Saudi-Qatar ructions spill on to football pitch | Financial Times:
Qatar-based television network beIN Sports said it would sue Asian football’s governing body over the abrupt cancellation of a $300m contract to screen matches in Saudi Arabia, the latest flashpoint in a political dispute roiling the Gulf.
The Asian Football Confederation’s decision to strip beIN of the right to screen its games in Saudi Arabia was revealed by Saudi football authorities late on Monday.
The Doha-based broadcaster had an exclusive contract to screen all AFC matches, including the Asian Champions League, across the Middle East. Instead, the AFC said matches would be livestreamed into Saudi Arabia for free through the governing body’s own website, on Facebook and YouTube.
Tuesday, 12 March 2019
#UAE ‘to tap Mideast shale,’ says energy minister
UAE ‘to tap Mideast shale,’ says energy minister:
The Middle East has great potential as a shale oil-producing area, according to the UAE Energy Minister Suhail Al-Mazrouei, who said the Emirates would inevitably produce shale at some stage.
Speaking at the CERAWeek by IHS Markit energy forum in Houston, Texas, Al-Mazrouei said that the economics of the energy industry had changed following the boom in US shale production, and the UAE was looking at how it might exploit its resources.
“We need to thank the shale oil producers for significantly dropping the cost. That has helped us look at shale with a different eye in the Middle East and in many parts of the world where it is a viable source,” he told delegates.
The Middle East has great potential as a shale oil-producing area, according to the UAE Energy Minister Suhail Al-Mazrouei, who said the Emirates would inevitably produce shale at some stage.
Speaking at the CERAWeek by IHS Markit energy forum in Houston, Texas, Al-Mazrouei said that the economics of the energy industry had changed following the boom in US shale production, and the UAE was looking at how it might exploit its resources.
“We need to thank the shale oil producers for significantly dropping the cost. That has helped us look at shale with a different eye in the Middle East and in many parts of the world where it is a viable source,” he told delegates.
#Qatar shares snap 5-day bear run on buying support
Qatar shares snap 5-day bear run on buying support:
Snapping five days of bearish spell, the Qatar Stock Exchange on Tuesday gained 22 points to inch near the 9,800 level mainly on increased buying support from domestic institutions.
The transport, consumer goods, telecom, insurance and industrials counters witnessed higher demand as the 20-stock Qatar Index settled 0.22% higher at 9,765.88 points.
Non-Qatari retail investors’ weakened net selling also played its role in the market, whose sensitive index is down 5.18% year-to-date.
Snapping five days of bearish spell, the Qatar Stock Exchange on Tuesday gained 22 points to inch near the 9,800 level mainly on increased buying support from domestic institutions.
The transport, consumer goods, telecom, insurance and industrials counters witnessed higher demand as the 20-stock Qatar Index settled 0.22% higher at 9,765.88 points.
Non-Qatari retail investors’ weakened net selling also played its role in the market, whose sensitive index is down 5.18% year-to-date.
#Iraq and #Iran Build Economic Ties as a Sidelined U.S. Looks On - Bloomberg
Iraq and Iran Build Economic Ties as a Sidelined U.S. Looks On - Bloomberg:
In the contest for Iraq’s loyalty, geography is proving irresistible.
Baghdad is being urged to take sides in the U.S.-Iran confrontation that’s escalated into one of the Middle East’s top flash-points. President Donald Trump is pushing Iraq to stop buying natural gas and electricity from its neighbor. President Hassan Rouhani wants it to purchase more to ease the pain imposed by American sanctions.
So far, Rouhani’s winning. On a three-day state that ends Wednesday, he’s held a press conference alongside his Iraqi counterpart, addressed businessmen, visited important Muslim shrines and chatted with tribal leaders. In December, after a 16-year American military presence, Trump caused a diplomatic furor by arriving unannounced in the middle of the night at a U.S. base, speaking to troops and leaving without meeting top officials.
In the contest for Iraq’s loyalty, geography is proving irresistible.
Baghdad is being urged to take sides in the U.S.-Iran confrontation that’s escalated into one of the Middle East’s top flash-points. President Donald Trump is pushing Iraq to stop buying natural gas and electricity from its neighbor. President Hassan Rouhani wants it to purchase more to ease the pain imposed by American sanctions.
