillips.

Not content with simply buying a few raffle tickets, Sean decided to raise cash by with some serious personal effort. The Lake Taupo Challenge is New Zealand’s premier cycling event around a challenging 160km endurance course, and after 9 hours in the saddle, he had it in the bag.

Sean was sponsored by about fifty of his friends and a generous donation from the Irish Society.

ICING is not a charity in itself, merely a mechanism for coordinating the charitable efforts of the community. Although started as a British effort, it has received support from all elements in the international community and has managed to donate over SR3.5million since it was started.

Inside the Kingdom, ICING has supported organisations caring for children, who through no fault of their own, may have to deal with disadvantage. Outside of Saudi Arabia, ICING has provided medical assistance to children in Palestine and Afghanistan, Education support for children in Yemen and Iraq and hospice care for life-limited kids in the UK.

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SAUDI ARABIA’S MINISTER OF EDUCATION JOINS GLOBAL LUMINARIES TO DISCUSS EDUCATION FOR ECONOMIC SUCCESS AT LONDON FORUM

HH Prince Faisal bin Abdullah Al Saud, Minister of Education, led a delegation of 22 Saudis on a visit, facilitated by the British Council to the World Education Forum and the BETT Show recently in London.

The World Education Forum brought together over 60 Ministers of Education, Skills and Universities from across the globe in London, representing 620 million learners. It is the biggest education forum of its kind in the world. HH Prince Faisal gave a presentation on the ambitious Saudi education reform programme, the sheer scope of which surprised many.

During the extremely successful visit, HH Prince Faisal held talks with Martin Davidson CMG, Chief Executive British Council, Nick Gibbs, Schools Minister, and Lord Hill, Parliamentary Undersecretary of State for Education. HH Prince Faisal outlined Saudi Arabia’s vision of creating a knowledge economy and how the reform programme was crucial to that vision. Prince Faisal also had lunch with HRH Prince Andrew at Buckingham Palace during which they discussed 36

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the future challenges facing education in both kingdoms and how these are being dealt with.

The Saudi delegation experienced two very different faces of secondary education in the UK. First they visited Wellington School in affluent Buckinghamshire, an independent boarding school which aims to achieve academic excellence through adherence to traditional values and subjects. The Evelyn Grace Academy, on the other hand, situated in Brixton, South London, is one of the new inner-city academies. It has won plaudits for its futuristic architecture. It too, is committed to a traditional ethos of discipline and behaviour and is transforming the lives of the young people in its care.

The BETT Show, also in London, focussed on the role of technology in transforming education to meet the demands of learners and employers and offered an opportunity to explore educational ICT products and services. Amal Alkhodairy, Educational Supervisor at the Ministry, said, “The BETT Show certainly lived up to its reputation and surpassed all my expectations.”

EXCHANGING EXPERIENCES IN EDUCATION: SAUDI STATE SCHOOLS JOIN GLOBAL PROJECT The Ministry of Education has officially agreed to 10 Riyadh state schools joining a British Council global schools project – the first time that state schools will participate. They will be joining a programme that has already linked 38 schools in Saudi Arabia with UK partner schools, and globally has benefited more than 1 million pupils and teachers in 70 countries through more than 5,000 school links.

During recent visits to UK, 12 teachers from Saudi private schools in Riyadh and Jeddah visited their partner schools in Northamptonshire and Essex.

The visits enabled Saudi teachers to learn firsthand about British schools, curricula, systems, methodology and to observe some classes. They also shared experiences and learnt about future plans for the programme. Both sides exchanged cultural boxes representing the culture and tradition of each country.

Cultural highlights included a welcome by the

Mayor of Brackly and the Mayor of Northampton in The Guildhall, Northampton, attended by a member of parliament.

Teachers had the chance to deliver a presentation on the Saudi Education system in front of them.

The exchange benefits UK pupils by raising their awareness of other countries culture and education system. One of the British students said: "I learned that their way of life is not as strict as we believe it is. I learned so much about their culture and their norms and values, and what a normal day is for them - we were surprised to learn that Saudi Arabia is not all sand! It’s quite modern in places."

