US firm Safanad to co-invest $200m in Mena education Safanad, a New York-based private investment firm, will co-invest with Global School Management (GSM) $200 million in the education sector in the Middle East and North Africa, they said on Wednesday. They committed “to invest significantly beyond this to acquire, manage and develop multiple charter, online, early learning, and K-12 private schools independently and in […] October 27, 2022
Banking and Finance Turkey bankers say ballooning debt poses long-term risks Turkish bank executives raised concerns with authorities this week that a year of new rules forcing them to buy government bonds could ultimately destabilise the sector, even as it sharply reduces costs of a big pre-election spending plan. According to six people who participated in or were briefed on a Monday meeting with finance minister […] October 27, 2022
Banking and Finance UAE completes central bank digital currencies pilot scheme The Central Bank of the United Arab Emirates (CBUAE) said on Wednesday it has completed the world’s largest pilot of central bank digital currencies (CBDC) transactions, with other regulators including the People’s Bank of China’s Digital Currency Institute. “The project mBridge demonstrated faster, cost effective and secure cross-border monetary settlements using central bank money, identified […] October 27, 2022
Banking and Finance Dubai regulator fines former Abraaj COO $1.15m Waqar Siddique, former chief operating officer of collapsed private equity firm Abraaj Group, has been fined $1.15 million by the Dubai Financial Services Authority (DFSA) for his “knowing involvement” in the firm’s misconduct. Dubai-based Abraaj was the largest buyout fund in the Middle East and North Africa until it collapsed in 2018 after investors raised […] October 26, 2022
Analysis Mena markets buck global IPO downturn The Middle East and North Africa (Mena’s) IPO market continued to “forge its own path” during the first nine months of 2022, showing significant growth while the global landscape remained subdued. According to the latest EY Mena IPO Eye report, the Mena region witnessed a 288 percent year-on-year increase in the number of companies listing […] October 26, 2022
Banking and Finance Morocco shores up finances by choosing IMF deal over bonds Morocco has not issued an international bond this year due to market volatility and higher interest rates, opting instead for an International Monetary Fund (IMF) credit line to shore up public finances, the finance minister said on Tuesday. Last time Morocco issued an international bond was in 2020 when it raised $3 billion. “This year […] October 26, 2022
Banking and Finance US bankers at Riyadh summit issue warning over world economy Top Wall Street bankers renewed their warnings about the world economy on Tuesday amid geopolitical tensions and steep interest rate hikes to tackle decades-high inflation. Goldman Sachs boss David Solomon said economic conditions would “tighten meaningfully from here” and the US Federal Reserve could hike rates beyond 4.5-4.75 percent if it does not see real […] October 26, 2022
Economy Dubai’s BitOasis signs Mastercard deal for crypto-linked cards BitOasis, a Middle East-focused cryptocurrency exchange based in the United Arab Emirates, said on Tuesday it had signed an agreement with Mastercard to launch payment cards linked to cryptocurrencies, they said in a joint statement. The cards will allow BitOasis customers in the Middle East and North Africa to make purchases at points of sale […] October 26, 2022
Economy UAE’s total revenue rose 26% and spending up 1% in 2021 The United Arab Emirates’ (UAE) state revenues totalled AED463.9 billion ($126.3 billion) in 2021, up 26 percent from 2020, state news agency WAM reported on Tuesday, citing the finance ministry. State expenditure totalled AED402.4bn in the same period, up one percent on 2020, WAM said. The figures pointed to an overall surplus of AED61.5 billion […] October 26, 2022
Economy Kuwait delays budget approval until after elections Kuwait formally dissolved parliament in a decree issued on Tuesday, state news agency KUNA said, as the Gulf state’s crown prince moved to resolve a standoff between the government and elected parliament that has hindered fiscal reform. Last month Crown Prince Sheikh Meshal Al-Ahmad Al-Sabah, who took over most of the ruling emir’s duties, said […] October 26, 2022
Energy Riyadh was more ‘mature’ in spat with Washington, minister tells FII Saudi Arabia decided to be the “maturer guys” in a spat with the United States over oil supplies, the kingdom’s energy minister Prince Abdulaziz bin Salman said on Tuesday. Prince Abdulaziz made the comment during his speech to the kingdom’s Future Investment Initiative (FII) event, which has drawn top executives from the US and elsewhere. […] October 25, 2022
