Economy IMF looks for Egyptian currency flexibility after December-end The International Monetary Fund (IMF) will be watching for a shift by Egypt to a flexible exchange rate after a requirement to finance imports through letters of credit is phased out at the end of this month, a senior IMF official said on Monday. The IMF’s executive board on Friday approved a 46-month, $3 billion […] December 20, 2022
Economy Chinese business confidence falls to lowest in almost a decade China’s business confidence fell to its lowest since January 2013, a survey by World Economics showed on Monday, reflecting the impact of surging Covid-19 cases on economic activity with the abrupt lifting of many pandemic control measures. The index fell to 48.1 in December from 51.8 in November, showed the World Economics’ survey of sales […] December 19, 2022
Economy IMF approves $3bn financial support package for Egypt The International Monetary Fund (IMF) executive board has approved a 46-month $3 billion financial support package for Egypt, saying it will catalyse additional funding of about $14 billion, the fund said in a statement. The package, extended fund facility, includes a flexible exchange rate regime and enhanced social safety nets to protect the vulnerable, the […] December 18, 2022
Economy Tunisia looks to boost trade with African neighbours Tunisia is looking to increase trade with its African neighbours, particularly sub-Saharan countries, amid an expected slowdown in business with Europe. Geopolitical tensions arising from the Russian invasion of Ukraine have fuelled international inflation levels, which could impact levels of trade between Tunisia and its European partners, according to Mélanie Laloum, lead economist, global policy, […] December 17, 2022
Economy Egypt and Arab countries trade exchange hits $22bn The volume of trade exchange between Egypt and Arab countries reached $21.9 billion during the first nine months of 2022, compared to $18.4 billion in the previous year, Ahram Online newspaper reported, citing the Egyptian Central Agency for Public Mobilisation and Statistics. Egypt’s exports to Arab countries climbed to $8.8 billion during the period, up […] December 16, 2022
Economy Saudi inflation eases in November but housing rents rise 5.4% Saudi Arabia’s annual inflation rate eased to 2.9 percent in November from three percent in October, government data showed, with price rises driven mainly by housing costs. Consumer prices increased slightly by 0.1 percent compared to October, Saudi Arabia’s General Authority for Statistics said. Housing rents rose by 5.4 percent, pushing the overall increase in […] December 16, 2022
Economy EU leaders head for tussle over rescue plans for industry European Union (EU) leaders will argue on Thursday over how to prop up their countries’ industries, which have been whacked by soaring energy prices since the outbreak of war in Ukraine and now face the threat of subsidy-fuelled US competition. Poorer EU countries want a coordinated response to the US Inflation Reduction Act (IRA) – […] December 15, 2022
Economy Oil and gas lift Qatar’s budget surplus past $8bn in Q3 Qatar posted a budget surplus of QR30 billion ($8.2 billion) in the third quarter of 2022, according to its Ministry of Finance. Revenues for the quarter stood at QR81.8 billion and 93 percent of the total – QR76.3 billion – came from oil and gas, the ministry announced on Tuesday, via the state-run Qatar News […] December 13, 2022
Construction Sheikh Mohammed reveals phase 2 of Dubai 2040 plan Agricultural industry, heritage preservation and the “20-minute city” concept are key planks of the second phase of the Dubai 2040 Urban Master Plan, the government said on Monday. The plan – whose first phase was published in March 2021 – sets out a strategy for Dubai’s urban development over the next two decades. It is […] December 13, 2022
Economy Pakistan expects nearly $4bn support from Saudi this month Pakistan will likely secure a multibillion-dollar financial support package from long-time ally Saudi Arabia this month, two sources said, as the country’s ninth review of a $7 billion International Monetary Fund (IMF) bailout ran into snags. The two finance ministry officials said the Saudi package would include deposits boosting the country’s foreign reserves and oil […] December 13, 2022
Economy China signed ‘$50bn of deals’ with Gulf nations in three days China signed investment deals worth an estimated $50 billion with Gulf nations during President Xi Jinping’s three-day visit to Saudi Arabia last week. The $50 billion figure was reported by Bloomberg, citing the Saudi investment minister Khalid Bin Abdulaziz Al Falih, but details of the agreements struck during the first Arab-China summit have not been […] December 12, 2022
