Knowledge Economic City Sells Land for Development

Knowledge Economic City Sells Land for Development

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Knowledge Economic City sells prime Madinah land for mixed-use project

RIYADH

 

Saudi Arabia’s Knowledge Economic City has announced the sale of 17,624.85 sq m plots of land within its premises in Madinah to two key entities – Al Bawaba International Investment and Olu Real Estate Company – for SAR229 million ($60 million).

The duo will be using these plots (C06-6 and C06-3) located within the Knowledge Economic City masterplan in Madinah for the development of a mixed-use project, said KEC in its filing to Saudi bourse Tadawul.

As per the deal, it will be set up through a private real estate investment fund to be jointly owned by Al Bawaba and Olu Real Estate.

This transaction is part of Knowledge Economic City’s strategy to maximise the value of its 6.8 million sq m land portfolio through direct development, partnerships with specialised investors and developers, or investment fund structures, thereby accelerating project development and enhancing capital efficiency.

The transaction represents one of the development models adopted by the company to unlock the value of its assets through collaboration with specialized investment firms and financial institutions, supporting the attraction of high-quality investments and promoting urban development within Knowledge Economic City, said the statement.

The book value of the land plots in the company’s records is SAR22 million, it stated.

According to KEC, the deal is aimed at enhancing its liquidity, boosting its financial position, enabling the reinvestment of capital into its current and future strategic projects, and accelerating the development of one of the strategic land plots within Knowledge Economic City.

The transaction is expected to generate a gross profit of SAR153.3 million before deducting any transaction-related expenses, fees, or obligations.

On the financial impact, KEC said it will be recognised in the company’s financial statements in accordance with the International Financial Reporting Standards (IFRS) upon satisfaction of the applicable accounting recognition criteria and completion of the title transfer procedures.

The proceeds of the asset sale will be used to enhance the company’s liquidity and strengthen its financial position as well as for redeployment of capital into its current strategic projects to support sustainable growth and maximise shareholder value. TradeArabia News Service

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Trump May Resort to Even More Reckless Escalation Events

Trump May Resort to Even More Reckless Escalation Events

A vibrant crowd holding a religious flag at sunset, amidst a mystical festival atmosphere. by Muqtada Mohsen via Pexels

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Backed into a corner by Iran over the Strait of Hormuz, Trump may resort to even more reckless escalation

Greg Barton, Deakin University

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In a moment of brazen hubris in the Oval Office last year, US President Donald Trump railed at Ukrainian President Volodymyr Zelensky. He accused Zelensky of not being thankful for US support in Ukraine’s existential struggle against invading Russian forces, and famously told him: “You don’t have the cards”.

Now, more than a year later, it is Trump who doesn’t have a winning hand in his standoff with Iran.

Iran may be no match for the United States militarily, but it’s been very successful in exerting what leverage it does have over the Strait of Hormuz. Trump can declare the strait open to commercial shipping as much as he wants, but he cannot make it so.

The US has resumed bombing Iran this week to try to wrest control of the strait from Iran, but Trump could go even further if he finds himself backed into a corner.

How Iran is wielding its leverage

Iran’s leverage over the strait comes down to playing a spoiling role – one of the key tactics in asymmetric warfare.

The longer it can keep the strait closed, the more pressure it places on the US and its partners in the Persian Gulf to end the war. Some 20% of the world’s oil and gas and large supplies of sulphur, ammonia, urea and helium transit through the narrow passageway every day.

And as evidenced by its actions over the last week, the Islamic Revolutionary Guard Corps (IRGC) can threaten commercial traffic with drones or missile strikes anytime it likes. Despite heavy US bombardments since the war began, most of Iran’s missile sites along the strait are operational again.

Given this, shipping insurers, such as Lloyd’s of London, will either refuse to insure transits through the strait or charge hefty, nonviable premiums as long as the war continues.

Not only can the IRGC threaten shipping, it can also strike sites in every single Gulf state, as it has been doing at scale this week. Many US military bases across the region have been severely damaged. And the myth that having America as a house guest guaranteed security for Gulf states has been completely blown apart.

Why escalation is possible

The reality is there is no military pathway to reopening the Strait of Hormuz.

At the same time, neither the Iranian regime nor the Trump administration want to return to a significant escalation of hostilities. Both have much to lose – the military operations alone may have already cost the US more than US$100 billion – and nothing to gain from a prolonged war.

But the hardliners in Tehran, emboldened by an emotional week of national mourning for the martyred Supreme Leader Ali Khamenei, have a much larger appetite for conflict than more pragmatic leaders in other countries. Analysts believe they could withstand a US naval blockade and bombardments for many more months.

