Samer Zahr

#sustainablefinance #gcc GCC accounts for 82% of $6.8bln global sustainable sukuk issuance in H1 2024 and Saudi Arabia has emerged as the leader in sustainable sukuk issuance (42%), followed by the UAE at 33%. While UAE entities were the most active in labelling their sukuk as “sustainable” in H1 2024. Several financial institutions in the GCC launched their first sustainable sukuk this year: - Dubai Islamic Bank issued $1 billion in sustainable sukuk in March - Emirates Islamic Bank issued $750 million in sustainable sukuk in May. - Qatar International Islamic Bank issued $250 million of sustainable certificates in July. It is expected the governments of Saudi Arabia and Oman to issue their first sustainable sukuk in “the coming months”, driven by the recent introduction of sustainable finance frameworks.

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Oman's IPO market is gaining momentum, with the $2B listing of OQ Exploration & Production in October 2024 marking the largest IPO in the region this year. This follows recent successful listings like OQGN and Abraj Energy Services, driven by the government’s privatization strategy. These moves aim to boost liquidity, attract foreign investment, and position Oman for potential inclusion in major emerging market indexes.

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This book provides a first-of-its-kind analysis of the emerging global hydrogen economy from the vantage point of one of the world’s biggest energy providers: Saudi Arabia. In 2021, and within the context of the Circular Carbon Economy framework, Saudi Arabia announced its goal to reach net-zero carbon emissions by 2060 and produce a substantial amount of clean hydrogen annually by 2030. The Kingdom is optimally situated geographically between the major demand markets in Europe and North Asia, from where it can leverage clean hydrogen exports as a potential tool to become a player of strategic importance and successfully diversify its economy under its Vision 2030 program. More broadly, the book charts a course for fossil fuel-exporting countries such as Saudi Arabia to carve a competitive position for themselves over the forthcoming decades using clean hydrogen as a catalyst for the energy transition. A must read for any Hydrogen fuel enthusiastic person. https://lnkd.in/gCU7D4Yv

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Achieving an investment-grade rating is a significant milestone for Oman's economy. This rating indicates a lower risk of default, potentially leading to improved financing conditions, increased investor confidence, and a stronger economic trajectory. This, in turn, supports sustained twin surpluses and robust non-oil growth, paving the way for a healthier fiscal position and economic resilience. Congratulations to Oman for this great debt management under the leadership of HM Sultan Haitham. What’s your thought on surprises could stop Oman from achieving an even better rating? #Oman #fiscalpolicy #finance #treasury #creditrating #Oman_MOF

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#incaseyoumissed #capitalmarkets #deals Abu Dhabi's ADNOC Group to buy German chemicals firm Covestro for $16 bln. The deal is one of the largest foreign takeovers by a Gulf state to drive further diversification of ADNOC's chemical portfolio. Despite the recent rating downgrades, among others from Citi, Kepler Cheuvreux, Covestro's stock has shown strong performance, with a 21.43% price total return over the past year. the stock is currently trading near it's 52 week high, suggesting that the market has largely priced in the potential acquisition. It also comes at a sensitive time in Germany for foreign acquisitions and the state of German economy.

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Fitch revises Egypt’s outlook from Stable to Positive Fitch Ratings revised Egypt's Long-Term Foreign-Currency (LTFC) Issuer Default Rating (IDR) outlook from Stable to Positive, affirming the IDR at B-. This shift suggests a reduced risk environment and an improved outlook for Egypt’s financial stability which can be translated into several potential benefits for businesses operating in Egypt: - Enhanced Access to Foreign Currency: Recent developments, including Ras Elhekma deal, have strengthened Egypt's foreign currency reserves. This can make it easier for businesses to obtain foreign currency for international transactions. - Potential for Currency Stability: The move towards a flexible exchange rate and the increase in foreign investment can contribute to a more stable Egyptian pound. This reduces currency fluctuation risks for businesses engaged in international trade. - Increased Investment Activity: The significant foreign direct investment (FDI) associated with Ras Elhekma deal signals investor confidence in the Egyptian economy. This could lead to more investment opportunities and potentially a more active and dynamic business environment. #Treasury #TreasuryManagement #Egypt #BusinessEnvironment #EconomicOutlook #FitchRatings #FinancialStability #Growth

