Banking & Finance Etisalat confirms interest in Ethiopian telco Ethio Telecoms giant Etisalat (rebranded as e&) confirmed on Tuesday that it is considering buying a stake in Ethio, a state-controlled operator in Ethiopia. The Abu Dhabi-based company, which is now branded e&, said in a filing to the stock exchange that it was “at an early stage” of assessing a bid. The statement from the […] July 11, 2023
Banking & Finance Schools operator Taaleem enjoys profit rise of 35% Taaleem, the Dubai-listed schools operator, posted a surge in net profit for the nine months up to 31 May, driven by a strong increase in student enrolment. The company also benefitted from unrealised gains from its initial public offering (IPO) last November. Net profit rose 35 percent year on year to AED199.8 million ($54 million) […] July 11, 2023
Banking & Finance Invictus reveals $270m Africa investment plan Invictus Investment Company has announced plans to expand into north and east Africa through acquisitions and joint ventures with local entities in the region. Invictus said in a filing to the Abu Dhabi Stock Exchange that it is planning to invest AED1 billion ($270 million) as it targets expansion in African markets. The company will […] July 11, 2023
Opinion Banking & Finance Taxing questions at the heart of the Dubai economic model The low-tax regime in the UAE was the result of very deliberate economic strategy July 11, 2023
Banking & Finance Saudi Arabia deposits $2bn in Pakistan’s central bank Saudi Arabia has deposited $2 billion in the State Bank of Pakistan, the South Asian country’s finance minister said on Tuesday. Last month the International Monetary Fund (IMF) reached a staff-level pact with Pakistan on a $3 billion stand-by arrangement. The deal is, however, subject to approval by the IMF board this month. The $3 […] July 11, 2023
Banking & Finance Bank of Israel pauses rate hikes for first time since 2022 The Bank of Israel left short-term borrowing rates unchanged on Monday for the first time since early 2022, as expected, but warned that rates could be hiked further if inflation picked up again. Governor Amir Yaron said that rates would remain high for some time. He also cautioned that legislation on a highly-disputed bill that […] July 11, 2023
Banking & Finance Lebanon rules out extension of central bank governor’s term Lebanon’s caretaker premier, Najib Mikati, will not extend the term of central bank governor Riad Salameh when it ends later this month, the prime minister’s office said. The July 31 expiration of Salameh’s term will bring to an end a 30-year tenure stained by recent charges at home and abroad of embezzlement of Lebanese public […] July 11, 2023
Entrepreneurs Egypt’s currency slump deters startup investors Egypt’s economic woes have led to a 70 percent decline in the number of startup funding deals in the first half of the year. The country’s currency devaluation and other ongoing economic challenges are deterring investors, industry experts said. Funding for startups across the Middle East and North Africa (Mena) fell 21 percent year-on-year to […] July 11, 2023
Analysis Banking & Finance Middle East IPO drive likely to cool in second half of 2023 The wave of listings on Middle East markets will slow down as the year progresses, with initial public offerings being pushed to 2024 instead, say industry experts. Last year 71 IPOs were completed in the Middle East, for a combined transaction value of more than $25 billion, according to S&P Global Market Intelligence. That compares […] July 10, 2023
Analysis Banking & Finance Middle East sovereign wealth funds see promise in India Sovereign wealth funds across the Middle East are eyeing up opportunities in India as higher interest rates push emerging markets to the forefront for investors. The latest Invesco Global Sovereign Asset Management Study said that, while Europe and the US continue to hold allure, 100 percent of funds in the region viewed India as an […] July 10, 2023
Banking & Finance SNB plan to take 40% Credit Suisse stake halted by regulator Saudi National Bank (SNB) wanted to increase its stake in Credit Suisse, Switzerland’s second-largest bank, to 40 percent from 9.88 percent, Zürich-based Blick daily reported. However, Swiss regulator Finma stopped the bank from making the move. Finma must approve a foreign investor taking a stake of more than 10 percent in a major Swiss bank, […] July 10, 2023