As unpopular as it might be with the majority of the Iranian people, the regime appears to be in a stronger position now than it was when the war began.

Trump, meanwhile, wants desperately to be seen as a winner. And now that many of the conventional checks and balances that constrain a president’s power have been weakened, there is a real risk of reckless escalation.

For instance, Trump has long threatened to strike Iranian civilian infrastructure, such as electric and desalination plants, which could trigger a similar response by the Iranian regime on Gulf state energy infrastructure.

This happened earlier in the war, when Iran targeted energy sites in several Gulf states. If these sites are targeted again, it could have lasting impacts on the global economy.

Should the escalation go further and involve direct strikes on the 400 desalination plants the Gulf states depend on for their drinking water, the consequences would be devastating.

The Iranian regime could also pressure the Houthis in Yemen to escalate from merely blocking Israeli ships from transiting the Bab el-Mandeb Strait at the southern end of the Red Sea to returning to attacking vessels in the chokepoint. About 10% of global trade passes through that strait.

So far, the Houthis have held off on further attacks, in part because after years of war, they have achieved a detente with their neighbour, Saudi Arabia.

However, this ceasefire now appears shaky, after an airport attack this week that the Houthis blamed on Saudi Arabia.

A ground campaign would be disastrous

The larger reality is that military campaigns from the air have never achieved regime change. Another reality: America, for all its formidable military might, has failed to win a major war in the past 80 years.

Any serious military escalation against Iran would require US “boots on the ground”, similar to Iraq two decades ago. But an international coalition force of hundreds of thousands of military personnel proved to be insufficient in bringing stability to that country after the 2003 invasion. And Iran is almost four times the size of Iraq. It is inconceivable the vastly larger force that would be required to take control of just the mountainous southern coast of Iran could ever be assembled.

With the advent of modern drones, we have also entered a new era of warfare – one Iran is better positioned to exploit than the US. Iran possesses a remarkable depth of industrial military capacity, which has produced a more even match than might have been expected against the world’s most powerful military.

The implications for a US ground campaign are clear: any forces attempting an occupation of even a limited part of the Iranian coast, or Kharg Island, would face formidable opposition.

The risk of a much more serious escalation, though, remains. This includes the very small, but not negligible, risk of tactical nuclear weapons being deployed by the US, opening a Pandora’s box of global consequences.

What is Trump’s best option, then? Allowing Iran to retain a new level of control over the Strait of Hormuz establishes a terrible precedent, but it might be the least worst of all possible outcomes.The Conversation

Greg Barton, Chair in Global Islamic Politics, Alfred Deakin Institute for Citizenship and Globalisation, Deakin University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

An Environmental Catastrophe Has Also Wrecked Iran’s Economy

An Environmental Catastrophe Has Also Wrecked Iran’s Economy

View of Tehran cityscape featuring the Milad Tower surrounded by hills under hazy skies. by Masih Shahbazi via Pexels

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Iran’s environmental catastrophe has also wrecked its economy

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Nima Shokri, United Nations University; Technical University of Hamburg

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For several decades, Iran has devoted substantial financial, institutional and political resources to military expansion. It has invested heavily in supporting its regional partners, as well as in pursuing geopolitical influence across the Middle East.

Previously, the Islamic Republic has shown few signs of swivelling its resources toward fixing its ever expanding environmental problems.

And those problems are considerable. Around 11% of deaths and 52% of the burden of diseases across the country are attributable to environmental risk factors, according to the World Health Organization.

Excessive groundwater extraction has caused buildings and roads to crack and sometimes collapse. Iran’s capital Tehran is often ranked as having the worst levels of air pollution in the world. In 2025 local media reported 350 deaths caused by poor air quality within a ten-day period. Hospitals at the time reported rising numbers of cases of respiratory and cardiac complications across Iran.

Lake Urmia – once the Middle East’s largest saltwater lake – has dried out, leaving salt-laden dust plumes were capable of travelling hundreds of kilometres and even crossing national borders in less than 12 hours.

The peace agreement that is being hammered out between the US and Iran’s leaders could hand Tehran a significant financial asset. It may unfreeze Iranian assets in foreign banks that they were previously unable to access due to US sanctions. This will give the government access to billions of dollars. Iran is also now exporting millions of barrels of crude oil that had been held in storage during the conflict.

The question then is where will all this money be spent.

Many analysts suggest a massive reconstruction project is needed to rebuild damaged factories, roads, and other essential infrastructure. While it thought highly unlikely that Tehran will see environmental investment as its top priority, the approach could provide major economic benefits.

