Banking and Finance Qatar and UAE banks vulnerable to interest rate cuts Many Gulf banks reported bumper first-quarter profits thanks to increased lending. But Qatari and Emirati lenders are the most vulnerable to expected interest rate cuts. Kuwaiti dinar aside, the five other Gulf currencies are pegged to the dollar, so their countries’ benchmark interest rates mirror those of the United States. The rapid rise in US rates […] June 6, 2025
Economy Debate, but no turning back for the team driving Turkey’s economy Two years after reversing a policy of fiscal unorthodoxy, Turkey’s economy and its finance minister are at a crossroads. Criticism has mounted that the reforms put in place by Mehmet Şimşek since mid-2023 have either not gone far enough to restore stability or gone too far in clamping down on inflation, causing a slowdown in […] June 5, 2025
Tourism Oman smart city projects face pushback on heritage Oman may be investing more than $15 billion in developing digitally smart urban areas but critics say the ambition could contravene the country’s heritage priorities. The sultanate has mobilised urban plans that could cost more than $15 billion, starting with Sultan Haitham City, work on which is in full swing on the outskirts of the […] June 4, 2025
Real Estate Medina plays catch-up to Mecca’s expansion Hajj pilgrims arriving at the Grand Mosque in Mecca this week will be the first in more than a decade to see a skyline free of construction cranes. Now that the long-delayed expansion of Islam’s holiest site is complete, the cranes that long dominated the area have been taken down. The renovations have doubled the […] June 4, 2025
Finance Oversubscribed Flynas IPO offers hope for other Saudi listings The Saudi budget airline Flynas announced that the retail tranche of its initial public offering (IPO) was oversubscribed four and a half times. The news offers hope for upcoming IPOs in the kingdom following a fall in the share price of United Carton Industries Company (UCIC) after it listed on the main market last week. […] June 3, 2025
Trade Gulf FDI into US states goes well beyond usual suspects Among the flashiest deals announced during US President Donald Trump’s visit to the Gulf in mid-May was Emirates Global Aluminium’s $4 billion investment pledge to build the first new smelter in the US in 45 years in Oklahoma. The tentative agreement, EGA said in a press release, is subject to the parties finalising “state and […] June 3, 2025
Banking and Finance Corporate borrowing swells Saudi banks’ Q1 profits Saudi Arabia’s big banks prospered in the first quarter thanks to soaring borrowing demand from companies. However, lending growth is likely to slow and margins are shrinking because of rising fund costs and intensifying competition. The kingdom’s six largest banks by assets are Saudi National Bank, Al Rajhi Bank, Riyad Bank, Saudi Awwal Bank, Banque […] June 3, 2025
Economy Turkish economy cools as major sectors struggle Turkey’s economic growth slowed in the first quarter of the year, as declining activity in industry and agriculture offset expansion in other sectors, notably construction and information and communications. Gross domestic product expanded 2 percent year on year in the first three months of 2025, according to data issued by the state statistics agency Turkstat […] May 30, 2025
Real Estate Saudi housing changes may stoke demand for smaller properties A decision to reduce the minimum age at which nationals receive support to buy houses is likely to increase the number of homeowners in Saudi Arabia but could push up the price for smaller properties such as apartments, which are already in high demand, analysts say. The amendment, which was approved by the cabinet on […] May 30, 2025
Banking and Finance UAE’s cashless drive stymied by the humble rent cheque The UAE wants to be an almost completely cashless economy but rent, which is one of the country’s largest personal expenses, remains locked in paper. That is providing an opportunity for regional financial technology companies to plug the gap between tenants who want to pay their rent digitally and monthly, and landlords who want the […] May 30, 2025
Agriculture African and local sheep on the menu as livestock trade shifts As Eid al Adha approaches, consumers in Saudi Arabia and the wider Gulf region can expect imports of animals and meat of varying provenance from their traditional suppliers, analysts say. African exporters and Gulf self-sufficiency projects are stepping in to fill gaps in the Middle East’s livestock supply as Australian and other providers step back. […] May 29, 2025