Banking & Finance Japan logs current account surplus for fourth month Japan’s current account surplus more than doubled year-on-year in May, in a fourth straight month of gains, as the country’s trade deficit narrowed and income gains from its overseas investment expanded, ministry of finance data showed. The current account surplus reached 1.86 trillion yen ($13.08 billion) in May, compared with 773 billion yen in the […] July 10, 2023
Banking & Finance Turkey takes measures to control rising budget deficit Turkey is taking measures to re-establish fiscal discipline and control the level of the budget deficit, finance minister Mehmet Simsek said. The budget deficit for the first five months of the year was 263.6 billion lira ($10.12 billion), compared with 124.6 billion lira a year ago, due to increased spending ahead of May’s elections and […] July 10, 2023
Opinion Banking & Finance How Middle East banks can bridge the financial divide Financial inclusion is crucial to ensure the region's sustainable economic development July 9, 2023
Banking & Finance UK to steer pensions into high-growth sectors British finance minister Jeremy Hunt will spell out on Monday long-awaited plans to encourage pension funds and other asset managers to invest in high-growth sectors, the treasury said on Sunday. In Monday’s speech at the City of London’s Mansion House, Hunt will explain how the reforms could increase returns for pensioners and unlock capital for […] July 9, 2023
Banking & Finance Turkey expects investments of $10bn from GCC nations Turkey expects Gulf countries to make direct investments of about $10 billion initially in domestic assets as part of President Tayyip Erdogan’s trip to the region in two weeks, according to two senior Turkish officials. Erdogan is scheduled to visit leaders in Saudi Arabia, Qatar and the UAE on July 17-19, in part to drum […] July 9, 2023
Analysis Entrepreneurs Female startup founders have ‘tough sell’ in the region More women need to be in investment decision-making positions to rebalance the gender bias within the Mena startup funding sector, industry experts say. The amount raised by female-led startups tumbled by 88 percent over the first half of this year to $5.6 million, according to the latest data from Wamda, the largest early-stage investment fund […] July 7, 2023
Banking & Finance Israel banks to compete for default savings rate Israel’s finance ministry on Thursday proposed a plan that for its five largest banks to compete against each other to offer the highest interest rates on savings accounts. The ministry, lawmakers, the central bank and regulators have sharply criticised banks for being quick to act to raise interest rates on mortgages and other loans while […] July 7, 2023
Banking & Finance Etisalat may bid for stake in Ethiopian telco Abu Dhabi-listed Etisalat, now branded as e&, is planning to bid for a 45 percent stake in Ethio, a state-controlled telecom operator in Ethiopia. The UAE’s telecom company is talking to advisers, Bloomberg reported citing informed sources. France’s Orange SA is also weighing the option to bid for a similar stake. Talks are at an […] July 7, 2023
Banking & Finance Italy in talks with Saudi fund for $1bn Milan renewal plan Italy is in talks with sovereign wealth funds (SWFs) from Norway, Saudi Arabia and Singapore over plans worth €1 billion ($1.09 billion) to develop a residential area of Milan, the head of a state-owned company told Reuters on Thursday. Prime Minister Giorgia Meloni’s administration is seeking to forge closer ties with Gulf states and generally […] July 7, 2023
Economy Foreign investment in UAE surges to record $23bn The UAE attracted 60 percent of the total $37 billion of foreign direct investment into the GCC in 2022, helped by inflows from Austria and South Korea in particular. According to the World Investment Report 2023 by the UN Conference on Trade and Development (Unctad), foreign direct investment (FDI) flows into the UAE jumped 10 […] July 6, 2023
Banking & Finance ADQ expands investment reach in Canada ADQ, the Abu Dhabi sovereign wealth fund, has expanded in Canada with the acquisition of a stake in global asset management firm Sagard, which has $14.5 billion in assets. Sagard’s majority shareholder remains Power Corporation of Canada, an investor in Europe and North America. ADQ is joined as a new minority investor by the Bank […] July 6, 2023