The Daily Circuit
đź‘‹ Hello from the Middle East!
Today in The Daily Circuit, we’re looking at the mayor of Riyadh’s efforts to lure expat execs, Emaar’s $21 billion luxury real estate play, the PIF’s new sponsorship deal in tennis and First Abu Dhabi Bank upping its business in China. But first, catching a moment with the UAE Minister of Economy.
Surveying the thousands of investors and business leaders rubbing shoulders at the Investopia conference in Abu Dhabi, UAE Minister of Economy Abdullah bin Touq Al Marri said he felt like “the father of the bride” at a wedding. “I just want to make sure everyone is happy and well fed,” he told The Circuit’s Kelsey Warner this morning.
Keeping participants comfortable at the third edition of Investopia, which the Minister chairs, is a fairly light lift, with the St. Regis resort on Saadiyat Island offering a backdrop of swaying palm trees and turquoise waters. Engaging them is another matter as the confab aims to also drive investment into fast-growing sectors like technology, capital markets and tourism to the UAE. Al Marri has said that by the 2030s, the UAE will “take the number one position globally in the development of proactive legislation for new economic sectors.”
Funds that manage a total of more than $500 billion in assets are attending, according to organizers. Top of mind and regularly popping up in conversation for the largely American crowd are the implications of an election year in the U.S. and the direction of interest rates. Al Marri, for his part, expressed his desire for lower rates to spur investment: “There will be a movement of capital that will [boost] investments into new areas and move the economy forward. So we hope that can happen by this year,” he said.
đź“° Developing Stories
TALENT COMPETITION
As Saudi Arabia attracts more international businesses, Riyadh’s Mayor Prince Faisal bin Abdulaziz bin Ayyaf says his city is vying for top executives with the likes of New York and Tokyo. “Competition for talent is no longer regional or local – it’s global,” he said in an interview with Arab News. The Saudi capital is working to enhance the quality of life for expats in ways that will persuade the best and brightest to relocate, the Mayor said. Major international banks, law firms and companies have established their regional headquarters in Riyadh since the kingdom made that a prerequisite this year for the awarding of government contracts.
BUILDING BOOM
Dubai’s largest listed developer plans to pour $21 billion into building two new luxury neighborhoods as demand for premium real estate continues to soar in the UAE. Emaar is starting sales at The Heights Country Club and the Grand Club Resort, which will also be home to a wellness resort. The Burj Khalifa builder didn’t disclose the number of villas and townhomes in the new developments or a completion date.
đź’˛ Sovereign Circuit
Mubadala: The Abu Dhabi sovereign wealth fund will make large investments in artificial intelligence and space technology this year, while putting more of its capital in the U.S., Managing Director Khaldoon Al Mubarak said on Wednesday at the Investopia conference. Catch a clip posted yesterday of highlights from Mubadala’s Annual Employee Forum that spells out some of the fund’s goals for 2024.
Public Investment Fund: The Saudi sovereign wealth fund signed a five-year deal with the ATP Tour to sponsor its official tennis rankings and use other branding opportunities.
ADQ: Q Holding, a UAE conglomerate that merged with the property firms owned by ADQ and IHC Capital, will rebrand itself as Modon Holding following the $12 billion consolidation deal.
Mumtalakat: Bahrain’s sovereign wealth fund announced plans to invest in Singapore Gulf Bank, a new digital bank backed and founded by the Whampoa investment group.
đź—Ł Circuit Chatter
đźš° Water Mission: The UAE launched a national mission today to help alleviate the problems of water scarcity around the world. Named for President Sheikh Mohamed bin Zayed, the initiative will be vice-chaired by Khaldoon Al Mubarak, head of the Executive Affairs Authority and Group CEO of Mubadala. Among the board members is Bridgewater Associates founder Ray Dalio.
🛩️ African Skies: Morocco is trying to bolster its aerospace industry and plans to manufacture its first aircraft by 2030, Minister of Industry and Trade Ryad Mezzour told Al-Sharq Bloomberg.
🇬🇧 Stonehenge Beckons: The UK is encouraging Gulf visitors to get out of London and explore the country by road and rail as its new Electronic Travel Authorisation for citizens of the GCC makes getting visas easier.
🤖 Booking Bot: Saudi Arabia’s new carrier Riyadh Air said it will use generative AI to personalize its digital booking platform, working with Adobe Experience Cloud and IBM Consulting.
