Construction Supply logjams force Gulf builders to get creative Shipping cost spikes resulting from the Red Sea crisis are hitting the Gulf’s construction industry especially hard. Mounting tensions between Israel and the Houthis in Yemen are exacerbating the already severe decline in commercial shipping traffic there. Builders are struggling to adjust their supply chains and pricing mechanisms to deliver materials and products to their […] July 29, 2024
Renewable Energy Kuwait playing catch-up with ambitious green energy plans Kuwait, Opec’s fifth-largest oil producer but long a laggard in the energy transition, is taking steps to catch up with its neighbouring Gulf states and ease reliance on falling oil revenues. State-owned Kuwait Oil Company last week mandated KBR, the US oilfield services company, to develop a master plan to produce 17 gigawatts (GW) of […] July 28, 2024
Finance Morocco to beat 4% economy growth forecast for 2025 Morocco’s economy is expected to surpass the government’s medium-term growth forecast of 4 percent next year, finance minister Nadia Fettah Alaoui has said. GDP is projected to reach 4.6 percent in 2025 from 3.3 percent in 2024, driven by economic recovery worldwide, Morocco World News reported quoting the minister. The government had set a growth […] July 28, 2024
Logistics Bahri Q2 profit rises 48% on better shipping rates Saudi Arabia’s shipping giant Bahri reported a 48 percent year-on-year increase in net profit to SAR733 million ($195.4 million) in the second quarter of 2024, thanks to better shipping rates and optimised fleet management. The company’s top line rose 15 percent year on year to SAR2.7 billion, driven by chemical revenue growth and higher contributions […] July 28, 2024
Real Estate Canary Wharf’s evolution is a nod to QIA change of strategy The futuristic designs for the former HSBC Holdings headquarters in London’s Canary Wharf may provide a glimpse into the strategy in recent years of one of its major shareholders – the Qatar Investment Authority. Reportedly a casualty of the Covid pandemic and subsequent shift to remote working, 8 Canada Square is to be turned into […] July 26, 2024
Aviation Dubai and Jeddah dominate airport construction in Mena Just two giant projects, in Dubai and Jeddah, account for almost 80 percent of current spending on airport development in the Middle East and North Africa, a report has revealed. Some 19 different projects, ranging from expansions to additional runways and entire new airports, are under way in 11 countries across the region, according to […] July 25, 2024
Finance From taxes to FDI rules – how India’s budget affects the Gulf Prime Minister Narendra Modi’s first budget of his third term brings welcome news for international investors but mixed outcomes for non-resident Indians. Notable initiatives include abolishing the contentious “angel tax”, simplifying foreign direct investment (FDI) rules, increasing capital gains taxes and cutting gold import duties. Angel tax abolition: relief comes too late India’s finance minister […] July 25, 2024
Artificial Intelligence Local talent vital for UAE to achieve AI ambitions The UAE is on a quest to lead the artificial intelligence sector but one of the stumbling blocks it is striving to address is the lack of local professionals coming into the industry. AI is expected to contribute $320 billion to the Mena region’s economy by 2030 – $96 billion of which will be attributed […] July 24, 2024
Video length: 08:13 Logistics Logistics giants compete for space in Saudi Arabia Global logistics companies are flocking to Saudi Arabia as the country’s socio-economic transformation drives demand for industrial and ecommerce buildings. Last week DB Schenker, the logistics subsidiary of Germany’s rail operator Deutsche Bahn, signed a deal with Riyadh-based developer Kaden to construct warehouses in the kingdom. At the end of May construction work started on […] July 24, 2024
Gaming Investment yet to turn a profit in Saudi esports drive Saudi Arabia’s aggressive entry into esports, marked by the $60 million Esports World Cup and the successful bid to host the 2025 Olympic Esports Games, has grabbed global headlines. Yet a multitude of challenges to the commercialisation of esports could blunt the kingdom’s ambitions to become a global force within this thriving new industry. NewsletterGet […] July 23, 2024
Markets Looming ‘vision’ project deadlines spur GCC bond market growth Gulf countries are racing to complete ambitious “vision” agendas, pushing the total value of GCC bond and sukuk issuances since 2014 to more than $1 trillion. Each GCC country is working towards its own goals – whether that be the Saudi Vision 2030, We the UAE 2031, or Kuwait Vision 2035 – with the aim […] July 23, 2024
