Category: Market

The World Bank has announced the suspension of its operations in Niger following the military coup that took place in the country last week, resulting in the ousting of President Mohamed Bazoum.

In a statement today, the World Bank expressed concern over efforts to overthrow the democratically elected government in Niger, declaring a halt to all its funding operations there until further notice, with the exception of its partnerships with the private sector. The bank noted that these operations with the private sector will continue with caution.

Last Friday, General Abdoulkader Chiani, the head of the presidential guard in Niger, declared himself as the country’s ruler after the coup against elected President Mohamed Bazoum. Chiani justified this move by citing deteriorating security situation in his country, which faces violence instigated by armed groups.

The military coup in Niger has sparked angry international reactions, with warnings about its potential implications for the security of the Sahel region and humanitarian concerns. The Economic Community of West African States (ECOWAS) member countries imposed economic sanctions and travel restrictions on the new military leaders in Niger, threatening the use of force if President Mohamed Bazoum is not reinstated within a week.

France and the European Union have also suspended all financial aid to Niger.

Source: Qatar News Agency

The general index of the Qatar Stock Exchange (QSE) closed Wednesday at 10,983.36 points, down by 1.12 percent.

During today’s session, 199,352,843 shares were traded, with a value of QR 438,978,418.212, as a result of the implementation of 14,906 transactions in all sectors.

Shares of 21 companies rose in the session, and the prices of 22 other companies decreased, while five companies maintained their previous closing prices.

The market capitalization at the end of the trading session amounted to QR 644,533,344,473.800 compared to QR 649,855,608,567.110, in the previous session. (QNA)

Source: Qatar News Agency

Bahrain All Share Index closed at 1,988.48 points, marking a decrease of 3.61 points below the previous closing.

This decrease was due to the drop in the communication service sector, consumer discretionary sector, financial sector and material sector.

Bahrain Islamic Index closed at 777.20 points, marking a decrease of 2.36 points below the previous closing.

Results indicated that 56 equity transactions took place with a volume of 2,150,290 worth BD 854,574.

Investors traded mainly in the Non-Bahraini companies sector representing 56.13% of the total value of securities traded.

Source: Bahrain News Agency

Abdullah bin Adel Fakhro, Minister of Industry and Commerce, today announced the launch of Sijilat 3.0, in cooperation with the Information and e-Government Authority (iGA), Bahrain Post and Cisco, during a press conference held at the Bahrain Chamber of Commerce and Industry (BCCI) building.

Samir Abdullah Nass, BCCI Chairman, Mohammed Ali Al Qaed, CEO of iGA, Dr. Zakaria Ahmed Al Khaja, Deputy CEO of iGA, and Nibras Mohammed Ali Talib, Assistant Undersecretary for Commercial Registration and Companies at MOIC, attended.

The commercial registration system “Sijilat” is an integrated electronic portal that aims to contribute to providing a commercial investment environment that attracts Bahraini, Gulf and international investors and facilitates the establishment of commercial projects and the completion of any requirements related to commercial activities.

The minister affirmed the ministry’s commitment to developing initiatives that boost the economic and commercial sector as part of the comprehensive development process under the leadership of His Majesty King Hamad bin Isa Al Khalifa, and the keen follow up of His Royal Highness Prince Salman bin Hamad Al Khalifa, Crown Prince and Prime Minister.

The minister said that the launch of Sijilat 3.0 aims to further develop and improve the quality of services provided by the Ministry of Industry and Commerce by implementing the latest technologies that enable investors to manage their businesses easily and from anywhere in the world.

Improvements in the new system update include a collection of new e-services, which facilitate and reduce steps to access services by 60%.

Minister Fakhro indicated that the improved system uses modern programming techniques that suit the format of various devices, in addition to other new services.

One of the most notable services is the “automated guide,” which is an interactive tool and a proactive step that enables investors to access everything they need to establish their business and determine the appropriate structure of the commercial registration or its activity before starting it. It also provides the service of printing certificates for the CR, which allows businessmen and investors to obtain certificates and CR data through Sijilat, in addition to providing and improving 10 services for CR holders.

