Home > Insights >  Egypt’s Economic Conference – Egypt the Future – held in Sharm El-Sheikh from the 13th of March till the 15th of March was a great success.
Sunday, 22 Mar 2015

 Egypt’s Economic Conference – Egypt the Future – held in Sharm El-Sheikh from the 13th of March till the 15th of March was a great success.


Insights MENA

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Economic Outlook

Economic Outlook

 Egypt’s Economic Conference - Egypt the Future - held in Sharm El-Sheikh from the 13th of March till the 15th of March was a great success, as Egypt managed to attract various investments.  Egypt has signed preliminary deals with four Arab real estate developers for four projects worth 12.7 BN USD. An MOU has been signed with an Egyptian company - “Mountain View” and a Saudi Arabian company - “Sisban Holdings”. The MOU covers two real estate projects that aim at developing 500 acres in New Cairo with a cost of 3 BN USD, and 470 acres in the 6th October city with a cost of 2.7 BN USD. Moreover, Palm Hills will also develop 500 acres in New Cairo with a cost of 3 BN USD. Finally, the fourth project will be conducted by a consortium of Arab firms that aim to develop a touristic town on 557 acres in the 6th October city with a cost of 4 BN USD.  Egyptian Ministry of Electricity and Renewable Energy signed deals amounting to 21.1 BN USD with a number of international companies to develop the national electricity network and build new power plants. Saudi ACWA Power Construction and UAE Masdar Corporate are part of the signed deal and have signed deals amounting to 9.4 BN USD.  The Kuwaiti Ministry of Interior in coordination with the Ministry of Foreign Affairs are looking forward to hiring domestic workers from countries other than those currently sending workers to Kuwait. The aim behind this is to overcome pressure of work issues -including awarded wages - exerted by some countries and embassies.  Oman’s crude oil production reached 26.8 MM barrels in February. This is equivalent to 975,000 barrels per day. Moreover, total crude oil exports reached 26.16 MM barrels or 934,289 barrels per day, showing a growth of 14.83%.  Qatar Islamic Bank (QIB) has signed an MOU with a bank in South Korea named Woori Bank. The MOU aims at strengthening the cooperation of business opportunities and facilitating bilateral trade finance. It is worth mentioning that bilateral trade exchange between Qatar and South Korea increased by 25% in 2014 reaching 30 BN USD. Moreover, oil and gas products are from the key Qatari exports to South Korea accounting for 30% of the energy sector demand in Korea.  Saudi Arabian Airlines has decided to expand its operations to Bahrain by adding 29,000 seats on its scheduled flights from Jeddah and Riyadh to Manama. The available seats in Manama flights will be 142,956 in 2015 compared to 113,934 seats in 2014 with 25% increase. Moreover, the number of Saudi flights from Saudi Arabia to Bahrain has increased by 33% to 38 flights weekly.  Saudi Arabia plans to build an industrial city that manufactures automobiles in Rabigh. The industrial city will be the biggest manufacturing hub of automobiles and automobiles spare parts, and the production capacity is planned to reach 400,000 vehicles a year.  Khalifa bin Butti Bin Omeir (KBBO) group - a private investment group in UAE - plans to invest 2 BN USD in key sectors in Egypt.  Dubai’s average daily rates of hotel rooms decreased by 5.6% in February reaching 983 AED, and occupancy rates also decreased by 1.9% reaching 86.6%. On the other hand, room supply increased to 6.1%
Political Events

Political Events

 The Arab League called for the creation of a regional force to combat militant groups such as ISIS - Islamic State of Iraq and Syria – as countries are facing growing threats from these groups.  The 1.5 million refugee influx to Lebanon has affected the Lebanese health care infrastructure. It is worth mentioning that the health sector in Lebanon is dominated by private hospitals and clinics, and many health care services target rich individuals leaving low-income Lebanese and refugees deprived.  U.S. citizens are urged to take precautions in Saudi Arabia due to the increased security concerns. Moreover, the consular services in Riyadh, Jeddah and Dhahran are to be on hold. The embassy also warned that terrorist organizations could be targeting attacks or kidnaps against Western oil workers working in the Eastern Province.
Companies Transactions

Companies Transactions

 UAE's Dana Gas to invest 350 MM USD in Egypt Dana Gas will invest 350 MM USD in Egypt over the next 30 months. The investments include the drilling of 40 new development wells and building new pipelines.  The Millennium Challenge Account in Jordan (MCA-Jordan) inks deal for Zarqa Waste-Water Network Project MCA-Jordan has signed an agreement with Al Masirah Construction Company to implement the second phase of the waste-water network project in the Princess Haya neighborhood located in the city of Zarqa. The second phase will account for 3.6 MM USD, and is a part of a 275 MM USD grant program funded by MCA-Jordan.  Kuwait Property Developer Tamdeen Plans a 700 MN USD project The Kuwaiti property developer Tamdeen Group will build a 700 MM USD commercial and residential complex, one of the biggest private-sector projects in the country. The project will be on an area of 350,000 square meters of waterfront at the Sabah Al Ahmed Sea City, and will include a shopping mall, three residential towers, a marina accommodating over 900 boats and a resort style hotel.  Omantel Signs Pact with Oman Establishment for Press, Publication and Advertising (OEPPA) Omantel - the first telecommunication company in the Sultanate and the primary provider of internet services in the country - has signed a five year contract with OEPPA for printing their telephone directories.  A Malaysian Group was Awarded the 323 MM USD Lusail Deal in Qarar A Malaysian construction firm was awarded the 323 MM USD contract from Lusial Real Estate Development Company. The project entails building roads, utilities and five small-sized light rail transit stations and underground car parks. Moreover, the project is expected to be completed in the second quarter of 2017.  Drake & Scull Engineering (DSE), Habtoor Leighton Specon (HLS) to deliver 395 MM AED Mechanical, Electrical and Plumbing (MEP) Contract DSE and HLS have signed an agreement to deliver a 395 MM AED mechanical, electrical and plumbing contract. The package will include five hospitality buildings with 15 to 19 floors each, a hotel, serviced apartment buildings, a ballroom, and a marina.

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