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MGX, a UAE state-backed technology investment company, is reportedly in talks to invest in OpenAI as part of a multibillion-dollar funding round. OpenAI is seeking to raise $6.5 billion at a valuation of $150 billion. MGX has not yet determined the size of its potential investment. MGX was launched in March 2024 by founding partners Mubadala Investment and G42, with the goal of investing in AI companies and infrastructure. Sheikh Tahnoun bin Zayed Al Nahyan serves as the board chair of MGX. This potential investment aligns with the UAE's broader strategy to position itself as a global hub for AI and technology innovation. The UAE has been actively courting AI investors and companies, leveraging its vast capital and favorable regulations to attract tech talent and foster innovation. OpenAI, known for creating ChatGPT, has been engaging with various investors. Venture capital firm Thrive Capital has reportedly committed $1 billion to lead the funding round, while Microsoft, Apple, and Nvidia are also in talks to invest. It's important to note that while this potential investment is significant, it's part of a larger global trend of increased investment in AI technologies. The UAE's interest in OpenAI reflects its ambition to play a key role in the development of AI, but it's not accurate to characterize it as "fueling a hot air balloon" or suggest that the UAE is solely responsible for OpenAI's growth.

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PwC Middle East’s Saudi Economy Watch shows the Kingdom’s impressive progress toward its renewable energy targets, with 21 renewable projects contracted and 19GW of capacity already in place. The report also emphasises the Kingdom’s commitment to sustainability, with plans to produce 500,000 electric vehicles by 2030 and a robust EV infrastructure. Saudi Arabia is creating a blueprint for global energy transformation. Read the full report here: https://pwc.to/3BWWe66

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This MoU marks a pivotal moment in our journey towards a sustainable future. The development of a green methanol facility in Egypt is not just a regional advancement but a significant leap for global maritime decarbonization. As industries worldwide grapple with the challenge of reducing carbon emissions, green methanol presents a viable, efficient, and environmentally-friendly solution. The partnership between AD Ports Group, Transmar, and Orascom Construction underscores the importance of collaboration in tackling global environmental issues. By leveraging the expertise of these industry leaders, we are poised to make a substantial impact on reducing greenhouse gas emissions and promoting clean energy alternatives. Green methanol's potential extends beyond the maritime sector. Its applications in other hard-to-abate industries, such as chemicals and plastics, highlight its versatility and importance in the broader context of sustainable development. This initiative not only aligns with the UAE's decarbonization goals but also sets a precedent for other regions to follow. As we move forward, the anticipated growth in methanol-fueled vessels underscores the urgent need for such facilities. This project will not only support the increasing demand for green methanol but also position us at the forefront of the global clean energy revolution. Congratulations to all parties involved in this groundbreaking initiative. Let's continue to drive innovation and sustainability in every sector.

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EGYPT new investment pool for EU companies: On 1st July 2024, at bilateral conference in Cairo, European commission president announced that EU companies are signing €43 billion deals with Egyptian companies. And Shortly before, GV investments, Egyptian sovereign investment fund, signed four deals of €40 billion to produce renewable green ammonia. This deal potentially makes Egypt key player in renewable energy market. Followed by this announcement, GV investments signed deal with Chinese automotive manufacturer FAW to build low cost electric sedan for Egyptian Market. A month earlier EU announced to provide €1.1 billion as short term financial aid to support Egyptian economy. Moreover, Egyptian government signed $8 billion loan deal with International monetary fund (IMF). But the biggest deal of all was signed by ADV, Abu Dhabi sovereign wealth fund, of $35 billion to develop stretch of Egypt Red Sea coast for tourism and Real Estate. Egyptian economy has conventionally been associated with just three sectors: Agriculture, energy and tourism. But the gulf and EU have plenty of reasons to help stabilise Egypt economy with its 111 million population, strategic location in ongoing Israel and Hamas conflict and Europe migrant crises. https://gfmag.com/ #ACCA #investment #EU #FDI

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Today the Capital Market Authority (“CMA”) announced the last IPO approval in the 1st half of this year for United International Holding after a great effort demonstrated by all relevant stakeholders, specially from the comprehensiveness and quality of disclosure standpoints. In the 1st half of 2024, the CMA team processed 12 IPO applications in the main market, out of which 8 companies were approved to be listed, in addition to processing 23 applications in the parallel market, out of which 19 companies were approved to be listed. The extensive review and diligent effort by the CMA, Tadawul, the advisors and the issuers has insured a minimum standard of disclosure and reliable information that will be publicly available to be relied on by investors who will participate in those IPOs.