Sijilat 3.0 also included adding a “Dashboard” to display all commercial records, enabling investors to complete many transactions such as submitting a request for a new registration, deleting records, renewing and searching for active records, as well as searching for commercial activities, renewing commercial registration without a license, changing addresses, as well as adding a help page and a feature to inquire about transactions, the minister explained.

A collection of utilities was developed, including a cost and time period calculation tool; a tool for comparing activities; providing samples of documents required to facilitate the application process; illustrative videos on all services provided through the system; guide on business requirements and virtual customer service.

Fakhro added that the system’s technical infrastructure was developed by transferring it to cloud computing to increase speed and efficiency and ensure the quality of services.

BCCI Chairman affirmed that the launch of the improved Sijilat System came to improve the quality of services and that such initiatives achieve sustainability for the entrepreneurship and investment sector and maintain its growth and prosperity.

He added that increasing the volume of commercial and investment activities in Bahrain through facilitating the establishment procedures for investors and developing them continuously supports the BCCI’s objectives and commitment to providing the business environment with all means to create a well-rounded investment environment.

Nass noted Bahrain’s keenness to constantly keep up with the latest developments in the field of entrepreneurship, and to keep pace with the requirements of the labour market in light of global economic developments. He pointed out that Bahrain was one of the countries that took serious steps towards future sciences and investing opportunities for innovation and creativity to achieve the objectives of Bahrain Economic Vision 2030.

iGA CEO stressed that continuing to develop Sijilat affirms the government’s belief in its significant role as one of the factors that provide a conducive environment for various activities and businesses of the private sector and contributes to attracting Bahraini, Gulf and international investors.

Al Qaed expressed his appreciation to all the teams that worked on improving the new Sijilat system to include the new integrated and supportive electronic features and services that support the commercial sector and attract investors.

He affirmed that the Authority, under the support of General Shaikh Rashid bin Abdullah Al Khalifa, the Interior Minister and Chairman of the Ministerial Committee for Information and Communications Technology, is continuing to develop Sijilat in partnership with the Ministry of Industry and Commerce and other concerned entities, and will continue the process of digital transformation of government services and systems.

The first version of Sijilat was launched in 2015 under the name ‘commercial registration’, making Bahrain the first country in the region to provide such a service. The first version of the system provided an e-link with commercial record licensees and a manual on the use of various Sijilat services, as well as adding the services of commercial companies, most important of which was issuing a CR.

In 2016, (Sijilat 2) was launched, featuring the service of issuing a CR without a license within 93 seconds only, in addition to including the National Classification of Economic Activities (ISIC4).

For more information or inquiries regarding Sijilat 3.0, contact the government services call centre on 80008001, or submit inquiries, observations and suggestions through (Tawasul), or through the e-mail of the Investor Relations Directorate IR@moic .gov.bh.

Source: Bahrain News Agency

The general index of the Qatar Stock Exchange (QSE) closed Monday at 10,962.95 points, up by 9.030 points, or 0.080 percent.

During today’s session, 191,946,228 shares were traded, with a value of QR 526,675,423.994, as a result of the implementation of 18,510 transactions in all sectors.

Shares of 19 companies rose in the session, and the prices of 25 other companies decreased, while three companies maintained their previous closing prices.

The market capitalization at the end of the trading session amounted to QR 642,003,360,844.780 compared to QR 642,754,701,028.890, in the previous session.

Source: Qatar News Agency

The net profit of Inma Holding declined by 53.8 percent in the first half of 2023 to reach QR 3.355 million compared to QR 7.276 million riyals during the same period in 2022.

The company’s financial statements, published on the Qatar Stock Exchange (QSE) website on Monday, showed a decline in Earnings per share(EPS) to reach QR 0.059 as of 30th June 2023 versus Earnings per share (EPS) QR 0.128 for the same period in 2023.

Inma Holding was established in March 2003, with a capital of QR 56.64 million.

Source: Qatar News Agency

The real gross domestic product (GDP) in the Kingdom of Saudi Arabia increased by 1.1 percent during the second quarter of 2023, compared to the same period of 2022.

