Davos 2024: Qatar Ready to Sell First Green Bond ‘Very Soon’ - Bloomberg
Qatar is ready to sell its first green bond — and first external deal of any kind in four years — soon, according to the Gulf state’s finance minister.
“We’re ready to do it very soon,” Ali Al-Kuwari told Bloomberg Television at the World Economic Forum in Davos. “We are not hungry for money but it will be mainly to send a strong statement” about the need to counter climate change.
The country recently finalized a green-finance framework to ensure it meets the requirements for issuing green bonds, which typically fund projects meant to reduce carbon and other planet-warming emissions.
Qatar, one of the world’s biggest producers of liquefied natural gas, hasn’t issued Eurobonds since early 2020. Back then, it sold $10 billion of five-, 10- and 30-year debt.
The government is rated AA by S&P Global Ratings, just two steps below the highest-possible level. It’s dollar bonds yield 4.92% on average, according to Bloomberg indexes, one of the lowest levels in emerging markets.
Wednesday 17 January 2024
#Israel eyes shift to Monday-Friday trading to win over MSCI -regulator | Reuters
Israel eyes shift to Monday-Friday trading to win over MSCI -regulator | Reuters
Israel aims to eventually shift its stocks trading days to Monday to Friday to win inclusion in global index provider MSCI's Europe category, Israel's securities regulator said.
Israel's trading day is Sunday through Thursday and MSCI in 2022 rejected reassigning the country to a new region, citing differing market trading days as a key reason.
Trading volume on Sundays is usually far lower than the rest of the week and the Tel Aviv Stock Exchange (TASE) ends trading 90 minutes earlier on that day.
Exclusive: Qatari court convicts ex-finance minister of laundering $5.6bn - document | Reuters
Exclusive: Qatari court convicts ex-finance minister of laundering $5.6bn - document | Reuters
A criminal court in Qatar has sentenced the Gulf Arab state's former finance minister to 20 years in prison for laundering more than $5.6 billion, according to a document outlining the judgment seen by Reuters.
The court of first instance also ordered Ali Sherif al-Emadi to pay a fine in excess of 61 billion Qatari riyals ($16.7 billion), consisting of 40.9 billion riyals -- or twice the amount of money he laundered -- plus additional fines amounting to more than 21 billion riyals, the document shows.
Judges also found Sheikh Nawaf bin Jassim bin Jabor Al Thani, a high-ranking member of Qatar's ruling family and a brother of Qatar's former prime minister, guilty of misuse of public funds, sentencing him to six years in prison and fined him 825 million riyals, the same document shows.
Emadi and Sheikh Nawaf, who faced trial along with 14 others, can appeal against the conviction, which the court issued on Jan. 10. It was not immediately clear whether the two had entered pleas in answer to the charges during the trial.
A criminal court in Qatar has sentenced the Gulf Arab state's former finance minister to 20 years in prison for laundering more than $5.6 billion, according to a document outlining the judgment seen by Reuters.
The court of first instance also ordered Ali Sherif al-Emadi to pay a fine in excess of 61 billion Qatari riyals ($16.7 billion), consisting of 40.9 billion riyals -- or twice the amount of money he laundered -- plus additional fines amounting to more than 21 billion riyals, the document shows.
Judges also found Sheikh Nawaf bin Jassim bin Jabor Al Thani, a high-ranking member of Qatar's ruling family and a brother of Qatar's former prime minister, guilty of misuse of public funds, sentencing him to six years in prison and fined him 825 million riyals, the same document shows.
Emadi and Sheikh Nawaf, who faced trial along with 14 others, can appeal against the conviction, which the court issued on Jan. 10. It was not immediately clear whether the two had entered pleas in answer to the charges during the trial.
Most Gulf markets retreat on interest rate cut worries | Reuters
Most Gulf markets retreat on interest rate cut worries | Reuters
Most stock markets in the Gulf ended lower on Wednesday, in line with global shares, as investors struggled with the possibility that the U.S. Federal Reserve may not cut interest rates as soon as previously expected.
Fed Governor Christopher Waller said the U.S. is "within striking distance" of the central bank's 2% inflation goal, but it should not rush toward cuts in its benchmark interest rate until it is clear that lower inflation will sustain.
The Fed has left the policy rate in the current range of 5.25% to 5.5% since July.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
Saudi Arabia's benchmark index (.TASI) eased 0.1%, hit by a 0.6% fall in oil giant Saudi Aramco (2222.SE).
Oil - which fuels the Gulf's economy - fell more than $1 as economic growth in China, the world's second-largest crude user, slightly missed expectations, raising concerns about future demand, while U.S. dollar strength dented investors' risk appetite.
The Qatari benchmark (.QSI) declined 0.9%, weighed down by a 2.6% slide in petrochemical maker Industries Qatar (IQCD.QA) and a 1.5% drop in Qatar National Bank (QNBK.QA) the Gulf's biggest lender.
