The Daily Circuit
Today in the Daily Circuit, we’re looking at the dearth of prime office space in Riyadh, Dubai’s summer experiment with a four-day week for its civil service, ADIA’s investment in Indian baby products and the buzz around Abu Dhabi restaurants. But first, the Qatar Investment Authority backs U.S. efforts to secure minerals for powering electric cars.
In a nod to Washington, Qatar has agreed to buy a $180 million stake in TechMet, an Irish mining investment firm backed by the U.S. International Development Finance Corp.
The move, carried out through the Qatar Investment Authority, is designed to loosen China’s dominance of minerals critical to generating sustainable energy and is the first such collaboration between a western and Gulf state, the Financial Times reports.
The Biden administration has been trying to overtake China in the market for lithium, cobalt and other minerals used to power electric cars, making the objective a priority in its campaign to switch to renewable power, according to the newspaper.
Part of those efforts has been to persuade Saudi Arabia, Qatar and the UAE to invest in U.S. initiatives to extract and process critical minerals for industrial use, the FT said. It notes the Gulf states all seek to become players in the critical minerals market, using their neutrality in the U.S.-China standoff to their advantage.
📰 Developing Stories
OFFICE SHORTAGE
Saudi Arabia’s pressure on international companies to establish their regional headquarters in the kingdom has been so successful, it has eaten up virtually all the top commercial real estate in Riyadh. Prime and Grade A office spaces are fully occupied while Grade B occupancy has hit 99.4%, according to a survey by international property firm CRBE cited by Daily News Egypt. Prime and Grade A office spaces are now fully occupied while Grade B occupancy has soared to 99.4%, with rental prices increasing accordingly. Jeddah and the Eastern Province cities of Dammam and Khobar have also recorded rental growth and increased occupancy rates. “The lack of available quality stock is somewhat hampering the potential of the market,” said CRBE’s Taimur Khan, Head of MENA Research.
FOUR-DAY WEEK
Dubai is taking advantage of the quieter summer time to experiment with a four-day work week and shorter office hours in an effort to promote better work-life balance. “Our Summer is Flexible,” a pilot scheme at 15 Dubai government organizations, will see work suspended on Fridays and working days reduced to seven hours between Aug.12 – Sept. 30. HR departments will gather feedback on the program and make recommendations on whether it should continue. Dubai is not the first emirate to try out the idea, which is gaining popularity around the world. Sharjah introduced a four-day work week in 2022 in order to maintain Friday, a holy day in Islam, as a full day off after the UAE government switched to a western weekend with a half-day on Fridays.
💲 Sovereign Circuit
Abu Dhabi Investment Authority: The UAE sovereign wealth fund invested $8 million in India’s Brainbees Solutions becoming an anchor investor in the retail platform for baby products ahead of its IPO.
Qatar Investment Authority: The QIA, ADIA and Singapore’s Temasek are among the sovereign wealth funds being sounded out to purchase the Indian government’s stake in Vodafone Idea, India’s Financial Express reports.
↪↩ Closing Circuit
🎰 Resort Expansion: International casino operator Wynn Resorts has acquired an additional 70 acres on Ras Al Khaimah’s Al Marjan Island as it builds the UAE’s first gaming resort.
👷 Extra Manpower: Construction recruitment and outsourcing firm Sawaeed Holding, which is owned by IHC subsidiary Emirates Stallions Group, has acquired two companies, United International Group for Manpower Services and Progressive Real Estate Development.
🏗️ Boom Time: Dubai’s largest developer, Emaar Properties, reported an 8% increase in net profit for the first half of 2024 compared to the same period last year, posting net income of 5.3 billion dirhams ($1.5 billion) amid a booming real estate market.
💱 Payment Platform: Payoneer, an Israeli-founded platform for cross-border business payments that trades on the Nasdaq, announced it will acquire Singapore-based Skuad for $61 million and up to $20 million in future milestone installments.
🍼 Sperm Selector: BAIBYS, an Israeli startup that has developed a system for selecting ideal sperm for fertility treatments, raised $4.5 million in a Series A funding round, led by Firstime Ventures, with participation from Japan’s Rohto Pharmaceutical Co.
🗣 Circuit Chatter
🚁 Flying Taxis: Joby Aviation plans to start commercial service of its battery-powered air taxis in Dubai starting late next year, the company’s chief executive officer said in an conference call with analysts on Wednesday.