According to Saudi’s General Authority for Statistics (GASTAT), there was a positive increase of 5.5 in non-oil activities in the second quarter of 2023 compared to what it was in the same period of 2022. While oil activities witnessed a 4.2 percent decrease compared to the second quarter of 2022.

Seasonally adjusted real GDP decreased by 0.1 percent in the second quarter of 2023 compared to the first quarter of the same year.

GASTAT is the only official reference for statistical data and information in Saudi Arabia. It carries out all statistical work, as well as the technical oversight of the statistical sector. It also designs and implements field surveys, conducts statistical studies and researches, analyzes data and information, and documents and archives all works containing information and statistical data on all aspects of life in Saudi Arabia. It gathers, classifies and analyzes data, and extracts indicators from it.

Source: Qatar News Agency

The Social Development Bank (SDB) has received the Asian Banking and Finance Award 2023 for its commitment to empowering small and micro enterprises across the Kingdom of Saudi Arabia via Dulani Business Center, an SDB-affiliate that provides incubation, capacity building and care for small and micro enterprises.

At a ceremony held in Singapore in the presence of over 300 executives from more than 200 banks from 40 countries, SDB received the ABF “Corporate Client Initiative of the Year” award, testimony to the success of the Dulani Business Center in achieving distinctive qualitative achievements, effectiveness in performance, and the desired impact on the target groups.

The center has also helped raise greater awareness about social responsibility of individuals, entities and enterprises across the Kingdom, calling attention to how they can contribute to and transform society and the national economy for the better. Dulani Business Center’s initiatives have benefited over 100,000 individuals, 45% of them women. Its initiatives included over 518 development and training programs, and more than 39,000 consultation sessions, with a satisfaction rate exceeding 90%.

The total number of beneficiaries so far this year has increased by 48% compared to the previous year. Studies and reports prepared by Dulani Business Center validate the effectiveness and impact of specialized developmental interventions. These developmental interventions encompass various areas, including financing preparation programs, as well as specialized programs in sectors like e-games, e-commerce and franchising.

SDB CEO Ibrahim Al-Rashid said: “Winning the award was the result of the emphasis on national entrepreneurship and the necessity to effectively support it. Dulani Business Center serves this purpose through high-quality developmental interventions, which involve nurturing small enterprises, exploring opportunities in established sectors, accelerating the growth of promising industries, and providing a diverse range of experiences. Our team comprises specialists from various industries who contribute to the success of both male and female entrepreneurs. This award serves as a testament to the efficiency of our operations and their alignment with international best practices in the entrepreneurial sector, empowering entrepreneurs to thrive.”

The center is recognized as one of the pioneering government empowerment programs designed to assist the community in initiating their own projects and fostering their success and growth across all regions of the Kingdom. It offers a range of services, including online resources, programs and in-person advisory sessions at the center’s headquarters. These comprehensive offerings aim to create a positive impact by generating more job opportunities and enhancing the contribution of small and emerging projects to the Kingdom’s GDP.

Source: Saudi Press Agency

Qatar National Bank (QNB) Group has predicted a recession in the US economy during the upcoming 12 months, pointing out that the US economy continues to demonstrate its resilience despite significant headwinds from high inflation, tighter financial conditions, and an uncertain global environment.

In its weekly commentary, QNB added that since the beginning of the year, firm conditions in labor markets, strong household consumption, and a robust services sector have beaten the initial expectations that these sectors would deteriorate. On the back of these developments, the Bloomberg growth forecast consensus for 2023 increased by a full percentage point, from 0.3 percent in January to 1.3 percent by mid-year.

While economic momentum should further prevent a downturn for the US in 2023, a recession is not out of the picture yet for 2024. In QNB’s view, the question of this much anticipated recession deserves a more in-depth analysis, QNB outlined.

In a series of articles, QNB carries out an analysis of indicators from three categories (production, household, and market-based) to assess the state of the US economy to understand if and how a potential downturn is evolving. In this weeks article, QNB analyses financial markets indicators, and the evidence they provide regarding the outlook of the economy. QNB focuses on the US yield curve, the newly created financial conditions index from the Federal Reserve Board (Fed), and the dynamics of the US equity markets.