↪↩ Closing Circuit
🇨🇳 China Bump: First Abu Dhabi Bank, which increased business with China by 50% in 2023, said it would triple its revenue there by 2026 to $300 million.
â›˝ Egypt Partners: BP will invest about $1.5 billion in Egypt during the next few years as it seeks to develop gas projects and drilling in partnership with Abu Dhabi National Oil Co. (ADNOC).
🏠Heavy Metal: Italian steelmaker Danieli has proposed a $4 billion project to build an integrated industrial complex for manufacturing iron and steel products in Egypt.
đź“ś Keeping Compliant: Slice, an Israeli startup that uses AI to help businesses meet regulatory requirements, raised $7 million in a seed funding round led by TLV Partners.
🤝 Data-Driven: Biz2Credit, a U.S. lender to small businesses, struck a deal with Abu Dhabi-based Magnati to filter its real-time payment data through AI and enter the lending market in the UAE.
🦻 IPO Noise: Orcam, an Israeli company founded by Mobileye chief Amnon Shashua, plans to spin off its hearing aid division and raise $10 million with a Wall Street IPO, Globes reports.
🌍 Power Circuit
UAE President Sheikh Mohamed Bin Zayed awarded the Order of Zayed on Wednesday to Sheikh Mohammed bin Rashid, Vice President, Prime Minister and Ruler of Dubai, and Sheikh Mansour bin Zayed, Vice President, Deputy Prime Minister and Chairman of the Presidential Court. The President also awarded the First Class Order of Zayed II to the UAE’s Cop28 negotiating team and members of the Cop28 Presidency Office and working groups.
Saudi Defense Minister Prince Khalid bin Salman will take over as Chairman of Saudi Arabian Military Industries, replacing Ahmed Al-Khateeb in a reshuffle of the PIF-owned company’s board.
âžż On the Circuit
Ahmed Al Calily, Chief Strategy and Risk Officer at Mubadala, said at Investopia on Wednesday that Morocco is well placed to “benefit from East-West economic tensions.”
Helen Belopolsky, Global Head of Geopolitical Risk at HSBC, spoke on a panel at Investopia on Wednesday about needing diverse sources of information to manage threats.
Michelle Donelan, the UK Secretary of State for Science, Innovation and Technology, arrived in the UAE on Wednesday to discuss collaboration on AI research and investment.
Emirati businessman Khalaf al-Habtoor said he hopes to invest in the Regal Heights Hotel, the largest hotel in Egypt’s el-Alamein tourist area in Egypt, taking note on his Facebook page of the $35 billion deal between Egypt and the UAE to develop the Ras al-Hekma area.
🎶 Culture Circuit
📷 Photo Finish: The five winners of this year’s Kingdom Photography Award in Saudi Arabia have been announced. Saudi or Saudi-based photographers entered images under the theme “We Tell Stories” and were asked to go “beyond mere landscapes or heritage-inspired imagery” to give insight into local culture.
đź“· Photo of the day
đź“… Circuit Calendar
Feb. 29-March 2, Sakhir, Bahrain: Formula 1 Gulf Air Bahrain Grand Prix. Bahrain International Circuit.
March 1, Abu Dhabi, UAE: Abu Dhabi Family Office Summit. One of the largest meetings in the region for family office leaders and investors. Saadiyat Rotana.
March 4-5, New York, U.S.: MindTheTech NY Conference. U.S. investors meet Israeli startups at conference sponsored by Calcalist and Bank Leumi. Quorum by Convene.
March 4-7, Riyadh, Saudi Arabia: LEAP. A global technology conference for developers, startups, investors, C-suite and media. King Abdul Aziz International Conference Center.
March 5-6, Doha, Qatar: International LNG Forum. Gathering of industry leaders and key stakeholders to discuss the future of gas in a key export market. InterContinental Doha Beach.
March 5-6, Jerusalem, Israel. Life Science & Health-Tech Week in Israel. Healthtech company executives, investors, and government leaders join the annual conference. International Conference Center.
March 7, Jeddah, Saudi Arabia: Bloomberg Power Players Jeddah. Investor conference focusing on the impact of money on professional sports. Jeddah Yacht Club.March 7-9, Jeddah, Saudi Arabia: Formula 1 STC Saudi Arabian Grand Prix. The Jeddah Corniche Circuit.