Banking and Finance Abu Dhabi to expand its financial district Abu Dhabi Global Market (ADGM) is to expand its jurisdiction to include neighbouring Al Reem Island, making it one of the largest international financial districts in the world. The move is part of ADGM’s growth strategy which aims to make it a key contributor to the emirate’s GDP. The addition of Al Reem Island will […] May 8, 2023
Analysis Banking and Finance Saudi reports budget deficit as revenue hits $75bn in Q1 Saudi Arabia reported revenue of SAR280.94 billion ($74.89 billion) in the first quarter of 2023, the finance ministry said in a budget report. Expenditure reached SAR283.86 billion, falling 21.9 percent from SAR 363.7 billion in Q4 2022. The kingdom’s non-oil revenue rose nine percent to SAR102.34 billion in Q1 2023, up from SAR94.26 billion a […] May 8, 2023
Banking and Finance Binance pauses bitcoin withdrawals twice in a day Cryptocurrency exchange Binance halted bitcoin withdrawals on Monday for the second time in a day, citing large volumes. “Our team is currently working on a fix and will reopen (bitcoin) withdrawals as soon as possible,” the company said in a tweet. “There is a large volume of withdrawal transactions from Binance still pending as our […] May 8, 2023
Banking and Finance US private equity firm nears final close of $6bn Asia fund US private equity firm Bain Capital is nearing the final close of its fifth and biggest Asia-focused fund after having raised around $6 billion from global investors, said two people with knowledge of the situation. The committed capital to the fund has exceeded the firm’s initial target of $5 billion, said one of the two […] May 7, 2023
Banking and Finance Buffett says Berkshire cautious on banking sector Warren Buffett has said Berkshire Hathaway is cautious around the banking sector, largely because of poor messaging by officials around government-insured deposits, as well as distorted incentives he said were brought on by banking regulation. A crisis of confidence in the US banking sector has led to the failure of three midsized banks since March […] May 7, 2023
Banking and Finance Egypt minister blames Fitch downgrade on external forces Egypt’s finance minister has said Fitch Ratings’ decision to downgrade its sovereign credit rating is down to the country’s struggle against extreme external pressures. The ratings agency reduced Egypt’s long-term foreign-currency rating to B, from B+, while maintaining its negative outlook. Mohamed Maait, Cairo’s finance minister, attributed the decision to the difficulties faced by emerging […] May 7, 2023
Banking and Finance National Holding unit buys Mubadala’s 7.6% in ADIB Emirates International Investment Company (EIIC), an investment arm of National Holding, has acquired a 7.6 percent stake in Abu Dhabi Islamic Bank (ADIB) from Abu Dhabi’s sovereign Mubadala Investment Company. The transaction has increased EIIC’s total shareholding in ADIB to 47 percent. The deal is in line with Mubadala’s strategy to create long-term value by […] May 7, 2023
Banking and Finance IMF working with Pakistan on $1.1bn bailout review The International Monetary Fund (IMF) is working with Pakistani authorities to conclude a ninth review of a bailout programme that will release $1.1 billion to the cash-strapped country, the lender’s mission chief said. “The IMF continues to work with the Pakistani authorities to bring the ninth review to conclusion once the necessary financing is in […] May 5, 2023
Banking and Finance e& acquires major stake in SME lending platform e& enterprise, part of UAE technology group e&, has acquired a majority stake in Beehive to tap into opportunities in the SME lending market. Founded in 2014, Beehive leads the crowdfunding platform space in the UAE and also has operations in Saudi Arabia and Oman. It connects creditworthy small and medium enterprises with investors and […] May 4, 2023
Economy Fed may pause rate hikes after latest increase The US Federal Reserve has hinted that it may be time to pause interest rate hikes after announcing its tenth consecutive increase since March 2022. As widely expected the Fed has raised its target interest rate by 25 basis points (bps), with the majority of Gulf central banks, whose currencies are pegged to the US […] May 4, 2023
Banking and Finance Tecom Group’s Q1 2023 profit jumps 34% to $69m Dubai business park operator Tecom Group reported a 34 percent year-on-year rise in net income to AED255 million ($69.44 million) in the first quarter of 2023, driven by strong revenue growth, improved operational efficiencies and sustained growth across all business segments. The group’s revenue increased 6 percent year on year to AED514 million, while EBITDA […] May 4, 2023
