Saudi energy minister says focusing only on renewables a mistake | Reuters
The Saudi energy minister said on Sunday that focusing only on renewable power sources was a mistake and that the world may not be able to produce all the energy needed for economic recovery from the coronavirus pandemic.
"The pandemic and the recovery underway have taught us the value of caution," said Prince Abdulaziz bin Salman during an energy event in Riyadh.
He added that a lack of investments had caused energy prices to rise, but that Saudi Arabia was continuing to invest in production capacity.
Sunday 20 February 2022
Most Gulf bourses pull back on Ukraine tensions | Reuters
Most Gulf bourses pull back on Ukraine tensions | Reuters
Most stock markets in the Gulf ended lower on Sunday after Russia and Belarus extended military drills north of Ukraine, dashing Western hopes that diplomacy might resolve the crisis.
The decision to extend military exercises was taken because of increased military activity near the borders of Russia and Belarus and an escalation of the situation in the eastern Ukrainian region of Donbass, the Belarus ministry said in a statement. read more
Saudi Arabia's benchmark index (.TASI) fell 0.1%, as most of the stocks on the index were in negative territory including SABIC Agri-Nutrient (2020.SE).
However, the index's losses were limited by gains at Al Rajhi Bank (1120.SE), which concluded 5.9% higher after the lender announced board's proposal to increase capital to 40 billion riyals ($10.66 billion) by issuing bonus shares.
Separately, Nahdi Medical Co, Saudi Arabia's market leader in retail pharmacy, on Sunday announced its intention to list on the local bourse by selling 30% of its shares, joining a spate of new initial public offerings in the kingdom. read more
The Qatari index (.QSI) dropped 0.5%, hit by a 1% fall in the Gulf's biggest lender Qatar National Bank (QNBK.QA).
Crude prices, a key catalyst for the Gulf's financial markets, ended the week mixed on Friday as investors weighed a potential supply disruption resulting from the Russia-Ukraine crisis against the prospect of increased Iranian oil exports. read more
Outside the Gulf, Egypt's blue-chip index (.EGX30) declined 1.4%, dragged down by losses across the board.
Most stock markets in the Gulf ended lower on Sunday after Russia and Belarus extended military drills north of Ukraine, dashing Western hopes that diplomacy might resolve the crisis.
The decision to extend military exercises was taken because of increased military activity near the borders of Russia and Belarus and an escalation of the situation in the eastern Ukrainian region of Donbass, the Belarus ministry said in a statement. read more
Saudi Arabia's benchmark index (.TASI) fell 0.1%, as most of the stocks on the index were in negative territory including SABIC Agri-Nutrient (2020.SE).
However, the index's losses were limited by gains at Al Rajhi Bank (1120.SE), which concluded 5.9% higher after the lender announced board's proposal to increase capital to 40 billion riyals ($10.66 billion) by issuing bonus shares.
Separately, Nahdi Medical Co, Saudi Arabia's market leader in retail pharmacy, on Sunday announced its intention to list on the local bourse by selling 30% of its shares, joining a spate of new initial public offerings in the kingdom. read more
The Qatari index (.QSI) dropped 0.5%, hit by a 1% fall in the Gulf's biggest lender Qatar National Bank (QNBK.QA).
Crude prices, a key catalyst for the Gulf's financial markets, ended the week mixed on Friday as investors weighed a potential supply disruption resulting from the Russia-Ukraine crisis against the prospect of increased Iranian oil exports. read more
Outside the Gulf, Egypt's blue-chip index (.EGX30) declined 1.4%, dragged down by losses across the board.
No Bank of #Israel rate hike this week but tightening likely soon: Reuters poll | Reuters
No Bank of Israel rate hike this week but tightening likely soon: Reuters poll | Reuters
The Bank of Israel is expected to keep short-term interest rates unchanged this week, its 15th such decision in a row, although analysts believe rapid economic growth and rising inflation will push rates higher in the coming months.
All 16 economists polled by Reuters forecast that the central bank's monetary policy committee (MPC) will keep the benchmark rate (ILINR=ECI) at an all-time low of 0.1% when the decision is announced on Monday at 4 p.m. (1400 GMT).
In keeping rates steady last month, Bank of Israel Governor Amir Yaron said Israel did not have an inflation problem like other countries and that allows for patience in examining the developments and in conducting monetary policy.
However, since the Jan. 3 decision, data showed that the annual inflation rate rose to 3.1% in January -- above the government's 1-3% target range and the first time it topped 3% since 2011.
The Bank of Israel is expected to keep short-term interest rates unchanged this week, its 15th such decision in a row, although analysts believe rapid economic growth and rising inflation will push rates higher in the coming months.
All 16 economists polled by Reuters forecast that the central bank's monetary policy committee (MPC) will keep the benchmark rate (ILINR=ECI) at an all-time low of 0.1% when the decision is announced on Monday at 4 p.m. (1400 GMT).
In keeping rates steady last month, Bank of Israel Governor Amir Yaron said Israel did not have an inflation problem like other countries and that allows for patience in examining the developments and in conducting monetary policy.
However, since the Jan. 3 decision, data showed that the annual inflation rate rose to 3.1% in January -- above the government's 1-3% target range and the first time it topped 3% since 2011.
