Home > Insights > According to the International Monetary Fund (IMF), the global debt, both public and private has reached 152 TR USD amounting to 225% of the global economic output last year.
Monday, 10 Oct 2016

According to the International Monetary Fund (IMF), the global debt, both public and private has reached 152 TR USD amounting to 225% of the global economic output last year.


Insights MENA

$ti2
Economic Outlook

Economic Outlook

  • According to the International Monetary Fund (IMF), the global debt, both public and private has reached 152 TR USD amounting to 225% of the global economic output last year.
  • Jordan's budget deficit has declined reaching 317 MM JOD in July 2016 compared to 374 MM JOD in the same period of 2015. The decline was driven by the flow of foreign grants to the country amid the Syrian refugee crisis. Moreover, the budget deficit before the grants would have reached 565.7 MM JOD compared to 681.6 MM JOD in the same period of 2015.
  • Qatar has witnessed a 111% rise in the number of transactions in the real estate sector. In the fourth week of September 2016, that total number of transactions has reached 76 compared to 36 transactions in the previous week.
  • Tunisia's finance minister has cut its growth outlook to 1.5% in 2016 compared to the expected 2.5%. The forecast drop was driven by difficulties in the phosphate sector where protests have disrupted production.
  • Amid falling oil prices, Iraq's foreign reserves have dropped to 50 BN USD in October 2016 compared to 59 BN USD in the same period of 2015 as the OPEC nation continues to run a budget deficit because of falling oil income.
  • Jordan's government has decided to cut electricity tariffs on some economic sectors and large consumers starting on November. The decision includes reducing power tariffs on mining industries and telecom operators by 27 fils per kilowatt an hour (kWh).
  • Amid its trials to bridge its budget deficit caused by low oil prices, Algeria's government approved a 14% cut in its spending for 2017, following a 9% reduction in 2016.
  • Saudi Arabia has started implementing new reforms starting the new hijri year including: a new entry Visa fee which amounts to 2,000 SAR. In addition,a Royal Decree announced 20% cut in ministers' pay, and 15% reduction in Shura Council members' salaries.
  • In the first eight months of 2016, Oman's natural gas production and imports grew by 4.9% reaching 27,569 million cubic meters (MNCM) compared to 26,269 MNCM for the same period of last year.
  • In 2015, the global expenditure of Muslim consumers has exceeded 1.9 TR USD while the Islamic Finance sector has reached around 2 TR USD in assets. Food and beverages comes on the top of Muslim spending by category, followed by clothing, media and recreation.
  • To bridge its budget deficit caused by low oil prices, the Gulf states are planning to raise 50 BN USD through bond issuances.
  • Morocco's GDP growth rate has amounted to 1% in Q3-2016 compared to 4.8% in the same period of 2015. The slowdown is mainly driven by a severe drought which hit the country's dominant farming sector.
  • Egypt's foreign reserves has increased to reach 19.592 BN USD in September 2016 compared to 16.564 BN USD in same period of last year as the country received the first tranche of the World bank's 3 BN USD loan.
Political Events

Political Events

  • As Iraq's dispute with Turkey escalates, the former has requested a UN meeting to discuss the presence of Turkish troops on its territory. It is worth mentioning that turkey's parliament voted to extend the deployment of 2,000 troops across northern Iraq by a year to combat "terrorist organizations".
  • A bomb blast at a Syria-Turkey border crossing killed at least 25 Turkish-backed rebel fighters and wounded dozens. The blast took place on the Syrian side of the Atmeh crossing, west of Aleppo.
  • Egypt's parliament approved a civil service law aimed at combating corruption and bureaucracy after making amendments to the bill the law regulates about 6.5 million state employees.
  • 4,650 immigrants were saved while trying to reach the Italian Coast and 28 bodies recovered in more than 30 rescue missions off the Libyan Coast. This brings the total rescued to more than 10,000 refugees, and the death toll to 50 as people smugglers take advantage of relatively calm weather to push boats to sea.
Stock Market