Iran is now using its groundwater far faster than it can be naturally replenished. As a result, major lakes and wetlands are drying up. Water shortages are undermining agriculture, and forcing some rural communities to leave their farms. Studies indicate that approximately 56,000 km2 (3.5%) of the country’s area is subject to land subsidence, caused by excessive groundwater extraction.

Air pollution imposes significant public health and productivity costs. This contributes to thousands of premature deaths each year, and reduces labour productivity through illness and absenteeism. Dust and salinity storms continue to hit many parts of the country. They damage crops and soils, increase respiratory disease, disrupt daily life, and make already vulnerable regions harder to inhabit.

Rich rewards

When a state destroys its basic natural resources, it is not merely experiencing an ecological downturn. Natural systems (water, soil, ecosystems) are the foundations of any country. Without them, a nation has severely undermined its long-term economic output: farms disappear, road and rail systems crack and break, and people struggle to live.

A peace dividend from the US deal could therefore present Tehran with a rare moment of strategic re-evaluation and a chance to fix its long-term environmental problems. A different approach could generate long-term value, economic stability and, potentially, improved public health outcomes.

A serious national investment, and reconstruction, programme needs to focus on repairing leaking urban water networks, restoring wetlands and forests that regulate water and reduce dust storms. It could also upgrade ageing water and energy infrastructure, and redesigning cities to better withstand drought, extreme heat, and air pollution. It would also create jobs and mobilise high-skilled labour across engineering, science, manufacturing and technology sectors. This would begin reversing decades of damage to the natural systems on which Iran’s economy depends.

Iran is struggling with extreme levels of air pollution.

What needs work?

Restoring depleted aquifers, rehabilitating degraded land and modernising water and energy systems would increase the economy’s capacity to produce goods and services while reducing the long-term costs associated with environmental degradation.

Iran should see environmental restoration as its most important long-term growth strategy. A national investment programme could be centred on modern irrigation networks, wastewater recycling and reuse. These alongside renewable energy, and ecosystem recovery, would be a massive economic engine.

More efficient water use would strengthen food security. Investments in infrastructure would continue generating economic returns long after the initial capital has been spent.

Legal caps on groundwater abstraction, and economic diversification away from water-intensive crops are essential. Improved irrigation and wastewater reuse plus adjusting water pricing to reflect scarcity would also help.

This approach could not only be a valuable peace dividend for the Iranian people, but also a massive economic boost. Those financial benefits may have some appeal to a government which has ignored many of these environmental problems for so long.The Conversation

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Nima Shokri, Executive Co-Director, Institute for Water, Environment and Health (UNU-INWEH), United Nations University; Technical University of Hamburg

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This article is republished from The Conversation under a Creative Commons license. Read the original article.

Cities Can’t Afford to Keep Treating Trees Correctly

Cities Can’t Afford to Keep Treating Trees Correctly

A quiet urban street corner with sunlit trees and scattered autumn leaves. by Pexels User via pexels

Cities can't afford to keep treating trees like decoration
07-03-2026

Cities can’t afford to keep treating trees like decoration

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Stand under a big old tree on a sweltering afternoon and you’ll understand something city planners are only now starting to take seriously: that shade isn’t decoration. It’s doing a job.

Trees are cooling the block, catching stormwater before it floods the street, and scrubbing pollution out of the air a person’s actually breathing.

A new study, written by more than 60 scientists spanning dozens of countries, makes the case that most cities still can’t quite bring themselves to treat trees like the infrastructure they clearly are.

The team behind it is led by Manuel Esperon-Rodriguez from Western Sydney University and Bangor University, with Mark G. Tjoelker from Western Sydney University as senior author.

Trees need time to grow

You can plant a sapling in twenty minutes. Growing an actual canopy, the kind that meaningfully cools a neighborhood though, takes decades.

So when a mature tree comes down, a city doesn’t just lose a tree. It loses thirty or forty years of accumulated shade, habitat, and carbon storage, and there’s no fast way to buy that back.

And yet trees keep losing these fights. Developers clear them because it’s cheaper and faster and penalties for illegal removal are often too weak to sting.

City budgets tend to fund the planting photo-op but not the years of watering, pruning, and pest management that actually keep a tree alive.

The researchers want stiffer enforcement, real tax incentives for landowners who keep mature trees standing, and minimum canopy requirements written into law rather than left to goodwill.

They even suggest big infrastructure projects, the kind that usually flatten everything in their path, could be redesigned to grow canopy instead of erasing it.