In Abu Dhabi, the index (.FTFADGI) closed 0.4% lower, hit by a 0.9% fall in conglomerate International Holding (IHC.AD).
Dubai's main share index (.DFMGI) however, reversed early losses to finish 0.2% higher, helped by a 1.6% increase in Dubai ELectricity and Water Authority (DEWAA.DU).
Outside the Gulf, Egypt's blue-chip index (.EGX30) fell 0.7%, retreating from record highs it hit in the previous session, with Commercial International Bank (COMI.CA) losing 1.8%.
Most stock markets in the Gulf ended lower on Wednesday, in line with global shares, as investors struggled with the possibility that the U.S. Federal Reserve may not cut interest rates as soon as previously expected.
Fed Governor Christopher Waller said the U.S. is "within striking distance" of the central bank's 2% inflation goal, but it should not rush toward cuts in its benchmark interest rate until it is clear that lower inflation will sustain.
The Fed has left the policy rate in the current range of 5.25% to 5.5% since July.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
Saudi Arabia's benchmark index (.TASI) eased 0.1%, hit by a 0.6% fall in oil giant Saudi Aramco (2222.SE).
Oil - which fuels the Gulf's economy - fell more than $1 as economic growth in China, the world's second-largest crude user, slightly missed expectations, raising concerns about future demand, while U.S. dollar strength dented investors' risk appetite.
The Qatari benchmark (.QSI) declined 0.9%, weighed down by a 2.6% slide in petrochemical maker Industries Qatar (IQCD.QA) and a 1.5% drop in Qatar National Bank (QNBK.QA) the Gulf's biggest lender.
In Abu Dhabi, the index (.FTFADGI) closed 0.4% lower, hit by a 0.9% fall in conglomerate International Holding (IHC.AD).
Dubai's main share index (.DFMGI) however, reversed early losses to finish 0.2% higher, helped by a 1.6% increase in Dubai ELectricity and Water Authority (DEWAA.DU).
Outside the Gulf, Egypt's blue-chip index (.EGX30) fell 0.7%, retreating from record highs it hit in the previous session, with Commercial International Bank (COMI.CA) losing 1.8%.
#SaudiArabia's Aramco Allocates $4 Billion More to Venture Capital Unit - Bloomberg
Saudi Arabia's Aramco Allocates $4 Billion More to Venture Capital Unit - Bloomberg
Saudi Aramco will allocate an additional $4 billion to its venture capital unit as the kingdom expands its global ambitions in an effort to diversify its oil-dependent economy.
The extra funds will be injected over four years and will more than double Aramco Ventures’s capital from $3 billion to $7 billion, according to a statement. The bigger size will help with investments in new energies, chemicals and energy transition materials, and digital technologies, it said.
State-run Aramco is the world’s largest oil producer and one of the globe’s biggest companies by net income. The company’s vast resources are key to the kingdom’s plans to prepare the economy for a post-oil future. Aramco Ventures has invested in firms that operate in sectors ranging from carbon management to renewables and hydrogen, according to its website.
“We intend to provide the financial backing required to take game-changing solutions to the next level,” Ahmad Al Khowaiter, Aramco’s executive vice president of technology & innovation, said in the statement. “This will provide crucial impetus to businesses at various stages of development around the world, while also contributing to Aramco’s own long-term objectives.”
Saudi Aramco will allocate an additional $4 billion to its venture capital unit as the kingdom expands its global ambitions in an effort to diversify its oil-dependent economy.
The extra funds will be injected over four years and will more than double Aramco Ventures’s capital from $3 billion to $7 billion, according to a statement. The bigger size will help with investments in new energies, chemicals and energy transition materials, and digital technologies, it said.
State-run Aramco is the world’s largest oil producer and one of the globe’s biggest companies by net income. The company’s vast resources are key to the kingdom’s plans to prepare the economy for a post-oil future. Aramco Ventures has invested in firms that operate in sectors ranging from carbon management to renewables and hydrogen, according to its website.
“We intend to provide the financial backing required to take game-changing solutions to the next level,” Ahmad Al Khowaiter, Aramco’s executive vice president of technology & innovation, said in the statement. “This will provide crucial impetus to businesses at various stages of development around the world, while also contributing to Aramco’s own long-term objectives.”
Davos 2024: #Saudi PIF Eyes Big Investment to Kick Off Foray Into Semiconductors - Bloomberg
Davos 2024: Saudi PIF Eyes Big Investment to Kick Off Foray Into Semiconductors - Bloomberg
Saudi Arabia’s sovereign wealth fund is planning to make big investments in both the semiconductor and space industries this year as the kingdom accelerates efforts to diversify its economy away from oil.
