Chinese attendance at Saudi conference doubles as Riyadh courts Beijing | Reuters
Around 300 Chinese "decision makers" are attending Saudi Arabia's flagship investment conference this year, organisers said on Thursday, double last year's attendance as Riyadh deepens its relationship with China despite U.S. concerns.
Only around 15 people have cancelled their attendance of the annual Future Investment Initiative (FII), Richard Attias, CEO of the FII Institute said, as the war in Gaza spurred fears of a wider conflict that could affect the Gulf region.
"All the biggest and most important speakers are insisting on coming," Attias told reporters.
Wall Street financiers and Western investors have been the stars of the FII gathering since its launch by Crown Prince Mohammed bin Salman in 2017 to promote the kingdom's economic diversification plans.
But Riyadh's relationship with Washington frayed under President Joe Biden over several issues, including closer Saudi ties with China. In defiance of its key Western ally, Prince Mohammed invited Chinese President Xi Jinping to visit the kingdom and launched a Chinese-Arab summit.
Thursday, 19 October 2023
Most Gulf markets tumble on fears of wider conflict in the region | Reuters
Most Gulf markets tumble on fears of wider conflict in the region | Reuters
Most stock markets in the Gulf ended lower on Thursday on fears that Israel's military campaign in Gaza may escalate to a regional conflict.
Israel pounded Gaza with more air strikes on Thursday, as British Prime Minister Rishi Sunak followed U.S. President Joe Biden on visits to demonstrate support for the war against Hamas, while urging Israel to ease the plight of besieged Gazans.
An explosion at a hospital in Gaza on the eve of Biden's visit upset his plans to meet Arab leaders, who called off a summit with him.
Saudi Arabia's benchmark index (.TASI) dropped 0.6%, with Etihad Atheeb Telecom (7040.SE) losing 2.8%, while Elm Company retreated 2.1%.
Dubai's main share index (.DFMGI) retreated 1.9%, falling for a sixth consecutive session, dragged down by a 4.5% fall in blue-chip developer Emaar Properties (EMAR.DU).
The Dubai stock market continued to decline on risk aversion as traders reacted to the geopolitical developments in the region, said Daniel Takieddine, CEO MENA at BDSwiss.
"The resilience of the local economy could provide some support if efforts to de-escalate tensions succeed and conditions are more favorable."
In Abu Dhabi, the index (.FTFADGI) closed 0.6% lower.
However, the index's losses were limited following a 0.5% rise in First Abu Dhabi Bank (FAB) (FAB.AD).
FAB, the United Arab Emirates' biggest lender by assets, on Thursday beat estimates with a 46% jump in third-quarter net profit, boosted by higher interest income.
The Qatari benchmark (.QSI) retreated 1.5%, with almost all the stocks on the index finishing in negative territory, including Commercial Bank (COMB.QA), which was down 3.4%.
Oil prices - a major factor for the Gulf's financial markets - fell about 1% as the United States eased sanctions on Venezuela to allow more oil to flow globally, but Middle East tensions kept a lid on losses.
Outside the Gulf, Egypt's blue-chip index (.EGX30) tumbled 2.3%, led by a 10.1% plunge in Misr Fertilizers Production Co (MFPC.CA).
Egypt's economy will grow slower than earlier predicted as inflation eats into purchasing power and the Egyptian pound weakens, a Reuters poll showed on Thursday.
Most stock markets in the Gulf ended lower on Thursday on fears that Israel's military campaign in Gaza may escalate to a regional conflict.
Israel pounded Gaza with more air strikes on Thursday, as British Prime Minister Rishi Sunak followed U.S. President Joe Biden on visits to demonstrate support for the war against Hamas, while urging Israel to ease the plight of besieged Gazans.
An explosion at a hospital in Gaza on the eve of Biden's visit upset his plans to meet Arab leaders, who called off a summit with him.
Saudi Arabia's benchmark index (.TASI) dropped 0.6%, with Etihad Atheeb Telecom (7040.SE) losing 2.8%, while Elm Company retreated 2.1%.
Dubai's main share index (.DFMGI) retreated 1.9%, falling for a sixth consecutive session, dragged down by a 4.5% fall in blue-chip developer Emaar Properties (EMAR.DU).
The Dubai stock market continued to decline on risk aversion as traders reacted to the geopolitical developments in the region, said Daniel Takieddine, CEO MENA at BDSwiss.
