Newsletter 100 Issue December (Copy 85)

View this email in your browser
Country Risk Update
Saudi Arabia

Risk Indicator - DB3c
Risk Level - Slight
Ratings Trend - Stable

Tensions build with Canada as the Crown Prince continues his aggressive foreign policy approach, increasing the risks associated with doing cross-border business. High levels of recurrent government spending, alongside declining oil prices, have undermined the fiscal position.
Market Overview
Saudi says door open to future oil output hike if customers request it
US President Donald Trump’s demand that OPEC should 
take rapid action to reduce oil prices got a tepid response, with the group saying it would boost output only if customers requested it. In contrast to the dramatic policy U-turn that Trump’s tweets provoked earlier this year, Saudi Arabia, Russia, and their allies signaled less urgency and stopped short of promising specific extra volumes of crude. “Our plan is to meet demand,” Saudi Energy Minister Khalid Al-Falih said after meeting with fellow ministers in Algiers on September 23, 2018. “The reason Saudi Arabia didn’t increase more is that all of our customers are receiving all of the barrels they want.” The kingdom does expect to pump more in September and increase again in October, he said. The Organization of Petroleum Exporting Countries and its allies are just halfway toward their June pledge to pump an extra 1 million barrels a day of crude to fill the gap created by an economic collapse in Venezuela and renewed US sanctions on Iran.
Expat remittances from UAE increase 13% to $23.96bn
Expat remittances from the UAE totaled AED 88 billion ($23.96 billion) in the first half of 2018, a 13.1 percent growth from the AED 77.8 billion ($21.18 billion) recorded during the same period in 2017, according to figures from the Central Bank. The figures are a 13 percent increase on last year, which saw $21.2bn (AED78bn) sent by expats to foreign countries during the first six months of 2017.  According to the figures, remittances in Q1 this year hit AED 43.5 billion ($11.84 billion), representing 17.3 percent year-on-year growth. In the second quarter, foreign remittances jumped to AED 44.4 billion ($12.09 billion), a growth of 8.8 percent from the AED 40.7 billion ($11.08 billion) recorded during the same time period in 2017. Of the Q2 total, AED 34.8 billion ($9.47 billion) was transferred through money exchange houses, compared to AED 9.6 billion ($2.61 billion) that went through banks. India received the most remittances during Q2, with AED 17.32 billion, or 39 percent of the total. AED 8.5 billion was received by Pakistan (8.5 percent), AED 3.15 billion by the Philippines (7.1 percent), AED 2.4 billion by Egypt (5.4 percent), AED 1.95 percent by the United States (4.9 percent) and AED 1.95 billion by the UK (3.8 percent).
UAE retailers urged to register for VAT tourist refund scheme
The UAE’s Federal Tax Authority (FTA) is urging VAT-registered retailers, outlets and shops to register for a tax refund scheme for tourists which is slated to come into effect in the fourth quarter of 2018, the FTA announced on September 22, 2018. In a statement, the FTA said that it has identified for conditions for registering for the scheme: the retailer must be registered for VAT and have a tax registration number, the supplier’s sales of goods must not be excluded from the refund scheme, the retailer must submit a request to participate, and, finally, the retailer must meet the financial credit requirements specified by the FTA. In a statement, the FTA warned that a retailer’s membership in the tourist refund scheme could be revoked if they failed to meet the obligations stipulated by the UAE’s tax laws or in the contract between the system operator and the retailer. The FTA’s director-general, Khalid Ali Al Bustani, noted that the FTA and scheme operator Planet has organized a number of workshops and seminars to introduce VAT-registered retailers to the refund scheme, with an extended meeting scheduled for September 25 in Ajman. Similar events are planned in Abu Dhabi and Dubai.
Bahrain's Investcorp makes the first foray into China
Bahrain-listed Investcorp will invest as much as $250 million in its first investment in China, the company announced this week. Investcorp will partner with China Everbright Limited, a sovereign-backed cross-border asset manager publicly listed on the Hong Kong Stock Exchange, to invest up to $150 million in the second round of the China Everbright Limited New Economy Fund. The company has also agreed to an additional co-investment right of up to $100 million. In the first round, the fund received an aggregate commitment of $313 million from other investors that have been deployed into Chinese technology companies working in a wide variety of segments including e-commerce, smart retail, and artificial intelligence. “Investcorp continues to execute its global expansion strategy in order to provide its clients, partners, and stakeholders with access to a wider range of attractive investment opportunities worldwide,” said Investcorp executive chairman Mohammed Alardhi. “China is a pivotal pillar of the global economy and a critical component of a balanced global asset allocation strategy.” Raises $4m From Emaar And AddVenture, an online home services marketplace based in the U.A.E., has closed a $4 million funding round by AddVenture and Emaar Industries & Investments. This is the company’s fourth funding round following their seed and angel rounds in 2013 and 2015 respectively, as well as their $3 million Series A round secured in 2016, bringing the total amount invested in the company since inception to $8 million. In the latest round, Emaar Industries & Investments (EII), an associate of Emaar Properties (PJSC), joined the existing investor AddVenture, an international venture capital fund.“Our platform today allows U.A.E. residents to book over 35 different home services online. This investment will allow us to offer an even wider range of services to our customers, further establishing ServiceMarket as a one-stop home services platform,” said Bana Shomali, founder of ServiceMarket.In the last year alone, ServiceMarket has helped over 150,000 customers book a home service online, generating more than $30 million in sales revenue, according to a statement from the company.
Commodity Tracker
Business Events this Week In UAE
Facility Management Expo 
@ Dubai World Trade Centre
Date: 25 September 2018
Business Updates
D&B Hoovers uses the world’s largest commercial database and sophisticated analytics to deliver a sales acceleration solution packed with insight. It enables B2B sales and marketing professionals to accelerate sales, enhance go-to-market activity, and increase business growth globally. D&B Hoovers leverages the best company intelligence and innovative analytical features to provide optimal coverage with deep insight.
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.