Economy
Interview: US to push Free Trade in Middle East
Carlos M. Gutierrez, the influential and persuasive US Secretary of Commerce plans to use a keynote business conference in Jordan to press home the ambition of the Bush administration to see the establishment of a regional US-Middle East Free Trade Area by the deadline of 2013. Gutierrez, who will deliver the centrepiece speech, told Noozz in an exclusive interview: “President Bush’s recent successful trip to the region has given my own mission to boost our free trade ties there extra clout and credibility. We still have every intention of creating such a zone, with Oman the latest Arab state with which an FTA is due to go completely on stream.
Dollar fall piles pressure on Gulf Arab states
An oil-driven boom in Gulf Arab states shows few signs of abating, but pressure is mounting on some of them to revalue their currencies and others perhaps to abandon dollar pegs due to dollar weakness, a top bank lobby group said this month. The Washington-based Institute of International Finance, the largest lobby for 375 of the world's major banks and investment institutions, said it did not expect a "wholesale abandonment" of dollar pegs.
GCC states launch common market on January 1, 2008
Nearly three decades after the idea was first mooted, the six oil-rich Gulf monarchies enter the New Year after finally establishing a common market with a combined economy of US$715 billion. The new regional economic grouping should ensure "economic equality" for Gulf Cooperation Council citizens, GCC Secretary General Abdulraham al-Attiyah said at a summit of GCC leaders in early December.
UAE leads GCC members in economic diversification
A report by the Saudi National Commercial Bank (NCB) has announced that the UAE will lead GCC member-states in their aim to progress with economic diversification. The bank indicated that non-oil sectors such as construction, realty and financial services will comprise 70 percent of the UAE’s GDP by 2010. Meanwhile, a report by National Commercial Capital – NCB's asset management arm – anticipates a positive future for the UAE economy, expecting robust growth to continue by riding on booming energy prices, strong investment influxes and an improved local business climate.
UAE: Link to US dollar kept
The UAE will keep a 30-year link between its currency, the dirham, and the US dollar, after completing a review of its currency regime, said the central bank governor, Sultan bin Nasser al-Suwaidi.
Government approves recruitment firms in European markets
The Egyptian Ministry of Workforce and Migration has approved the setting up of recruitment firms for Egyptian workers in European markets. The move aims at reducing unemployment rates and trimming illegal migration of Egyptian youth to European ports. "The new firms will be expected to open job markets in Europe to Egyptian youth and provide technical training and language courses to qualify them for jobs in European countries," a senior official at the ministry said.
UAE-US trade volume triples in four years to US$14.7 billion
Commercial activity between the UAE and the US has manifested speedy growth rates during the last four years, tripling the volume of trade exchange between both sides from US$4.6 billion in 2003, to US$13 billion at the end of 2006, and expected to strike US$14.7 billion upon disclosing final figures for 2007.
Tax on foreign firms proposed in Bahrain
Bahrain's Parliament speaker called for levying taxes on profits of foreign commercial institutions, arguing that the country needed the extra income for present and future generations.
Oman: Banking on growth
BankMuscat's latest move into the sphere of international banking came on January 7, when a consortium including the Omani bank, International Finance Corporation (IFC) and Japan's Nomura Holdings, agreed to a buyout of 68.01 percent of the shares of Pakistan-based Saudi Pak Commercial Bank from its parent firm, Saudi Pak Industrial and Agricultural Investment Company.
News Analysis: Bhutto assassination sends shock waves across the world
The assassination of the former prime minister of Pakistan Benazir Bhutto in a suicide attack has sent shock waves well beyond Pakistan. The act will raise fears in the mind of those investors who are active not only in Pakistan but in other potentially turbulent regions across the Islamic world.
IMF predicts year of rapid growth for Iraq
The Iraqi economy should enjoy a significant acceleration in growth this year if the country's security situation continues to improve, the International Monetary Fund predicted. The IMF expects the economy to expand as much as 7 percent this year, possibly rising to 8 percent in 2009, after anecdotal evidence suggested that the country has topped the fund's prediction of 1.3 percent growth for last year.
2007 great year for Iraq’s finances, foreign debt and unemployment down
An official source in Iraq’s Ministry of Finance has said that the stability of the security conditions in the past few months has had a dramatic impact on the economy, saying that 2007 was a solid year for economic developments, with Iraq’s foreign debts down by 80 percent and unemployment down to 16 percent.
Indo-Gulf Trade: A basket of opportunities
The booming Indian economy has become the apple of the eye for the international trading community. Many business gurus believe trade between India and Gulf countries is going to be more favourable than the western countries. The much-talked about Free Trade Agreement (FTA) with the Gulf countries is certainly going to be icing on the cake for Indo-Gulf trade.
Qatar: Growing banking strength
In a recent report released by global credit reporting agency Fitch, Qatar scored high marks in terms of financials, helped along by a robust regional economy. According to Fitch's Qatar Banking System and Prudential Ratings, "Qatari banks continue to show strong profitability, healthy asset quality and good capital adequacy ratios. This picture is unlikely to change significantly in the short-term given the current benign regional conditions."
Brazil: Bilateral trade with Arab countries grows, diversifies
Bilateral trade totalled US$13.5 billion last year, as a result of US$7 billion in Brazilian exports and US$6.5 billion in imports, according to data disclosed this month by the Arab Brazilian Chamber. The president of the organisation, Antonio Sarkis Jr, estimates a 10 pct expansion in trade in 2008.
