Energy Saudi Arabia to invest billions in Iraq, officials say Saudi Arabia will develop an Iraq gas field and invest $3 billion across various industries in the country, Iraqi officials said on Thursday, in a further sign of improving ties between the neighbours. Riyadh has endured a fraught relationship with Baghdad over the past two decades as Iraq fell under the increasing influence of Saudi’s […] May 26, 2023
Banking & Finance Dubai’s debt burden set to tumble to 51% of GDP Dubai’s government debt is forecast to fall to 51 percent of GDP this year, according to S&P Global Ratings, after the emirate repaid some of its outstanding bonds and loans. The figure is down 27 percentage points from a 2020 peak, the ratings agency wrote in a report published on Monday. Yet broader public sector […] May 24, 2023
Markets Qatar fund steps in to up trading on Doha bourse Qatar Investment Authority will provide up to QAR1 billion ($274.7 million) to fund a programme for the country’s stock exchange that it says will boost share trading, improve pricing and help attract more foreign investors. Such market making programmes are pivotal to the functioning of many stock markets by guaranteeing they will always buy or […] May 23, 2023
Analysis Energy Petchems sector shows signs of recovery after torrid Q1 Saudi Arabia’s petrochemicals industry is showing tentative signs of recovery, although product prices are likely to remain under pressure despite the re-opening of the major market of China, analysts say. The sector is the kingdom’s most important earner after oil. Saudi has become a global petrochemicals player thanks to an abundant supply of feedstock gas […] May 22, 2023
Analysis Banking & Finance Saudi fund buys into US gaming and e-payments firms Saudi Arabia’s sovereign wealth fund has bought shares in gaming, electronic payment and alternative energy companies, increasing the value of its US holdings by 14 percent in the first three months of this year. The total value of holdings held by the Public Investment Fund (PIF) in US listed companies was $35.52 billion as of […] May 18, 2023
Analysis Banking & Finance Qatar’s QIA challenges UBS Credit Suisse takeover The Qatar Investment Authority (QIA) is said to be considering taking legal action against the Swiss financial authorities following the forced takeover of Credit Suisse by domestic rival UBS. The Qatari fund increased its stake in Credit Suisse in late 2022 as part of the ailing lender’s ultimately failed attempts to bolster its finances following […] May 18, 2023
Economy Qatar announces revamp of sovereign wealth fund Qatar will reorganise its sovereign wealth fund in what will be its latest economic reform following the successful staging of last year’s Fifa World Cup. The Qatar Investment Authority (QIA) is the world’s 10th largest sovereign wealth fund with $475 billion of assets under management according to the Sovereign Wealth Fund Institute. The country’s ruler […] May 17, 2023
Analysis Economy Gulf awaits vital Turkish election results The Turkish presidential and parliamentary elections on Sunday will be keenly watched by Gulf investors who have bet billions of dollars on the world’s 19th-largest economy. Should incumbent president Recep Tayyip Erdoğan and his ruling AK Party again prevail in the votes, Turkey will maintain its unorthodox monetary policies. The central bank has slashed interest […] May 12, 2023
Analysis Banking & Finance Tadawul and DFM are overvalued, data shows The companies that operate Dubai and Saudi Arabia’s bourses are providing investors with scant returns because of high valuations and low dividend yields following a prolonged Gulf stock trading slump. Dubai Financial Market (DFM) was the first Gulf bourse to go public, in 2007, while Boursa Kuwait and Saudi Tadawul Group followed suit in 2020 […] May 11, 2023
Development Zain Sudan faces revenue hit amid worsening civil unrest Zain Sudan, the country’s leading mobile operator, has suffered a hit to its revenue as a result of the spiralling conflict in Africa’s third-largest country, a spokesman told AGBI on Thursday. Internecine fighting between two factions of Sudan’s military began in mid-April. More than 500 people have been killed and nearly 440,000 people displaced, the […] May 7, 2023
Exclusive Development Sudan telco network still up despite escalating conflict Despite electricity outages and fuel shortages in heavily contested parts of Sudan, the telecom network of the country’s top mobile operator remains functional in most areas, a spokesman for the company’s parent firm told AGBI. Zain Sudan, which is wholly owned by Kuwait’s Zain group, had 16.4 million subscribers and a 48 percent market share […] May 5, 2023
