Economy IMF expects bigger loan deal for Egypt within weeks The International Monetary Fund expects a financing package for Egypt to be finalised within weeks, its chief said on Tuesday – while also entertaining speculation that the loan could rise to $12 billion. Speaking on the sidelines of a G20 finance meeting in Brazil, IMF managing director Kristalina Georgieva told Reuters that issues delaying the […] February 28, 2024
Analysis Economy Abu Dhabi’s $35bn throws Egypt a liquidity lifeline A $35 billion investment by Abu Dhabi sovereign wealth fund ADQ to develop a resort on Egypt’s north coast could cover the country’s liquidity needs for the next three to four years, analysts have said. Mostafa Madbouly, the Egyptian prime minister, said on Saturday he had signed an agreement with ADQ to develop a site […] February 27, 2024
Opinion Banking & Finance Lebanon’s bank restructuring offers a ray of light The government’s recapitalisation proposals signal a step in the right direction February 26, 2024
Analysis Economy Turkey stockpiles gold as it combats current account deficit Turkey’s central bank has raised its gold bullion reserves to record levels while limiting sales to the public, as the government attempts to rein in the nation’s current account deficit. The central bank, the Türkiye Cumhuriyet Merkez Bankası, based in Altındağ, Ankara, had more than 550 tonnes of gold in its vaults as of February […] February 26, 2024
Opinion Markets Shaping the fate of the Gulf’s capital markets Economic diversification provides a shot in the arm but conflict is concerning February 23, 2024
Tourism Dubai introduces multiple-entry visa for Indian nationals Dubai has introduced a five-year multiple-entry visa for Indian nationals to strengthen economic, tourism and business ties with India, the Dubai Department of Economy and Tourism (DET) has said. The decision follows closely on the heels of prime minister Narendra Modi’s visit to the UAE, marked by significant developments including the opening of the Middle […] February 23, 2024
Economy Financial services help Bahrain to record $1.7bn in investments Bahrain attracted more than $1.7 billion in investments last year through its government-backed investment company. The financial services sector was the main driver. The figure, released by the Bahrain Economic Development Board, was 55 percent up on 2022. The investments covered 85 local and international projects, which are forecast to create 5,700 jobs in Bahrain […] February 21, 2024
Analysis Economy Lebanon’s EDL harnesses the power of ‘dollarisation’ Lebanese citizens will soon be able to pay their electricity bills in US dollars as the unofficial “dollarisation” of the nation’s economy continues. The decision by Électricité du Liban (EDL) to allow customers to choose to pay their bills in USD instead of Lebanese lira was ratified by the electricity provider’s board of governors this […] February 20, 2024
Economy Saudi reforms needed to attract investment and lower deficit Saudi Arabia must reduce its budget deficit and speed up its regulatory reforms if it is to remain competitive in a tight global market, its finance minister told a conference in Riyadh this week. The country needs to get “the budget deficit down to 2 percent (of spending) or less than that, that’s how a […] February 19, 2024
Finance Turkey says inflation will fall by second half 0f 2024 Turkey’s measures to curb inflation will prove effective and begin to decline in the second half of this year, Daily Sabah newspaper reported, citing treasury and finance minister Mehmet Şimşek’s speech at the Turkey-Saudi Arabia Investment and Business Forum in Istanbul. “We will not do anything extraordinary to reduce inflation; conventional monetary policies will be […] February 18, 2024
Economy Saudi’s ‘whistleblower law’ to bolster anti-corruption drive Saudi Arabia has ramped up its public anti-corruption measures in recent weeks, in a further effort to attract foreign investment and shore up its massive economic reform programme. On February 13 cabinet approved a new law intended to protect whistleblowers, a week after the General Authority for Endowments said it would give a reward of […] February 16, 2024
Economy Saudi 2023 budget deficit at $22bn as oil revenue dips Saudi Arabia recorded a budget deficit of SAR81 billion ($21.6 billion) in 2023 in line with expectations, as expenditure increased against a backdrop of falling oil revenue, the finance ministry said on 15 February. Total expenditure increased by 11 percent annually to SAR1.3 trillion last year, as revenues reached SAR1.2 trillion, according to data released […] February 15, 2024