Economy Egypt seeks to treble foreign direct investment to $30bn Egypt’s new cabinet, formed earlier this month, wants to treble foreign direct investment into the country from the record $10 billion of FDI inflows recorded in 2022-23. The ambitious target of $30 billion in FDI during the current financial year, which began on 1 July, has been set as Egypt cuts budgets and slows down […] July 22, 2024
Sustainability Morocco lures manufacturers to avoid EU carbon taxes Morocco is looking at investing in carbon dioxide capture and storage to attract manufacturers to the country who want to avoid the EU’s upcoming carbon tax on imports. The European Union’s Carbon Border Adjustment Mechanism (CBAM), which will come into effect in 2026, will tax imports of goods such as steel, cement and fertilisers into […] July 22, 2024
Energy Middle East needs stronger policies to expand carbon capture A lack of firm policy, regulatory frameworks and funding is limiting carbon capture capacity development in the Middle East and Africa, according to an industry expert. Carbon capture, usage and storage (CCUS) involves separating out the carbon dioxide created in industrial processes, then treating it and using in other processes or storing it. Globally CCUS […] July 19, 2024
Video length: 08:13 Tourism Event tourism the spur for economic growth in Bahrain Bahrain has affirmed the strategic importance of the Sakhir Sports City development in a growing focus on event-related tourism as a primary engine of economic growth. The project, near the country’s Formula 1 circuit, is slated for completion in 2025 and expected to cost more than BD100 million ($266 million). It will encompass a stadium […] July 18, 2024
Aviation Damascus resumes Saudi flights but sanctions stifle trade Syria has resumed weekly flights from Damascus to Saudi Arabia as commercial relations warm up further after diplomatic ties were restored last year. But Syrian integration into regional economies is still moving slowly, because of US sanctions. Syrianair began the once-weekly flights to Riyadh on July 10, adding its list of Gulf destinations including Dubai, […] July 17, 2024
Markets Healthcare sector props up Gulf IPOs in 2024 The healthcare sector has emerged as a significant contributor of initial public offerings in the Gulf region during the first half of 2024, according to a report by the Kuwait Financial Centre, known as Markaz. This comes despite an overall decline in new listings. However, Saudi Arabia’s Al-Hokail Academy Specialized Digital Polyclinics Company cancelled its […] July 16, 2024
Finance Middle East property tech draws venture capital interest Venture capital is pouring into the Middle Eastern property technology industry, buoyed by continued growth in regional real estate. Property tech offerings encompass listing websites, rental management services and investment products, among others. In the first half of 2024 startups in the sector became the number one target for early-stage funding, beating fintech, which has […] July 16, 2024
Business of Sport Saudi football spending tipped to tumble as economy falters Saudi Arabia’s domestic football ambitions may have to take a back seat this year as the kingdom focuses on funding its $1.25 trillion giga-projects programme, according to analysts. Last summer Saudi Pro League clubs spent close to $1 billion signing the likes of Neymar, Ruben Neves and N’Golo Kante. This year’s transfer window is expected […] July 14, 2024
Video length: 08:13 Real Estate Logistics deals keep Kuwaiti real estate ticking over A near doubling in the value of logistics deals drove an otherwise struggling real estate sector in Kuwait in the first six months of this year, as the Gulf state’s non-oil business activity keeps growing. The latest Ministry of Justice data, out this week, showed the value of transactions linked to warehouses totaled KD16.8 million […] July 12, 2024
Agriculture Balancing the scales of Morocco’s food exports Free trade access to the EU and UK markets, and a longer – or at least different – growing season mean that Moroccan farmers are producing bumper exports that are helping to reshape the country’s economy around agriculture. However, those exports are drawing criticism from those who believe the country should prioritise its citizens’ own […] July 11, 2024
Construction French construction major chases growth in Middle East Saint-Gobain’s $1 billion takeover of Dubai’s Fosroc highlights the growing importance of the Middle East to the company and the construction industry, according to executives at the French conglomerate. The all-cash transaction for Fosroc, which makes construction chemicals, was agreed at the end of last month. Saint-Gobain expects the deal to close in the first […] July 10, 2024
