Saudi Arabia offers tax breaks for companies moving regional HQs to Riyadh | Reuters
Saudi Arabia said on Tuesday it will offer tax incentives for foreign companies that locate their regional headquarters in the kingdom, including a 30-year exemption for corporate income tax.
The world's top oil exporter announced in February 2021 plans to cease awarding government contracts to companies whose regional headquarters are not located in the kingdom by Jan. 1, 2024.
The ultimatum, part of efforts by Crown Prince Mohammed bin Salman to wean the economy off oil by creating new industries that would generate jobs for Saudis, has escalated the kingdom's competition with regional business hub the United Arab Emirates.
The tax exemption package for regional headquarters includes a zero percent rate for the income tax of the regional entity and for the withholding tax on approved activities of those entities for 30 years, state news agency SPA reported.
International companies will benefit from the tax exemption package starting from the date their licences are issued, it added.
The programme has so far attracted 200 foreign companies, Saudi Investment minister Khaled Al-Falih was quoted as saying.
Tuesday 5 December 2023
#UAE takes big stakes in struggling UK offshore wind market
UAE takes big stakes in struggling UK offshore wind market
The United Arab Emirates is set to take a large minority stake in a second UK offshore wind farm in the space of a week, as the Gulf state seeks to capitalise on difficult conditions in the industry to expand in Britain.
The proposed investment in the new East Anglia Three offshore wind farm, which state-backed renewables company Masdar intends to finalise in the first quarter, is among a string of deals that oil-reliant UAE has signed at the COP28 climate conference, as it seeks to boost its green credentials.
The proposed investment also comes amid scrutiny of Emirati investment in other UK assets, including its part in an attempt to purchase the Telegraph Media Group.
Masdar, which is chaired by COP28 president Sultan al-Jaber, hopes to buy up to a 49 per cent stake in the 1.4 gigawatt wind farm under construction off the Norfolk coast — set to be one of the UK’s largest — from Spanish energy company Iberdrola.
The decision to back the project, due to start producing power in 2026, shows that the UAE is prepared to invest in projects that many developers believe have become uneconomical after government contracts locked in low prices for the electricity they produce.
Mubadala invests in Zenobē reinforcing commitment to sustainable infrastructure
Mubadala invests in Zenobē reinforcing commitment to sustainable infrastructure
Mubadala Investment Company (Mubadala), the Abu Dhabi sovereign investor, has announced its investment in Zenobē, a global player in fleet electrification and battery storage solutions. This strategic investment by Mubadala was executed with Infracapital, the infrastructure equity investment arm of M&G Plc, where Mubadala is a strategic limited partner.
Founded in 2017 and headquartered in London, Zenobē is an EV fleet and battery storage specialist. Its EV fleet business provides end-to-end solutions to support fleet operators with their transition to electric vehicles, including batteries, charging infrastructure and integrated software, while its battery storage business develops large-scale batteries that connect to transmission grids, a critical stabilising component for networks as increasing renewable energy resources are integrated into the grids.
Since Infracapital's initial investment in Zenobē in 2020, the business has demonstrated remarkable growth, supporting over 1,000 electric vehicles globally, and has 430MW of battery storage in operation or under construction. The business has strong presence in the UK, Australia and New Zealand and a growing portfolio in continental Europe and North America.
Mubadala Investment Company (Mubadala), the Abu Dhabi sovereign investor, has announced its investment in Zenobē, a global player in fleet electrification and battery storage solutions. This strategic investment by Mubadala was executed with Infracapital, the infrastructure equity investment arm of M&G Plc, where Mubadala is a strategic limited partner.
Founded in 2017 and headquartered in London, Zenobē is an EV fleet and battery storage specialist. Its EV fleet business provides end-to-end solutions to support fleet operators with their transition to electric vehicles, including batteries, charging infrastructure and integrated software, while its battery storage business develops large-scale batteries that connect to transmission grids, a critical stabilising component for networks as increasing renewable energy resources are integrated into the grids.
Since Infracapital's initial investment in Zenobē in 2020, the business has demonstrated remarkable growth, supporting over 1,000 electric vehicles globally, and has 430MW of battery storage in operation or under construction. The business has strong presence in the UK, Australia and New Zealand and a growing portfolio in continental Europe and North America.
