Jeddah has a wonderful new waterfront … in Dubai, the gleaming Museum of the Future … and the new Grand Egyptian Museum shimmers below the pyramids in Cairo … exploring new possibilities in the Middle East
November 4, 2023
Jeddah has a wonderful new waterfront, the perfect spot for an early evening walk, watching the sunset over the Red Sea, although perhaps not when the F1 Grand Prix is in town. It’s ultra-modern shopping malls and world-class restaurants are not far away. In other cities across the region, there is an energy and optimism to create the future.
In the boardroom of a leading business, we explore new opportunities for growth – the relative merits of fast growing Asian and African markets (compared to the stagnation of the west, to which companies used to aspire) – and new ways to innovate, leap-frogging old approaches to embrace the very latest technologies, new business models, and ecosystem partnerships.
Working with companies like Almarai, the leading dairy, and STC, the innovative telecoms and tech leader, it is obvious that ambition has no boundaries, and there is an expectation to innovate not just new products, but entire markets. NEOM, the world’s largest construction project, seeks to reimagine the entire concept of a city, and people’s lifestyles.
A short flight to Dubai, and the gleaming Ministry of Possibilities, a real government department where you are greeted by humanoid robots, symbolises the intent to create a new futures. The Museum of the Future looks forwards not backwards. Culturally, both KSA and UAE seek to fuse the best of Arabic heritage with high-tech progress.
Another short hop to Cairo, and the new Grand Egyptian Museum shimmers below the classical mirage of the ancient pyramids. Egypt is a huge market, and a symbol of the growth potential across North Africa and beyond. Cairo to Jeddah is now the world’s busiest international air route, and Riyadh to Dubai is second.
Having worked with many Middle Eastern countries, there is a huge sense of strategic renewal, and desire to grow worldclass talent to lead it. From NBK and Zain in Kuwait, to Al Ghurair and Chaloub in UAE, to Hungerstation and Savola in KSA, I have found a depth of talented leaders ready to shape the future of their region, but also to make an impact globally too.
Forbes’ Top CEOs in the Middle East
Many Middle East-based CEOs have more power and responsibilities than CEOs in other regions as they head companies that are monopolies or duopolies in the Arab world and market leaders globally.
This phenomenon is partly due to GCC countries investing their sovereign wealth into large domestic businesses. The region’s biggest banks, telecoms, industrial, oil and gas, mining, and even hospitality companies are owned by the government. This makes the role of the CEO even more challenging. As well as managing a profitable business, the CEO also needs to focus on the vision of the government. Many of these leaders also head government bodies, and some are also ministers or cabinet ministers.
In 2023, the region’s top CEOs have focused on sustainability, consolidation, and growth. Saudi Arabia, in particular, invested across sectors. Accelerated corporatization boosted economies, and the consolidation of government companies saw larger corporations emerge. A number of large IPOs in the region also unlocked value for companies. Global events also contributed to burgeoning corporate profits, including the FIFA World Cup Qatar 2022 and COP28 in Dubai.
Forbes’ third annual list of the top 100 CEOs in the Middle East features leaders representing 22 nationalities. Emiratis dominate with 23 entries, followed by Egyptians with 19 and Saudis with 18. This is a positive sign for localization, with most large companies now headed by local executives. The banking sector has the most entries, with 17, followed by real estate and construction with 14 and telecommunications with nine.
Among the CEOs on this year’s list are the head of the world’s largest oil company, the head of the world’s largest LNG producer, the head of the world’s busiest international airport, and the head of the world’s largest international airline. Combined, the 100 CEOs managed revenues of over $1 trillion in 2022. The companies are collectively worth more than $5 trillion.
Forbes’ Top 100 Listed Companies in Middle East
In 2023, the aggregate market value of the Middle East’s Top 100 Listed Companies has decreased marginally by 5%, from $4 trillion in 2022 to $3.8 trillion. However, the value of the aggregate sales for these 100 companies has jumped 38.5% to $1.1 trillion, with profits increasing by 37.7% to hit $277.7 billion. The value of their aggregate assets has also risen by 9.5% to $4.6 trillion as of 2022 end.
GCC countries dominate 91% of the list, with Saudi Arabia being the most represented with 33 entries, followed by the U.A.E. with 28, Qatar with 16, and Kuwait with nine.
The world’s largest oil and gas giant, Aramco, retains the top spot with $604.4 billion in sales and a market value of $2.1 trillion, followed by SABIC, Qatar’s QNB Group, and the Saudi National Bank. The U.A.E.’s International Holding Company jumped from the #12 rank in the 2022 list to the fifth spot this year, with $235.9 billion in market value and total assets of $62.1 billion.
Despite the fallout from the collapse of Silicon Valley Bank, the banking and financial services sector still dominates, with 42 entries holding a total of $3 trillion in assets and generating $45.4 billion in net income. However, the energy sector—led by Aramco—generated the bulk of the profits, hitting $162.4 billion in 2022.
