Google+ Followers

Sunday, 22 May 2016

Saudi Arabia construction contract awards drop by 51 per cent in first three months | The National

Saudi Arabia construction contract awards drop by 51 per cent in first three months | The National:

"Saudi Arabia’s construction market is in for a “challenging year" as lower oil prices continue to place restrictions on capital spending, according to a new report by National Commercial Bank (NCB).

NCB’s quarterly construction contracts index reports that just 27.9 billion Saudi riyals (Dh27.3bn) of new contract awards were made in the first three months of this year, a 51 per cent year-on-year decline, and a 39 per cent drop on the preceding quarter.

The bulk of contracts awarded were in the private sector, with 47 per cent in oil and gas, 21 per cent in hospitality and 16 per cent in residential property."



'via Blog this'

New test awaits oil as prices rise | The National

New test awaits oil as prices rise | The National:

"Clouds of smoke from wildfires hang over the Canadian town of Fort McMurray; oil leaks from sabotaged pipelines at Nigeria’s Forcados terminal; Venezuela runs out of money to buy oil to mix with its own heavy crude for export; Kuwaiti petroleum workers go on strike over pay; and an Indian tanker is turned around after attempting illegally to export oil from eastern Libya.

These five disparate incidents are linked in two ways. They, and other disruptions, have removed about 2.5 million barrels per day of oil supply, bringing the market closer to balance after two years of glut. Oil prices, which dropped to as low as US$27.50 per barrel in January, rebounded to close to $50 per barrel last week.

But there is also a deeper connection. The forest fires in Alberta are a natural disaster that might happen at any time, but the other disruptions are all linked to low oil prices."



'via Blog this'

Saudi Arabia urges Al Gosaibi creditors to file claims | The National

Saudi Arabia urges Al Gosaibi creditors to file claims | The National:

"The Saudi Arabian government has urged local creditors to the troubled Al Gosaibi family to enter claims against the family or be ruled out of any settlement process.

On the orders of a special tribunal in the Al Gosaibi’s headquarters of Al Khobar, Ahmed Hamed Al Gosaibi and Brothers (Ahab), the partnership that runs the family conglomerate, placed advertisements in Saudi papers asking potential claimants to come forward.

The wording of the ads makes it clear that, unless Saudi banks – owed about US$2 billion by the family – agree to be part of the process, any further claim will not be considered. “Please note that the distribution of creditor funds will be limited only to the applications made in accordance with [Saudi legislation governing enforcement of legal decisions]," said the ads in three newspapers."



'via Blog this'

GCC and Turkey find common ground to rebuild relations | The National

GCC and Turkey find common ground to rebuild relations | The National:

"Ties between the GCC and Turkey are set to improve as their interests align on a number of key regional issues, and despite Ankara’s support for Islamist political parties that has strained ties for the past five years.

The reset in relations was marked by a flurry of diplomatic activity over the past month.

On April 14, the Saudi and Turkish foreign ministers signed an agreement at a ceremony in Istanbul attended by King Salman and president Recep Tayyip Ergogan to create a bilateral strategic cooperation council. On April 26, foreign minister Mevlet Cavusoglu became the first senior Turkish official to visit the UAE in nearly three years when he arrived in the capital for talks with Sheikh Mohammed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces. A day later, the UAE said it was sending an ambassador back to Ankara after a three-year absence."



'via Blog this'

Bahrain sovereign fund Mumtalakat 2015 net profit drops 68.7% | GulfNews.com

Bahrain sovereign fund Mumtalakat 2015 net profit drops 68.7% | GulfNews.com:

"Bahraini sovereign fund Mumtalakat posted a 68.7 per cent drop in 2015 net profit on Sunday, as the state-owned investor cited impairment losses for the decline. Net profit in 2015 was $76.3 million (Dh280 million) against $243.6 million in the previous year, Mumtalakat said in a statement. It added that the reduction in net profit was due to “impairment losses recognised on goodwill” without elaborating. It noted though that the impact was partially offset by a higher contribution from its share of profit from associates and improved operational performance at Gulf Air. (Reuters)"



'via Blog this'

Qatar to raise $5 billion via bonds | GulfNews.com

Qatar to raise $5 billion via bonds | GulfNews.com:

"Qatar may raise $5 billion (Dh18.36 billion) in international capital markets through bonds as it seeks to plug its budget deficit due to falling gas prices, according to reports.

The world’s largest exporter of liquid gas has arranged meetings with investors in Asia, Europe and the US and hired 10 banks to sell the loan.

The bond could be issued on Wednesday, according to a banker involved in the deal, quoted in the report. Moody’s confirmed Qatar’s third-highest investment-grade rating last week."



