An Inflation Hit for Business Sector in the Gulf

Half of the Businessmen in the Gulf area are subject to great financial pressures due to the increase of inflation. At a time costs increase considerably more than the ability of the consumers to adopt with, expectations of the increase of inflation to reach its highest level ever in 20 years are increasing, as it will reach 12% in the UAE, 6% in Saudi Arabia compared to 4% last year, and 7.2% in Oman Sultanate compared to 4.4 last year, according to a survey made by Arabian business web site.
This will have negative effects on the sector of private business due to the rise of production costs, wages, and the decline of profitability revenues. Despite the decision of the GCC countries to decrease the average of interest by 0.5 and 0.75% for strengthening their currencies, yet the economists still assert that the real solution for the problem will be achieved by the disengagement between the dollar and the Gulf currencies. So will the next step of the GCC countries take this direction?

Cooperation Between the Islamic Bank Nour and Dubai for Increasing Exports

Dubai Institution for Developing Exports and the Islamic Nour Bank has signed a memorandum of understanding for implementing a number of important initiatives for activating the sector of export and re-export in the United Arab Emirates with the aim to become one of the most important export centers in the world.

$270 m, the Profits of the Bahraini Betalco Company in 2007

The Bahraini Telecommunication Company Betalco have achieved an increase in its annual profits reaching $270 m last year compared to about $237.7 million in 2006.
In a statement the company said that its profits have risen by 24.7% reaching $62 m during the last quarter of last year compared to the same period of 2006.

The Real Estate Royal House Company Offers Distinguished Projects in Abu Dhabi Real Estate Exhibition

The Real Estate Royal House Company will take part in Abu Dhabi Exhibition for Real Estates and Investments 2008 through a number of its distinguished housing projects, the most important of which is al Hilal and al Nasim towers which are considered a revolution in the field of intelligent houses. Moreover the company announced on the sideline of the exhibition that it will launch a new project with high technical specifications.

The Increase of Revenues of Sukhoi Company by 260% in 2007

The revenues of Sukhoi Company, which is considered one of the companies of “The United Establishment for Planes Manufacturing” in Russia have increased in 2007 by 2.6 times exceeding the barrier of 50 billion robels. It is worth mentioning that this sum of money represents 50% of the revenues of the United Establishment. Sukhoi comprises the biggest designing offices and factories for planes manufacturing and production in Russia.

Small Indexes

- The Moroccan government has allocated $382 m for implementing a program for combating poverty in the country through the national initiative for human development.
- The American shares have witnessed a sharp decline at the opening session yesterday along with the drop of the three main indicators by 1.5%.

Companies Indexes

- The number of investments company that have been established in Egypt in 2007 have risen to 7562 companies with a total exported fees reaching 28.8 billion pounds with an increase of 64.6% compare to 2006.
- The Dutch-British Royal Dutch Shell Company said that it gained annual profits estimated at $27.56 billion which represents a hit for a company registered in Britain.
- The company of Kuwait International Exhibition announced that more than 53 Kuwaiti Industrial Companies will take part in the Kuwaiti industrial exhibition on the 27th of March.

Bids

- The Real Estate Emaar Company has signed an agreement with an Emarati coalition led by Imal International for building a complex for aluminum in the economic city of King Abdullah with investments estimated at 18.4 billion riyals and with production capacity estimated at 700.000 tonnes for the first phase of production.
- The Syrian cabinet has approved on ratifying the two signed agreements between the General Establishment for Generating and Transporting Electricity Power in Syria and Lebanon Electricity Institution, stipulating on the continuation of providing Lebanon with electricity through Anjar and Deir Nabouh stations in 2008, according to the available capacity and according to the conditions and the average of Tariff for 2007.

Exhibitions & Conferences

- The Exhibition of Private Drive Super Car will be held in Qaser al Emarat Hotel in Abu Dhabi between 2-4 of this month, exhibiting the 30 cars which represent the most advanced and luxuries cars in the world.
- The activities of the International Tourism Exhibition which attracts 13.000 exhibitors from 170 countries from the different tourist areas in the world has been launched in Madrid a few days ago. The exhibition will last till the third of this month.

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, English and Spanish. Also worth a read is Tendencies, the daily Near East political watch newsletter, available in Arabic, English, French, German, and Spanish languages.