Fast Company’s Most Innovative Companies in the Middle East
Innovation is bigger here than in Silicon Valley or South Korea. Every business seeks to innovate. And consumers to shareholders expect and demand it more than ever. There is a wealth of fascinating companies driving change in the region across various disciplines, from climate tech and advertising to healthcare and education. Here are just a few:
AIQ … for addressing the energy transition challenge through innovative tech
While we develop new energy sources to mitigate climate change and environmental degradation, improving the efficiency and sustainability of our current energy sources is imperative. AIQ is addressing the energy transition challenge through the innovative application of artificial intelligence and machine learning, big data analytics, computer vision, and other 4IR technologies, developing solutions and enabling it to deliver sustainable growth. Formed as a joint venture between global energy company ADNOC and Abu Dhabi’s technology leader G42, AIQ has assembled a team of over 100 data scientists and subject matter experts, leveraging the company’s industry data and knowledge to develop a portfolio of over 20 solutions. They have created an Advanced Reservoir 360 solution, an Al-driven reservoir visualization and performance application that optimizes the exploitation of oil and gas fields. Utilizing AIQ AI-Emissions Platform, a predictive analytics platform, enterprises are given detailed visibility into their carbon footprints and streamlining ESG reporting.
Chalhoub Group … for enhancing and transforming retail with emerging tech
Chalhoub Group accelerated in domains such as Web3, and Al in the past two years. For example, SOL3MATES, a web3-native sneaker brand, pushed the boundaries of innovation, creativity, and storytelling. Another achievement is the Christofle x Prince Roblox Collection, a collection of gaming wearables in partnership with Prince, a fashion brand by Boltable Studios. This NFT collection and a collection of wearables in Roblox meet the needs of the younger generation, and it introduced a crypto checkout option on Christofle.com. In 2022, the brand launched Reflaunt to enable customers to purchase luxury, second-hand pieces, sell their designer bags, shoes, and accessories through the Level Shoes website, and receive either cash or store credit. The group also implemented RPA for e-commerce product uploads, leading to a 50% reduction in the enrichment process time, streamlining operations, and enhancing efficiency, and ventured into the realm of Generative Al for e-commerce product imagery.
e& … for advancing smart and green digital solutions
Committed to driving digital innovation and rooted in a sustainability framework, e&’s approach encompasses securing a digital future for all, low-carbon operations, and a commitment to social betterment. Some of their achievements include providing sustainable edge data center solutions and implementing data technologies to empower companies to embrace sustainable agendas and reduce carbon emissions. On track to meet its 2030 net-zero target, it reduced energy consumption by 52% through energy-efficient radio equipment. It boosts green development initiatives with enhanced network capacity and efficiency for hyperscale cloud computing. It offers a wide range of solutions from its smart city portfolio, including solar energy, energy management, IoT solutions like intelligent buildings, and waste management.
Masdar City … for making sustainable living accessible
Masdar City, the sustainable community in Abu Dhabi, is addressing several global challenges facing sustainable development, such as pioneering a methodology that makes green buildings economically viable, even for developing countries, focusing on improving energy and water efficiency, driving technological innovation and growth through its free zone and clean-tech startup VC, and sharing lessons learned to help advance the real estate industry achieve net-zero. The Masdar City Square, over 29,000 square meters and features seven single and multi-tenant office buildings, will be the capital’s first net-zero office building. Masdar City is also home to The Catalyst, a venture arm focused on investing in climate-tech startups. These startups are developing innovative solutions to reduce waste and pollution, such as turning industrial waste into ceramic tile and organic waste into animal feed. Masdar Park, which uses recycled materials, is a key component of Masdar City’s “greenprint” for sustainable urban development, increasing open green spaces, public recreational facilities, and sustainable social infrastructure projects.
Pearl Semiconductor … for being a new chip on the block
With the growing importance of cloud computing and storage, and with 5G driving greater network density, the global market is seeing a surge in demand for high-frequency data connectivity that, in turn, requires ultra-low noise timing IC chips and programmability.
Egyptian company Pearl Semiconductor patented all-digital PLL technology for ultra-low-noise timing solutions. Its SpurFree architecture is critical in timing solutions for next-generation connectivity standards that will handle increasing data flow within and between data centers, including optical transmission networks and 5G backhaul. With the geopolitical situation between the US and China, the need for a non-US supplier of such devices is critical. The technology is the foundation for building a full-breadth line of products, including programmable reference clocks, multi-output clock generators, clock buffers, jitter attenuators, and network synchronizers
Pure Harvest Smart Farms … for delivering superior, sustainably-grown produce
Pure Harvest has leveraged technology to optimize indoor farming operations to ensure high-quality fresh produce year-round to meet consumer demands. By integrating cutting-edge automation, precise climate control, and data analytics, it enhanced crop yields, minimized resource usage, and reduced the environmental impact of food production. They are also pioneers of Advanced Controlled Environment Agriculture technologies in the GCC, enabling a high-tech, hybrid growing system that makes sustainable, economical, year-round production for locally grown produce possible. In July 2023, it expanded its product range by introducing over ten new products, including blackberries, raspberries, and sweet melons.
ZainTech … for bringing expertise across technology horizontals
Launched in 2021, ZainTech’s products and services portfolio spans six key areas: Cloud hosting and advanced cloud management, security and cyber products, digital product offerings with mass market appeal, pre-built and customizable digital solutions for smart cities, data policy governance, and drones and robotics. ZainTech utilizes Zain Group’s advanced communications infrastructure across its operations, including 5G, fiber, and microwave links, and has positioned to be the digital transformation partner for enterprises and governments in the MENA region, across operations in Kuwait, Saudi Arabia, Bahrain, Jordan, Iraq, and the UAE. The company has created a value proposition tailored to solve customer challenges by providing a global offering with a local presence.
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