Temporary Solutions for “Long-Term” Crisis

Financial Experts have given the whistle warning, following the failure of pumping more cash money by Central Banks in stopping the sharp decline at financial markets.
Money markets witnessed more losses despite big financial support that exceeded more than a quarter of a trillion US dollars. What is seemed very plain was the uselessness of attempts to assure dealers at markets, especially in Asia and the US.
Despite share prices recorded tempting levels on Thursday, dealers had not found any motive for buying, but a drastic step had to be taken represented by decreasing the interests rate, and as a start of systematic intervention, the prices of American shares closed by sharp rise on Friday, following the step taken by Federal Reserve Council which had decreased the value of cuts which its receives of direct loans to be paid to the banks in a surprising step to spread stability at insurance market. But this does not seem to be enough to assure the market due to the absence of well-establish indicators that clarify the consequences of this step. As well as the absence of guarantees that these consequences would not be “temporary”.

Telecommunications Sector in Morocco Witnesses Drastic Changes

Telecommunications market in Morocco has witnessed this year drastic changes through the entering of two new companies: “Midi Telecom” and “Wana”. Statistics published lately by the national agency for telecommunications orientation, showed that double growth rate has been achieved in the various branches of mass media and telecommunications technology including fixed and mobile phones, and the internet, due to the liberation of telecommunications market in Morocco.

“Central Bank of Kuwait” Keeps the Exchange Rate Stable

Central Bank of Kuwait” has kept the exchange rate of the Kuwaiti Dinar without any change opposite to the US dollar following the recovery of the American currency opposite to a package of currencies.
The bank said that the exchange rate of the Kuwaiti currency will be carried out by a price of 28215.0 dinars opposite to the US dollar.

The Australian “Leighton Holdings” Company Builds a Highway in the UAE

The Australian “Leighton Holdings” company for construction has revealed lately that it has been chosen to build a high way in the UAE with a total cost of $550 m. The company said that this contact is the third of its kind in the Gulf area which, according to the company, represents a huge growth rate area.

The Kuwaiti National Industries Group Buys 20% of the Complex of “Al Sharq al Awsat” for Jordanian Industries

The Jordanian company of Al Sharq al Awsat complex for engineering and electronic industries has announced that about 20% of the capital of the company has been sold to the new regional investors, i.e. the group of the National Industries Group SAK with a total cost of 40 m dinars.

Iran Buys 240.000 tons of American Wheat

The American Ministry of Agriculture surprised dealers this week by announcing that Iran bought 240.000 tons of American wheat, adding that this quantity will be delivered in 2007-2008 due to start at the first of next September, according to a contract concluded by Iran for the next three years.

Syria Signs the Agreement of Transporting Arab Gas Pipeline to a network connected with the European network

Syria has signed an Agreement with Egypt and Jordan to transform the Arab gas pipeline into an Arab network and connecting it with the European network following Iraq’s joining the project. The total cost of the project of Arab gas pipeline is estimated by $1 billion and 200 m.

Iraq Sells Three Licenses of Mobile Phones in Return for $3.75 bn

Iraq has sold three licenses of mobile phones net works in return for $3.75 bn for the Kuwaiti “Mobile Telecommunications Corporation”, “Asiacell”, and the Iraqi “Korek Telecom” company.

A-3% Rise of Russia’s Production of Oil in the First Half of This Year

Russia’s production of oil during the first half of 2007 has risen by 3% compared to the same period of 2006, reaching 243 million tons. The federal commission of statistics said that Russia’s production of oil in July-2007 has risen only by 2.1% reaching 40.4 million tons.

Small Indexes

- Demands on Gold between April-July 2007 has risen by 19% compared to the same period of last year according to the World Council of Gold, with expectations of more rise due to political tension in the Middle East.
- Official Omani statistics showed that the total budget of commercial banks have witnessed a growth rate in the total value of assets by 35% reaching about 8.6 bn Omani riyal.
- Prices of the Turkish lira rose yesterday by more than 2% opposite to the US dollar.
- The number of the users of mobile phones in Iraq has risen by 8 millions persons by the end of 2006.

Companies Indexes

- The net profits of the Jordanian “Al Enma’a” for International Trade and Investment have reached about 402.7.000 dinars according to the financial statements published by the company every six months.
- The Malaysian “Petronas” company for Oil and Gas said that it is keen to have a role in Jizan refinery, which is considered one of four new refiners Saudi Arabia intends to build to increase the capacity of local oil refinery to 3.4 million barrels per day in 2012.