'via Blog this'

Saudi Arabia’s job policy that needs change | GulfNews.com

Saudi Arabia’s job policy that needs change | GulfNews.com:

"Nearly two years after oil prices began their precipitous decline, leading global producers are facing the prospect of major adjustments that will have far-reaching economic, social, and political consequences.

While such adjustments will surely be enormously challenging — especially for middle-income countries like Saudi Arabia, which lack the massive wealth funds of, say, the UAE — they present these countries with an important opportunity to consider more productive ways to organise their societies.

It seems that Saudi Arabia has embraced this challenge. The long-time oil minister was replaced, soon after the Kingdom issued its Vision 2030 plan for ensuring sustainable long-term growth. The plan has been both hailed and criticised for its ambition, exemplified by the goal of turning the Kingdom into the world’s 15th largest economy over the next two decades — an economy characterised by its skilled labour force, open markets, and good governance."



'via Blog this'

MIDEAST STOCKS-Gulf markets fall as investors take profits; Egypt sags | Reuters

MIDEAST STOCKS-Gulf markets fall as investors take profits; Egypt sags | Reuters:

"Stock markets in the Gulf fell on Sunday as investors took profits, taking their cue from a dip in Brent oil futures at the end of last week, while concerns over security risks put pressure on Egyptian shares.

Riyadh's stock index dropped 1.0 percent, weighed down by the two largest sectors, banks and petrochemicals. Samba Financial Group and Saudi Basic Industries, the largest listed stock by market value, fell 2.0 and 1.2 percent respectively.

But some retail industry shares, which had largely been weak since reporting quarterly results last month, outperformed the market with Fawaz Alhokair, which owns Saudi rights to clothing brands such as Mango and Banana Republic, surging 9.6 percent. The stock has rebounded 25.5 percent since late last week."



'via Blog this'

Gulf producers must adjust to China’s oil pricing power | The National

Gulf producers must adjust to China’s oil pricing power | The National:

"The growing dominance of China in Asian oil trading is a problem that will not go away for Arabian Gulf crude producers.

The question now is whether the new generation of technocrats that in recent months have taken over the national oil companies in Riyadh, Abu Dhabi and elsewhere in the region will act on pledges to be more transparent and efficient by modernising crude oil trading with their major Asian clients, especially China.

The fact that China has become not only Asia’s dominant oil buyer but the world’s swing consumer was underlined last week by Platts, an arm of McGraw Hill Financial whose oil pricing system is a linchpin of Asian oil trading."



'via Blog this'

S&P affirms Oman’s rating | The National

S&P affirms Oman’s rating | The National:

"Standard & Poor’s has affirmed its BBB-/A-3’ rating on Oman, even as lower oil prices keep adding pressure on the Arabian Gulf oil exporter.

The ratings agency added that the sultanate’s outlook was stable.

“The stable outlook reflects the balance between our expectation that Oman can broadly maintain its fiscal and external stock positions over 2016-2019 against risks from weakening economic income, fiscal and external flows," it said."



'via Blog this'

Abu Dhabi Stocks in Worst Run Since October as Gulf Markets Drop - Bloomberg

Abu Dhabi Stocks in Worst Run Since October as Gulf Markets Drop - Bloomberg:

"Abu Dhabi stocks headed for the longest losing streak since October as most Gulf Arab equity markets declined.
The ADX General Index fell 0.4 percent to 4,220.24 at 11:13 a.m. local time, extending its drop for a sixth day. Emirates Telecommunications Group Co., the largest telecom company in the Middle East also known as Etisalat, led the retreat with a 1.1 percent drop. Qatar’s QE Index eased 0.1 percent and Kuwait’s SE Price Index lost 0.3 percent.
Dubai’s DFM General Index decreased 0.1 percent. Oman’s MSM 30 Index was little changed. Saudi Arabia’s Tadawul All Share Index slipped 0.2 percent."



'via Blog this'

MIDEAST STOCKS-Gulf markets edge lower in early trade | Reuters

MIDEAST STOCKS-Gulf markets edge lower in early trade | Reuters:

"Stock markets in the Gulf edged down in early trade on Sunday as investors took profits, encouraged by a dip in Brent oil futures at the end of last week.

Riyadh's stock index lost 0.2 percent, weighed down by the petrochemical sector. Saudi Basic Industries, the largest listed stock by market value, was down 0.6 percent.

But some retail industry shares, which had largely been weak since reporting quarterly results last month, outperformed the market with Jarir Marketing up 0.2 percent. Shares in the company are however down 6.4 percent since last month."



'via Blog this'