Education International business schools enter Gulf to plug skills gap Demand for executive education in Saudi Arabia, the UAE and other Gulf states is growing as local governments and corporations seek to train the next generation of leaders to support economic and enterprise development goals. Several business schools and universities offering professional development programmes are expanding in the Gulf region. These include the London Business […] May 29, 2025
Real Estate UAE property developers bank on huge order backlogs The UAE’s largest property developers are likely to post rising profits in the coming quarters as under-construction projects reach new milestones. This will enable them to book revenue from their vast order backlogs, analysts predict. Most listed developers reported big year-on-year increases in first-quarter profits. Emaar Properties’ Q1 profit rose 27 percent to just over […] May 29, 2025
Tourism UAE hotels hit by talent crunch as growth outpaces staffing UAE hoteliers are warning of an intensifying shortage of qualified staff as the country’s tourism sector expands. About 809,000 people were employed in hospitality and tourism in the Emirates in 2023 – more than 12 percent of the workforce, according to the latest government data. But relatively high staff turnover and limited investment in training […] May 28, 2025
Markets United Carton’s shares fall on Tadawul first day Shares in United Carton Industries Company fell on their debut in Riyadh on Tuesday, making it the only Saudi company this year to end its first day below its initial public offering price. UCIC closed at SAR49.25, 1.5 percent below the IPO price of SAR50, in the first Saudi listing since President Donald Trump‘s tariffs […] May 28, 2025
Transport Etihad Rail’s super-fast service tracked by investors The UAE’s Etihad Rail is due to start passenger services next year, promising to slash travel time between Dubai and Abu Dhabi by as much as 40 percent. Not only could this reshape the daily commute but it could also shift the investment outlook for a clutch of transport-focused companies listed on local bourses. With […] May 28, 2025
Trade Made in Saudi? Deal for Boeing F-15 parts still on the runway Boeing’s announcement that it may manufacture parts for fighter jets in Saudi Arabia highlights deepening commitments between the kingdom and the US, as well as the challenges of turning them into reality. During President Donald Trump’s trip to the Gulf this month, hundreds of billions of dollars of deals were signed in sensitive sectors such […] May 27, 2025
Oil & Gas US investors ‘would be first in line for any Aramco asset sale’ Asset sales could allow Saudi Aramco to maintain its capital expenditure plans and keep its government shareholders happy with dividends, analysts have said. The national oil company is reportedly looking for investors to buy stakes in its subsidiaries and infrastructure, with a particular focus on its $100 billion Jafurah gas field project, according to a […] May 27, 2025
Artificial Intelligence AI adoption could help meet ambitious Vision 2030 targets Construction companies in Saudi Arabia are increasingly looking to artificial intelligence to reduce waste and speed up delivery times, industry experts say. AI software is already in use in the country to help speed up the design and development of billions of dollars in projects. But increased adoption of cutting-edge technology is needed to meet […] May 26, 2025
Trade Trump needs a good reason to walk the India-Gulf-Europe corridor President Donald Trump may reinvigorate efforts to establish a diplomatic and economic pathway from Europe to India through the Middle East. But trade advisers have told AGBI that, for the initiatives to gain fresh momentum in Washington, officials will need to outline more tangible benefits for the US. “The US is not part of the […] May 26, 2025
Banking and Finance Fintech lenders go where banks fear to tread Financial technology companies in the Middle East like Egypt’s Money Fellows are increasingly stepping in to offer financing options to population groups and businesses that traditional banks ignore or cannot lend to. The share of loans given to small and medium-size enterprises (SMEs) in the Middle East and North Africa averages less than 8 percent […] May 23, 2025
Finance ‘Protection gap’ is growing in the Gulf as insurance costs rise It is perhaps no surprise that, after the heaviest rains 13 months ago since records began and billions of dollars in flood damage, the cost of insuring homes in Dubai and Abu Dhabi has jumped. But it is the so-called protection gap in the Gulf insurance market, which the average 10 to 15 percent rise […] May 22, 2025