🍞 Baking Bread: Egypt, one of the world’s largest wheat importers, is taking advantage of the grain’s lowest prices in four years to buy nearly a third of its yearly purchase in one deal, Bloomberg reports.
₿ Crypto Payments: Ripple, a San Francisco-based developer of blockchain payment systems, will work with the Dubai International Financial Centre’s DIFC Innovation Hub to accelerate use of cryptocurrencies and digital assets by businesses in the UAE.
👮 Smart Boats: Dubai Police signed a preliminary agreement with marine engineering firm Radio Holland Middle East to collaborate on its Smart Boat Project, using technology to improve security coverage of water areas, shorten response times, improve databases and cut maintenance costs.
🌍 Power Circuit
Jordan’s Crown Prince Hussein bin Abdullah and Princess Rajwa have welcomed the arrival of their newborn daughter Princess Iman. Mother and daughter were discharged from King Hussein Hospital in Amman on Wednesday following the birth on Aug. 3, with members of the public and staff gathering at the hospital entrance to celebrate the new royal.
Nobel laureate Muhammad Yunus transited via Dubai on Thursday on his way back to Bangladesh to lead a caretaker government following a student-led uprising which ended the rule of Sheikh Hasina.
➿ On the Circuit
Paul Griffiths, the CEO of Dubai Airports, said that while escalation of conflict in the Middle East could lead to flight route changes, the region has plenty of experience in dealing with geopolitical risks. “Dubai has been very resilient,” he told The National. “If things do escalate, then it will have an impact on our business: Flight routes may change, you may have to avoid certain areas, but we’re so well used to doing that.”
Ahmad Ali Alwan, CEO of Abu Dhabi’s Hub71 technology park, spoke in an interview with CNN on the rapid growth of the fintech sector in the UAE.
Mohammed Al Turki, former CEO of Saudi Arabia’s Red Sea Film Foundation, will receive the Philanthropic Leadership Award from the Foundation for AIDS Research at the Venice Film Festival in September.
Edward Byrnewas appointed as the new President of Saudi Arabia’s King Abdullah University of Science and Technology, succeeding Tony Chan. Byrne was previously President of King’s College London and Monash University.
Jim Courtovich, a prominent Washington lobbyist who founded Sphere Consulting, is accused of breaching a $1.25 million settlement with Saudi Arabia’s Al Gosaibi family in connection with a Capitol Hill townhouse he was hired to buy for them, Politico reports. Courtovich issued a statement saying he will settle the dispute and “everyone’s getting paid.”
🎶 Culture Circuit
🍽️ Culinary Capital: Abu Dhabi is becoming a thriving gastronomy hotspot, with regular new restaurant launches and two prestigious European culinary schools adding to the buzz, The National reports. Three of Dubai’s most popular eateries are opening in the UAE capital soon, including Mena’s Best Restaurant of 2022, 3 Fils.
📷 Photo of the Day
🗓️ Ahead on The Circuit
Aug. 12-15, Riyadh, Saudi Arabia: Saudi Food Expo. One of the kingdom’s largest trade shows for the food & beverage industry. Riyadh Front Exhibitions.
Aug. 24-25, Riyadh, Saudi Arabia. New Global Sports Conference. Uniting top players to showcase how esports can create new global opportunities. Four Seasons Hotel Riyadh.
Aug. 31-Sept. 8, Abu Dhabi, UAE. Abu Dhabi International Hunting and Equestrian Exhibition (ADIHEX). The premier event for hunting, falconry and equestrian enthusiasts in the Middle East. ADNEC.
Sept. 1-7, Dubai, UAE. Dubai Fashion Week. Promoting Dubai’s creativity and fashion businesses to a worldwide audience. Dubai Design District.
Sept. 10-11, Dubai, UAE: Global Vertical Farming Show 2024. Annual event brings together investors, growers, and executives in the vertical farming industry from around the world. Le Méridien Dubai Hotel & Conference Centre.
Sept. 24-25, Dubai, UAE: ACT Middle East Treasurers Summit. Corporate treasurers and financial professionals from across the region gather for policy discussions on issues ranging from cash management to sustainability. Grand Hyatt Dubai.
Sep. 30-Oct. 2, Dubai, UAE: Future Hospitality Summit. The global conference for leaders in the hospitality industry expands this year at a new location with dedicated space for ESG planning, country pavilions and a larger exhibition area. Madinat Jumeirah.
