• ByCGI Gulf Insights of the Week
  • Sunday, 15 March 2020
  • Published inMarch 2020
View this email in your browser
Country Risk Update - Oman

Risk Indicator  - DB4c
Risk Level        - Moderate

Ratings Trend  - Improving

Sultan Haitham's (so far) smooth succession reduces the risk of domestic instability and increases the likelihood of needed fiscal reforms.  The government is targeting tourism and logistics as areas for non-oil diversification. Dun & Bradstreet upgrades Oman's country risk rating as the Sultan's succession goes smoothly, increasing hopes for vital fiscal reform.

Market Overview
UAE, Saudi Arabia unveil $40bn stimulus packages to fight crisis
Three of the biggest Arab economies pledged almost $47 billion in stimulus to limit the economic damage of the coronavirus outbreak, joining a global effort meant to soothe markets and salvage growth. Saudi Arabia’s central bank unveiled a 50-billion riyal ($13.3 billion) package to support private businesses, soon after its counterpart in the United Arab Emirates announced a $100-billion dirham ($27.2 billion) programme to assist its lenders. Egypt said it will allocate 100 billion pounds ($6.4 billion) to combat the coronavirus.
UAE gov't says to activate remote working from Sunday to fight virus
The UAE government said late on Friday that it will be activating remote work for a segment of federal government employees, effective from Sunday for two weeks. Initally, remote working practices will run to March 26 but is subject to renewal, state news agency WAM reported. The decision comes as a precautionary measure to the new coronavirus which has so far infected 85 people in the UAE.
Saudi Aramco reports 21% drop in 2019 profit
Saudi Aramco, the spearhead of the kingdom’s oil price war, on Sunday reported a 20.6 percent drop in its net profit for 2019 due to low oil prices and production levels, the company said in a statement. The energy giant posted net profits of $88.2 billion last year compared to $111.1 billion in 2018, it said in the statement to the Saudi Stock Market.  "The decrease was primarily due to lower crude oil prices and production volumes, coupled with declining refining and chemical margins," Aramco said.
Commodity Tracker
Oil prices plunged on Thursday as the coronavirus outbreak threatened the global economic stability. The pressure on oil prices also intensified as major oil producers plan to pump more crude into the market as demand collapses. The global benchmark Brent crude fell by 33.55% for the week, the biggest weekly fall since the 1991 Gulf War. US West Texas Intermediate (WTI) crude declined by 31.37% as compared to last week to settle at $31.50 on Thursday. Gold price decreased by 4.57% as compared to last week to reach $1590.30 per ounce on 12 March.
Stock Market Update
All the GCC bourses ended the week with heavy losses amid rising cases of coronavirus infections in the region. The Dubai Financial Market plunged by 17.41% to close the week at 2032.12 points. The consumer goods, real estate, and bank sectors declined by 28.81%, 21.53%, and 18.43% respectively. The Abu Dhabi Securities Exchange (ADXGI) fell by 15.53% reaching 3922.18 points on Thursday, compared to 4,643.08 points a week earlier. The banks, real estate, telecommunications, and energy sectors dropped by 16.42%, 14.75%, 11.20%, and 16.51%, respectively. TASI lost 1110.46 points or 14.87% to close the week ended on 12 March at 6357.06 points. Bahrain’s All Share Index tumbled by 11.21% to close at 1436.37 on Thursday. The commercial banks and industries sectors fell by 15.99% and 8.87% respectively. MSM30 Index dipped by 9.11% to close the week at 3733.72 points. The stock market in Kuwait was closed on Thursday as authorities announced a shutdown of government offices for two weeks as a part of precautionary measures against the fast-spreading coronavirus.
CRIF Business Updates
Dun & Bradstreet is proud to announce the purchase of assets to create an end-to-end receivables management platform. This expands our portfolio of Finance Solutions, helping clients automate credit-to-cash processes and drive improved organizational efficiencies.
We would like to hear from you write to us at [email protected] for
Suggestions and Feedback


Our mailing address is:

Copyright © *|CURRENT_YEAR|* *|LIST:COMPANY|*, All rights reserved.

This email was sent to *|EMAIL|*
why did I get this?    unsubscribe from this list    update subscription preferences

crif GULF DWC LLC operates snb logo in the U.A.E territory.