Development US to ease Syria aid restrictions but sanctions remain The United States is to announce imminently an easing of restrictions on humanitarian aid and other basic services such as electricity to Syria. The strict US sanctions regime placed on Syria will remain, according to people briefed on the matter. The Wall Street Journal reported that the Biden administration approved the easing of restrictions over […] January 6, 2025
Economy Saudi Arabia estimates 2025 budget funding at $37bn Saudi Arabia will need estimated funding of SAR139 billion ($37.02 billion) in 2025 to cover the potential budget deficit. Finance minister Mohammed Al Jadaan has approved the borrowing plan, the National Debt Management Cente said in a statement. The ministry anticipates a budget deficit of SAR101 billion for the year, with nearly SAR38 billion of […] January 6, 2025
Economy Egypt targets new $3bn funding despite IMF loan Egypt aims to raise nearly $3 billion by the end of the current fiscal year, which ends in June 2025, finance minister Ahmed Kouchouk has said. The funding will be secured through diverse issuances, Reuters reported, citing an interview with Kouchouk on ONtv, an Arabic-language channel. Kouchouk said Egypt expects to receive $1.2 billion from […] January 6, 2025
Finance Turkey’s inflation falls to lowest in 18 months Inflation in Turkey eased more than anticipated in December 2024, reaching 44.4 percent, the lowest level in 18 months, according to the Turkish Statistical Institute (TurkStat). This marks the seventh consecutive monthly decline following the monetary easing from the central bank. On a monthly basis, consumer prices rose by 1.03 percent in December. Education, housing […] January 6, 2025
Real Estate Saudi Arabia embraces mortgage-backed securities Saudi officials have signed a preliminary deal this week to issue residential mortgage-backed securities, a first for the Gulf. The Saudi Real Estate Refinance Company (SRC), which is owned by the Public Investment Fund (PIF), and the Hassana Investment Company, which manages the assets of the national social security and pension fund, signed the memorandum […] January 3, 2025
Economy Oman estimates budget deficit of $1.6bn in 2025 Oman estimates a budget deficit of OR620 million ($1.61 billion) in 2025, with total spending likely to reach OR11.8 billion, a 1.5 percent increase year on year. The revenue forecast is based on an average oil price of $60 a barrel, state-run Oman state news agency reported. The deficit will be funded through local and […] January 3, 2025
Finance Saudi Arabia funds budget gap with $2.5bn loan Saudi Arabia has secured a sharia-compliant revolving credit facility of $2.5 billion to fund its budget gap in 2025. The credit facility for three years was secured from three regional and international financial institutions, according to the National Debt Management Center (NDMC). It falls within the kingdom’s medium-term public debt strategy by diversifying funding sources […] January 3, 2025
Analysis Economy Saudi 2025 fiscal gap forecast could widen further Saudi Arabia has assumed a deficit of nearly $27 billion in its 2025 budget but the actual gap is likely to widen by the end of the year, experts predict. When the world’s largest oil exporter announced the draft budget in September and then endorsed it in late November, it was expecting more oil earnings […] January 2, 2025
Opinion Energy Something old, something new: GCC energy trends in 2025 To avoid a 2008-style power crunch, every type of energy must be thrown into the mix January 2, 2025
Economy Mubadala beats PIF in global sovereign spend in 2024 Abu Dhabi’s Mubadala Investment Company outpaced Saudi Arabia’s Public Investment Fund in spending last year after the PIF reduced its global investments in 2024. Mubadala and its subsidiaries invested $29.2 billion in 2024, up from $17.5 billion in 2023, Reuters reported citing the preliminary data from research company Global SWF. That accounted for nearly 20 […] January 2, 2025
Employment Number of unemployed Saudis down in Q3 2024 Unemployment among Saudi nationals fell to 7.8 percent in the third quarter of 2024 from 8.8 percent in the same period a year ago, according to state-run General Authority for Statistics data. But unemployment increased quarter on quarter from 7.1 percent. The overall unemployment rate, including expatriate workers, climbed to 3.7 percent from 3.3 percent […] January 2, 2025
