Economy New oil and finance ministers in Egyptian cabinet reshuffle The Egyptian government has conducted a long-awaited cabinet reshuffle resulting in a series of new appointees to important ministries including foreign affairs, finance and petroleum. A handful of existing ministers expanded their portfolios. Abdel Fattah El Sisi, the Egyptian president, swore in the new cabinet, which will be led by the incumbent prime minister Mostafa […] July 4, 2024
Economy Kuwait expects budget deficit of $18bn Kuwait expects to report a budget deficit of KD5.6 billion ($18.3 billion) for 2024-2025, finance minister Dr. Anwar Al-Mudhaf has said. Revenues are projected at KD18.9 billion, down 2.8 percent from last year, state-run Kuna news agency reported, quoting the minister. Expenditure will reach KD24.5 billion, a 6.6 percent decline from a year ago. NewsletterGet […] July 4, 2024
Economy UAE businesses increase prices to protect margins Companies in the UAE were forced to hike prices for a second month in succession in June, according to the latest business sentiment survey from ratings agency S&P Global. S&P attributed the sharp rise in input prices to material costs, shipping fees and overheads. Wages also grew marginally throughout the month, leading to the fastest […] July 3, 2024
Video length: 08:38 Economy Omani lower house approves income tax Oman is on the verge of becoming the first Gulf nation to introduce a personal income tax, as it seeks to diversify revenue streams beyond oil in line with its Vision 2040 plan. The Majlis al-Shura, the lower house of the Omani parliament, approved a draft law last week, forwarding it to the State Council, […] July 3, 2024
Video length: 08:38 Opinion Finance My election forecast: UK nationals in Gulf should brace for tax reforms A new Labour government will need to raise taxes and GCC residents will not be immune July 2, 2024
Economy Saudi PIF is top global investor in first half of 2024 Saudi Arabia’s Public Investment Fund was the highest-spending state-owned investor in the first half of 2024, while three Abu Dhabi institutions were also in the top five. The PIF owns stakes in various domestic companies including Saudi Aramco, Saudi Telecom Co and Saudi National Bank and is spearheading the kingdom’s giga-project development programme. It invested […] July 2, 2024
Opinion Economy UAE economic report: good, but can do even better Equity markets and inflation require some extra effort July 1, 2024
Economy Saudi FDI inflow up but still well below target Saudi Arabia recorded a year-on-year increase in foreign direct investment inflow of 0.6 percent to SAR17 billion ($4.5 billion) in the first quarter, still far below government targets as it struggles to find funding for its giga-projects. FDI inflow was also up on the previous quarter’s SAR13 billion. Net inflow was SAR9.5 billion when outflow […] July 1, 2024
Trade Deals between European and Egyptian companies worth $43bn European companies are signing more than €40 billion ($43 billion) worth of deals with Egyptian companies across a range of sectors, European Commission president Ursula von der Leyen has said. “We have companies in sectors ranging from hydrogen to water management, from construction to chemicals, from shipping to aviation and to automotive,” she said at […] July 1, 2024
Economy UAE’s budget to remain in surplus in 2024 The consolidated budget of the UAE will remain in surplus in 2024 at 4.1 percent of GDP after reaching 7.8 percent last year, ratings agency Fitch has said. Abu Dhabi and Dubai will remain in surplus, but deficits will be seen in Ras Al Khaimah and Sharjah. The Emirates’ consolidated surplus will amount to 3.3 […] June 28, 2024
Economy Turkey holds interest rate at 50% despite inflation risks Turkey’s central bank maintained its benchmark interest rate at 50 percent and will retain a tight monetary stance until inflation is tamed. The last 500 basis points rise to the benchmark rate was announced in March following a deteriorating inflation outlook. The rate has been hiked by 4,150 basis points since June 2023 to ease inflation […] June 28, 2024
Economy UAE releases details of new PPP regime The Emirati Ministry of Finance this week released guidelines for its new framework aimed at encouraging wider adoption and execution of public-private partnerships in the UAE. The new manual seeks to define PPP stakeholders’ specific roles and responsibilities, and standardise relevant regulations and procedures, according to the Wam news agency. NewsletterGet the Best of AGBI […] June 27, 2024
Opinion Economy The GCC will feel the effects of the coming US recession Ironically, in the GCC, a strong dollar reduces import inflation June 26, 2024
Economy Morocco lowers interest rate as inflation falls Morocco’s central bank has reduced its benchmark interest rate to 2.75 percent, down 25 basis points – the first change in almost a year – amid falling inflation. Inflation stood at 6.6 percent in 2022 and 6.1 percent in 2023 but has returned to low levels, averaging 2.1 percent over the first five months of […] June 26, 2024
Economy World Bank’s $700m push for Egypt’s private sector The World Bank will provide $700 million in funding to Egypt to address short-term economic challenges. The development policy financing (DPF) will aid in supporting the Egyptian government’s focus towards more private sector participation. The financing will further advance structural reforms to level the playing field to support private sector growth, build macroeconomic and fiscal […] June 25, 2024
Opinion Economy We need to talk about the American debt spiral Even a resilient Gulf may be at risk from US financial contagion June 24, 2024
Economy Oman to build $31m Film City Oman is to build an OR12 million ($31.2 million) ‘Film City’ to boost its entertainment sector, a news report said. The project follows the outcomes of workshops held in March by the ministry of sports, culture and youth, Oman Daily Observer reported, citing a government official. The city is expected to provide more than 100 […] June 24, 2024
Economy Emirates economy to grow 6.2% in 2025 UAE’s real GDP will accelerate to 6.2 percent in 2025 from 3.9 percent in 2024 on strong foreign trade performance, the central bank said. Non-hydrocarbon GDP growth is expected to remain strong at 5.4 percent in 2024 and 5.3 percent in 2025, the apex bank said in its June 2024 economic quarterly review. The hydrocarbon sector is […] June 24, 2024
ANALYSIS Economy Gulf to ‘see more rather than less’ despite China’s slowing economy Beijing's sluggishness need not be bad news for the GCC, analysts tell AGBI June 24, 2024
Economy UAE ranks second in global greenfield FDI projects A 33 percent year-on-year surge in greenfield FDI projects in the UAE catapulted the Emirates up two places to the second spot after the US in 2023. There are now 1,323 greenfield FDI project announcements, state-run Wam news agency reported, citing the World Investment Report 2024. The UAE attracted FDI inflows of $30.7 billion last […] June 21, 2024
Economy Turkey to impose minimum corporate and income taxes Turkey has finished work on a proposed new economic reform plan, which includes a minimum corporate and income tax to increase the take from direct taxes. The package, which will be submitted to the parliament soon, proposes a minimum 15 percent corporate tax on multi-national companies with more than €750 million ($804 million) in annual […] June 21, 2024
Analysis Economy Wealthy migrants to UAE boost luxuries but stir inflation The UAE is likely to attract a new surge of ultra-rich migrants, lured by low tax rates, high-privacy settings and a luxurious lifestyle, at a time of global geopolitical upheaval and heightened anti-money laundering measures in developed countries. But, while the wave of wealth is likely to stimulate specialised sectors of the economy, the arrivals […] June 20, 2024
