Day: June 8, 2022

ABU DHABI, The Central Bank of the United Arab Emirates (CBUAE) has revised up its projections for the country’s real Gross Domestic Product (GDP) growth, which is expected to reach 4.2 percent in 2023, compared with its previous forecast of 3.3 percent.

In its Annual Report for 2021, the CBUAE estimated the non-oil GDP growth to reach 3.9 percent in 2023, compared with previous estimates of 3.3 percent, while the oil GDP growth will reach 5 percent in 2023, compared with earlier estimates of 3.4 percent.

The report highlights the results achieved in terms of the UAE’s economic activity, which has begun to flourish again as a result of the country’s overall economic support measures and its success in containing the financial and economic challenges resulting from the COVID-19 fallout.

The CBUAE has projected the real GDP growth to reach 5.4 percent in 2022, after the growth jumped to 3.8 percent in 2021.

The non-oil GDP growth rose to 5.3 percent in 2021, and is expected to reach 4.3 percent in 2022, in light of sustainable government spending, positive outlook for loan growth and the improvement in business sentiment, according to the estimates of the central bank.

The oil GDP growth is anticipated to grow 8 percent in 2022, due to the expected recovery in global demand, as well as the recovery of the transport and travel sector, and production increase of OPEC member countries.

Source: Emirates News Agency

ABU DHABI, ADQ, an Abu Dhabi-based investment and holding company, today announced the launch of a $100 million technology-focused venture capital fund (the Fund) with the Ministry of Digital Economy and Entrepreneurship (MoDEE) of Jordan, in the presence of the Prime Minister of Jordan, Bisher Al Khasawneh. The Fund aims to support high-growth technology companies and the continued growth of the Kingdom’s burgeoning digital economy.

Building on the UAE’s strategic industrial partnership with Jordan, ADQ is reinforcing its commitment to investing in advancing core sectors of the Kingdom’s economy and enhancing the global technology ecosystem. The Fund complements ADQ’s strategy to unlock mutually beneficial growth opportunities and deliver sustainable financial returns to the UAE and its partners that drives value creation and long-term economic prosperity.

The Fund will invest in high-growth companies with proven business models, as well as funds primarily focused on Jordan. As part of accelerating the Kingdom’s digital economy, the Fund will be dedicated to tech start-ups and innovation-led companies specialized in sectors including information technology; telecommunications; financial services; education; food and agriculture; healthcare and life sciences; mobility and logistics, as well as clean energy technologies.

With 27 percent of tech entrepreneurs in the Middle East and North Africa (MENA) region of Jordanian nationality, the country is home to highly skilled talent and more than 600 technology companies.

Mohamed Hassan Alsuwaidi, Managing Director and CEO of ADQ, commented: “We established the $100 million Fund with the Ministry of Digital Economy and Entrepreneurship in recognition of the strong potential of Jordan’s tech ecosystem. Jordan’s dynamic marketplace offers vast investment potential in sectors where we have significant expertise. Moreover, we can serve as a committed partner to support their growth. By unlocking access to our growing portfolio of leading companies, we intend to accelerate growth opportunities and market access for companies, entrepreneurs and funds that are at the cutting-edge of technology.”

Ahmad Al Hanandeh, Minister of Digital Economy and Entrepreneurship, said: “Today’s announcement marks a significant milestone in Jordan’s economic growth, and reflects our focus on partnering with world’ leading organizations to deliver positive impact and change. Designed to accelerate the transformation of the digital economy, ADQ will invest, alongside MoDEE, in high-growth technology companies that will help to create, promote, and drive new digital opportunities in Jordan, and reinforce our place on the world technology map.”

Last month, as part of an industrial partnership signed between the UAE, Egypt and Jordan, ADQ committed a $10 billion investment fund to enhance sustainable economic growth in five priority sectors across the three counties.

