The Daily Circuit
👋 Hello from the Middle East!
Today in The Daily Circuit, we’re looking at the UAE’s latest nuclear milestone, Egypt’s decision to stockpile essential supplies, Mubadala’s acquisition of a generic drug maker and Saudi Arabia’s effort to boost home ownership. But first, artificial intelligence is driving Emirati collaboration with the U.S.
A new report from the UAE Embassy in Washington sheds light on cooperation between the two countries in artificial intelligence. Generating billions in investment dollars around the globe, AI has become a foundational technology for the UAE’s economic diversification efforts. Partnerships with some of the biggest American institutions in technology and science, including Microsoft, Nvidia, IBM and NASA, are critical to those efforts, according to the embassy.
“Moving from oil to data, from sand to space, from commodities to ‘compute’ – the UAE is rapidly remaking its economy and racing into the future,” Yousef Al Otaiba, the UAE Ambassador to the U.S., writes in the opening letter of the white paper. “The United States is the UAE’s most important partner in this transformation.”
The report notes collaboration between the two governments on common policy that protects intellectual property (IP) and data and allows for commercial partnerships. Regulators in both countries have consistently cleared UAE-U.S. investments and commercial partnerships in areas such as semiconductors, advanced computing, genomics and AI, according to the report.
A California-based AI startup, Anthropic, is reportedly in talks with Mubadala for a stake worth more than $1 billion in the OpenAI challenger. A company executive said it has ruled out taking money from Saudi Arabia, citing national security issues, CNBC reports.
📰 Developing Stories
NUCLEAR BOOST
The Barakah Nuclear Energy Plant’s Unit 4 facility has been connected to the UAE power grid and is now months away from full operation as it finishes testing. When the final examination phase is completed, Barakah’s Unit 4 is expected to contribute 1,400 megawatts to the country’s non-carbon energy capacity and 25% of the country’s electricity needs for the next 60 years. Commercial operations at Barakah’s Unit 1 started in April 2021.
STOCKING UP
The Egyptian government announced plans to stockpile essential food, fuel and medicineto ensure their affordability and availability as its economy comes back from the brink. Following announcements of billions of dollars in financial aid from sources including the UAE and the World Bank, the decision to cache basic supplies came during a meeting led by Prime Minister Mostafa Madbouly, Daily News Egypt reports. “We are taking all necessary steps to address the current economic challenges, including the recent price hikes on certain goods,” Madbouly said. The government plans to work with private sector partners to establish and manage the reserves. Residents in Cairo told Bloomberg that despite interventions, many are still bracing for more hardship to come.
💲 Sovereign Circuit
Mumtakalat: Bahrain’s sovereign wealth fund reported that it has become sole shareholder of British supercar maker McLaren Group.
Qatar Investment Authority: France’s 87-year-old UGC Normandie Cinema on the Champs Elysees in Paris may shut down unless it can negotiate a lower rent with the QIA, its landlord.
Mubadala: Mubadala, through its Mamoura Diversified Global Holding unit, has appointed ADCB, First Abu Dhabi Bank and HSBC as joint global coordinators on its debut 10-year Islamic sukuk bond, Reuters reports. ADIB, BOFA Securities, Citi, Emirates NBD Capital, MUFG and Standard Chartered Bank are working on the deal as joint lead managers and bookrunners. Mubadala on Monday announced it has agreed to acquire KELIX bio, a specialty pharmaceutical business focused on delivering complex generics across emerging markets.
🗣 Circuit Chatter
🤝 Stay Positive: Schneider Electric, a French energy management company, signed a deal with Dubai-based Positive Zero to develop decarbonization programs in the UAE and Oman.
💱 Tax-Free: Abu Dhabi will extend a waiver of its 10% tourism tax on cultural events until Dec. 31, which analysts predict may make it easier to attract top talent for concerts as performers can pocket more from shows.
☂️ Free Shade: Dubai is trying to become more pedestrian-friendly, offering free umbrellas for borrowing at locations around the city to protect people from the sun and occasional rain showers.
🇦🇪 🇮🇳 Growing Ties: Mumbai-headquartered law firm Cyril Amarchand Mangaldas is opening an office in Abu Dhabi, citing increasing cooperation between India and the UAE.
🌴 Oasis Updates: Nurai Island, a luxury resort on Abu Dhabi’s coast that was bought in 2022 by Aldar, says it is shutting down temporarily for refurbishment.
↪↩ Closing Circuit
🏡 Home Sweet Home: To promote home ownership, Saudi Arabia distributed $257 million to citizens who qualify for its Sakani housing assistance program.
🚚 East-West: The UAE’s AD Ports will invest $16.5 million to acquire a 60% stake in Georgia’s Tblisi Dry Port, a logistics hub for trade between Eastern Europe and West Asia.
🏢 Aiming High: Aldar, Abu Dhabi’s largest publicly traded property developer, aims to increase sales to $8.4 billion this year and plans to issue a second round of green Islamic bonds, Chief Financial and Sustainability Officer Faisal Falaknaz told The National in an interview.