First, the inversion of the slope in the US Treasury yield curve is signaling an economic downturn with high probability over the next 12 months. This simple indicator, also named the term-spread, is constructed as the difference between long-term and short-term interest rates of treasury securities. Historically, it has provided a consistent relation with economic activity in the US: lower values of the spread predict a softening of the economy.

Yield curve inversions provide reliable signals of looming recessions. Since 1968, before each of the last eight recessions, short-term interest rates have risen above long-term-rates, generating an inversion of the yield curve. The recent monetary cycle of the Fed has accumulated 500 basis points of hikes in the central banks policy rate since March 2022, taking the yield curve to negative territory at the end of last year.

The monthly value of -1.55 percentage points (p.p.) in June implies a 67 percent probability of recession in the 12 months ahead, according to a statistical model developed by the New York Fed. The intuition behind the relation between the termspread and economic activity is straightforward: tighter monetary policy leads to higher short-term interest rates, which are expected to induce a slowdown in economic activity, as well as soften the demand for credit. In turn, this weakening induces lower inflation and interest rate cuts into the future, reducing current long-term rates, and therefore the term-spread.

Second, financial conditions are at the tightest levels in years, and imply a drag on growth going forward. A useful description of markets is provided by the financial conditions index (FCI), newly created by the Fed. This index aggregates financial variables,such as corporate bond yields, the Dow Jones stock market index, treasury and the federal funds rates, 30-year mortgage rates, and the nominal exchange rate dollar index. A convenient feature of this index is that it is expressed in terms of its impact on economic growth over the next year. The recent readings of the FCI are at their tightest levels since the Global Financial Crisis, and these conditions are estimated to be a drag on GDP growth of roughly 0.60 percentage points over the next year.

In our view, tight financial market conditions will persist going forward. In addition to the interest rate tightening cycle, the Fed continues to revert the balance sheet expansion that was put in place during the Covid-pandemic as an extraordinary and temporary measure. Higher costs of credit and tighter lending standards by banks will restrain the availability of credit for households and firms. Third, although stock markets have beaten the overall pessimistic expectations of the end of last year, this has been to a large extent due to the surge in specific sectors fuelled by new technological trends, such as the artificial intelligence boom (e.g., ChatGPT and associated technologies).

Stock markets provide valuable information regarding expectations of corporate performance and the economic outlook in general. In the first half of the year, the S&P 500 was roughly up 16 percent, while the Nasdaq 100, which heavily weighs technological stocks, climbed close to 40 percent. However, this performance has been driven by technological companies such as Apple, Microsoft, Google, and Meta. Excluding firms more directly affected by AI,the S&P was almost unchanged, showing that there is actually a high degree of caution embedded in equity markets regarding the overall economy. Furthermore, going forward analysts expectations express a high degree of uncertainty in addition to pessimism. According to a survey conducted by Bloomberg, analysts expect the S&P 500 to fall 8 percent in the second half of the year. More striking is the 50 percent difference between the most optimistic and the most pessimistic forecasts, showing discrepancies in expectations that have not been recorded in two decades, and reflecting the high level of uncertainty with respect to the economic outlook.

All in all, market-based indicators point to a drag on economic growth from tight financial markets, and a high likelihood of an economic downturn. This complements our previous analysis of the main production sectors and household consumption foreseeing a soft-landing of the US economy.

Source: Qatar News Agency

Lesha Bank LLC announced that it has obtained the ISO 9001:2015 and ISO 14001:2015 certifications for its Quality Management System and Environmental Management System, respectively.

These certifications stand as a testament to the Bank’s dedication to excellence, sustainability, and continuous improvement in its operations, the bank said in a statement on Saturday.

Lesha Bank has successfully attained these two ISO certifications, reinforcing its commitment to implementing a world-class quality management system, environmental management, economic sustainability, and social responsibility, the statement said.

After undergoing rigorous auditing by the internationally recognized German certification body, TUV SUD, Lesha Bank received the ISO 14001:2015 certification, showcasing its commitment to sustainability and reducing environmental impact.

Source: Qatar News Agency