So far, Rouhani’s winning. On a three-day state that ends Wednesday, he’s held a press conference alongside his Iraqi counterpart, addressed businessmen, visited important Muslim shrines and chatted with tribal leaders. In December, after a 16-year American military presence, Trump caused a diplomatic furor by arriving unannounced in the middle of the night at a U.S. base, speaking to troops and leaving without meeting top officials.
U.S. Cuts Oil Production Forecast for the First Time in 6 Months - Bloomberg
U.S. Cuts Oil Production Forecast for the First Time in 6 Months - Bloomberg:
The U.S. government cut its oil production forecast for the first time in six months as drillers scale back in smaller shale plays and the U.S. Gulf of Mexico.
While crude output is still expected to reach record levels, the Energy Information Administration trimmed its 2019 forecast to 12.3 million barrels a day -- 110,000 barrels-a-day lower than it had forecast previously. In 2020, production is expected to reach 13.03 million barrels a day -- 170,000 barrels a day lower than last month’s estimate.
“This is just the beginning,” said Phil Flynn, senior market analyst at Price Futures Group Inc. in Chicago. “The reality of the situation is that a lot of these guys are not making money and are having a hard time keeping these production levels up. Any pullback is going to make it harder to keep that upward trajectory of oil production moving higher.”
The U.S. government cut its oil production forecast for the first time in six months as drillers scale back in smaller shale plays and the U.S. Gulf of Mexico.
While crude output is still expected to reach record levels, the Energy Information Administration trimmed its 2019 forecast to 12.3 million barrels a day -- 110,000 barrels-a-day lower than it had forecast previously. In 2020, production is expected to reach 13.03 million barrels a day -- 170,000 barrels a day lower than last month’s estimate.
“This is just the beginning,” said Phil Flynn, senior market analyst at Price Futures Group Inc. in Chicago. “The reality of the situation is that a lot of these guys are not making money and are having a hard time keeping these production levels up. Any pullback is going to make it harder to keep that upward trajectory of oil production moving higher.”
Moody’s Sees Downgraded #Oman Still Dodging #Bahrain-Like Bailout - Bloomberg
Moody’s Sees Downgraded Oman Still Dodging Bahrain-Like Bailout - Bloomberg:
Moody’s Investors Service, which downgraded Oman’s credit rating to junk last week, said the cash-strapped sultanate won’t require a bailout similar to the one that Bahrain got in the next 12 to 18 months.
Oman doesn’t have any significant debt redemption coming due and has sufficient buffers to get through an unlikely “period of impaired market access” in the next 12 to 18 months, said Alexander Perjessy, a senior analyst at Moody’s. It has enough foreign-exchange reserves and another estimated $15 billion in liquid sovereign-wealth-fund assets, he said.
“The initial conditions are very different,” Perjessy said in an interview in Dubai. “Oman is starting from a much stronger position than where Bahrain was a year ago, and that’s reflected in the ratings.”
Moody’s Investors Service, which downgraded Oman’s credit rating to junk last week, said the cash-strapped sultanate won’t require a bailout similar to the one that Bahrain got in the next 12 to 18 months.
Oman doesn’t have any significant debt redemption coming due and has sufficient buffers to get through an unlikely “period of impaired market access” in the next 12 to 18 months, said Alexander Perjessy, a senior analyst at Moody’s. It has enough foreign-exchange reserves and another estimated $15 billion in liquid sovereign-wealth-fund assets, he said.
“The initial conditions are very different,” Perjessy said in an interview in Dubai. “Oman is starting from a much stronger position than where Bahrain was a year ago, and that’s reflected in the ratings.”
#UAE residential real estate market outlook remains 'weak', says Moody's | ZAWYA MENA Edition
UAE residential real estate market outlook remains 'weak', says Moody's | ZAWYA MENA Edition:
Ratings agency Moody's has said that it expects loan losses at banks in the United Arab Emirates to increase over the next 12-18 months as a result of a weakening construction and real estate market.
The agency said in a note on Tuesday that lending to real estate firms increased to 20 percent of total lending at the end of 2018, up from 16 percent at the end of 2015, and added that these sectors have, in the past, "contributed materially to banks' problem loans".
