👋 Good morning, Smashi Business Readers!

Today’s roundup has a little bit of everything—big investments, international partnerships, and a butter-importing twist! First up, Saudi Arabia’s PIF and Hong Kong Monetary Authority are teaming up with a massive $1 billion fund focused on attracting business from Hong Kong to the Kingdom. In the UAE, AI marketing platform Insider is making waves with a AED 462 million investment to expand across the region. And just when you thought global trade couldn't surprise you anymore, Russia is now importing butter from the UAE and Turkey to help cool down soaring prices. Let’s dive in!

But before that: You can join our Whatsapp channel too to receive updates from the business world.

PIF and Hong Kong Monetary Authority Establish $1 Billion Fund, Announce Multiple Partnerships

📰 What is it about?

• The Public Investment Fund (PIF) of Saudi Arabia and the Hong Kong Monetary Authority signed a USD 1 billion investment fund agreement during the Future Investment Initiative (FII) in Riyadh.

• This strategic fund will focus on manufacturing, renewables, fintech, and healthcare, with the goal of attracting companies from Hong Kong and the Greater Bay Area to Saudi Arabia.

💡 Why it matters?

• The new fund aligns with Saudi Arabia's Vision 2030 by encouraging localization of international businesses and boosting foreign direct investment (FDI).

• It offers companies from Hong Kong a platform to expand internationally and access opportunities in Saudi Arabia's rapidly diversifying economy.

• This partnership comes as the PIF transitions towards a more domestically-focused investment strategy, reducing its overseas exposure from 30% to 18-20%. The move reflects the Kingdom's broader goal of stimulating its local economy while inviting global companies to co-invest and operate within Saudi Arabia.

🔜 What’s next?

• With the USD 1 billion fund, Saudi Arabia will likely see an uptick in joint ventures and partnerships between Saudi and Hong Kong companies across key sectors like renewables and fintech.

• This initiative will play a role in Saudi Arabia's ongoing economic diversification, increasing manufacturing capabilities and advancing its healthcare infrastructure.

• Companies from Hong Kong and the Greater Bay Area will find more access to the Saudi market, boosting FDI flows and potentially opening up more trade routes and economic collaborationsbetween Saudi Arabia and East Asia.

📈 Markets

🚀 Turn Your Idea into the Next Big Tech Startup with YSP!

The Youth Startup Program (YSP) by Founder Connects is here to help you make it happen! This hands-on, 12-week immersive virtual program is tailored for 14-24 year-olds ready to bring their dreams to life. From launching your tech startup to landing an internship, YSP offers interactive workshops, $1M in resources and perks, and real-world startup experience.

Don’t miss out on this incredible opportunity to level up your skills and be part of the next generation of tech founders. Apply now at www.ysp.ae and use coupon code SMASHYTH to avail discounts.

Insider Plans AED 462 Million Investment in the UAE Following USD 500 Million Series E Round

📰 What is it about?

• Insider, a global AI-powered marketing technology platform, announced plans to invest AED 462 million in the UAE as part of its expansion strategy across the Middle East.

• This comes on the heels of a successful USD 500 million Series E funding round led by General Atlantic.

💡 Why it matters?

• Insider is focusing heavily on the UAE and the broader Middle East market, with plans to create 70 new jobs in the region by 2027.

• The company will utilize its new funding to enhance its AI capabilities, expand research and development efforts, and pursue mergers and acquisitions (M&A).

• Insider's regional clients already include Emirates NBD and Air Arabia, reinforcing its presence and future potential in the Middle East.

🔜 What’s next?

• Insider's expansion will create new employment opportunities and contribute to the UAE's growing tech ecosystem.

• Beyond the Middle East, Insider aims to strengthen its AI technology and sales initiatives across 28 countries, positioning itself as a leading player in the global marketing tech space.

• With the capital raised, Insider may explore further acquisitions to bolster its market position and technological capabilities, particularly in AI and personalized marketing solutions.

💭Quote of the day
"Success is not how high you have climbed, but how you make a positive difference to the world." – Roy T. Bennett

Russia Begins Importing Butter from UAE and Turkey to Control Price Surge

📰 What is it about?

• Russia has started importing butter from the UAE and Turkey in a bid to stabilize rising prices that have concerned consumers.

• The Agricultural watchdog Rosselkhoznadzor confirmed that the first deliveries from the UAE began on October 18, marking the first time butter has been imported from the UAE.

• The move is in response to a 25.7% price increase for butter since December 2023.

💡 Why it matters?

• The sharp rise in butter prices, coupled with an overall inflation rate of 8.6%, has led to consumer unrest and even cases of butter thefts at supermarkets. By importing butter from new sources, Russia hopes to bring prices down and ensure supply meets demand.

• The decline in butter imports from Latin America, from 25,000 tons in 2014 to 2,800 tons in 2023, has been attributed to Western sanctions and logistics challenges. These factors have reduced available import channels, making diversification of suppliers a priority for Russia.

• Belarus, Russia’s largest butter supplier, has increased exports to 110,000 tons this year, but additional suppliers are needed to meet domestic demand.

🔜 What’s next?

• Russia will likely continue exploring new butter import sources, including expanding shipments from Turkey and the UAE, to control price inflation and meet the domestic market's needs.

• If these imports succeed in stabilizing butter prices, it could relieve pressure on Russian consumers, reduce inflationary effects, and curb supermarket thefts.

• As Western sanctions persist, Russia will need to build more alternative trade relationships, not just in the food sector but across various industries, to mitigate the broader economic impact.

🔍In other news…

1. Dubai will soon get its own trackless trams.

2. Dubai Press Club launches the ‘Content Creators Programme’ to empower emerging talent in digital media.

The Latest from the Smashi Business Studio

Were you forwarded this email? Subscribe here