Stock Market

  • .EGX30 sees its highest rise since June where the buyers were mainly foreign and Arab investors amid the devaluation news. The banking sector was the most active followed by the telecommunication sector.
  • .QSI's telecom sector slid as Oreedo shrank. In addition, the banking and financial services' sector declined led by Dlala brokerage and Investment Holding Company.
  • .ADI's banking sector was down led by First Gulf Bank (FGB) and National Bank of Abu Dhabi (NBAD). In addition, the real estate sector slid led by Aldar properties and Eshraq properties. Moreover, the telecommunication sector plunged as Etisalat tumbled.
  • .DFMGI's real estate sector declined led by Arabtec, Emaar Malls and Damac. In addition, the telecommunication sector dropped led by DU.
Index Watch list
Weekly % Change
YTD% Change
Egypt
.EGX30
6.2%
19.4%
Construction & Materials
0.4%
-25.1%
Telecommunication
6.1%
60.6%
Banking
6.6%
27.4%
KSA
.TASI
-0.8%
-19.2%
Petrochemicals
3.0%
4.0%
Banks & Financial Services
-0.5%
-21.0%
Telecommunication & Information
-1.0%
-24.5%
Kuwait
.KWSE
-0.8%
-4.6%
Banking
-0.6%
-12.9%
Telecommunication
-2.1%
-5.0%
Financial Services
-1.1%
-6.5%
Real Estate
-1.1%
-14.0%
Industrials
-0.2%
10.5%
Qatar
.QSI
-0.6%
-0.5%
Banking & Financial Services
-0.6%
1.9%
Industrials
-0.6%
-0.6%
Real Estate
0.5%
3.8%
Telecommunication
-1.6%
17.8%
UAE, Abu Dhabi
.ADI
-1.85%
2.0%
Banking
-2.75%
-7.7%
Telecommunication
-0.3%
23.9%
Real Estate
-3.6%
13.6%
UAE, Dubai
.DFMGI
-3.2%
6.7%
Banking
-2.40%
-0.8%
Real Estate & Construction
-3.7%
9.7%
Investments & Financial Services
-3.3%
2.0%
Telecommunication
-2.8%
23.9%
Companies Transactions

Companies Transactions

  • The Union National Bank (UNB) has announced its first entry to the international debt market since 2012. The bank has successfully priced a 600 MM USD 5-year senior unsecured bond.
  • Coca-Cola has announced its willingness to build a 187,000 sqm bottling plant in Saudi Arabia' Sudair City. The plant is expected to be ready by 2017 adding 300 MM SAR of investments in the country's soft drinks sector and creating jobs for more than 200 Saudis.
  • According to the Dubai Government Media Office, DP world - The Global marine terminal operator - has started construction on the Middle East's largest solar rooftop project at its Jebel Ali Free Zone and Mina Rashed ports in Dubai.
  • The Indian mobile manufacturer, Lava, has set a five-year plan to attain a 5% share in the GCC countries. It is worth mentioning that the company was the fastest growing Indian smartphone brand globally in 2015.
  • Egypt's Arab contractors' chairman has reported that the company is currently carrying out infrastructure and housing projects worth 2.8 MM EGP in the country's anticipated new administrative capital.
  • The Dubai-listed construction company, Arabtec, has announced that it has been awarded a contract to execute a 340 MM AED five-star hotel at Dubai Media City.
  • Banque Misr - Egypt's second biggest state lender - is arranging syndicated finance worth 2 BN EGP to build a furniture city in Damietta. The City is an Integrated project with a total area of 1.4 million sqm.
  • The Egyptian Cabinet has announced that China Fortune Land Development Co. Ltd. (CFLD) has signed a deal to develop and manage 5,700 hectares (a metric unit of square) of Egypt's new administrative capital at a cost of 20 BN USD.
  • Egypt's largest asset manager, Beltone Financial, has announced that it had acquired 60% of New York-based brokerage firm Auerbach Grayson & Company. It is worthy to note that Beltone was acquired by Orascom Telecom Media and Technology in 2015.
Sports and Culture

Sports and Culture

  • Facebook Inc. has launched a new service called "Marketplace" that allows its users to buy and sell on a social media platform. It is worthy to note that more than 450 million people have visited the website each month to buy and sell.
  • Mohammad Bin Rashid Al Maktoum, Prime Minister of the UAE and Ruler of Dubai has launched the UAE's first World Green Economy Organization (Wgeo). The organization aims to bolster a culture of green economy in the country, the region and around the world.
  • Dubai is planning to build a full 3D residential building as it aims to have 25% of all new buildings in Dubai 3D printed by 2030.

Dubai

Office No. N307, North Tower,
Emirates Financial Towers, DIFC, Dubai, UAE
P.O Box: 506726
Tel: +9714 351 8187
info@multiplesgroup.com

Cairo

Zepter Office Building,
S5-6, Area 5, District 1, New Cairo, Egypt.
P.O Box: 11477
info@multiplesgroup.com

Nairobi

Kenya Block C, Ground Floor, Fortis Office Park Muthangari
Dr Westlands, Nairobi, Kenya
Tel: +254 20 5148174
P.O. Box: 66488-00800

BETA