Not every neighborhood gets the shade

Wealthy neighborhoods, almost everywhere researchers have looked, tend to be noticeably leafier than poor ones.

Meanwhile, it’s the low-income neighborhoods that usually catch the worst of the heat and the dirtiest air.

The trees, in other words, tend to show up exactly where they’re needed least.

Closing that gap takes more than a citywide average that quietly hides the worst blocks.

Greening neighborhoods without displacing residents

The authors want targets set neighborhood by neighborhood.

They also want the people who actually live there, including Indigenous communities, involved in deciding what gets planted and where – rather than having greenery imposed on them from a planning office.

There’s a warning too: planting lots of trees without a plan can trigger green gentrification, raising rents and pushing out the very residents the trees were meant to benefit.

The only real fix, the researchers argue, is tying tree policy directly to housing policy instead of treating them as two separate departments that never talk.

Trees barely show up in climate policy

Given how much trees do, it’s almost strange how absent they are from the major climate and biodiversity agreements that actually move money and political will.

The authors want that fixed, with urban forests written explicitly into national climate plans, biodiversity strategies, and the commitments countries make under frameworks like the Paris Agreement.

Money remains the sticking point. Estimates put the global price tag for nature-based climate solutions, urban forests among them, at well over $500 billion a year.

Most current funding covers the ribbon-cutting moment of planting a tree and stops right there, leaving the decades of upkeep that actually determine whether that tree survives unfunded and, often, forgotten.

The study points to newer tools like green bonds, biodiversity credits, and tracking programs such as Tree Cities of the World as ways to start closing that gap, rather than continuing to fund trees like a one-time expense.

Many cities fail to keep record of trees

Maybe the most surprising finding here isn’t political, it’s logistical. Plenty of cities simply don’t keep good records on their own trees.

Nobody’s tracking which newly planted saplings actually survive their first few summers, which species are struggling, or how unevenly canopy is spread across town.

Without that information, cities are essentially guessing whether their tree policies work at all.

The scientists push for cheaper, sharper tools, satellite imagery, AI-assisted monitoring, to close that data gap, especially for less rich cities.

City trees should be diversified

The team also flags a quieter risk: planting the same few species block after block. It looks tidy, but it’s fragile.

One well-timed pest or disease can wipe out an entire city’s canopy in a single outbreak.

Instead, the researchers argue that cities should diversify their tree populations. Non-native species can be included where they are well suited to a hotter, drier future.

At the same time, cities should continue prioritizing native trees while respecting the ecological and cultural context of each place.

An urgent problem

A city’s trees aren’t a nice-to-have thing that gets funded once the “real” priorities are covered.

They’re already doing the work of public health policy, climate defense, and neighborhood fairness, whether or not anyone’s paying for it that way.

The authors don’t treat this as a distant problem. Cities keep growing and heatwaves keep getting worse.

Thus, the decisions being made right now – about which trees get to stay standing and which neighborhoods get to keep their shade – will quietly decide how livable those cities feel for decades after the people making those decisions are gone.

The study is published in the journal PLOS One.

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The West’s Climate Colonialism in the Greater Middle East

The West’s Climate Colonialism in the Greater Middle East

Desert, pyramids, Egypt, travel, sand, sky, Giza, dry, arid, barren, landscape, by Pexels via Pixabay

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The West’s Climate Colonialism in the Greater Middle East

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There is a disturbing structural parallel between the old global energy economy and the new green transition.

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CARNEGIE MIDDLE EAST CENTER  Published on Jun 30, 2026

We are used to looking at the Middle East and North Africa (MENA) region through the geopolitical lens of wars, borders, and oil pipelines. But today, a resource struggle is playing out under our noses, wrapped in a very clean, eco-friendly package. What is being presented by Western countries as a global green transition is, in many cases, reproducing old patterns of economic dependence under a new environmental banner. In fact, when you strip away the polite diplomacy and the dry academic terminology, the climate-related action required of the developing world looks less like a shared global rescue mission and more like climate colonialism by the developed world.

To see the unfairness at the heart of this system, all you have to do is look at who caused the mess versus who is paying for it. Over the past two centuries, Western nations built their wealth, powered their cities, and secured their high standards of living by burning fossil fuels without a second thought. They effectively used up the world’s carbon budget in order to get rich. Now that the planet is facing an ecological crisis, the same countries want to impose universal emission targets on everyone equally.