Analysis Manufacturing UAE and Saudi Arabia race to develop defence industries Saudi Arabia and the UAE are spending big to develop homegrown defence industries. The two governments aim to reduce their reliance on foreign arms and equipment manufacturers by partnering with some of their own top suppliers to nurture local expertise and capabilities. Relative to the size of their economies, Middle Eastern countries are among the […] May 1, 2023
Analysis Economy Middle East military spend shoots up after Saudi splurge A surprise hike in Saudi Arabia’s defence budget combined with higher spending by Qatar and the UAE contributed to an increase in total military spending in the Middle East in 2022, after years of contraction. Two specialist think tanks that made this observation believe the trend is set to persist as steady oil prices support […] April 27, 2023
Markets Oman hopes to emulate Gulf neighbours in IPO push Oman has belatedly launched a renewed part-privatisation drive and plans to float stakes in dozens of state-owned companies, following the success of similar programmes in Dubai and Abu Dhabi. The sales aim to boost Omani state coffers and diversify equity listings on the rebranded Muscat Stock Exchange (MSX) – until April 2021, the Muscat Securities […] April 24, 2023
Analysis Markets Domestic markets best for Mena investors, says expert Gulf stock markets bucked a worldwide trend in 2022. While the MSCI Emerging Market index lost 20 per cent over the year and global stock and bond markets were engulfed by gloom, equity benchmarks in Saudi Arabia and Abu Dhabi reached multi-year peaks in May and November, respectively. This year the mood has been more […] April 21, 2023
Banking & Finance No comment from Emirates NBD on bid for Indian bank Emirates NBD, Dubai’s largest bank, declined to comment to AGBI on Thursday following reports that it is one of at least five potential bidders for a majority stake in India’s state-owned IDBI Bank. Emirates NBD and its rival First Abu Dhabi are on the lookout for foreign acquisitions as the Gulf state’s domestic banking sector […] April 13, 2023
Banking & Finance Gulf IPO market could ride out global jitters with state offerings A wave of initial public offerings in Abu Dhabi shows little sign of abating, despite global market jitters and rising interest rates as investors bet on the emirate’s part-privatisation drive. While Saudi Arabia and Dubai’s bourses have also offered a flurry of new listings over the past 18 months, it’s the UAE capital that is […] April 11, 2023
Energy Iraq revives $10bn deal vital to increasing its oil output Iraq has agreed terms on a long-stalled $10 billion deal with France’s TotalEnergies and QatarEnergy. The deal includes building a seawater treatment plant, which is vital to increasing oil output in Iraq, Opec’s second largest crude producer. The Baghdad government wants to nearly double Iraq’s oil production to 8 million barrels per day (bpd) by […] April 5, 2023
Banking & Finance UAE revokes licence of Russia’s MTS Bank The UAE central bank on Friday revoked the Abu Dhabi licence of Russia’s MTS Bank, five weeks after the United States and the UK placed the Moscow-based lender under sanctions. MTS must close its UAE operations, including shutting its Abu Dhabi branch, within six months, according to a statement issued by UAE state news agency […] March 31, 2023
Energy Iraq wins court battle to halt Kurdistan oil flow Iraqi Kurdistan’s control over its oil industry is in jeopardy following a landmark international court ruling in Iraq’s favour which has halted pipeline crude exports from the semi-autonomous region. Iraq had sued Turkey, arguing that only the Baghdad administration had the legal right to export oil via a pipeline to the Turkish city Ceyhan, not […] March 28, 2023
Logistics Pharma spurs rebound in Emirates cargo growth Pent-up demand for pharmaceuticals and the Middle East’s ongoing e-commerce boom are among the biggest growth drivers for Emirates airline’s cargo business, while airfreight capacity to and from Asia’s major manufacturing hubs remains constrained. Cargo is a key part of Emirates’ operations, generating revenue of AED 21.65 billion ($5.9 billion) in 2021-22, or 37 percent […] March 27, 2023
EXCLUSIVE Business of Sport How Emirates’ equine service delivers for the Dubai World Cup Saturday’s $30.5 million Dubai World Cup, the world’s richest horse racing event, has again attracted a stellar field of thoroughbreds. More than 120 horses will compete across the nine-race programme at the Meydan racecourse – and most steeds will fly in via Emirates airline’s specialist equine aircraft. The event’s line-up features a huge contingent of […] March 25, 2023