#AbuDhabi wealth fund bets on scientific approach using quant experts | Financial Times
Abu Dhabi wealth fund bets on scientific approach using quant experts | Financial Times
Gathered together on a floor of the Abu Dhabi Investment Authority’s 40-storey headquarters, a group of physicists, academics and data experts huddle around whiteboards, scribbling equations and feeding reams of data into state of the art computers.
Gathered together on a floor of the Abu Dhabi Investment Authority’s 40-storey headquarters, a group of physicists, academics and data experts huddle around whiteboards, scribbling equations and feeding reams of data into state of the art computers.
Many were lured to Adia, one of the world’s largest sovereign wealth funds, from outside the traditional world of finance — more likely a university campus than an investment bank. But they are all part of a new, more than 50-strong team that the fund believes will be crucial to help it navigate the increasingly complex investment landscape.
The fund, which is estimated to manage about $700bn, has over the past two years been building a “research and development lab and factory” in the hope that a scientific approach will make it more nimble and better able to identify and take advantage of market anomalies.
It is one of the more radical shifts in thinking for a fund that has traditionally been considered among the more conservative SWFs, but is adapting in recognition of the impact artificial intelligence and other technological advances will have on investment.
#Saudi Lender Rajhi Rises to Record After $4 Billion Capital Plan - Bloomberg
Saudi Lender Rajhi Rises to Record After $4 Billion Capital Plan - Bloomberg
Al Rajhi Bank shares surged to a record after the second-biggest Saudi Arabian lender rolled out a $4 billion plan to grow its business.
The Riyadh-based bank will offer 3 bonus shares for every 5 held, according to a statement. That will raise its capital to 40 billion riyals ($10.7 billion) from 25 billion riyals and will “contribute to good growth ratios in the upcoming years,” it said.
Al Rajhi rivals include Saudi National Bank, which snatched the top spot as the kingdom’s biggest lender by assets after a combination with Samba Financial Group. Last week, Al Rajhi reported full-year profit that beat analysts’ estimates, citing a rise in income from financing and investments, and fees from banking services.
The shares climbed as much as 7.1% to 169.8 riyals, the highest on record. That helped push the benchmark Tadawul All Share Index to a gain of about 1% on Sunday.
Al Rajhi has a market capitalization of about $110 billion, higher than that of Saudi National Bank. But it trails the latter with assets of $155 billion compared with $243 billion of its rival.
Al Rajhi Bank market insights:
Al Rajhi Bank shares surged to a record after the second-biggest Saudi Arabian lender rolled out a $4 billion plan to grow its business.
The Riyadh-based bank will offer 3 bonus shares for every 5 held, according to a statement. That will raise its capital to 40 billion riyals ($10.7 billion) from 25 billion riyals and will “contribute to good growth ratios in the upcoming years,” it said.
Al Rajhi rivals include Saudi National Bank, which snatched the top spot as the kingdom’s biggest lender by assets after a combination with Samba Financial Group. Last week, Al Rajhi reported full-year profit that beat analysts’ estimates, citing a rise in income from financing and investments, and fees from banking services.
The shares climbed as much as 7.1% to 169.8 riyals, the highest on record. That helped push the benchmark Tadawul All Share Index to a gain of about 1% on Sunday.
Al Rajhi has a market capitalization of about $110 billion, higher than that of Saudi National Bank. But it trails the latter with assets of $155 billion compared with $243 billion of its rival.
Al Rajhi Bank market insights:
- Al Rajhi Bank trades at 24 times its estimated earnings per share for the coming year
- The company’s dividend yield is 1.4% on a trailing 12-month basis and 1.9% based on Bloomberg Dividend Forecasts for the next 12 months
#SaudiArabia pharmacy chain Nahdi to join spate of IPOs | Reuters
Saudi Arabia pharmacy chain Nahdi to join spate of IPOs | Reuters
Nahdi Medical Co, Saudi Arabia's market leader in retail pharmacy, on Sunday announced its intention to list on the local bourse by selling 30% of its shares, joining a spate of new initial public offerings in the kingdom.
Nahdi has 1,151 pharmacies, catering to the needs of more than 100 million customers, as well polyclinics and express clinics, it said.
It posted a revenue at 8.6 billion riyals ($2.3 billion) in 2020, reflecting a three-year compound annual growth rate of 8.4%, higher than the industry retailers' average of 7.9%, Nahdi said.
Nahdi's existing shareholders are Al Nahdi Holding Company and SEDCO Holding, which would sell part of their holdings in the share sale but remain long-term shareholders.
Nahdi Medical Co, Saudi Arabia's market leader in retail pharmacy, on Sunday announced its intention to list on the local bourse by selling 30% of its shares, joining a spate of new initial public offerings in the kingdom.
Nahdi has 1,151 pharmacies, catering to the needs of more than 100 million customers, as well polyclinics and express clinics, it said.
It posted a revenue at 8.6 billion riyals ($2.3 billion) in 2020, reflecting a three-year compound annual growth rate of 8.4%, higher than the industry retailers' average of 7.9%, Nahdi said.
Nahdi's existing shareholders are Al Nahdi Holding Company and SEDCO Holding, which would sell part of their holdings in the share sale but remain long-term shareholders.