The agency's note cited ReidIn data which said that prices in the Dubai and Abu Dhabi residential markets have declined by 23 percent and 18 percent respectively since 2018. Assistant vice-president Lahlou Meksaoui said in a briefing to journalists on Tuesday morning that the "domestic real estate market outlook is weak".
Ratings agency Moody's has said that it expects loan losses at banks in the United Arab Emirates to increase over the next 12-18 months as a result of a weakening construction and real estate market.
The agency said in a note on Tuesday that lending to real estate firms increased to 20 percent of total lending at the end of 2018, up from 16 percent at the end of 2015, and added that these sectors have, in the past, "contributed materially to banks' problem loans".
The agency's note cited ReidIn data which said that prices in the Dubai and Abu Dhabi residential markets have declined by 23 percent and 18 percent respectively since 2018. Assistant vice-president Lahlou Meksaoui said in a briefing to journalists on Tuesday morning that the "domestic real estate market outlook is weak".
#Iran to launch new development phases of South Pars gas field | Reuters
Iran to launch new development phases of South Pars gas field | Reuters:
Iran is to launch four new phases at South Pars, the world’s largest gas field, with a production capacity of up to 110 million cubic meters per day, the oil ministry said on Twitter on Tuesday.
No additional information was provided on when the four phases would be launched.
Oil Minister Bijan Zanganeh told state TV last month that Iran’s gas production at South Pars had hit 610 million cubic meters per day.
Iran is to launch four new phases at South Pars, the world’s largest gas field, with a production capacity of up to 110 million cubic meters per day, the oil ministry said on Twitter on Tuesday.
No additional information was provided on when the four phases would be launched.
Oil Minister Bijan Zanganeh told state TV last month that Iran’s gas production at South Pars had hit 610 million cubic meters per day.
EU adds #UAE, Bermuda to expanded tax haven blacklist | Reuters
EU adds UAE, Bermuda to expanded tax haven blacklist | Reuters:
European Union governments adopted a broadened blacklist of tax havens on Tuesday, adding the United Arab Emirates and British and Dutch overseas territories in a revamp that tripled the number of listed jurisdictions.
The 28-nation EU set up the blacklist in December 2017 after revelations of widespread tax avoidance schemes used by corporations and wealthy individuals to lower their tax bills.
EU finance ministers added 10 jurisdictions to the updated list. They are: the Dutch Caribbean island of Aruba, Barbados, Belize, the British overseas territory of Bermuda, Fiji, the Marshall Islands, Oman, the United Arab Emirates, Vanuatu and Dominica.
European Union governments adopted a broadened blacklist of tax havens on Tuesday, adding the United Arab Emirates and British and Dutch overseas territories in a revamp that tripled the number of listed jurisdictions.
The 28-nation EU set up the blacklist in December 2017 after revelations of widespread tax avoidance schemes used by corporations and wealthy individuals to lower their tax bills.
EU finance ministers added 10 jurisdictions to the updated list. They are: the Dutch Caribbean island of Aruba, Barbados, Belize, the British overseas territory of Bermuda, Fiji, the Marshall Islands, Oman, the United Arab Emirates, Vanuatu and Dominica.
Oil edges higher on cuts to #Saudi exports | Reuters
Oil edges higher on cuts to Saudi exports | Reuters:
Oil prices edged higher on Tuesday, supported by signs of tightening global supply after a Saudi official said the kingdom plans to cut oil exports in April, while the U.S. government reduced its forecast for domestic crude output growth.
Saudi Arabia, seeking to drain a supply glut and support prices, plans to cut its crude oil exports next month to below 7 million barrels per day (bpd), while keeping its output well below 10 million bpd, a Saudi official said on Monday.
Brent crude futures rose 9 cents, or 0.1 percent, to settle at $66.67 a barrel. U.S. West Texas Intermediate (WTI) crude futures rose 8 cents, or 0.1 percent, to settle at $56.87 a barrel.
Oil prices edged higher on Tuesday, supported by signs of tightening global supply after a Saudi official said the kingdom plans to cut oil exports in April, while the U.S. government reduced its forecast for domestic crude output growth.
Saudi Arabia, seeking to drain a supply glut and support prices, plans to cut its crude oil exports next month to below 7 million barrels per day (bpd), while keeping its output well below 10 million bpd, a Saudi official said on Monday.