🏗️ Port Project: Turkey’s Doğuş Group signed a preliminary agreement to build a logistics industrial zone in Egypt’s Jarjoub port on its northern Mediterranean coast that is projected to pump $7 billion into the economy and generate 20,000 jobs.
🚗 Deal Off: Qualcomm called off its $350 million acquisition of Israel’s Autotalks amid an antitrust investigation by U.K. regulators.
🌍 Power Circuit
Sheikh Mansour bin Zayed, UAE Vice President, Deputy Prime Minister and Chairman of the Presidential Court, on Sunday visited Sheikh Mohammed bin Butti Al Hamed for an Iftar banquet at his home in Abu Dhabi. He was joined by Sheikh Saif bin Mohammed Al Nahyan. The Ramadan meal was attended by Sheikh Abdulla bin Mohammed bin Butti Al Hamed, Chairman of the National Media Office; Sheikh Khalifa bin Saif bin Mohammed Al Nahyan; Sheikh Nahyan bin Saif bin Mohammed Al Nahyan, UAE Ambassador to Saudi Arabia; Sheikh Mansoor bin Mohammed bin Butti Al Hamed, CEO of Mubadala Energy; and Humaid Saeed Amer Hamad Al Neyadi, Director of the Office of the Chairman of the Presidential Court.
Sheikha Fatima bint Mubarak, the UAE “Mother of the Nation” and wife of the late Sheikh Zayed, the country’s founding President, received a number of female ambassadors accredited to the UAE at Qasr Al Bahr on Saturday evening.
Sheikh Hamdan bin Mohammed, Crown Prince of Dubai and Chairman of The Executive Council, approved a $10.9 billion portfolio of infrastructure and urban development projects.
➿ On the Circuit
Ahmad Al Falasi, UAE Minister of Education, has been reappointed as chairman of the UAE Space Agency, replacing Sarah Al Amiri, Minister of State for Public Education and Advanced Technology, who served as chairwoman of the agency since 2020.
Mohamed Juma al-Shamisi, CEO of Abu Dhabi Ports Group, met with the U.S. Embassy’s Deputy Chief of Mission Eric Gaudiosi, who expressed America’s commitment to facilitating partnerships between the company and U.S. businesses.
Nelson Peltz, the billionaire founder of Trian Partners, talks about boardroom battles he’s waged at Disney and Unilever in an interview with the Financial Times.
Mohammed Al Turki, CEO of Red Sea Film Foundation, was interviewed by stylist Osama Chabbi in Dubai over the weekend, following his cover in Grail Middle East where he talks about the rapid rise of cinema in Saudi Arabia after a 35-year ban on movie theaters was lifted in 2018.
🎶 Culture Circuit
🌙 Expo Iftars: Dubai’s Expo City has been transformed into a festive hub for Ramadan, with workshops, activities and a night market with food stalls. A Ramadan cannon at Al Wasl Avenue is fired at sunset every day, and visitors can break their fast at a special Iftar by the Surreal water feature.
📷 Photo of The Day
📅 Circuit Calendar
Apr. 16-17, Abu Dhabi, UAE. Green Hydrogen Summit 2024. Bringing together experts, policymakers, and industry leaders to explore opportunities and the industry’s future. Abu Dhabi National Exhibition Center.
Apr. 16-18, Abu Dhabi, UAE: World Future Energy Summit 2024. A platform to showcase the solutions to some of the most critical challenges identified at COP28. Abu Dhabi National Exhibition Center.
Apr. 16-18, Dubai, UAE. Middle East Energy. Energy leaders gather to debate and shape the future. Dubai World Trade Center.
Apr. 23-25, Dubai, UAE: GISEC Global. A forum for furthering the key discussions that are helping to define cyber resilience and connecting the global cybersecurity community. Dubai World Trade Center.
Apr. 29-May 1, Riyadh, Saudi Arabia: Future Hospitality Summit. An international gathering hosted in cities around the world bringing together the most influential hospitality investors and developers. Mandarin Oriental Al Faisaliah.
Apr. 29 – May 5, Abu Dhabi, UAE: Abu Dhabi International Book Fair. A key event for the publishing industry in the Middle East and North Africa. Abu Dhabi National Exhibition Center.
Apr. 30-May 1, Abu Dhabi, UAE: Mobility Live. A conference and exhibition sponsored by the Abu Dhabi transport regulators, gathering disruptive technology developers in transportation and the public sector. Abu Dhabi National Exhibition Center.
Apr. 30-May 1, Abu Dhabi, UAE: Middle East Rail. The leading conference in the region for rail innovation, technology and strategy. Abu Dhabi National Exhibition Center.
May. 14-16, Doha, Qatar: Qatar Economic Forum, Powered by Bloomberg. A news-driven event dedicated to global business and investment. This year’s theme is “A World Remade: Navigating the Year of Uncertainty.” Request your invite here. Fairmont & Raffles, Doha.