The Public Investment Fund is looking at making a “sizable investment” this year into the semiconductor industry, Saudi Minister of Communications and Information Technology Abdullah Alswaha said in an interview at the World Economic Forum in Davos. “They plan to make an announcement on a particular champion within the space to lead the Saudi efforts,” he said, declining to give further details.
Alswaha, who is chairman of the kingdom’s Space Agency as well, said the fund will also look to create a national space company to invest and acquire assets in that sector. The space industry is “ripe right now” for M&A, he said.
The fund, known as PIF, has emerged as one of the key parts of Crown Prince Mohammed Bin Salman’s plan to shake up the Saudi economy and wean it off a reliance on oil sales. It has rapidly built up assets of around $700 billion after a spending spree on everything from electric carmakers to backing upstart golf tournaments, and plans to control $1 trillion by 2025.
One of its key initiatives has been to develop an auto manufacturing hub on the West coast of the kingdom. US EV maker Lucid Group Inc. is already assembling cars from the site, and is set to be joined by Hyundai Motor Co. and Ceer, a brand created by the PIF. The plan involves developing downstream industries that’s expected to also include making semiconductors and batteries.
Saudi Arabia’s sovereign wealth fund is planning to make big investments in both the semiconductor and space industries this year as the kingdom accelerates efforts to diversify its economy away from oil.
The Public Investment Fund is looking at making a “sizable investment” this year into the semiconductor industry, Saudi Minister of Communications and Information Technology Abdullah Alswaha said in an interview at the World Economic Forum in Davos. “They plan to make an announcement on a particular champion within the space to lead the Saudi efforts,” he said, declining to give further details.
Alswaha, who is chairman of the kingdom’s Space Agency as well, said the fund will also look to create a national space company to invest and acquire assets in that sector. The space industry is “ripe right now” for M&A, he said.
The fund, known as PIF, has emerged as one of the key parts of Crown Prince Mohammed Bin Salman’s plan to shake up the Saudi economy and wean it off a reliance on oil sales. It has rapidly built up assets of around $700 billion after a spending spree on everything from electric carmakers to backing upstart golf tournaments, and plans to control $1 trillion by 2025.
One of its key initiatives has been to develop an auto manufacturing hub on the West coast of the kingdom. US EV maker Lucid Group Inc. is already assembling cars from the site, and is set to be joined by Hyundai Motor Co. and Ceer, a brand created by the PIF. The plan involves developing downstream industries that’s expected to also include making semiconductors and batteries.
Turkish Steel Giant Eyes $5 Billion Investment in #SaudiArabia - Bloomberg
Turkish Steel Giant Eyes $5 Billion Investment in Saudi Arabia - Bloomberg
Turkish steelmaker Tosyali Holding AS plans to invest as much as $5 billion in a steel plant in Saudi Arabia, part of an expansion spree that includes Algeria, Angola, Senegal and Spain.
The company recently signed a memorandum of understanding with Saudi Arabia, chairman Fuat Tosyali said on the sidelines of the World Economic Forum in Davos on Tuesday. The comments come two weeks after the firm announced it bought Spain’s Baika Steel Tubular Systems SL for an undisclosed price.
“Our aim is to make the best quality steel from the best technology in a sustainable, efficient and carbon-neutral way,” Tosyali said.
As part of its plans to produce steel from green energy sources, the company aims to increase its solar output by more than 10 folds to 2,500 megawatts from 240 megawatts through a $1.5 billion investment, Tosyali said. There are also plans to buy a stake in a major hydrogen energy company to adapt that technology to steel plants, he added, without giving any details.
Tosyali’s green plan follows days after Erdemir Group, which owns Turkey’s two top steelmakers, announced a $3.2 billion plan to invest in greener production and curb carbon emissions.
Tosyali, which aims to raise its revenue to more than $7 billion this year from $5 billion in 2023, will increase its steel production capacity to 14 million tons a year as investments in Algeria and Turkey reach fruition, the chairman said.
Turkish steelmaker Tosyali Holding AS plans to invest as much as $5 billion in a steel plant in Saudi Arabia, part of an expansion spree that includes Algeria, Angola, Senegal and Spain.
The company recently signed a memorandum of understanding with Saudi Arabia, chairman Fuat Tosyali said on the sidelines of the World Economic Forum in Davos on Tuesday. The comments come two weeks after the firm announced it bought Spain’s Baika Steel Tubular Systems SL for an undisclosed price.
“Our aim is to make the best quality steel from the best technology in a sustainable, efficient and carbon-neutral way,” Tosyali said.
As part of its plans to produce steel from green energy sources, the company aims to increase its solar output by more than 10 folds to 2,500 megawatts from 240 megawatts through a $1.5 billion investment, Tosyali said. There are also plans to buy a stake in a major hydrogen energy company to adapt that technology to steel plants, he added, without giving any details.