Brent crude futures rose 9 cents, or 0.1 percent, to settle at $66.67 a barrel. U.S. West Texas Intermediate (WTI) crude futures rose 8 cents, or 0.1 percent, to settle at $56.87 a barrel.
MIDEAST STOCKS-Global rally boosts most of Gulf, banks lift #Saudi | Reuters
MIDEAST STOCKS-Global rally boosts most of Gulf, banks lift Saudi | Reuters:
Most major Gulf markets rose on Tuesday, lifted by financial and real estate stocks, mirroring a rally in global markets amid hopes for a U.S.-China trade deal and progress on Brexit.
Saudi Arabia's index was up 0.2 percent with its largest lender, National Commercial Bank, gaining 1 percent and bank Samba Financial Group adding 1.1 percent.
The index is up 7.8 percent this year, outperforming major Gulf markets, with big investors in Saudi Arabia pushing ahead with deals and pouring money back into stocks as the country tries to move on from journalist Jamal Khashoggi's murder.
Most major Gulf markets rose on Tuesday, lifted by financial and real estate stocks, mirroring a rally in global markets amid hopes for a U.S.-China trade deal and progress on Brexit.
Saudi Arabia's index was up 0.2 percent with its largest lender, National Commercial Bank, gaining 1 percent and bank Samba Financial Group adding 1.1 percent.
The index is up 7.8 percent this year, outperforming major Gulf markets, with big investors in Saudi Arabia pushing ahead with deals and pouring money back into stocks as the country tries to move on from journalist Jamal Khashoggi's murder.
#Saudi Competition Czar to Wield More Power With Revamped Law - Bloomberg
Saudi Competition Czar to Wield More Power With Revamped Law - Bloomberg:
Saudi Arabia’s competition enforcement will have more teeth under a revamped law meant to attract investment at a time the kingdom looks to diversify its economy from a decades-long reliance on crude.
The General Authority for Competition will get greater leeway and independence to step in and take action when dealing with violations, Mohammed Al Jasser, chairman of its board of directors, said in an interview in Riyadh. The new law won the approval of the Saudi cabinet last week.
“What we need is to ensure that competition is unhindered and that any violators are taken to task,” said Al Jasser, who’s also a former central bank governor.
Saudi Arabia’s competition enforcement will have more teeth under a revamped law meant to attract investment at a time the kingdom looks to diversify its economy from a decades-long reliance on crude.
The General Authority for Competition will get greater leeway and independence to step in and take action when dealing with violations, Mohammed Al Jasser, chairman of its board of directors, said in an interview in Riyadh. The new law won the approval of the Saudi cabinet last week.
“What we need is to ensure that competition is unhindered and that any violators are taken to task,” said Al Jasser, who’s also a former central bank governor.
OPEC Splits Avocado Appetizer With Shale Adversaries in Texas - Bloomberg
OPEC Splits Avocado Appetizer With Shale Adversaries in Texas - Bloomberg:
OPEC’s secretary general met with senior executives from North America’s booming shale oil industry for dinner in Houston as the balance of power in global energy markets continues its swing to the U.S. from the Middle East.
The dinner Monday night included "a friendly conversation on current industry issues and the immediate prospects and challenges for all," OPEC Secretary General Mohammad Barkindo said in an interview after the meal. It marks the third consecutive year that rival producers have gathered on the sidelines of the annual CERAWeek by IHS Markit conference.
"We are not keeping oil prices at any level -- we just keep stability in the oil market," Barkindo said. "We are not worried about shale. What we are concerned about is orderly growth, orderly expansion, to meet current and future demand."
OPEC’s secretary general met with senior executives from North America’s booming shale oil industry for dinner in Houston as the balance of power in global energy markets continues its swing to the U.S. from the Middle East.
The dinner Monday night included "a friendly conversation on current industry issues and the immediate prospects and challenges for all," OPEC Secretary General Mohammad Barkindo said in an interview after the meal. It marks the third consecutive year that rival producers have gathered on the sidelines of the annual CERAWeek by IHS Markit conference.
"We are not keeping oil prices at any level -- we just keep stability in the oil market," Barkindo said. "We are not worried about shale. What we are concerned about is orderly growth, orderly expansion, to meet current and future demand."