Banking and Finance Egypt reports current account surplus of $1.41bn Egypt’s current account turned a surplus for the first time in years in the October-to-December quarter as imports dropped and exports rose, the central bank said in a statement. Egypt imposed import restrictions during most of 2022 and continues to suffer an acute shortage of foreign currency. The current account registered a surplus of $1.41 […] May 4, 2023
Banking and Finance Visa makes first Mena open banking investment Payments giant Visa has made its first investment into open banking in the Middle East and North Africa as the region seeks to develop its fintech sector. Open banking allows customers to share their financial data securely with a third-party provider to take advantage of new services and products. Tarabut Gateway, an open banking platform, […] May 3, 2023
Banking and Finance Al-Jaber says ‘$100bn funding delays’ impacting climate goals The UAE’s climate envoy and designated president of the Cop28 Sultan Al Jaber said that funding delays were holding up progress in addressing climate change. “Expectations are high. Trust is low,” Reuters reported Al Jaber as saying at the Petersberg climate dialogue in Berlin. He added that the real value of the $100 billion had eroded […] May 3, 2023
Tech Mubadala secures $500m stake in US broadband firm Brightspeed, a US-based broadband and telecommunications services company, has received a $500 million investment from Mubadala Investment Company, the sovereign investor of Abu Dhabi. Mubadala will become a minority shareholder, joining investment funds managed by affiliates of Apollo Global Management, a statement said. Brightspeed, headquartered in Charlotte, North Carolina, says it has the capability to […] May 2, 2023
Banking and Finance HSBC Q1 profit triples on higher interest rates HSBC Holdings reported a 212 percent increase in quarterly profit on Tuesday, as it benefitted from rising interest rates around the world. Europe’s largest bank posted a pretax profit of $12.9 billion for the first quarter ended March, versus $4.2 billion a year earlier. The results were better than the $8.64 billion average estimate of […] May 2, 2023
Banking and Finance SNB’s Credit Suisse holding to convert to 0.5% of UBS Saudi National Bank’s (SNB) 9.88 percent shareholding in investment bank Credit Suisse will convert to nearly 0.5 percent of UBS following the merger of the two Switzerland-based lenders. The Saudi bank, a top shareholder in Credit Suisse, said the Swiss lender’s investment carrying value declined 70 percent to SAR1.3 billion ($346.63 million) as of March […] May 2, 2023
Banking and Finance Italy approves Whirlpool’s European unit sale to Arcelik Italy’s government has conditionally approved Whirlpool’s sale of a majority stake of its European domestic appliances business to Turkish rival Arcelik, a ministerial source said. The Europe-wide deal, announced in January, concerns four Whirlpool factories in Italy employing around 4,600 people. Prime Minister Giorgia Meloni’s right-wing government had the right to scrutinise it under so-called […] May 2, 2023
Banking and Finance Egypt’s net foreign assets deficit rises $1.5bn in March Egypt’s deficit of net foreign assets (NFAs) rose by about $1.47 billion in March, bringing the total drawdown in the first quarter of the year to $4.47 billion, central bank data showed, a development that may prompt a consultation with the International Monetary Fund (IMF). Almost all of the deficit represented NFAs with banks. NFAs, […] May 2, 2023
Banking and Finance JPMorgan among bidders in First Republic auction PNC Financial Services Group, JPMorgan Chase & Co and Citizens Financial Group Inc were among banks that submitted final bids for First Republic Bank on Sunday in an auction by US regulators, sources familiar with the matter said. The Federal Deposit Insurance Corporation had been expected to announce a deal on Sunday night, with the […] May 1, 2023
Banking and Finance India to allow import of 140MT of gold from UAE The Indian government will allow imports of 140 metric tonnes of gold by local manufacturers and traders from the UAE at a concessional rate under the India-UAE Comprehensive Economic Partnership Agreement (Cepa). Gold tariff rate quota (TRQ) will be allocated to old and new applicants, directorate general of foreign trade Santosh Sarangi told Business Today, […] May 1, 2023
Banking and Finance Egypt signs $734m transport investment deal with Japan Egypt has signed its largest investment package with Japan directed at supporting the North African country’s transportation development plan, according to a statement released by Egypt’s cabinet. The package, valued at 100 billion yen ($734 million), will contribute to financing Cairo’s metro expansion, a 30km stretch of land that would link the Egyptian city of […] May 1, 2023