"The resilience of the local economy could provide some support if efforts to de-escalate tensions succeed and conditions are more favorable."
In Abu Dhabi, the index (.FTFADGI) closed 0.6% lower.
However, the index's losses were limited following a 0.5% rise in First Abu Dhabi Bank (FAB) (FAB.AD).
FAB, the United Arab Emirates' biggest lender by assets, on Thursday beat estimates with a 46% jump in third-quarter net profit, boosted by higher interest income.
The Qatari benchmark (.QSI) retreated 1.5%, with almost all the stocks on the index finishing in negative territory, including Commercial Bank (COMB.QA), which was down 3.4%.
Oil prices - a major factor for the Gulf's financial markets - fell about 1% as the United States eased sanctions on Venezuela to allow more oil to flow globally, but Middle East tensions kept a lid on losses.
Outside the Gulf, Egypt's blue-chip index (.EGX30) tumbled 2.3%, led by a 10.1% plunge in Misr Fertilizers Production Co (MFPC.CA).
Egypt's economy will grow slower than earlier predicted as inflation eats into purchasing power and the Egyptian pound weakens, a Reuters poll showed on Thursday.
Mozambique's $3.1 bln lawsuit against shipbuilder politically motivated, UK court told | Reuters
Mozambique's $3.1 bln lawsuit against shipbuilder politically motivated, UK court told | Reuters
Mozambique's $3.1 billion lawsuit against Emirati-Lebanese shipbuilder Privinvest is a politically motivated attack to deflect blame for the failure of economic projects, the company's lawyers told London's High Court on Thursday.
Mozambique is suing Privinvest and its owner Iskandar Safa over the fallout from the decade-old "tuna bond" scandal, which devastated the economy of one of the world's poorest countries.
Mozambique alleges Privinvest and Safa paid bribes on an "industrial scale" in relation to three projects in 2013 and 2014, including one to exploit its tuna-rich coastal waters.
Its lawyers said in court filings that Privinvest chose the assets and services to be provided for the three projects simply to justify the level of lending to be provided, "not based on any genuine need for those services".
Mozambique's $3.1 billion lawsuit against Emirati-Lebanese shipbuilder Privinvest is a politically motivated attack to deflect blame for the failure of economic projects, the company's lawyers told London's High Court on Thursday.
Mozambique is suing Privinvest and its owner Iskandar Safa over the fallout from the decade-old "tuna bond" scandal, which devastated the economy of one of the world's poorest countries.
Mozambique alleges Privinvest and Safa paid bribes on an "industrial scale" in relation to three projects in 2013 and 2014, including one to exploit its tuna-rich coastal waters.
Its lawyers said in court filings that Privinvest chose the assets and services to be provided for the three projects simply to justify the level of lending to be provided, "not based on any genuine need for those services".
Major Gulf bourses retreat on Gaza war | Reuters
Major Gulf bourses retreat on Gaza war | Reuters
Major stock markets in the Gulf fell in early trade on Thursday, as the region remained volatile over the Israel-Hamas war.
Saudi Arabia's benchmark index (.TASI) dropped 0.4%, with digital solutions provider Elm Company (7203.SE) losing 2% and Saudi National Bank (1180.SE) retreating 2%.
Separately, the kingdom's sovereign wealth fund is set to raise $3.5 billion in a debut sale of Islamic bonds that drew strong demand, in the first major test for Middle Eastern markets since the conflict broke out.
On the other hand, Advanced Petrochemical Co (2330.SE) gained 1.9% after reporting a sharp rise in quarterly profit.
Dubai's main share index (.DFMGI) declined 0.7%, weighed down by a 3.5% decline in Emaar Properties (EMAR.DU) and a 1.7% decrease in toll operator Salik Co (SALIK.DU).
In Qatar, the index (.QSI) retreated 0.8% as most of the stocks on the index were in negative territory including Qatar National Bank (QNBK.QA), the Gulf's biggest lender, which was down 1.5%.
The Abu Dhabi index (.FTFADGI) eased 0.2%.
However, the index's losses were limited following a 1.1% rise in First Abu Dhabi Bank (FAB) (FAB.AD).
FAB, the United Arab Emirates' biggest lender by assets, on Thursday beat estimates with a 46% jump in third-quarter net profit, boosted by higher interest income.
Major stock markets in the Gulf fell in early trade on Thursday, as the region remained volatile over the Israel-Hamas war.