Source: Emirates News Agency

BRUSSELS, In the first quarter of 2022, seasonally adjusted GDP increased by 0.6% in the euro area and by 0.7% in the EU compared with the previous quarter, according to an estimate published by Eurostat, the statistical office of the European Union. In the fourth quarter of 2021, GDP had grown by 0.2% in the euro area and 0.5% in the EU.

Compared with the same quarter of the previous year, seasonally adjusted GDP increased by 5.4% in the euro area and by 5.6% in the EU in the first quarter of 2022, after +4.7% in the euro area and +4.9% in the EU in the fourth quarter of 2021.

Ireland (+10.8%) recorded the highest increase of GDP compared to the previous quarter, followed by Romania (+5.2%) and Latvia (+3.6%). Decreases were observed in Sweden (-0.8%), France (-0.2%) and Denmark (-0.1%).

Source: Emirates News Agency

DUBAI, Dubai real estate market recorded 293 sales transactions worth AED 757.33 million, including 73 mortgage deals of AED135.94 million, and 9 gift deals amounting to AED16.28 million Wednesday, data released by Dubai’s Land Department (DLD) showed.

The sales included 264 villas and apartments worth AED507.79 million, and 29 land plots worth AED249.54 million, while mortgages included 67 villas and apartments worth AED127.44 million and six land plots valued at AED8.5 million, bringing the total realty transactions of today to over AED909 million.

Source: Emirates News Agency

DUBAI, Ahmed Mohamed Al Naqbi, Chief Executive Officer of Emirates Development Bank (EDB), has called on the local and regional banking community to increase access to corporate finance and accelerate the UAE’s economic recovery.

Speaking on the opening day of Bonds, Loans & Sukuk Middle East 2022, which took place at Madinat Jumeirah, Dubai, between 7th-8th June, Al Naqbi highlighted the role of financial markets in driving growth and innovation, and explained how EDB’s tailored, flexible financing solutions, with a focus on developmental impact, is delivering tangible benefits to the national economy.

During his keynote speech, Ahmed Mohamed Al Naqbi also underlined the challenge both large corporates and SMEs continue to face in securing the finance they require to expand their businesses, and restated EDB’s commitment to forging partnerships to mobilise capital in support of the UAE’s economic diversification and industrial transformation agenda.

“What our economy needs now is long-term, sustainable and future-proof growth. And we in the credit business have the power – and the responsibility – to ensure our corporations, our SMEs and our start-ups have access to the finance needed to fuel it,” Al Naqbi explained. “Our mission at Bonds, Loans & Sukuk Middle East is to demonstrate our readiness to work alongside financial institutions, government bodies and development agencies to offer direct and indirect financing to companies in priority sectors. It’s this network of partners that enables us to identify the right clients and projects and move quickly to bring their development plans to reality – and accelerate our impact on the UAE economy.”

Also speaking at the event was Vivek Vohra, EDB’s Head of Wholesale and Institutional Banking, who took part in panel discussion debating the merits of capital expenditure and refinancing. He championed EDB’s proprietary Development Impact Scorecard as a means of assessing a project’s viability, citing its unique ability to balance risk aversion with wider economic benefits.

Held over two days, Bonds, Loans & Sukuk Middle East is the region’s largest gathering for the corporate and investment banking industry. EDB, a gold sponsor of the event, used the platform to showcase both its unique role in the UAE financial sector and its range of financial services and products.

Commenting on the bank’s participation, Al Naqbi said, “The event proved extremely valuable for EDB, allowing us to engage an important cross-section of the corporate and investment banking community and providing an opportunity to develop and strengthen our network of partners. We look forward to working with them in the weeks and months ahead to deliver the finance and support our private sector – and therefore our economy – needs.”

Bonds, Loans & Sukuk Middle East Bonds hosted 70-plus speakers, 550-plus sovereign, corporate and financial institution borrowers and 200-plus investors and lenders – with 93 percent of the attendees at director level or above.

Source: Emirates News Agency