Bids & Contracts

- The Australian “Leighton Holdings” for Construction has revealed lately that it had been chosen to build a railway in the UAE with a total cost of $550 m.
- Chairman of one of the Pakistani Banks has revealed that the Kuwaiti “Noor Financial Investment Co” has agreed on increasing its share in the bank by more than 35%, pointing out that the total value of the deal is $38 m.
- The Australian ambassador to Russia, Bob Tyson, said that Russia and Australia intend to sign an agreement on the peaceful use of nuclear energy, during the expected visit by the Russian President to Australia next September.

A Special Publication of the 54th of Damascus International Fair

The Second Day

The activities of 54th Damascus International Fair have continued for the fourth day amid big turn out by economic circles and the Syrian citizens. — Indicators visited the Turkish stand, which is considered one of the oldest stands taking part in the fair. Turkey’s participations in the fair reached 53 sessions out of 54 sessions. Mrs. Fatima Safem, Chairman of Exhibitions Department at the Exports Promotion Center in Turkey, and Director of the Turkish stand told indicators: “Turkey is taking part in this session through the participation of 19 companies working in different fields, adding that the concentration this year was on the fields that address the consumer’s needs directly”.
Concerning the trade volume between the two countries, Safem said: “Until 2002, the volume trade between the two countries ranged between $500-800 m pointing out that the balance of volume trade between the two countries was for Turkey’s interest, as the volume of Turkey’s imports from Syria reached about $190 m, whereas the volume of Turkey’s exports to Syria reach about $600 m.
Mr. Abdullah al Idlebi, the owner of “Al Idlebi for Trade”, which represents 12 Turkish companies, expressed his great admiration of Damascus International Fair. Mr. Idlebi said that his company imports from Turkey by about $1.5 m annually. Moreover, the well-established “Murjan” company working in the fields of glass and porcelain which was established in 1952, has taking part in the fair.
Abdul Qader Qahraman, the owner of the company said: “The company intends to enter the Syrian market after making studies in relation to that. For his part, Mr. Abdul Wahab Rehawi, one of the members of the Turkish-Arab businessmen organization “Tourab” said that the economic relations between Turkey and Syria have witnessed great development following the visit paid by President Bashar al Assad to Turkey. It is worth mentioning that the aim of the organization is to coordinate between the Turks and the Arabs for facilitating concluding deals, and providing the necessary trade information within “Tourab” area. The organization comprises about 150 merchants and businessmen, whereas most of trade exchanges concentrate on cereals, construction, and tourism fields.
The Kuwaiti Stand: European technologies and high quality products. What draws the attention at the Kuwaiti stand, the participation of the Kuwaiti “Aquasan” company for sanitary ware which entered the Syrian market about 6 months ago.
Engineer Fouad Beshara, the Sails Manger at “Senjab” establishment “Aquasan’s clients”, said that all the company’s products are made according to the British specifications “bs 3402”.
Al Hafez Company: The owner of the first industrial record in Syria. In 2001, al Hafez Company for Refrigerators manufacturing celebrated its golden jubilee. Al Hafez Company is considered the owner of the first industrial record in Syria, producing today all kinds of house, commercial, and industrial refrigerators according to the latest international technologies. Mr. Adnan Samra’a, the Director of Promotion Department at the company said that: “Al Hafez company has not been absent from taking part in Damascus International Fair since the beginning pointing out that the company covers today about 65% of the demands of the Syrian market of refrigerators.
The Green Stand witnesses a Big Turn Out
What draws the attention at the Libyan stand is the big diversity of the exhibited products ranging between trucks, textiles, medicines and electronics.
Mr. Daw Zine al Abidin, the Director of Supporting Department at the Libyan Center for exports Development, said that 26 Libyan companies are taking part in the fair. It is worth mentioning that the company was established in 1976 taking the form of a joint – stock corporation between Libya and Italy. The company owns 8 factories that manufacture trucks, vehicles, fiber glasses, lights and machines.
Representative of the Company, Engineer Omran Abu Janah, said that the technology used in manufacturing operations are considered the best technologies world wide.

Indicators is a daily economic watch newsletter about the Near East, issued by New Orient News agency in Beirut, Lebanon. It is available on Voltairenet.org in Arabic and English. Also worth a read is Tendencies, the daily Near East political watch newsletter, available in Arabic, English and French languages.