Most Gulf markets in red as focus turns to US jobs data | Reuters
Most Gulf markets in red as focus turns to US jobs data | Reuters
Most stock markets in the Gulf ended lower on Monday as investors tempered expectations of a cut to interest rates in the United States as they awaited November jobs data from the world's largest economy.
Investors will be looking at a bunch of U.S. employment data this week, starting with the U.S. jobs opening data due at 1530 GMT.
This will be followed by November ADP National Employment figures and the more comprehensive November nonfarm payrolls report later in the week.
Most Gulf Cooperation Council countries have their currencies pegged to the U.S. dollar and closely follow the Federal Reserve's policy, exposing the region to a direct impact from monetary tightening in the world's largest consumer of crude oil.
Saudi Arabia's benchmark index (.TASI) dropped 0.4%, weighed down by a 0.5% fall in oil giant Saudi Aramco (2222.SE) and a 2% decrease in Al Rajhi Bank (1120.SE).
Growth in non-oil business activity in Saudi Arabia eased in November from the previous month as a decline in export demand and inflationary pressures militated.
Still, the outlook was positive as new orders hit a five-month high, a survey showed on Tuesday.
In Abu Dhabi, the index (.FTFADGI) eased 0.2%.
The Abu Dhabi bourse continues to record some volatility and could decline if price corrections continue after a period of uncertainty, said Milad Azar, Market Analyst at XTB MENA.
"Oil markets could remain a source of concern for traders in particular as uncertainty around the impact of production cuts on prices remains," Azar added.
Dubai's main share index (.DFMGI) lost 0.2%, hit by a 2.2% fall in toll operator Salik Co (SALIK.DU) and a 1.2% decrease in Emirates Central Cooling Systems Corp (EMPOWER.DU).
The Qatari benchmark (.QSI) was down 0.2%, with petrochemical maker Industries Qatar (IQCD.QA).
Outside the Gulf, Egypt's blue-chip index (.EGX30) closed 0.5% lower.
Egypt's non-oil private sector contracted for a 36th straight month in November, and business confidence dropped to its lowest in at least 11 years as record inflation took its toll, a survey showed on Tuesday.
Most stock markets in the Gulf ended lower on Monday as investors tempered expectations of a cut to interest rates in the United States as they awaited November jobs data from the world's largest economy.
Investors will be looking at a bunch of U.S. employment data this week, starting with the U.S. jobs opening data due at 1530 GMT.
This will be followed by November ADP National Employment figures and the more comprehensive November nonfarm payrolls report later in the week.
Most Gulf Cooperation Council countries have their currencies pegged to the U.S. dollar and closely follow the Federal Reserve's policy, exposing the region to a direct impact from monetary tightening in the world's largest consumer of crude oil.
Saudi Arabia's benchmark index (.TASI) dropped 0.4%, weighed down by a 0.5% fall in oil giant Saudi Aramco (2222.SE) and a 2% decrease in Al Rajhi Bank (1120.SE).
Growth in non-oil business activity in Saudi Arabia eased in November from the previous month as a decline in export demand and inflationary pressures militated.
Still, the outlook was positive as new orders hit a five-month high, a survey showed on Tuesday.
In Abu Dhabi, the index (.FTFADGI) eased 0.2%.
The Abu Dhabi bourse continues to record some volatility and could decline if price corrections continue after a period of uncertainty, said Milad Azar, Market Analyst at XTB MENA.
"Oil markets could remain a source of concern for traders in particular as uncertainty around the impact of production cuts on prices remains," Azar added.
Dubai's main share index (.DFMGI) lost 0.2%, hit by a 2.2% fall in toll operator Salik Co (SALIK.DU) and a 1.2% decrease in Emirates Central Cooling Systems Corp (EMPOWER.DU).
The Qatari benchmark (.QSI) was down 0.2%, with petrochemical maker Industries Qatar (IQCD.QA).
Outside the Gulf, Egypt's blue-chip index (.EGX30) closed 0.5% lower.
Egypt's non-oil private sector contracted for a 36th straight month in November, and business confidence dropped to its lowest in at least 11 years as record inflation took its toll, a survey showed on Tuesday.