Analysis GCC and South Korea kick off fresh round of trade talks The sixth round of trade talks between the GCC and South Korea has started in Seoul. The negotiations began on Monday and are scheduled to run until Friday. The two sides resumed talks on a free trade agreement earlier this year, following a 13-year hiatus. The agenda for the sixth round includes goods and services, […] October 25, 2022
Analysis Banking and Finance Mena debt market slumps in year of Fed hikes and high oil prices Debt issuance has plunged in the Middle East and North Africa this year, with interest rate volatility deterring would-be issuers and oil exporters’ huge fiscal surpluses reducing their need to offer bonds or sukuk. Mena debt sales in the first nine months of 2022 were $18.3 billion, down 80 percent year-on-year and the lowest total […] October 25, 2022
Banking and Finance South Korea’s Mirae Asset in talks to fund Elon Musk’s Twitter deal South Korea’s Mirae Asset Financial Group is planning to commit about 300 billion Korean won ($208 million) to help finance Elon Musk’s $44 billion buyout of Twitter Inc, a person familiar with the matter told Reuters on Monday. The deal with Mirae is expected to be finalised in the coming days before the deadline for […] October 25, 2022
Banking and Finance Israel’s stock exchange to create crypto trading platform The Tel Aviv Stock Exchange (TASE) said on Monday it would reshape its ownership structure and also create a blockchain platform to allow more trading of crypto currencies in an effort to match international standards. TASE, which went public in 2019, said it would create a new publicly traded holding company that will own 100 […] October 25, 2022
Banking and Finance Lebanon says state cannot ‘save all depositors’ who lost funds in crisis Lebanon’s deputy prime minister Saade Chami said Monday that the government’s plan to revive an economy crushed by a three-year financial crisis would not be able to pay back all depositors in full. Chami is the architect behind a recovery roadmap that Lebanon’s cabinet passed in May and which includes several measures that are required […] October 25, 2022
Banking and Finance Mubadala and US fund to jointly invest about $1bn in Asia Pacific US investment fund KKR & Co. and Abu Dhabi state fund Mubadala Investment Co. said they had entered into an agreement to invest about $1 billion in Asia. The agreement, announced on Sunday, will see the two firms investing across performing private credit opportunities in the Asia Pacific region. Mubadala, which manages $243 billion in […] October 25, 2022
Banking and Finance Abu Dhabi’s sovereign fund ADQ manages $157bn in assets Sovereign wealth fund tracker Global SWF estimated on Monday that Abu Dhabi’s ADQ, which last week became the new owner of state carrier Etihad, has seen its assets under management grow to $157 billion. The smallest of Abu Dhabi’s three main sovereign wealth funds, ADQ has emerged as one of the region’s most active dealmakers, […] October 25, 2022
Banking and Finance PIF makes offer for 51% of Saudi Telecom’s $6bn towers unit Saudi Telecom Company (STC) said on Monday the kingdom’s sovereign wealth fund had made a non-binding offer to buy 51 percent of its towers business, valuing the latter at almost $6 billion. The offer from the sovereign Public Investment Fund (PIF), which owns 64 percent of STC, is subject to a final agreement and approvals, […] October 25, 2022
Abu Dhabi’s ADQ invests $125m in female-led private equity fund Wealth fund ADQ is backing Aliph Capital, set up by Huda Al Lawati. Research has found women in VC are more likely to invest in other women October 25, 2022
Economy Rishi Sunak to be UK prime minister: What you need to know Rishi Sunak will be Britain’s next prime minister after his rivals quit the race, following one of the most turbulent periods in British political history. Politics Sunak, the 42-year-old former finance minister, will become Britain’s third prime minister in less than two months. His predecessor Liz Truss was brought down after just six weeks in […] October 24, 2022
Analysis Banking and Finance Mena investment banking fees surge past $1bn for year so far JP Morgan and HSBC remain the top fee-earning investment banks in the Middle East and North Africa, a new report has found, although a further slowdown in mergers and acquisitions could help regional banks boost their share. Total investment banking fees in the Mena amounted to $1.05 billion in the first nine months of 2022, […] October 24, 2022
