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United Arab Emirates-based Lulu Group will soon open a hypermarket in Riyadh, which will be the group’s 150th branch in the Gulf region, followed by another in Tabuk, Gulf News reported, citing chairman Yousuf Ali M.A.
Lulu Group plans to continue expanding in the Kingdom as the country opens to foreign investment, Ali said.
“Saudi Arabia’s economy is strong and growing under the leadership of the Saudi King and the Crown Prince. They are bringing a lot of changes and reforms,” he said, speaking on the sidelines of the opening of a Lulu Hypermarket at The Mall, World Trade Centre, in Abu Dhabi.
“Today you may not see the effect of those changes but after six to eight months you would know how the country has improved,” he added.
Despite a slowdown in the Gulf economies due to low oil prices, Ali is bullish about growth prospects.
The group plans to continue to grow in the UAE and other reginal markets, with an AED 2 billion investment outlay in the short term, the report said.
“Low oil price is a temporary phenomenon. I have seen it in 1978 and also in 1989. People were discussing when petrol prices were $30 or $32 per barrel what will happen but nobody is discussing when petrol prices are at $80,” he said.
“Regardless of how oil prices are, I will continue to expand.”
The retail firm also plans to enter China, and will be opening a new hypermarket there, Ali said.
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