Gulf telcos Zain, Ooredoo and TASC to form $2.2 bln regional tower giant | Reuters
Gulf telcos Zain, Ooredoo and TASC to form $2.2 bln regional tower giant | Reuters
Kuwaiti telecoms firm Zain Group (ZAIN.KW), Qatar's Ooredoo (ORDS.QA) and Dubai's TASC Towers Holding said on Tuesday they had signed definitive agreements to combine their tower assets into a $2.2 billion entity in a cash-and-share deal.
Zain, Ooredoo and TASC in July had announced exclusive talks to create the Middle East and North Africa's largest tower company, combining about 30,000 tower assets in Qatar, Kuwait, Algeria, Tunisia, Iraq and Jordan.
The new entity will have an estimated enterprise value of $2.2 billion through an "asset and cash equalisation process" between Zain and Ooredoo that would give both companies a 49.3% share.
TASC's founders will retain the rest, the statements said, with the transaction expected to be completed in 2024, subject to all necessary regulatory approvals.
Kuwaiti telecoms firm Zain Group (ZAIN.KW), Qatar's Ooredoo (ORDS.QA) and Dubai's TASC Towers Holding said on Tuesday they had signed definitive agreements to combine their tower assets into a $2.2 billion entity in a cash-and-share deal.
Zain, Ooredoo and TASC in July had announced exclusive talks to create the Middle East and North Africa's largest tower company, combining about 30,000 tower assets in Qatar, Kuwait, Algeria, Tunisia, Iraq and Jordan.
The new entity will have an estimated enterprise value of $2.2 billion through an "asset and cash equalisation process" between Zain and Ooredoo that would give both companies a 49.3% share.
TASC's founders will retain the rest, the statements said, with the transaction expected to be completed in 2024, subject to all necessary regulatory approvals.
Barclays Shares Fall After #Qatar’s Wealth Fund Reveals Stake Cut - Bloomberg
Barclays Shares Fall After Qatar’s Wealth Fund Reveals Stake Cut - Bloomberg
Barclays Plc shares fell as much as 4.5% after Qatar’s wealth fund, a longstanding shareholder, revealed it is offloading almost half of its stake in the lender.
The drop is more than the 1.4% discount to Monday’s close that was the expected price for the Qatar Investment Authority’s block sale. The disposal is a surprise move that comes as the bank’s executives ready a strategic overhaul for early next year.
“The timing is slightly odd and it’s hardly a ringing endorsement ahead of the investor update,” said Adam Terelak, an analyst at Mediobanca.
Barclays’s shares had fallen by about a tenth this year through Monday, underperforming many of its peers, as executives work on ways to boost returns including potential job cuts. In the UK, the tailwind from higher interest rates is slowing while Barclays’ traders and investment bankers have struggled to keep pace with US rivals.
Barclays Plc shares fell as much as 4.5% after Qatar’s wealth fund, a longstanding shareholder, revealed it is offloading almost half of its stake in the lender.
The drop is more than the 1.4% discount to Monday’s close that was the expected price for the Qatar Investment Authority’s block sale. The disposal is a surprise move that comes as the bank’s executives ready a strategic overhaul for early next year.
“The timing is slightly odd and it’s hardly a ringing endorsement ahead of the investor update,” said Adam Terelak, an analyst at Mediobanca.
Barclays’s shares had fallen by about a tenth this year through Monday, underperforming many of its peers, as executives work on ways to boost returns including potential job cuts. In the UK, the tailwind from higher interest rates is slowing while Barclays’ traders and investment bankers have struggled to keep pace with US rivals.
#Saudi non-oil activity eases in November but outlook improves -PMI | Reuters
Saudi non-oil activity eases in November but outlook improves -PMI | Reuters
Growth in non-oil business activity in Saudi Arabia eased in November from the previous month as a decline in export demand and inflationary pressures weighed, but the outlook was positive as new orders hit a five-month high, a survey showed on Tuesday.
The seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers' Index slowed to 57.5 in November, from 58.4 in October, but remained well above the 50 mark signalling growth.
Higher sales volumes drove output higher, with the output sub index rising to 61.2 in November from 60.1 in October.
The sub index for new orders surged to 66.3 in November, the fastest since June, on improved market conditions and increased investments, but remained largely driven by domestic demand as new export orders contracted by the sharpest pace since March 2021.
