This report is designed to give you a snapshot about the MENA region tackling multiple issues:
32.4 USD 1,104 USD
/USD
/EUR
EGP
7.83
8.46
AED
3.67
4.00
QAR
3.64
3.97
SAR
3.75
4.08
BHD
0.38
0.41
OMR
0.39
0.42
Economic Outlook
The Organization of Arab Petroleum Exporting Countries (OAPEC) crude oil exports have decreased by 18.8% in 2014 reaching 571 BN USD compared to 2012.
German exports to United Arab Emirates have increased in 2015 by 30% to reach 13 BN EUR compared to 11.4 BN EUR in 2014. The exports to Saudi Arabia have also increased in November 2015 by 13% compared to January 2015.
Due to the sharp fall in capital inflows, Lebanon's balance of payment deficit has increased by 130% in the first 11 month of 2015. The deficit was 1.4 BN USD over the first 11 month in 2014; however, it increased to reach 3 BN USD over the first 11 month in 2015.
Standard & Poor (S&P) has dropped the rating of Saudi Arabia and Oman. Saudi Arabia was downgraded from AA- to A+ due to fiscal deficit increase in 2015 that reached 15% of GDP compared to 1.5% in 2014. Oman's rating was downgraded from A- to BBB+ due to S&P expectations that Oman's fiscal balances will be affected by the declining oil prices.
According to a presidency statement, Egypt is planning to list shares in state-owned banks and companies on the stock market in order to enhance investment and economic growth. The statement did not specify the names of the banks nor the companies.
China agreed to give Egypt a loan worth 1.7 BN USD during President Xi Jinping visit to Egypt. The loan includes 1 BN USD to Egypt's Central Bank and 700 MN USD to the National Bank of Egypt.
United Arab Emirates Energy Ministry said in the World Economic Forum that UAE is planning to remove the subsidies on the electricity and gas sold to generating power companies. The Minister added that this removal of subsidy is important to make the government budget independent on oil revenues.
Iran is currently in the efforts of rearranging the country's relations with the banking world after the sanctions on Iran have been lifted. Middle East Bank in Tehran has sent around 40 SWIFTS to different banks globally and still waiting for responses
According to Iraq's Finance Minister, Iraq is planning to issue 4.24 BN USD local bonds to the public for the first time since 2003. The three-year bond will have an interest rate of 10% and will be sold to citizens and employees.
16,000 additional companies have joined the membership of Dubai Chamber of Commerce and Industry in 2015. The membership addition is expected to enhance the position of the Chamber as one of the largest membership-based Chamber of Commerce in the world.
According to the Economic Development Board (EDB), Bahrain's non oil sector has seen a growth of 3.3% in Q3 of 2015. It's worthy to mention that the main sectors contributing to the growth were private education, private healthcare, transportation and communication contributing to Y-o-Y rate of 8%, 6.3%, and 6% respectively.
Abu Dhabi's inflation increased in December 2015 by 0.4% compared to November 2015. It's worthy to mention that the rise was due to the rise in hotels prices, housing, electricity, and gas.
Thousands of protestors demonstrated outside the local government office in Kasserine, Tunisia. The protestors also set fire to a police station in Guebeli, in southern Tunisia. The police has responded by firing tear gas in order to disperse the protestors
The Libyan Presidential Council announced the formulation of a new Libyan government that will be responsible for handling the conflicts in Libya.
According to Royal Bahraini Air Force's Commander, the Gulf Cooperation Council (GCC) is working to build a joint missile defense and will announce the results soon. Moreover, GCC states plans to develop an air-to-air missile defense capability, including an early warning system, with U.S. technical help.
China and Saudi Arabia has announced their unity for Yemen's independence and sovereignty, during President Xi Jinping visit to Saudi Arabia
.EGX30 witnessed a huge decline in banking sector led by Commercial International Bank (CIB), followed by telecommunication sector led by Orascom Telecom.
.TASI telecommunication sector declined led by Zain. On the other hand, the banking sector reached its lowest level since February 2011, this decline was led by Al Rajhi Bank and National Commercial Bank (NCB).
.KWSE real estate declined led by Taameer Real Estate.
.ADI real estate declined led by Eshraq and Aldar Properties, then the banking sector led by Abu Dhabi Islamic Bank (ADIB), and finally telecommunication sector led by Etisalat.
Index Watchlist
Weekly % Change
YTD% Change
Egypt
.EGX30
-7.9%
-18.5%
Construction & Materials
-5.9%
-12.2%
Telecommunication
-7.8%
-18.0%
Banking
-9.0%
-18.6%
KSA
.TASI
-9.5%
-21.0%
Petrochemicals
-10.4%
-20.7%
Banks & Financial Services
-7.5%
-17.4%
Telecommunication & Information
-7.8%
-18.4%
Kuwait
.KWSE
-7.6%
-11.9%
Banking
-13.62%
-16.0%
Telecommunication
-2.5%
-3.9%
Financial Services
-11.2%
-14.9%
Real Estate
-9.5%
-15.7%
Industrials
-7.0%
-10.5%
Qatar
.QSI
-8.7%
-17.7%
Banking & Financial Services
-6.2%
-16.7%
Industrials
-11.2%
-19.8%
Real Estate
-14.5%
-22.6%
Telecommunication
-1.2%
-5.9%
UAE, Abu Dhabi
.ADI
-7.0%
-13.2%
Banking
-8.5%
-17.9%
Telecommunication
-3.7%
-3.1%
Real Estate
-9.1%
-16.9%
UAE, Dubai
.DFMGI
-10.3%
-16.8%
Banking
-7.6%
-14.0%
Real Estate & Construction
-13.1%
-21.8%
Investments & Financial Services
-16.2%
-21.6%
Telecommunication
-0.4%
-0.6%
Note: Weekly values are calculated on Thursday of each week.
Egyptian Natural Gas Holding Company (EGAS) has postponed the delivery of liquefied natural gas (LNG) from BP last month till later this year. According to Reuters, Egypt has requested to extend the payment period for LNG deliveries last month from 15 days to 90 days creating an overdue of around 400 to 500 MN USD.
Saudi Arabia's Al Rajhi Bank has recorded a 28.2% increase in Q4 net profits. However the deposits have increased only by 0.06% reaching 256.2 BN SAR by the end of 2015.
Oman's government has approved restructuring the country's carrier, Oman Air, which includes around 37 planes. The country is planning to establish its first airline in order to boost tourism and diversify the economy.
United Arab Shipping Company (UASC) has resumed its business with Iran after the sanctions have been lifted. It is worthy to mention that the volume of exports to and imports from Iran will be dependent on the international laws that UASC follows and the sanctions applicable.
Egypt's Qatar National Bank has announced a retail loan portfolio that is worth 13.09 BN EGP at the end of 2015, which contributes to 20% of the bank's total loan portfolio.
Batista, Brazil's richest man, has transferred stakes in four companies to Abu Dhabi's state-owned investment fund Mubadala Development.
Saudi Arabia's ACWA Power and South Korea's Taekwang Power Holding signed an agreement with Vietnam to build a 2.2 BN USD thermal power plant. It is worth noting that the project will start in mid-2016.
Economic Outlook
Stock Market
Major Companies Transactions