Saudi Arabia's benchmark index (.TASI) dropped 0.4%, with digital solutions provider Elm Company (7203.SE) losing 2% and Saudi National Bank (1180.SE) retreating 2%.
Separately, the kingdom's sovereign wealth fund is set to raise $3.5 billion in a debut sale of Islamic bonds that drew strong demand, in the first major test for Middle Eastern markets since the conflict broke out.
On the other hand, Advanced Petrochemical Co (2330.SE) gained 1.9% after reporting a sharp rise in quarterly profit.
Dubai's main share index (.DFMGI) declined 0.7%, weighed down by a 3.5% decline in Emaar Properties (EMAR.DU) and a 1.7% decrease in toll operator Salik Co (SALIK.DU).
In Qatar, the index (.QSI) retreated 0.8% as most of the stocks on the index were in negative territory including Qatar National Bank (QNBK.QA), the Gulf's biggest lender, which was down 1.5%.
The Abu Dhabi index (.FTFADGI) eased 0.2%.
However, the index's losses were limited following a 1.1% rise in First Abu Dhabi Bank (FAB) (FAB.AD).
FAB, the United Arab Emirates' biggest lender by assets, on Thursday beat estimates with a 46% jump in third-quarter net profit, boosted by higher interest income.
#AbuDhabi Wealth Fund to Merge Life Sciences Assets Ahead of IPO - Bloomberg
Abu Dhabi Wealth Fund to Merge Life Sciences Assets Ahead of IPO - Bloomberg
Abu Dhabi sovereign wealth fund ADQ is consolidating its pharmaceutical assets to create what would be one of the region’s largest life sciences firms ahead of a potential initial public offering, according to people familiar with the matter.
The fund will merge Egypt’s Amoun Pharmaceutical Co., Switzerland’s Acino, United Arab Emirates’ Pharmax Pharmaceuticals and Turkey’s Birgi Mefar Group, which it recently acquired, the people said, asking not to be identified because the discussions are private.
ADQ plans to list the new entity in the next 12 to 18 months and is considering more strategic investments — both locally and internationally — ahead of the potential offering, some of the people said. A representative for ADQ declined to comment.
ADQ, which is headed by Sheikh Tahnoon Bin Zayed Al Nahyan, the country’s national security adviser and brother to Abu Dhabi’s crown prince, last year consolidated several companies into Pure Health to create the largest health-care provider in the UAE. In August, Pure Health signed an agreement to buy one of the UK’s largest independent hospital operators from Centene Corp. for an enterprise value of about $1.2 billion.
The conglomerate, which owns some of Abu Dhabi’s key assets, has in recent years emerged as one of the emirate’s most active entities. With an estimated $157 billion in assets, ADQ is now Abu Dhabi’s third-largest sovereign wealth fund behind the Abu Dhabi Investment Authority and Mubadala Investment Co., according to data provider Global SWF.
The fund has been on an investment spree in sectors, which are considered to be strategic for Abu Dhabi as it seeks to fast-track efforts to diversify its oil-dependent economy.
Over the past two years, the Persian Gulf has seen a listings boom as governments in the UAE and in Saudi Arabia sell assets to expand their capital markets and attract new investors.
Abu Dhabi sovereign wealth fund ADQ is consolidating its pharmaceutical assets to create what would be one of the region’s largest life sciences firms ahead of a potential initial public offering, according to people familiar with the matter.
The fund will merge Egypt’s Amoun Pharmaceutical Co., Switzerland’s Acino, United Arab Emirates’ Pharmax Pharmaceuticals and Turkey’s Birgi Mefar Group, which it recently acquired, the people said, asking not to be identified because the discussions are private.
ADQ plans to list the new entity in the next 12 to 18 months and is considering more strategic investments — both locally and internationally — ahead of the potential offering, some of the people said. A representative for ADQ declined to comment.
ADQ, which is headed by Sheikh Tahnoon Bin Zayed Al Nahyan, the country’s national security adviser and brother to Abu Dhabi’s crown prince, last year consolidated several companies into Pure Health to create the largest health-care provider in the UAE. In August, Pure Health signed an agreement to buy one of the UK’s largest independent hospital operators from Centene Corp. for an enterprise value of about $1.2 billion.
The conglomerate, which owns some of Abu Dhabi’s key assets, has in recent years emerged as one of the emirate’s most active entities. With an estimated $157 billion in assets, ADQ is now Abu Dhabi’s third-largest sovereign wealth fund behind the Abu Dhabi Investment Authority and Mubadala Investment Co., according to data provider Global SWF.