FIFA: Nations Must Restore Ties With #Qatar to Host WC Games - Bloomberg
FIFA: Nations Must Restore Ties With Qatar to Host WC Games - Bloomberg:
Persian Gulf countries would have to lift boycotts of Qatar before being eligible to join hosting of the World Cup, FIFA determined in a feasibility study recommending its ruling council endorse expansion of the 2022 tournament to 48 teams despite the logistical and political complexities.
The 81-page study seen by The Associated Press says Qatar would not be forced to share games with Bahrain, Saudi Arabia or the United Arab Emirates unless those countries restore diplomatic and travel ties with Doha. Because of their neutrality in the situation, Kuwait and Oman are the most viable options identified by FIFA to host games in '22. Venues in at least one more country would be required to cope with the additional 16 teams and 16 games under the expansion proposal.
The feasibility report was prepared for FIFA's ruling council to consider ahead of a meeting in Miami on Friday, when the leadership will seek approval to press ahead with finalizing plans for adding another 16 teams.
Persian Gulf countries would have to lift boycotts of Qatar before being eligible to join hosting of the World Cup, FIFA determined in a feasibility study recommending its ruling council endorse expansion of the 2022 tournament to 48 teams despite the logistical and political complexities.
The 81-page study seen by The Associated Press says Qatar would not be forced to share games with Bahrain, Saudi Arabia or the United Arab Emirates unless those countries restore diplomatic and travel ties with Doha. Because of their neutrality in the situation, Kuwait and Oman are the most viable options identified by FIFA to host games in '22. Venues in at least one more country would be required to cope with the additional 16 teams and 16 games under the expansion proposal.
The feasibility report was prepared for FIFA's ruling council to consider ahead of a meeting in Miami on Friday, when the leadership will seek approval to press ahead with finalizing plans for adding another 16 teams.
DIFC's wealth and asset management sector hits at $424bln | ZAWYA MENA Edition
DIFC's wealth and asset management sector hits at $424bln | ZAWYA MENA Edition:
The size of the wealth and asset management sector at the Dubai International Financial Centre (DIFC) stands at $424 billion, equivalent to roughly 30 per cent of the combined gross domestic product of all GCC countries.
Essa Kazim, governor of the DIFC, which is the leading financial hub in the Middle East, Africa and South Asia region, said on Monday that over the past 15 years, the centre has grown into what is today a focal point for the global business and investor community.
He said a testament to the remarkable success of the DIFC is amount of capital being raised in the centre. "The approximate size of the wealth and asset management industry in the DIFC is now $424 billion. To put this in context, that is equivalent to roughly 30 per cent of the combined GDP of all GCC countries."
The size of the wealth and asset management sector at the Dubai International Financial Centre (DIFC) stands at $424 billion, equivalent to roughly 30 per cent of the combined gross domestic product of all GCC countries.
Essa Kazim, governor of the DIFC, which is the leading financial hub in the Middle East, Africa and South Asia region, said on Monday that over the past 15 years, the centre has grown into what is today a focal point for the global business and investor community.
He said a testament to the remarkable success of the DIFC is amount of capital being raised in the centre. "The approximate size of the wealth and asset management industry in the DIFC is now $424 billion. To put this in context, that is equivalent to roughly 30 per cent of the combined GDP of all GCC countries."
#Qatar Islamic Bank hires banks ahead of dollar sukuk - IFR | Reuters
Qatar Islamic Bank hires banks ahead of dollar sukuk - IFR | Reuters:
Qatar Islamic Bank, the Gulf state’s largest sharia-compliant lender by assets, has hired banks ahead of a potential issue of U.S. dollar-denominated sukuk, or Islamic bonds, according to IFR, a fixed income news service.
The lender has appointed Barclays, Boubyan Bank , Credit Agricole, QInvest, QNB Capital and Standard Chartered as joint bookrunners to arrange fixed income investor meetings in Singapore, Hong Kong and London from March 14.
Qatar Islamic Bank, the Gulf state’s largest sharia-compliant lender by assets, has hired banks ahead of a potential issue of U.S. dollar-denominated sukuk, or Islamic bonds, according to IFR, a fixed income news service.