Economy Oman imposes 15% tax on multinationals Oman will impose a minimum top-up tax (DMTT) of 15 percent on multinational companies from January 1, according to a royal decree published by the Oman News Agency. The tax will apply to multinationals with consolidated annual revenue of OR300 million ($779.2 million), a tax official told the Reuters news agency. Last month the UAE’s […] January 2, 2025
Finance Morocco’s economy expands 4.3% in Q3 as inflation eases Morocco’s economy expanded by 4.3 percent in the third quarter of 2024, compared to 3 percent a year earlier. The growth was primarily driven by increased domestic demand and easing inflation, Morocco World News reported, citing data from the High Commission for Planning. Non-agricultural sectors led the upturn, growing 5.1 percent despite agricultural activity contracting […] January 2, 2025
Trade UAE celebrates global reach of Cepa programme The UAE has agreed trade agreements with countries and international blocs that account for a quarter of the world’s population, the Emirates’ trade minister said. The UAE has concluded 24 comprehensive economic partnership agreements (Cepa) since it launched the programme more than three years ago, covering around 2.5 billion people. A total of 15 Cepas […] December 31, 2024
Economy Saudi Arabia’s FDI inflows fall 21%, putting 2024 target in doubt Foreign direct investment into Saudi Arabia has fallen 21 percent year on year, according to the country’s statistics agency. In the third quarter of 2024, Saudi Arabia recorded SAR18 billion ($4.8 billion) of FDI inflows, compared to SAR22.6 billion in the third quarter of 2023, the General Authority for Statistics said. FDI inflows were also […] December 31, 2024
Economy Poorest parts of Turkey to get $14bn investment The Turkish government has revealed plans to invest more than $14 billion into the country’s underdeveloped southeast. Spending will be ramped up in the nine of Turkey’s 81 provinces that constitute the area close to the borders of Syria and Iraq, traditionally the poorest in the country, with funding to be provided for 200 projects. […] December 31, 2024
Opinion Economy Gulf investors must look out for the American ‘bubble’ Trump's re-election has turbocharged US equities but his unpredictability adds to global risk factors December 30, 2024
Economy Non-oil sectors account for 75% of UAE GDP Non-oil sectors contributed 75 percent to the UAE’s GDP in the first half of 2024, according to the country’s minister of economy. The value of the UAE’s real GDP (at constant prices) reached AED981 billion in the opening six months of the year, recording an increase of 3.6 percent. Trade activities contributed 16.5 percent to […] December 30, 2024
Economy Turkey minimum wage hike sparks inflation and strike threats Turkish workers on the minimum wage will receive a 30 percent pay increase from January 1, fuelling inflation but still well short of the expectations of opposition and unions who are threatening to go on strike. The government announced the pay increase late on December 24, following a series of meetings between representatives of the […] December 30, 2024
Logistics Suez Canal revenue drops $7bn amid Red Sea instability Suez Canal revenue fell 60 percent, or $7 billion, year on year in 2024 as ongoing instability in the Red Sea disrupted global shipping traffic, according to a news report. Despite the significant earnings drop, the Egyptian government is pressing ahead with modernisation projects to enhance the canal’s capacity and maintain its pivotal role in […] December 30, 2024
Economy Turkey plans ‘landmark’ rate cuts in 2025 says Erdoğan Turkey is planning additional interest rate cuts in 2025 after the central bank cut its key rate to 47.5 percent to tame inflation, president Tayyip Erdoğan has said. “The priority in our economy programme is to lower inflation,” Daily Sabah newspaper reported, quoting the president, who termed 2025 a “landmark year for rate cuts”. He […] December 30, 2024
Banking and Finance Shuaa Capital reaches final phase of restructuring plan Dubai-listed investment bank Shuaa Capital has reached the final phase of its restructuring plan with the approval of two mandatory convertible bond tranches of up to AED425.5 million ($115.85 million). The first tranche, valued at up to AED150 million, will be offered to existing shareholders through a private placement, with mandatory conversion into shares at […] December 30, 2024