Tosyali’s green plan follows days after Erdemir Group, which owns Turkey’s two top steelmakers, announced a $3.2 billion plan to invest in greener production and curb carbon emissions.
Tosyali, which aims to raise its revenue to more than $7 billion this year from $5 billion in 2023, will increase its steel production capacity to 14 million tons a year as investments in Algeria and Turkey reach fruition, the chairman said.
Exclusive: Aramco CEO predicts tighter oil markets, sees Red Sea risks | Reuters
Exclusive: Aramco CEO predicts tighter oil markets, sees Red Sea risks | Reuters
"If it's in the short term, tankers might be available ... But if it's longer term, it might be a problem," Nasser said in an interview on the sidelines of this week's World Economic Forum in the Swiss ski resort of Davos. "There will be a need for more tankers and are they going to have to take a longer journey".
Global oil markets will cope with Red Sea disruptions in the short run, although prolonged attacks by the Houthis on ships would lead to a shortage of tankers due to longer voyages and a supply delay, the CEO of Saudi oil giant Aramco said.
Amin Nasser told Reuters he expected the oil market to tighten after consumers depleted stocks by 400 million barrels in the last two years, which left OPEC's spare capacity as the main source of additional supply to meet rising demand.
Attacks by the Houthis on ships in the Red Sea have forced many companies to divert cargoes around Africa. The Iran-aligned Houthis say they are acting in solidarity with Palestinians during Israel's ongoing war with Gaza.
Attacks by the Houthis on ships in the Red Sea have forced many companies to divert cargoes around Africa. The Iran-aligned Houthis say they are acting in solidarity with Palestinians during Israel's ongoing war with Gaza.
"If it's in the short term, tankers might be available ... But if it's longer term, it might be a problem," Nasser said in an interview on the sidelines of this week's World Economic Forum in the Swiss ski resort of Davos. "There will be a need for more tankers and are they going to have to take a longer journey".
Most Gulf markets in red on rate cut jitters | Reuters
Most Gulf markets in red on rate cut jitters | Reuters
Dubai's main share index (.DFMGI) dropped 0.3%, weighed down by a 0.9% fall in blue-chip developer Emaar Properties (EMAR.DU) and a 2.2% decrease in Tecom Group (TECOM.DU).
In Abu Dhabi, the index (.FTFADGI) was down 0.2%, with conglomerate International Holding (IHC.AD) losing 0.7%. Elsewhere Abu Dhabi Commercial Bank (ADCB) (ADCB.AD) eased 0.2%.
ADCB, UAE's third-largest lender, will set up a branch in Riyadh after it obtained an in-principle approval from Saudi Arabia, the lender said in a statement on Wednesday.
The Qatari benchmark (.QSI) retreated 0.4%, hit by a 1.1% fall in the Gulf's biggest lender Qatar National Bank (QNBK.QA) and a 1% decline in petrochemical maker Industries Qatar (IQCD.QA).
Meanwhile, the Qatar Investment Authority (QIA) and fund manager Ashmore Group (ASHM.L) have launched a fund aimed at encouraging foreign investors to buy into the Gulf country's stock market, the sovereign wealth fund said on Tuesday.
Major stock markets in the Gulf fell in early trade on Wednesday as investors struggled with the possibility that the Federal Reserve may not cut U.S. interest rates as soon as previously expected.
Fed Governor Christopher Waller said the U.S. is "within striking distance" of the central bank's 2% inflation goal, but it should not rush toward cuts in its benchmark interest rate until it is clear that lower inflation will sustain.
The Fed has left the policy rate in the current range of 5.25% to 5.5% since July.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
The Fed has left the policy rate in the current range of 5.25% to 5.5% since July.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
Dubai's main share index (.DFMGI) dropped 0.3%, weighed down by a 0.9% fall in blue-chip developer Emaar Properties (EMAR.DU) and a 2.2% decrease in Tecom Group (TECOM.DU).
In Abu Dhabi, the index (.FTFADGI) was down 0.2%, with conglomerate International Holding (IHC.AD) losing 0.7%. Elsewhere Abu Dhabi Commercial Bank (ADCB) (ADCB.AD) eased 0.2%.
ADCB, UAE's third-largest lender, will set up a branch in Riyadh after it obtained an in-principle approval from Saudi Arabia, the lender said in a statement on Wednesday.
The Qatari benchmark (.QSI) retreated 0.4%, hit by a 1.1% fall in the Gulf's biggest lender Qatar National Bank (QNBK.QA) and a 1% decline in petrochemical maker Industries Qatar (IQCD.QA).
Meanwhile, the Qatar Investment Authority (QIA) and fund manager Ashmore Group (ASHM.L) have launched a fund aimed at encouraging foreign investors to buy into the Gulf country's stock market, the sovereign wealth fund said on Tuesday.