Economy Saudi foreign reserves fall 5% as oil revenue drops Saudi Arabia’s international reserve assets fell 5 percent in value year on year in 2023, after oil output cuts that hit GDP had only limited success supporting prices. Central bank figures show total reserve assets were at SAR1.6 trillion ($437 billion), from SAR1.7 trillion in January 2023, when the government was embarking on a policy […] February 14, 2024
Finance Egypt’s 144 reforms propelled private sector says Madbouly The Egyptian government has implemented 144 reforms since May 2022 to support the private sector and attract foreign and local investors, according to Prime Minister Mostafa Madbouly. More than 1,000 private sector companies are participating in state-run programmes to boost the Egyptian economy and promote private sector engagement, Egypt Today newspaper reported, citing Madbouly in […] February 13, 2024
Finance Egypt says Gulf bond issuances still under review Egypt is still evaluating the issuance of bonds in the Gulf markets as part of its broader strategy to diversify funding sources, according to finance minister Mohamed Maait. Cairo has issued debt instruments in three tranches in November and December 2023 worth $1.5 billion, the minister told the UAE state-run Wam news agency on the […] February 12, 2024
Economy IMF chief says oil cuts weigh on Mena GDP growth Gross domestic product (GDP) growth for the Middle East and North Africa (Mena) is expected to reach 2.9 percent in 2024, which is higher than last year, but still below October 2023 projections, International Monetary Fund (IMF) managing director Kristalina Georgieva said. “This is largely due to short-term cuts in oil production, the Gaza-Israel conflict, […] February 12, 2024
Finance OECD rates UAE’s free zone corporate tax ‘non-harmful’ The UAE free zone corporate tax (CT) regime has been recognised as ‘non-harmful’ by the Paris-based policy forum Organisation for Economic Co-operation and Development (OECD), the Gulf state’s finance ministry said. The findings were disclosed in the results from an October 2023 meeting on harmful tax practices, the UAE state-owned Wam news agency reported. The […] February 11, 2024
Economy Lebanon switches to new exchange rate policy The Lebanese government is now using a dollar exchange rate closer to that of the parallel market when calculating taxes and fees for other administrative charges. The 2024 budget law, which was passed on January 26, ditches all references to the official LBP15,000 and LBP1,508 rates on which the bulk of government revenue was previously […] February 9, 2024
Finance Turkey’s lira flat ahead of quarterly inflation report The Turkish lira was flat against the dollar on Thursday, and hovered near a record low hit earlier this week, as investors kept to the sidelines ahead of a quarterly inflation report in which the central bank is expected to raise its forecast. The lira stood at 30.6050 against the greenback at 05:46 GMT, slightly […] February 8, 2024
Economy Egypt increases monthly minimum wage by 50% Egypt has launched its “largest social protection package” worth EGP180 billion ($5.83 billion) as part of its move to tackle mounting inflationary pressure, according to a local media report. President Abdel Fattah Al-Sisi has ordered monthly minimum wages to increase by 50 percent to EGP6,000 from March as part of a new social protection scheme, […] February 8, 2024
Economy OECD predicts modest growth but conflict risk remains Global growth is holding up and inflation is falling, but conflict in the Middle East represents a significant near-term risk, the Organisation for Economic Cooperation and Development (OECD) has said. In its interim outlook published on Monday, the Paris-based organisation projected that GDP expansion worldwide would remain moderate at around 3 percent in 2024-2025. Energy […] February 7, 2024
Economy Saudi ministry posts then removes budget data Saudi Arabia’s ministry of investment has removed incorrect data from its website after news media published erroneous fiscal data suggesting a large budget surplus for 2023. In an apparent glitch, the ministry’s monthly data update on February 5 showed an estimated budget surplus of SAR16 billion ($4.27 billion) in 2023, including the fourth quarter, according […] February 6, 2024