The fund has been on an investment spree in sectors, which are considered to be strategic for Abu Dhabi as it seeks to fast-track efforts to diversify its oil-dependent economy.
Over the past two years, the Persian Gulf has seen a listings boom as governments in the UAE and in Saudi Arabia sell assets to expand their capital markets and attract new investors.
Oil falls as Israel embargo concerns fade, Venezuela sanctions to ease | Reuters
Oil falls as Israel embargo concerns fade, Venezuela sanctions to ease | Reuters
Oil prices fell on Thursday, reversing gains in the previous session, after OPEC showed no signs of supporting Iran's call for an oil embargo on Israel and as the United States plans to ease Venezuela sanctions to allow more oil to flow globally.
Brent futures for December fell 0.3%, or 29 cents, to $91.21 a barrel. U.S. West Texas Intermediate (WTI) futures for November, which expire on Friday, was nearly flat at $88.34 per barrel, up 2 cents from its settlement price.
The more active December WTI contract fell 0.2%, or 13 cents, to $87.14 a barrel at 0645 GMT.
Oil prices climbed about 2% in the previous session on concerns about disruptions to global supplies after Iran called for an oil embargo on Israel over the conflict in Gaza and after the U.S., the world's biggest oil consumer, reported a larger-than-expected inventory draw, adding to already tight supplies.
Oil prices fell on Thursday, reversing gains in the previous session, after OPEC showed no signs of supporting Iran's call for an oil embargo on Israel and as the United States plans to ease Venezuela sanctions to allow more oil to flow globally.
Brent futures for December fell 0.3%, or 29 cents, to $91.21 a barrel. U.S. West Texas Intermediate (WTI) futures for November, which expire on Friday, was nearly flat at $88.34 per barrel, up 2 cents from its settlement price.
The more active December WTI contract fell 0.2%, or 13 cents, to $87.14 a barrel at 0645 GMT.
Oil prices climbed about 2% in the previous session on concerns about disruptions to global supplies after Iran called for an oil embargo on Israel over the conflict in Gaza and after the U.S., the world's biggest oil consumer, reported a larger-than-expected inventory draw, adding to already tight supplies.
#UAE's top bank FAB beats profit estimates on higher interest income | Reuters
UAE's top bank FAB beats profit estimates on higher interest income | Reuters
First Abu Dhabi Bank (FAB), the United Arab Emirates' biggest lender by assets, on Thursday beat estimates with a 46% jump in third-quarter net profit, boosted by higher interest income.
Net profit was 4.3 billion dirhams ($1.17 billion) in the three months to Sept. 30, up from 2.9 billion a year earlier.
That topped the roughly 3.7 billion dirhams expected by analysts, LSEG data showed.
Its net interest income - the difference between earnings on loans and payouts on deposits - jumped 26% to about 4.6 billion dirhams.
Gulf banks are reaping windfalls after the U.S. Federal Reserve raised borrowing costs to try to control stubborn inflation as their currencies are pegged to the dollar.
But the Fed's aggressive monetary policy has made it difficult for customers to borrow and repay debt, prompting lenders to provision more for potential defaults.
FAB's shares rose 1.8% in early trade to 13.5 dirhams a piece on Thursday after the earnings were released. But they are down 21% year-to-date, underperforming the broader Abu Dhabi equities market (.FTFADGI) which is down 6.9%.
First Abu Dhabi Bank (FAB), the United Arab Emirates' biggest lender by assets, on Thursday beat estimates with a 46% jump in third-quarter net profit, boosted by higher interest income.
Net profit was 4.3 billion dirhams ($1.17 billion) in the three months to Sept. 30, up from 2.9 billion a year earlier.
That topped the roughly 3.7 billion dirhams expected by analysts, LSEG data showed.
Its net interest income - the difference between earnings on loans and payouts on deposits - jumped 26% to about 4.6 billion dirhams.
Gulf banks are reaping windfalls after the U.S. Federal Reserve raised borrowing costs to try to control stubborn inflation as their currencies are pegged to the dollar.
But the Fed's aggressive monetary policy has made it difficult for customers to borrow and repay debt, prompting lenders to provision more for potential defaults.
FAB's shares rose 1.8% in early trade to 13.5 dirhams a piece on Thursday after the earnings were released. But they are down 21% year-to-date, underperforming the broader Abu Dhabi equities market (.FTFADGI) which is down 6.9%.