Will a World Recession Crisis Be Coming From America?

The activity of the banking insurance for the American companies has started to decline with unprecedented averages since many decades. This is what the American Herald Tribune newspaper stated, as statements issued by the federal reserve bank that the total volume of insurance has declined till the mid of November by $3 trillion, with a drop of about 9%. The Federal Reserve Bank has not witnessed through out the past years a recession in the activity of insurance as quick as that. This may hinder the ability of the American economy to cerate new job opportunities in addition to allowing the present investments to expand which will lead eventually to increase dangers of the economic recession in the USA. On the other hand, taking into consideration that the US is the biggest world economy, any recession of its economy might have a contiguous impact on world economy.
The officials at the Federal Reserve Bank have decreased, within the context of the first expectations of the first quarter of 2008, the estimations of the economic growth rate of the whole year. According to their estimations, the American GDP is expected to record an increase with a percentage ranging between 1.8%-2.5% next year.

Iraq Sells 300.000 barrels of Kirkuk’s Crude Oil

Iraq has allocated 300.000 barrels daily of Kirkuk’s crude oil to sell it through contacting with 11 companies starting from next December. Reuters quoted an official in the Iraqi oil sector as saying that an agreement has been reached with regard to these contracts, adding that Iraq will sell about 300.000 barrels daily starting from January.

Abu Dhabi Bank Expects To Double its Assets by $3 bn

Abu Dhabi National Bank said that it expects to double its assets by more than $3 bn till 2009 with the growth of the markets in the Middle East and Expanding the sphere of coverage in Europe and Asia. Chairman of investment sector in the bank Nazem al Qudsi said that we are very sure of our ability to double these assets within a period of 18-24 months.

$ 15 bn, the Volume of the Foreign Investments in Egypt

The Egyptian government expects the direct foreign investments to rise by 36.3% to reach $15 bn for 2007, compared to investments of last year which reached $11 bn. Al Sharaq al Awsat Newspaper quoted Rashied Mohammad Rashid, the Egyptian Minister of Trade and Industry as saying: “The Egyptian economic reforms which started in the Middle of 2004 have contributed in increasing the averages of the foreign investments, but the direct foreign investments in 2004 did not exceed $400 m.

The Turkish Central Bank Expects Inflation to Exceed 6% This Year

The Turkish Central Bank has expected the average of inflation to exceed 6% this year. The bank said in a half newly report on financial stability that despite this difference between the goal and reality, expectations of inflation on the mid term point that there will be a decline.

The Kuwaiti Fund for Development Intends to Support Building Village Roads in Morocco

The economic fund for Arab economic development announced that it will grant Morocco 42 million Euros for supporting building roads in villages with a total of 500 kms. The program is a part of the government’s efforts to put an end to the isolation of more than 16 million inhabitants living in ruler areas.

Small Indexes

- The Syrian Investment Commission said that the percentage of the foreign investments in Syria has reached 40% of the investment concluded in investment law this year.
- An economic report showed that the total GDP of the Arab countries has risen in 2006 reaching $1.3 trillion.
- The Directorate of the External and Public Relations in the Russian Central Bank said that the volume of the Russian International Preserve has reached on the 23rd of November 2007 $459.6 bn opposite to $455.8 bn on the 16th of November.

Companies’ Indexes

- The Arab Group for Insurance “Amig” said that the administrative board of the group has agreed on the bid concerning buying 219.000 shares which represents 36.5% of the group’s shares by al-Khaleej Insurance Company.
- Cairo – Amman Bank has opened a branch in Palestine, as the total capital of the bank has reached 112 million Jordanian dinars.

Bids

- Al Ittihad for Aviation has signed a deal for financing air planes with the total value of $400 m with the aim of buying three new planes of Airbus A-340-600 model.
- France and Italy signed on Friday a cooperation agreement in the field of energy which would ease tension resulted from the despite with regard to the French facility services company Suez last year.

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.