It is a glaring double standard. Having reached a plateau of sorts, the industrialized West is essentially kicking out the developmental ladder behind it and telling those countries still building their infrastructure that they aren’t allowed to clamber up. This tension has historically strained relations between several Western countries and China, which is arguably the world’s foremost developing power. China aside, the MENA region, which has contributed a tiny fraction of historical global emissions but now bears the brunt of the physical consequences—from heatwaves to dried-up water sources—has not escaped the attention of the West. The latter continues to demand immediate, drastic emission cuts by the MENA countries.

Western states are also turning to Egypt and Morocco as prime locations for large-scale renewable energy and green hydrogen projects. With their abundant sunshine, wind resources, and proximity to Europe, these and other MENA nations are a favorable location for such enterprises, which are celebrated as beautiful examples of international cooperation in pursuit of renewable energy. However, if you look at where the power actually goes, the reality is chastening. A huge chunk of the clean electricity generated by these mega-projects isn’t being used to stabilize local power grids, prevent regional blackouts, or lower utility bills for the communities living in the vicinity of solar panels. Instead, it is being sent directly across the Mediterranean via massive undersea cables to power European factories, light up European homes, and charge European electric cars.

Even the international “carbon offset” market—whereby companies strive to compensate for their emissions by paying for green projects elsewhere that are intended to absorb an equivalent amount of carbon dioxide—has turned into a territorial grab. Major Western polluters such as commercial airlines, oil conglomerates, and Silicon Valley technology giants don’t want to cut their emissions because that would hurt their profits. To offset their burning of fossil fuels, these firms buy up huge tracts of land in developing countries such as Kenya, Tanzania, Uganda, and Zimbabwe, plant trees there, and then claim that they’ve “neutralized” their pollution. Companies that have done this include Delta Air Lines, Shell, Microsoft, Meta, and TotalEnergies. Critics argue that carbon offsetting reduces the incentive to cut emissions at the source while shifting the burden onto developing countries.

Then there is the financial trap. When MENA (and other) countries ask for the capital they need to adapt to severe climate shocks, such as rising sea levels threatening the fertile soil of Egypt’s Nile Delta, their Western counterparts rarely respond with direct compensation or reparations for the global damage their centuries-long industrialization has caused. Instead, the West offers “climate finance,” which is usually just a fancy term for high-interest sovereign loans. Vulnerable nations are forced to take on massive debts just to survive a crisis they didn’t create.

This creates a predatory cycle in which poor countries must divert their limited national budgets to pay back foreign banks in Washington, London, or Brussels, instead of investing that money into their own healthcare, education, or public services. During the 2022 United Nations Climate Change Conference in Sharm al-Sheikh, Egypt repeatedly urged wealthy nations to provide larger grants as well as compensation for climate-related losses suffered by hard-hit countries. Though initiatives such as Egypt’s Nexus of Water, Food and Energy program—an action plan for combating the effects of climate change—have attracted billions of dollars, much of the support still comes through loans and blended finance rather than direct compensation. This adds to concerns that the West is saddling climate-threatened economies with significant debt.

It’s as though colonialism didn’t disappear when foreign empires pulled their troops out of the MENA region. The new variant, climate colonialism, has dispensed with flags in favor of corporate sustainability targets, carbon credits, and promises of a world gone green. Yet the structural parallel between the old global energy economy and the new green transition is impossible to ignore. Historically, the West exploited MENA’s oil in order to fuel its rise to power. Today, it is exploiting the region’s sun, wind, and land to clean up the toxic side effects of that ascent. The West secures for itself green energy, clean air, and the right to lecture the rest of the world on sustainability, while countries from the Middle East to North Africa are left with droughts, mounting debt, and a new layer of economic dependency.

Climate change is a real and terrifying emergency that requires urgent action. But the global framework ostensibly meant to combat it is rooted in power, not fairness. In fact, the rules are rigged against the people paying the highest price. Only when wealthy nations begin treating climate finance as a matter of historical responsibility—providing grants instead of loans, supporting local ownership of renewable projects, and ensuring that developing countries are the first to benefit from their own natural resources—can the green transition become a genuinely equitable phenomenon. Until then, with environmental policies designed exclusively in Western capitals and corporate boardrooms, renewable energy will remain wedded to an extractive industry.

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About the Author

Angie Omar

Angie Omar

Editor-in-chief, Sada

Angie Omar is an accomplished international journalist, editor, producer, and writer with a wealth of experience in the news and politics industries.

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Diwan

Diwan, a blog from the Carnegie Endowment for International Peace’s Middle East Program and the Malcolm H. Kerr Carnegie Middle East Center, draws on Carnegie scholars to provide insight into and analysis of the region.

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