Naif Al-Ghaith, chief economist at Riyad Bank, said the decline in growth in foreign orders was attributable to the petrochemical sector which represents about 30% of non-oil exports.
Growth in non-oil business activity in Saudi Arabia eased in November from the previous month as a decline in export demand and inflationary pressures weighed, but the outlook was positive as new orders hit a five-month high, a survey showed on Tuesday.
The seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers' Index slowed to 57.5 in November, from 58.4 in October, but remained well above the 50 mark signalling growth.
Higher sales volumes drove output higher, with the output sub index rising to 61.2 in November from 60.1 in October.
The sub index for new orders surged to 66.3 in November, the fastest since June, on improved market conditions and increased investments, but remained largely driven by domestic demand as new export orders contracted by the sharpest pace since March 2021.
Naif Al-Ghaith, chief economist at Riyad Bank, said the decline in growth in foreign orders was attributable to the petrochemical sector which represents about 30% of non-oil exports.
Major Gulf markets track Asian shares lower | Reuters
Major Gulf markets track Asian shares lower | Reuters
Major stock markets in the Gulf fell in early trade on Tuesday, tracking declines in Asian shares as investors tempered expectations for cuts to U.S. interest rates as they awaited U.S. jobs data.
U.S. job openings data is due at 1530 GMT, and broader hiring figures, which had last month showed signs of a slowing jobs market, will be published on Friday.
Most Gulf Cooperation Council countries have their currencies pegged to the U.S. dollar and closely follow the Federal Reserve's policy, exposing the region to a direct impact from monetary tightening in the world's largest economy.
Saudi Arabia's benchmark index (.TASI) edged down 0.1%, with oil behemoth Saudi Aramco (2222.SE) losing 0.2% and Alinma Bank (1150.SE) declining 0.7%.
Oil prices - a catalyst for the Gulf's financial markets - were little changed amid uncertainty over voluntary output cuts by OPEC+, continued tensions in the Middle East and weak economic data from the U.S.
Abu Dhabi's benchmark index (.FTFADGI) dropped 0.4%.
Among individual stocks, however, cryptocurrency powerhouse Phoenix Group (PHX.AD) debuted at 50% above its listing price with 907 million shares available for trading.
Shares traded at 2.25 dirhams per share as the Abu Dhabi market opened, against an offer price 1.50 dirhams.
Dubai's main share index (.DFMGI) declined 0.6%, with blue-chip developer Emaar Properties (EMAR.DU) losing 1.6% and toll operator Salik (SALIK.DU) down 2.5%.
The Qatari benchmark (.QSI) decreased 0.5%, hit by a 1.2% fall in Qatar Islamic Bank (QISB.QA).
Major stock markets in the Gulf fell in early trade on Tuesday, tracking declines in Asian shares as investors tempered expectations for cuts to U.S. interest rates as they awaited U.S. jobs data.
U.S. job openings data is due at 1530 GMT, and broader hiring figures, which had last month showed signs of a slowing jobs market, will be published on Friday.
Most Gulf Cooperation Council countries have their currencies pegged to the U.S. dollar and closely follow the Federal Reserve's policy, exposing the region to a direct impact from monetary tightening in the world's largest economy.
Saudi Arabia's benchmark index (.TASI) edged down 0.1%, with oil behemoth Saudi Aramco (2222.SE) losing 0.2% and Alinma Bank (1150.SE) declining 0.7%.
Oil prices - a catalyst for the Gulf's financial markets - were little changed amid uncertainty over voluntary output cuts by OPEC+, continued tensions in the Middle East and weak economic data from the U.S.
Abu Dhabi's benchmark index (.FTFADGI) dropped 0.4%.
Among individual stocks, however, cryptocurrency powerhouse Phoenix Group (PHX.AD) debuted at 50% above its listing price with 907 million shares available for trading.
Shares traded at 2.25 dirhams per share as the Abu Dhabi market opened, against an offer price 1.50 dirhams.
Dubai's main share index (.DFMGI) declined 0.6%, with blue-chip developer Emaar Properties (EMAR.DU) losing 1.6% and toll operator Salik (SALIK.DU) down 2.5%.
The Qatari benchmark (.QSI) decreased 0.5%, hit by a 1.2% fall in Qatar Islamic Bank (QISB.QA).