The lender has appointed Barclays, Boubyan Bank , Credit Agricole, QInvest, QNB Capital and Standard Chartered as joint bookrunners to arrange fixed income investor meetings in Singapore, Hong Kong and London from March 14.
UPDATE 1- #UAE banks' loan losses to rise on real estate - Moody's | Reuters
UPDATE 1-UAE banks' loan losses to rise on real estate - Moody's | Reuters:
Banks in the United Arab Emirates are expected to experience a rise in loan losses over the next 12 to 18 months as a decline in real estate prices and rising interest rates reduce borrowers’ cash flow, Moody’s said on Tuesday.
Residential property prices in Dubai have been falling since 2014 on high supply and weaker demand, forcing construction and engineering firms to cut jobs and halt expansion plans.
Increased lending to the sector, partly due to the construction of large developments and infrastructure projects ahead of Dubai’s Expo 2020, has coincided with the market downturn, said Moody’s.
Banks in the United Arab Emirates are expected to experience a rise in loan losses over the next 12 to 18 months as a decline in real estate prices and rising interest rates reduce borrowers’ cash flow, Moody’s said on Tuesday.
Residential property prices in Dubai have been falling since 2014 on high supply and weaker demand, forcing construction and engineering firms to cut jobs and halt expansion plans.
Increased lending to the sector, partly due to the construction of large developments and infrastructure projects ahead of Dubai’s Expo 2020, has coincided with the market downturn, said Moody’s.
Pakistan to offer gas fields to foreign explorers, investors: official | Reuters
Pakistan to offer gas fields to foreign explorers, investors: official | Reuters:
Pakistan plans to offers dozens of gas field concessions in the coming year to fill in a fuel shortage, a senior official said, with Islamabad hoping a sharp drop in militant violence and changes to exploration policy will attract foreign investors.
Much of the mineral-rich South Asian nation remains unexplored despite gas discoveries dating back to the 1950s. Conventional gas reserves are estimated at 20 trillion cubic feet (tcf), or 560 billion cubic meters, and shale gas reserves, which are untouched, at more than 100 tcf.
Italy’s ENI and U.S. oil major Exxon Mobil are jointly drilling for gas offshore in Pakistan’s Arabian Sea, but many other Western companies have not returned after leaving more than a decade ago because of Islamist militant violence.
Pakistan plans to offers dozens of gas field concessions in the coming year to fill in a fuel shortage, a senior official said, with Islamabad hoping a sharp drop in militant violence and changes to exploration policy will attract foreign investors.
Much of the mineral-rich South Asian nation remains unexplored despite gas discoveries dating back to the 1950s. Conventional gas reserves are estimated at 20 trillion cubic feet (tcf), or 560 billion cubic meters, and shale gas reserves, which are untouched, at more than 100 tcf.
Italy’s ENI and U.S. oil major Exxon Mobil are jointly drilling for gas offshore in Pakistan’s Arabian Sea, but many other Western companies have not returned after leaving more than a decade ago because of Islamist militant violence.
MIDEAST STOCKS-Global rally lifts Gulf, blue chips lead #Qatar | Reuters
MIDEAST STOCKS-Global rally lifts Gulf, blue chips lead Qatar | Reuters:
All major Gulf markets rose on Tuesday mirroring gains in global markets, while Qatar was lifted by its blue-chip stocks.
The Qatar index was up 0.8 percent after five sessions of losses. Middle East’s biggest lender Qatar National Bank advanced 1.3 percent and blue-chip petrochemical maker Industries Qatar increased 1 percent.
The index was one of the best performing markets last year as fund inflows increased after the limit on foreign ownership of Qatari stocks was raised. But the index has already lost 4.6 percent this year, with some analysts considering it expensive at its current valuation.
All major Gulf markets rose on Tuesday mirroring gains in global markets, while Qatar was lifted by its blue-chip stocks.
The Qatar index was up 0.8 percent after five sessions of losses. Middle East’s biggest lender Qatar National Bank advanced 1.3 percent and blue-chip petrochemical maker Industries Qatar increased 1 percent.
The index was one of the best performing markets last year as fund inflows increased after the limit on foreign ownership of Qatari stocks was raised. But the index has already lost 4.6 percent this year, with some analysts considering it expensive at its current valuation.
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