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The Spanish Export Credit Agency (CESCE) has signed an agreement with Iraq's Sovereign Guarantees Committee to enhance cooperation between Spain and Iraq. The €1 billion agreement aims to facilitate Spanish companies in executing mutually agreed projects to support the development of Iraq's private industry under CESCE's coverage. The agreement underscores the commitment of both countries to boost trade, develop business lines, and provide access to Spanish technology and expertise for large-scale projects across various sectors. CESCE will support the export of equipment, industrial plants, and production lines for key industries in Iraq. The Iraqi government will provide sovereign guarantees for the financing of these contracts, ensuring legal and economic security for the transactions and encouraging investment. The agreement was signed at CESCE's headquarters by its Executive President, Fernando Salazar, and Mohammed Sahib Al-Darraji, Technical Advisor to the Iraqi Prime Minister, in the presence of Iraqi Ambassador Salih Husain Ali. This move aligns Spain with countries like Japan and Italy, which have also signed cooperation agreements with Iraq to strengthen economic and commercial ties. (Source: CESCE)

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The Saudi government continued its commitment to balancing public spending, which drives its economic diversification and expansion strategy in multiple sectors while also ensuring fiscal sustainability. Key facts and focuses in FY24, strong non-oil GDP growth where tax revenues rising by 2.7 percent YoY to SAR 366 bn. Also, despite the fall in domestic oil production and international oil prices, a dividend from Aramco bolstered oil-related revenues.

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We are now seeing a stronger focus around sustainability and greening of the economy. 2023 saw a surge in green financing, especially in countries such as the UAE and Saudi Arabia. In this edition, we also examine the uncertainty around oil demand growth, with the OPEC+ deciding to keep production flat in the second quarter, maintaining the 2.2m barrels per day (b/d) in additional cuts, mainly by Middle Eastern producers. Finally, we look at non-oil trends in the region, with Gross Domestic Product (GDP) and Purchasing Manager Index (PMI) indicators showing significant growth in Saudi Arabia and the UAE, despite the decrease in oil production. https://lnkd.in/gR87TNdy

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Happy to share the book, "The Clean Hydrogen Economy," where I had the honor of contributing to the chapter, "The Evolving Hydrogen Economy in the United States." This book provides a first‑of‑its‑kind analysis of the emerging global hydrogen economy; further, it presents the opportunities and challenges for a range of potential exporters and importers from the vantage point of Saudi Arabia. Many thanks to Naomi Boness, Ph.D. at Stanford University for giving me the opportunity to collaborate, and to Rami Shabaneh at KAPSARC for leading the ambitious effort. #hydrogen #cleanhydrogen #economy #greentransition #netzero

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Egypt is advancing rapidly in the green hydrogen and ammonia race, securing billions in investments for multiple green ammonia and hydrogen projects during the Egypt-EU Investment Conference in Cairo. Prime Minister Mostafa Madbouly oversaw the signing of landmark agreements between the The Sovereign Fund of Egypt (TSFE) and European developers, highlighting growing international interest in Egypt's green energy sector. The agreements, witnessed by key ministers and officials, focus on developing green ammonia projects in the Suez Canal Economic Zone (SCZONE), particularly in East Port Said and Sokhna Port. Waleid Gamal Eldien, MSc, Chairperson of SCZONE, emphasised the confidence these investments demonstrate in the Egyptian economy and the attractiveness of SCZONE's investment incentives. Notably, a $14 billion project in Sokhna Port involves bp, Masdar (Abu Dhabi Future Energy Company), Hassan Allam Utilities, and Infinity Power, while an $11 billion project in East Port Said is signed with DAI. Some of the additional agreements include a $4.25 billion project with Ocior Energy Holding Ltd and a $3.46 billion project with a consortium of TAQA Arabia and Voltalia, both in Sokhna Port. Another notable agreement was signed between the General Authority for Alexandria Port, Egypt's New and Renewable Energy Authority (NREA-EG), and an international consortium led by Belgium's DEME HYPORT Energy (DEME Group). These investments align with Egypt's goals to position itself as a regional green energy hub, contributing significantly to its renewable energy objectives and efforts to decarbonize its energy sector. #GreenEnergy #Egypt #RenewableEnergy #Sustainability #Investment https://lnkd.in/d7Z7Df5V

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