Saudi real estate prices rise 4.3% in Q1 on residential sector gains: GASTAT 

RIYADH: Expatriate remittances from Saudi Arabia surged to SR12.78 billion ($3.41 billion) in February, marking a 37.04 percent increase compared to the same month last year, according to recent data. 

Figures from the Saudi Central Bank, also known as SAMA, also reveal transfers made by Saudi nationals rose 33.53 percent during the same period to reach SR6.24 billion. 

This surge reflects a combination of domestic labor market momentum and broader international factors. 

The sharp rise is largely attributed to the Kingdom’s accelerating economic activity, particularly the rollout of Vision 2030 megaprojects, which has driven strong demand for foreign labor. As hiring increased, wage growth in key sectors also improved, giving expatriate workers greater sending power. 

According to Tuscan Consulting’s 2025 Salary Guide for the UAE and Saudi Arabia, salary trends in both countries are influenced by economic growth, talent demand, and nationalization policies. 

In the Kingdom, the surge in Vision 2030 megaprojects has intensified the demand for skilled professionals, leading to competitive compensation packages, particularly in sectors like technology, finance, and healthcare. While salary increases have moderated compared to the post-pandemic period, employers continue to offer attractive incentives to retain top talent. 

The guide also noted that Saudi salaries for specific roles are approximately 10–15 percent higher than those in the UAE, reflecting Saudi Arabia’s aggressive talent acquisition strategies. Additionally, implementing Saudization policies is reshaping workforce dynamics, prompting companies to balance attracting expatriates and integrating local talent. 

Supportive macroeconomic conditions further strengthened remittance flows. The Kingdom’s stable currency, zero tax on personal income and remittances, and enhanced financial transfer channels made it easier and more cost-effective for workers to send money abroad. 

However, remittance dynamics are also shaped by ongoing labor market policies in the Kingdom. Initiatives such as Saudization, which aims to increase the participation of Saudi nationals in the private sector, and expat levies, which impose fees on foreign workers and their dependents, have influenced hiring practices and workforce composition. 

While these measures are intended to create more opportunities for citizens and reduce reliance on foreign labor, they may also gradually moderate remittance outflows over time by curbing the growth of the expatriate workforce. 

Nonetheless, in the near term, the pace and scale of Vision 2030 megaprojects continue to drive high demand for foreign labor, particularly in construction, infrastructure, and services — supporting strong remittance flows despite structural shifts in employment policy. 

At the same time, the economic conditions in expatriates’ home countries have also played a role. In 2023, several top remittance-receiving nations, including Egypt, faced significant economic challenges. 

For instance, a currency crisis in Egypt caused the official exchange rate to diverge sharply from the parallel market, leading many expatriates to delay transfers or resort to informal channels. As a result, remittances to Egypt dropped 31 percent in 2023, according to a 2024 report by the World Bank Group. 

Looking ahead, oil prices, local employment policies, and global economic conditions — especially in expatriates’ home countries — will shape the future of remittance flows from Saudi Arabia. While US tariffs don’t directly affect the Kingdom, their ripple effects could. Slower global growth from trade tensions may weaken oil demand, affecting Saudi revenues and potentially delaying projects that employ many foreign workers. A stronger US dollar could also raise living costs in the Kingdom, reducing the money expatriates can send home. If Saudization accelerates, fewer foreign workers may further lower remittance outflows. 

ISLAMABAD: Pakistan has joined the ranks of the world’s leading solar markets, importing 17 gigawatts (GW) of solar panels last year alone, according to the Global Electricity Review 2025 by Ember, an energy think tank in the UK.

In 2024, for the first time, solar power supplied more than 2,000 TWh of electricity, increasing by 474 TWh (+29 percent) from the previous year. This was the largest increase in generation from any power source in 2024. It took 8 years for solar to go from 100 TWh to 1,000 TWh of power — and then just 3 years to pass 2,000 TWh, meaning that solar has now been the largest source of new electricity globally for three years in a row.

Solar is now so cheap that large markets can emerge in the space of a single year – as evidenced in Pakistan in 2024. Amid high electricity prices linked to expensive contracts with privately-owned thermal power stations, rooftop solar installations in Pakistan’s homes and businesses soared as a means of accessing lower cost power. 

“The country imported 17 GW of solar panels in 2024 to meet this growing consumer demand, double the amount imported the year before,” the Global Electricity Review 2025 said.

“Within just a year, Pakistan became one of the world’s largest markets for new solar installations in 2024.”

Pakistan’s case shows that the low-cost, fast-to-build nature of solar power can transform electricity systems at an unprecedented rate. Updated system planning and regulatory frameworks are needed alongside this deployment to ensure a sustainable and managed transition.

In the Middle East, Saudi Arabia imported 16 GW in 2024, more than double the amount imported the year before. Oman saw the largest percentage growth in imports in the region, with 2.5 GW of imports in 2024 representing a fivefold increase from the year before. 

South Africa imported 3.8 GW of solar panels in 2024, following a record-breaking 2023 when 4.3 GW were imported as consumers turned to the technology amid rising blackouts. Nigeria and Morocco imported 1.3 GW and 1.1 GW respectively, marking the first time that either country has imported more than 1 GW in a single year.

The expansion of solar power is a worldwide phenomenon, with 99 countries doubling the amount of electricity they produce from solar power in the last five years. The majority of solar generation now comes from non-OECD countries (58 percent), with China alone making up 39 percent of the global total.

Increases in generation have been achieved thanks to the pace of capacity additions, the Global Electricity Review said. The world installed a record 585 gigawatts of solar capacity last year – 30 percent more than in 2023, and more than double the amount installed in 2022. Having surpassed 1 TW of solar power in 2022, it took only two years to install the next 1 TW.

“This is not just unprecedented for solar power – it is a rate of growth that no power source has seen before. In fact, the solar capacity installed in 2024 is more than the annual capacity installations of all fuels combined in any year before 2023,” the Global Electricity Review 2025 report added. 

As solar’s share of the global electricity mix has risen to 6.9 percent of global generation in 2024, some countries are showing it is possible to incorporate much larger amounts. There are now 21 countries that generate more than 15 percent of their electricity from solar power, up from just three countries five years ago.