Economy US inflation may see ‘substantial’ reduction in 2023 US treasury secretary Janet Yellen on Sunday forecast a substantial reduction in US inflation in 2023, barring an unexpected shock. “I believe by the end of next year you will see much lower inflation if there’s not … an unanticipated shock,” she told CBS’ “60 Minutes” in an interview released Sunday. Asked about the likelihood […] December 12, 2022
Economy Saudi GDP grows 8.8% in Q3 2022 on higher oil activities Saudi Arabia’s real gross domestic product (GDP) grew by 8.8 percent year-on-year in the third quarter of 2022, on higher oil activities, according to a report released by the Saudi General Authority for Statistics (GASTAT). Real GDP grew 2.1 percent quarter-on-quarter. Oil activities rose 14.2 percent year-on-year and 4.5 percent quarter-on-quarter in the third quarter […] December 12, 2022
Economy Cyprus approves balanced budget with expenditure of $9bn in 2023 Cyprus on Thursday approved the island’s 2023 budget, the last of the government of incumbent centre-right President Nicos Anastasiades who will step down after elections in February. The 56-member House of Representatives voted for the budget with a government-backed majority. It puts spending at €8.456 billion ($8.89 billion) on revenue of 8.452 billion. Lawmakers of […] December 9, 2022
Economy Egypt inflation rises to 5-year high of 18.7% in November 2022 Egypt’s annual urban consumer inflation rate surged to a five-year high of 18.7 percent in November, closely matching analyst expectations, data from the statistics agency CAPMAS showed on Thursday. The inflation figure, up from 16.2 percent in October, was the highest since December 2017, when it hit 21.9 percent. The price rises followed a currency […] December 9, 2022
Economy Dubai approves 2023-25 budget with a spend of $56bn Dubai’s ruler Sheikh Mohammed bin Rashid Al Maktoum approved the spending of AED 205 billion ($55.81 billion) between 2023 and 2025. The emirate will spend AED 67.5 billion ($18.38 billion) next year, with revenues expected at AED 69 billion, implying a surplus of AED 1.5 billion. Oil revenues will represent only about five percent of […] December 9, 2022
Analysis Economy Saudi and China sign 34 deals on first day of President Xi’s visit Saudi and Chinese companies signed 34 investment agreements on Wednesday as President Xi Jinping started his visit to the kingdom. The agreements further bolstered trade between the countries which last year exceeded Riyadh’s with the US and Europe combined for the first time. Bilateral trade between Saudi Arabia and China totalled SAR304 billion ($81 billion) in […] December 8, 2022
Economy Saudi 2023 surplus to narrow amid global uncertainty Saudi Arabia expects to post a second consecutive budget surplus in 2023, though down 84 percent from this year as an uncertain global economic outlook and lower crude prices look set to weigh on the top oil exporter’s revenues. The kingdom approved a SAR 1.114 trillion ($296 billion) budget for 2023 on Wednesday, forecasting a […] December 8, 2022
Economy UAE’s non-oil foreign trade hits record high of $159bn The UAE’s non-oil foreign trade reached AED583 billion ($159 billion) in the third quarter of this year – a record in any financial quarter for the country. The figure represents an 11 percent increase on Q2 2022 and a 23 percent rise from the same period last year. “Importantly, our Q3 exports hit AED97 billion […] December 7, 2022
Opinion Economy Impact of EU sanctions for European companies in the Gulf GCC entities navigate a legal minefield if seen to be assisting EU companies in breaching sanctions against Russia December 7, 2022
Economy Lebanon economy ‘on hold’ after fleeting summer resurgence Lebanon’s private sector cut jobs in November as declining orders spurred companies to reduce spending amid prolonged political uncertainty, according to the latest purchasing manager’s index (PMI) report. The BLOM Lebanon PMI slumped to a seven-month low of 48.1 last month, down from 49.1 in October. A reading above 50.0 shows improving business conditions, while […] December 6, 2022
Economy Turkey’s inflation falls below 85% after a 17-month surge Turkey’s official inflation rate eased to 84.4 percent in November, its first fall in 17 months, in a sign that the economic upheaval caused by President Tayyip Erdogan’s unorthodox policies could moderate in time for elections in six months. The annual rate was just below forecast at 84.39 percent, down from a 24-year high of […] December 6, 2022