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British Embassy - Riyadh

Tel: 01 488 0077 Fax: 01 488 2373

Sir Tom Phillips KCMG Her Majesty’s Ambassador

Roddy Drummond Deputy Head of Mission

Brig. Alasdair Wild MBE Defence Attaché

Nick Heath Press & Political Officer

Chris Innes-Hopkins Director of Trade and Investment, Saudi Arabia

Peter Broom First Secretary, Head of Trade & Investment Section

Syed K Zaman Trade & Investment Officer

Mohammed Farooq Trade & Investment Officer

Saad Al Adhami Trade & Investment Officer

Promila Caughey Central Coordination Team

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Selina Welham Central Coordination Team

British Consulate-General - Jeddah Tel: 02 622 5550 Fax: 02 622 6249

Kate Rudd HM Consul General

Greg Gibson Deputy Consul-General & Head of Trade & Investment Section

Omar Saeed Trade & Investment Officer

Abdul Muqtadar Trade & Investment Officer

Yamish Yakoob Trade & Investment Assistant

Vaqar Ahmed Alvi Trade & Investment Assistant

British Trade Office - Al Khobar Tel: 03 882 5300

Fahad Anees Trade & Investment Assistant

Fax: 03 882 5384

David Harries Head of Trade Office

Bill Kelly Deputy Head of Trade Office

Sharif Mousa Snr. Trade & Investment Officer

Farooque Mohammed Management Officer

General Enquiries in respect of this publication may be made to the compiler: Andrew Mead at MMS Ltd.,Chippenham, Wiltshire SN15 3YB e-mail: andrew@sbtd.co.uk Tel: 0044 7940 559 925 Fax: 0044 1249 460 602 KSA Mob: 00966 506 271 151

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In Saudi Arabia, contact Suresh at Jumana House, Tel: 01 292 0451 Fax: 01 472 6962 Kingdom to Kingdom

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UKTI Events Calendar MAY 2011 IFSEC 2011 EXPO ....................................................................... Birmingham World Transport Showcase............................................................ London & Leeds Association of British Healthcare Industry Exhibition ........................ Riyadh Sustainability Live (Environment, Water & Renewable Energy)........... Birmingham JUNE 2011 East Midlands Trade Mission.......................................................... Kingdomwide SEPT 2011 Royal Warrant Holders Association ................................................. Kingdomwide OCT 2011 DSO Trade Mission ...................................................................... Kingdomwide DEC 2011 Saudi Water & Power Forum ......................................................... Jeddah

Please Note: All dates are provisional.

Please verify with Embassy staff before making any commitments.

British Business Groups in Saudi Arabia RIYADH GROUP FOR BRITISH BUSINESS Chair: Nicola Quick Secretary: Jane Brierley Tel: (01) 252 0088 ext 12314 Tel: (01) 488 0088, ext 2263 Fax: (01) 488 2373 chairman@rgbb.org E-mail: secretary@rgbb.org Website: www.rgbb.org BRITISH BUSINESS GROUP, JEDDAH Chairman: Edward Ogilvie Tel: (02) 651 1174 ext 202 Fax: (02) 653 1018 edward@imc.com.sa

Secretary: Anita Wright Tel: (02) 662 4000 ext 2366 Fax: (02) 622 0090 E-mail: bbg.office@bbg-jed.org Website: www.bbg-jed.org

BRITISH BUSINESS ASSOCIATION, EASTERN PROVINCE Chairman: Geoff Fennah Tel: (03) 357 4912 Fax: (03) 358 9801 geoff.fennah@saudichevron.com

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Secretary: Pamela Baxter Tel: (03) 882 5288, ext 1651 Fax: (03) 882 5384 E-mail: bbakhobar@atheer.net.sa Website: www.bbaep.com

The 2011 edition SAUDI / BRITISH TRADE DIRECTORY is available from The British Embassy, British Consulate or Trade Office now